COVER
COVER - shares | 9 Months Ended | |
Sep. 30, 2020 | Nov. 02, 2020 | |
Document Information [Line Items] | ||
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Sep. 30, 2020 | |
Document Transition Report | false | |
Entity File Number | 1-14201 | |
Entity Registrant Name | SEMPRA ENERGY | |
Entity Incorporation, State or Country Code | CA | |
Entity Tax Identification Number | 33-0732627 | |
Entity Address, Address Line One | 488 8th Avenue | |
Entity Address, City or Town | San Diego | |
Entity Address, State or Province | CA | |
Entity Address, Postal Zip Code | 92101 | |
City Area Code | (619) | |
Local Phone Number | 696-2000 | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Large Accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Shares Outstanding | 288,470,244 | |
Amendment Flag | false | |
Document Fiscal Year Focus | 2020 | |
Document Fiscal Period Focus | Q3 | |
Current Fiscal Year End Date | --12-31 | |
Entity Central Index Key | 0001032208 | |
San Diego Gas and Electric Company [Member] | ||
Document Information [Line Items] | ||
Entity File Number | 1-03779 | |
Entity Registrant Name | SAN DIEGO GAS & ELECTRIC COMPANY | |
Entity Incorporation, State or Country Code | CA | |
Entity Tax Identification Number | 95-1184800 | |
Entity Address, Address Line One | 8326 Century Park Court | |
Entity Address, City or Town | San Diego | |
Entity Address, State or Province | CA | |
Entity Address, Postal Zip Code | 92123 | |
City Area Code | (619) | |
Local Phone Number | 696-2000 | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Non-accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Central Index Key | 0000086521 | |
Southern California Gas Company [Member] | ||
Document Information [Line Items] | ||
Entity File Number | 1-01402 | |
Entity Registrant Name | SOUTHERN CALIFORNIA GAS COMPANY | |
Entity Incorporation, State or Country Code | CA | |
Entity Tax Identification Number | 95-1240705 | |
Entity Address, Address Line One | 555 West Fifth Street | |
Entity Address, City or Town | Los Angeles | |
Entity Address, State or Province | CA | |
Entity Address, Postal Zip Code | 90013 | |
City Area Code | (213) | |
Local Phone Number | 244-1200 | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Non-accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Central Index Key | 0000092108 | |
Common Stock [Member] | ||
Document Information [Line Items] | ||
Title of 12(b) Security | Sempra Energy Common Stock, without par value | |
Trading Symbol | SRE | |
Security Exchange Name | NYSE | |
Convertible Preferred Stock Series A [Member] | ||
Document Information [Line Items] | ||
Title of 12(b) Security | Sempra Energy 6% Mandatory Convertible Preferred Stock, Series A, $100 liquidation preference | |
Trading Symbol | SREPRA | |
Security Exchange Name | NYSE | |
Convertible Preferred Stock Series B [Member] | ||
Document Information [Line Items] | ||
Title of 12(b) Security | Sempra Energy 6.75% Mandatory Convertible Preferred Stock, Series B, $100 liquidation preference | |
Trading Symbol | SREPRB | |
Security Exchange Name | NYSE | |
Sempra Energy 5.75% Junior Subordinated Notes Due 2079 [Member] | ||
Document Information [Line Items] | ||
Title of 12(b) Security | Sempra Energy 5.75% Junior Subordinated Notes Due 2079, $25 par value | |
Trading Symbol | SREA | |
Security Exchange Name | NYSE |
CONDENSED CONSOLIDATED STATEMEN
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) shares in Thousands, $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
REVENUES | ||||
Utilities operating revenue | $ 2,301 | $ 2,398 | $ 7,199 | $ 6,808 |
Energy-related businesses | 343 | 360 | 1,000 | 1,078 |
Total revenues | 2,644 | 2,758 | 8,199 | 7,886 |
Operating expenses | ||||
Operation and maintenance | (1,044) | (845) | (2,893) | (2,515) |
Depreciation and amortization | (418) | (402) | (1,242) | (1,174) |
Franchise fees and other taxes | (139) | (127) | (397) | (369) |
Impairment losses | (1) | (43) | (1) | (43) |
(Loss) gain on sale of assets | 0 | (3) | 0 | 63 |
Operating expenses | ||||
Impairment losses | 1 | 43 | 1 | 43 |
Other income (expense), net | 29 | (7) | (163) | 103 |
Interest income | 27 | 22 | 76 | 64 |
Interest expense | (264) | (279) | (818) | (797) |
Income from continuing operations before income taxes and equity earnings | 201 | 448 | 1,061 | 1,235 |
Income tax expense | (99) | (61) | (60) | (150) |
Equity earnings | 326 | 266 | 822 | 485 |
Income from continuing operations, net of income tax | 428 | 653 | 1,823 | 1,570 |
(Loss) income from discontinued operations, net of income tax | (7) | 256 | 1,850 | 292 |
Net income | 421 | 909 | 3,673 | 1,862 |
Earnings attributable to noncontrolling interests | (22) | (60) | (201) | (146) |
Preferred dividends | (48) | (36) | (121) | (107) |
Preferred dividends of subsidiary | 0 | 0 | (1) | (1) |
Earnings attributable to common shares | $ 351 | $ 813 | $ 3,350 | $ 1,608 |
Basic EPS: | ||||
Earnings from continuing operations | $ 1.23 | $ 2.04 | $ 5.17 | $ 4.86 |
(Losses) earnings from discontinued operations | (0.02) | 0.89 | 6.31 | 0.97 |
Earnings attributable to common shares (in usd per share) | $ 1.21 | $ 2.93 | $ 11.48 | $ 5.83 |
Weighted-average common shares outstanding | 289,490 | 277,360 | 291,771 | 275,684 |
Diluted EPS: | ||||
Earnings from continuing operations | $ 1.23 | $ 2 | $ 5.15 | $ 4.79 |
(Losses) earnings from discontinued operations | (0.02) | 0.84 | 6.28 | 0.95 |
Earnings from continuing operations attributable to common shares (in usd per share) | $ 1.21 | $ 2.84 | $ 11.43 | $ 5.74 |
Weighted-average common share outstanding, diluted | 290,582 | 295,789 | 292,935 | 279,809 |
Natural gas [Member] | ||||
Operating expenses | ||||
Operating expenses | $ (114) | $ (122) | $ (582) | $ (789) |
Electric fuel and purchased power [Member] | ||||
Operating expenses | ||||
Operating expenses | (429) | (410) | (918) | (929) |
Energy-related businesses [Member] | ||||
Operating expenses | ||||
Operating expenses | (90) | (94) | (200) | (265) |
San Diego Gas and Electric Company [Member] | ||||
REVENUES | ||||
Electric | 1,338 | 1,271 | 3,478 | 3,184 |
Natural gas | 134 | 156 | 498 | 482 |
Utilities operating revenue | 1,472 | 1,427 | 3,976 | 3,666 |
Operating expenses | ||||
Cost of electric fuel and purchased power | 430 | 411 | 921 | 934 |
Cost of natural gas | 27 | 23 | 118 | 136 |
Operation and maintenance | 414 | 295 | 1,050 | 857 |
Depreciation and amortization | 200 | 196 | 598 | 571 |
Franchise fees and other taxes | 86 | 79 | 237 | 220 |
Total operating expenses | 1,157 | 1,004 | 2,924 | 2,718 |
Operating income | 315 | 423 | 1,052 | 948 |
Other income (expense), net | (2) | 19 | 47 | 60 |
Interest income | 1 | 1 | 2 | 3 |
Interest expense | (103) | (106) | (307) | (311) |
Income from continuing operations before income taxes and equity earnings | 211 | 337 | 794 | 700 |
Income tax expense | (33) | (71) | (161) | (111) |
Net income | 178 | 266 | 633 | 589 |
Earnings attributable to noncontrolling interests | 0 | (3) | 0 | (7) |
Earnings attributable to common shares | 178 | 263 | 633 | 582 |
Southern California Gas Company [Member] | ||||
REVENUES | ||||
Utilities operating revenue | 842 | 975 | 3,247 | 3,142 |
Operating expenses | ||||
Impairment losses | 0 | (37) | 0 | (37) |
Operating expenses | ||||
Cost of natural gas | 92 | 101 | 476 | 660 |
Operation and maintenance | 521 | 427 | 1,526 | 1,291 |
Depreciation and amortization | 165 | 154 | 486 | 449 |
Franchise fees and other taxes | 48 | 43 | 142 | 132 |
Impairment losses | 0 | 37 | 0 | 37 |
Total operating expenses | 826 | 762 | 2,630 | 2,569 |
Operating income | 16 | 213 | 617 | 573 |
Other income (expense), net | (7) | 1 | 21 | 18 |
Interest income | 0 | 0 | 2 | 1 |
Interest expense | (39) | (36) | (119) | (104) |
Income from continuing operations before income taxes and equity earnings | (30) | 178 | 521 | 488 |
Income tax expense | 6 | (35) | (95) | (50) |
Net income | (24) | 143 | 426 | 438 |
Preferred dividends | 0 | 0 | (1) | (1) |
Earnings attributable to common shares | $ (24) | $ 143 | $ 425 | $ 437 |
CONDENSED CONSOLIDATED STATEM_2
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Net income | $ 421 | $ 909 | $ 3,673 | $ 1,862 |
Other comprehensive income (loss): | ||||
Total other comprehensive (loss) income | 38 | (142) | 406 | (190) |
Pretax amount [Member] | ||||
Net income | 489 | 762 | 4,718 | 1,898 |
Other comprehensive income (loss): | ||||
Foreign currency translation adjustments | 9 | (91) | 533 | (45) |
Financial instruments | 36 | (55) | (167) | (213) |
Pension and other postretirement benefits | 6 | (3) | 27 | 22 |
Total other comprehensive (loss) income | 51 | (149) | 393 | (236) |
Comprehensive income | 540 | 613 | 5,111 | 1,662 |
Preferred dividends of subsidiary | (1) | (1) | ||
Comprehensive (loss) income, after preferred dividends of subsidiary | 5,110 | 1,661 | ||
Income tax (expense) benefit [Member] | ||||
Net income | (90) | 87 | (1,246) | (182) |
Other comprehensive income (loss): | ||||
Foreign currency translation adjustments | 0 | 0 | 0 | 0 |
Financial instruments | (16) | 18 | 41 | 70 |
Pension and other postretirement benefits | (1) | 1 | (3) | (6) |
Total other comprehensive (loss) income | (17) | 19 | 38 | 64 |
Comprehensive income | (107) | 106 | (1,208) | (118) |
Preferred dividends of subsidiary | 0 | 0 | ||
Comprehensive (loss) income, after preferred dividends of subsidiary | (1,208) | (118) | ||
Net-of-tax amount [Member] | ||||
Net income | 399 | 849 | 3,472 | 1,716 |
Other comprehensive income (loss): | ||||
Foreign currency translation adjustments | 9 | (91) | 533 | (45) |
Financial instruments | 20 | (37) | (126) | (143) |
Pension and other postretirement benefits | 5 | (2) | 24 | 16 |
Total other comprehensive (loss) income | 34 | (130) | 431 | (172) |
Comprehensive income | 433 | 719 | 3,903 | 1,544 |
Preferred dividends of subsidiary | (1) | (1) | ||
Comprehensive (loss) income, after preferred dividends of subsidiary | 3,902 | 1,543 | ||
Noncontrolling Interests (after-tax) [Member] | ||||
Net income | 22 | 60 | 201 | 146 |
Other comprehensive income (loss): | ||||
Foreign currency translation adjustments | (1) | (8) | (16) | (2) |
Financial instruments | 5 | (4) | (9) | (16) |
Pension and other postretirement benefits | 0 | 0 | 0 | 0 |
Total other comprehensive (loss) income | 4 | (12) | (25) | (18) |
Comprehensive income | 26 | 48 | 176 | 128 |
Preferred dividends of subsidiary | 0 | 0 | ||
Comprehensive (loss) income, after preferred dividends of subsidiary | 176 | 128 | ||
Total [Member] | ||||
Net income | 421 | 909 | 3,673 | 1,862 |
Other comprehensive income (loss): | ||||
Foreign currency translation adjustments | 8 | (99) | 517 | (47) |
Financial instruments | 25 | (41) | (135) | (159) |
Pension and other postretirement benefits | 5 | (2) | 24 | 16 |
Total other comprehensive (loss) income | 38 | (142) | 406 | (190) |
Comprehensive income | 459 | 767 | 4,079 | 1,672 |
Preferred dividends of subsidiary | (1) | (1) | ||
Comprehensive (loss) income, after preferred dividends of subsidiary | 4,078 | 1,671 | ||
San Diego Gas and Electric Company [Member] | ||||
Net income | 178 | 266 | 633 | 589 |
Other comprehensive income (loss): | ||||
Total other comprehensive (loss) income | 1 | 4 | 3 | |
San Diego Gas and Electric Company [Member] | Pretax amount [Member] | ||||
Net income | 211 | 334 | 794 | 693 |
Other comprehensive income (loss): | ||||
Financial instruments | 0 | 0 | ||
Pension and other postretirement benefits | 5 | 1 | ||
Total other comprehensive (loss) income | 0 | 5 | 1 | |
Comprehensive (loss) income, after preferred dividends of subsidiary | 211 | 334 | 799 | 694 |
San Diego Gas and Electric Company [Member] | Income tax (expense) benefit [Member] | ||||
Net income | (33) | (71) | (161) | (111) |
Other comprehensive income (loss): | ||||
Financial instruments | 0 | 0 | ||
Pension and other postretirement benefits | (1) | 0 | ||
Total other comprehensive (loss) income | 0 | (1) | 0 | |
Comprehensive (loss) income, after preferred dividends of subsidiary | (33) | (71) | (162) | (111) |
San Diego Gas and Electric Company [Member] | Net-of-tax amount [Member] | ||||
Net income | 178 | 263 | 633 | 582 |
Other comprehensive income (loss): | ||||
Financial instruments | 0 | 0 | ||
Pension and other postretirement benefits | 4 | 1 | ||
Total other comprehensive (loss) income | 0 | 4 | 1 | |
Comprehensive (loss) income, after preferred dividends of subsidiary | 178 | 263 | 637 | 583 |
San Diego Gas and Electric Company [Member] | Noncontrolling Interests (after-tax) [Member] | ||||
Net income | 0 | 3 | 0 | 7 |
Other comprehensive income (loss): | ||||
Financial instruments | 1 | 2 | ||
Pension and other postretirement benefits | 0 | 0 | ||
Total other comprehensive (loss) income | 1 | 0 | 2 | |
Comprehensive (loss) income, after preferred dividends of subsidiary | 0 | 4 | 0 | 9 |
San Diego Gas and Electric Company [Member] | Total [Member] | ||||
Net income | 178 | 266 | 633 | 589 |
Other comprehensive income (loss): | ||||
Financial instruments | 1 | 2 | ||
Pension and other postretirement benefits | 4 | 1 | ||
Total other comprehensive (loss) income | 1 | 4 | 3 | |
Comprehensive (loss) income, after preferred dividends of subsidiary | 178 | 267 | 637 | 592 |
Southern California Gas Company [Member] | ||||
Net income | (24) | 143 | 426 | 438 |
Other comprehensive income (loss): | ||||
Total other comprehensive (loss) income | 1 | 1 | 5 | |
Southern California Gas Company [Member] | Pretax amount [Member] | ||||
Net income | (30) | 178 | 521 | 488 |
Other comprehensive income (loss): | ||||
Financial instruments | 1 | 1 | ||
Pension and other postretirement benefits | 1 | 6 | ||
Total other comprehensive (loss) income | 1 | 1 | 7 | |
Comprehensive (loss) income, after preferred dividends of subsidiary | (30) | 179 | 522 | 495 |
Southern California Gas Company [Member] | Income tax (expense) benefit [Member] | ||||
Net income | 6 | (35) | (95) | (50) |
Other comprehensive income (loss): | ||||
Financial instruments | 0 | 0 | ||
Pension and other postretirement benefits | 0 | (2) | ||
Total other comprehensive (loss) income | 0 | 0 | (2) | |
Comprehensive (loss) income, after preferred dividends of subsidiary | 6 | (35) | (95) | (52) |
Southern California Gas Company [Member] | Net-of-tax amount [Member] | ||||
Net income | (24) | 143 | 426 | 438 |
Other comprehensive income (loss): | ||||
Financial instruments | 1 | 1 | ||
Pension and other postretirement benefits | 1 | 4 | ||
Total other comprehensive (loss) income | 1 | 1 | 5 | |
Comprehensive (loss) income, after preferred dividends of subsidiary | $ (24) | $ 144 | $ 427 | $ 443 |
CONDENSED CONSOLIDATED BALANCE
CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) $ in Millions | Sep. 30, 2020 | Dec. 31, 2019 | |
Current assets: | |||
Cash and cash equivalents | $ 3,515 | $ 108 | [1] |
Restricted cash | 28 | 31 | [1] |
Accounts receivable – trade, net | 1,067 | 1,261 | [1] |
Accounts receivable – other, net | 418 | 455 | [1] |
Due from unconsolidated affiliates | 46 | 32 | [1] |
Income taxes receivable | 152 | 112 | [1] |
Inventories | 309 | 277 | [1] |
Regulatory assets | 386 | 222 | [1] |
Greenhouse gas allowances | 66 | 72 | [1] |
Assets held for sale in discontinued operations | 0 | 445 | [1] |
Other current assets | 407 | 324 | [1] |
Total current assets | 6,394 | 3,339 | [1] |
Other assets: | |||
Restricted cash | 3 | 3 | [1] |
Due from unconsolidated affiliates | 617 | 742 | [1] |
Regulatory assets | 1,740 | 1,930 | [1] |
Nuclear decommissioning trusts | 1,057 | 1,082 | [1] |
Investment in Oncor Holdings | 11,962 | 11,519 | [1] |
Other investments | 1,455 | 2,103 | [1] |
Goodwill | 1,602 | 1,602 | [1] |
Other intangible assets | 205 | 213 | [1] |
Dedicated assets in support of certain benefit plans | 469 | 488 | [1] |
Insurance receivable for Aliso Canyon costs | 504 | 339 | [1] |
Deferred income taxes | 199 | 155 | [1] |
Greenhouse gas allowances | 598 | 470 | [1] |
Right-of-use assets – operating leases | 563 | 591 | [1] |
Wildfire fund | 371 | 392 | [1] |
Assets held for sale in discontinued operations | 0 | 3,513 | [1] |
Other long-term assets | 699 | 732 | [1] |
Total other assets | 22,044 | 25,874 | [1] |
Property, plant and equipment: | |||
Property, plant and equipment | 52,429 | 49,329 | [1] |
Less accumulated depreciation and amortization | (13,645) | (12,877) | [1] |
Property, plant and equipment, net | 38,784 | 36,452 | [1] |
Total assets | 67,222 | 65,665 | [1] |
Current liabilities: | |||
Short-term debt | 772 | 3,505 | [1] |
Accounts payable – trade | 1,129 | 1,234 | [1] |
Accounts payable – other | 163 | 179 | [1] |
Due to unconsolidated affiliates | 6 | 5 | [1] |
Dividends and interest payable | 563 | 515 | [1] |
Accrued compensation and benefits | 412 | 476 | [1] |
Regulatory liabilities | 373 | 319 | [1] |
Current portion of long-term debt and finance leases | 2,890 | 1,526 | [1] |
Reserve for Aliso Canyon costs | 268 | 9 | [1] |
Greenhouse gas obligations | 66 | 72 | [1] |
Liabilities held for sale in discontinued operations | 0 | 444 | [1] |
Other current liabilities | 993 | 866 | [1] |
Total current liabilities | 7,635 | 9,150 | [1] |
Long-term debt and finance leases | 21,770 | 20,785 | [1] |
Deferred credits and other liabilities: | |||
Due to unconsolidated affiliates | 271 | 195 | [1] |
Pension and other postretirement benefit plan obligations, net of plan assets | 999 | 1,067 | [1] |
Deferred income taxes | 2,696 | 2,577 | [1] |
Deferred investment tax credits | 22 | 21 | [1] |
Regulatory liabilities | 3,410 | 3,741 | [1] |
Asset retirement obligations | 2,961 | 2,923 | [1] |
Greenhouse gas obligations | 456 | 301 | [1] |
Liabilities held for sale in discontinued operations | 0 | 1,052 | [1] |
Deferred credits and other | 2,146 | 2,048 | [1] |
Total deferred credits and other liabilities | 12,961 | 13,925 | [1] |
Commitments and contingencies (Note 11) | [1] | ||
Equity: | |||
Common stock | 7,034 | 7,480 | [1] |
Retained earnings | 13,560 | 11,130 | [1] |
Accumulated other comprehensive income (loss) | (513) | (939) | [1] |
Total shareholders’ equity | 23,228 | 19,929 | [1] |
Preferred stock of subsidiary | 20 | 20 | [1] |
Other noncontrolling interests | 1,608 | 1,856 | [1] |
Total equity | 24,856 | 21,805 | [1] |
Total liabilities and equity | 67,222 | 65,665 | [1] |
San Diego Gas and Electric Company [Member] | |||
Current assets: | |||
Cash and cash equivalents | 733 | 10 | [1] |
Accounts receivable – trade, net | 462 | 398 | [1] |
Accounts receivable – other, net | 150 | 119 | [1] |
Due from unconsolidated affiliates | 3 | 0 | |
Income taxes receivable | 23 | 128 | [1] |
Inventories | 105 | 94 | [1] |
Prepaid expenses | 202 | 120 | [1] |
Regulatory assets | 367 | 209 | [1] |
Fixed-price contracts and other derivatives | 35 | 43 | [1] |
Greenhouse gas allowances | 13 | 13 | [1] |
Other current assets | 21 | 24 | [1] |
Total current assets | 2,114 | 1,158 | [1] |
Other assets: | |||
Regulatory assets | 470 | 440 | [1] |
Nuclear decommissioning trusts | 1,057 | 1,082 | [1] |
Greenhouse gas allowances | 191 | 189 | [1] |
Right-of-use assets – operating leases | 109 | 130 | [1] |
Wildfire fund | 371 | 392 | [1] |
Other long-term assets | 186 | 202 | [1] |
Total other assets | 2,384 | 2,435 | [1] |
Property, plant and equipment: | |||
Property, plant and equipment | 23,813 | 22,504 | [1] |
Less accumulated depreciation and amortization | (5,890) | (5,537) | [1] |
Property, plant and equipment, net | 17,923 | 16,967 | [1] |
Total assets | 22,421 | 20,560 | [1] |
Current liabilities: | |||
Short-term debt | 0 | 80 | [1] |
Accounts payable | 569 | 496 | [1] |
Due to unconsolidated affiliates | 61 | 53 | [1] |
Interest payable | 70 | 43 | [1] |
Accrued compensation and benefits | 123 | 138 | [1] |
Accrued franchise fees | 46 | 53 | [1] |
Regulatory liabilities | 69 | 76 | [1] |
Current portion of long-term debt and finance leases | 861 | 56 | [1] |
Customer deposits | 65 | 74 | [1] |
Greenhouse gas obligations | 13 | 13 | [1] |
Asset retirement obligations | 117 | 95 | [1] |
Other current liabilities | 232 | 133 | [1] |
Total current liabilities | 2,226 | 1,310 | [1] |
Long-term debt and finance leases | 6,863 | 6,306 | [1] |
Deferred credits and other liabilities: | |||
Pension and other postretirement benefit plan obligations, net of plan assets | 119 | 153 | [1] |
Deferred income taxes | 1,976 | 1,848 | [1] |
Deferred investment tax credits | 14 | 14 | [1] |
Regulatory liabilities | 2,210 | 2,319 | [1] |
Asset retirement obligations | 739 | 771 | [1] |
Greenhouse gas obligations | 96 | 62 | [1] |
Deferred credits and other | 641 | 677 | [1] |
Total deferred credits and other liabilities | 5,795 | 5,844 | [1] |
Commitments and contingencies (Note 11) | [1] | ||
Equity: | |||
Preferred stock | 0 | 0 | [1] |
Common stock | 1,660 | 1,660 | [1] |
Retained earnings | 5,889 | 5,456 | [1] |
Accumulated other comprehensive income (loss) | (12) | (16) | [1] |
Total shareholders’ equity | 7,537 | 7,100 | [1] |
Total equity | 7,537 | 7,100 | |
Total liabilities and equity | 22,421 | 20,560 | [1] |
Southern California Gas Company [Member] | |||
Current assets: | |||
Cash and cash equivalents | 304 | 10 | [1] |
Accounts receivable – trade, net | 422 | 710 | [1] |
Accounts receivable – other, net | 82 | 87 | [1] |
Due from unconsolidated affiliates | 1 | 11 | [1] |
Income taxes receivable | 31 | 161 | [1] |
Inventories | 160 | 136 | [1] |
Regulatory assets | 18 | 7 | [1] |
Greenhouse gas allowances | 53 | 52 | [1] |
Other current assets | 51 | 44 | [1] |
Total current assets | 1,122 | 1,218 | [1] |
Other assets: | |||
Regulatory assets | 1,187 | 1,407 | [1] |
Insurance receivable for Aliso Canyon costs | 504 | 339 | [1] |
Greenhouse gas allowances | 361 | 248 | [1] |
Right-of-use assets – operating leases | 82 | 94 | [1] |
Other long-term assets | 460 | 447 | [1] |
Total other assets | 2,594 | 2,535 | [1] |
Property, plant and equipment: | |||
Property, plant and equipment | 20,558 | 19,362 | [1] |
Less accumulated depreciation and amortization | (6,331) | (6,038) | [1] |
Property, plant and equipment, net | 14,227 | 13,324 | [1] |
Total assets | 17,943 | 17,077 | [1] |
Current liabilities: | |||
Short-term debt | 0 | 630 | [1] |
Accounts payable – trade | 359 | 545 | [1] |
Accounts payable – other | 117 | 110 | [1] |
Due to unconsolidated affiliates | 101 | 47 | [1] |
Accrued compensation and benefits | 174 | 182 | [1] |
Regulatory liabilities | 304 | 243 | [1] |
Current portion of long-term debt and finance leases | 11 | 6 | [1] |
Customer deposits | 58 | 71 | [1] |
Reserve for Aliso Canyon costs | 268 | 9 | [1] |
Greenhouse gas obligations | 53 | 52 | [1] |
Asset retirement obligations | 63 | 65 | [1] |
Other current liabilities | 254 | 222 | [1] |
Total current liabilities | 1,762 | 2,182 | [1] |
Long-term debt and finance leases | 4,764 | 3,788 | [1] |
Deferred credits and other liabilities: | |||
Pension and other postretirement benefit plan obligations, net of plan assets | 757 | 785 | [1] |
Deferred income taxes | 1,443 | 1,403 | [1] |
Deferred investment tax credits | 8 | 7 | [1] |
Regulatory liabilities | 1,200 | 1,422 | [1] |
Asset retirement obligations | 2,181 | 2,112 | [1] |
Greenhouse gas obligations | 316 | 208 | [1] |
Deferred credits and other | 438 | 422 | [1] |
Total deferred credits and other liabilities | 6,343 | 6,359 | [1] |
Commitments and contingencies (Note 11) | [1] | ||
Equity: | |||
Preferred stock | 22 | 22 | [1] |
Common stock | 866 | 866 | [1] |
Retained earnings | 4,208 | 3,883 | [1] |
Accumulated other comprehensive income (loss) | (22) | (23) | [1] |
Total shareholders’ equity | 5,074 | 4,748 | [1] |
Total equity | 5,074 | 4,748 | |
Total liabilities and equity | 17,943 | 17,077 | [1] |
Convertible Preferred Stock Series A [Member] | |||
Equity: | |||
Preferred stock | 1,693 | 1,693 | [1] |
Convertible Preferred Stock Series B [Member] | |||
Equity: | |||
Preferred stock | 565 | 565 | [1] |
Series C Preferred Stock [Member] | |||
Equity: | |||
Preferred stock | $ 889 | $ 0 | [1] |
[1] | Derived from audited financial statements. |
CONDENSED CONSOLIDATED BALANC_2
CONDENSED CONSOLIDATED BALANCE SHEETS (Parentheticals) - shares | Sep. 30, 2020 | Dec. 31, 2019 |
Stockholders' Equity Attributable to Parent [Abstract] | ||
Preferred stock, shares authorized (in shares) | 50,000,000 | 50,000,000 |
Common stock, shares authorized (in shares) | 750,000,000 | 750,000,000 |
Common stock, shares outstanding (in shares) | 288,000,000 | 292,000,000 |
San Diego Gas and Electric Company [Member] | ||
Stockholders' Equity Attributable to Parent [Abstract] | ||
Preferred stock, shares authorized (in shares) | 45,000,000 | 45,000,000 |
Preferred stock, shares issued (in shares) | 0 | 0 |
Common stock, shares authorized (in shares) | 255,000,000 | 255,000,000 |
Common stock, shares outstanding (in shares) | 117,000,000 | 117,000,000 |
Southern California Gas Company [Member] | ||
Stockholders' Equity Attributable to Parent [Abstract] | ||
Preferred stock, shares authorized (in shares) | 11,000,000 | 11,000,000 |
Preferred stock, shares outstanding (in shares) | 1,000,000 | 1,000,000 |
Common stock, shares authorized (in shares) | 100,000,000 | 100,000,000 |
Common stock, shares outstanding (in shares) | 91,000,000 | 91,000,000 |
Convertible Preferred Stock Series A [Member] | ||
Stockholders' Equity Attributable to Parent [Abstract] | ||
Preferred stock, shares outstanding (in shares) | 17,250,000 | 17,250,000 |
Convertible Preferred Stock Series B [Member] | ||
Stockholders' Equity Attributable to Parent [Abstract] | ||
Preferred stock, shares outstanding (in shares) | 5,750,000 | 5,750,000 |
Series C Preferred Stock [Member] | ||
Stockholders' Equity Attributable to Parent [Abstract] | ||
Preferred stock, shares outstanding (in shares) | 900,000 |
CONDENSED CONSOLIDATED STATEM_3
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Millions | 9 Months Ended | |
Sep. 30, 2020 | Sep. 30, 2019 | |
CASH FLOWS FROM OPERATING ACTIVITIES | ||
Net income | $ 3,673 | $ 1,862 |
Less: Income from discontinued operations, net of income tax | (1,850) | (292) |
Income from continuing operations, net of income tax | 1,823 | 1,570 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Depreciation and amortization | 1,242 | 1,174 |
Deferred income taxes and investment tax credits | (12) | 12 |
Impairment losses | 1 | 43 |
Gain on sale of assets | 0 | (63) |
Equity earnings | (822) | (485) |
Foreign currency transaction losses, net | 95 | 2 |
Share-based compensation expense | 57 | 56 |
Other | 131 | 2 |
Intercompany activities with discontinued operations, net | 0 | 184 |
Net change in other working capital components | (137) | (200) |
Distributions from investments | 429 | 163 |
Insurance receivable for Aliso Canyon costs | (165) | 107 |
Wildfire fund, current and noncurrent | 0 | (323) |
Changes in other noncurrent assets and liabilities, net | 38 | (413) |
Net cash provided by continuing operations | 2,680 | 1,829 |
Net cash (used in) provided by discontinued operations | (1,051) | 289 |
Net cash provided by operating activities | 1,629 | 2,118 |
CASH FLOWS FROM INVESTING ACTIVITIES | ||
Expenditures for property, plant and equipment | (3,313) | (2,590) |
Expenditures for investments and acquisitions | (229) | (1,449) |
Proceeds from sale of assets | 22 | 899 |
Distributions from investments | 761 | 9 |
Purchases of nuclear decommissioning trust assets | (1,091) | (728) |
Proceeds from sales of nuclear decommissioning trust assets | 1,091 | 728 |
Advances to unconsolidated affiliates | (32) | (16) |
Repayments of advances to unconsolidated affiliates | 7 | 12 |
Intercompany activities with discontinued operations, net | 0 | (257) |
Other | 13 | 16 |
Net cash used in continuing operations | (2,771) | (3,376) |
Net cash provided by (used in) discontinued operations | 5,186 | (63) |
Net cash provided by (used in) investing activities | 2,415 | (3,439) |
CASH FLOWS FROM FINANCING ACTIVITIES | ||
Common dividends paid | (872) | (734) |
Preferred dividends paid | (107) | (107) |
Issuances of preferred stock | 890 | 0 |
Issuances of common stock | 10 | 757 |
Repurchases of common stock | (565) | (23) |
Issuances of debt (maturities greater than 90 days) | 5,934 | 3,269 |
Payments on debt (maturities greater than 90 days) and finance leases | (4,387) | (2,500) |
(Decrease) increase in short-term debt, net | (1,871) | 888 |
Advances from unconsolidated affiliates | 64 | 0 |
Purchases of noncontrolling interests | (178) | (30) |
Contributions from noncontrolling interests, net of distributions | 0 | 171 |
Intercompany activities with discontinued operations, net | 0 | (128) |
Other | (29) | (37) |
Net cash (used in) provided by continuing operations | (1,111) | 1,526 |
Net cash provided by discontinued operations | 401 | 49 |
Net cash (used in) provided by financing activities | (710) | 1,575 |
Effect of exchange rate changes in continuing operations | (2) | 0 |
Effect of exchange rate changes in discontinued operations | (3) | (3) |
Effect of exchange rate changes on cash, cash equivalents and restricted cash | (5) | (3) |
Increase in cash, cash equivalents and restricted cash, including discontinued operations | 3,329 | 251 |
Cash, cash equivalents and restricted cash, including discontinued operations, January 1 | 217 | 246 |
Cash, cash equivalents and restricted cash, including discontinued operations, September 30 | 3,546 | 497 |
SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION | ||
Interest payments, net of amounts capitalized | 781 | 766 |
Income tax payments, including discontinued operations, net of refunds | 1,376 | 372 |
SUPPLEMENTAL DISCLOSURE OF NONCASH INVESTING AND FINANCING ACTIVITIES | ||
Accrued interest receivable from unconsolidated affiliate | 0 | 55 |
Accrued capital expenditures | 460 | 390 |
Increase in finance lease obligations for investment in property, plant and equipment | 72 | 27 |
Equitization of long-term debt for deficit held by NCI | 22 | 0 |
Contribution to Cameron LNG JV | 50 | 0 |
Distribution from Cameron LNG JV | 50 | 0 |
Common dividends receivable from discontinued operation | 0 | 422 |
Common dividends issued in stock | 23 | 41 |
Preferred stock [Member] | ||
SUPPLEMENTAL DISCLOSURE OF NONCASH INVESTING AND FINANCING ACTIVITIES | ||
Dividends declared but not paid | 50 | 36 |
Common Stock [Member] | ||
SUPPLEMENTAL DISCLOSURE OF NONCASH INVESTING AND FINANCING ACTIVITIES | ||
Dividends declared but not paid | 301 | 272 |
San Diego Gas and Electric Company [Member] | ||
CASH FLOWS FROM OPERATING ACTIVITIES | ||
Net income | 633 | 589 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Depreciation and amortization | 598 | 571 |
Deferred income taxes and investment tax credits | 36 | (20) |
Other | 13 | 7 |
Net change in other working capital components | (184) | (60) |
Wildfire fund, current and noncurrent | 0 | (323) |
Changes in other noncurrent assets and liabilities, net | (113) | (10) |
Net cash provided by operating activities | 983 | 754 |
CASH FLOWS FROM INVESTING ACTIVITIES | ||
Expenditures for property, plant and equipment | (1,323) | (1,071) |
Decrease in cash from deconsolidation of Otay Mesa VIE | 0 | (8) |
Purchases of nuclear decommissioning trust assets | (1,091) | (728) |
Proceeds from sales of nuclear decommissioning trust assets | 1,091 | 728 |
Increase in loans to affiliate, net | 0 | (25) |
Other | 8 | 7 |
Net cash provided by (used in) investing activities | (1,315) | (1,097) |
CASH FLOWS FROM FINANCING ACTIVITIES | ||
Common dividends paid | (200) | 0 |
Equity contribution from Sempra Energy | 0 | 322 |
Issuances of debt (maturities greater than 90 days) | 1,598 | 400 |
Payments on debt (maturities greater than 90 days) and finance leases | (252) | (269) |
(Decrease) increase in short-term debt, net | (80) | (291) |
Contributions from noncontrolling interests, net of distributions | 0 | 172 |
Debt issuance costs | (11) | (4) |
Net cash (used in) provided by financing activities | 1,055 | 330 |
Increase in cash, cash equivalents and restricted cash, including discontinued operations | 723 | (13) |
Cash, cash equivalents and restricted cash, including discontinued operations, January 1 | 10 | 37 |
Cash, cash equivalents and restricted cash, including discontinued operations, September 30 | 733 | 24 |
SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION | ||
Interest payments, net of amounts capitalized | 276 | 285 |
Income tax payments, including discontinued operations, net of refunds | 20 | 131 |
SUPPLEMENTAL DISCLOSURE OF NONCASH INVESTING AND FINANCING ACTIVITIES | ||
Accrued capital expenditures | 184 | 117 |
Increase in finance lease obligations for investment in property, plant and equipment | 26 | 12 |
Southern California Gas Company [Member] | ||
CASH FLOWS FROM OPERATING ACTIVITIES | ||
Net income | 426 | 438 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Depreciation and amortization | 486 | 449 |
Deferred income taxes and investment tax credits | (38) | (79) |
Impairment losses | 0 | 37 |
Other | 42 | (5) |
Net change in other working capital components | 513 | 194 |
Insurance receivable for Aliso Canyon costs | (165) | 107 |
Changes in other noncurrent assets and liabilities, net | 124 | (328) |
Net cash provided by operating activities | 1,388 | 813 |
CASH FLOWS FROM INVESTING ACTIVITIES | ||
Expenditures for property, plant and equipment | (1,345) | (1,019) |
Other | 0 | 1 |
Net cash provided by (used in) investing activities | (1,345) | (1,018) |
CASH FLOWS FROM FINANCING ACTIVITIES | ||
Common dividends paid | (50) | 0 |
Preferred dividends paid | (1) | (1) |
Issuances of debt (maturities greater than 90 days) | 949 | 349 |
(Decrease) increase in short-term debt, net | (630) | (148) |
Payments on finance leases | (9) | (4) |
Debt issuance costs | (8) | (4) |
Net cash (used in) provided by financing activities | 251 | 192 |
Increase in cash, cash equivalents and restricted cash, including discontinued operations | 294 | (13) |
Cash, cash equivalents and restricted cash, including discontinued operations, January 1 | 10 | 18 |
Cash, cash equivalents and restricted cash, including discontinued operations, September 30 | 304 | 5 |
SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION | ||
Interest payments, net of amounts capitalized | 114 | 92 |
Income tax payments, including discontinued operations, net of refunds | 1 | 115 |
SUPPLEMENTAL DISCLOSURE OF NONCASH INVESTING AND FINANCING ACTIVITIES | ||
Accrued capital expenditures | 146 | 167 |
Increase in finance lease obligations for investment in property, plant and equipment | 46 | 15 |
Dividends declared but not paid | $ 50 | $ 150 |
CONSOLIDATED STATEMENTS OF CHAN
CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY - USD ($) $ in Millions | Total | Series A Preferred Stock [Member] | Series B Preferred Stock [Member] | Series C Preferred Stock [Member] | Preferred stock [Member] | Common Stock [Member] | Retained earnings [Member] | Retained earnings [Member]Series A Preferred Stock [Member] | Retained earnings [Member]Series B Preferred Stock [Member] | Retained earnings [Member]Series C Preferred Stock [Member] | Accumulated other comprehensive income (loss) [Member] | Shareholders' equity [Member] | Shareholders' equity [Member]Series A Preferred Stock [Member] | Shareholders' equity [Member]Series B Preferred Stock [Member] | Shareholders' equity [Member]Series C Preferred Stock [Member] | Noncontrolling Interest [Member] | San Diego Gas and Electric Company [Member] | San Diego Gas and Electric Company [Member]Common Stock [Member] | San Diego Gas and Electric Company [Member]Retained earnings [Member] | San Diego Gas and Electric Company [Member]Accumulated other comprehensive income (loss) [Member] | San Diego Gas and Electric Company [Member]Shareholders' equity [Member] | San Diego Gas and Electric Company [Member]Noncontrolling Interest [Member] | Southern California Gas Company [Member] | Southern California Gas Company [Member]Preferred stock [Member] | Southern California Gas Company [Member]Common Stock [Member] | Southern California Gas Company [Member]Retained earnings [Member] | Southern California Gas Company [Member]Accumulated other comprehensive income (loss) [Member] | Cumulative Effect, Period of Adoption, Adjustment [Member] | Cumulative Effect, Period of Adoption, Adjustment [Member]Retained earnings [Member] | Cumulative Effect, Period of Adoption, Adjustment [Member]Accumulated other comprehensive income (loss) [Member] | Cumulative Effect, Period of Adoption, Adjustment [Member]Shareholders' equity [Member] | Cumulative Effect, Period of Adoption, Adjustment [Member]Noncontrolling Interest [Member] | Cumulative Effect, Period of Adoption, Adjustment [Member]San Diego Gas and Electric Company [Member] | Cumulative Effect, Period of Adoption, Adjustment [Member]San Diego Gas and Electric Company [Member]Retained earnings [Member] | Cumulative Effect, Period of Adoption, Adjustment [Member]San Diego Gas and Electric Company [Member]Accumulated other comprehensive income (loss) [Member] | Cumulative Effect, Period of Adoption, Adjustment [Member]Southern California Gas Company [Member] | Cumulative Effect, Period of Adoption, Adjustment [Member]Southern California Gas Company [Member]Retained earnings [Member] | Cumulative Effect, Period of Adoption, Adjustment [Member]Southern California Gas Company [Member]Accumulated other comprehensive income (loss) [Member] | Cumulative Effect, Period of Adoption, Adjusted Balance [Member] | Cumulative Effect, Period of Adoption, Adjusted Balance [Member]Preferred stock [Member] | Cumulative Effect, Period of Adoption, Adjusted Balance [Member]Common Stock [Member] | Cumulative Effect, Period of Adoption, Adjusted Balance [Member]Retained earnings [Member] | Cumulative Effect, Period of Adoption, Adjusted Balance [Member]Accumulated other comprehensive income (loss) [Member] | Cumulative Effect, Period of Adoption, Adjusted Balance [Member]Shareholders' equity [Member] | Cumulative Effect, Period of Adoption, Adjusted Balance [Member]Noncontrolling Interest [Member] | Cumulative Effect, Period of Adoption, Adjusted Balance [Member]San Diego Gas and Electric Company [Member] | Cumulative Effect, Period of Adoption, Adjusted Balance [Member]San Diego Gas and Electric Company [Member]Common Stock [Member] | Cumulative Effect, Period of Adoption, Adjusted Balance [Member]San Diego Gas and Electric Company [Member]Retained earnings [Member] | Cumulative Effect, Period of Adoption, Adjusted Balance [Member]San Diego Gas and Electric Company [Member]Accumulated other comprehensive income (loss) [Member] | Cumulative Effect, Period of Adoption, Adjusted Balance [Member]San Diego Gas and Electric Company [Member]Shareholders' equity [Member] | Cumulative Effect, Period of Adoption, Adjusted Balance [Member]San Diego Gas and Electric Company [Member]Noncontrolling Interest [Member] | Cumulative Effect, Period of Adoption, Adjusted Balance [Member]Southern California Gas Company [Member] | Cumulative Effect, Period of Adoption, Adjusted Balance [Member]Southern California Gas Company [Member]Preferred stock [Member] | Cumulative Effect, Period of Adoption, Adjusted Balance [Member]Southern California Gas Company [Member]Common Stock [Member] | Cumulative Effect, Period of Adoption, Adjusted Balance [Member]Southern California Gas Company [Member]Retained earnings [Member] | Cumulative Effect, Period of Adoption, Adjusted Balance [Member]Southern California Gas Company [Member]Accumulated other comprehensive income (loss) [Member] | |
Beginning Balance at Dec. 31, 2018 | $ 19,248 | $ 2,258 | $ 5,540 | $ 10,104 | $ (764) | $ 17,138 | $ 2,110 | $ 6,115 | $ 1,338 | $ 4,687 | $ (10) | $ 6,015 | $ 100 | $ 4,258 | $ 22 | $ 866 | $ 3,390 | $ (20) | $ 0 | $ 2 | $ (2) | $ (2) | $ 2 | $ (4) | $ 19,263 | $ 2,258 | $ 5,540 | $ 10,161 | $ (806) | $ 17,153 | $ 2,110 | $ 6,115 | $ 1,338 | $ 4,689 | $ (12) | $ 6,015 | $ 100 | $ 4,256 | $ 22 | $ 866 | $ 3,392 | $ (24) | |||||||||||||||
Beginning Balance (Accounting Standards Update 2016-02 [Member]) at Dec. 31, 2018 | $ 17 | $ 17 | $ 17 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Beginning Balance (Accounting Standards Update 2018-02 [Member]) at Dec. 31, 2018 | (2) | 40 | $ (42) | (2) | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Net income (loss) | 1,862 | 1,716 | 1,716 | 146 | 589 | 582 | 582 | 7 | 438 | 438 | |||||||||||||||||||||||||||||||||||||||||||||||
Other comprehensive (loss) income | (190) | (172) | (172) | (18) | 3 | 1 | 1 | 2 | 5 | 5 | |||||||||||||||||||||||||||||||||||||||||||||||
Equity contribution from Sempra Energy | 322 | 322 | 322 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Share-based compensation expense | 56 | 56 | 56 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Dividends declared: | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Preferred dividends | $ (78) | $ (29) | $ (78) | $ (29) | $ (78) | $ (29) | (1) | (1) | |||||||||||||||||||||||||||||||||||||||||||||||||
Common stock dividends declared | (803) | (803) | (803) | (150) | (150) | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Preferred dividends of subsidiary | (1) | (1) | (1) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Issuances of stock | 798 | 798 | 798 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Repurchases of common stock | (23) | (23) | (23) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Noncontrolling interest activities: | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Contributions | 175 | 175 | 175 | 175 | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Distributions | (17) | 2 | 2 | (19) | (3) | (3) | |||||||||||||||||||||||||||||||||||||||||||||||||||
Purchases | (30) | (3) | (3) | (27) | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Sale | 5 | 4 | 4 | 1 | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Acquisition | 3 | 3 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Deconsolidation | (440) | (440) | (281) | (281) | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Ending balance at Sep. 30, 2019 | $ 20,551 | 2,258 | 6,374 | 10,966 | (978) | 18,620 | 1,931 | 6,920 | 1,660 | 5,271 | (11) | 6,920 | 0 | $ 4,548 | 22 | 866 | 3,679 | (19) | |||||||||||||||||||||||||||||||||||||||
Noncontrolling interest activities: | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Dividends declared per share of common stock (in dollars per share) | $ 2.90 | $ 1.64 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Beginning Balance at Jun. 30, 2019 | $ 19,434 | 2,258 | 5,605 | 10,425 | (848) | 17,440 | 1,994 | 6,438 | 1,338 | 5,008 | (11) | 6,335 | 103 | $ 4,554 | 22 | 866 | 3,686 | (20) | |||||||||||||||||||||||||||||||||||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Net income (loss) | 909 | 849 | 849 | 60 | 266 | 263 | 263 | 3 | 143 | 143 | |||||||||||||||||||||||||||||||||||||||||||||||
Other comprehensive (loss) income | (142) | (130) | (130) | (12) | 1 | 1 | 1 | 1 | |||||||||||||||||||||||||||||||||||||||||||||||||
Equity contribution from Sempra Energy | 322 | 322 | 322 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Share-based compensation expense | 17 | 17 | 17 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Dividends declared: | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Preferred dividends | (26) | (10) | (26) | (10) | (26) | (10) | 0 | 0 | |||||||||||||||||||||||||||||||||||||||||||||||||
Common stock dividends declared | (272) | (272) | (272) | (150) | (150) | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Issuances of stock | 751 | 751 | 751 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Repurchases of common stock | (5) | (5) | (5) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Noncontrolling interest activities: | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Contributions | 175 | 175 | 175 | 175 | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Distributions | (5) | 2 | 2 | (7) | (1) | (1) | |||||||||||||||||||||||||||||||||||||||||||||||||||
Purchases | (2) | (2) | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Sale | 5 | 4 | 4 | 1 | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Acquisition | 3 | 3 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Deconsolidation | (281) | (281) | (281) | (281) | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Ending balance at Sep. 30, 2019 | $ 20,551 | 2,258 | 6,374 | 10,966 | (978) | 18,620 | 1,931 | 6,920 | 1,660 | 5,271 | (11) | 6,920 | 0 | $ 4,548 | 22 | 866 | 3,679 | (19) | |||||||||||||||||||||||||||||||||||||||
Noncontrolling interest activities: | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Dividends declared per share of common stock (in dollars per share) | $ 0.96 | $ 1.64 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Beginning Balance at Dec. 31, 2019 | $ 21,805 | [1] | 2,258 | 7,480 | 11,130 | (939) | 19,929 | 1,876 | 7,100 | 1,660 | 5,456 | (16) | 7,100 | 0 | $ 4,748 | 22 | 866 | 3,883 | (23) | $ (9) | $ (7) | $ (7) | $ (2) | $ 21,796 | $ 2,258 | $ 7,480 | $ 11,123 | $ (939) | $ 19,922 | $ 1,874 | |||||||||||||||||||||||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Net income (loss) | 3,673 | 3,472 | 3,472 | 201 | 633 | 633 | 633 | 0 | 426 | 426 | |||||||||||||||||||||||||||||||||||||||||||||||
Other comprehensive (loss) income | 406 | 431 | 431 | (25) | 4 | 4 | 4 | 0 | 1 | 1 | |||||||||||||||||||||||||||||||||||||||||||||||
Share-based compensation expense | 57 | 57 | 57 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Dividends declared: | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Preferred dividends | (78) | (29) | $ (14) | (78) | (29) | $ (14) | (78) | (29) | $ (14) | (1) | (1) | ||||||||||||||||||||||||||||||||||||||||||||||
Common stock dividends declared | (913) | (913) | (913) | (200) | (200) | (200) | (100) | (100) | |||||||||||||||||||||||||||||||||||||||||||||||||
Preferred dividends of subsidiary | (1) | (1) | (1) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Issuance of series C preferred stock | 889 | 889 | 889 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Issuances of stock | 33 | 33 | 33 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Repurchases of common stock | (565) | (565) | (565) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Noncontrolling interest activities: | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Distributions | (1) | (1) | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Purchases | (184) | 29 | (5) | 24 | (208) | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Acquisition | 1 | 1 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Equitization of long-term debt for deficit held by NCI | 22 | 22 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Deconsolidation | (236) | (236) | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Ending balance at Sep. 30, 2020 | $ 24,856 | 3,147 | 7,034 | 13,560 | (513) | 23,228 | 1,628 | $ 7,537 | 1,660 | 5,889 | (12) | 7,537 | 0 | $ 5,074 | 22 | 866 | 4,208 | (22) | |||||||||||||||||||||||||||||||||||||||
Noncontrolling interest activities: | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Dividends declared per share of common stock (in dollars per share) | $ 3.14 | $ 1.72 | $ 1.10 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Beginning Balance at Jun. 30, 2020 | $ 25,386 | 3,147 | 7,490 | 13,511 | (542) | 23,606 | 1,780 | $ 7,359 | 1,660 | 5,711 | (12) | 7,359 | 0 | $ 5,148 | 22 | 866 | 4,282 | (22) | |||||||||||||||||||||||||||||||||||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Net income (loss) | 421 | 399 | 399 | 22 | 178 | 178 | 178 | 0 | (24) | (24) | |||||||||||||||||||||||||||||||||||||||||||||||
Other comprehensive (loss) income | 38 | 34 | 34 | 4 | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Share-based compensation expense | 19 | 19 | 19 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Dividends declared: | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Preferred dividends | $ (26) | $ (10) | $ (12) | $ (26) | $ (10) | $ (12) | $ (26) | $ (10) | $ (12) | 0 | 0 | ||||||||||||||||||||||||||||||||||||||||||||||
Common stock dividends declared | (302) | (302) | (302) | (50) | (50) | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Repurchases of common stock | (501) | (501) | (501) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Noncontrolling interest activities: | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Purchases | (157) | 26 | (5) | 21 | (178) | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Ending balance at Sep. 30, 2020 | $ 24,856 | $ 3,147 | $ 7,034 | $ 13,560 | $ (513) | $ 23,228 | $ 1,628 | $ 7,537 | $ 1,660 | $ 5,889 | $ (12) | $ 7,537 | $ 0 | $ 5,074 | $ 22 | $ 866 | $ 4,208 | $ (22) | |||||||||||||||||||||||||||||||||||||||
Noncontrolling interest activities: | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Dividends declared per share of common stock (in dollars per share) | $ 1.05 | $ 0.55 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
[1] | Derived from audited financial statements. |
CONSOLIDATED STATEMENTS OF CH_2
CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY (Parenthetical) - $ / shares | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | Dec. 31, 2018 | |
Dividends declared per share of common stock (in dollars per share) | $ 1.05 | $ 0.96 | $ 3.14 | $ 2.90 | |
Accounting Standards Update [Extensible List] | us-gaap:AccountingStandardsUpdate201613Member | ||||
San Diego Gas and Electric Company [Member] | |||||
Dividends declared per share of common stock (in dollars per share) | $ 1.72 | ||||
Accounting Standards Update [Extensible List] | us-gaap:AccountingStandardsUpdate201802Member | ||||
Southern California Gas Company [Member] | |||||
Dividends declared per share of preferred stock (in dollars per share) | 0.38 | 0.38 | 1.13 | 1.13 | |
Dividends declared per share of common stock (in dollars per share) | 0.55 | 1.64 | 1.10 | 1.64 | |
Accounting Standards Update [Extensible List] | us-gaap:AccountingStandardsUpdate201802Member | ||||
Series A Preferred Stock [Member] | |||||
Dividends declared per share of preferred stock (in dollars per share) | 1.50 | 1.50 | 4.50 | 4.50 | |
Series B Preferred Stock [Member] | |||||
Dividends declared per share of preferred stock (in dollars per share) | 1.68 | $ 1.68 | 5.06 | $ 5.06 | |
Series C Preferred Stock [Member] | |||||
Dividends declared per share of preferred stock (in dollars per share) | $ 14.08 | $ 15.71 |
GENERAL INFORMATION AND OTHER F
GENERAL INFORMATION AND OTHER FINANCIAL DATA | 9 Months Ended |
Sep. 30, 2020 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
GENERAL INFORMATION AND OTHER FINANCIAL DATA | GENERAL INFORMATION AND OTHER FINANCIAL DATA PRINCIPLES OF CONSOLIDATION Sempra Energy Sempra Energy’s Condensed Consolidated Financial Statements include the accounts of Sempra Energy, a California-based energy-services holding company, and its consolidated subsidiaries and VIEs. Sempra Global is the holding company for most of our subsidiaries that are not subject to California or Texas utility regulation. Sempra Energy’s businesses were managed within six separate reportable segments until April 2019 and five separate reportable segments thereafter, which we discuss in Note 12. All references in these Notes to our reportable segments are not intended to refer to any legal entity with the same or similar name. SDG&E SDG&E’s Condensed Consolidated Financial Statements include its accounts and the accounts of a VIE of which SDG&E was the primary beneficiary until August 23, 2019, at which time SDG&E deconsolidated the VIE. SDG&E’s common stock is wholly owned by Enova Corporation, which is a wholly owned subsidiary of Sempra Energy. SoCalGas SoCalGas’ common stock is wholly owned by Pacific Enterprises, which is a wholly owned subsidiary of Sempra Energy. In this report, we refer to SDG&E and SoCalGas collectively as the California Utilities. BASIS OF PRESENTATION This is a combined report of Sempra Energy, SDG&E and SoCalGas. We provide separate information for SDG&E and SoCalGas as required. References in this report to “we,” “us,” “our” and “Sempra Energy Consolidated” are to Sempra Energy and its consolidated entities, unless otherwise indicated by the context. We have eliminated intercompany accounts and transactions within the consolidated financial statements of each reporting entity. Throughout this report, we refer to the following as Condensed Consolidated Financial Statements and Notes to Condensed Consolidated Financial Statements when discussed together or collectively: ▪ the Condensed Consolidated Financial Statements and related Notes of Sempra Energy and its subsidiaries and VIEs; ▪ the Condensed Consolidated Financial Statements and related Notes of SDG&E and its VIE (until deconsolidation of Otay Mesa VIE in August 2019); and ▪ the Condensed Financial Statements and related Notes of SoCalGas. We have prepared the Condensed Consolidated Financial Statements in conformity with U.S. GAAP and in accordance with the interim-period-reporting requirements of Form 10-Q and applicable rules of the SEC. Results of operations for interim periods are not necessarily indicative of results for the entire year or for any other period. We evaluated events and transactions that occurred after September 30, 2020 through the date the financial statements were issued and, in the opinion of management, the accompanying statements reflect all adjustments necessary for a fair presentation. These adjustments are only of a normal, recurring nature. All December 31, 2019 balance sheet information in the Condensed Consolidated Financial Statements has been derived from our audited 2019 Consolidated Financial Statements in the Annual Report. Certain information and note disclosures normally included in annual financial statements prepared in accordance with U.S. GAAP have been condensed or omitted pursuant to the interim-period-reporting provisions of U.S. GAAP and the SEC. We describe our significant accounting policies in Note 1 of the Notes to Consolidated Financial Statements in the Annual Report and the impact of the adoption of new accounting standards on those policies in Note 2 below. We follow the same accounting policies for interim period reporting purposes. You should read the information in this report in conjunction with the Annual Report. Discontinued Operations In January 2019, our board of directors approved a plan to sell our South American businesses based on our strategic focus on North America. We determined that these businesses, which previously constituted the Sempra South American Utilities segment, and certain activities associated with these businesses, met the held-for-sale criteria. These businesses are presented as discontinued operations, which we discuss further in Note 5, as the sales represent a strategic shift that will have a major effect on our operations and financial results. We completed the sales in the second quarter of 2020. Our discussions in the Notes below relate only to our continuing operations unless otherwise noted. Regulated Operations The California Utilities and Sempra Mexico’s natural gas distribution utility, Ecogas, prepare their financial statements in accordance with the provisions of U.S. GAAP governing rate-regulated operations. We discuss revenue recognition and the effects of regulation at our utilities in Notes 3 and 4 below and in Notes 1, 3 and 4 of the Notes to Consolidated Financial Statements in the Annual Report. Our Sempra Texas Utilities segment is comprised of our equity method investments in holding companies that own interests in regulated electric transmission and distribution utilities in Texas. Our Sempra Mexico segment includes the operating companies of our subsidiary, IEnova, as well as certain holding companies and risk management activity. Certain business activities at IEnova are regulated by the CRE and meet the regulatory accounting requirements of U.S. GAAP. Pipeline projects under construction at IEnova that meet the regulatory accounting requirements of U.S. GAAP record the impact of AFUDC related to equity. We discuss AFUDC below and in Note 1 of the Notes to Consolidated Financial Statements in the Annual Report. CASH, CASH EQUIVALENTS AND RESTRICTED CASH The following table provides a reconciliation of cash, cash equivalents, and restricted cash reported on Sempra Energy’s Condensed Consolidated Balance Sheets to the sum of such amounts reported on Sempra Energy’s Condensed Consolidated Statements of Cash Flows. We provide information about the nature of restricted cash in Note 1 of the Notes to Consolidated Financial Statements in the Annual Report. RECONCILIATION OF CASH, CASH EQUIVALENTS AND RESTRICTED CASH (Dollars in millions) September 30, December 31, 2020 2019 Sempra Energy Consolidated: Cash and cash equivalents $ 3,515 $ 108 Restricted cash, current 28 31 Restricted cash, noncurrent 3 3 Cash, cash equivalents and restricted cash in discontinued operations — 75 Total cash, cash equivalents and restricted cash on the Condensed Consolidated Statements of Cash Flows $ 3,546 $ 217 In the Sempra Energy Condensed Consolidated Statement of Cash Flows for the nine months ended September 30, 2020, the ending cash, cash equivalents and restricted cash balance in discontinued operations of $4.6 billion is considered to be cash, cash equivalents and restricted cash for continuing operations following the sales of the South American businesses. CREDIT LOSSES We are exposed to credit losses from financial assets measured at amortized cost, including trade and other accounts receivable and amounts due from unconsolidated affiliates. We are also exposed to credit losses from off-balance sheet arrangements through our guarantees of Cameron LNG JV’s debt. We regularly monitor and evaluate credit losses and record allowances for expected credit losses, if necessary, for trade and other accounts receivable using a combination of factors, including past-due status based on contractual terms, trends in write-offs, the age of the receivable, historical and industry trends, counterparty creditworthiness, economic conditions and specific events, such as bankruptcies. We write off financial assets measured at amortized cost in the period in which we determine they are not recoverable. We record recoveries of amounts previously written off when it is known that they will be recovered. In connection with the COVID-19 pandemic, the California Utilities have implemented certain measures to assist customers, including suspending service disconnections due to nonpayment for residential and small business customers, waiving late payment fees for business customers, and offering flexible payment plans for customers experiencing difficulty paying their electric or gas bills. As we discuss in Note 4, the CPUC authorized each of the California Utilities to establish a CPPMA to track and request recovery of incremental costs, including uncollectible expenses, associated with complying with residential and small business customer protection measures implemented by the CPUC related to the COVID-19 pandemic. In June 2020, the CPUC issued a decision in a separate proceeding addressing service disconnections that, among other things, allows each of the California Utilities to establish a two-way balancing account to record the uncollectible expenses associated with residential customers’ inability to pay their electric or gas bills. This decision also directs the California Utilities to establish an AMP that provides successfully participating, income-qualified residential customers with relief from outstanding utility bill amounts. Refer to Note 4 for further discussion. The California Utilities have recorded increases in their allowances for expected credit losses as of September 30, 2020 primarily related to expected forgiveness of outstanding utility bill amounts for residential customers eligible under the AMP. Our businesses will continue to monitor macroeconomic factors and customer payment patterns when evaluating their allowances for credit losses in future reporting periods, which may increase significantly due to the effects of the COVID-19 pandemic or other factors. We provide below allowances and changes in allowances for credit losses for trade and other accounts receivable, excluding allowances related to amounts due from unconsolidated affiliates and off-balance sheet arrangements, which we discuss separately below the table. TRADE AND OTHER ACCOUNTS RECEIVABLE – ALLOWANCES FOR CREDIT LOSSES (Dollars in millions) Sempra Energy Consolidated (1) SDG&E (2) SoCalGas (3) Allowances for credit losses at December 31, 2019 $ 29 $ 14 $ 15 Incremental allowance upon adoption of ASU 2016-13 1 — — Provisions for expected credit losses 84 44 40 Write-offs (11) (6) (5) Allowances for credit losses at September 30, 2020 $ 103 $ 52 $ 50 (1) Balance at September 30, 2020 includes $75 million and $28 million in Accounts Receivable – Trade, Net and Accounts Receivable – Other, Net, respectively. (2) Balance at September 30, 2020 includes $37 million and $15 million in Accounts Receivable – Trade, Net and Accounts Receivable – Other, Net, respectively. (3) Balance at September 30, 2020 includes $37 million and $13 million in Accounts Receivable – Trade, Net and Accounts Receivable – Other, Net, respectively. For amounts due from unconsolidated affiliates and off-balance sheet arrangements, on a quarterly basis, we evaluate credit losses and record allowances for expected credit losses, if necessary, based on credit quality indicators such as external credit ratings, published default rate studies, the maturity date of the instrument and past delinquencies. However, we do not record allowances for expected credit losses related to accrued interest receivable on loans due from unconsolidated affiliates because we write off such amounts, if any, through a reversal of interest income in the period we determine such amounts are uncollectible. In the absence of external credit ratings, we may utilize an internally developed credit rating based on our analysis of a counterparty’s financial statements to determine our expected credit losses. As we discuss below in “Transactions with Affiliates,” we have loans due from unconsolidated affiliates with varying tenors, interest rates and currencies. We provide below the changes in allowances for credit losses for loans and other amounts due from unconsolidated affiliates. AMOUNTS DUE FROM UNCONSOLIDATED AFFILIATES – ALLOWANCES FOR CREDIT LOSSES (Dollars in millions) Sempra Energy Consolidated (1) Allowances for credit losses at December 31, 2019 $ — Allowance established upon adoption of ASU 2016-13 6 Reduction to expected credit losses (3) Allowances for credit losses at September 30, 2020 $ 3 (1) Balance at September 30, 2020 includes negligible amounts and $3 million in Due from Unconsolidated Affiliates – Current and Due from Unconsolidated Affiliates – Noncurrent, respectively. As we discuss in Note 6 of the Notes to Consolidated Financial Statements in the Annual Report, Sempra Energy has provided guarantees for a maximum aggregate amount of $4.0 billion associated with Cameron LNG JV’s debt obligations. We established a liability for credit losses of $6 million for this off-balance sheet arrangement upon adoption of ASU 2016-13 on January 1, 2020 and we subsequently reduced this liability by $3 million in the nine months ended September 30, 2020 through a reduction to credit loss expense, which is included in O&M on the Sempra Energy Condensed Consolidated Statement of Operations. At September 30, 2020, expected credit losses of $3 million are included in Other Current Liabilities on the Sempra Energy Condensed Consolidated Balance Sheet. CONCENTRATION OF CREDIT RISK Credit risk is the risk of loss that would be incurred as a result of nonperformance by our counterparties on their contractual obligations. We have policies governing the management of credit risk that are administered by the respective credit departments at each of our segments and overseen by their separate risk management committees. This oversight includes calculating current and potential credit risk on a regular basis and monitoring actual balances in comparison to approved limits. We establish credit limits based on risk and return considerations under terms customarily available in the industry. We avoid concentration of counterparties whenever possible, and we believe our credit policies significantly reduce overall credit risk. These policies include an evaluation of: ▪ prospective counterparties’ financial condition (including credit ratings) ▪ collateral requirements ▪ the use of standardized agreements that allow for the netting of positive and negative exposures associated with a single counterparty ▪ downgrade triggers We believe that we have provided adequate reserves for counterparty nonperformance in our allowances for credit losses. In the nine months ended September 30, 2020, four customers each represented 10% or more of Sempra Mexico’s revenues (including intercompany transactions with affiliates consolidated by Sempra Energy). Additionally, for the same period, certain of our unconsolidated equity method investees (Oncor Holdings, Cameron LNG JV and IMG JV) had customers that each represented 10% or more of their respective revenues. When our development projects become operational, we rely significantly on the ability of suppliers to perform under long-term agreements and on our ability to enforce contract terms in the event of nonperformance. Also, the factors that we consider in evaluating a development project include negotiating customer and supplier agreements and, therefore, we rely on these agreements for future performance. We also may condition our decision to go forward on development projects on first obtaining these customer and supplier agreements. INVENTORIES The components of inventories are as follows: INVENTORY BALANCES (Dollars in millions) Natural gas LNG Materials and supplies Total September 30, 2020 December 31, 2019 September 30, 2020 December 31, 2019 September 30, 2020 December 31, 2019 September 30, 2020 December 31, 2019 Sempra Energy Consolidated $ 127 $ 110 $ 2 $ 9 $ 180 $ 158 $ 309 $ 277 SDG&E — 1 — — 105 93 105 94 SoCalGas 104 90 — — 56 46 160 136 WILDFIRE FUND On July 12, 2019, the Wildfire Legislation was signed into law to address certain issues related to catastrophic wildfires in the State of California and their impact on electric IOUs. We discuss the Wildfire Legislation further in Note 1 of the Notes to Consolidated Financial Statements in the Annual Report. In a complaint filed in U.S. District Court for the Northern District of California in July 2019, plaintiffs seek to invalidate AB 1054, which established the Wildfire Fund, based on allegations that the legislation violates federal law. That court dismissed the complaint and the plaintiffs have petitioned the U.S. Court of Appeals for the Ninth Circuit to review the dismissal. In June 2020, the CPUC approved SDG&E’s 2020 wildfire mitigation plan, which will be effective until the CPUC approves a new plan. In addition, on September 14, 2020, SDG&E received its 2020 safety certification from the Wildfire Safety Division of the CPUC. The certificate is valid for 12 months from the issue date. In July 2020, PG&E received bankruptcy court approval to participate in the Wildfire Fund and has made its required contributions to the Wildfire Fund. As a result of PG&E’s participation, the Wildfire Fund will be funded up to $21 billion. Wildfire Fund Asset and Obligation In the third quarter of 2019, SDG&E recorded both a Wildfire Fund asset and a related obligation of $451.5 million for its commitment to make shareholder contributions to the Wildfire Fund, measured at present value as of July 25, 2019 (the date by which both Edison and SDG&E opted to contribute to the Wildfire Fund). SDG&E is amortizing the Wildfire Fund asset on a straight-line basis over the estimated period of benefit, as adjusted for utilization by the participating IOUs. The estimated period of benefit of the Wildfire Fund asset is 15 years. SDG&E expects to make annual shareholder contributions of $12.9 million through December 31, 2028. SDG&E accretes the present value of the Wildfire Fund obligation until the liability is settled. SDG&E periodically evaluates the estimated period of benefit of the Wildfire Fund asset based on actual experience and changes in assumptions. SDG&E may recognize a reduction of its Wildfire Fund asset and record a charge against earnings in the period when there is a reduction of the available coverage due to recoverable claims from any of the participating IOUs. Wildfire claims that are recoverable from the Wildfire Fund, net of anticipated or actual reimbursement to the Wildfire Fund by the responsible IOU, would decrease the Wildfire Fund asset and remaining available coverage. Although California has experienced some of the largest wildfires in its history in 2020 (measured by acres burned), including fires in each participating IOU’s service territory, SDG&E is not aware of any claims made by any participating IOU requiring a reduction of the Wildfire Fund asset. The following table summarizes the location of balances related to the Wildfire Fund on Sempra Energy’s and SDG&E’s Condensed Consolidated Balance Sheets and Condensed Consolidated Statements of Operations. WILDFIRE FUND (Dollars in millions) Location September 30, December 31, Wildfire Fund asset: Current Other Current Assets (1) $ 29 $ 29 Noncurrent Wildfire Fund 371 392 Wildfire Fund obligation: Current Other Current Liabilities $ 13 $ 13 Noncurrent Deferred Credits and Other 87 86 Three months ended September 30, Nine months ended September 30, 2020 2019 2020 2019 Amortization of Wildfire Fund asset Operation and Maintenance $ 7 $ 8 $ 21 $ 8 Accretion of Wildfire Fund obligation Operation and Maintenance — — 1 — (1) Included in Prepaid Expenses for SDG&E. CAPITALIZED FINANCING COSTS Capitalized financing costs include capitalized interest costs and AFUDC related to both debt and equity financing of construction projects. We capitalize interest costs incurred to finance capital projects and interest at equity method investments that have not commenced planned principal operations. The table below summarizes capitalized interest and AFUDC. CAPITALIZED FINANCING COSTS (Dollars in millions) Three months ended September 30, Nine months ended September 30, 2020 2019 2020 2019 Sempra Energy Consolidated $ 51 $ 46 $ 149 $ 144 SDG&E 26 19 79 56 SoCalGas 14 13 39 35 VARIABLE INTEREST ENTITIES We consolidate a VIE if we are the primary beneficiary of the VIE. Our determination of whether we are the primary beneficiary is based on qualitative and quantitative analyses, which assess: ▪ the purpose and design of the VIE; ▪ the nature of the VIE’s risks and the risks we absorb; ▪ the power to direct activities that most significantly impact the economic performance of the VIE; and ▪ the obligation to absorb losses or the right to receive benefits that could be significant to the VIE. We will continue to evaluate our VIEs for any changes that may impact our determination of whether an entity is a VIE and if we are the primary beneficiary. SDG&E SDG&E’s power procurement is subject to reliability requirements that may require SDG&E to enter into various PPAs that include variable interests. SDG&E evaluates the respective entities to determine if variable interests exist and, based on the qualitative and quantitative analyses described above, if SDG&E, and thereby Sempra Energy, is the primary beneficiary. SDG&E has agreements under which it purchases power generated by facilities for which it supplies all of the natural gas to fuel the power plant (i.e., tolling agreements). SDG&E’s obligation to absorb natural gas costs may be a significant variable interest. In addition, SDG&E has the power to direct the dispatch of electricity generated by these facilities. Based on our analysis, the ability to direct the dispatch of electricity may have the most significant impact on the economic performance of the entity owning the generating facility because of the associated exposure to the cost of natural gas, which fuels the plants, and the value of electricity produced. To the extent that SDG&E (1) is obligated to purchase and provide fuel to operate the facility, (2) has the power to direct the dispatch, and (3) purchases all of the output from the facility for a substantial portion of the facility’s useful life, SDG&E may be the primary beneficiary of the entity owning the generating facility. SDG&E determines if it is the primary beneficiary in these cases based on a qualitative approach in which it considers the operational characteristics of the facility, including its expected power generation output relative to its capacity to generate and the financial structure of the entity, among other factors. If SDG&E determines that it is the primary beneficiary, SDG&E and Sempra Energy consolidate the entity that owns the facility as a VIE. In addition to tolling agreements, other variable interests involve various elements of fuel and power costs, and other components of cash flows expected to be paid to or received by our counterparties. In most of these cases, the expectation of variability is not substantial, and SDG&E generally does not have the power to direct activities, including the operation and maintenance activities of the generating facility, that most significantly impact the economic performance of the other VIEs. If our ongoing evaluation of these VIEs were to conclude that SDG&E becomes the primary beneficiary and consolidation by SDG&E becomes necessary, the effects could be significant to the financial position and liquidity of SDG&E and Sempra Energy. SDG&E determined that none of its contracts resulted in SDG&E being the primary beneficiary of a VIE at September 30, 2020 and December 31, 2019. The carrying amounts of the assets and liabilities that relate to SDG&E’s involvement with VIEs where SDG&E is not the primary beneficiary are included in PP&E and finance lease liabilities with balances of $1,242 million and $1,255 million at September 30, 2020 and December 31, 2019, respectively. SDG&E recovers costs incurred on PPAs, tolling agreements and other variable interests through CPUC-approved long-term power procurement plans. SDG&E has no residual interest in the respective entities and has not provided or guaranteed any debt or equity support, liquidity arrangements, performance guarantees or other commitments associated with these contracts other than the purchase commitments described in Note 16 of the Notes to Consolidated Financial Statements in the Annual Report. As a result, SDG&E’s potential exposure to loss from its variable interest in these VIEs is not significant. Sempra Texas Utilities Our 100% interest in Oncor Holdings is a VIE that owns an 80.25% interest in Oncor. Sempra Energy is not the primary beneficiary of the VIE because of the structural and operational ring-fencing and governance measures in place that prevent us from having the power to direct the significant activities of Oncor Holdings. As a result, we do not consolidate Oncor Holdings and instead account for our ownership interest as an equity method investment. See Note 6 for additional information about our equity method investment in Oncor Holdings and restrictions on our ability to influence its activities. Our maximum exposure to loss, which fluctuates over time, from our interest in Oncor Holdings does not exceed the carrying value of our investment, which was $11,962 million at September 30, 2020 and $11,519 million at December 31, 2019. Sempra Mexico Sempra Mexico’s businesses also enter into arrangements that could include variable interests. We evaluate these arrangements and applicable entities based on the qualitative and quantitative analyses described above. Certain of these entities are service or project companies that are VIEs because the total equity at risk is not sufficient for the entities to finance their activities without additional subordinated financial support. If we are the primary beneficiary of these companies, we consolidate them. At December 31, 2019, Sempra Mexico consolidated a VIE with assets totaling approximately $126 million, which consisted primarily of PP&E and other long-term assets. Sempra LNG Cameron LNG JV is a VIE principally due to contractual provisions that transfer certain risks to customers. Sempra Energy is not the primary beneficiary of the VIE because we do not have the power to direct the most significant activities of Cameron LNG JV, and therefore, we account for our investment in Cameron LNG JV under the equity method. The carrying value of our investment, including amounts recognized in AOCI related to interest-rate cash flow hedges at Cameron LNG JV, was $433 million at September 30, 2020 and $1,256 million at December 31, 2019. Our maximum exposure to loss, which fluctuates over time, includes the carrying value of our investment and guarantees that we discuss in Note 6 of the Notes to Consolidated Financial Statements in the Annual Report. As we discuss in Note 6, in July 2020, Sempra Energy entered into a Support Agreement for the benefit of CFIN that is a VIE. Since we do not have the power to direct the most significant activities of the VIE, we are not the primary beneficiary. The conditional obligations of the Support Agreement represent a variable interest that we measure at fair value on a recurring basis (see Note 9). Sempra Energy’s maximum exposure to loss under the terms of the Support Agreement is $979 million. PENSION AND OTHER POSTRETIREMENT BENEFITS Settlement Accounting for Lump Sum Payments Sempra Energy recorded settlement charges of $13 million and $22 million in the three months and nine months ended September 30, 2020, respectively, in net periodic benefit cost for lump sum payments from its nonqualified pension plan that were in excess of the plan’s service cost plus interest cost. In the nine months ended September 30, 2019, Sempra Energy recorded settlement charges of $22 million in net periodic benefit cost for lump sum payments from its nonqualified pension plan that were in excess of the plan’s service cost plus interest cost. Net Periodic Benefit Cost The following three tables provide the components of net periodic benefit cost. NET PERIODIC BENEFIT COST – SEMPRA ENERGY CONSOLIDATED (Dollars in millions) Pension benefits Other postretirement benefits Three months ended September 30, 2020 2019 2020 2019 Service cost $ 31 $ 27 $ 5 $ 4 Interest cost 32 34 8 9 Expected return on assets (41) (36) (14) (17) Amortization of: Prior service cost (credit) 3 3 (1) — Actuarial loss (gain) 9 8 (2) (3) Settlement charges 13 4 — — Net periodic benefit cost (credit) 47 40 (4) (7) Regulatory adjustments 37 3 4 8 Total expense recognized $ 84 $ 43 $ — $ 1 Nine months ended September 30, 2020 2019 2020 2019 Service cost $ 97 $ 82 $ 14 $ 12 Interest cost 97 104 24 27 Expected return on assets (126) (108) (41) (52) Amortization of: Prior service cost (credit) 9 9 (2) — Actuarial loss (gain) 26 29 (7) (8) Settlement charges 22 26 — — Net periodic benefit cost (credit) 125 142 (12) (21) Regulatory adjustments 31 (30) 12 22 Total expense recognized $ 156 $ 112 $ — $ 1 NET PERIODIC BENEFIT COST – SDG&E (Dollars in millions) Pension benefits Other postretirement benefits Three months ended September 30, 2020 2019 2020 2019 Service cost $ 7 $ 7 $ 1 $ 1 Interest cost 7 9 2 1 Expected return on assets (12) (9) (3) (3) Amortization of: Prior service cost 1 — — 1 Actuarial loss (gain) 1 2 (1) — Net periodic benefit cost (credit) 4 9 (1) — Regulatory adjustments 22 (1) 1 — Total expense recognized $ 26 $ 8 $ — $ — Nine months ended September 30, 2020 2019 2020 2019 Service cost $ 23 $ 22 $ 3 $ 3 Interest cost 22 26 5 5 Expected return on assets (37) (29) (8) (9) Amortization of: Prior service cost 2 2 — 2 Actuarial loss (gain) 3 9 (2) (1) Net periodic benefit cost (credit) 13 30 (2) — Regulatory adjustments 28 (13) 2 — Total expense recognized $ 41 $ 17 $ — $ — NET PERIODIC BENEFIT COST – SOCALGAS (Dollars in millions) Pension benefits Other postretirement benefits Three months ended September 30, 2020 2019 2020 2019 Service cost $ 20 $ 17 $ 3 $ 3 Interest cost 22 23 7 6 Expected return on assets (27) (24) (11) (14) Amortization of: Prior service cost (credit) 2 2 (1) (1) Actuarial loss (gain) 6 3 (1) (2) Net periodic benefit cost (credit) 23 21 (3) (8) Regulatory adjustments 15 4 3 8 Total expense recognized $ 38 $ 25 $ — $ — Nine months ended September 30, 2020 2019 2020 2019 Service cost $ 64 $ 51 $ 10 $ 9 Interest cost 66 68 19 20 Expected return on assets (81) (71) (32) (43) Amortization of: Prior service cost (credit) 6 6 (2) (2) Actuarial loss (gain) 19 14 (5) (6) Net periodic benefit cost (credit) 74 68 (10) (22) Regulatory adjustments 3 (17) 10 22 Total expense recognized $ 77 $ 51 $ — $ — Benefit Plan Contributions The following table shows our year-to-date contributions to pension and other postretirement benefit plans and the amounts we expect to contribute in 2020. BENEFIT PLAN CONTRIBUTIONS (Dollars in millions) Sempra Energy SDG&E SoCalGas Contributions through September 30, 2020: Pension plans $ 202 $ 39 $ 76 Other postretirement benefit plans 6 1 1 Total expected contributions in 2020: Pension plans $ 298 $ 54 $ 155 Other postretirement benefit plans 8 1 1 RABBI TRUST In support of its Supplemental Executive Retirement, Cash Balance Restoration and Deferred Compensation Plans, Sempra Energy maintains dedicated assets, including a Rabbi Trust and investments in life insurance contracts, which totaled $469 million and $488 million at September 30, 2020 and December 31, 2019, respectively. SEMPRA ENERGY EARNINGS PER COMMON SHARE Basic EPS is calculated by dividing earnings attributable to common shares (from both continuing and discontinued operations) by the weighted-average number of common shares outstanding for the period. Diluted EPS includes the potential dilution of common stock equivalent shares that could occur if securities or other contracts to issue common stock were exercised or converted into common stock. EARNINGS PER COMMON SHARE COMPUTATIONS (Dollars in millions, except per share amounts; shares in thousands) Three months ended September 30, Nine months ended September 30, 2020 2019 2020 2019 Numerator for continuing operations: Income from continuing operations, net of income tax $ 428 $ 653 $ 1,823 $ 1,570 Earnings attributable to noncontrolling interests (22) (52) (191) (121) Preferred dividends (48) (36) (121) (107) Preferred dividends of subsidiary — — (1) (1) Earnings from continuing operations attributable to common shares for basic EPS 358 565 1,510 1,341 Add back dividends for dilutive mandatory convertible preferred stock (1) — 26 — — Earnings from continuing operations attributable to common shares for diluted EPS $ 358 $ 591 $ 1,510 $ 1,341 Numerator for discontinued operations: (Loss) income from discontinued operations, net of income tax $ (7) $ 256 $ 1,850 $ 292 Earnings attributable to noncontrolling interests — (8) (10) (25 |
NEW ACCOUNTING STANDARDS
NEW ACCOUNTING STANDARDS | 9 Months Ended |
Sep. 30, 2020 | |
Accounting Changes and Error Corrections [Abstract] | |
NEW ACCOUNTING STANDARDS | NEW ACCOUNTING STANDARDS We describe below recent accounting pronouncements that have had or may have a significant effect on our financial condition, results of operations, cash flows or disclosures. ASU 2016-13, “Measurement of Credit Losses on Financial Instruments”: ASU 2016-13 IMPACT FROM ADOPTION OF ASU 2016-13 (Dollars in millions) Sempra Energy Accounts receivable – trade, net $ (1) Due from unconsolidated affiliates – noncurrent (6) Deferred income tax assets 4 Other current liabilities 4 Deferred credits and other 2 Retained earnings (7) Other noncontrolling interests (2) ASU 2017-04, “Simplifying the Test for Goodwill Impairment”: ASU 2017-04 removes the second step of the goodwill impairment test, which requires a hypothetical purchase price allocation. An entity will be required to apply a one-step quantitative test and record the amount of goodwill impairment as the excess of a reporting unit’s carrying amount over its fair value, not to exceed the carrying amount of goodwill. We adopted ASU 2017-04 on January 1, 2020 and will apply the standard on a prospective basis to our goodwill impairment tests. ASU 2019-12, “Simplifying the Accounting for Income Taxes”: ASU 2019-12 simplifies certain areas of accounting for income taxes. In addition to other changes, this standard amends ASC 740, “Income Taxes,” as follows: ▪ removes the exception to the incremental approach for intraperiod tax allocation when there is a loss from continuing operations and income or a gain from other items, including discontinued operations or other comprehensive income; ▪ simplifies the recognition of deferred taxes related to basis differences as a result of ownership changes in investments; ▪ specifies an entity is not required to allocate the consolidated amount of current and deferred tax expense to a legal entity that is not subject to tax in its separate financial statements; and ▪ requires an entity to reflect the effect of an enacted change in tax laws or rates in the annual ETR computation in the interim period that includes the enactment date. For public entities, ASU 2019-12 is effective for fiscal years beginning after December 15, 2020, including interim periods therein, with early adoption permitted. The transition method related to the amendments made by ASU 2019-12 varies based on the nature of the change. We will adopt the standard on January 1, 2021 and do not expect it will have a material impact on our financial statements. ASU 2020-04, “Facilitation of the Effects of Reference Rate Reform on Financial Reporting”: ASU 2020-04 provides optional expedients and exceptions for applying U.S. GAAP to contract modifications that replace LIBOR or another reference rate affected by reference rate reform and to hedging relationships that reference LIBOR or another reference rate that is affected or expected to be affected by reference rate reform. ASU 2020-04 is effective March 12, 2020 and can be applied through December 31, 2022, with certain exceptions for hedging relationships that continue to exist after this date, and may be applied from January 1, 2020. For contract modifications, the standard allows entities to account for modifications as an event that does not require reassessment or remeasurement (i.e., as a continuation of the existing contract). The standard also allows entities to amend their formal designation and documentation of hedging relationships affected or expected to be affected by reference rate reform, without having to de-designate the hedging relationship. Entities may elect the optional expedients and exceptions on an individual hedging relationship basis and independently from one another. We elected the optional expedients for contract modifications. We elected the cash flow hedging expedients to disregard the potential discontinuation of a reference rate when assessing whether a hedged forecasted interest payment is probable and to disregard certain mismatches between the designated hedging instrument and the hedged item when assessing the hedge effectiveness. We are applying these expedients prospectively from January 1, 2020. Application of these expedients preserves the presentation of derivatives consistent with the past presentation. ASU 2020-06, “Accounting for Convertible Instruments and Contracts in an Entity’s Own Equity”: ASU 2020-06 simplifies the accounting for certain financial instruments with characteristics of liabilities and equity, including convertible instruments and contracts on an entity’s own equity. In addition to other changes, this standard amends ASC 470-20, “Debt with Conversion and Other Options,” by removing the accounting models for instruments with beneficial conversion features and cash conversion features. The standard also amends ASC 260, “Earnings Per Share,” as follows: ▪ requires an entity to apply the if-converted method when calculating diluted EPS for convertible instruments and no longer use the treasury stock method, which was previously allowed for certain convertible instruments; ▪ requires an entity to include the effect of potential share settlement in the diluted EPS calculation when an instrument may be settled in cash or shares, and no longer allows an entity to rebut the presumption of share settlement if it has a history or policy of cash settlement; ▪ requires an entity to include equity-classified convertible preferred stock that contains down-round features whereby, if the down-round feature is triggered, its effect is treated as a dividend and as a reduction of income available to common shareholders in basic EPS; ▪ clarifies that the average market price should be used to calculate the diluted EPS denominator when the exercise price or the number of shares that may be issued is variable, except for certain contingently issuable shares; and ▪ clarifies that the weighted-average share count from each quarter should be used when calculating the year-to-date weighted-average share count. For public entities, ASU 2020-06 is effective for fiscal years beginning after December 15, 2021, including interim periods therein, with early adoption permitted for fiscal years beginning after December 15, 2020. An entity can use either a full or modified retrospective approach to adopt ASU 2020-06 and must disclose, in the period of adoption, EPS transition information about the effect of the change on affected per-share amounts. We are currently evaluating the effect of the standard on our ongoing financial reporting and have not yet selected the year in which we will adopt the standard. |
REVENUES
REVENUES | 9 Months Ended |
Sep. 30, 2020 | |
Revenue from Contract with Customer [Abstract] | |
REVENUES | REVENUESWe discuss revenue recognition for revenues from contracts with customers and from sources other than contracts with customers in Note 3 of the Notes to Consolidated Financial Statements in the Annual Report. In connection with the COVID-19 pandemic, the California Utilities and the CPUC have implemented certain measures to assist customers, including suspending service disconnections due to nonpayment for residential and small business customers, waiving late payment fees for business customers, and offering flexible payment plans for customers experiencing difficulty paying their electric or gas bills. Additional measures could be mandated or voluntarily implemented in the future. Under the regulatory compact applicable to the California Utilities, including decoupling of rates, recovery of uncollectible expenses, and other recovery mechanisms potentially available, which we discuss in Note 4, the California Utilities have continued to recognize revenues under ASC 606, “Revenue from Contracts with Customers,” in the three months and nine months ended September 30, 2020. The following table disaggregates our revenues from contracts with customers by major service line and market and provides a reconciliation to total revenues by segment. The majority of our revenue is recognized over time. DISAGGREGATED REVENUES (Dollars in millions) SDG&E SoCalGas Sempra Mexico Sempra LNG Consolidating adjustments and Parent and Other Sempra Energy Consolidated Three months ended September 30, 2020 By major service line: Utilities $ 1,301 $ 813 $ 12 $ — $ (25) $ 2,101 Energy-related businesses — — 244 35 (32) 247 Revenues from contracts with customers $ 1,301 $ 813 $ 256 $ 35 $ (57) $ 2,348 By market: Gas $ 126 $ 813 $ 159 $ 33 $ (54) $ 1,077 Electric 1,175 — 97 2 (3) 1,271 Revenues from contracts with customers $ 1,301 $ 813 $ 256 $ 35 $ (57) $ 2,348 Revenues from contracts with customers $ 1,301 $ 813 $ 256 $ 35 $ (57) $ 2,348 Utilities regulatory revenues 171 29 — — — 200 Other revenues — — 95 28 (27) 96 Total revenues $ 1,472 $ 842 $ 351 $ 63 $ (84) $ 2,644 Nine months ended September 30, 2020 By major service line: Utilities $ 3,610 $ 3,261 $ 42 $ — $ (66) $ 6,847 Energy-related businesses — — 616 56 (40) 632 Revenues from contracts with customers $ 3,610 $ 3,261 $ 658 $ 56 $ (106) $ 7,479 By market: Gas $ 518 $ 3,261 $ 439 $ 51 $ (98) $ 4,171 Electric 3,092 — 219 5 (8) 3,308 Revenues from contracts with customers $ 3,610 $ 3,261 $ 658 $ 56 $ (106) $ 7,479 Revenues from contracts with customers $ 3,610 $ 3,261 $ 658 $ 56 $ (106) $ 7,479 Utilities regulatory revenues 366 (14) — — — 352 Other revenues — — 277 199 (108) 368 Total revenues $ 3,976 $ 3,247 $ 935 $ 255 $ (214) $ 8,199 DISAGGREGATED REVENUES (CONTINUED) (Dollars in millions) SDG&E SoCalGas Sempra Mexico Sempra Renewables Sempra LNG Consolidating adjustments and Parent and other Sempra Energy Consolidated Three months ended September 30, 2019 By major service line: Utilities $ 1,370 $ 765 $ 14 $ — $ — $ (18) $ 2,131 Energy-related businesses — — 242 — 50 (40) 252 Revenues from contracts with customers $ 1,370 $ 765 $ 256 $ — $ 50 $ (58) $ 2,383 By market: Gas $ 100 $ 765 $ 171 $ — $ 48 $ (55) $ 1,029 Electric 1,270 — 85 — 2 (3) 1,354 Revenues from contracts with customers $ 1,370 $ 765 $ 256 $ — $ 50 $ (58) $ 2,383 Revenues from contracts with customers $ 1,370 $ 765 $ 256 $ — $ 50 $ (58) $ 2,383 Utilities regulatory revenues 57 210 — — — — 267 Other revenues — — 101 — 50 (43) 108 Total revenues $ 1,427 $ 975 $ 357 $ — $ 100 $ (101) $ 2,758 Nine months ended September 30, 2019 By major service line: Utilities $ 3,604 $ 3,170 $ 56 $ — $ — $ (56) $ 6,774 Energy-related businesses — — 701 5 139 (113) 732 Revenues from contracts with customers $ 3,604 $ 3,170 $ 757 $ 5 $ 139 $ (169) $ 7,506 By market: Gas $ 441 $ 3,170 $ 527 $ — $ 134 $ (160) $ 4,112 Electric 3,163 — 230 5 5 (9) 3,394 Revenues from contracts with customers $ 3,604 $ 3,170 $ 757 $ 5 $ 139 $ (169) $ 7,506 Revenues from contracts with customers $ 3,604 $ 3,170 $ 757 $ 5 $ 139 $ (169) $ 7,506 Utilities regulatory revenues 62 (28) — — — — 34 Other revenues — — 301 5 188 (148) 346 Total revenues $ 3,666 $ 3,142 $ 1,058 $ 10 $ 327 $ (317) $ 7,886 Remaining Performance Obligations For contracts greater than one year, at September 30, 2020, we expect to recognize revenue related to the fixed fee component of the consideration as shown below. SoCalGas did not have any such remaining performance obligations at September 30, 2020. REMAINING PERFORMANCE OBLIGATIONS (1) (Dollars in millions) Sempra Energy Consolidated SDG&E 2020 (excluding first nine months of 2020) $ 88 $ 1 2021 388 4 2022 406 4 2023 407 4 2024 348 4 Thereafter 4,712 71 Total revenues to be recognized $ 6,349 $ 88 (1) Excludes intercompany transactions. Contract Balances from Revenues from Contracts with Customers Activities within Sempra Energy’s and SDG&E’s contract liabilities are presented below. There were no contract liabilities at SoCalGas in the nine months ended September 30, 2020 and 2019. CONTRACT LIABILITIES (Dollars in millions) Sempra Energy Consolidated SDG&E Balance at January 1, 2020 $ (163) $ (91) Revenue from performance obligations satisfied during reporting period 3 3 Balance at September 30, 2020 (1) $ (160) $ (88) Balance at January 1, 2019 $ (70) $ — Revenue from performance obligations satisfied during reporting period 1 — Payments received in advance (95) (92) Balance at September 30, 2019 $ (164) $ (92) (1) Includes $4 million and $4 million in Other Current Liabilities and $156 million and $84 million in Deferred Credits and Other on the Sempra Energy and SDG&E Condensed Consolidated Balance Sheets, respectively. Receivables from Revenues from Contracts with Customers The table below shows receivable balances associated with revenues from contracts with customers on the Condensed Consolidated Balance Sheets. RECEIVABLES FROM REVENUES FROM CONTRACTS WITH CUSTOMERS (Dollars in millions) September 30, 2020 December 31, 2019 Sempra Energy Consolidated: Accounts receivable – trade, net $ 962 $ 1,163 Accounts receivable – other, net 13 16 Due from unconsolidated affiliates – current (1) 3 5 Total $ 978 $ 1,184 SDG&E: Accounts receivable – trade, net $ 462 $ 398 Accounts receivable – other, net 9 5 Due from unconsolidated affiliates – current (1) 3 2 Total $ 474 $ 405 SoCalGas: Accounts receivable – trade, net $ 422 $ 710 Accounts receivable – other, net 4 11 Total $ 426 $ 721 (1) Amount is presented net of amounts due to unconsolidated affiliates on the Condensed Consolidated Balance Sheets, when right of offset exists. |
REGULATORY MATTERS
REGULATORY MATTERS | 9 Months Ended |
Sep. 30, 2020 | |
Regulated Operations [Abstract] | |
REGULATORY MATTERS | REGULATORY MATTERS We discuss regulatory matters in Note 4 of the Notes to Consolidated Financial Statements in the Annual Report and provide updates to those discussions and information about new regulatory matters below. REGULATORY ASSETS AND LIABILITIES We show the details of regulatory assets and liabilities in the following table. REGULATORY ASSETS (LIABILITIES) (Dollars in millions) September 30, December 31, SDG&E: Fixed-price contracts and other derivatives $ (21) $ 8 Deferred income taxes refundable in rates (20) (108) Pension and other postretirement benefit plan obligations 72 103 Removal obligations (2,131) (2,056) Environmental costs 43 45 Sunrise Powerlink fire mitigation 120 121 Regulatory balancing accounts (1)(2) Commodity – electric 173 102 Gas transportation 15 22 Safety and reliability 74 77 Public purpose programs (146) (124) 2019 GRC retroactive impacts 70 111 Other balancing accounts 284 106 Other regulatory assets (liabilities), net (2) 25 (153) Total SDG&E (1,442) (1,746) SoCalGas: Deferred income taxes refundable in rates (125) (203) Pension and other postretirement benefit plan obligations 370 400 Employee benefit costs 44 44 Removal obligations (698) (728) Environmental costs 37 40 Regulatory balancing accounts (1)(2) Commodity – gas, including transportation (118) (118) Safety and reliability 358 295 Public purpose programs (349) (273) 2019 GRC retroactive impacts 252 400 Other balancing accounts (116) (7) Other regulatory assets (liabilities), net (2) 46 (101) Total SoCalGas (299) (251) Sempra Mexico: Deferred income taxes recoverable in rates 83 83 Other regulatory assets 1 6 Total Sempra Energy Consolidated $ (1,657) $ (1,908) (1) At September 30, 2020 and December 31, 2019, the noncurrent portion of regulatory balancing accounts – net undercollected for SDG&E was $127 million and $108 million, respectively, and for SoCalGas was $291 million and $500 million, respectively. (2) Includes regulatory assets earning a return. CALIFORNIA UTILITIES COVID-19 Pandemic Protections Memorandum Account In March 2020, the CPUC required that all energy companies under its jurisdiction, including the California Utilities, take action to implement several emergency customer protection measures to support California customers in light of the COVID-19 pandemic. The customer protection measures, which are mandatory for all residential and small business customers, are effective from March 2020, will continue for up to one year, and may be extended by the CPUC. In June 2020, the CPUC approved disaster relief plans covering residential and small business customers affected by the COVID-19 pandemic that were submitted by each of the California Utilities. Each of the California Utilities also was authorized to establish a CPPMA to track and request recovery of incremental costs associated with complying with residential and small business customer protection measures implemented by the CPUC related to the COVID-19 pandemic, including costs associated with suspending service disconnections and uncollectible expenses that arise from these customers’ failure to pay. The California Utilities expect to pursue recovery in rates of the costs recorded to the CPPMA in a future CPUC proceeding, which recovery is not assured. Arrearage Management Payment Plan In June 2020, the CPUC issued a decision to adopt certain customer protections to reduce residential customer disconnections and improve reconnection processes, including, among other things, imposing limitations on service disconnections, elimination of deposit requirements and reconnection fees, establishment of the AMP that provides successfully participating, income-qualified residential customers with relief from outstanding utility bill amounts, and increased outreach and marketing efforts. The decision allows each of the California Utilities to establish a two-way balancing account to record the uncollectible expenses associated with residential customers’ inability to pay their electric or gas bills, including as a result of the relief from outstanding utility bill amounts provided under the AMP. The California Utilities may also request, at a future date, to transfer any such costs from the CPPMA to this new balancing account. CPUC General Rate Case The CPUC uses GRC proceedings to set rates designed to allow the California Utilities to recover their reasonable operating costs and to provide the opportunity to realize their authorized rates of return on their investments. 2019 General Rate Case As we discuss in Note 4 of the Notes to Consolidated Financial Statements in the Annual Report, in September 2019, the CPUC issued the 2019 GRC FD, which was effective retroactively to January 1, 2019. In the third quarter of 2019, SDG&E and SoCalGas recorded the retroactive after-tax earnings impact of $36 million and $84 million, respectively, for the first quarter of 2019 and $30 million and $46 million, respectively, for the second quarter of 2019. The 2019 GRC FD approved SDG&E’s and SoCalGas’ test year revenues for 2019 and attrition year adjustments for 2020 and 2021. In January 2020, the CPUC issued a final decision implementing a four-year GRC cycle for California IOUs. The California Utilities were directed to file a petition for modification to revise their 2019 GRC to add two additional attrition years, resulting in a transitional five-year GRC period (2019-2023). The California Utilities filed the petition in April 2020 and requested authorization of their post-test year ratemaking mechanism for two additional years. We have requested an increase in the revenue requirement for SDG&E and SoCalGas of approximately $95 million and $155 million, respectively, for 2022, and $96 million and $137 million, respectively, for 2023, reflecting certain adjustments. These amounts include revenues for both O&M and capital cost attrition. In June 2020, the CPUC issued a ruling to further clarify the issues for review in the California Utilities’ petition, which are mainly whether the proposed revenue requirements and mechanisms for the two proposed additional attrition years are just and reasonable. In September 2020, the California Utilities filed a status report to summarize positions on how impacts of the COVID-19 pandemic should be incorporated into the proposed attrition rates. The California Utilities proposed to continue with the adopted attrition mechanism using the second quarter 2020 Global Insight utility cost forecast, which incorporates impacts of the COVID-19 pandemic. Intervenors have proposed other alternatives, including using escalation factors based on the Consumer Price Index. The procedural schedule provides for a proposed decision in the fourth quarter of 2020. The 2019 GRC FD clarified that differences between incurred and forecasted income tax expense due to forecasting differences are not subject to tracking in the income tax expense memorandum account beginning in 2019. SDG&E and SoCalGas previously recorded regulatory liabilities, inclusive of interest, associated with the 2016 through 2018 tracked forecasting differences of $86 million and $89 million, respectively. In April 2020, the CPUC confirmed treatment of the two-way income tax expense memorandum account for these 2016 through 2018 balances, at which time the California Utilities released these regulatory liability balances to revenues and regulatory interest. CPUC Cost of Capital In December 2019, the CPUC approved the cost of capital and rate structures (shown in the table below) for SDG&E and SoCalGas that are effective January 1, 2020 and will remain in effect through December 31, 2022. SDG&E did not propose a 2020 cost of preferred equity in this proceeding. In January 2020, SDG&E filed an advice letter to continue the cost of preferred equity for test year 2020 at 6.22%, which the CPUC approved in March 2020. CPUC AUTHORIZED COST OF CAPITAL AND RATE STRUCTURE SDG&E SoCalGas Authorized weighting Return on Weighted Authorized weighting Return on Weighted 45.25 % 4.59 % 2.08 % Long-Term Debt 45.60 % 4.23 % 1.93 % 2.75 6.22 0.17 Preferred Equity 2.40 6.00 0.14 52.00 10.20 5.30 Common Equity 52.00 10.05 5.23 100.00 % 7.55 % 100.00 % 7.30 % The CCM was reauthorized in the 2020 cost of capital proceeding to continue through 2022. The CCM benchmark rate for the 2020 cost of capital is the average monthly utility bond index, as published by Moody’s, for the 12-month period from October 2018 through September 2019. SDG&E’s CCM benchmark rate is 4.498%, based on Moody’s Baa- utility bond index. SoCalGas’ CCM benchmark rate is 4.029%, based on Moody’s A- utility bond index. The index applicable to each utility is based on such utility’s credit rating. The CCM benchmark rates for SDG&E and SoCalGas are the basis of comparison to determine if future measurement periods “trigger” the CCM. For the 12 months ended September 2020, the first “CCM Period,” the trigger did not occur for SDG&E or SoCalGas. The trigger occurs if the change in the applicable average Moody’s utility bond index relative to the CCM benchmark is larger than plus or minus 1.000%. Accordingly, if a change of more than plus or minus 1.000% occurs, SDG&E’s, SoCalGas’, or both utilities’ authorized ROE would be adjusted, upward or downward, by one half of the difference between the CCM benchmark and the 12-month average determined during the CCM Period. In addition, the authorized recovery rate for the California Utilities’ cost of debt and preferred equity would be adjusted to their respective actual weighted-average cost, with no change to the authorized capital structure. In the event of a CCM trigger, the CCM benchmark is also re-established. These adjustments would become effective in authorized rates on January 1 of the year following the CCM trigger. The next CCM Period is from October 2020 to September 2021. SDG&E FERC Formulaic Rate Filing In October 2018, SDG&E submitted its TO5 filing to the FERC to establish its transmission revenue requirement, including rate of return, for SDG&E’s FERC-regulated electric transmission operations and assets. In December 2018, the FERC issued its order accepting and suspending SDG&E’s TO5 filing for five months, during which the existing TO4 rates remained in effect, and established hearing and settlement procedures. The suspension period ended on June 1, 2019, when the proposed TO5 rates took effect, subject to refund and the outcome of the rate filing. As a result, the TO4 ROE of 10.05% was the basis of SDG&E’s FERC-related revenue recognition until March 2020, when the FERC approved the settlement terms that SDG&E and all settling parties reached in October 2019. The settlement agreement provides for a ROE of 10.60%, consisting of a base ROE of 10.10% plus an additional 50 bps for participation in the California ISO. If the FERC issues an order ruling that California IOUs are no longer eligible for the additional California ISO ROE, SDG&E would refund the additional 50 bps of ROE associated with the California ISO as of the refund effective date (June 1, 2019) in this proceeding. The TO5 term is effective June 1, 2019 and shall remain in effect indefinitely, with parties having the annual right to terminate the agreement beginning in 2022. In the first quarter of 2020, SDG&E recorded retroactive revenues of $12 million related to 2019, and additional FERC revenues of $17 million to conclude a rate base matter, net of certain refunds to be paid to CPUC-jurisdictional customers. Energy Efficiency Program Inquiry In January 2020, the CPUC issued a ruling seeking comments on a report prepared by its consultant regarding SDG&E’s Upstream Lighting Program for the program year 2017. The CPUC subsequently expanded the scope of the comments to cover the program year 2018. The Upstream Lighting Program was one of SDG&E’s Energy Efficiency programs designed to produce energy efficiency savings for which SDG&E could earn a performance-based incentive. Pursuant to the CPUC ruling, intervenors representing ratepayers have questioned SDG&E’s management of the program and alleged that certain program expenditures did not benefit the purpose of the program. As a result of the inquiry, SDG&E voluntarily expanded its review to include the program year 2019. Based on this review and discussions with intervenors, SDG&E concluded that some concessions were appropriate, which include refunding certain costs and certain performance-based incentives to customers and incurring a fine. Accordingly, in the three months and nine months ended September 30, 2020, SDG&E reduced revenues by $36 million and $51 million, respectively, and recorded a fine of $6 million in Other (Expense) Income, Net, on the SDG&E and Sempra Energy Condensed Consolidated Statements of Operations. The after-tax impact for the three months and nine months ended September 30, 2020 was $29 million and $44 million, respectively. In October 2020, SDG&E executed a settlement agreement with intervenors consistent with these concessions. CPUC approval of the settlement agreement is required. We provide below updates to ongoing matters related to SONGS, a nuclear generating facility near San Clemente, California that ceased operations in June 2013, and in which SDG&E has a 20% ownership interest. We discuss SONGS further in Note 15 of the Notes to Consolidated Financial Statements in the Annual Report. NUCLEAR DECOMMISSIONING AND FUNDING As a result of Edison’s decision to permanently retire SONGS Units 2 and 3, Edison began the decommissioning phase of the plant. We expect the majority of the decommissioning work to take 10 years after receipt of all the required permits. The coastal development permit, the last permit required to be obtained, was issued in October 2019. The Samuel Lawrence Foundation filed a writ petition under the California Coastal Act in LA Superior Court in December 2019 seeking to invalidate this permit and to obtain injunctive relief to stop decommissioning work. In September 2020, the Samuel Lawrence Foundation filed another writ petition under the California Coastal Act in LA Superior Court seeking to set aside the California Coastal Commission’s July 2020 approval of the inspection and maintenance plan for the SONGS’ canisters and to obtain injunctive relief to stop decommissioning work. Major decommissioning work began in 2020 and has not been interrupted by the writ petitions filed by the Samuel Lawrence Foundation. Decommissioning of Unit 1, removed from service in 1992, is largely complete. The remaining work for Unit 1 will be completed once Units 2 and 3 are dismantled and the spent fuel is removed from the site. The spent fuel is currently being stored on-site, until the DOE identifies a spent fuel storage facility and puts in place a program for the fuel’s disposal, as we discuss below. SDG&E is responsible for approximately 20% of the total contract price. In accordance with state and federal requirements and regulations, SDG&E has assets held in the NDT to fund its share of decommissioning costs for SONGS Units 1, 2 and 3. The amounts collected in rates for SONGS’ decommissioning are invested in the NDT, which is comprised of externally managed trust funds. Amounts held by the NDT are invested in accordance with CPUC regulations. SDG&E classifies debt and equity securities held in the NDT as available-for-sale. The NDT assets are presented on the Sempra Energy and SDG&E Condensed Consolidated Balance Sheets at fair value with the offsetting credits recorded in noncurrent Regulatory Liabilities. Except for the use of funds for the planning of decommissioning activities or NDT administrative costs, CPUC approval is required for SDG&E to access the NDT assets to fund SONGS decommissioning costs for Units 2 and 3. In March 2020, SDG&E received authorization from the CPUC to access NDT funds of up to $109 million for forecasted 2020 costs. In September 2020, the IRS and the U.S. Department of the Treasury published final regulations that clarify the definition of “nuclear decommissioning costs,” which are costs that may be paid for or reimbursed from a qualified trust fund. The final regulations adopted most of the provisions of the proposed regulations issued in December 2016. The final regulations apply to taxable years ending on or after September 4, 2020 and confirm that the definition of “nuclear decommissioning costs” includes amounts related to the storage of spent nuclear fuel at both on-site and off-site ISFSIs. The final regulations also clarify that costs incurred for ISFSIs that may be or are expected to be reimbursed by the DOE may be paid or reimbursed from a qualified trust fund. Accordingly, the final regulations allow SDG&E the option to access qualified trust funds to recover spent fuel storage costs before Edison reaches final settlement with the DOE regarding the DOE’s reimbursement of these costs. Historically, the DOE’s reimbursements of spent fuel storage costs have not resulted in timely or complete recovery of these costs. We discuss the DOE’s responsibility for spent nuclear fuel below. The following table shows the fair values and gross unrealized gains and losses for the securities held in the NDT. We provide additional fair value disclosures for the NDT in Note 9. NUCLEAR DECOMMISSIONING TRUSTS (Dollars in millions) Cost Gross Gross Estimated At September 30, 2020: Debt securities: Debt securities issued by the U.S. Treasury and other U.S. government corporations and agencies (1) $ 48 $ 1 $ — $ 49 Municipal bonds (2) 318 18 (1) 335 Other securities (3) 258 14 (1) 271 Total debt securities 624 33 (2) 655 Equity securities 147 254 (12) 389 Cash and cash equivalents 13 — — 13 Total $ 784 $ 287 $ (14) $ 1,057 At December 31, 2019: Debt securities: Debt securities issued by the U.S. Treasury and other U.S. government corporations and agencies $ 57 $ — $ — $ 57 Municipal bonds 270 12 — 282 Other securities 218 9 (1) 226 Total debt securities 545 21 (1) 565 Equity securities 176 339 (6) 509 Cash and cash equivalents 8 — — 8 Total $ 729 $ 360 $ (7) $ 1,082 (1) Maturity dates are 2022-2050. (2) Maturity dates are 2020-2056. (3) Maturity dates are 2020-2072. The following table shows the proceeds from sales of securities in the NDT and gross realized gains and losses on those sales. SALES OF SECURITIES IN THE NDT (Dollars in millions) Three months ended September 30, Nine months ended September 30, 2020 2019 2020 2019 Proceeds from sales $ 294 $ 231 $ 1,091 $ 728 Gross realized gains 9 5 108 18 Gross realized losses (2) (1) (13) (4) Net unrealized gains and losses, as well as realized gains and losses that are reinvested in the NDT, are included in noncurrent Regulatory Liabilities on Sempra Energy’s and SDG&E’s Condensed Consolidated Balance Sheets. We determine the cost of securities in the trusts on the basis of specific identification. ASSET RETIREMENT OBLIGATION AND SPENT NUCLEAR FUEL The present value of SDG&E’s ARO related to decommissioning costs for the SONGS units was $593 million at September 30, 2020. That amount includes the cost to decommission Units 2 and 3, and the remaining cost to complete the decommissioning of Unit 1, which is substantially complete. The ARO for all three units is based on a cost study prepared in 2017 that is pending CPUC approval. The ARO for Units 2 and 3 reflects the acceleration of the start of decommissioning of these units as a result of the early closure of the plant. SDG&E’s share of total decommissioning costs in 2020 dollars is approximately $860 million. U.S. DEPARTMENT OF ENERGY NUCLEAR FUEL DISPOSAL Spent nuclear fuel from SONGS is currently stored on-site in an ISFSI licensed by the Nuclear Regulatory Commission. In October 2015, the California Coastal Commission approved Edison’s application to expand the ISFSI. The ISFSI expansion began construction in 2016 and the transfer of the spent nuclear fuel from Units 2 and 3 to the ISFSI began in 2018 and was completed in August 2020. The ISFSI will operate until 2049, when it is assumed that the DOE will have taken custody of all the SONGS spent fuel. The ISFSI would then be decommissioned, and the site restored to its original environmental state. Until then, SONGS owners are responsible for interim storage of spent nuclear fuel at SONGS. The Nuclear Waste Policy Act of 1982 made the DOE responsible for accepting, transporting, and disposing of spent nuclear fuel. However, it is uncertain when the DOE will begin accepting spent nuclear fuel from SONGS. This delay will lead to increased costs for spent fuel storage. In November 2019, Edison filed a claim for spent fuel management costs in the U.S. Court of Federal Claims for the time period from January 2017 through July 2018. It is unclear when Edison will pursue litigation claims for spent fuel management costs incurred on or after August 1, 2018. SDG&E will continue to support Edison in its pursuit of claims on behalf of the SONGS co-owners against the DOE for its failure to timely accept the spent nuclear fuel. NUCLEAR INSURANCE SDG&E and the other owners of SONGS have insurance to cover claims from nuclear liability incidents arising at SONGS. Currently, this insurance provides $450 million in coverage limits, the maximum amount available, including coverage for acts of terrorism. In addition, the Price-Anderson Act provides an additional $110 million of coverage. If a nuclear liability loss occurs at SONGS and exceeds the $450 million insurance limit, this additional coverage would be available to provide a total of $560 million in coverage limits per incident. As a result of updated coverage assessments, the SONGS owners have nuclear property damage insurance of $130 million, which exceeds the minimum federal requirements of $50 million. This insurance coverage is provided through NEIL. The NEIL policies have specific exclusions and limitations that can result in reduced coverage. Insured members as a group are subject to retrospective premium assessments to cover losses sustained by NEIL under all issued policies. SDG&E could be assessed up to $3.5 million of retrospective premiums based on overall member claims. The nuclear property insurance program includes an industry aggregate loss limit for non-certified acts of terrorism (as defined by the Terrorism Risk Insurance Act) of $3.24 billion. This is the maximum amount that will be paid to insured members who suffer losses or damages from these non-certified terrorist acts. |
ACQUISITIONS, DIVESTITURES AND
ACQUISITIONS, DIVESTITURES AND DISCONTINUED OPERATIONS | 9 Months Ended |
Sep. 30, 2020 | |
Business Combinations [Abstract] | |
ACQUISITIONS, DIVESTITURES AND DISCONTINUED OPERATIONS | ACQUISITIONS, DIVESTITURES AND DISCONTINUED OPERATIONS We consolidate assets acquired and liabilities assumed as of the purchase date and include earnings from acquisitions in consolidated earnings after the purchase date. ACQUISITION Sempra Texas Utilities TTHC In February 2020, STIH acquired an additional indirect 0.1975% interest in Oncor through its acquisition of a 1% interest in TTHC from Hunt Strategic Utility Investment, L.L.C. (Hunt), including notes receivable due from TTHC with an aggregate outstanding balance of approximately $6 million, for a total purchase price of approximately $23 million in cash, bringing Sempra Energy’s indirect ownership in Oncor to approximately 80.45%. TTHC indirectly owns 100% of TTI, which owns 19.75% of Oncor’s outstanding membership interests. At the acquisition date, we determined the fair value of the notes receivable was $7 million based on a discounted cash flow model, and attributed $16 million to the investment in TTHC, which we recorded as an equity method investment. STIH’s acquisition of the 1% interest was the subject of a lawsuit filed in the Delaware Court of Chancery by the owners of the remaining 99% ownership interest in TTHC. STIH purchased its 1% interest in TTHC in February 2020 after the Delaware Court of Chancery decided, among other things, that STIH’s right to purchase the 1% interest was superior to that of the remaining owners of TTHC. The remaining owners appealed that decision and, in May 2020, the Delaware Supreme Court reversed the Delaware Court of Chancery’s ruling and remanded the case back to the Delaware Court of Chancery. In September 2020, the Delaware Court of Chancery ordered, among other things, the rescission of STIH’s purchase of the 1% interest in TTHC. The parties have complied with the court’s order and Sempra Energy’s indirect ownership in Oncor has returned to 80.25%. We received a full refund of the purchase price from Hunt in September 2020 and have fully unwound the acquisition. Sharyland Holdings In May 2019, Sempra Energy acquired an indirect, 50% interest in Sharyland Holdings for $95 million (net of $7 million post-closing adjustments) pursuant to the Securities Purchase Agreement. In connection with and prior to the consummation of the Securities Purchase Agreement, Sharyland Holdings owned 100% of the membership interests in Sharyland Utilities, LP and Sharyland Utilities, LP converted into a limited liability company, named Sharyland Utilities, L.L.C. We account for our indirect, 50% interest in Sharyland Holdings as an equity method investment. DIVESTITURES Sempra Renewables In April 2019, Sempra Renewables completed the sale of its remaining wind assets and investments to AEP for $569 million, net of transaction costs, and recorded a $61 million ($45 million after tax and NCI) gain, which is included in (Loss) Gain on Sale of Assets on Sempra Energy’s Condensed Consolidated Statement of Operations for the nine months ended September 30, 2019. Upon completion of the sale, remaining nominal business activities at Sempra Renewables were subsumed into Parent and other and the Sempra Renewables segment ceased to exist. Sempra LNG DISCONTINUED OPERATIONS In January 2019, our board of directors approved a plan to sell our South American businesses. We determined that these businesses, which previously constituted the Sempra South American Utilities segment, and certain activities associated with those businesses, met the held-for-sale criteria. These businesses are presented as discontinued operations, as the sales represent a strategic shift that will have a major effect on our operations and financial results. Upon completion of these sales, we no longer have continuing involvement in or the ability to exercise significant influence on the operating or financial policies of these operations. Accordingly, the results of operations, financial position and cash flows for these businesses have been presented as discontinued operations for all periods presented. Discontinued operations that were previously in the Sempra South American Utilities segment include our former 100% interest in Chilquinta Energía in Chile, our former 83.6% interest in Luz del Sur in Peru and our former interests in two energy-services companies, Tecnored and Tecsur, which provide electric construction and infrastructure services to Chilquinta Energía and Luz del Sur, respectively, as well as third parties. On April 24, 2020, we completed the sale of our equity interests in our Peruvian businesses, including our 83.6% interest in Luz del Sur and our interest in Tecsur, to an affiliate of China Yangtze Power International (Hongkong) Co., Limited for cash proceeds of $3,549 million, net of transaction costs and as adjusted for post-closing adjustments, and recorded a pretax gain of $2,271 million ($1,499 million after tax). On June 24, 2020, we completed the sale of our equity interests in our Chilean businesses, including our 100% interest in Chilquinta Energía and Tecnored and our 50% interest in Eletrans, to State Grid International Development Limited for cash proceeds of $2,216 million, net of transaction costs and as adjusted for post-closing adjustments, and recorded a pretax gain of $628 million ($248 million after tax). In the three months and nine months ended September 30, 2020, the pretax gains from the sales of our South American businesses are included in (Loss) Gain on Sale of Discontinued Operations in the table below and the after-tax gains are included in (Loss) Income from Discontinued Operations, Net of Income Tax, on the Sempra Energy Condensed Consolidated Statements of Operations. Summarized results from discontinued operations were as follows: DISCONTINUED OPERATIONS (Dollars in millions) Three months ended September 30, Nine months ended September 30, 2020 (1) 2019 2020 (2) 2019 Revenues $ — $ 398 $ 570 $ 1,222 Cost of sales — (249) (364) (765) (Loss) gain on sale of discontinued operations (16) — 2,899 — Operating expenses — (38) (66) (123) Interest and other — (3) (3) (12) Income before income taxes and equity earnings (16) 108 3,036 322 Income tax benefit (expense) 9 148 (1,186) (32) Equity earnings — — — 2 (Loss) income from discontinued operations, net of income tax (7) 256 1,850 292 Earnings attributable to noncontrolling interests — (8) (10) (25) (Losses) earnings from discontinued operations attributable to common shares $ (7) $ 248 $ 1,840 $ 267 (1) Represents post-closing adjustments related to the sale of our equity interests in our Chilean businesses. (2) Results include activity until deconsolidation of our Peruvian businesses on April 24, 2020 and Chilean businesses on June 24, 2020. The following table summarizes the carrying amounts of the major classes of assets and related liabilities classified as held for sale in discontinued operations. ASSETS HELD FOR SALE IN DISCONTINUED OPERATIONS (Dollars in millions) December 31, 2019 Cash and cash equivalents $ 74 Restricted cash (1) 1 Accounts receivable, net 303 Due from unconsolidated affiliates 2 Inventories 36 Other current assets 29 Current assets $ 445 Due from unconsolidated affiliates $ 54 Goodwill and other intangible assets 801 Property, plant and equipment, net 2,618 Other noncurrent assets 40 Noncurrent assets $ 3,513 Short-term debt $ 52 Accounts payable 201 Current portion of long-term debt and finance leases 85 Other current liabilities 106 Current liabilities $ 444 Long-term debt and finance leases $ 702 Deferred income taxes 284 Other noncurrent liabilities 66 Noncurrent liabilities $ 1,052 (1) Primarily represents funds held in accordance with Peruvian tax law. As a result of the sales of our South American businesses, in the second quarter of 2020, we reclassified $645 million of cumulative foreign currency translation losses from AOCI to (Loss) Gain on Sale of Discontinued Operations, which is included in (Loss) Income from Discontinued Operations, Net of Income Tax, on the Sempra Energy Condensed Consolidated Statements of Operations. |
INVESTMENTS IN UNCONSOLIDATED E
INVESTMENTS IN UNCONSOLIDATED ENTITIES | 9 Months Ended |
Sep. 30, 2020 | |
Investments [Abstract] | |
Investments in Unconsolidated Entities | INVESTMENTS IN UNCONSOLIDATED ENTITIES We generally account for investments under the equity method when we have significant influence over, but do not have control of, these entities. Equity earnings and losses, both before and net of income tax, are combined and presented as Equity Earnings on the Condensed Consolidated Statements of Operations. See Note 12 for information on equity earnings and losses, both before and net of income tax, by segment. See Note 1 for information on how equity earnings and losses before income taxes are factored into the calculations of our pretax income or loss and ETR. We provide additional information concerning our equity method investments in Notes 5 and 6 of the Notes to Consolidated Financial Statements in the Annual Report. SEMPRA TEXAS UTILITIES Oncor Holdings We account for our 100% ownership interest in Oncor Holdings, which owns an 80.25% interest in Oncor, as an equity method investment. Due to the ring-fencing measures, governance mechanisms, and commitments in effect, we do not have the power to direct the significant activities of Oncor Holdings and Oncor. See Note 6 of the Notes to Consolidated Financial Statements in the Annual Report for additional information related to the restrictions on our ability to direct the significant activities of Oncor Holdings and Oncor. In the nine months ended September 30, 2020, Sempra Energy contributed $209 million to Oncor Holdings, and Oncor Holdings distributed to Sempra Energy $220 million in dividends. In the nine months ended September 30, 2019, Sempra Energy contributed $1,236 million to Oncor Holdings, which includes $1,067 million to fund Oncor’s May 2019 acquisition of interests in InfraREIT and certain acquisition-related expenses, which we discuss in Note 5 of the Notes to Consolidated Financial Statements in the Annual Report. In the nine months ended September 30, 2019, Oncor Holdings distributed to Sempra Energy $162 million in dividends. We provide summarized income statement information for Oncor Holdings in the following table. SUMMARIZED FINANCIAL INFORMATION – ONCOR HOLDINGS (Dollars in millions) Three months ended Nine months ended 2020 2019 2020 2019 Operating revenues $ 1,232 $ 1,211 $ 3,394 $ 3,268 Operating expenses (819) (787) (2,387) (2,319) Income from operations 413 424 1,007 949 Interest expense (102) (97) (305) (276) Income tax expense (50) (53) (115) (106) Net income 255 261 557 511 Noncontrolling interest held by TTI (50) (52) (111) (102) Earnings attributable to Sempra Energy 205 209 446 409 SEMPRA LNG Cameron LNG JV In the nine months ended September 30, 2020, Sempra LNG contributed $54 million to Cameron LNG JV, and Cameron LNG JV distributed to Sempra LNG dividends of $209 million and a distribution in the form of a return of investment of $803 million. In the nine months ended September 30, 2019, Sempra LNG invested cash of $77 million in Cameron LNG JV and, prior to commencing commercial operations in August 2019, Sempra LNG capitalized $32 million of interest related to its investment in Cameron LNG JV. As of September 30, 2020, Sempra Energy has provided guarantees aggregating a maximum of $4.0 billion with an aggregate carrying value of $1 million, which is included in Other Current Liabilities on the Sempra Energy Condensed Consolidated Balance Sheet associated with Cameron LNG JV’s debt obligations. We discuss these guarantees in Note 6 of the Notes to Consolidated Financial Statements in the Annual Report. Sempra Energy Support Agreement for CFIN In July 2020, CFIN entered into a financing arrangement with Cameron LNG JV’s four project owners and received aggregate proceeds of $1.5 billion from two project owners and from external lenders on behalf of the other two project owners (collectively, the affiliate loans), based on their proportionate ownership interest in Cameron LNG JV. CFIN used the proceeds from the affiliate loans to provide a loan to Cameron LNG JV. The affiliate loans mature in 2039. Principal and interest will be paid from Cameron LNG JV’s project cash flows from its three-train natural gas liquefaction facility. Cameron LNG JV used the proceeds from its loan to return equity to its project owners. Sempra Energy used its $753 million share of the proceeds for working capital and other general corporate purposes, including the repayment of indebtedness. Sempra Energy’s $753 million proportionate share of the affiliate loans, based on its 50.2% ownership interest in Cameron LNG JV, was funded by external lenders comprised of a syndicate of eight banks (the bank debt) to whom Sempra Energy has provided a guarantee pursuant to a Support Agreement. Under the terms of the Support Agreement, Sempra Energy has severally guaranteed repayment of the bank debt plus accrued and unpaid interest if CFIN fails to pay the external lenders. Additionally, the external lenders may exercise an option to put the bank debt to Sempra Energy on every one-year anniversary of the closing of the affiliate loans, as well as upon the occurrence of certain events, including a failure by CFIN to meet its payment obligations under the bank debt. In addition, some or all of the bank debt will be transferred by each external lender back to Sempra Energy on the five-year anniversary of the affiliate loans, unless the external lenders elect to waive their transfer rights six months prior to the five-year anniversary of the affiliate loans. Sempra Energy also has a right to call the bank debt back from, or to refinance the bank debt with, the external lenders at any time. The Support Agreement will terminate upon full repayment of the bank debt, including repayment following an event in which the bank debt is put to Sempra Energy. In exchange for this guarantee, the external lenders will pay a guarantee fee that is based on the credit rating of Sempra Energy’s long-term senior unsecured non-credit enhanced debt rating, which guarantee fee Sempra LNG will recognize as interest income as earned. Sempra Energy’s maximum exposure to loss is the bank debt plus any accrued and unpaid interest and related fees, subject to a liability cap of 130% of the bank debt, or $979 million. We measure the Support Agreement at fair value, net of related guarantee fees, on a recurring basis (see Note 9). At September 30, 2020, the fair value of the Support Agreement was $6 million, which is included in Other Current Assets on the Sempra Energy Condensed Consolidated Balance Sheet. RBS SEMPRA COMMODITIES As we discuss in Note 11, in the first quarter of 2020, we recorded a charge of $100 million in Equity Earnings on Sempra Energy’s Condensed Consolidated Statement of Operations for losses from our investment in RBS Sempra Commodities. We recognized a corresponding liability of $25 million in Other Current Liabilities and $75 million in Deferred Credits and Other for our share of estimated losses in excess of the carrying value of our equity method investment. |
DEBT AND CREDIT FACILITIES
DEBT AND CREDIT FACILITIES | 9 Months Ended |
Sep. 30, 2020 | |
Debt Disclosure [Abstract] | |
DEBT AND CREDIT FACILITIES | DEBT AND CREDIT FACILITIES LINES OF CREDIT Primary U.S. Committed Lines of Credit At September 30, 2020, Sempra Energy Consolidated had an aggregate capacity of $6.7 billion in four primary U.S. committed lines of credit, which provide liquidity and support commercial paper. The principal terms of these committed lines of credit, which expire in May 2024, are described below and in Note 7 of the Notes to Consolidated Financial Statements in the Annual Report. PRIMARY U.S. COMMITTED LINES OF CREDIT (Dollars in millions) September 30, 2020 Total facility (1) Sempra Energy (2) $ 1,250 Sempra Global 3,185 SDG&E (3) 1,500 SoCalGas (3) 750 Total $ 6,685 (1) All amounts are unused and available as of September 30, 2020. (2) The facility also provides for issuance of $200 million of letters of credit on behalf of Sempra Energy with the amount of borrowings otherwise available under the facility reduced by the amount of outstanding letters of credit. Subject to obtaining commitments from existing or new lenders and satisfaction of other specified conditions, Sempra Energy has the right to increase the letter of credit commitment up to $500 million. No letters of credit were outstanding at September 30, 2020. (3) The facility also provides for issuance of $100 million of letters of credit on behalf of the borrowing utility with the amount of borrowings otherwise available under the facility reduced by the amount of outstanding letters of credit. Subject to obtaining commitments from existing or new lenders and satisfaction of other specified conditions, the borrowing utility has the right to increase the letter of credit commitment up to $250 million. No letters of credit were outstanding at September 30, 2020. Sempra Energy, SDG&E and SoCalGas each must maintain a ratio of indebtedness to total capitalization (as defined in each of the applicable credit facilities) of no more than 65% at the end of each quarter. At September 30, 2020, each entity was in compliance with this ratio and all other financial covenants under its respective credit facility. Foreign Committed Lines of Credit IEnova has additional general-purpose credit facilities aggregating $1.8 billion at September 30, 2020. The principal terms of these credit facilities are described below. FOREIGN COMMITTED LINES OF CREDIT (U.S. dollar equivalent in millions) September 30, 2020 Expiration date of facility Total facility Amounts outstanding Available unused credit February 2024 (1) $ 1,500 $ (492) $ 1,008 September 2021 (2) 280 (280) — Total $ 1,780 $ (772) $ 1,008 (1) Five-year revolving credit facility with a syndicate of 10 lenders. Borrowings bear interest at a per annum rate equal to 3-month LIBOR plus 80 bps. (2) Two-year revolving credit facility with The Bank of Nova Scotia. Borrowings may be made for up to two years from September 23, 2019 in U.S. dollars. Borrowings bear interest at a per annum rate equal to 3-month LIBOR plus 54 bps. In addition to its committed lines of credit, IEnova had a three-year $100 million uncommitted revolving credit facility with Scotiabank Inverlat S.A. that was canceled in October 2020. At September 30, 2020, available unused credit on this line was $100 million. In October 2020, IEnova entered into a three-year $20 million uncommitted revolving credit facility with Scotiabank Inverlat S.A. (borrowings may be made in either U.S. dollars or Mexican pesos) and a three-year $100 million uncommitted revolving credit facility with The Bank of Nova Scotia (borrowings can only be made in U.S. dollars). Letters of Credit Outside of our domestic and foreign committed credit facilities, we have bilateral unsecured standby letter of credit capacity with select lenders that is uncommitted and supported by reimbursement agreements. At September 30, 2020, we had approximately $560 million in standby letters of credit outstanding under these agreements. TERM LOANS In March 2020 and April 2020, Sempra Energy borrowed a total of $1,599 million, net of $1 million of debt discounts and issuance costs, under a 364-day term loan, which had a maturity date of March 16, 2021 with an option to extend the maturity date to September 16, 2021, subject to receiving the consent of the lenders. Sempra Energy used the proceeds from the term loan to repay borrowings on its committed lines of credit and for other general corporate purposes. This term loan was repaid in full in September 2020. In March 2020, SDG&E borrowed $200 million under a 364-day term loan, which has a maturity date of March 18, 2021 with an option to extend the maturity date to September 17, 2021, subject to receiving the consent of the lenders. Borrowings bear interest at benchmark rates plus 80 bps (0.95% at September 30, 2020). The term loan provides SDG&E with additional liquidity outside of its committed line of credit. SDG&E classified this term loan as long-term debt based on management’s intent and ability to maintain this level of borrowing on a long-term basis by issuing long-term debt. At September 30, 2020, this term loan was included in Current Portion of Long-Term Debt and Finance Leases on SDG&E’s Condensed Consolidated Balance Sheet. WEIGHTED-AVERAGE INTEREST RATES The weighted-average interest rates on the total short-term debt at September 30, 2020 and December 31, 2019 were as follows: WEIGHTED-AVERAGE INTEREST RATES September 30, 2020 December 31, 2019 Sempra Energy Consolidated 0.93 % 2.31 % SDG&E N/A 1.97 SoCalGas N/A 1.86 LONG-TERM DEBT SDG&E In September 2020, SDG&E issued $800 million of 1.70% first mortgage bonds maturing in 2030 and received proceeds of $792 million (net of debt discount, underwriting discounts and debt issuance costs of $8 million). SDG&E intends to use a portion of the proceeds from the offering to repay approximately $250 million of debt, prior to its scheduled maturity. As a result, this amount was classified as Current Portion of Long-Term Debt and Finance Leases on the SDG&E and Sempra Energy Condensed Consolidated Balance Sheets at September 30, 2020. SDG&E intends to use the remaining proceeds for general corporate purposes, including repayment of commercial paper. In April 2020, SDG&E issued $400 million of 3.32% first mortgage bonds maturing in 2050 and received proceeds of $395 million (net of debt discount, underwriting discounts and debt issuance costs of $5 million). SDG&E used $200 million of the proceeds from the offering to repay line of credit borrowings, and the remaining proceeds for working capital and other general corporate purposes. SoCalGas In September 2020, SoCalGas issued $300 million of senior unsecured floating rate notes maturing in 2023 and received proceeds of $298 million (net of underwriting discounts and debt issuance costs of $2 million). The notes bear interest at a per annum rate equal to the 3-month LIBOR rate (or, under certain circumstances, a benchmark replacement rate), reset quarterly, plus 35 bps. SoCalGas may, at its option, redeem some or all of the floating rate notes at any time on or after March 14, 2021 at a redemption price equal to 100% of the principal amount of, plus accrued and unpaid interest on, the notes being redeemed. SoCalGas intends to use the proceeds from the offering for general corporate purposes, including repayment of commercial paper. In January 2020, SoCalGas issued $650 million of 2.55% first mortgage bonds maturing in 2030 and received proceeds of $643 million (net of debt discount, underwriting discounts and debt issuance costs of $7 million). SoCalGas used the proceeds from the offering to repay outstanding commercial paper and for other general corporate purposes. Sempra Mexico In September 2020, IEnova offered and sold in a private placement $800 million of 4.75% senior unsecured notes maturing in 2051 and received proceeds of $770 million (net of debt discount, underwriting discounts and debt issuance costs of $30 million). IEnova used the proceeds from the offering to repay line of credit borrowings and for other general corporate purposes. In November 2019, IEnova entered into a financing agreement with International Finance Corporation and North American Development Bank to finance and/or refinance the construction of solar generation projects in Mexico. Under this agreement, in April 2020, IEnova borrowed $100 million from Japan International Cooperation Agency, with loan proceeds of $98 million (net of debt issuance costs of $2 million). The loan matures in November 2034 and bears interest based on 6-month LIBOR plus 150 bps. In April 2020, IEnova entered into a floating-to-fixed interest rate swap, resulting in a fixed rate of 2.38%. Also under the financing agreement, in June 2020, IEnova borrowed $241 million from U.S. International Development Finance Corporation, with loan proceeds of $236 million (net of debt issuance costs of $5 million). The loan matures in November 2034 and bears interest at a fixed rate of 2.90%. Sempra LNG As we discuss in “Shareholders’ Equity and Noncontrolling Interests – Other Noncontrolling Interests – Sempra LNG” in Note 1, notes payable totaling $22 million due October 1, 2026 were converted to equity by the minority partner in Liberty Gas Storage LLC and are no longer outstanding. |
DERIVATIVE FINANCIAL INSTRUMENT
DERIVATIVE FINANCIAL INSTRUMENTS | 9 Months Ended |
Sep. 30, 2020 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
DERIVATIVE FINANCIAL INSTRUMENTS | DERIVATIVE FINANCIAL INSTRUMENTSWe use derivative instruments primarily to manage exposures arising in the normal course of business. Our principal exposures are commodity market risk, benchmark interest rate risk and foreign exchange rate exposures. Our use of derivatives for these risks is integrated into the economic management of our anticipated revenues, anticipated expenses, assets and liabilities. Derivatives may be effective in mitigating these risks (1) that could lead to declines in anticipated revenues or increases in anticipated expenses, or (2) that could cause our asset values to fall or our liabilities to increase. Accordingly, our derivative activity summarized below generally represents an impact that is intended to offset associated revenues, expenses, assets or liabilities that are not included in the tables below. In certain cases, we apply the normal purchase or sale exception to derivative instruments and have other commodity contracts that are not derivatives. These contracts are not recorded at fair value and are therefore excluded from the disclosures below. In all other cases, we record derivatives at fair value on the Condensed Consolidated Balance Sheets. We have derivatives that are (1) cash flow hedges, (2) fair value hedges, or (3) undesignated. Depending on the applicability of hedge accounting and, for the California Utilities and other operations subject to regulatory accounting, the requirement to pass impacts through to customers, the impact of derivative instruments may be offset in OCI (cash flow hedges), on the balance sheet (regulatory offsets), or recognized in earnings (fair value hedges and undesignated derivatives not subject to rate recovery). We classify cash flows from the principal settlements of cross-currency swaps that hedge exposure related to Mexican peso-denominated debt as financing activities and settlements of other derivative instruments as operating activities on the Condensed Consolidated Statements of Cash Flows. HEDGE ACCOUNTING We may designate a derivative as a cash flow hedging instrument if it effectively converts anticipated cash flows associated with revenues or expenses to a fixed dollar amount. We may utilize cash flow hedge accounting for derivative commodity instruments, foreign currency instruments and interest rate instruments. Designating cash flow hedges is dependent on the business context in which the instrument is being used, the effectiveness of the instrument in offsetting the risk that the future cash flows of a given revenue or expense item may vary, and other criteria. ENERGY DERIVATIVES Our market risk is primarily related to natural gas and electricity price volatility and the specific physical locations where we transact. We use energy derivatives to manage these risks. The use of energy derivatives in our various businesses depends on the particular energy market, and the operating and regulatory environments applicable to the business, as follows: ▪ The California Utilities use natural gas and electricity derivatives, for the benefit of customers, with the objective of managing price risk and basis risks, and stabilizing and lowering natural gas and electricity costs. These derivatives include fixed-price natural gas and electricity positions, options, and basis risk instruments, which are either exchange-traded or over-the-counter financial instruments, or bilateral physical transactions. This activity is governed by risk management and transacting activity plans that have been filed with and approved by the CPUC. Natural gas and electricity derivative activities are recorded as commodity costs that are offset by regulatory account balances and are recovered in rates. Net commodity cost impacts on the Condensed Consolidated Statements of Operations are reflected in Cost of Electric Fuel and Purchased Power or in Cost of Natural Gas. ▪ SDG&E is allocated and may purchase CRRs, which serve to reduce the regional electricity price volatility risk that may result from local transmission capacity constraints. Unrealized gains and losses do not impact earnings, as they are offset by regulatory account balances. Realized gains and losses associated with CRRs, which are recoverable in rates, are recorded in Cost of Electric Fuel and Purchased Power on the Condensed Consolidated Statements of Operations. ▪ Sempra Mexico and Sempra LNG may use natural gas and electricity derivatives, as appropriate, to optimize the earnings of their assets which support the following businesses: LNG, natural gas transportation and storage, and power generation. Gains and losses associated with undesignated derivatives are recognized in Energy-Related Businesses Revenues or in Energy-Related Businesses Cost of Sales on the Condensed Consolidated Statements of Operations. Certain of these derivatives may also be designated as cash flow hedges. Sempra Mexico may also use natural gas energy derivatives with the objective of managing price risk and lowering natural gas prices at its distribution operations. These derivatives, which are recorded as commodity costs that are offset by regulatory account balances and recovered in rates, are recognized in Cost of Natural Gas on the Condensed Consolidated Statements of Operations. ▪ From time to time, our various businesses, including the California Utilities, may use other energy derivatives to hedge exposures such as the price of vehicle fuel and greenhouse gas allowances. The following table summarizes net energy derivative volumes. NET ENERGY DERIVATIVE VOLUMES (Quantities in millions) Commodity Unit of measure September 30, 2020 December 31, 2019 Sempra Energy Consolidated: Natural gas MMBtu 19 32 Electricity MWh 2 2 Congestion revenue rights MWh 43 48 SDG&E: Natural gas MMBtu 23 37 Electricity MWh 1 2 Congestion revenue rights MWh 43 48 SoCalGas: Natural gas MMBtu — 2 In addition to the amounts noted above, we use commodity derivatives to manage risks associated with the physical locations of contractual obligations and assets, such as natural gas purchases and sales. INTEREST RATE DERIVATIVES We are exposed to interest rates primarily as a result of our current and expected use of financing. The California Utilities, as well as Sempra Energy and its other subsidiaries and JVs, periodically enter into interest rate derivative agreements intended to moderate our exposure to interest rates and to lower our overall costs of borrowing. In addition, we may utilize interest rate swaps, typically designated as cash flow hedges, to lock in interest rates on outstanding debt or in anticipation of future financings. The following table presents the net notional amounts of our interest rate derivatives, excluding JVs. INTEREST RATE DERIVATIVES (Dollars in millions) September 30, 2020 December 31, 2019 Notional debt Maturities Notional debt Maturities Sempra Energy Consolidated: Cash flow hedges $ 1,500 2020-2034 $ 1,445 2020-2034 FOREIGN CURRENCY DERIVATIVES We utilize cross-currency swaps to hedge exposure related to Mexican peso-denominated debt at our Mexican subsidiaries and JVs. These cash flow hedges exchange our Mexican peso-denominated principal and interest payments into the U.S. dollar and swap Mexican variable interest rates for U.S. fixed interest rates. From time to time, Sempra Mexico and its JVs may use other foreign currency derivatives to hedge exposures related to cash flows associated with revenues from contracts denominated in Mexican pesos that are indexed to the U.S. dollar. We are also exposed to exchange rate movements at our Mexican subsidiaries and JVs, which have U.S. dollar-denominated cash balances, receivables, payables and debt (monetary assets and liabilities) that give rise to Mexican currency exchange rate movements for Mexican income tax purposes. They also have deferred income tax assets and liabilities denominated in the Mexican peso, which must be translated to U.S. dollars for financial reporting purposes. In addition, monetary assets and liabilities and certain nonmonetary assets and liabilities are adjusted for Mexican inflation for Mexican income tax purposes. We utilize foreign currency derivatives as a means to manage the risk of exposure to significant fluctuations in our income tax expense and equity earnings from these impacts; however, we generally do not hedge our deferred income tax assets and liabilities or for inflation. We also utilized foreign currency derivatives to hedge exposure to fluctuations in the Peruvian sol and Chilean peso related to the sales of our operations in Peru and Chile, respectively. The following table presents the net notional amounts of our foreign currency derivatives, excluding JVs. FOREIGN CURRENCY DERIVATIVES (Dollars in millions) September 30, 2020 December 31, 2019 Notional amount Maturities Notional amount Maturities Sempra Energy Consolidated: Cross-currency swaps $ 306 2020-2023 $ 306 2020-2023 Other foreign currency derivatives 1,341 2020-2022 1,796 2020-2021 FINANCIAL STATEMENT PRESENTATION The Condensed Consolidated Balance Sheets reflect the offsetting of net derivative positions and cash collateral with the same counterparty when a legal right of offset exists. The following tables provide the fair values of derivative instruments on the Condensed Consolidated Balance Sheets, including the amount of cash collateral receivables that were not offset because the cash collateral was in excess of liability positions. DERIVATIVE INSTRUMENTS ON THE CONDENSED CONSOLIDATED BALANCE SHEETS (Dollars in millions) September 30, 2020 Other current assets (1) Other long-term assets Other current liabilities Deferred credits and other Sempra Energy Consolidated: Derivatives designated as hedging instruments: Interest rate and foreign exchange instruments $ 6 $ 2 $ (22) $ (188) Derivatives not designated as hedging instruments: Foreign exchange instruments 13 — (22) — Associated offsetting foreign exchange instruments (13) — 13 — Commodity contracts not subject to rate recovery 102 7 (114) (7) Associated offsetting commodity contracts (100) (4) 100 4 Commodity contracts subject to rate recovery 17 84 (32) (29) Associated offsetting commodity contracts (2) — 2 — Net amounts presented on the balance sheet 23 89 (75) (220) Additional cash collateral for commodity contracts not subject to rate recovery 41 — — — Additional cash collateral for commodity contracts subject to rate recovery 24 — — — Total (2) $ 88 $ 89 $ (75) $ (220) SDG&E: Derivatives not designated as hedging instruments: Commodity contracts subject to rate recovery $ 14 $ 84 $ (26) $ (29) Associated offsetting commodity contracts (2) — 2 — Net amounts presented on the balance sheet 12 84 (24) (29) Additional cash collateral for commodity contracts subject to rate recovery 22 — — — Total (2) $ 34 $ 84 $ (24) $ (29) SoCalGas: Derivatives not designated as hedging instruments: Commodity contracts subject to rate recovery $ 3 $ — $ (6) $ — Net amounts presented on the balance sheet 3 — (6) — Additional cash collateral for commodity contracts subject to rate recovery 2 — — — Total $ 5 $ — $ (6) $ — (1) Included in Current Assets: Fixed-Price Contracts and Other Derivatives for SDG&E. (2) Normal purchase contracts previously measured at fair value are excluded. DERIVATIVE INSTRUMENTS ON THE CONDENSED CONSOLIDATED BALANCE SHEETS (Dollars in millions) December 31, 2019 Other current assets (1) Other long-term assets Other current liabilities Deferred credits and other Sempra Energy Consolidated: Derivatives designated as hedging instruments: Interest rate and foreign exchange instruments $ — $ 3 $ (17) $ (140) Derivatives not designated as hedging instruments: Foreign exchange instruments 41 — (20) — Associated offsetting foreign exchange instruments (20) — 20 — Commodity contracts not subject to rate recovery 34 11 (41) (10) Associated offsetting commodity contracts (32) (2) 32 2 Commodity contracts subject to rate recovery 41 76 (47) (47) Associated offsetting commodity contracts (6) (3) 6 3 Associated offsetting cash collateral — — 14 — Net amounts presented on the balance sheet 58 85 (53) (192) Additional cash collateral for commodity contracts not subject to rate recovery 43 — — — Additional cash collateral for commodity contracts subject to rate recovery 25 — — — Total (2) $ 126 $ 85 $ (53) $ (192) SDG&E: Derivatives not designated as hedging instruments: Commodity contracts subject to rate recovery $ 30 $ 76 $ (41) $ (47) Associated offsetting commodity contracts (4) (3) 4 3 Associated offsetting cash collateral — — 14 — Net amounts presented on the balance sheet 26 73 (23) (44) Additional cash collateral for commodity contracts subject to rate recovery 16 — — — Total (2) $ 42 $ 73 $ (23) $ (44) SoCalGas: Derivatives not designated as hedging instruments: Commodity contracts subject to rate recovery $ 11 $ — $ (6) $ — Associated offsetting commodity contracts (2) — 2 — Net amounts presented on the balance sheet 9 — (4) — Additional cash collateral for commodity contracts subject to rate recovery 9 — — — Total $ 18 $ — $ (4) $ — (1) Included in Current Assets: Fixed-Price Contracts and Other Derivatives for SDG&E. (2) Normal purchase contracts previously measured at fair value are excluded. The table below includes the effects of derivative instruments designated as cash flow hedges on the Condensed Consolidated Statements of Operations and in OCI and AOCI: CASH FLOW HEDGE IMPACTS (Dollars in millions) Pretax gain (loss) Pretax (loss) gain reclassified Three months ended September 30, Three months ended September 30, 2020 2019 Location 2020 2019 Sempra Energy Consolidated: Interest rate and foreign exchange instruments (1) $ 14 $ (7) Interest Expense (1) $ (3) $ (1) Other Income (Expense), Net 4 (5) Interest rate and foreign exchange instruments 24 (62) Equity Earnings (5) (2) Foreign exchange instruments (2) 1 Total $ 36 $ (68) $ (4) $ (8) SDG&E: Interest rate instruments (1) $ — $ — Interest Expense (1) $ — $ (1) SoCalGas: Interest rate instruments $ — $ — Interest Expense $ — $ (1) Nine months ended September 30, Nine months ended September 30, 2020 2019 Location 2020 2019 Sempra Energy Consolidated: Interest rate and foreign exchange instruments (1) $ (73) $ (25) Interest Expense (1) $ (7) $ (2) Other Income (Expense), Net (33) — Interest rate instruments — — (Loss) Gain on Sale of Assets — (10) Interest rate and foreign (166) (222) Equity Earnings (6) (3) Foreign exchange instruments 14 (3) Revenues: Energy- 2 (1) Other Income (Expense), Net 1 — Total $ (225) $ (250) $ (43) $ (16) SDG&E: Interest rate instruments (1) $ — $ (1) Interest Expense (1) $ — $ (3) SoCalGas: Interest rate instruments $ — $ — Interest Expense $ — $ (1) (1) Amounts in 2019 include Otay Mesa VIE. All of SDG&E’s interest rate derivative activity relates to Otay Mesa VIE. On August 14, 2019, Otay Mesa Energy Center LLC paid in full its variable-rate loan and terminated its interest rate swaps. For Sempra Energy Consolidated, we expect that net losses of $72 million, which are net of income tax benefit, that are currently recorded in AOCI related to cash flow hedges will be reclassified into earnings during the next 12 months as the hedged items affect earnings. SoCalGas expects that $1 million of losses, net of income tax benefit, that are currently recorded in AOCI related to cash flow hedges will be reclassified into earnings during the next 12 months as the hedged items affect earnings. Actual amounts ultimately reclassified into earnings depend on the interest rates in effect when derivative contracts mature. For all forecasted transactions, the maximum remaining term over which we are hedging exposure to the variability of cash flows at September 30, 2020 is approximately 14 years for Sempra Energy Consolidated. The maximum remaining term for which we are hedging exposure to the variability of cash flows at our equity method investees is 19 years. The following table summarizes the effects of derivative instruments not designated as hedging instruments on the Condensed Consolidated Statements of Operations. UNDESIGNATED DERIVATIVE IMPACTS (Dollars in millions) Pretax gain (loss) on derivatives recognized in earnings Three months ended Nine months ended Location 2020 2019 2020 2019 Sempra Energy Consolidated: Foreign exchange instruments Other Income (Expense), Net $ 15 $ (12) $ (97) $ 7 Commodity contracts not subject to rate recovery Revenues: Energy-Related Businesses (39) (8) 25 9 Commodity contracts subject to rate recovery Cost of Electric Fuel and Purchased Power 41 18 41 (7) Commodity contracts subject to rate recovery Cost of Natural Gas — (3) (6) (1) Total $ 17 $ (5) $ (37) $ 8 SDG&E: Commodity contracts subject to rate recovery Cost of Electric Fuel and Purchased Power $ 41 $ 18 $ 41 $ (7) SoCalGas: Commodity contracts subject to rate recovery Cost of Natural Gas $ — $ (3) $ (6) $ (1) CONTINGENT FEATURES For Sempra Energy Consolidated, SDG&E and SoCalGas, certain of our derivative instruments contain credit limits which vary depending on our credit ratings. Generally, these provisions, if applicable, may reduce our credit limit if a specified credit rating agency reduces our ratings. In certain cases, if our credit ratings were to fall below investment grade, the counterparty to these derivative liability instruments could request immediate payment or demand immediate and ongoing full collateralization. For Sempra Energy Consolidated, the total fair value of this group of derivative instruments in a net liability position at September 30, 2020 and December 31, 2019 was $8 million and $21 million, respectively. For SoCalGas, the total fair value of this group of derivative instruments in a net liability position at September 30, 2020 and December 31, 2019 was $7 million and $4 million, respectively. At September 30, 2020, if the credit ratings of Sempra Energy or SoCalGas were reduced below investment grade, $8 million and $7 million, respectively, of additional assets could be required to be posted as collateral for these derivative contracts. |
FAIR VALUE MEASUREMENTS
FAIR VALUE MEASUREMENTS | 9 Months Ended |
Sep. 30, 2020 | |
Fair Value Disclosures [Abstract] | |
FAIR VALUE MEASUREMENTS | FAIR VALUE MEASUREMENTSWe discuss the valuation techniques and inputs we use to measure fair value and the definition of the three levels of the fair value hierarchy in Note 1 of the Notes to Consolidated Financial Statements in the Annual Report. RECURRING FAIR VALUE MEASURES The three tables below, by level within the fair value hierarchy, set forth our financial assets and liabilities that were accounted for at fair value on a recurring basis at September 30, 2020 and December 31, 2019. We classify financial assets and liabilities in their entirety based on the lowest level of input that is significant to the fair value measurement. Our assessment of the significance of a particular input to the fair value measurement requires judgment, and may affect the valuation of fair valued assets and liabilities, and their placement within the fair value hierarchy. We have not changed the valuation techniques or types of inputs we use to measure recurring fair value since December 31, 2019. The fair value of commodity derivative assets and liabilities is presented in accordance with our netting policy, as we discuss in Note 8 under “Financial Statement Presentation.” The determination of fair values, shown in the tables below, incorporates various factors, including but not limited to, the credit standing of the counterparties involved and the impact of credit enhancements (such as cash deposits, letters of credit and priority interests). Our financial assets and liabilities that were accounted for at fair value on a recurring basis in the tables below include the following (other than a $5 million investment at December 31, 2019, measured at net asset value): ▪ Nuclear decommissioning trusts reflect the assets of SDG&E’s NDT, excluding cash balances. A third-party trustee values the trust assets using prices from a pricing service based on a market approach. We validate these prices by comparison to prices from other independent data sources. Securities are valued using quoted prices listed on nationally recognized securities exchanges or based on closing prices reported in the active market in which the identical security is traded (Level 1). Other securities are valued based on yields that are currently available for comparable securities of issuers with similar credit ratings (Level 2). ▪ For commodity contracts, interest rate derivatives and foreign exchange instruments, we primarily use a market or income approach with market participant assumptions to value these derivatives. Market participant assumptions include those about risk, and the risk inherent in the inputs to the valuation techniques. These inputs can be readily observable, market corroborated, or generally unobservable. We have exchange-traded derivatives that are valued based on quoted prices in active markets for the identical instruments (Level 1). We also may have other commodity derivatives that are valued using industry standard models that consider quoted forward prices for commodities, time value, current market and contractual prices for the underlying instruments, volatility factors, and other relevant economic measures (Level 2). Level 3 recurring items relate to CRRs and long-term, fixed-price electricity positions at SDG&E, as we discuss below in “Level 3 Information – SDG&E.” ▪ Rabbi Trust investments include marketable securities that we value using a market approach based on closing prices reported in the active market in which the identical security is traded (Level 1). These investments in marketable securities were negligible at both September 30, 2020 and December 31, 2019. ▪ As we discuss in Note 6, in July 2020, Sempra Energy entered into a Support Agreement for the benefit of CFIN. We measure the Support Agreement, which includes a guarantee obligation, a put option and a call option, net of related guarantee fees, at fair value on a recurring basis. We use a discounted cash flow model to value the Support Agreement, net of related guarantee fees. Because some of the inputs that are significant to the valuation are less observable, the Support Agreement is classified as Level 3, as we describe below in “Level 3 Information – Sempra LNG.” RECURRING FAIR VALUE MEASURES – SEMPRA ENERGY CONSOLIDATED (Dollars in millions) Fair value at September 30, 2020 Level 1 Level 2 Level 3 Total Assets: Nuclear decommissioning trusts: Equity securities $ 382 $ 7 $ — $ 389 Debt securities: Debt securities issued by the U.S. Treasury and other U.S. government corporations and agencies 26 23 — 49 Municipal bonds — 335 — 335 Other securities — 271 — 271 Total debt securities 26 629 — 655 Total nuclear decommissioning trusts (1) 408 636 — 1,044 Interest rate and foreign exchange instruments — 8 — 8 Commodity contracts not subject to rate recovery — 5 — 5 Effect of netting and allocation of collateral (2) 41 — — 41 Commodity contracts subject to rate recovery 9 4 86 99 Effect of netting and allocation of collateral (2) 18 — 6 24 Support Agreement, net of related guarantee fees — — 6 6 Total $ 476 $ 653 $ 98 $ 1,227 Liabilities: Interest rate and foreign exchange instruments $ — $ 219 $ — $ 219 Commodity contracts not subject to rate recovery — 17 — 17 Commodity contracts subject to rate recovery — 6 53 59 Total $ — $ 242 $ 53 $ 295 Fair value at December 31, 2019 Level 1 Level 2 Level 3 Total Assets: Nuclear decommissioning trusts: Equity securities $ 503 $ 6 $ — $ 509 Debt securities: Debt securities issued by the U.S. Treasury and other U.S. government corporations and agencies 46 11 — 57 Municipal bonds — 282 — 282 Other securities — 226 — 226 Total debt securities 46 519 — 565 Total nuclear decommissioning trusts (1) 549 525 — 1,074 Interest rate and foreign exchange instruments — 24 — 24 Commodity contracts not subject to rate recovery — 11 — 11 Effect of netting and allocation of collateral (2) 43 — — 43 Commodity contracts subject to rate recovery 5 8 95 108 Effect of netting and allocation of collateral (2) 11 8 6 25 Total $ 608 $ 576 $ 101 $ 1,285 Liabilities: Interest rate and foreign exchange instruments $ — $ 157 $ — $ 157 Commodity contracts not subject to rate recovery — 17 — 17 Commodity contracts subject to rate recovery 14 4 67 85 Effect of netting and allocation of collateral (2) (14) — — (14) Total $ — $ 178 $ 67 $ 245 (1) Excludes cash and cash equivalents. (2) Includes the effect of the contractual ability to settle contracts under master netting agreements and with cash collateral, as well as cash collateral not offset. RECURRING FAIR VALUE MEASURES – SDG&E (Dollars in millions) Fair value at September 30, 2020 Level 1 Level 2 Level 3 Total Assets: Nuclear decommissioning trusts: Equity securities $ 382 $ 7 $ — $ 389 Debt securities: Debt securities issued by the U.S. Treasury and other U.S. government corporations and agencies 26 23 — 49 Municipal bonds — 335 — 335 Other securities — 271 — 271 Total debt securities 26 629 — 655 Total nuclear decommissioning trusts (1) 408 636 — 1,044 Commodity contracts subject to rate recovery 9 1 86 96 Effect of netting and allocation of collateral (2) 16 — 6 22 Total $ 433 $ 637 $ 92 $ 1,162 Liabilities: Commodity contracts subject to rate recovery $ — $ — $ 53 $ 53 Total $ — $ — $ 53 $ 53 Fair value at December 31, 2019 Level 1 Level 2 Level 3 Total Assets: Nuclear decommissioning trusts: Equity securities $ 503 $ 6 $ — $ 509 Debt securities: Debt securities issued by the U.S. Treasury and other U.S. government corporations and agencies 46 11 — 57 Municipal bonds — 282 — 282 Other securities — 226 — 226 Total debt securities 46 519 — 565 Total nuclear decommissioning trusts (1) 549 525 — 1,074 Commodity contracts subject to rate recovery 1 3 95 99 Effect of netting and allocation of collateral (2) 10 — 6 16 Total $ 560 $ 528 $ 101 $ 1,189 Liabilities: Commodity contracts subject to rate recovery $ 14 $ — $ 67 $ 81 Effect of netting and allocation of collateral (2) (14) — — (14) Total $ — $ — $ 67 $ 67 (1) Excludes cash and cash equivalents. (2) Includes the effect of the contractual ability to settle contracts under master netting agreements and with cash collateral, as well as cash collateral not offset. RECURRING FAIR VALUE MEASURES – SOCALGAS (Dollars in millions) Fair value at September 30, 2020 Level 1 Level 2 Level 3 Total Assets: Commodity contracts subject to rate recovery $ — $ 3 $ — $ 3 Effect of netting and allocation of collateral (1) 2 — — 2 Total $ 2 $ 3 $ — $ 5 Liabilities: Commodity contracts subject to rate recovery $ — $ 6 $ — $ 6 Total $ — $ 6 $ — $ 6 Fair value at December 31, 2019 Level 1 Level 2 Level 3 Total Assets: Commodity contracts subject to rate recovery $ 4 $ 5 $ — $ 9 Effect of netting and allocation of collateral (1) 1 8 — 9 Total $ 5 $ 13 $ — $ 18 Liabilities: Commodity contracts subject to rate recovery $ — $ 4 $ — $ 4 Total $ — $ 4 $ — $ 4 (1) Includes the effect of the contractual ability to settle contracts under master netting agreements and with cash collateral, as well as cash collateral not offset. Level 3 Information SDG&E The table below sets forth reconciliations of changes in the fair value of CRRs and long-term, fixed-price electricity positions classified as Level 3 in the fair value hierarchy for Sempra Energy Consolidated and SDG&E. LEVEL 3 RECONCILIATIONS (1) (Dollars in millions) Three months ended September 30, 2020 2019 Balance at July 1 $ 17 $ 176 Realized and unrealized losses (4) (24) Allocated transmission instruments 1 — Settlements 19 27 Balance at September 30 $ 33 $ 179 Change in unrealized gains (losses) relating to instruments still held at September 30 $ 7 $ 1 Nine months ended September 30, 2020 2019 Balance at January 1 $ 28 $ 179 Realized and unrealized losses (18) (32) Allocated transmission instruments 2 — Settlements 21 32 Balance at September 30 $ 33 $ 179 Change in unrealized gains (losses) relating to instruments still held at September 30 $ (1) $ 12 (1) Excludes the effect of the contractual ability to settle contracts under master netting agreements. Inputs used to determine the fair value of CRRs and fixed-price electricity positions are reviewed and compared with market conditions to determine reasonableness. SDG&E expects all costs related to these instruments to be recoverable through customer rates. As such, there is no impact to earnings from changes in the fair value of these instruments. CRRs are recorded at fair value based almost entirely on the most current auction prices published by the California ISO, an objective source. Annual auction prices are published once a year, typically in the middle of November, and are the basis for valuing CRRs settling in the following year. For the CRRs settling from January 1 to December 31, the auction price inputs, at a given location, were in the following ranges for the years indicated below: CONGESTION REVENUE RIGHTS AUCTION PRICE INPUTS Settlement year Price per MWh Median price per MWh 2020 $ (3.77) to $ 6.03 $ (1.58) 2019 (8.57) to 35.21 (2.94) The impact associated with discounting is negligible. Because these auction prices are a less observable input, these instruments are classified as Level 3. The fair value of these instruments is derived from auction price differences between two locations. Positive values between two locations represent expected future reductions in congestion costs, whereas negative values between two locations represent expected future charges. Valuation of our CRRs is sensitive to a change in auction price. If auction prices at one location increase (decrease) relative to another location, this could result in a higher (lower) fair value measurement. We summarize CRR volumes in Note 8. Long-term, fixed-price electricity positions that are valued using significant unobservable data are classified as Level 3 because the contract terms relate to a delivery location or tenor for which observable market rate information is not available. The fair value of the net electricity positions classified as Level 3 is derived from a discounted cash flow model using market electricity forward price inputs. The range and weighted-average price of these inputs at September 30 were as follows: LONG-TERM, FIXED-PRICE ELECTRICITY POSITIONS PRICE INPUTS Settlement year Price per MWh Weighted-average price per MWh 2020 $ 19.45 to $ 71.25 $ 38.14 2019 21.60 to 57.20 38.29 A significant increase (decrease) in market electricity forward prices would result in a significantly higher (lower) fair value. We summarize long-term, fixed-price electricity position volumes in Note 8. Realized gains and losses associated with CRRs and long-term, fixed-price electricity positions, which are recoverable in rates, are recorded in Cost of Electric Fuel and Purchased Power on the Condensed Consolidated Statements of Operations. Because unrealized gains and losses are recorded as regulatory assets and liabilities, they do not affect earnings. Sempra LNG The table below sets forth a reconciliation of changes in the fair value of Sempra Energy’s Support Agreement for the benefit of CFIN classified as Level 3 in the fair value hierarchy for Sempra Energy Consolidated. LEVEL 3 RECONCILIATION (Dollars in millions) Three months ended September 30, 2020 Balance at July 1 $ — Realized and unrealized gains (1) 7 Settlements (1) Balance at September 30 (2) $ 6 Change in unrealized gains (losses) relating to instruments still held at September 30 $ 6 (1) Net gains are included in Interest Income and net losses are included in Interest Expense on the Sempra Energy Condensed Consolidated Statements of Operations. (2) Included in Other Current Assets on the Sempra Energy Condensed Consolidated Balance Sheets. The fair value of the Support Agreement, net of related guarantee fees, is based on a discounted cash flow model using a probability of default and survival methodology. Our estimate of fair value considers inputs such as third-party default rates, credit ratings, recovery rates, and risk-adjusted discount rates, which may be readily observable, market corroborated or generally unobservable inputs. Because CFIN’s credit rating and related default and survival rates are unobservable inputs that are significant to the valuation, the Support Agreement, net of related guarantee fees, is classified as Level 3. We assigned CFIN an internally developed credit rating of A3 and relied on default rate data published by Moody’s to assign a probability of default. A hypothetical change in the credit rating up or down one notch would not result in a significant change in the fair value of the Support Agreement. Fair Value of Financial Instruments The fair values of certain of our financial instruments (cash, accounts and notes receivable, short-term amounts due to/from unconsolidated affiliates, dividends and accounts payable, short-term debt and customer deposits) approximate their carrying amounts because of the short-term nature of these instruments. Investments in life insurance contracts that we hold in support of our Supplemental Executive Retirement, Cash Balance Restoration and Deferred Compensation Plans are carried at cash surrender values, which represent the amount of cash that could be realized under the contracts. The following table provides the carrying amounts and fair values of certain other financial instruments that are not recorded at fair value on the Condensed Consolidated Balance Sheets. FAIR VALUE OF FINANCIAL INSTRUMENTS (Dollars in millions) September 30, 2020 Carrying Fair value Level 1 Level 2 Level 3 Total Sempra Energy Consolidated: Long-term amounts due from unconsolidated affiliates (1) $ 620 $ — $ 649 $ — $ 649 Long-term amounts due to unconsolidated affiliates 271 — 280 — 280 Total long-term debt (2) 23,588 — 26,105 — 26,105 SDG&E: Total long-term debt (3) $ 6,505 $ — $ 7,481 $ — $ 7,481 SoCalGas: Total long-term debt (4) $ 4,759 $ — $ 5,573 $ — $ 5,573 December 31, 2019 Carrying Fair value Level 1 Level 2 Level 3 Total Sempra Energy Consolidated: Long-term amounts due from unconsolidated affiliates $ 742 $ — $ 759 $ — $ 759 Long-term amounts due to unconsolidated affiliates 195 — 184 — 184 Total long-term debt (2) 21,247 — 22,638 26 22,664 SDG&E: Total long-term debt (3) $ 5,140 $ — $ 5,662 $ — $ 5,662 SoCalGas: Total long-term debt (4) $ 3,809 $ — $ 4,189 $ — $ 4,189 (1) Before allowances for credit losses of $3 million at September 30, 2020. (2) Before reductions of unamortized discount and debt issuance costs of $263 million and $225 million at September 30, 2020 and December 31, 2019, respectively, and excluding finance lease obligations of $1,335 million and $1,289 million at September 30, 2020 and December 31, 2019, respectively. (3) Before reductions of unamortized discount and debt issuance costs of $59 million and $48 million at September 30, 2020 and December 31, 2019, respectively, and excluding finance lease obligations of $1,278 million and $1,270 million at September 30, 2020 and December 31, 2019, respectively. (4) Before reductions of unamortized discount and debt issuance costs of $41 million and $34 million at September 30, 2020 and December 31, 2019, respectively, and excluding finance lease obligations of $57 million and $19 million at September 30, 2020 and December 31, 2019, respectively. We provide the fair values for the securities held in the NDT related to SONGS in Note 10. |
SAN ONOFRE NUCLEAR GENERATING S
SAN ONOFRE NUCLEAR GENERATING STATION | 9 Months Ended |
Sep. 30, 2020 | |
Regulated Operations [Abstract] | |
SAN ONOFRE NUCLEAR GENERATING STATION | REGULATORY MATTERS We discuss regulatory matters in Note 4 of the Notes to Consolidated Financial Statements in the Annual Report and provide updates to those discussions and information about new regulatory matters below. REGULATORY ASSETS AND LIABILITIES We show the details of regulatory assets and liabilities in the following table. REGULATORY ASSETS (LIABILITIES) (Dollars in millions) September 30, December 31, SDG&E: Fixed-price contracts and other derivatives $ (21) $ 8 Deferred income taxes refundable in rates (20) (108) Pension and other postretirement benefit plan obligations 72 103 Removal obligations (2,131) (2,056) Environmental costs 43 45 Sunrise Powerlink fire mitigation 120 121 Regulatory balancing accounts (1)(2) Commodity – electric 173 102 Gas transportation 15 22 Safety and reliability 74 77 Public purpose programs (146) (124) 2019 GRC retroactive impacts 70 111 Other balancing accounts 284 106 Other regulatory assets (liabilities), net (2) 25 (153) Total SDG&E (1,442) (1,746) SoCalGas: Deferred income taxes refundable in rates (125) (203) Pension and other postretirement benefit plan obligations 370 400 Employee benefit costs 44 44 Removal obligations (698) (728) Environmental costs 37 40 Regulatory balancing accounts (1)(2) Commodity – gas, including transportation (118) (118) Safety and reliability 358 295 Public purpose programs (349) (273) 2019 GRC retroactive impacts 252 400 Other balancing accounts (116) (7) Other regulatory assets (liabilities), net (2) 46 (101) Total SoCalGas (299) (251) Sempra Mexico: Deferred income taxes recoverable in rates 83 83 Other regulatory assets 1 6 Total Sempra Energy Consolidated $ (1,657) $ (1,908) (1) At September 30, 2020 and December 31, 2019, the noncurrent portion of regulatory balancing accounts – net undercollected for SDG&E was $127 million and $108 million, respectively, and for SoCalGas was $291 million and $500 million, respectively. (2) Includes regulatory assets earning a return. CALIFORNIA UTILITIES COVID-19 Pandemic Protections Memorandum Account In March 2020, the CPUC required that all energy companies under its jurisdiction, including the California Utilities, take action to implement several emergency customer protection measures to support California customers in light of the COVID-19 pandemic. The customer protection measures, which are mandatory for all residential and small business customers, are effective from March 2020, will continue for up to one year, and may be extended by the CPUC. In June 2020, the CPUC approved disaster relief plans covering residential and small business customers affected by the COVID-19 pandemic that were submitted by each of the California Utilities. Each of the California Utilities also was authorized to establish a CPPMA to track and request recovery of incremental costs associated with complying with residential and small business customer protection measures implemented by the CPUC related to the COVID-19 pandemic, including costs associated with suspending service disconnections and uncollectible expenses that arise from these customers’ failure to pay. The California Utilities expect to pursue recovery in rates of the costs recorded to the CPPMA in a future CPUC proceeding, which recovery is not assured. Arrearage Management Payment Plan In June 2020, the CPUC issued a decision to adopt certain customer protections to reduce residential customer disconnections and improve reconnection processes, including, among other things, imposing limitations on service disconnections, elimination of deposit requirements and reconnection fees, establishment of the AMP that provides successfully participating, income-qualified residential customers with relief from outstanding utility bill amounts, and increased outreach and marketing efforts. The decision allows each of the California Utilities to establish a two-way balancing account to record the uncollectible expenses associated with residential customers’ inability to pay their electric or gas bills, including as a result of the relief from outstanding utility bill amounts provided under the AMP. The California Utilities may also request, at a future date, to transfer any such costs from the CPPMA to this new balancing account. CPUC General Rate Case The CPUC uses GRC proceedings to set rates designed to allow the California Utilities to recover their reasonable operating costs and to provide the opportunity to realize their authorized rates of return on their investments. 2019 General Rate Case As we discuss in Note 4 of the Notes to Consolidated Financial Statements in the Annual Report, in September 2019, the CPUC issued the 2019 GRC FD, which was effective retroactively to January 1, 2019. In the third quarter of 2019, SDG&E and SoCalGas recorded the retroactive after-tax earnings impact of $36 million and $84 million, respectively, for the first quarter of 2019 and $30 million and $46 million, respectively, for the second quarter of 2019. The 2019 GRC FD approved SDG&E’s and SoCalGas’ test year revenues for 2019 and attrition year adjustments for 2020 and 2021. In January 2020, the CPUC issued a final decision implementing a four-year GRC cycle for California IOUs. The California Utilities were directed to file a petition for modification to revise their 2019 GRC to add two additional attrition years, resulting in a transitional five-year GRC period (2019-2023). The California Utilities filed the petition in April 2020 and requested authorization of their post-test year ratemaking mechanism for two additional years. We have requested an increase in the revenue requirement for SDG&E and SoCalGas of approximately $95 million and $155 million, respectively, for 2022, and $96 million and $137 million, respectively, for 2023, reflecting certain adjustments. These amounts include revenues for both O&M and capital cost attrition. In June 2020, the CPUC issued a ruling to further clarify the issues for review in the California Utilities’ petition, which are mainly whether the proposed revenue requirements and mechanisms for the two proposed additional attrition years are just and reasonable. In September 2020, the California Utilities filed a status report to summarize positions on how impacts of the COVID-19 pandemic should be incorporated into the proposed attrition rates. The California Utilities proposed to continue with the adopted attrition mechanism using the second quarter 2020 Global Insight utility cost forecast, which incorporates impacts of the COVID-19 pandemic. Intervenors have proposed other alternatives, including using escalation factors based on the Consumer Price Index. The procedural schedule provides for a proposed decision in the fourth quarter of 2020. The 2019 GRC FD clarified that differences between incurred and forecasted income tax expense due to forecasting differences are not subject to tracking in the income tax expense memorandum account beginning in 2019. SDG&E and SoCalGas previously recorded regulatory liabilities, inclusive of interest, associated with the 2016 through 2018 tracked forecasting differences of $86 million and $89 million, respectively. In April 2020, the CPUC confirmed treatment of the two-way income tax expense memorandum account for these 2016 through 2018 balances, at which time the California Utilities released these regulatory liability balances to revenues and regulatory interest. CPUC Cost of Capital In December 2019, the CPUC approved the cost of capital and rate structures (shown in the table below) for SDG&E and SoCalGas that are effective January 1, 2020 and will remain in effect through December 31, 2022. SDG&E did not propose a 2020 cost of preferred equity in this proceeding. In January 2020, SDG&E filed an advice letter to continue the cost of preferred equity for test year 2020 at 6.22%, which the CPUC approved in March 2020. CPUC AUTHORIZED COST OF CAPITAL AND RATE STRUCTURE SDG&E SoCalGas Authorized weighting Return on Weighted Authorized weighting Return on Weighted 45.25 % 4.59 % 2.08 % Long-Term Debt 45.60 % 4.23 % 1.93 % 2.75 6.22 0.17 Preferred Equity 2.40 6.00 0.14 52.00 10.20 5.30 Common Equity 52.00 10.05 5.23 100.00 % 7.55 % 100.00 % 7.30 % The CCM was reauthorized in the 2020 cost of capital proceeding to continue through 2022. The CCM benchmark rate for the 2020 cost of capital is the average monthly utility bond index, as published by Moody’s, for the 12-month period from October 2018 through September 2019. SDG&E’s CCM benchmark rate is 4.498%, based on Moody’s Baa- utility bond index. SoCalGas’ CCM benchmark rate is 4.029%, based on Moody’s A- utility bond index. The index applicable to each utility is based on such utility’s credit rating. The CCM benchmark rates for SDG&E and SoCalGas are the basis of comparison to determine if future measurement periods “trigger” the CCM. For the 12 months ended September 2020, the first “CCM Period,” the trigger did not occur for SDG&E or SoCalGas. The trigger occurs if the change in the applicable average Moody’s utility bond index relative to the CCM benchmark is larger than plus or minus 1.000%. Accordingly, if a change of more than plus or minus 1.000% occurs, SDG&E’s, SoCalGas’, or both utilities’ authorized ROE would be adjusted, upward or downward, by one half of the difference between the CCM benchmark and the 12-month average determined during the CCM Period. In addition, the authorized recovery rate for the California Utilities’ cost of debt and preferred equity would be adjusted to their respective actual weighted-average cost, with no change to the authorized capital structure. In the event of a CCM trigger, the CCM benchmark is also re-established. These adjustments would become effective in authorized rates on January 1 of the year following the CCM trigger. The next CCM Period is from October 2020 to September 2021. SDG&E FERC Formulaic Rate Filing In October 2018, SDG&E submitted its TO5 filing to the FERC to establish its transmission revenue requirement, including rate of return, for SDG&E’s FERC-regulated electric transmission operations and assets. In December 2018, the FERC issued its order accepting and suspending SDG&E’s TO5 filing for five months, during which the existing TO4 rates remained in effect, and established hearing and settlement procedures. The suspension period ended on June 1, 2019, when the proposed TO5 rates took effect, subject to refund and the outcome of the rate filing. As a result, the TO4 ROE of 10.05% was the basis of SDG&E’s FERC-related revenue recognition until March 2020, when the FERC approved the settlement terms that SDG&E and all settling parties reached in October 2019. The settlement agreement provides for a ROE of 10.60%, consisting of a base ROE of 10.10% plus an additional 50 bps for participation in the California ISO. If the FERC issues an order ruling that California IOUs are no longer eligible for the additional California ISO ROE, SDG&E would refund the additional 50 bps of ROE associated with the California ISO as of the refund effective date (June 1, 2019) in this proceeding. The TO5 term is effective June 1, 2019 and shall remain in effect indefinitely, with parties having the annual right to terminate the agreement beginning in 2022. In the first quarter of 2020, SDG&E recorded retroactive revenues of $12 million related to 2019, and additional FERC revenues of $17 million to conclude a rate base matter, net of certain refunds to be paid to CPUC-jurisdictional customers. Energy Efficiency Program Inquiry In January 2020, the CPUC issued a ruling seeking comments on a report prepared by its consultant regarding SDG&E’s Upstream Lighting Program for the program year 2017. The CPUC subsequently expanded the scope of the comments to cover the program year 2018. The Upstream Lighting Program was one of SDG&E’s Energy Efficiency programs designed to produce energy efficiency savings for which SDG&E could earn a performance-based incentive. Pursuant to the CPUC ruling, intervenors representing ratepayers have questioned SDG&E’s management of the program and alleged that certain program expenditures did not benefit the purpose of the program. As a result of the inquiry, SDG&E voluntarily expanded its review to include the program year 2019. Based on this review and discussions with intervenors, SDG&E concluded that some concessions were appropriate, which include refunding certain costs and certain performance-based incentives to customers and incurring a fine. Accordingly, in the three months and nine months ended September 30, 2020, SDG&E reduced revenues by $36 million and $51 million, respectively, and recorded a fine of $6 million in Other (Expense) Income, Net, on the SDG&E and Sempra Energy Condensed Consolidated Statements of Operations. The after-tax impact for the three months and nine months ended September 30, 2020 was $29 million and $44 million, respectively. In October 2020, SDG&E executed a settlement agreement with intervenors consistent with these concessions. CPUC approval of the settlement agreement is required. We provide below updates to ongoing matters related to SONGS, a nuclear generating facility near San Clemente, California that ceased operations in June 2013, and in which SDG&E has a 20% ownership interest. We discuss SONGS further in Note 15 of the Notes to Consolidated Financial Statements in the Annual Report. NUCLEAR DECOMMISSIONING AND FUNDING As a result of Edison’s decision to permanently retire SONGS Units 2 and 3, Edison began the decommissioning phase of the plant. We expect the majority of the decommissioning work to take 10 years after receipt of all the required permits. The coastal development permit, the last permit required to be obtained, was issued in October 2019. The Samuel Lawrence Foundation filed a writ petition under the California Coastal Act in LA Superior Court in December 2019 seeking to invalidate this permit and to obtain injunctive relief to stop decommissioning work. In September 2020, the Samuel Lawrence Foundation filed another writ petition under the California Coastal Act in LA Superior Court seeking to set aside the California Coastal Commission’s July 2020 approval of the inspection and maintenance plan for the SONGS’ canisters and to obtain injunctive relief to stop decommissioning work. Major decommissioning work began in 2020 and has not been interrupted by the writ petitions filed by the Samuel Lawrence Foundation. Decommissioning of Unit 1, removed from service in 1992, is largely complete. The remaining work for Unit 1 will be completed once Units 2 and 3 are dismantled and the spent fuel is removed from the site. The spent fuel is currently being stored on-site, until the DOE identifies a spent fuel storage facility and puts in place a program for the fuel’s disposal, as we discuss below. SDG&E is responsible for approximately 20% of the total contract price. In accordance with state and federal requirements and regulations, SDG&E has assets held in the NDT to fund its share of decommissioning costs for SONGS Units 1, 2 and 3. The amounts collected in rates for SONGS’ decommissioning are invested in the NDT, which is comprised of externally managed trust funds. Amounts held by the NDT are invested in accordance with CPUC regulations. SDG&E classifies debt and equity securities held in the NDT as available-for-sale. The NDT assets are presented on the Sempra Energy and SDG&E Condensed Consolidated Balance Sheets at fair value with the offsetting credits recorded in noncurrent Regulatory Liabilities. Except for the use of funds for the planning of decommissioning activities or NDT administrative costs, CPUC approval is required for SDG&E to access the NDT assets to fund SONGS decommissioning costs for Units 2 and 3. In March 2020, SDG&E received authorization from the CPUC to access NDT funds of up to $109 million for forecasted 2020 costs. In September 2020, the IRS and the U.S. Department of the Treasury published final regulations that clarify the definition of “nuclear decommissioning costs,” which are costs that may be paid for or reimbursed from a qualified trust fund. The final regulations adopted most of the provisions of the proposed regulations issued in December 2016. The final regulations apply to taxable years ending on or after September 4, 2020 and confirm that the definition of “nuclear decommissioning costs” includes amounts related to the storage of spent nuclear fuel at both on-site and off-site ISFSIs. The final regulations also clarify that costs incurred for ISFSIs that may be or are expected to be reimbursed by the DOE may be paid or reimbursed from a qualified trust fund. Accordingly, the final regulations allow SDG&E the option to access qualified trust funds to recover spent fuel storage costs before Edison reaches final settlement with the DOE regarding the DOE’s reimbursement of these costs. Historically, the DOE’s reimbursements of spent fuel storage costs have not resulted in timely or complete recovery of these costs. We discuss the DOE’s responsibility for spent nuclear fuel below. The following table shows the fair values and gross unrealized gains and losses for the securities held in the NDT. We provide additional fair value disclosures for the NDT in Note 9. NUCLEAR DECOMMISSIONING TRUSTS (Dollars in millions) Cost Gross Gross Estimated At September 30, 2020: Debt securities: Debt securities issued by the U.S. Treasury and other U.S. government corporations and agencies (1) $ 48 $ 1 $ — $ 49 Municipal bonds (2) 318 18 (1) 335 Other securities (3) 258 14 (1) 271 Total debt securities 624 33 (2) 655 Equity securities 147 254 (12) 389 Cash and cash equivalents 13 — — 13 Total $ 784 $ 287 $ (14) $ 1,057 At December 31, 2019: Debt securities: Debt securities issued by the U.S. Treasury and other U.S. government corporations and agencies $ 57 $ — $ — $ 57 Municipal bonds 270 12 — 282 Other securities 218 9 (1) 226 Total debt securities 545 21 (1) 565 Equity securities 176 339 (6) 509 Cash and cash equivalents 8 — — 8 Total $ 729 $ 360 $ (7) $ 1,082 (1) Maturity dates are 2022-2050. (2) Maturity dates are 2020-2056. (3) Maturity dates are 2020-2072. The following table shows the proceeds from sales of securities in the NDT and gross realized gains and losses on those sales. SALES OF SECURITIES IN THE NDT (Dollars in millions) Three months ended September 30, Nine months ended September 30, 2020 2019 2020 2019 Proceeds from sales $ 294 $ 231 $ 1,091 $ 728 Gross realized gains 9 5 108 18 Gross realized losses (2) (1) (13) (4) Net unrealized gains and losses, as well as realized gains and losses that are reinvested in the NDT, are included in noncurrent Regulatory Liabilities on Sempra Energy’s and SDG&E’s Condensed Consolidated Balance Sheets. We determine the cost of securities in the trusts on the basis of specific identification. ASSET RETIREMENT OBLIGATION AND SPENT NUCLEAR FUEL The present value of SDG&E’s ARO related to decommissioning costs for the SONGS units was $593 million at September 30, 2020. That amount includes the cost to decommission Units 2 and 3, and the remaining cost to complete the decommissioning of Unit 1, which is substantially complete. The ARO for all three units is based on a cost study prepared in 2017 that is pending CPUC approval. The ARO for Units 2 and 3 reflects the acceleration of the start of decommissioning of these units as a result of the early closure of the plant. SDG&E’s share of total decommissioning costs in 2020 dollars is approximately $860 million. U.S. DEPARTMENT OF ENERGY NUCLEAR FUEL DISPOSAL Spent nuclear fuel from SONGS is currently stored on-site in an ISFSI licensed by the Nuclear Regulatory Commission. In October 2015, the California Coastal Commission approved Edison’s application to expand the ISFSI. The ISFSI expansion began construction in 2016 and the transfer of the spent nuclear fuel from Units 2 and 3 to the ISFSI began in 2018 and was completed in August 2020. The ISFSI will operate until 2049, when it is assumed that the DOE will have taken custody of all the SONGS spent fuel. The ISFSI would then be decommissioned, and the site restored to its original environmental state. Until then, SONGS owners are responsible for interim storage of spent nuclear fuel at SONGS. The Nuclear Waste Policy Act of 1982 made the DOE responsible for accepting, transporting, and disposing of spent nuclear fuel. However, it is uncertain when the DOE will begin accepting spent nuclear fuel from SONGS. This delay will lead to increased costs for spent fuel storage. In November 2019, Edison filed a claim for spent fuel management costs in the U.S. Court of Federal Claims for the time period from January 2017 through July 2018. It is unclear when Edison will pursue litigation claims for spent fuel management costs incurred on or after August 1, 2018. SDG&E will continue to support Edison in its pursuit of claims on behalf of the SONGS co-owners against the DOE for its failure to timely accept the spent nuclear fuel. NUCLEAR INSURANCE SDG&E and the other owners of SONGS have insurance to cover claims from nuclear liability incidents arising at SONGS. Currently, this insurance provides $450 million in coverage limits, the maximum amount available, including coverage for acts of terrorism. In addition, the Price-Anderson Act provides an additional $110 million of coverage. If a nuclear liability loss occurs at SONGS and exceeds the $450 million insurance limit, this additional coverage would be available to provide a total of $560 million in coverage limits per incident. As a result of updated coverage assessments, the SONGS owners have nuclear property damage insurance of $130 million, which exceeds the minimum federal requirements of $50 million. This insurance coverage is provided through NEIL. The NEIL policies have specific exclusions and limitations that can result in reduced coverage. Insured members as a group are subject to retrospective premium assessments to cover losses sustained by NEIL under all issued policies. SDG&E could be assessed up to $3.5 million of retrospective premiums based on overall member claims. The nuclear property insurance program includes an industry aggregate loss limit for non-certified acts of terrorism (as defined by the Terrorism Risk Insurance Act) of $3.24 billion. This is the maximum amount that will be paid to insured members who suffer losses or damages from these non-certified terrorist acts. |
COMMITMENTS AND CONTINGENCIES
COMMITMENTS AND CONTINGENCIES | 9 Months Ended |
Sep. 30, 2020 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | COMMITMENTS AND CONTINGENCIES LEGAL PROCEEDINGS We accrue losses for a legal proceeding when it is probable that a loss has been incurred and the amount of the loss can be reasonably estimated. However, the uncertainties inherent in legal proceedings make it difficult to reasonably estimate the costs and effects of resolving these matters. Accordingly, actual costs incurred may differ materially from amounts accrued, may exceed applicable insurance coverage and could materially adversely affect our business, cash flows, results of operations, financial condition and prospects. Unless otherwise indicated, we are unable to estimate reasonably possible losses in excess of any amounts accrued. At September 30, 2020, loss contingency accruals for legal matters, including associated legal fees, that are probable and estimable were $444 million for Sempra Energy Consolidated, including $299 million for SoCalGas. Amounts for Sempra Energy Consolidated and SoCalGas include $273 million for matters related to the Aliso Canyon natural gas storage facility gas leak, which we discuss below. SoCalGas Aliso Canyon Natural Gas Storage Facility Gas Leak From October 23, 2015 through February 11, 2016, SoCalGas experienced a natural gas leak from one of the injection-and-withdrawal wells, SS25, at its Aliso Canyon natural gas storage facility in Los Angeles County. As described below in “Civil and Criminal Litigation” and “Regulatory Proceedings,” numerous lawsuits, investigations and regulatory proceedings have been initiated in response to the Leak, resulting in significant costs, which together with other Leak-related costs are discussed below in “Cost Estimates, Accounting Impact and Insurance.” Civil and Criminal Litigation. As of November 2, 2020, 394 lawsuits, including approximately 36,000 plaintiffs, are pending against SoCalGas related to the Leak, some of which have also named Sempra Energy. All these cases, other than a matter brought by the Los Angeles County District Attorney and the federal securities class action discussed below, are coordinated before a single court in the LA Superior Court for pretrial management. In November 2017, in the coordinated proceeding, individuals and business entities filed a Third Amended Consolidated Master Case Complaint for Individual Actions, through which their separate lawsuits will be managed for pretrial purposes. The consolidated complaint asserts causes of action for negligence, negligence per se, private and public nuisance (continuing and permanent), trespass, inverse condemnation, strict liability, negligent and intentional infliction of emotional distress, fraudulent concealment, loss of consortium, wrongful death and violations of Proposition 65 against SoCalGas, with certain causes of action also naming Sempra Energy. The consolidated complaint seeks compensatory and punitive damages for personal injuries, lost wages and/or lost profits, property damage and diminution in property value, injunctive relief, costs of future medical monitoring, civil penalties (including penalties associated with Proposition 65 claims alleging violation of requirements for warning about certain chemical exposures), and attorneys’ fees. The initial trial previously scheduled for June 2020 for a small number of randomly selected individual plaintiffs was postponed, with a new trial date to be determined by the court. In January 2017, two consolidated class action complaints were filed against SoCalGas and Sempra Energy, one on behalf of a putative class of persons and businesses who own or lease real property within a five-mile radius of the well (the Property Class Action), and a second on behalf of a putative class of all persons and entities conducting business within five miles of the facility (the Business Class Action). The Property Class Action asserts claims for strict liability for ultra-hazardous activities, negligence, negligence per se, violation of the California Unfair Competition Law, trespass, permanent and continuing public and private nuisance, and inverse condemnation. The Business Class Action asserts a claim for violation of the California Unfair Competition Law. Both complaints seek compensatory, statutory and punitive damages, injunctive relief and attorneys’ fees. Three property developers filed complaints in July and October of 2018 against SoCalGas and Sempra Energy alleging causes of action for strict liability, negligence per se, negligence, continuing nuisance, permanent nuisance and violation of the California Unfair Competition Law, as well as claims for negligence against certain directors of SoCalGas. The complaints seek compensatory, statutory and punitive damages, injunctive relief and attorneys’ fees. In October 2018 and January 2019, complaints were filed on behalf of 51 firefighters stationed near the Aliso Canyon natural gas storage facility who allege they were injured by exposure to chemicals released during the Leak. The complaints against SoCalGas and Sempra Energy assert causes of actions for negligence, negligence per se, private and public nuisance (continuing and permanent), trespass, inverse condemnation, strict liability, negligent and intentional infliction of emotional distress, fraudulent concealment and loss of consortium. The complaints seek compensatory and punitive damages for personal injuries, lost wages and/or lost profits, property damage and diminution in property value, and attorney’s fees. Four shareholder derivative actions are also pending alleging breach of fiduciary duties against certain officers and certain directors of Sempra Energy and/or SoCalGas, three of which were joined in an Amended Consolidated Shareholder Derivative Complaint filed in February 2020. In addition, a federal securities class action alleging violation of the federal securities laws was filed against Sempra Energy and certain of its officers in July 2017 in the U.S. District Court for the Southern District of California. In March 2018, the court dismissed the action with prejudice. The plaintiffs have appealed the dismissal. In February 2019, the LA Superior Court approved a settlement between SoCalGas and the Los Angeles City Attorney’s Office, the County of Los Angeles, the California Office of the Attorney General and CARB of three actions filed by these entities under which SoCalGas made payments and agreed to provide funding for environmental projects totaling $120 million, including $21 million in civil penalties, as well as other safety-related commitments. In September 2016, SoCalGas settled a misdemeanor criminal complaint filed in February 2016 by the Los Angeles County District Attorney’s Office against SoCalGas, pleading no contest to a charge that it failed to provide timely notice of the Leak pursuant to California Health and Safety Code section 25510(a), Los Angeles County Code section 12.56.030, and Title 19 California Code of Regulations section 2703(a). In November 2016, the LA Superior Court approved the settlement and entered judgment on the notice charge. Under the settlement, SoCalGas paid a $75,000 fine, $233,500 in penalties, and $246,673 to reimburse costs incurred by Los Angeles County Fire Department’s Health and Hazardous Materials Division, as well as completed operational commitments estimated to cost approximately $6 million. Certain individuals who objected to the settlement petitioned the Court of Appeal to vacate the judgment, contending they should be granted restitution. In July 2019, the Court of Appeal denied the petition in part, but remanded the matter to the trial court to give the petitioners an opportunity to prove damages stemming from only the three-day delay in reporting the Leak. Following the hearing, the trial court denied restitution. Regulatory Proceedings. In January 2016, CalGEM and the CPUC directed an independent analysis of the technical root cause of the Leak to be conducted by Blade. In May 2019, Blade released its report, which concluded that the Leak was caused by a failure of the production casing of the well due to corrosion and that attempts to stop the Leak were not effectively conducted, but did not identify any instances of non-compliance by SoCalGas. Blade concluded that SoCalGas’ compliance activities conducted prior to the Leak did not find indications of a casing integrity issue. Blade opined, however, that there were measures, none of which were required by gas storage regulations at the time, that could have been taken to aid in the early identification of corrosion and that, in Blade’s opinion, would have prevented or mitigated the Leak. The report also identified well safety practices and regulations that have since been adopted by CalGEM and implemented by SoCalGas, which address most of the root cause of the Leak identified during Blade’s investigation. In June 2019, the CPUC opened an OII to consider penalties against SoCalGas for the Leak, which it later bifurcated into two phases. The first phase will consider whether SoCalGas violated California Public Utilities Code Section 451 or other laws, CPUC orders or decisions, rules or requirements, whether SoCalGas engaged in unreasonable and/or imprudent practices with respect to its operation and maintenance of the Aliso Canyon natural gas storage facility or its related record-keeping practices, whether SoCalGas cooperated sufficiently with the Safety Enforcement Division (SED) and Blade during the pre-formal investigation, and whether any of the mitigation proposed by Blade should be implemented to the extent not already done. In November 2019, SED, based largely on the Blade report, alleged a total of 330 violations, asserting that SoCalGas violated California Public Utilities Code Section 451 and failed to cooperate in the investigation and to keep proper records. We expect hearings in the first phase of the OII to begin in the first quarter of 2021. The second phase will consider whether SoCalGas should be sanctioned for the Leak and what damages, fines or other penalties or sanctions, if any, should be imposed for any violations, unreasonable or imprudent practices, or failure to sufficiently cooperate with the SED as determined by the CPUC in the first phase. In addition, the second phase will determine the amounts of various costs incurred by SoCalGas and other parties in connection with the Leak and the ratemaking treatment or other disposition of such costs, which could result in little or no recovery of such costs by SoCalGas. SoCalGas is engaged in settlement discussions in connection with this proceeding. In February 2017, the CPUC opened a proceeding pursuant to SB 380 to determine the feasibility of minimizing or eliminating the use of the Aliso Canyon natural gas storage facility while still maintaining energy and electric reliability for the region, but excluding issues with respect to air quality, public health, causation, culpability or cost responsibility regarding the Leak. The first phase of the proceeding established a framework for the hydraulic, production cost and economic modeling assumptions for the potential reduction in usage or elimination of the Aliso Canyon natural gas storage facility. Phase 2 of the proceeding, which will evaluate the impacts of reducing or eliminating the Aliso Canyon natural gas storage facility using the established framework and models, began in the first quarter of 2019. The CPUC is scheduled to issue its report for Phase 2 by March 31, 2021. In December 2019, the CPUC added a third phase of the proceeding to consider alternative means for meeting or avoiding the demand for the facility’s services if it were eliminated in either 2027 or 2045. If the Aliso Canyon natural gas storage facility were to be permanently closed, or if future cash flows from its operation were otherwise insufficient to recover its carrying value, it could result in an impairment of the facility and significantly higher than expected operating costs and/or additional capital expenditures, and natural gas reliability and electric generation could be jeopardized. At September 30, 2020, the Aliso Canyon natural gas storage facility had a net book value of $788 million. Any significant impairment of this asset, or higher operating costs and additional capital expenditures incurred by SoCalGas that may not be recoverable in customer rates, could have a material adverse effect on SoCalGas’ and Sempra Energy’s results of operations, financial condition and cash flows. Cost Estimates, Accounting Impact and Insurance. SoCalGas has incurred significant costs for temporary relocation of community residents; to control the well and stop the Leak; to mitigate the natural gas released; to purchase natural gas to replace what was lost through the Leak; to defend against and, in certain cases, settle, civil and criminal litigation arising from the Leak; to pay the costs of the government-ordered response to the Leak, including the costs for Blade to conduct the root cause analysis described above; to respond to various government and agency investigations regarding the Leak; and to comply with increased regulation imposed as a result of the Leak. At September 30, 2020, SoCalGas estimates these costs related to the Leak are $1,440 million (the cost estimate), which includes the $1,279 million of costs recovered or probable of recovery from insurance. This cost estimate may increase significantly as more information becomes available. A substantial portion of the cost estimate has been paid, and $268 million is accrued as Reserve for Aliso Canyon Costs and $7 million is accrued in Deferred Credits and Other as of September 30, 2020 on SoCalGas’ and Sempra Energy’s Condensed Consolidated Balance Sheets. In the first quarter of 2020, SoCalGas recorded an accrual of $277 million, inclusive of estimated legal costs, of which $177 million was recorded in Insurance Receivable for Aliso Canyon Costs on the SoCalGas and Sempra Energy Condensed Consolidated Balance Sheets and $100 million ($72 million after tax) was recorded in O&M on the SoCalGas and Sempra Energy Condensed Consolidated Statements of Operations related to settlement discussions in connection with the private plaintiffs’ actions described in “Civil and Criminal Litigation” above. SoCalGas continues to monitor and evaluate the status of the private plaintiffs’ actions and the OII described in “Regulatory Proceedings” above and, in the third quarter of 2020, recorded an additional accrual of $27 million ($22 million after tax) in O&M on SoCalGas’ and Sempra Energy’s Condensed Consolidated Statement of Operations. These accruals are included in the cost estimate that we describe above. Except for the amounts paid or estimated to settle certain actions, as described in “Civil and Criminal Litigation” above, the cost estimate does not include all litigation, regulatory proceedings or regulatory costs to the extent it is not possible to predict at this time the outcome of these actions or reasonably estimate the costs to defend or resolve the actions or the amount of damages, restitution, or civil, administrative or criminal fines, sanctions, penalties or other costs or remedies that may be imposed or incurred. The cost estimate also does not include certain other costs incurred by Sempra Energy associated with defending against shareholder derivative lawsuits and other potential costs that we currently do not anticipate incurring or that we cannot reasonably estimate. These costs not included in the cost estimate could be significant and could have a material adverse effect on SoCalGas’ and Sempra Energy’s cash flows, financial condition and results of operations. We have received insurance payments for many of the costs included in the cost estimate, including temporary relocation and associated processing costs, control-of-well expenses, costs of the government-ordered response to the Leak, certain legal costs and lost gas. We intend to pursue the full extent of our insurance coverage for the costs we have incurred. Other than directors’ and officers’ liability insurance, after taking into consideration the additional accrual related to litigation matters described above, we have exhausted all of our insurance in this matter, except as to certain defense costs we may incur in the future, including those related to the shareholder derivative lawsuits described above. We continue to pursue other sources of insurance coverage for costs related to this matter, but we may not be successful in obtaining additional insurance recovery for any of these costs. If we are not able to secure additional insurance recovery for all or a substantial portion of these costs, if any costs we have recorded as an insurance receivable are not collected, if there are delays in receiving insurance recoveries, or if the insurance recoveries are subject to income taxes while the associated costs are not tax deductible, such amounts, which could be significant, could have a material adverse effect on SoCalGas’ and Sempra Energy’s cash flows, financial condition and results of operations. As of September 30, 2020, we recorded the expected recovery of the cost estimate related to the Leak of $504 million as Insurance Receivable for Aliso Canyon Costs on SoCalGas’ and Sempra Energy’s Condensed Consolidated Balance Sheets. This amount is exclusive of insurance retentions and $775 million of insurance proceeds we received through September 30, 2020. If we were to conclude that this receivable or a portion of it is no longer probable of recovery from insurers, some or all of this receivable would be charged against earnings, which could have a material adverse effect on SoCalGas’ and Sempra Energy’s cash flows, financial condition and results of operations. Sempra Mexico Energía Costa Azul IEnova has been engaged in a long-running land dispute relating to property adjacent to its ECA LNG Regasification facility that allegedly overlaps with land owned by the ECA LNG Regasification facility (the facility, however, is not situated on the land that is the subject of this dispute). A claimant to the adjacent property filed complaints in the federal Agrarian Court challenging the refusal of SEDATU in 2006 to issue title to him for the disputed property. In November 2013, the federal Agrarian Court ordered that SEDATU issue the requested title and cause it to be registered. Both SEDATU and IEnova challenged the ruling due to lack of notification of the underlying process. In May 2019, a federal court in Mexico reversed the ruling and ordered a retrial. Four other cases involving two adjacent areas of real property on which part of the ECA LNG Regasification facility is situated, each brought by a single plaintiff or her descendants, remain pending against the facility. The first disputed area is subject to a claim in the federal Agrarian Court that has been ongoing since 2006, in which the plaintiffs seek to annul the property title for a portion of the land on which the ECA LNG Regasification facility is situated and to obtain possession of a different parcel that allegedly overlaps with the site of the ECA LNG Regasification facility. The second disputed area is one parcel adjacent to the ECA LNG Regasification facility that allegedly overlaps with land on which the ECA LNG Regasification facility is situated, which is subject to a claim in the Agrarian Court and two claims in civil courts. The Agrarian Court proceeding, which seeks an order that SEDATU issue title to the plaintiff, was initiated in 2013 and the parties are awaiting a final decision. The two civil court proceedings, which seek to invalidate the contract by which the ECA LNG Regasification facility purchased the applicable parcel of land on which the ECA LNG Regasification facility is situated on the grounds that the purchase price was allegedly unfair, are progressing at different stages. In the first, initiated in 2013, a lower court ruled in favor of the ECA LNG Regasification facility and the ruling has been appealed by the plaintiff. The same plaintiff filed the second civil case in 2019, which is in its initial stages. Certain of these land disputes involve land on which portions of the proposed ECA LNG liquefaction facility are anticipated to be situated or on which portions of the ECA LNG Regasification facility that would be necessary for the operation of the proposed ECA LNG liquefaction facility are situated. Several administrative challenges are pending before Mexico’s Secretariat of Environment and Natural Resources (the Mexican environmental protection agency) and Federal Tax and Administrative Courts, seeking revocation of the environmental impact authorization issued to the ECA LNG Regasification facility in 2003. These cases generally allege that the conditions and mitigation measures in the environmental impact authorization are inadequate and challenge findings that the activities of the terminal are consistent with regional development guidelines. In 2018, two related claimants filed separate challenges in the federal district court in Ensenada, Baja California in relation to the environmental and social impact permits issued by each of Agencia de Seguridad, Energía y Ambiente (ASEA) and SENER to ECA LNG JV authorizing natural gas liquefaction activities at the ECA LNG Regasification facility. In the first case, the court issued a provisional injunction in September 2018. In December 2018, ASEA approved modifications to the environmental permit that facilitate the development of the proposed natural gas liquefaction facility in two phases. In May 2019, the court canceled the provisional injunction. The claimant appealed the court’s decision canceling the injunction, but was not successful. The claimant’s underlying challenge to the permits remains pending. In the second case, the initial request for a provisional injunction was denied. That decision was reversed on appeal in January 2020, resulting in the issuance of a new injunction against the same environmental and social impact permits that were already issued by ASEA and SENER. This injunction has uncertain application absent clarification by the court. The reversal and issuance of the injunction in the second case is under further appeal. In September 2020, parties claiming a property interest in the land on which the ECA LNG Regasification facility is situated and the proposed ECA LNG liquefaction facility is anticipated to be situated filed an administrative proceeding with the Municipality of Ensenada against the construction permit for the construction of the proposed liquefaction export projects at the ECA LNG Regasification facility. The construction permit has been suspended pending resolution of the claim and the ECA LNG Regasification facility and ECA LNG JV are contesting the validity of the claim. In May 2020, the two third-party capacity customers at the ECA LNG Regasification facility, Shell Mexico and Gazprom, asserted that a 2019 update of the general terms and conditions for service at the facility, as approved by the CRE, resulted in a breach of contract by IEnova and a force majeure event. Citing these circumstances, the customers subsequently stopped making payments of amounts due under their respective LNG storage and regasification agreements. IEnova has rejected the customers’ assertions and has drawn (and expects to continue to draw) on the customers’ letters of credit provided as payment security. The parties engaged in discussions under the applicable contractual dispute resolution procedures without coming to a mutually acceptable resolution. In July 2020, Shell Mexico submitted a request for arbitration of the dispute. IEnova will avail itself of its available claims, defenses and remedies in the arbitration proceeding. Gazprom has since replenished the amounts drawn on its letter of credit and has resumed making regular monthly payments under its LNG storage and regasification agreement. In October 2020, IEnova was informed by Gazprom of its consent to join the arbitration proceeding initiated by Shell Mexico against the ECA LNG Regasification facility and is awaiting the formalization of Gazprom’s recognition as a claimant party in such arbitration. IEnova intends to enforce its rights in the arbitration process, seeking to dismiss the customers’ claims. Shell Mexico also filed a constitutional challenge to the CRE’s approval of the update to the general terms and conditions. In October 2020, Shell Mexico’s request to stay CRE’s approval was denied and, subsequently, Shell Mexico filed an appeal of that decision. One or more unfavorable final decisions on these disputes or challenges, could materially and adversely affect our existing natural gas regasification operations and proposed LNG liquefaction projects at the site of the ECA LNG Regasification facility. Guaymas-El Oro Segment of the Sonora Pipeline IEnova’s Sonora natural gas pipeline consists of two segments, the Sasabe-Puerto Libertad-Guaymas segment, and the Guaymas-El Oro segment. Each segment has its own service agreement with the CFE. In 2015, the Yaqui tribe, with the exception of some members living in the Bácum community, granted its consent and a right-of-way easement agreement for the construction of the Guaymas-El Oro segment of the Sonora natural gas pipeline that crosses its territory. Representatives of the Bácum community filed a legal challenge in Mexican federal court demanding the right to withhold consent for the project, the stoppage of work in the Yaqui territory and damages. In 2016, the judge granted a suspension order that prohibited the construction of such segment through the Bácum community territory. Because the pipeline does not pass through the Bácum community, IEnova did not believe the 2016 suspension order prohibited construction in the remainder of the Yaqui territory. Construction of the Guaymas-El Oro segment was completed, and commercial operations began in May 2017. Following the start of commercial operations of the Guaymas-El Oro segment, IEnova reported damage to the Guaymas-El Oro segment of the Sonora pipeline in the Yaqui territory that has made that section inoperable since August 2017 and, as a result, IEnova declared a force majeure event. In 2017, an appellate court ruled that the scope of the 2016 suspension order encompassed the wider Yaqui territory, which has prevented IEnova from making repairs to put the pipeline back in service. In July 2019, a federal district court ruled in favor of IEnova and held that the Yaqui tribe was properly consulted and that consent from the Yaqui tribe was properly received. Representatives of the Bácum community appealed this decision, causing the suspension order preventing IEnova from repairing the damage to the Guaymas-El Oro segment of the Sonora pipeline in the Yaqui territory to remain in place until the appeals process is exhausted. IEnova exercised its rights under the contract, which included seeking force majeure payments for the two-year period such force majeure payments were required to be made, which ended in August 2019. In July 2019, the CFE filed a request for arbitration generally to nullify certain contract terms that provide for fixed capacity payments in instances of force majeure and made a demand for substantial damages in connection with the force majeure event. In September 2019, the arbitration process ended when IEnova and the CFE reached an agreement to restart natural gas transportation service on the earlier of completion of repair of the damaged pipeline or January 15, 2020, and to modify the tariff structure and extend the term of the contract by 10 years. Subsequently, IEnova and the CFE agreed to extend the service start date to May 15, 2020 and then again to September 15, 2020. In the third quarter of 2020, the parties agreed to further extend the service start date to March 14, 2021. Under the revised agreement, the CFE will resume making payments only when the damaged section of the Guaymas-El Oro segment of the Sonora pipeline is repaired. If the pipeline is not repaired by March 14, 2021 and the parties do not agree on a new service start date, IEnova retains the right to terminate the contract and seek to recover its reasonable and documented costs and lost profits. If IEnova is unable to make such repairs and resume operations in the Guaymas-El Oro segment of the Sonora pipeline within this time frame or if IEnova terminates the contract and is unable to obtain recovery, there may be a material adverse impact on Sempra Energy’s results of operations and cash flows and our ability to recover the carrying value of our investment. At September 30, 2020, the Guaymas-El Oro segment of the Sonora pipeline had a net book value of $446 million. The Sasabe-Puerto Libertad-Guaymas segment of the Sonora pipeline remains in full operation and is not impacted by these developments. Regulatory Actions by the Mexican Government that Impact Renewable Energy Facilities In April 2020, Mexico’s CENACE issued an order that it claims would safeguard Mexico’s national power grid from interruptions that may be caused by renewable energy projects. The main provision of the order suspends all legally mandated pre-operative testing that would be needed for new renewable energy projects to commence operations and prevents such projects from connecting to the national power grid until further notice. IEnova’s renewable energy projects affected by the order filed for legal protection through amparo claims (constitutional protection lawsuits) and, in June 2020, received injunctive relief until the claims are resolved by the courts. In May 2020, Mexico’s SENER published a resolution to establish guidelines intended to guarantee the security and reliability of the national grid’s electricity supply by reducing the threat that it claims is caused by clean, intermittent energy. The resolution includes the following key elements: ▪ provides non-renewable electricity generation facilities, primarily non-renewable power plants, preferential access or easier access to Mexico’s national power grid, while increasing restrictions on access to the grid by renewable energy facilities; ▪ grants the CRE and CENACE broad authority to approve or deny permits and interconnection requests by producers of renewable energy; and ▪ imposes restrictive measures on the renewable energy sector, including requiring all permits and interconnection agreements to include an early termination clause in the event the renewable energy project fails to make certain additional improvements, at the request of the CRE or CENACE, in accordance with a specific schedule. IEnova’s renewable energy projects, including those in construction and in service, filed amparo claims against the SENER resolution in June 2020 and received injunctive relief in July 2020. In addition, in June 2020, COFECE, Mexico’s antitrust regulator, filed a complaint with Mexico’s Supreme Court against the SENER resolution. COFECE’s complaint was upheld by the court and, pending the court’s final ruling, the decision suspends indefinitely the resolution. In May 2020, the CRE approved an update to the transmission rates included in legacy renewables and cogeneration energy contracts, based on the claim that the legacy transmission rates did not reflect fair and proportional costs for providing the applicable services and, therefore, created inequitable competitive conditions. Three of IEnova’s renewables’ facilities are currently holders of contracts with such legacy rates, and any increases in the transmission rates would be passed through directly to their customers. IEnova filed amparo claims for its affected facilities and, in August 2020, was granted injunctive relief. IEnova and other companies affected by these new orders and regulations have challenged the orders and regulations by filing amparo claims, some of which have been granted injunctive relief. The court-ordered injunctions provide relief until Mexico’s Federal District Court ultimately resolves the amparo claims or, with respect to the SENER resolution, until Mexico’s Supreme Court issues its final ruling on COFECE’s complaint, the timing of which is uncertain. An unfavorable final decision on these amparo challenges, or the potential for an extended dispute, could impact our ability to successfully complete construction of our solar facilities, or to complete them in a timely manner and within expected budgets, may impact our ability to operate our wind and solar facilities already in service at existing levels or at all, and may adversely affect our ability to develop new projects, any of whi |
SEGMENT INFORMATION
SEGMENT INFORMATION | 9 Months Ended |
Sep. 30, 2020 | |
Segment Reporting [Abstract] | |
SEGMENT INFORMATION | SEGMENT INFORMATION We have five separately managed reportable segments, as follows: ▪ SDG&E provides electric service to San Diego and southern Orange counties and natural gas service to San Diego County. ▪ SoCalGas is a natural gas distribution utility, serving customers throughout most of Southern California and part of central California. ▪ Sempra Texas Utilities holds our investment in Oncor Holdings, which owns an 80.25% interest in Oncor, a regulated electric transmission and distribution utility serving customers in the north-central, eastern, and western and panhandle regions of Texas; and our indirect, 50% interest in Sharyland Holdings, which owns Sharyland Utilities L.L.C., a regulated electric transmission and distribution utility serving customers near the Texas-Mexico border. As we discuss in Note 5 of the Notes to Consolidated Financial Statements in the Annual Report, we acquired our investment in Sharyland Holdings in May 2019. ▪ Sempra Mexico develops, owns and operates, or holds interests in, natural gas, electric, LNG, LPG, ethane and liquid fuels infrastructure, and has marketing operations for the purchase of LNG and the purchase and sale of natural gas in Mexico. ▪ Sempra LNG develops projects for the export of LNG, holds an interest in a facility for the export of LNG, owns and operates natural gas pipelines, and buys, sells and transports natural gas through its marketing operations, all within the U.S. and Mexico. In February 2019, we completed the sale of our natural gas storage assets at Mississippi Hub and Bay Gas. In April 2019, Sempra Renewables completed the sale of its remaining wind assets and investments. Upon completion of this sale, remaining nominal business activities at Sempra Renewables were subsumed into Parent and other and the Sempra Renewables segment ceased to exist. The tables below include amounts from Sempra Renewables up until cessation of the segment. As we discuss in Note 5, the financial information related to our businesses that constituted the Sempra South American Utilities segment is presented as discontinued operations for all periods presented. The information in the tables below excludes amounts from discontinued operations unless otherwise noted. We completed the sales of our discontinued operations in the second quarter of 2020. We evaluate each segment’s performance based on its contribution to Sempra Energy’s reported earnings and cash flows. The California Utilities operate in essentially separate service territories, under separate regulatory frameworks and rate structures set by the CPUC and the FERC. We describe the accounting policies of all of our segments in Note 1 of the Notes to Consolidated Financial Statements in the Annual Report. The cost of common services shared by the business segments is assigned directly or allocated based on various cost factors, depending on the nature of the service provided. Interest income and expense is recorded on intercompany loans. The loan balances and related interest are eliminated in consolidation. The following tables show selected information by segment from our Condensed Consolidated Statements of Operations and Condensed Consolidated Balance Sheets. Amounts labeled as “All other” in the following tables consist primarily of activities of parent organizations and include certain nominal amounts from our South American businesses that did not qualify for treatment as discontinued operations. SEGMENT INFORMATION (Dollars in millions) Three months ended September 30, Nine months ended September 30, 2020 2019 2020 2019 REVENUES SDG&E $ 1,472 $ 1,427 $ 3,976 $ 3,666 SoCalGas 842 975 3,247 3,142 Sempra Mexico 351 357 935 1,058 Sempra Renewables — — — 10 Sempra LNG 63 100 255 327 All other — 1 1 1 Adjustments and eliminations 2 (2) — (3) Intersegment revenues (1) (86) (100) (215) (315) Total $ 2,644 $ 2,758 $ 8,199 $ 7,886 INTEREST EXPENSE SDG&E $ 103 $ 106 $ 307 $ 311 SoCalGas 39 36 119 104 Sempra Mexico 31 30 95 89 Sempra Renewables — — — 3 Sempra LNG 8 11 39 18 All other 93 117 304 336 Intercompany eliminations (10) (21) (46) (64) Total $ 264 $ 279 $ 818 $ 797 INTEREST INCOME SDG&E $ 1 $ 1 $ 2 $ 3 SoCalGas — — 2 1 Sempra Mexico 14 20 47 58 Sempra Renewables — — — 11 Sempra LNG 25 15 65 45 All other — 1 3 2 Intercompany eliminations (13) (15) (43) (56) Total $ 27 $ 22 $ 76 $ 64 DEPRECIATION AND AMORTIZATION SDG&E $ 200 $ 196 $ 598 $ 571 SoCalGas 165 154 486 449 Sempra Mexico 47 46 141 136 Sempra LNG 2 2 7 7 All other 4 4 10 11 Total $ 418 $ 402 $ 1,242 $ 1,174 INCOME TAX EXPENSE (BENEFIT) SDG&E $ 33 $ 71 $ 161 $ 111 SoCalGas (6) 35 95 50 Sempra Mexico 92 — (161) 116 Sempra Renewables — — — 4 Sempra LNG 18 (2) 59 4 All other (38) (43) (94) (135) Total $ 99 $ 61 $ 60 $ 150 EQUITY EARNINGS (LOSSES) Equity earnings (losses), before income tax: Sempra Texas Utilities $ 1 $ — $ 1 $ 1 Sempra Renewables — — — 5 Sempra LNG 116 17 257 19 All other — — (100) (1) 117 17 158 24 Equity earnings, net of income tax: Sempra Texas Utilities 208 212 457 418 Sempra Mexico 1 37 207 43 209 249 664 461 Total $ 326 $ 266 $ 822 $ 485 SEGMENT INFORMATION (CONTINUED) (Dollars in millions) Three months ended September 30, Nine months ended 2020 2019 2020 2019 EARNINGS (LOSSES) ATTRIBUTABLE TO COMMON SHARES SDG&E $ 178 $ 263 $ 633 $ 582 SoCalGas (24) 143 425 437 Sempra Texas Utilities 209 212 458 419 Sempra Mexico 50 84 302 214 Sempra Renewables — — — 59 Sempra LNG 71 2 207 13 Discontinued operations (7) 248 1,840 267 All other (126) (139) (515) (383) Total $ 351 $ 813 $ 3,350 $ 1,608 EXPENDITURES FOR PROPERTY, PLANT & EQUIPMENT SDG&E $ 1,323 $ 1,071 SoCalGas 1,345 1,019 Sempra Mexico 443 420 Sempra Renewables — 2 Sempra LNG 196 74 All other 6 4 Total $ 3,313 $ 2,590 September 30, December 31, ASSETS SDG&E $ 22,421 $ 20,560 SoCalGas 17,943 17,077 Sempra Texas Utilities 12,063 11,619 Sempra Mexico 10,730 9,938 Sempra LNG 3,643 3,901 Discontinued operations — 3,958 All other 2,398 749 Intersegment receivables (1,976) (2,137) Total $ 67,222 $ 65,665 EQUITY METHOD AND OTHER INVESTMENTS Sempra Texas Utilities $ 12,063 $ 11,619 Sempra Mexico 920 741 Sempra LNG 433 1,256 All other 1 6 Total $ 13,417 $ 13,622 (1) Revenues for reportable segments include intersegment revenues of $1 million, $23 million, $12 million and $50 million for the three months ended September 30, 2020; $4 million, $61 million, $69 million and $81 million for the nine months ended September 30, 2020; $1 million, $16 million, $29 million and $54 million for the three months ended September 30, 2019; and $4 million, $50 million, $89 million and $172 million for the nine months ended September 30, 2019 for SDG&E, SoCalGas, Sempra Mexico and Sempra LNG, respectively. |
GENERAL INFORMATION AND OTHER_2
GENERAL INFORMATION AND OTHER FINANCIAL DATA (Policies) | 9 Months Ended |
Sep. 30, 2020 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Principles of Consolidation | PRINCIPLES OF CONSOLIDATION Sempra Energy Sempra Energy’s Condensed Consolidated Financial Statements include the accounts of Sempra Energy, a California-based energy-services holding company, and its consolidated subsidiaries and VIEs. Sempra Global is the holding company for most of our subsidiaries that are not subject to California or Texas utility regulation. Sempra Energy’s businesses were managed within six separate reportable segments until April 2019 and five separate reportable segments thereafter, which we discuss in Note 12. All references in these Notes to our reportable segments are not intended to refer to any legal entity with the same or similar name. SDG&E SDG&E’s Condensed Consolidated Financial Statements include its accounts and the accounts of a VIE of which SDG&E was the primary beneficiary until August 23, 2019, at which time SDG&E deconsolidated the VIE. SDG&E’s common stock is wholly owned by Enova Corporation, which is a wholly owned subsidiary of Sempra Energy. SoCalGas SoCalGas’ common stock is wholly owned by Pacific Enterprises, which is a wholly owned subsidiary of Sempra Energy. In this report, we refer to SDG&E and SoCalGas collectively as the California Utilities. |
Basis of Presentation | BASIS OF PRESENTATION This is a combined report of Sempra Energy, SDG&E and SoCalGas. We provide separate information for SDG&E and SoCalGas as required. References in this report to “we,” “us,” “our” and “Sempra Energy Consolidated” are to Sempra Energy and its consolidated entities, unless otherwise indicated by the context. We have eliminated intercompany accounts and transactions within the consolidated financial statements of each reporting entity. Throughout this report, we refer to the following as Condensed Consolidated Financial Statements and Notes to Condensed Consolidated Financial Statements when discussed together or collectively: ▪ the Condensed Consolidated Financial Statements and related Notes of Sempra Energy and its subsidiaries and VIEs; ▪ the Condensed Consolidated Financial Statements and related Notes of SDG&E and its VIE (until deconsolidation of Otay Mesa VIE in August 2019); and ▪ the Condensed Financial Statements and related Notes of SoCalGas. We have prepared the Condensed Consolidated Financial Statements in conformity with U.S. GAAP and in accordance with the interim-period-reporting requirements of Form 10-Q and applicable rules of the SEC. Results of operations for interim periods are not necessarily indicative of results for the entire year or for any other period. We evaluated events and transactions that occurred after September 30, 2020 through the date the financial statements were issued and, in the opinion of management, the accompanying statements reflect all adjustments necessary for a fair presentation. These adjustments are only of a normal, recurring nature. All December 31, 2019 balance sheet information in the Condensed Consolidated Financial Statements has been derived from our audited 2019 Consolidated Financial Statements in the Annual Report. Certain information and note disclosures normally included in annual financial statements prepared in accordance with U.S. GAAP have been condensed or omitted pursuant to the interim-period-reporting provisions of U.S. GAAP and the SEC. We describe our significant accounting policies in Note 1 of the Notes to Consolidated Financial Statements in the Annual Report and the impact of the adoption of new accounting standards on those policies in Note 2 below. We follow the same accounting policies for interim period reporting purposes. You should read the information in this report in conjunction with the Annual Report. |
Discontinued Operations | Discontinued OperationsIn January 2019, our board of directors approved a plan to sell our South American businesses based on our strategic focus on North America. We determined that these businesses, which previously constituted the Sempra South American Utilities segment, and certain activities associated with these businesses, met the held-for-sale criteria. These businesses are presented as discontinued operations, which we discuss further in Note 5, as the sales represent a strategic shift that will have a major effect on our operations and financial results. We completed the sales in the second quarter of 2020. Our discussions in the Notes below relate only to our continuing operations unless otherwise noted. |
Credit Loss Policy | We regularly monitor and evaluate credit losses and record allowances for expected credit losses, if necessary, for trade and other accounts receivable using a combination of factors, including past-due status based on contractual terms, trends in write-offs, the age of the receivable, historical and industry trends, counterparty creditworthiness, economic conditions and specific events, such as bankruptcies. We write off financial assets measured at amortized cost in the period in which we determine they are not recoverable. We record recoveries of amounts previously written off when it is known that they will be recovered.For amounts due from unconsolidated affiliates and off-balance sheet arrangements, on a quarterly basis, we evaluate credit losses and record allowances for expected credit losses, if necessary, based on credit quality indicators such as external credit ratings, published default rate studies, the maturity date of the instrument and past delinquencies. However, we do not record allowances for expected credit losses related to accrued interest receivable on loans due from unconsolidated affiliates because we write off such amounts, if any, through a reversal of interest income in the period we determine such amounts are uncollectible. In the absence of external credit ratings, we may utilize an internally developed credit rating based on our analysis of a counterparty’s financial statements to determine our expected credit losses. |
Variable Interest Entity Policy | VARIABLE INTEREST ENTITIES We consolidate a VIE if we are the primary beneficiary of the VIE. Our determination of whether we are the primary beneficiary is based on qualitative and quantitative analyses, which assess: ▪ the purpose and design of the VIE; ▪ the nature of the VIE’s risks and the risks we absorb; ▪ the power to direct activities that most significantly impact the economic performance of the VIE; and ▪ the obligation to absorb losses or the right to receive benefits that could be significant to the VIE. |
Earnings Per Share Policy | Basic EPS is calculated by dividing earnings attributable to common shares (from both continuing and discontinued operations) by the weighted-average number of common shares outstanding for the period. Diluted EPS includes the potential dilution of common stock equivalent shares that could occur if securities or other contracts to issue common stock were exercised or converted into common stock.The potentially dilutive impact from stock options and RSUs is calculated under the treasury stock method. Under this method, proceeds based on the exercise price and unearned compensation are assumed to be used to repurchase shares on the open market at the average market price for the period, reducing the number of potential new shares to be issued and sometimes causing an antidilutive effect. The potentially dilutive impact from the forward sale of our common stock pursuant to forward sale agreements that we entered into in 2018 and fully settled by the end of 2019 is reflected in our diluted EPS calculation using the treasury stock method until settlement. After settlement, those shares are included in weighted-average common shares outstanding for basic EPS. The potentially dilutive impact from mandatory convertible preferred stock is calculated under the if-converted method.We discuss share-based compensation plans and related awards and the terms and conditions of Sempra Energy’s equity securities further in Notes 10, 13 and 14 of the Notes to Consolidated Financial Statements in the Annual Report. |
Interim period effective tax rate policy | Sempra Energy, SDG&E and SoCalGas record income taxes for interim periods utilizing a forecasted ETR anticipated for the full year. Unusual and infrequent items and items that cannot be reliably estimated are recorded in the interim period in which they occur, which can result in variability in the ETR. |
Flow-through rate-making treatment tax policy | For SDG&E and SoCalGas, the CPUC requires flow-through rate-making treatment for the current income tax benefit or expense arising from certain property-related and other temporary differences between the treatment for financial reporting and income tax, which will reverse over time. Under the regulatory accounting treatment required for these flow-through temporary differences, deferred income tax assets and liabilities are not recorded to deferred income tax expense, but rather to a regulatory asset or liability, which impacts the ETR. As a result, changes in the relative size of these items compared to pretax income, from period to period, can cause variations in the ETR. The following items are subject to flow-through treatment: ▪ repairs expenditures related to a certain portion of utility plant fixed assets ▪ the equity portion of AFUDC, which is non-taxable ▪ a portion of the cost of removal of utility plant assets ▪ utility self-developed software expenditures ▪ depreciation on a certain portion of utility plant assets |
New Accounting Standards | We describe below recent accounting pronouncements that have had or may have a significant effect on our financial condition, results of operations, cash flows or disclosures. ASU 2016-13, “Measurement of Credit Losses on Financial Instruments”: ASU 2016-13 IMPACT FROM ADOPTION OF ASU 2016-13 (Dollars in millions) Sempra Energy Accounts receivable – trade, net $ (1) Due from unconsolidated affiliates – noncurrent (6) Deferred income tax assets 4 Other current liabilities 4 Deferred credits and other 2 Retained earnings (7) Other noncontrolling interests (2) ASU 2017-04, “Simplifying the Test for Goodwill Impairment”: ASU 2017-04 removes the second step of the goodwill impairment test, which requires a hypothetical purchase price allocation. An entity will be required to apply a one-step quantitative test and record the amount of goodwill impairment as the excess of a reporting unit’s carrying amount over its fair value, not to exceed the carrying amount of goodwill. We adopted ASU 2017-04 on January 1, 2020 and will apply the standard on a prospective basis to our goodwill impairment tests. ASU 2019-12, “Simplifying the Accounting for Income Taxes”: ASU 2019-12 simplifies certain areas of accounting for income taxes. In addition to other changes, this standard amends ASC 740, “Income Taxes,” as follows: ▪ removes the exception to the incremental approach for intraperiod tax allocation when there is a loss from continuing operations and income or a gain from other items, including discontinued operations or other comprehensive income; ▪ simplifies the recognition of deferred taxes related to basis differences as a result of ownership changes in investments; ▪ specifies an entity is not required to allocate the consolidated amount of current and deferred tax expense to a legal entity that is not subject to tax in its separate financial statements; and ▪ requires an entity to reflect the effect of an enacted change in tax laws or rates in the annual ETR computation in the interim period that includes the enactment date. For public entities, ASU 2019-12 is effective for fiscal years beginning after December 15, 2020, including interim periods therein, with early adoption permitted. The transition method related to the amendments made by ASU 2019-12 varies based on the nature of the change. We will adopt the standard on January 1, 2021 and do not expect it will have a material impact on our financial statements. ASU 2020-04, “Facilitation of the Effects of Reference Rate Reform on Financial Reporting”: ASU 2020-04 provides optional expedients and exceptions for applying U.S. GAAP to contract modifications that replace LIBOR or another reference rate affected by reference rate reform and to hedging relationships that reference LIBOR or another reference rate that is affected or expected to be affected by reference rate reform. ASU 2020-04 is effective March 12, 2020 and can be applied through December 31, 2022, with certain exceptions for hedging relationships that continue to exist after this date, and may be applied from January 1, 2020. For contract modifications, the standard allows entities to account for modifications as an event that does not require reassessment or remeasurement (i.e., as a continuation of the existing contract). The standard also allows entities to amend their formal designation and documentation of hedging relationships affected or expected to be affected by reference rate reform, without having to de-designate the hedging relationship. Entities may elect the optional expedients and exceptions on an individual hedging relationship basis and independently from one another. We elected the optional expedients for contract modifications. We elected the cash flow hedging expedients to disregard the potential discontinuation of a reference rate when assessing whether a hedged forecasted interest payment is probable and to disregard certain mismatches between the designated hedging instrument and the hedged item when assessing the hedge effectiveness. We are applying these expedients prospectively from January 1, 2020. Application of these expedients preserves the presentation of derivatives consistent with the past presentation. ASU 2020-06, “Accounting for Convertible Instruments and Contracts in an Entity’s Own Equity”: ASU 2020-06 simplifies the accounting for certain financial instruments with characteristics of liabilities and equity, including convertible instruments and contracts on an entity’s own equity. In addition to other changes, this standard amends ASC 470-20, “Debt with Conversion and Other Options,” by removing the accounting models for instruments with beneficial conversion features and cash conversion features. The standard also amends ASC 260, “Earnings Per Share,” as follows: ▪ requires an entity to apply the if-converted method when calculating diluted EPS for convertible instruments and no longer use the treasury stock method, which was previously allowed for certain convertible instruments; ▪ requires an entity to include the effect of potential share settlement in the diluted EPS calculation when an instrument may be settled in cash or shares, and no longer allows an entity to rebut the presumption of share settlement if it has a history or policy of cash settlement; ▪ requires an entity to include equity-classified convertible preferred stock that contains down-round features whereby, if the down-round feature is triggered, its effect is treated as a dividend and as a reduction of income available to common shareholders in basic EPS; ▪ clarifies that the average market price should be used to calculate the diluted EPS denominator when the exercise price or the number of shares that may be issued is variable, except for certain contingently issuable shares; and ▪ clarifies that the weighted-average share count from each quarter should be used when calculating the year-to-date weighted-average share count. For public entities, ASU 2020-06 is effective for fiscal years beginning after December 15, 2021, including interim periods therein, with early adoption permitted for fiscal years beginning after December 15, 2020. An entity can use either a full or modified retrospective approach to adopt ASU 2020-06 and must disclose, in the period of adoption, EPS transition information about the effect of the change on affected per-share amounts. We are currently evaluating the effect of the standard on our ongoing financial reporting and have not yet selected the year in which we will adopt the standard. |
Derivative Financial Instruments | HEDGE ACCOUNTING We may designate a derivative as a cash flow hedging instrument if it effectively converts anticipated cash flows associated with revenues or expenses to a fixed dollar amount. We may utilize cash flow hedge accounting for derivative commodity instruments, foreign currency instruments and interest rate instruments. Designating cash flow hedges is dependent on the business context in which the instrument is being used, the effectiveness of the instrument in offsetting the risk that the future cash flows of a given revenue or expense item may vary, and other criteria. ENERGY DERIVATIVES Our market risk is primarily related to natural gas and electricity price volatility and the specific physical locations where we transact. We use energy derivatives to manage these risks. The use of energy derivatives in our various businesses depends on the particular energy market, and the operating and regulatory environments applicable to the business, as follows: ▪ The California Utilities use natural gas and electricity derivatives, for the benefit of customers, with the objective of managing price risk and basis risks, and stabilizing and lowering natural gas and electricity costs. These derivatives include fixed-price natural gas and electricity positions, options, and basis risk instruments, which are either exchange-traded or over-the-counter financial instruments, or bilateral physical transactions. This activity is governed by risk management and transacting activity plans that have been filed with and approved by the CPUC. Natural gas and electricity derivative activities are recorded as commodity costs that are offset by regulatory account balances and are recovered in rates. Net commodity cost impacts on the Condensed Consolidated Statements of Operations are reflected in Cost of Electric Fuel and Purchased Power or in Cost of Natural Gas. ▪ SDG&E is allocated and may purchase CRRs, which serve to reduce the regional electricity price volatility risk that may result from local transmission capacity constraints. Unrealized gains and losses do not impact earnings, as they are offset by regulatory account balances. Realized gains and losses associated with CRRs, which are recoverable in rates, are recorded in Cost of Electric Fuel and Purchased Power on the Condensed Consolidated Statements of Operations. ▪ Sempra Mexico and Sempra LNG may use natural gas and electricity derivatives, as appropriate, to optimize the earnings of their assets which support the following businesses: LNG, natural gas transportation and storage, and power generation. Gains and losses associated with undesignated derivatives are recognized in Energy-Related Businesses Revenues or in Energy-Related Businesses Cost of Sales on the Condensed Consolidated Statements of Operations. Certain of these derivatives may also be designated as cash flow hedges. Sempra Mexico may also use natural gas energy derivatives with the objective of managing price risk and lowering natural gas prices at its distribution operations. These derivatives, which are recorded as commodity costs that are offset by regulatory account balances and recovered in rates, are recognized in Cost of Natural Gas on the Condensed Consolidated Statements of Operations. ▪ From time to time, our various businesses, including the California Utilities, may use other energy derivatives to hedge exposures such as the price of vehicle fuel and greenhouse gas allowances. In addition to the amounts noted above, we use commodity derivatives to manage risks associated with the physical locations of contractual obligations and assets, such as natural gas purchases and sales. INTEREST RATE DERIVATIVES We are exposed to interest rates primarily as a result of our current and expected use of financing. The California Utilities, as well as Sempra Energy and its other subsidiaries and JVs, periodically enter into interest rate derivative agreements intended to moderate our exposure to interest rates and to lower our overall costs of borrowing. In addition, we may utilize interest rate swaps, typically designated as cash flow hedges, to lock in interest rates on outstanding debt or in anticipation of future financings. FOREIGN CURRENCY DERIVATIVES We utilize cross-currency swaps to hedge exposure related to Mexican peso-denominated debt at our Mexican subsidiaries and JVs. These cash flow hedges exchange our Mexican peso-denominated principal and interest payments into the U.S. dollar and swap Mexican variable interest rates for U.S. fixed interest rates. From time to time, Sempra Mexico and its JVs may use other foreign currency derivatives to hedge exposures related to cash flows associated with revenues from contracts denominated in Mexican pesos that are indexed to the U.S. dollar. We are also exposed to exchange rate movements at our Mexican subsidiaries and JVs, which have U.S. dollar-denominated cash balances, receivables, payables and debt (monetary assets and liabilities) that give rise to Mexican currency exchange rate movements for Mexican income tax purposes. They also have deferred income tax assets and liabilities denominated in the Mexican peso, which must be translated to U.S. dollars for financial reporting purposes. In addition, monetary assets and liabilities and certain nonmonetary assets and liabilities are adjusted for Mexican inflation for Mexican income tax purposes. We utilize foreign currency derivatives as a means to manage the risk of exposure to significant fluctuations in our income tax expense and equity earnings from these impacts; however, we generally do not hedge our deferred income tax assets and liabilities or for inflation. We also utilized foreign currency derivatives to hedge exposure to fluctuations in the Peruvian sol and Chilean peso related to the sales of our operations in Peru and Chile, respectively. |
Fair Value Measurement Policy | We classify financial assets and liabilities in their entirety based on the lowest level of input that is significant to the fair value measurement. Our assessment of the significance of a particular input to the fair value measurement requires judgment, and may affect the valuation of fair valued assets and liabilities, and their placement within the fair value hierarchy. We have not changed the valuation techniques or types of inputs we use to measure recurring fair value since December 31, 2019. The fair value of commodity derivative assets and liabilities is presented in accordance with our netting policy, as we discuss in Note 8 under “Financial Statement Presentation.” The determination of fair values, shown in the tables below, incorporates various factors, including but not limited to, the credit standing of the counterparties involved and the impact of credit enhancements (such as cash deposits, letters of credit and priority interests). Our financial assets and liabilities that were accounted for at fair value on a recurring basis in the tables below include the following (other than a $5 million investment at December 31, 2019, measured at net asset value): ▪ Nuclear decommissioning trusts reflect the assets of SDG&E’s NDT, excluding cash balances. A third-party trustee values the trust assets using prices from a pricing service based on a market approach. We validate these prices by comparison to prices from other independent data sources. Securities are valued using quoted prices listed on nationally recognized securities exchanges or based on closing prices reported in the active market in which the identical security is traded (Level 1). Other securities are valued based on yields that are currently available for comparable securities of issuers with similar credit ratings (Level 2). ▪ For commodity contracts, interest rate derivatives and foreign exchange instruments, we primarily use a market or income approach with market participant assumptions to value these derivatives. Market participant assumptions include those about risk, and the risk inherent in the inputs to the valuation techniques. These inputs can be readily observable, market corroborated, or generally unobservable. We have exchange-traded derivatives that are valued based on quoted prices in active markets for the identical instruments (Level 1). We also may have other commodity derivatives that are valued using industry standard models that consider quoted forward prices for commodities, time value, current market and contractual prices for the underlying instruments, volatility factors, and other relevant economic measures (Level 2). Level 3 recurring items relate to CRRs and long-term, fixed-price electricity positions at SDG&E, as we discuss below in “Level 3 Information – SDG&E.” ▪ Rabbi Trust investments include marketable securities that we value using a market approach based on closing prices reported in the active market in which the identical security is traded (Level 1). These investments in marketable securities were negligible at both September 30, 2020 and December 31, 2019. ▪ As we discuss in Note 6, in July 2020, Sempra Energy entered into a Support Agreement for the benefit of CFIN. We measure the Support Agreement, which includes a guarantee obligation, a put option and a call option, net of related guarantee fees, at fair value on a recurring basis. We use a discounted cash flow model to value the Support Agreement, net of related guarantee fees. Because some of the inputs that are significant to the valuation are less observable, the Support Agreement is classified as Level 3, as we describe below in “Level 3 Information – Sempra LNG.” A significant increase (decrease) in market electricity forward prices would result in a significantly higher (lower) fair value. We summarize long-term, fixed-price electricity position volumes in Note 8. Realized gains and losses associated with CRRs and long-term, fixed-price electricity positions, which are recoverable in rates, are recorded in Cost of Electric Fuel and Purchased Power on the Condensed Consolidated Statements of Operations. Because unrealized gains and losses are recorded as regulatory assets and liabilities, they do not affect earnings. significant to the valuation, the Support Agreement, net of related guarantee fees, is classified as Level 3. We assigned CFIN an internally developed credit rating of A3 and relied on default rate data published by Moody’s to assign a probability of default. A hypothetical change in the credit rating up or down one notch would not result in a significant change in the fair value of the Support Agreement. Fair Value of Financial Instruments |
Legal Costs Policy | LEGAL PROCEEDINGS We accrue losses for a legal proceeding when it is probable that a loss has been incurred and the amount of the loss can be reasonably estimated. However, the uncertainties inherent in legal proceedings make it difficult to reasonably estimate the costs and effects of resolving these matters. Accordingly, actual costs incurred may differ materially from amounts accrued, may exceed applicable insurance coverage and could materially adversely affect our business, cash flows, results of operations, financial condition and prospects. Unless otherwise indicated, we are unable to estimate reasonably possible losses in excess of any amounts accrued. |
Gains and Losses on NDTs | Net unrealized gains and losses, as well as realized gains and losses that are reinvested in the NDT, are included in noncurrent Regulatory Liabilities on Sempra Energy’s and SDG&E’s Condensed Consolidated Balance Sheets. We determine the cost of securities in the trusts on the basis of specific identification. |
Lessee, Leases Policy | Some of our lease agreements contain nonlease components, which represent activities that transfer a separate good or service to the lessee. As the lessee for both operating and finance leases, we have elected to combine lease and nonlease components as a single lease component for real estate, fleet vehicles, power generating facilities, and pipelines, whereby fixed or in-substance fixed payments allocable to the nonlease component are accounted for as part of the related lease liability and ROU asset. As the lessor, we have elected to combine lease and nonlease components as a single lease component for real estate and power generating facilities if the timing and pattern of transfer of the lease and nonlease components are the same and the lease component would be classified as an operating lease if accounted for separately. |
Lessor, Leases Policy | Generally, we recognize operating lease income on a straight-line basis over the lease term and evaluate the underlying asset for impairment. Certain of our leases contain rate adjustments or are based on foreign currency exchange rates that may result in lease payments received that vary in amount from one period to the next. |
Segment Information | We have five separately managed reportable segments, as follows: ▪ SDG&E provides electric service to San Diego and southern Orange counties and natural gas service to San Diego County. ▪ SoCalGas is a natural gas distribution utility, serving customers throughout most of Southern California and part of central California. ▪ Sempra Texas Utilities holds our investment in Oncor Holdings, which owns an 80.25% interest in Oncor, a regulated electric transmission and distribution utility serving customers in the north-central, eastern, and western and panhandle regions of Texas; and our indirect, 50% interest in Sharyland Holdings, which owns Sharyland Utilities L.L.C., a regulated electric transmission and distribution utility serving customers near the Texas-Mexico border. As we discuss in Note 5 of the Notes to Consolidated Financial Statements in the Annual Report, we acquired our investment in Sharyland Holdings in May 2019. ▪ Sempra Mexico develops, owns and operates, or holds interests in, natural gas, electric, LNG, LPG, ethane and liquid fuels infrastructure, and has marketing operations for the purchase of LNG and the purchase and sale of natural gas in Mexico. ▪ Sempra LNG develops projects for the export of LNG, holds an interest in a facility for the export of LNG, owns and operates natural gas pipelines, and buys, sells and transports natural gas through its marketing operations, all within the U.S. and Mexico. In February 2019, we completed the sale of our natural gas storage assets at Mississippi Hub and Bay Gas. In April 2019, Sempra Renewables completed the sale of its remaining wind assets and investments. Upon completion of this sale, remaining nominal business activities at Sempra Renewables were subsumed into Parent and other and the Sempra Renewables segment ceased to exist. The tables below include amounts from Sempra Renewables up until cessation of the segment. As we discuss in Note 5, the financial information related to our businesses that constituted the Sempra South American Utilities segment is presented as discontinued operations for all periods presented. The information in the tables below excludes amounts from discontinued operations unless otherwise noted. We completed the sales of our discontinued operations in the second quarter of 2020. We evaluate each segment’s performance based on its contribution to Sempra Energy’s reported earnings and cash flows. The California Utilities operate in essentially separate service territories, under separate regulatory frameworks and rate structures set by the CPUC and the FERC. We describe the accounting policies of all of our segments in Note 1 of the Notes to Consolidated Financial Statements in the Annual Report. The cost of common services shared by the business segments is assigned directly or allocated based on various cost factors, depending on the nature of the service provided. Interest income and expense is recorded on intercompany loans. The loan balances and related interest are eliminated in consolidation. |
GENERAL INFORMATION AND OTHER_3
GENERAL INFORMATION AND OTHER FINANCIAL DATA (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Schedule of Cash and Cash Equivalents | The following table provides a reconciliation of cash, cash equivalents, and restricted cash reported on Sempra Energy’s Condensed Consolidated Balance Sheets to the sum of such amounts reported on Sempra Energy’s Condensed Consolidated Statements of Cash Flows. We provide information about the nature of restricted cash in Note 1 of the Notes to Consolidated Financial Statements in the Annual Report. RECONCILIATION OF CASH, CASH EQUIVALENTS AND RESTRICTED CASH (Dollars in millions) September 30, December 31, 2020 2019 Sempra Energy Consolidated: Cash and cash equivalents $ 3,515 $ 108 Restricted cash, current 28 31 Restricted cash, noncurrent 3 3 Cash, cash equivalents and restricted cash in discontinued operations — 75 Total cash, cash equivalents and restricted cash on the Condensed Consolidated Statements of Cash Flows $ 3,546 $ 217 |
Accounts Receivable, Allowance for Credit Loss Table | We provide below allowances and changes in allowances for credit losses for trade and other accounts receivable, excluding allowances related to amounts due from unconsolidated affiliates and off-balance sheet arrangements, which we discuss separately below the table. TRADE AND OTHER ACCOUNTS RECEIVABLE – ALLOWANCES FOR CREDIT LOSSES (Dollars in millions) Sempra Energy Consolidated (1) SDG&E (2) SoCalGas (3) Allowances for credit losses at December 31, 2019 $ 29 $ 14 $ 15 Incremental allowance upon adoption of ASU 2016-13 1 — — Provisions for expected credit losses 84 44 40 Write-offs (11) (6) (5) Allowances for credit losses at September 30, 2020 $ 103 $ 52 $ 50 (1) Balance at September 30, 2020 includes $75 million and $28 million in Accounts Receivable – Trade, Net and Accounts Receivable – Other, Net, respectively. (2) Balance at September 30, 2020 includes $37 million and $15 million in Accounts Receivable – Trade, Net and Accounts Receivable – Other, Net, respectively. |
Financing Receivable, Allowance for Credit Loss | We provide below the changes in allowances for credit losses for loans and other amounts due from unconsolidated affiliates. AMOUNTS DUE FROM UNCONSOLIDATED AFFILIATES – ALLOWANCES FOR CREDIT LOSSES (Dollars in millions) Sempra Energy Consolidated (1) Allowances for credit losses at December 31, 2019 $ — Allowance established upon adoption of ASU 2016-13 6 Reduction to expected credit losses (3) Allowances for credit losses at September 30, 2020 $ 3 (1) Balance at September 30, 2020 includes negligible amounts and $3 million in Due from Unconsolidated Affiliates – Current and Due from Unconsolidated Affiliates – Noncurrent, respectively. |
Inventory Table | The components of inventories are as follows: INVENTORY BALANCES (Dollars in millions) Natural gas LNG Materials and supplies Total September 30, 2020 December 31, 2019 September 30, 2020 December 31, 2019 September 30, 2020 December 31, 2019 September 30, 2020 December 31, 2019 Sempra Energy Consolidated $ 127 $ 110 $ 2 $ 9 $ 180 $ 158 $ 309 $ 277 SDG&E — 1 — — 105 93 105 94 SoCalGas 104 90 — — 56 46 160 136 |
Wildfire Fund Table | The following table summarizes the location of balances related to the Wildfire Fund on Sempra Energy’s and SDG&E’s Condensed Consolidated Balance Sheets and Condensed Consolidated Statements of Operations. WILDFIRE FUND (Dollars in millions) Location September 30, December 31, Wildfire Fund asset: Current Other Current Assets (1) $ 29 $ 29 Noncurrent Wildfire Fund 371 392 Wildfire Fund obligation: Current Other Current Liabilities $ 13 $ 13 Noncurrent Deferred Credits and Other 87 86 Three months ended September 30, Nine months ended September 30, 2020 2019 2020 2019 Amortization of Wildfire Fund asset Operation and Maintenance $ 7 $ 8 $ 21 $ 8 Accretion of Wildfire Fund obligation Operation and Maintenance — — 1 — (1) Included in Prepaid Expenses for SDG&E. CPUC AUTHORIZED COST OF CAPITAL AND RATE STRUCTURE SDG&E SoCalGas Authorized weighting Return on Weighted Authorized weighting Return on Weighted 45.25 % 4.59 % 2.08 % Long-Term Debt 45.60 % 4.23 % 1.93 % 2.75 6.22 0.17 Preferred Equity 2.40 6.00 0.14 52.00 10.20 5.30 Common Equity 52.00 10.05 5.23 100.00 % 7.55 % 100.00 % 7.30 % |
Capitalized Financing Costs Table | The table below summarizes capitalized interest and AFUDC. CAPITALIZED FINANCING COSTS (Dollars in millions) Three months ended September 30, Nine months ended September 30, 2020 2019 2020 2019 Sempra Energy Consolidated $ 51 $ 46 $ 149 $ 144 SDG&E 26 19 79 56 SoCalGas 14 13 39 35 |
Net Periodic Benefit Cost Table | The following three tables provide the components of net periodic benefit cost. NET PERIODIC BENEFIT COST – SEMPRA ENERGY CONSOLIDATED (Dollars in millions) Pension benefits Other postretirement benefits Three months ended September 30, 2020 2019 2020 2019 Service cost $ 31 $ 27 $ 5 $ 4 Interest cost 32 34 8 9 Expected return on assets (41) (36) (14) (17) Amortization of: Prior service cost (credit) 3 3 (1) — Actuarial loss (gain) 9 8 (2) (3) Settlement charges 13 4 — — Net periodic benefit cost (credit) 47 40 (4) (7) Regulatory adjustments 37 3 4 8 Total expense recognized $ 84 $ 43 $ — $ 1 Nine months ended September 30, 2020 2019 2020 2019 Service cost $ 97 $ 82 $ 14 $ 12 Interest cost 97 104 24 27 Expected return on assets (126) (108) (41) (52) Amortization of: Prior service cost (credit) 9 9 (2) — Actuarial loss (gain) 26 29 (7) (8) Settlement charges 22 26 — — Net periodic benefit cost (credit) 125 142 (12) (21) Regulatory adjustments 31 (30) 12 22 Total expense recognized $ 156 $ 112 $ — $ 1 NET PERIODIC BENEFIT COST – SDG&E (Dollars in millions) Pension benefits Other postretirement benefits Three months ended September 30, 2020 2019 2020 2019 Service cost $ 7 $ 7 $ 1 $ 1 Interest cost 7 9 2 1 Expected return on assets (12) (9) (3) (3) Amortization of: Prior service cost 1 — — 1 Actuarial loss (gain) 1 2 (1) — Net periodic benefit cost (credit) 4 9 (1) — Regulatory adjustments 22 (1) 1 — Total expense recognized $ 26 $ 8 $ — $ — Nine months ended September 30, 2020 2019 2020 2019 Service cost $ 23 $ 22 $ 3 $ 3 Interest cost 22 26 5 5 Expected return on assets (37) (29) (8) (9) Amortization of: Prior service cost 2 2 — 2 Actuarial loss (gain) 3 9 (2) (1) Net periodic benefit cost (credit) 13 30 (2) — Regulatory adjustments 28 (13) 2 — Total expense recognized $ 41 $ 17 $ — $ — NET PERIODIC BENEFIT COST – SOCALGAS (Dollars in millions) Pension benefits Other postretirement benefits Three months ended September 30, 2020 2019 2020 2019 Service cost $ 20 $ 17 $ 3 $ 3 Interest cost 22 23 7 6 Expected return on assets (27) (24) (11) (14) Amortization of: Prior service cost (credit) 2 2 (1) (1) Actuarial loss (gain) 6 3 (1) (2) Net periodic benefit cost (credit) 23 21 (3) (8) Regulatory adjustments 15 4 3 8 Total expense recognized $ 38 $ 25 $ — $ — Nine months ended September 30, 2020 2019 2020 2019 Service cost $ 64 $ 51 $ 10 $ 9 Interest cost 66 68 19 20 Expected return on assets (81) (71) (32) (43) Amortization of: Prior service cost (credit) 6 6 (2) (2) Actuarial loss (gain) 19 14 (5) (6) Net periodic benefit cost (credit) 74 68 (10) (22) Regulatory adjustments 3 (17) 10 22 Total expense recognized $ 77 $ 51 $ — $ — |
Contributions to Benefit Plans Table | The following table shows our year-to-date contributions to pension and other postretirement benefit plans and the amounts we expect to contribute in 2020. BENEFIT PLAN CONTRIBUTIONS (Dollars in millions) Sempra Energy SDG&E SoCalGas Contributions through September 30, 2020: Pension plans $ 202 $ 39 $ 76 Other postretirement benefit plans 6 1 1 Total expected contributions in 2020: Pension plans $ 298 $ 54 $ 155 Other postretirement benefit plans 8 1 1 |
Earnings Per Share Computations Table | Basic EPS is calculated by dividing earnings attributable to common shares (from both continuing and discontinued operations) by the weighted-average number of common shares outstanding for the period. Diluted EPS includes the potential dilution of common stock equivalent shares that could occur if securities or other contracts to issue common stock were exercised or converted into common stock. EARNINGS PER COMMON SHARE COMPUTATIONS (Dollars in millions, except per share amounts; shares in thousands) Three months ended September 30, Nine months ended September 30, 2020 2019 2020 2019 Numerator for continuing operations: Income from continuing operations, net of income tax $ 428 $ 653 $ 1,823 $ 1,570 Earnings attributable to noncontrolling interests (22) (52) (191) (121) Preferred dividends (48) (36) (121) (107) Preferred dividends of subsidiary — — (1) (1) Earnings from continuing operations attributable to common shares for basic EPS 358 565 1,510 1,341 Add back dividends for dilutive mandatory convertible preferred stock (1) — 26 — — Earnings from continuing operations attributable to common shares for diluted EPS $ 358 $ 591 $ 1,510 $ 1,341 Numerator for discontinued operations: (Loss) income from discontinued operations, net of income tax $ (7) $ 256 $ 1,850 $ 292 Earnings attributable to noncontrolling interests — (8) (10) (25) (Losses) earnings from discontinued operations attributable to common shares $ (7) $ 248 $ 1,840 $ 267 Numerator for earnings: Earnings attributable to common shares for basic EPS $ 351 $ 813 $ 3,350 $ 1,608 Add back dividends for dilutive mandatory convertible preferred stock (1) — 26 — — Earnings attributable to common shares for diluted EPS $ 351 $ 839 $ 3,350 $ 1,608 Denominator: Weighted-average common shares outstanding for basic EPS (2) 289,490 277,360 291,771 275,684 Dilutive effect of stock options and RSUs (3) 1,092 1,636 1,164 1,381 Dilutive effect of common shares sold forward — 3,555 — 2,744 Dilutive effect of mandatory convertible preferred stock — 13,238 — — Weighted-average common shares outstanding for diluted EPS 290,582 295,789 292,935 279,809 Basic EPS: Earnings from continuing operations $ 1.23 $ 2.04 $ 5.17 $ 4.86 (Losses) earnings from discontinued operations $ (0.02) $ 0.89 $ 6.31 $ 0.97 Earnings $ 1.21 $ 2.93 $ 11.48 $ 5.83 Diluted EPS: Earnings from continuing operations $ 1.23 $ 2.00 $ 5.15 $ 4.79 (Losses) earnings from discontinued operations $ (0.02) $ 0.84 $ 6.28 $ 0.95 Earnings $ 1.21 $ 2.84 $ 11.43 $ 5.74 (1) In the three months ended September 30, 2019, due to the dilutive effect of our series A preferred stock, the numerator used to calculate diluted EPS includes an add-back of dividends declared on our series A preferred stock. (2) Includes 535 and 618 average fully vested RSUs held in our Deferred Compensation Plan for the three months ended September 30, 2020 and 2019, respectively, and 536 and 615 of such RSUs for the nine months ended September 30, 2020 and 2019, respectively. These fully vested RSUs are included in weighted-average common shares outstanding for basic EPS because there are no conditions under which the corresponding shares will not be issued. |
Schedule of Accumulated Other Comprehensive Income (Loss) Table | The following tables present the changes in AOCI by component and amounts reclassified out of AOCI to net income, excluding amounts attributable to NCI. CHANGES IN ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) BY COMPONENT (1) (Dollars in millions) Foreign Financial Pension Total Three months ended September 30, 2020 and 2019 Sempra Energy Consolidated (2) : Balance as of June 30, 2020 $ (83) $ (361) $ (98) $ (542) OCI before reclassifications 6 14 (7) 13 Amounts reclassified from AOCI — 4 12 16 Net OCI (3) 6 18 5 29 Balance as of September 30, 2020 $ (77) $ (343) $ (93) $ (513) Balance as of June 30, 2019 $ (518) $ (213) $ (117) $ (848) OCI before reclassifications (91) (41) (7) (139) Amounts reclassified from AOCI — 4 5 9 Net OCI (91) (37) (2) (130) Balance as of September 30, 2019 $ (609) $ (250) $ (119) $ (978) SDG&E: Balance as of June 30, 2020 and September 30, 2020 $ (12) $ (12) Balance as of June 30, 2019 and September 30, 2019 $ (11) $ (11) SoCalGas: Balance as of June 30, 2020 and September 30, 2020 $ (13) $ (9) $ (22) Balance as of June 30, 2019 $ (14) $ (6) $ (20) Amounts reclassified from AOCI 1 — 1 Net OCI 1 — 1 Balance as of September 30, 2019 $ (13) $ (6) $ (19) (1) All amounts are net of income tax, if subject to tax, and exclude NCI. (2) Includes discontinued operations in 2019. (3) Total AOCI includes $5 million associated with purchases of NCI, which we discuss below in “Other Noncontrolling Interests – Sempra Mexico,” and which does not impact the Condensed Consolidated Statement of Comprehensive Income (Loss). CHANGES IN ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) BY COMPONENT (1) (CONTINUED) (Dollars in millions) Foreign Financial Pension Total Nine months ended September 30, 2020 and 2019 Sempra Energy Consolidated (2) : Balance as of December 31, 2019 $ (607) $ (215) $ (117) $ (939) OCI before reclassifications (3) (115) (153) (5) (273) Amounts reclassified from AOCI (3) 645 25 29 699 Net OCI (4) 530 (128) 24 426 Balance as of September 30, 2020 $ (77) $ (343) $ (93) $ (513) Balance as of December 31, 2018 $ (564) $ (82) $ (118) $ (764) Adoption of ASU 2018-02 — (25) (17) (42) OCI before reclassifications (3) (45) (153) (13) (211) Amounts reclassified from AOCI (3) — 10 29 39 Net OCI (45) (143) 16 (172) Balance as of September 30, 2019 $ (609) $ (250) $ (119) $ (978) SDG&E: Balance as of December 31, 2019 $ (16) $ (16) Amounts reclassified from AOCI (3) 4 4 Net OCI 4 4 Balance as of September 30, 2020 $ (12) $ (12) Balance as of December 31, 2018 $ (10) $ (10) Adoption of ASU 2018-02 (2) (2) Amounts reclassified from AOCI 1 1 Net OCI 1 1 Balance as of September 30, 2019 $ (11) $ (11) SoCalGas: Balance as of December 31, 2019 $ (13) $ (10) $ (23) Amounts reclassified from AOCI — 1 1 Net OCI — 1 1 Balance as of September 30, 2020 $ (13) $ (9) $ (22) Balance as of December 31, 2018 $ (12) $ (8) $ (20) Adoption of ASU 2018-02 (2) (2) (4) Amounts reclassified from AOCI (3) 1 4 5 Net OCI 1 4 5 Balance as of September 30, 2019 $ (13) $ (6) $ (19) (1) All amounts are net of income tax, if subject to tax, and exclude NCI. (2) Includes discontinued operations. (3) Pension and Other Postretirement Benefits and Total AOCI include $3 million in transfers of liabilities from SDG&E to Sempra Energy in 2020 and $4 million in transfers of liabilities from SoCalGas to Sempra Energy in 2019 related to the nonqualified pension plans. (4) Total AOCI includes $5 million associated with purchases of NCI, which we discuss below in “Other Noncontrolling Interests – Sempra Mexico,” and which does not impact the Condensed Consolidated Statement of Comprehensive Income (Loss). |
Reclassifications out of AOCI Table | RECLASSIFICATIONS OUT OF ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) (Dollars in millions) Details about accumulated other Amounts reclassified Affected line item on Condensed Three months ended September 30, 2020 2019 Sempra Energy Consolidated: Financial instruments: Interest rate and foreign exchange instruments (1) $ 3 $ 1 Interest Expense (4) 5 Other Income (Expense), Net Interest rate and foreign exchange instruments 5 2 Equity Earnings Total before income tax 4 8 — (2) Income Tax Expense Net of income tax 4 6 — (2) Earnings Attributable to Noncontrolling Interests $ 4 $ 4 Pension and other postretirement benefits (2) : Amortization of actuarial loss $ 3 $ 3 Other Income (Expense), Net Amortization of prior service cost 1 1 Other Income (Expense), Net Settlement charges 13 4 Other Income (Expense), Net Total before income tax 17 8 (5) (3) Income Tax Expense Net of income tax $ 12 $ 5 Total reclassifications for the period, net of tax $ 16 $ 9 SDG&E: Financial instruments: Interest rate instruments (1) $ — $ 1 Interest Expense — (1) Earnings Attributable to Noncontrolling Interest Total reclassifications for the period, net of tax $ — $ — SoCalGas: Financial instruments: Interest rate instruments $ — $ 1 Interest Expense Total reclassifications for the period, net of tax $ — $ 1 (1) Amounts in 2019 include Otay Mesa VIE. All of SDG&E’s interest rate derivative activity relates to Otay Mesa VIE. (2) Amounts are included in the computation of net periodic benefit cost (see “Pension and Other Postretirement Benefits” above). RECLASSIFICATIONS OUT OF ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) (CONTINUED) (Dollars in millions) Details about accumulated other Amounts reclassified Affected line item on Condensed Nine months ended September 30, 2020 2019 Sempra Energy Consolidated: Foreign currency translation adjustments $ 645 $ — (Loss) Income from Discontinued Operations, Net of Income Tax Financial instruments: Interest rate and foreign exchange instruments (1) $ 7 $ 2 Interest Expense 33 — Other Income (Expense), Net Interest rate instruments — 10 (Loss) Gain on Sale of Assets Interest rate and foreign exchange instruments 6 3 Equity Earnings Foreign exchange instruments (2) 1 Revenues: Energy-Related Businesses (1) — Other Income (Expense), Net Total before income tax 43 16 (12) (3) Income Tax Expense Net of income tax 31 13 (6) (3) Earnings Attributable to Noncontrolling Interests $ 25 $ 10 Pension and other postretirement benefits (2) : Amortization of actuarial loss $ 6 $ 7 Other Income (Expense), Net Amortization of actuarial loss 6 — (Loss) Income from Discontinued Operations, Net of Income Tax Amortization of prior service cost 3 2 Other Income (Expense), Net Settlement charges 22 26 Other Income (Expense), Net Total before income tax 37 35 (2) — (Loss) Income from Discontinued Operations, Net of Income Tax (9) (10) Income Tax Expense Net of income tax $ 26 $ 25 Total reclassifications for the period, net of tax $ 696 $ 35 SDG&E: Financial instruments: Interest rate instruments (1) $ — $ 3 Interest Expense — (3) Earnings Attributable to Noncontrolling Interest $ — $ — Pension and other postretirement benefits (2) : Amortization of prior service cost $ 1 $ 1 Other Income, Net Total reclassifications for the period, net of tax $ 1 $ 1 SoCalGas: Financial instruments: Interest rate instruments $ — $ 1 Interest Expense Pension and other postretirement benefits (2) : Amortization of prior service cost $ 1 $ — Other Income, Net Total reclassifications for the period, net of tax $ 1 $ 1 (1) Amounts in 2019 include Otay Mesa VIE. All of SDG&E’s interest rate derivative activity relates to Otay Mesa VIE. (2) Amounts are included in the computation of net periodic benefit cost (see “Pension and Other Postretirement Benefits” above). |
Ownership Interests Held By Others Table | The following table provides information about NCI held by others in subsidiaries or entities consolidated by us and recorded in Other Noncontrolling Interests in Total Equity on Sempra Energy’s Condensed Consolidated Balance Sheets. OTHER NONCONTROLLING INTERESTS (Dollars in millions) Percent ownership held by noncontrolling interests Equity (deficit) held by September 30, December 31, September 30, December 31, Sempra Mexico: IEnova 30.8 % 33.4 % $ 1,586 $ 1,608 IEnova subsidiaries (1) 17.5 10.0 – 46.3 7 15 Sempra LNG: Liberty Gas Storage LLC — 24.6 — (13) ECA LNG JV 15.4 16.7 15 12 Parent and other: PXiSE Energy Solutions, LLC 20.0 20.0 — 1 Discontinued Operations: Chilquinta Energía subsidiaries (1) — 19.7 – 43.4 — 23 Luz del Sur — 16.4 — 205 Tecsur — 9.8 — 5 Total Sempra Energy $ 1,608 $ 1,856 |
Transactions with Affiliates Table | We summarize amounts due from and to unconsolidated affiliates at Sempra Energy Consolidated, SDG&E and SoCalGas in the following table. AMOUNTS DUE FROM (TO) UNCONSOLIDATED AFFILIATES (Dollars in millions) September 30, December 31, Sempra Energy Consolidated: Total due from various unconsolidated affiliates – current, net of negligible allowance for credit losses at September 30, 2020 (1)(2) $ 46 $ 32 Total due from unconsolidated affiliates – noncurrent – Sempra Mexico – IMG JV – Note due March 15, 2022, net of allowance for credit losses of $3 at September 30, 2020 (2)(3) $ 617 $ 742 Total due to various unconsolidated affiliates – current $ (6) $ (5) Sempra Mexico (2) : TAG Pipelines Norte, S. de. R.L. de C.V.: Note due December 20, 2021 (4) $ (41) $ (39) 5.5% Note due January 9, 2024 (5) (67) — TAG JV – 5.74% Note due December 17, 2029 (5) (163) (156) Total due to unconsolidated affiliates – noncurrent $ (271) $ (195) SDG&E: SoCalGas $ 2 $ — Various affiliates 1 — Total due from unconsolidated affiliates – current $ 3 $ — Sempra Energy $ (56) $ (37) SoCalGas — (10) Various affiliates (5) (6) Total due to unconsolidated affiliates – current $ (61) $ (53) Income taxes due from Sempra Energy (6) $ 25 $ 130 SoCalGas: SDG&E $ — $ 10 Various affiliates 1 1 Total due from unconsolidated affiliates – current $ 1 $ 11 Sempra Energy $ (49) $ (45) SDG&E (2) — Pacific Enterprises (50) — Various affiliates — (2) Total due to unconsolidated affiliates – current $ (101) $ (47) Income taxes due from Sempra Energy (6) $ 20 $ 152 (1) Amount at September 30, 2020 includes $25 million of outstanding principal and a negligible amount of accrued interest receivable from a U.S. dollar-denominated loan from IEnova to ESJ at a variable interest rate based on 1-month LIBOR plus 196 bps (2.12% at September 30, 2020) with a maturity date of December 31, 2020. Pursuant to the agreement, if ESJ is unable to meet certain conditions for an expansion project by December 31, 2020, IEnova and ESJ have the option to convert the loan to a 10-year note. (2) Amounts include principal balances plus accumulated interest outstanding. (3) Mexican peso-denominated revolving line of credit for up to 14.2 billion Mexican pesos or approximately $641 million U.S. dollar-equivalent, at a variable interest rate based on the 91-day Interbank Equilibrium Interest Rate plus 220 bps (6.75% at September 30, 2020), to finance construction of a natural gas marine pipeline. At September 30, 2020, $2 million of accrued interest receivable is included in Due from Unconsolidated Affiliates – Current. (4) U.S. dollar-denominated loan at a variable interest rate based on 6-month LIBOR plus 290 bps (3.16% at September 30, 2020). (5) U.S. dollar-denominated loan at a fixed interest rate. (6) SDG&E and SoCalGas are included in the consolidated income tax return of Sempra Energy and their respective income tax expense is computed as an amount equal to that which would result from each company having always filed a separate return. The following table summarizes revenues and cost of sales from unconsolidated affiliates. REVENUES AND COST OF SALES FROM UNCONSOLIDATED AFFILIATES (Dollars in millions) Three months ended September 30, Nine months ended September 30, 2020 2019 2020 2019 Revenues: Sempra Energy Consolidated $ 9 $ 13 $ 31 $ 40 SDG&E 1 2 4 5 SoCalGas 23 16 61 50 Cost of Sales: Sempra Energy Consolidated $ 9 $ 12 $ 35 $ 40 SDG&E 17 16 56 56 SoCalGas 2 2 2 6 |
Other Income and Expense Table | Other Income (Expense), Net, on the Condensed Consolidated Statements of Operations consists of the following: OTHER INCOME (EXPENSE), NET (Dollars in millions) Three months ended September 30, Nine months ended September 30, 2020 2019 2020 2019 Sempra Energy Consolidated: Allowance for equity funds used during construction $ 34 $ 25 $ 96 $ 69 Investment gains (1) 16 9 9 46 Gains (losses) on interest rate and foreign exchange instruments, net 19 (17) (129) 7 Foreign currency transaction gains (losses), net (2) 15 (13) (95) (2) Non-service component of net periodic benefit cost (48) (13) (45) (19) Fine related to Energy Efficiency Program inquiry (6) — (6) — Penalties related to billing practices OII — — — (8) Interest on regulatory balancing accounts, net — 4 13 9 Sundry, net (1) (2) (6) 1 Total $ 29 $ (7) $ (163) $ 103 SDG&E: Allowance for equity funds used during construction $ 21 $ 15 $ 61 $ 42 Non-service component of net periodic benefit (cost) credit (18) — (15) 8 Fine related to Energy Efficiency Program inquiry (6) — (6) — Interest on regulatory balancing accounts, net — 4 8 10 Sundry, net 1 — (1) — Total $ (2) $ 19 $ 47 $ 60 SoCalGas: Allowance for equity funds used during construction $ 11 $ 9 $ 29 $ 25 Non-service component of net periodic benefit (cost) credit (15) (5) (3) 9 Penalties related to billing practices OII — — — (8) Interest on regulatory balancing accounts, net — — 5 (1) Sundry, net (3) (3) (10) (7) Total $ (7) $ 1 $ 21 $ 18 (1) Represents investment gains on dedicated assets in support of our executive retirement and deferred compensation plans. These amounts are partially offset by corresponding changes in compensation expense related to the plans, recorded in O&M on the Condensed Consolidated Statements of Operations. (2) Includes gains of $15 million and losses of $120 million in the three months and nine months ended September 30, 2020, respectively, and losses of $17 million and a negligible amount in the three months and nine months ended September 30, 2019, respectively, from translation to U.S. dollars of a Mexican peso-denominated loan to IMG JV, which are offset by corresponding amounts included in Equity Earnings on the Condensed Consolidated Statements of Operations. |
Income Tax Expense and Effective Income Tax Rates Table | We provide our calculations of ETRs in the following table. INCOME TAX EXPENSE (BENEFIT) AND EFFECTIVE INCOME TAX RATES (Dollars in millions) Three months ended September 30, Nine months ended September 30, 2020 2019 2020 2019 Sempra Energy Consolidated: Income tax expense from continuing operations $ 99 $ 61 $ 60 $ 150 Income from continuing operations before income taxes and equity earnings $ 201 $ 448 $ 1,061 $ 1,235 Equity earnings, before income tax (1) 117 17 158 24 Pretax income $ 318 $ 465 $ 1,219 $ 1,259 Effective income tax rate 31 % 13 % 5 % 12 % SDG&E: Income tax expense $ 33 $ 71 $ 161 $ 111 Income before income taxes $ 211 $ 337 $ 794 $ 700 Effective income tax rate 16 % 21 % 20 % 16 % SoCalGas: Income tax (benefit) expense $ (6) $ 35 $ 95 $ 50 (Loss) income before income taxes $ (30) $ 178 $ 521 $ 488 Effective income tax rate 20 % 20 % 18 % 10 % (1) We discuss how we recognize equity earnings in Note 6 of the Notes to Consolidated Financial Statements in the Annual Report. |
NEW ACCOUNTING STANDARDS (Table
NEW ACCOUNTING STANDARDS (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Accounting Changes and Error Corrections [Abstract] | |
Schedule of New Accounting Pronouncements and Changes in Accounting Principles | The following table shows the initial (decreases) increases on Sempra Energy’s balance sheet at January 1, 2020 from adoption of ASU 2016-13. IMPACT FROM ADOPTION OF ASU 2016-13 (Dollars in millions) Sempra Energy Accounts receivable – trade, net $ (1) Due from unconsolidated affiliates – noncurrent (6) Deferred income tax assets 4 Other current liabilities 4 Deferred credits and other 2 Retained earnings (7) Other noncontrolling interests (2) |
REVENUES (Tables)
REVENUES (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Revenue from Contract with Customer [Abstract] | |
Schedule of Disaggregation of Revenue | The following table disaggregates our revenues from contracts with customers by major service line and market and provides a reconciliation to total revenues by segment. The majority of our revenue is recognized over time. DISAGGREGATED REVENUES (Dollars in millions) SDG&E SoCalGas Sempra Mexico Sempra LNG Consolidating adjustments and Parent and Other Sempra Energy Consolidated Three months ended September 30, 2020 By major service line: Utilities $ 1,301 $ 813 $ 12 $ — $ (25) $ 2,101 Energy-related businesses — — 244 35 (32) 247 Revenues from contracts with customers $ 1,301 $ 813 $ 256 $ 35 $ (57) $ 2,348 By market: Gas $ 126 $ 813 $ 159 $ 33 $ (54) $ 1,077 Electric 1,175 — 97 2 (3) 1,271 Revenues from contracts with customers $ 1,301 $ 813 $ 256 $ 35 $ (57) $ 2,348 Revenues from contracts with customers $ 1,301 $ 813 $ 256 $ 35 $ (57) $ 2,348 Utilities regulatory revenues 171 29 — — — 200 Other revenues — — 95 28 (27) 96 Total revenues $ 1,472 $ 842 $ 351 $ 63 $ (84) $ 2,644 Nine months ended September 30, 2020 By major service line: Utilities $ 3,610 $ 3,261 $ 42 $ — $ (66) $ 6,847 Energy-related businesses — — 616 56 (40) 632 Revenues from contracts with customers $ 3,610 $ 3,261 $ 658 $ 56 $ (106) $ 7,479 By market: Gas $ 518 $ 3,261 $ 439 $ 51 $ (98) $ 4,171 Electric 3,092 — 219 5 (8) 3,308 Revenues from contracts with customers $ 3,610 $ 3,261 $ 658 $ 56 $ (106) $ 7,479 Revenues from contracts with customers $ 3,610 $ 3,261 $ 658 $ 56 $ (106) $ 7,479 Utilities regulatory revenues 366 (14) — — — 352 Other revenues — — 277 199 (108) 368 Total revenues $ 3,976 $ 3,247 $ 935 $ 255 $ (214) $ 8,199 DISAGGREGATED REVENUES (CONTINUED) (Dollars in millions) SDG&E SoCalGas Sempra Mexico Sempra Renewables Sempra LNG Consolidating adjustments and Parent and other Sempra Energy Consolidated Three months ended September 30, 2019 By major service line: Utilities $ 1,370 $ 765 $ 14 $ — $ — $ (18) $ 2,131 Energy-related businesses — — 242 — 50 (40) 252 Revenues from contracts with customers $ 1,370 $ 765 $ 256 $ — $ 50 $ (58) $ 2,383 By market: Gas $ 100 $ 765 $ 171 $ — $ 48 $ (55) $ 1,029 Electric 1,270 — 85 — 2 (3) 1,354 Revenues from contracts with customers $ 1,370 $ 765 $ 256 $ — $ 50 $ (58) $ 2,383 Revenues from contracts with customers $ 1,370 $ 765 $ 256 $ — $ 50 $ (58) $ 2,383 Utilities regulatory revenues 57 210 — — — — 267 Other revenues — — 101 — 50 (43) 108 Total revenues $ 1,427 $ 975 $ 357 $ — $ 100 $ (101) $ 2,758 Nine months ended September 30, 2019 By major service line: Utilities $ 3,604 $ 3,170 $ 56 $ — $ — $ (56) $ 6,774 Energy-related businesses — — 701 5 139 (113) 732 Revenues from contracts with customers $ 3,604 $ 3,170 $ 757 $ 5 $ 139 $ (169) $ 7,506 By market: Gas $ 441 $ 3,170 $ 527 $ — $ 134 $ (160) $ 4,112 Electric 3,163 — 230 5 5 (9) 3,394 Revenues from contracts with customers $ 3,604 $ 3,170 $ 757 $ 5 $ 139 $ (169) $ 7,506 Revenues from contracts with customers $ 3,604 $ 3,170 $ 757 $ 5 $ 139 $ (169) $ 7,506 Utilities regulatory revenues 62 (28) — — — — 34 Other revenues — — 301 5 188 (148) 346 Total revenues $ 3,666 $ 3,142 $ 1,058 $ 10 $ 327 $ (317) $ 7,886 |
Schedule of Timing of Remaining Performance Obligations | For contracts greater than one year, at September 30, 2020, we expect to recognize revenue related to the fixed fee component of the consideration as shown below. SoCalGas did not have any such remaining performance obligations at September 30, 2020. REMAINING PERFORMANCE OBLIGATIONS (1) (Dollars in millions) Sempra Energy Consolidated SDG&E 2020 (excluding first nine months of 2020) $ 88 $ 1 2021 388 4 2022 406 4 2023 407 4 2024 348 4 Thereafter 4,712 71 Total revenues to be recognized $ 6,349 $ 88 (1) |
Schedule of Contract Liabilities | Activities within Sempra Energy’s and SDG&E’s contract liabilities are presented below. There were no contract liabilities at SoCalGas in the nine months ended September 30, 2020 and 2019. CONTRACT LIABILITIES (Dollars in millions) Sempra Energy Consolidated SDG&E Balance at January 1, 2020 $ (163) $ (91) Revenue from performance obligations satisfied during reporting period 3 3 Balance at September 30, 2020 (1) $ (160) $ (88) Balance at January 1, 2019 $ (70) $ — Revenue from performance obligations satisfied during reporting period 1 — Payments received in advance (95) (92) Balance at September 30, 2019 $ (164) $ (92) (1) Includes $4 million and $4 million in Other Current Liabilities and $156 million and $84 million in Deferred Credits and Other on the Sempra Energy and SDG&E Condensed Consolidated Balance Sheets, respectively. |
Schedule of Contract Accounts Receivable | The table below shows receivable balances associated with revenues from contracts with customers on the Condensed Consolidated Balance Sheets. RECEIVABLES FROM REVENUES FROM CONTRACTS WITH CUSTOMERS (Dollars in millions) September 30, 2020 December 31, 2019 Sempra Energy Consolidated: Accounts receivable – trade, net $ 962 $ 1,163 Accounts receivable – other, net 13 16 Due from unconsolidated affiliates – current (1) 3 5 Total $ 978 $ 1,184 SDG&E: Accounts receivable – trade, net $ 462 $ 398 Accounts receivable – other, net 9 5 Due from unconsolidated affiliates – current (1) 3 2 Total $ 474 $ 405 SoCalGas: Accounts receivable – trade, net $ 422 $ 710 Accounts receivable – other, net 4 11 Total $ 426 $ 721 (1) Amount is presented net of amounts due to unconsolidated affiliates on the Condensed Consolidated Balance Sheets, when right of offset exists. |
REGULATORY MATTERS (Tables)
REGULATORY MATTERS (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Regulated Operations [Abstract] | |
Schedule of Regulatory Assets | We show the details of regulatory assets and liabilities in the following table. REGULATORY ASSETS (LIABILITIES) (Dollars in millions) September 30, December 31, SDG&E: Fixed-price contracts and other derivatives $ (21) $ 8 Deferred income taxes refundable in rates (20) (108) Pension and other postretirement benefit plan obligations 72 103 Removal obligations (2,131) (2,056) Environmental costs 43 45 Sunrise Powerlink fire mitigation 120 121 Regulatory balancing accounts (1)(2) Commodity – electric 173 102 Gas transportation 15 22 Safety and reliability 74 77 Public purpose programs (146) (124) 2019 GRC retroactive impacts 70 111 Other balancing accounts 284 106 Other regulatory assets (liabilities), net (2) 25 (153) Total SDG&E (1,442) (1,746) SoCalGas: Deferred income taxes refundable in rates (125) (203) Pension and other postretirement benefit plan obligations 370 400 Employee benefit costs 44 44 Removal obligations (698) (728) Environmental costs 37 40 Regulatory balancing accounts (1)(2) Commodity – gas, including transportation (118) (118) Safety and reliability 358 295 Public purpose programs (349) (273) 2019 GRC retroactive impacts 252 400 Other balancing accounts (116) (7) Other regulatory assets (liabilities), net (2) 46 (101) Total SoCalGas (299) (251) Sempra Mexico: Deferred income taxes recoverable in rates 83 83 Other regulatory assets 1 6 Total Sempra Energy Consolidated $ (1,657) $ (1,908) (1) At September 30, 2020 and December 31, 2019, the noncurrent portion of regulatory balancing accounts – net undercollected for SDG&E was $127 million and $108 million, respectively, and for SoCalGas was $291 million and $500 million, respectively. (2) Includes regulatory assets earning a return. |
Schedule of Regulatory Liabilities | We show the details of regulatory assets and liabilities in the following table. REGULATORY ASSETS (LIABILITIES) (Dollars in millions) September 30, December 31, SDG&E: Fixed-price contracts and other derivatives $ (21) $ 8 Deferred income taxes refundable in rates (20) (108) Pension and other postretirement benefit plan obligations 72 103 Removal obligations (2,131) (2,056) Environmental costs 43 45 Sunrise Powerlink fire mitigation 120 121 Regulatory balancing accounts (1)(2) Commodity – electric 173 102 Gas transportation 15 22 Safety and reliability 74 77 Public purpose programs (146) (124) 2019 GRC retroactive impacts 70 111 Other balancing accounts 284 106 Other regulatory assets (liabilities), net (2) 25 (153) Total SDG&E (1,442) (1,746) SoCalGas: Deferred income taxes refundable in rates (125) (203) Pension and other postretirement benefit plan obligations 370 400 Employee benefit costs 44 44 Removal obligations (698) (728) Environmental costs 37 40 Regulatory balancing accounts (1)(2) Commodity – gas, including transportation (118) (118) Safety and reliability 358 295 Public purpose programs (349) (273) 2019 GRC retroactive impacts 252 400 Other balancing accounts (116) (7) Other regulatory assets (liabilities), net (2) 46 (101) Total SoCalGas (299) (251) Sempra Mexico: Deferred income taxes recoverable in rates 83 83 Other regulatory assets 1 6 Total Sempra Energy Consolidated $ (1,657) $ (1,908) (1) At September 30, 2020 and December 31, 2019, the noncurrent portion of regulatory balancing accounts – net undercollected for SDG&E was $127 million and $108 million, respectively, and for SoCalGas was $291 million and $500 million, respectively. (2) Includes regulatory assets earning a return. |
CPUC Authorized Cost of Capital and Rate Structure | The following table summarizes the location of balances related to the Wildfire Fund on Sempra Energy’s and SDG&E’s Condensed Consolidated Balance Sheets and Condensed Consolidated Statements of Operations. WILDFIRE FUND (Dollars in millions) Location September 30, December 31, Wildfire Fund asset: Current Other Current Assets (1) $ 29 $ 29 Noncurrent Wildfire Fund 371 392 Wildfire Fund obligation: Current Other Current Liabilities $ 13 $ 13 Noncurrent Deferred Credits and Other 87 86 Three months ended September 30, Nine months ended September 30, 2020 2019 2020 2019 Amortization of Wildfire Fund asset Operation and Maintenance $ 7 $ 8 $ 21 $ 8 Accretion of Wildfire Fund obligation Operation and Maintenance — — 1 — (1) Included in Prepaid Expenses for SDG&E. CPUC AUTHORIZED COST OF CAPITAL AND RATE STRUCTURE SDG&E SoCalGas Authorized weighting Return on Weighted Authorized weighting Return on Weighted 45.25 % 4.59 % 2.08 % Long-Term Debt 45.60 % 4.23 % 1.93 % 2.75 6.22 0.17 Preferred Equity 2.40 6.00 0.14 52.00 10.20 5.30 Common Equity 52.00 10.05 5.23 100.00 % 7.55 % 100.00 % 7.30 % |
ACQUISITIONS, DIVESTITURES AN_2
ACQUISITIONS, DIVESTITURES AND DISCONTINUED OPERATIONS (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Business Combinations [Abstract] | |
Summarized Results from Discontinued Operations | Summarized results from discontinued operations were as follows: DISCONTINUED OPERATIONS (Dollars in millions) Three months ended September 30, Nine months ended September 30, 2020 (1) 2019 2020 (2) 2019 Revenues $ — $ 398 $ 570 $ 1,222 Cost of sales — (249) (364) (765) (Loss) gain on sale of discontinued operations (16) — 2,899 — Operating expenses — (38) (66) (123) Interest and other — (3) (3) (12) Income before income taxes and equity earnings (16) 108 3,036 322 Income tax benefit (expense) 9 148 (1,186) (32) Equity earnings — — — 2 (Loss) income from discontinued operations, net of income tax (7) 256 1,850 292 Earnings attributable to noncontrolling interests — (8) (10) (25) (Losses) earnings from discontinued operations attributable to common shares $ (7) $ 248 $ 1,840 $ 267 (1) Represents post-closing adjustments related to the sale of our equity interests in our Chilean businesses. (2) Results include activity until deconsolidation of our Peruvian businesses on April 24, 2020 and Chilean businesses on June 24, 2020. The following table summarizes the carrying amounts of the major classes of assets and related liabilities classified as held for sale in discontinued operations. ASSETS HELD FOR SALE IN DISCONTINUED OPERATIONS (Dollars in millions) December 31, 2019 Cash and cash equivalents $ 74 Restricted cash (1) 1 Accounts receivable, net 303 Due from unconsolidated affiliates 2 Inventories 36 Other current assets 29 Current assets $ 445 Due from unconsolidated affiliates $ 54 Goodwill and other intangible assets 801 Property, plant and equipment, net 2,618 Other noncurrent assets 40 Noncurrent assets $ 3,513 Short-term debt $ 52 Accounts payable 201 Current portion of long-term debt and finance leases 85 Other current liabilities 106 Current liabilities $ 444 Long-term debt and finance leases $ 702 Deferred income taxes 284 Other noncurrent liabilities 66 Noncurrent liabilities $ 1,052 (1) Primarily represents funds held in accordance with Peruvian tax law. |
INVESTMENT IN UNCONSOLIDATED EN
INVESTMENT IN UNCONSOLIDATED ENTITIES (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Investments [Abstract] | |
Condensed Financial Statements | We provide summarized income statement information for Oncor Holdings in the following table. SUMMARIZED FINANCIAL INFORMATION – ONCOR HOLDINGS (Dollars in millions) Three months ended Nine months ended 2020 2019 2020 2019 Operating revenues $ 1,232 $ 1,211 $ 3,394 $ 3,268 Operating expenses (819) (787) (2,387) (2,319) Income from operations 413 424 1,007 949 Interest expense (102) (97) (305) (276) Income tax expense (50) (53) (115) (106) Net income 255 261 557 511 Noncontrolling interest held by TTI (50) (52) (111) (102) Earnings attributable to Sempra Energy 205 209 446 409 |
DEBT AND CREDIT FACILITIES (Tab
DEBT AND CREDIT FACILITIES (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Debt Disclosure [Abstract] | |
Schedule of Line of Credit Facilities | The principal terms of these credit facilities are described below. FOREIGN COMMITTED LINES OF CREDIT (U.S. dollar equivalent in millions) September 30, 2020 Expiration date of facility Total facility Amounts outstanding Available unused credit February 2024 (1) $ 1,500 $ (492) $ 1,008 September 2021 (2) 280 (280) — Total $ 1,780 $ (772) $ 1,008 (1) Five-year revolving credit facility with a syndicate of 10 lenders. Borrowings bear interest at a per annum rate equal to 3-month LIBOR plus 80 bps. (2) Two-year revolving credit facility with The Bank of Nova Scotia. Borrowings may be made for up to two years from September 23, 2019 in U.S. dollars. Borrowings bear interest at a per annum rate equal to 3-month LIBOR plus 54 bps. The weighted-average interest rates on the total short-term debt at September 30, 2020 and December 31, 2019 were as follows: WEIGHTED-AVERAGE INTEREST RATES September 30, 2020 December 31, 2019 Sempra Energy Consolidated 0.93 % 2.31 % SDG&E N/A 1.97 SoCalGas N/A 1.86 |
DERIVATIVE FINANCIAL INSTRUME_2
DERIVATIVE FINANCIAL INSTRUMENTS (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Commodity Derivative Volumes Table | The following table summarizes net energy derivative volumes. NET ENERGY DERIVATIVE VOLUMES (Quantities in millions) Commodity Unit of measure September 30, 2020 December 31, 2019 Sempra Energy Consolidated: Natural gas MMBtu 19 32 Electricity MWh 2 2 Congestion revenue rights MWh 43 48 SDG&E: Natural gas MMBtu 23 37 Electricity MWh 1 2 Congestion revenue rights MWh 43 48 SoCalGas: Natural gas MMBtu — 2 |
Notional Amounts of Derivatives Table | The following table presents the net notional amounts of our interest rate derivatives, excluding JVs. INTEREST RATE DERIVATIVES (Dollars in millions) September 30, 2020 December 31, 2019 Notional debt Maturities Notional debt Maturities Sempra Energy Consolidated: Cash flow hedges $ 1,500 2020-2034 $ 1,445 2020-2034 The following table presents the net notional amounts of our foreign currency derivatives, excluding JVs. FOREIGN CURRENCY DERIVATIVES (Dollars in millions) September 30, 2020 December 31, 2019 Notional amount Maturities Notional amount Maturities Sempra Energy Consolidated: Cross-currency swaps $ 306 2020-2023 $ 306 2020-2023 Other foreign currency derivatives 1,341 2020-2022 1,796 2020-2021 |
Derivative Instruments on the Condensed Consolidated Balance Sheets Table | The following tables provide the fair values of derivative instruments on the Condensed Consolidated Balance Sheets, including the amount of cash collateral receivables that were not offset because the cash collateral was in excess of liability positions. DERIVATIVE INSTRUMENTS ON THE CONDENSED CONSOLIDATED BALANCE SHEETS (Dollars in millions) September 30, 2020 Other current assets (1) Other long-term assets Other current liabilities Deferred credits and other Sempra Energy Consolidated: Derivatives designated as hedging instruments: Interest rate and foreign exchange instruments $ 6 $ 2 $ (22) $ (188) Derivatives not designated as hedging instruments: Foreign exchange instruments 13 — (22) — Associated offsetting foreign exchange instruments (13) — 13 — Commodity contracts not subject to rate recovery 102 7 (114) (7) Associated offsetting commodity contracts (100) (4) 100 4 Commodity contracts subject to rate recovery 17 84 (32) (29) Associated offsetting commodity contracts (2) — 2 — Net amounts presented on the balance sheet 23 89 (75) (220) Additional cash collateral for commodity contracts not subject to rate recovery 41 — — — Additional cash collateral for commodity contracts subject to rate recovery 24 — — — Total (2) $ 88 $ 89 $ (75) $ (220) SDG&E: Derivatives not designated as hedging instruments: Commodity contracts subject to rate recovery $ 14 $ 84 $ (26) $ (29) Associated offsetting commodity contracts (2) — 2 — Net amounts presented on the balance sheet 12 84 (24) (29) Additional cash collateral for commodity contracts subject to rate recovery 22 — — — Total (2) $ 34 $ 84 $ (24) $ (29) SoCalGas: Derivatives not designated as hedging instruments: Commodity contracts subject to rate recovery $ 3 $ — $ (6) $ — Net amounts presented on the balance sheet 3 — (6) — Additional cash collateral for commodity contracts subject to rate recovery 2 — — — Total $ 5 $ — $ (6) $ — (1) Included in Current Assets: Fixed-Price Contracts and Other Derivatives for SDG&E. (2) Normal purchase contracts previously measured at fair value are excluded. DERIVATIVE INSTRUMENTS ON THE CONDENSED CONSOLIDATED BALANCE SHEETS (Dollars in millions) December 31, 2019 Other current assets (1) Other long-term assets Other current liabilities Deferred credits and other Sempra Energy Consolidated: Derivatives designated as hedging instruments: Interest rate and foreign exchange instruments $ — $ 3 $ (17) $ (140) Derivatives not designated as hedging instruments: Foreign exchange instruments 41 — (20) — Associated offsetting foreign exchange instruments (20) — 20 — Commodity contracts not subject to rate recovery 34 11 (41) (10) Associated offsetting commodity contracts (32) (2) 32 2 Commodity contracts subject to rate recovery 41 76 (47) (47) Associated offsetting commodity contracts (6) (3) 6 3 Associated offsetting cash collateral — — 14 — Net amounts presented on the balance sheet 58 85 (53) (192) Additional cash collateral for commodity contracts not subject to rate recovery 43 — — — Additional cash collateral for commodity contracts subject to rate recovery 25 — — — Total (2) $ 126 $ 85 $ (53) $ (192) SDG&E: Derivatives not designated as hedging instruments: Commodity contracts subject to rate recovery $ 30 $ 76 $ (41) $ (47) Associated offsetting commodity contracts (4) (3) 4 3 Associated offsetting cash collateral — — 14 — Net amounts presented on the balance sheet 26 73 (23) (44) Additional cash collateral for commodity contracts subject to rate recovery 16 — — — Total (2) $ 42 $ 73 $ (23) $ (44) SoCalGas: Derivatives not designated as hedging instruments: Commodity contracts subject to rate recovery $ 11 $ — $ (6) $ — Associated offsetting commodity contracts (2) — 2 — Net amounts presented on the balance sheet 9 — (4) — Additional cash collateral for commodity contracts subject to rate recovery 9 — — — Total $ 18 $ — $ (4) $ — (1) Included in Current Assets: Fixed-Price Contracts and Other Derivatives for SDG&E. (2) Normal purchase contracts previously measured at fair value are excluded. |
Cash Flow Hedge Impact on the Condensed Consolidated Statements of Comprehensive Income Table | The table below includes the effects of derivative instruments designated as cash flow hedges on the Condensed Consolidated Statements of Operations and in OCI and AOCI: CASH FLOW HEDGE IMPACTS (Dollars in millions) Pretax gain (loss) Pretax (loss) gain reclassified Three months ended September 30, Three months ended September 30, 2020 2019 Location 2020 2019 Sempra Energy Consolidated: Interest rate and foreign exchange instruments (1) $ 14 $ (7) Interest Expense (1) $ (3) $ (1) Other Income (Expense), Net 4 (5) Interest rate and foreign exchange instruments 24 (62) Equity Earnings (5) (2) Foreign exchange instruments (2) 1 Total $ 36 $ (68) $ (4) $ (8) SDG&E: Interest rate instruments (1) $ — $ — Interest Expense (1) $ — $ (1) SoCalGas: Interest rate instruments $ — $ — Interest Expense $ — $ (1) Nine months ended September 30, Nine months ended September 30, 2020 2019 Location 2020 2019 Sempra Energy Consolidated: Interest rate and foreign exchange instruments (1) $ (73) $ (25) Interest Expense (1) $ (7) $ (2) Other Income (Expense), Net (33) — Interest rate instruments — — (Loss) Gain on Sale of Assets — (10) Interest rate and foreign (166) (222) Equity Earnings (6) (3) Foreign exchange instruments 14 (3) Revenues: Energy- 2 (1) Other Income (Expense), Net 1 — Total $ (225) $ (250) $ (43) $ (16) SDG&E: Interest rate instruments (1) $ — $ (1) Interest Expense (1) $ — $ (3) SoCalGas: Interest rate instruments $ — $ — Interest Expense $ — $ (1) (1) Amounts in 2019 include Otay Mesa VIE. All of SDG&E’s interest rate derivative activity relates to Otay Mesa VIE. On August 14, 2019, Otay Mesa Energy Center LLC paid in full its variable-rate loan and terminated its interest rate swaps. |
Fair Value Hedge Impact on the Condensed Consolidated Statements of Operations Table | The following table summarizes the effects of derivative instruments not designated as hedging instruments on the Condensed Consolidated Statements of Operations. UNDESIGNATED DERIVATIVE IMPACTS (Dollars in millions) Pretax gain (loss) on derivatives recognized in earnings Three months ended Nine months ended Location 2020 2019 2020 2019 Sempra Energy Consolidated: Foreign exchange instruments Other Income (Expense), Net $ 15 $ (12) $ (97) $ 7 Commodity contracts not subject to rate recovery Revenues: Energy-Related Businesses (39) (8) 25 9 Commodity contracts subject to rate recovery Cost of Electric Fuel and Purchased Power 41 18 41 (7) Commodity contracts subject to rate recovery Cost of Natural Gas — (3) (6) (1) Total $ 17 $ (5) $ (37) $ 8 SDG&E: Commodity contracts subject to rate recovery Cost of Electric Fuel and Purchased Power $ 41 $ 18 $ 41 $ (7) SoCalGas: Commodity contracts subject to rate recovery Cost of Natural Gas $ — $ (3) $ (6) $ (1) |
FAIR VALUE MEASUREMENTS (Tables
FAIR VALUE MEASUREMENTS (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Fair Value Disclosures [Abstract] | |
Recurring Fair Value Measures Table | RECURRING FAIR VALUE MEASURES – SEMPRA ENERGY CONSOLIDATED (Dollars in millions) Fair value at September 30, 2020 Level 1 Level 2 Level 3 Total Assets: Nuclear decommissioning trusts: Equity securities $ 382 $ 7 $ — $ 389 Debt securities: Debt securities issued by the U.S. Treasury and other U.S. government corporations and agencies 26 23 — 49 Municipal bonds — 335 — 335 Other securities — 271 — 271 Total debt securities 26 629 — 655 Total nuclear decommissioning trusts (1) 408 636 — 1,044 Interest rate and foreign exchange instruments — 8 — 8 Commodity contracts not subject to rate recovery — 5 — 5 Effect of netting and allocation of collateral (2) 41 — — 41 Commodity contracts subject to rate recovery 9 4 86 99 Effect of netting and allocation of collateral (2) 18 — 6 24 Support Agreement, net of related guarantee fees — — 6 6 Total $ 476 $ 653 $ 98 $ 1,227 Liabilities: Interest rate and foreign exchange instruments $ — $ 219 $ — $ 219 Commodity contracts not subject to rate recovery — 17 — 17 Commodity contracts subject to rate recovery — 6 53 59 Total $ — $ 242 $ 53 $ 295 Fair value at December 31, 2019 Level 1 Level 2 Level 3 Total Assets: Nuclear decommissioning trusts: Equity securities $ 503 $ 6 $ — $ 509 Debt securities: Debt securities issued by the U.S. Treasury and other U.S. government corporations and agencies 46 11 — 57 Municipal bonds — 282 — 282 Other securities — 226 — 226 Total debt securities 46 519 — 565 Total nuclear decommissioning trusts (1) 549 525 — 1,074 Interest rate and foreign exchange instruments — 24 — 24 Commodity contracts not subject to rate recovery — 11 — 11 Effect of netting and allocation of collateral (2) 43 — — 43 Commodity contracts subject to rate recovery 5 8 95 108 Effect of netting and allocation of collateral (2) 11 8 6 25 Total $ 608 $ 576 $ 101 $ 1,285 Liabilities: Interest rate and foreign exchange instruments $ — $ 157 $ — $ 157 Commodity contracts not subject to rate recovery — 17 — 17 Commodity contracts subject to rate recovery 14 4 67 85 Effect of netting and allocation of collateral (2) (14) — — (14) Total $ — $ 178 $ 67 $ 245 (1) Excludes cash and cash equivalents. (2) Includes the effect of the contractual ability to settle contracts under master netting agreements and with cash collateral, as well as cash collateral not offset. RECURRING FAIR VALUE MEASURES – SDG&E (Dollars in millions) Fair value at September 30, 2020 Level 1 Level 2 Level 3 Total Assets: Nuclear decommissioning trusts: Equity securities $ 382 $ 7 $ — $ 389 Debt securities: Debt securities issued by the U.S. Treasury and other U.S. government corporations and agencies 26 23 — 49 Municipal bonds — 335 — 335 Other securities — 271 — 271 Total debt securities 26 629 — 655 Total nuclear decommissioning trusts (1) 408 636 — 1,044 Commodity contracts subject to rate recovery 9 1 86 96 Effect of netting and allocation of collateral (2) 16 — 6 22 Total $ 433 $ 637 $ 92 $ 1,162 Liabilities: Commodity contracts subject to rate recovery $ — $ — $ 53 $ 53 Total $ — $ — $ 53 $ 53 Fair value at December 31, 2019 Level 1 Level 2 Level 3 Total Assets: Nuclear decommissioning trusts: Equity securities $ 503 $ 6 $ — $ 509 Debt securities: Debt securities issued by the U.S. Treasury and other U.S. government corporations and agencies 46 11 — 57 Municipal bonds — 282 — 282 Other securities — 226 — 226 Total debt securities 46 519 — 565 Total nuclear decommissioning trusts (1) 549 525 — 1,074 Commodity contracts subject to rate recovery 1 3 95 99 Effect of netting and allocation of collateral (2) 10 — 6 16 Total $ 560 $ 528 $ 101 $ 1,189 Liabilities: Commodity contracts subject to rate recovery $ 14 $ — $ 67 $ 81 Effect of netting and allocation of collateral (2) (14) — — (14) Total $ — $ — $ 67 $ 67 (1) Excludes cash and cash equivalents. (2) Includes the effect of the contractual ability to settle contracts under master netting agreements and with cash collateral, as well as cash collateral not offset. RECURRING FAIR VALUE MEASURES – SOCALGAS (Dollars in millions) Fair value at September 30, 2020 Level 1 Level 2 Level 3 Total Assets: Commodity contracts subject to rate recovery $ — $ 3 $ — $ 3 Effect of netting and allocation of collateral (1) 2 — — 2 Total $ 2 $ 3 $ — $ 5 Liabilities: Commodity contracts subject to rate recovery $ — $ 6 $ — $ 6 Total $ — $ 6 $ — $ 6 Fair value at December 31, 2019 Level 1 Level 2 Level 3 Total Assets: Commodity contracts subject to rate recovery $ 4 $ 5 $ — $ 9 Effect of netting and allocation of collateral (1) 1 8 — 9 Total $ 5 $ 13 $ — $ 18 Liabilities: Commodity contracts subject to rate recovery $ — $ 4 $ — $ 4 Total $ — $ 4 $ — $ 4 (1) Includes the effect of the contractual ability to settle contracts under master netting agreements and with cash collateral, as well as cash collateral not offset. |
Recurring Fair Value Measures Level 3 Rollforward Table | The table below sets forth reconciliations of changes in the fair value of CRRs and long-term, fixed-price electricity positions classified as Level 3 in the fair value hierarchy for Sempra Energy Consolidated and SDG&E. LEVEL 3 RECONCILIATIONS (1) (Dollars in millions) Three months ended September 30, 2020 2019 Balance at July 1 $ 17 $ 176 Realized and unrealized losses (4) (24) Allocated transmission instruments 1 — Settlements 19 27 Balance at September 30 $ 33 $ 179 Change in unrealized gains (losses) relating to instruments still held at September 30 $ 7 $ 1 Nine months ended September 30, 2020 2019 Balance at January 1 $ 28 $ 179 Realized and unrealized losses (18) (32) Allocated transmission instruments 2 — Settlements 21 32 Balance at September 30 $ 33 $ 179 Change in unrealized gains (losses) relating to instruments still held at September 30 $ (1) $ 12 (1) Excludes the effect of the contractual ability to settle contracts under master netting agreements. The table below sets forth a reconciliation of changes in the fair value of Sempra Energy’s Support Agreement for the benefit of CFIN classified as Level 3 in the fair value hierarchy for Sempra Energy Consolidated. LEVEL 3 RECONCILIATION (Dollars in millions) Three months ended September 30, 2020 Balance at July 1 $ — Realized and unrealized gains (1) 7 Settlements (1) Balance at September 30 (2) $ 6 Change in unrealized gains (losses) relating to instruments still held at September 30 $ 6 (1) Net gains are included in Interest Income and net losses are included in Interest Expense on the Sempra Energy Condensed Consolidated Statements of Operations. (2) Included in Other Current Assets on the Sempra Energy Condensed Consolidated Balance Sheets. |
Schedule of Fair Value Inputs | For the CRRs settling from January 1 to December 31, the auction price inputs, at a given location, were in the following ranges for the years indicated below: CONGESTION REVENUE RIGHTS AUCTION PRICE INPUTS Settlement year Price per MWh Median price per MWh 2020 $ (3.77) to $ 6.03 $ (1.58) 2019 (8.57) to 35.21 (2.94) LONG-TERM, FIXED-PRICE ELECTRICITY POSITIONS PRICE INPUTS Settlement year Price per MWh Weighted-average price per MWh 2020 $ 19.45 to $ 71.25 $ 38.14 2019 21.60 to 57.20 38.29 |
Fair Value of Financial Instruments Table | The following table provides the carrying amounts and fair values of certain other financial instruments that are not recorded at fair value on the Condensed Consolidated Balance Sheets. FAIR VALUE OF FINANCIAL INSTRUMENTS (Dollars in millions) September 30, 2020 Carrying Fair value Level 1 Level 2 Level 3 Total Sempra Energy Consolidated: Long-term amounts due from unconsolidated affiliates (1) $ 620 $ — $ 649 $ — $ 649 Long-term amounts due to unconsolidated affiliates 271 — 280 — 280 Total long-term debt (2) 23,588 — 26,105 — 26,105 SDG&E: Total long-term debt (3) $ 6,505 $ — $ 7,481 $ — $ 7,481 SoCalGas: Total long-term debt (4) $ 4,759 $ — $ 5,573 $ — $ 5,573 December 31, 2019 Carrying Fair value Level 1 Level 2 Level 3 Total Sempra Energy Consolidated: Long-term amounts due from unconsolidated affiliates $ 742 $ — $ 759 $ — $ 759 Long-term amounts due to unconsolidated affiliates 195 — 184 — 184 Total long-term debt (2) 21,247 — 22,638 26 22,664 SDG&E: Total long-term debt (3) $ 5,140 $ — $ 5,662 $ — $ 5,662 SoCalGas: Total long-term debt (4) $ 3,809 $ — $ 4,189 $ — $ 4,189 (1) Before allowances for credit losses of $3 million at September 30, 2020. (2) Before reductions of unamortized discount and debt issuance costs of $263 million and $225 million at September 30, 2020 and December 31, 2019, respectively, and excluding finance lease obligations of $1,335 million and $1,289 million at September 30, 2020 and December 31, 2019, respectively. (3) Before reductions of unamortized discount and debt issuance costs of $59 million and $48 million at September 30, 2020 and December 31, 2019, respectively, and excluding finance lease obligations of $1,278 million and $1,270 million at September 30, 2020 and December 31, 2019, respectively. (4) Before reductions of unamortized discount and debt issuance costs of $41 million and $34 million at September 30, 2020 and December 31, 2019, respectively, and excluding finance lease obligations of $57 million and $19 million at September 30, 2020 and December 31, 2019, respectively. |
SAN ONOFRE NUCLEAR GENERATING_2
SAN ONOFRE NUCLEAR GENERATING STATION (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Public Utilities, General Disclosures [Abstract] | |
Schedule of Nuclear Decommissioning Trusts Investments | The following table shows the fair values and gross unrealized gains and losses for the securities held in the NDT. We provide additional fair value disclosures for the NDT in Note 9. NUCLEAR DECOMMISSIONING TRUSTS (Dollars in millions) Cost Gross Gross Estimated At September 30, 2020: Debt securities: Debt securities issued by the U.S. Treasury and other U.S. government corporations and agencies (1) $ 48 $ 1 $ — $ 49 Municipal bonds (2) 318 18 (1) 335 Other securities (3) 258 14 (1) 271 Total debt securities 624 33 (2) 655 Equity securities 147 254 (12) 389 Cash and cash equivalents 13 — — 13 Total $ 784 $ 287 $ (14) $ 1,057 At December 31, 2019: Debt securities: Debt securities issued by the U.S. Treasury and other U.S. government corporations and agencies $ 57 $ — $ — $ 57 Municipal bonds 270 12 — 282 Other securities 218 9 (1) 226 Total debt securities 545 21 (1) 565 Equity securities 176 339 (6) 509 Cash and cash equivalents 8 — — 8 Total $ 729 $ 360 $ (7) $ 1,082 (1) Maturity dates are 2022-2050. (2) Maturity dates are 2020-2056. (3) Maturity dates are 2020-2072. |
Schedule of Sales of Securities By Nuclear Decommissioning Trusts | The following table shows the proceeds from sales of securities in the NDT and gross realized gains and losses on those sales. SALES OF SECURITIES IN THE NDT (Dollars in millions) Three months ended September 30, Nine months ended September 30, 2020 2019 2020 2019 Proceeds from sales $ 294 $ 231 $ 1,091 $ 728 Gross realized gains 9 5 108 18 Gross realized losses (2) (1) (13) (4) |
COMMITMENTS AND CONTINGENCIES (
COMMITMENTS AND CONTINGENCIES (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Commitments and Contingencies Disclosure [Abstract] | |
Schedule of Lease Cash Flow Activity Table | We provide supplemental noncash information for operating and finance leases below. SUPPLEMENTAL NONCASH INFORMATION (Dollars in millions) Nine months ended September 30, 2020 Sempra Energy Consolidated SDG&E SoCalGas Increase in operating lease obligations for right-of-use assets $ 24 $ — $ 4 Increase in finance lease obligations for investment in PP&E 72 26 46 Nine months ended September 30, 2019 Sempra Energy Consolidated SDG&E SoCalGas Increase in operating lease obligations for right-of-use assets $ 571 $ 147 $ 117 Increase in finance lease obligations for investment in PP&E 27 12 15 |
Schedule of Operating Lease Payments Received, Lease Income Table | We provide information below for leases for which we are the lessor. LESSOR INFORMATION ON THE CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS – SEMPRA ENERGY (Dollars in millions) Three months ended September 30, Nine months ended September 30, 2020 2019 2020 2019 Fixed lease payments $ 48 $ 51 $ 145 $ 150 Variable lease payments 1 — 1 6 Total revenues from operating leases (1) $ 49 $ 51 $ 146 $ 156 Depreciation expense $ 10 $ 10 $ 29 $ 29 (1) Included in Revenues: Energy-Related Businesses on the Condensed Consolidated Statements of Operations. |
SEGMENT INFORMATION (Tables)
SEGMENT INFORMATION (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Segment Reporting [Abstract] | |
Segment Information | The following tables show selected information by segment from our Condensed Consolidated Statements of Operations and Condensed Consolidated Balance Sheets. Amounts labeled as “All other” in the following tables consist primarily of activities of parent organizations and include certain nominal amounts from our South American businesses that did not qualify for treatment as discontinued operations. SEGMENT INFORMATION (Dollars in millions) Three months ended September 30, Nine months ended September 30, 2020 2019 2020 2019 REVENUES SDG&E $ 1,472 $ 1,427 $ 3,976 $ 3,666 SoCalGas 842 975 3,247 3,142 Sempra Mexico 351 357 935 1,058 Sempra Renewables — — — 10 Sempra LNG 63 100 255 327 All other — 1 1 1 Adjustments and eliminations 2 (2) — (3) Intersegment revenues (1) (86) (100) (215) (315) Total $ 2,644 $ 2,758 $ 8,199 $ 7,886 INTEREST EXPENSE SDG&E $ 103 $ 106 $ 307 $ 311 SoCalGas 39 36 119 104 Sempra Mexico 31 30 95 89 Sempra Renewables — — — 3 Sempra LNG 8 11 39 18 All other 93 117 304 336 Intercompany eliminations (10) (21) (46) (64) Total $ 264 $ 279 $ 818 $ 797 INTEREST INCOME SDG&E $ 1 $ 1 $ 2 $ 3 SoCalGas — — 2 1 Sempra Mexico 14 20 47 58 Sempra Renewables — — — 11 Sempra LNG 25 15 65 45 All other — 1 3 2 Intercompany eliminations (13) (15) (43) (56) Total $ 27 $ 22 $ 76 $ 64 DEPRECIATION AND AMORTIZATION SDG&E $ 200 $ 196 $ 598 $ 571 SoCalGas 165 154 486 449 Sempra Mexico 47 46 141 136 Sempra LNG 2 2 7 7 All other 4 4 10 11 Total $ 418 $ 402 $ 1,242 $ 1,174 INCOME TAX EXPENSE (BENEFIT) SDG&E $ 33 $ 71 $ 161 $ 111 SoCalGas (6) 35 95 50 Sempra Mexico 92 — (161) 116 Sempra Renewables — — — 4 Sempra LNG 18 (2) 59 4 All other (38) (43) (94) (135) Total $ 99 $ 61 $ 60 $ 150 EQUITY EARNINGS (LOSSES) Equity earnings (losses), before income tax: Sempra Texas Utilities $ 1 $ — $ 1 $ 1 Sempra Renewables — — — 5 Sempra LNG 116 17 257 19 All other — — (100) (1) 117 17 158 24 Equity earnings, net of income tax: Sempra Texas Utilities 208 212 457 418 Sempra Mexico 1 37 207 43 209 249 664 461 Total $ 326 $ 266 $ 822 $ 485 SEGMENT INFORMATION (CONTINUED) (Dollars in millions) Three months ended September 30, Nine months ended 2020 2019 2020 2019 EARNINGS (LOSSES) ATTRIBUTABLE TO COMMON SHARES SDG&E $ 178 $ 263 $ 633 $ 582 SoCalGas (24) 143 425 437 Sempra Texas Utilities 209 212 458 419 Sempra Mexico 50 84 302 214 Sempra Renewables — — — 59 Sempra LNG 71 2 207 13 Discontinued operations (7) 248 1,840 267 All other (126) (139) (515) (383) Total $ 351 $ 813 $ 3,350 $ 1,608 EXPENDITURES FOR PROPERTY, PLANT & EQUIPMENT SDG&E $ 1,323 $ 1,071 SoCalGas 1,345 1,019 Sempra Mexico 443 420 Sempra Renewables — 2 Sempra LNG 196 74 All other 6 4 Total $ 3,313 $ 2,590 September 30, December 31, ASSETS SDG&E $ 22,421 $ 20,560 SoCalGas 17,943 17,077 Sempra Texas Utilities 12,063 11,619 Sempra Mexico 10,730 9,938 Sempra LNG 3,643 3,901 Discontinued operations — 3,958 All other 2,398 749 Intersegment receivables (1,976) (2,137) Total $ 67,222 $ 65,665 EQUITY METHOD AND OTHER INVESTMENTS Sempra Texas Utilities $ 12,063 $ 11,619 Sempra Mexico 920 741 Sempra LNG 433 1,256 All other 1 6 Total $ 13,417 $ 13,622 (1) Revenues for reportable segments include intersegment revenues of $1 million, $23 million, $12 million and $50 million for the three months ended September 30, 2020; $4 million, $61 million, $69 million and $81 million for the nine months ended September 30, 2020; $1 million, $16 million, $29 million and $54 million for the three months ended September 30, 2019; and $4 million, $50 million, $89 million and $172 million for the nine months ended September 30, 2019 for SDG&E, SoCalGas, Sempra Mexico and Sempra LNG, respectively. |
GENERAL INFORMATION AND OTHER_4
GENERAL INFORMATION AND OTHER FINANCIAL DATA - PRINCIPLES OF CONSOLIDATION (Details) - segment | 1 Months Ended | 9 Months Ended | 17 Months Ended |
Apr. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2020 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |||
Number of reportable segments | 6 | 5 | 5 |
GENERAL INFORMATION AND OTHER_5
GENERAL INFORMATION AND OTHER FINANCIAL DATA - CASH, CASH EQUIVALENTS AND RESTRICTED CASH (Details) - USD ($) $ in Millions | Sep. 30, 2020 | Dec. 31, 2019 | Sep. 30, 2019 | Dec. 31, 2018 | |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||
Cash and cash equivalents | $ 3,515 | $ 108 | [1] | ||
Restricted cash, current | 28 | 31 | [1] | ||
Restricted cash, noncurrent | 3 | 3 | [1] | ||
Cash, cash equivalents and restricted cash in discontinued operations | 0 | 75 | |||
Total cash, cash equivalents and restricted cash on the Condensed Consolidated Statements of Cash Flows | 3,546 | 217 | $ 497 | $ 246 | |
Sempra South American Utilities [Member] | Discontinued Operations, Held-for-sale [Member] | |||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||
Cash, cash equivalents and restricted cash in discontinued operations | $ 4,600 | $ 74 | |||
[1] | Derived from audited financial statements. |
GENERAL INFORMATION AND OTHER_6
GENERAL INFORMATION AND OTHER FINANCIAL DATA - CREDIT LOSSES (Details) - USD ($) $ in Millions | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2020 | Dec. 31, 2019 | |
Accounts Receivable, Allowance for Credit Loss [Roll Forward] | |||
Beginning balance | $ 29 | ||
Provisions for expected credit losses | 84 | ||
Write-offs | (11) | ||
Ending balance | 103 | ||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | |||
Beginning balance | 0 | ||
Reduction to expected credit losses | (3) | ||
Ending balance | 3 | ||
Allowance for credit losses | 3 | $ 3 | $ 0 |
San Diego Gas and Electric Company [Member] | |||
Accounts Receivable, Allowance for Credit Loss [Roll Forward] | |||
Beginning balance | 14 | ||
Provisions for expected credit losses | 44 | ||
Write-offs | (6) | ||
Ending balance | 52 | ||
Southern California Gas Company [Member] | |||
Accounts Receivable, Allowance for Credit Loss [Roll Forward] | |||
Beginning balance | 15 | ||
Provisions for expected credit losses | 40 | ||
Write-offs | (5) | ||
Ending balance | 50 | ||
Cumulative Effect, Period of Adoption, Adjustment [Member] | |||
Accounts Receivable, Allowance for Credit Loss [Roll Forward] | |||
Beginning balance | 1 | ||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | |||
Beginning balance | 6 | ||
Allowance for credit losses | 6 | 6 | |
Cumulative Effect, Period of Adoption, Adjustment [Member] | San Diego Gas and Electric Company [Member] | |||
Accounts Receivable, Allowance for Credit Loss [Roll Forward] | |||
Beginning balance | 0 | ||
Cumulative Effect, Period of Adoption, Adjustment [Member] | Southern California Gas Company [Member] | |||
Accounts Receivable, Allowance for Credit Loss [Roll Forward] | |||
Beginning balance | 0 | ||
Accounts Receivable, Trade, Net [Member] | |||
Accounts Receivable, Allowance for Credit Loss [Roll Forward] | |||
Ending balance | 75 | ||
Accounts Receivable, Trade, Net [Member] | San Diego Gas and Electric Company [Member] | |||
Accounts Receivable, Allowance for Credit Loss [Roll Forward] | |||
Ending balance | 37 | ||
Accounts Receivable, Trade, Net [Member] | Southern California Gas Company [Member] | |||
Accounts Receivable, Allowance for Credit Loss [Roll Forward] | |||
Ending balance | 37 | ||
Accounts receivable – other, net [Member] | |||
Accounts Receivable, Allowance for Credit Loss [Roll Forward] | |||
Ending balance | 28 | ||
Accounts receivable – other, net [Member] | San Diego Gas and Electric Company [Member] | |||
Accounts Receivable, Allowance for Credit Loss [Roll Forward] | |||
Ending balance | 15 | ||
Accounts receivable – other, net [Member] | Southern California Gas Company [Member] | |||
Accounts Receivable, Allowance for Credit Loss [Roll Forward] | |||
Ending balance | 13 | ||
Due from Unconsolidated Affiliates - Noncurrent [Member] | |||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | |||
Ending balance | 3 | ||
Allowance for credit losses | 3 | 3 | |
Sempra LNG [Member] | |||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | |||
Maximum exposure under guarantor obligations | 4,000 | ||
Off-Balance Sheet, Credit Loss, Liability [Roll Forward] | |||
Reduction of credit loss liability | $ (3) | ||
Sempra LNG [Member] | Cumulative Effect, Period of Adoption, Adjustment [Member] | |||
Off-Balance Sheet, Credit Loss, Liability [Roll Forward] | |||
Liability for credit losses | $ 6 | ||
Sempra LNG [Member] | Other Current Liabilities [Member] | |||
Off-Balance Sheet, Credit Loss, Liability [Roll Forward] | |||
Liability for credit losses | $ 3 | ||
Sempra Mexico [Member] | Revenue Benchmark [Member] | Customer One [Member] | |||
Financing Receivable, Allowance for Credit Loss [Line Items] | |||
Concentration risk percentage threshold | 10.00% | ||
Sempra Mexico [Member] | Revenue Benchmark [Member] | Customer Two [Member] | |||
Financing Receivable, Allowance for Credit Loss [Line Items] | |||
Concentration risk percentage threshold | 10.00% | ||
Sempra Mexico [Member] | Revenue Benchmark [Member] | Customer Three [Member] | |||
Financing Receivable, Allowance for Credit Loss [Line Items] | |||
Concentration risk percentage threshold | 10.00% | ||
Sempra Mexico [Member] | Revenue Benchmark [Member] | Customer Four [Member] | |||
Financing Receivable, Allowance for Credit Loss [Line Items] | |||
Concentration risk percentage threshold | 10.00% |
GENERAL INFORMATION AND OTHER_7
GENERAL INFORMATION AND OTHER FINANCIAL DATA - INVENTORIES (Details) - USD ($) $ in Millions | Sep. 30, 2020 | Dec. 31, 2019 | |
Inventory [Line Items] | |||
Natural gas | $ 127 | $ 110 | |
LNG | 2 | 9 | |
Materials and supplies | 180 | 158 | |
Inventory | 309 | 277 | [1] |
San Diego Gas and Electric Company [Member] | |||
Inventory [Line Items] | |||
Natural gas | 0 | 1 | |
LNG | 0 | 0 | |
Materials and supplies | 105 | 93 | |
Inventory | 105 | 94 | [1] |
Southern California Gas Company [Member] | |||
Inventory [Line Items] | |||
Natural gas | 104 | 90 | |
LNG | 0 | 0 | |
Materials and supplies | 56 | 46 | |
Inventory | $ 160 | $ 136 | [1] |
[1] | Derived from audited financial statements. |
GENERAL INFORMATION AND OTHER_8
GENERAL INFORMATION AND OTHER FINANCIAL DATA - WILDFIRE FUND (Details) - USD ($) $ in Millions | 1 Months Ended | 3 Months Ended | 9 Months Ended | ||||
Jul. 31, 2020 | Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | Dec. 31, 2019 | ||
Loss Contingencies [Line Items] | |||||||
Current portion of the Wildfire Fund asset | $ 29 | $ 29 | $ 29 | ||||
Noncurrent portion of the Wildfire Fund asset | 371 | 371 | 392 | [1] | |||
Wildfire Fund obligation in other current liabilities | 13 | 13 | 13 | ||||
Wildfire Fund obligation in deferred credits and other | 87 | 87 | 86 | ||||
Wildfire fund asset, amortization expense | 7 | $ 8 | 21 | $ 8 | |||
Wildfire fund obligation, accretion expense | 0 | 0 | $ 1 | 0 | |||
San Diego Gas and Electric Company [Member] | |||||||
Loss Contingencies [Line Items] | |||||||
Wildfire Fund asset | 451.5 | 451.5 | |||||
Estimated period of benefit | 15 years | ||||||
Wildfire fund, annual contributions | $ 12.9 | ||||||
Current portion of the Wildfire Fund asset | 29 | 29 | 29 | ||||
Noncurrent portion of the Wildfire Fund asset | 371 | 371 | 392 | [1] | |||
Wildfire Fund obligation in other current liabilities | 13 | 13 | 13 | ||||
Wildfire Fund obligation in deferred credits and other | 87 | 87 | $ 86 | ||||
Wildfire fund asset, amortization expense | 7 | 8 | 21 | 8 | |||
Wildfire fund obligation, accretion expense | $ 0 | $ 0 | $ 1 | $ 0 | |||
San Diego Gas and Electric Company [Member] | PG&E [Member] | |||||||
Loss Contingencies [Line Items] | |||||||
Wildfire fund, amount | $ 21,000 | ||||||
[1] | Derived from audited financial statements. |
GENERAL INFORMATION AND OTHER_9
GENERAL INFORMATION AND OTHER FINANCIAL DATA - CAPITALIZED FINANCING COSTS (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Capitalized Financing Costs Disclosure [Line Items] | ||||
Total capitalized financing costs | $ 51 | $ 46 | $ 149 | $ 144 |
San Diego Gas and Electric Company [Member] | ||||
Capitalized Financing Costs Disclosure [Line Items] | ||||
Total capitalized financing costs | 26 | 19 | 79 | 56 |
Southern California Gas Company [Member] | ||||
Capitalized Financing Costs Disclosure [Line Items] | ||||
Total capitalized financing costs | $ 14 | $ 13 | $ 39 | $ 35 |
GENERAL INFORMATION AND OTHE_10
GENERAL INFORMATION AND OTHER FINANCIAL DATA - VARIABLE INTEREST ENTITIES (Details) - USD ($) $ in Millions | 9 Months Ended | ||
Sep. 30, 2020 | Dec. 31, 2019 | ||
Variable Interest Entities [Line Items] | |||
Property, plant and equipment | $ 38,784 | $ 36,452 | [1] |
Finance lease obligations | 1,335 | 1,289 | |
Equity method investment | 11,962 | 11,519 | [1] |
Assets | 67,222 | 65,665 | [1] |
Sempra Texas Utilities [Member] | Oncor Holdings [Member] | |||
Variable Interest Entities [Line Items] | |||
Equity method investment | 11,962 | 11,519 | |
Sempra LNG [Member] | |||
Variable Interest Entities [Line Items] | |||
Maximum exposure under guarantor obligations | 4,000 | ||
Sempra LNG [Member] | Cameron LNG Holdings [Member] | |||
Variable Interest Entities [Line Items] | |||
Equity method investment | 433 | 1,256 | |
San Diego Gas and Electric Company [Member] | |||
Variable Interest Entities [Line Items] | |||
Property, plant and equipment | 17,923 | 16,967 | [1] |
Finance lease obligations | 1,278 | 1,270 | |
Assets | $ 22,421 | 20,560 | [1] |
Oncor Electric Delivery Company LLC. [Member] | Oncor Holdings [Member] | Sempra Texas Utilities [Member] | |||
Variable Interest Entities [Line Items] | |||
Ownership interest (as a percent) | 80.25% | ||
Sempra Texas Holdings Corp [Member] | Oncor Holdings [Member] | Sempra Texas Intermediate Holding Company LLC [Member] | |||
Variable Interest Entities [Line Items] | |||
Ownership percentage in consolidated entity | 100.00% | ||
Variable Interest Entity, Not Primary Beneficiary [Member] | Sempra LNG [Member] | |||
Variable Interest Entities [Line Items] | |||
Maximum exposure under guarantor obligations | $ 979 | ||
Variable Interest Entity, Not Primary Beneficiary [Member] | San Diego Gas and Electric Company [Member] | |||
Variable Interest Entities [Line Items] | |||
Property, plant and equipment | 1,242 | 1,255 | |
Finance lease obligations | $ 1,242 | 1,255 | |
Variable Interest Entity, Primary Beneficiary [Member] | Sempra Mexico [Member] | |||
Variable Interest Entities [Line Items] | |||
Assets | $ 126 | ||
[1] | Derived from audited financial statements. |
GENERAL INFORMATION AND OTHE_11
GENERAL INFORMATION AND OTHER FINANCIAL DATA - PENSION AND OTHER POSTRETIREMENT BENEFITS (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Defined Benefit Plan, Net Periodic Benefit Cost (Credit) [Abstract] | ||||
Settlement charges | $ 13 | $ 22 | $ 22 | |
Amortization of: | ||||
Settlement charges | 13 | 22 | 22 | |
Pension benefits [Member] | ||||
Defined Benefit Plan, Net Periodic Benefit Cost (Credit) [Abstract] | ||||
Settlement charges | 13 | $ 4 | 22 | 26 |
Defined Benefit Plan Disclosure [Line Items] | ||||
Service cost | 31 | 27 | 97 | 82 |
Interest cost | 32 | 34 | 97 | 104 |
Expected return on assets | (41) | (36) | (126) | (108) |
Amortization of: | ||||
Prior service cost (credit) | 3 | 3 | 9 | 9 |
Actuarial loss (gain) | 9 | 8 | 26 | 29 |
Settlement charges | 13 | 4 | 22 | 26 |
Net periodic benefit cost (credit) | 47 | 40 | 125 | 142 |
Regulatory adjustments | 37 | 3 | 31 | (30) |
Total expense recognized | 84 | 43 | 156 | 112 |
Contributions by employer | 202 | |||
Expected contributions in current fiscal year | 298 | 298 | ||
Pension benefits [Member] | San Diego Gas and Electric Company [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Service cost | 7 | 7 | 23 | 22 |
Interest cost | 7 | 9 | 22 | 26 |
Expected return on assets | (12) | (9) | (37) | (29) |
Amortization of: | ||||
Prior service cost (credit) | 1 | 0 | 2 | 2 |
Actuarial loss (gain) | 1 | 2 | 3 | 9 |
Net periodic benefit cost (credit) | 4 | 9 | 13 | 30 |
Regulatory adjustments | 22 | (1) | 28 | (13) |
Total expense recognized | 26 | 8 | 41 | 17 |
Contributions by employer | 39 | |||
Expected contributions in current fiscal year | 54 | 54 | ||
Pension benefits [Member] | Southern California Gas Company [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Service cost | 20 | 17 | 64 | 51 |
Interest cost | 22 | 23 | 66 | 68 |
Expected return on assets | (27) | (24) | (81) | (71) |
Amortization of: | ||||
Prior service cost (credit) | 2 | 2 | 6 | 6 |
Actuarial loss (gain) | 6 | 3 | 19 | 14 |
Net periodic benefit cost (credit) | 23 | 21 | 74 | 68 |
Regulatory adjustments | 15 | 4 | 3 | (17) |
Total expense recognized | 38 | 25 | 77 | 51 |
Contributions by employer | 76 | |||
Expected contributions in current fiscal year | 155 | 155 | ||
Other postretirement benefits [Member] | ||||
Defined Benefit Plan, Net Periodic Benefit Cost (Credit) [Abstract] | ||||
Settlement charges | 0 | 0 | 0 | 0 |
Defined Benefit Plan Disclosure [Line Items] | ||||
Service cost | 5 | 4 | 14 | 12 |
Interest cost | 8 | 9 | 24 | 27 |
Expected return on assets | (14) | (17) | (41) | (52) |
Amortization of: | ||||
Prior service cost (credit) | (1) | 0 | (2) | 0 |
Actuarial loss (gain) | (2) | (3) | (7) | (8) |
Settlement charges | 0 | 0 | 0 | 0 |
Net periodic benefit cost (credit) | (4) | (7) | (12) | (21) |
Regulatory adjustments | 4 | 8 | 12 | 22 |
Total expense recognized | 0 | 1 | 0 | 1 |
Contributions by employer | 6 | |||
Expected contributions in current fiscal year | 8 | 8 | ||
Other postretirement benefits [Member] | San Diego Gas and Electric Company [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Service cost | 1 | 1 | 3 | 3 |
Interest cost | 2 | 1 | 5 | 5 |
Expected return on assets | (3) | (3) | (8) | (9) |
Amortization of: | ||||
Prior service cost (credit) | 0 | 1 | 0 | 2 |
Actuarial loss (gain) | (1) | 0 | (2) | (1) |
Net periodic benefit cost (credit) | (1) | 0 | (2) | 0 |
Regulatory adjustments | 1 | 0 | 2 | 0 |
Total expense recognized | 0 | 0 | 0 | 0 |
Contributions by employer | 1 | |||
Expected contributions in current fiscal year | 1 | 1 | ||
Other postretirement benefits [Member] | Southern California Gas Company [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Service cost | 3 | 3 | 10 | 9 |
Interest cost | 7 | 6 | 19 | 20 |
Expected return on assets | (11) | (14) | (32) | (43) |
Amortization of: | ||||
Prior service cost (credit) | (1) | (1) | (2) | (2) |
Actuarial loss (gain) | (1) | (2) | (5) | (6) |
Net periodic benefit cost (credit) | (3) | (8) | (10) | (22) |
Regulatory adjustments | 3 | 8 | 10 | 22 |
Total expense recognized | 0 | $ 0 | 0 | $ 0 |
Contributions by employer | 1 | |||
Expected contributions in current fiscal year | $ 1 | $ 1 |
GENERAL INFORMATION AND OTHE_12
GENERAL INFORMATION AND OTHER FINANCIAL DATA - RABBI TRUST (Details) - USD ($) $ in Millions | Sep. 30, 2020 | Dec. 31, 2019 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |||
Rabbi trust | $ 469 | $ 488 | [1] |
[1] | Derived from audited financial statements. |
GENERAL INFORMATION AND OTHE_13
GENERAL INFORMATION AND OTHER FINANCIAL DATA - EARNINGS PER SHARE (Details) - USD ($) $ / shares in Units, $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Deferred Compensation Arrangement with Individual, Share-based Payments [Line Items] | ||||
Income from continuing operations, net of income tax | $ 428 | $ 653 | $ 1,823 | $ 1,570 |
Earnings attributable to noncontrolling interests | (22) | (52) | (191) | (121) |
Preferred dividends | (48) | (36) | (121) | (107) |
Preferred dividends of subsidiary | 0 | 0 | (1) | (1) |
Earnings from continuing operations attributable to common shares for basic EPS | 358 | 565 | 1,510 | 1,341 |
Add back dividends for dilutive mandatory convertible preferred stock | 0 | 26 | 0 | 0 |
Earnings from continuing operations attributable to common shares for diluted EPS | 358 | 591 | 1,510 | 1,341 |
(Loss) income from discontinued operations, net of income tax | (7) | 256 | 1,850 | 292 |
Earnings attributable to noncontrolling interests | 0 | (8) | (10) | (25) |
(Losses) earnings from discontinued operations attributable to common shares | (7) | 248 | 1,840 | 267 |
Earnings attributable to common shares for basic EPS | 351 | 813 | 3,350 | 1,608 |
Earnings attributable to common shares | $ 351 | $ 839 | $ 3,350 | $ 1,608 |
Weighted-average common shares outstanding for basic EPS | 289,490,000 | 277,360,000 | 291,771,000 | 275,684,000 |
Dilutive effect of stock options, RSAs and RSUs (in shares) | 1,092,000 | 1,636,000 | 1,164,000 | 1,381,000 |
Dilutive effect of common stock forward shares (in shares) | 0 | 3,555,000 | 0 | 2,744,000 |
Dilutive effect of mandatory convertible preferred stock (in shares) | 0 | 13,238,000 | 0 | 0 |
Weighted-average common shares outstanding for diluted EPS (in shares) | 290,582,000 | 295,789,000 | 292,935,000 | 279,809,000 |
Earnings (losses) from continuing operations attributable to common shares (in usd per share) | $ 1.23 | $ 2.04 | $ 5.17 | $ 4.86 |
Earnings from discontinued operations attributable to common shares (in usd per share) | (0.02) | 0.89 | 6.31 | 0.97 |
Earnings attributable to common shares (in usd per share) | 1.21 | 2.93 | 11.48 | 5.83 |
Earnings (losses) from continuing operations attributable to common shares (in usd per share) | 1.23 | 2 | 5.15 | 4.79 |
Earnings from discontinued operations attributable to common shares (in usd per share) | (0.02) | 0.84 | 6.28 | 0.95 |
Earnings from continuing operations attributable to common shares (in usd per share) | $ 1.21 | $ 2.84 | $ 11.43 | $ 5.74 |
Vested RSUs included in basic WASO (in shares) | 535,000 | 618,000 | 536,000 | 615,000 |
Non-qualified stock options granted (in shares) | 154,860 | |||
Convertible Preferred Stock [Member] | ||||
Deferred Compensation Arrangement with Individual, Share-based Payments [Line Items] | ||||
Antidilutive securities excluded from earnings per share (in shares) | 19,292,641 | 4,219,350 | 19,292,641 | 17,457,000 |
Share-based Payment Arrangement, Option [Member] | ||||
Deferred Compensation Arrangement with Individual, Share-based Payments [Line Items] | ||||
Exercisable period | 3 years | |||
Performance-based RSUs [Member] | ||||
Deferred Compensation Arrangement with Individual, Share-based Payments [Line Items] | ||||
Equity awards, granted (in shares) | 265,236 | |||
Service-based RSUs [Member] | ||||
Deferred Compensation Arrangement with Individual, Share-based Payments [Line Items] | ||||
Equity awards, granted (in shares) | 163,475 | |||
Stock options, RSAs and RSUs [Member] | ||||
Deferred Compensation Arrangement with Individual, Share-based Payments [Line Items] | ||||
Antidilutive securities excluded from earnings per share (in shares) | 142,100 | 0 | 204,426 | 107,042 |
GENERAL INFORMATION AND OTHE_14
GENERAL INFORMATION AND OTHER FINANCIAL DATA - CHANGES IN ACCUMULATED OTHER COMPREHENSIVE INCOME (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | Dec. 31, 2019 | |||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | |||||||
Beginning balance | [1] | $ 19,929 | |||||
OCI before reclassifications | $ 13 | $ (139) | (273) | $ (211) | |||
Amounts reclassified from AOCI | 16 | 9 | 699 | 39 | |||
Net OCI | 29 | (130) | 426 | (172) | |||
Ending balance | 23,228 | 23,228 | $ 19,929 | [1] | |||
Sempra Mexico [Member] | |||||||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | |||||||
AOCI associated with noncontrolling interests | 5 | 5 | |||||
Foreign currency translation adjustments [Member] | |||||||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | |||||||
Beginning balance | (83) | (518) | (607) | (564) | (564) | ||
OCI before reclassifications | 6 | (91) | (115) | (45) | |||
Amounts reclassified from AOCI | 0 | 0 | 645 | 0 | |||
Net OCI | 6 | (91) | 530 | (45) | |||
Ending balance | (77) | (609) | (77) | (609) | (607) | ||
Financial instruments [Member] | |||||||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | |||||||
Beginning balance | (361) | (213) | (215) | (82) | (82) | ||
OCI before reclassifications | 14 | (41) | (153) | (153) | |||
Amounts reclassified from AOCI | 4 | 4 | 25 | 10 | |||
Net OCI | 18 | (37) | (128) | (143) | |||
Ending balance | (343) | (250) | (343) | (250) | (215) | ||
Pension and other postretirement benefits [Member] | |||||||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | |||||||
Beginning balance | (98) | (117) | (117) | (118) | (118) | ||
OCI before reclassifications | (7) | (7) | (5) | (13) | |||
Amounts reclassified from AOCI | 12 | 5 | 29 | 29 | |||
Net OCI | 5 | (2) | 24 | 16 | |||
Ending balance | (93) | (119) | (93) | (119) | (117) | ||
Total accumulated other comprehensive income (loss) [Member] | |||||||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | |||||||
Beginning balance | (542) | (848) | (939) | (764) | (764) | ||
Ending balance | (513) | (978) | (513) | (978) | (939) | ||
San Diego Gas and Electric Company [Member] | |||||||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | |||||||
Beginning balance | [1] | 7,100 | |||||
Amounts reclassified from AOCI | 4 | 1 | |||||
Net OCI | 4 | 1 | |||||
Ending balance | 7,537 | 7,537 | 7,100 | [1] | |||
San Diego Gas and Electric Company [Member] | Pension and other postretirement benefits [Member] | |||||||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | |||||||
Beginning balance | (12) | (11) | (16) | (10) | (10) | ||
Amounts reclassified from AOCI | 4 | 1 | |||||
Net OCI | 4 | 1 | |||||
Ending balance | (12) | (11) | (12) | (11) | (16) | ||
San Diego Gas and Electric Company [Member] | Total accumulated other comprehensive income (loss) [Member] | |||||||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | |||||||
Beginning balance | (12) | (11) | (16) | (10) | (10) | ||
Ending balance | (12) | (11) | (12) | (11) | (16) | ||
Southern California Gas Company [Member] | |||||||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | |||||||
Beginning balance | [1] | 4,748 | |||||
Amounts reclassified from AOCI | 1 | 1 | 5 | ||||
Net OCI | 1 | 1 | 5 | ||||
Ending balance | 5,074 | 5,074 | 4,748 | [1] | |||
Southern California Gas Company [Member] | Financial instruments [Member] | |||||||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | |||||||
Beginning balance | (13) | (14) | (13) | (12) | (12) | ||
Amounts reclassified from AOCI | 1 | 0 | 1 | ||||
Net OCI | 1 | 0 | 1 | ||||
Ending balance | (13) | (13) | (13) | (13) | (13) | ||
Southern California Gas Company [Member] | Pension and other postretirement benefits [Member] | |||||||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | |||||||
Beginning balance | (9) | (6) | (10) | (8) | (8) | ||
Amounts reclassified from AOCI | 0 | 1 | 4 | ||||
Net OCI | 0 | 1 | 4 | ||||
Ending balance | (9) | (6) | (9) | (6) | (10) | ||
Southern California Gas Company [Member] | Total accumulated other comprehensive income (loss) [Member] | |||||||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | |||||||
Beginning balance | (22) | (20) | (23) | (20) | (20) | ||
Ending balance | $ (22) | $ (19) | (22) | (19) | (23) | ||
Cumulative Effect, Period of Adoption, Adjustment [Member] | Foreign currency translation adjustments [Member] | |||||||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | |||||||
Beginning balance | 0 | 0 | |||||
Cumulative Effect, Period of Adoption, Adjustment [Member] | Financial instruments [Member] | |||||||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | |||||||
Beginning balance | (25) | (25) | |||||
Cumulative Effect, Period of Adoption, Adjustment [Member] | Pension and other postretirement benefits [Member] | |||||||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | |||||||
Beginning balance | (17) | (17) | |||||
Cumulative Effect, Period of Adoption, Adjustment [Member] | Total accumulated other comprehensive income (loss) [Member] | |||||||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | |||||||
Beginning balance | (42) | (42) | |||||
Cumulative Effect, Period of Adoption, Adjustment [Member] | San Diego Gas and Electric Company [Member] | Pension and other postretirement benefits [Member] | |||||||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | |||||||
Beginning balance | (2) | (2) | |||||
Cumulative Effect, Period of Adoption, Adjustment [Member] | San Diego Gas and Electric Company [Member] | Total accumulated other comprehensive income (loss) [Member] | |||||||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | |||||||
Beginning balance | (2) | (2) | |||||
Cumulative Effect, Period of Adoption, Adjustment [Member] | Southern California Gas Company [Member] | Financial instruments [Member] | |||||||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | |||||||
Beginning balance | (2) | (2) | |||||
Cumulative Effect, Period of Adoption, Adjustment [Member] | Southern California Gas Company [Member] | Pension and other postretirement benefits [Member] | |||||||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | |||||||
Beginning balance | (2) | (2) | |||||
Cumulative Effect, Period of Adoption, Adjustment [Member] | Southern California Gas Company [Member] | Total accumulated other comprehensive income (loss) [Member] | |||||||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | |||||||
Beginning balance | $ (4) | (4) | |||||
San Diego Gas and Electric Company [Member] | Pension and other postretirement benefits [Member] | |||||||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | |||||||
Amounts reclassified from AOCI | $ (3) | ||||||
Southern California Gas Company [Member] | Pension and other postretirement benefits [Member] | |||||||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | |||||||
Amounts reclassified from AOCI | $ (4) | ||||||
[1] | Derived from audited financial statements. |
GENERAL INFORMATION AND OTHE_15
GENERAL INFORMATION AND OTHER FINANCIAL DATA - RECLASSIFICATION FROM ACCUMULATED OTHER COMPREHENSIVE INCOME (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||
Interest expense | $ (264) | $ (279) | $ (818) | $ (797) |
(Loss) Income from Discontinued Operations, Net of Income Tax | (7) | 248 | 1,840 | 267 |
Other Income (Expense), Net | (29) | 7 | 163 | (103) |
(Loss) gain on sale of assets | 0 | (3) | 0 | 63 |
Equity earnings | 326 | 266 | 822 | 485 |
Energy-related businesses | 343 | 360 | 1,000 | 1,078 |
Income from continuing operations before income taxes and equity earnings | 201 | 448 | 1,061 | 1,235 |
Income tax expense | (99) | (61) | (60) | (150) |
Net income | 421 | 909 | 3,673 | 1,862 |
Earnings attributable to noncontrolling interest | (22) | (60) | (201) | (146) |
Reclassification out of Accumulated Other Comprehensive Income [Member] | ||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||
Earnings attributable to common shares | 16 | 9 | 696 | 35 |
Reclassification out of Accumulated Other Comprehensive Income [Member] | Foreign currency translation adjustments [Member] | ||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||
(Loss) Income from Discontinued Operations, Net of Income Tax | 645 | 0 | ||
Reclassification out of Accumulated Other Comprehensive Income [Member] | Accumulated Gain (Loss), Cash Flow Hedge, Including Noncontrolling Interest [Member] | ||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||
Income from continuing operations before income taxes and equity earnings | 4 | 8 | 43 | 16 |
Income tax expense | 0 | (2) | (12) | (3) |
Net income | 4 | 6 | 31 | 13 |
Reclassification out of Accumulated Other Comprehensive Income [Member] | Accumulated Gain (Loss), Cash Flow Hedge, Including Noncontrolling Interest [Member] | Interest rate and foreign exchange instruments [Member] | ||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||
Interest expense | 3 | 1 | 7 | 2 |
Other Income (Expense), Net | (4) | 5 | 33 | 0 |
Equity earnings | 5 | 2 | 6 | 3 |
Reclassification out of Accumulated Other Comprehensive Income [Member] | Accumulated Gain (Loss), Cash Flow Hedge, Including Noncontrolling Interest [Member] | Interest rate instruments [Member] | ||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||
(Loss) gain on sale of assets | 0 | 10 | ||
Reclassification out of Accumulated Other Comprehensive Income [Member] | Accumulated Gain (Loss), Cash Flow Hedge, Including Noncontrolling Interest [Member] | Foreign exchange instruments [Member] | ||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||
Other Income (Expense), Net | (1) | 0 | ||
Energy-related businesses | (2) | 1 | ||
Reclassification out of Accumulated Other Comprehensive Income [Member] | Gains (Losses) on Cash Flow hedges Attributable to Noncontrolling Interests [Member] | ||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||
Earnings attributable to noncontrolling interest | 0 | (2) | (6) | (3) |
Reclassification out of Accumulated Other Comprehensive Income [Member] | Gains (Losses) on Cash Flow hedges Attributable to Parent [Member] | ||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||
Earnings attributable to common shares | 4 | 4 | 25 | 10 |
Reclassification out of Accumulated Other Comprehensive Income [Member] | Gain (Loss) on Pension and Other Postretirement Benefits [Member] | ||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||
(Loss) Income from Discontinued Operations, Net of Income Tax | 6 | 0 | ||
Other Income (Expense), Net | 3 | 3 | 6 | 7 |
Reclassification out of Accumulated Other Comprehensive Income [Member] | Accumulated Defined Benefit Plans Adjustment, Net Prior Service Attributable to Parent [Member] | ||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||
Other Income (Expense), Net | 1 | 1 | 3 | 2 |
Reclassification out of Accumulated Other Comprehensive Income [Member] | Accumulated Defined Benefit Plans Adjustment, Net Settlements Attributable to Parent [Member] | ||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||
Other Income (Expense), Net | 13 | 4 | 22 | 26 |
Reclassification out of Accumulated Other Comprehensive Income [Member] | Pension and Other Postretirement Benefits [Member] | ||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||
(Loss) Income from Discontinued Operations, Net of Income Tax | (2) | 0 | ||
Income from continuing operations before income taxes and equity earnings | 17 | 8 | 37 | 35 |
Income tax expense | (5) | (3) | (9) | (10) |
Net income | 12 | 5 | 26 | 25 |
San Diego Gas and Electric Company [Member] | ||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||
Interest expense | (103) | (106) | (307) | (311) |
Other Income (Expense), Net | 2 | (19) | (47) | (60) |
Income from continuing operations before income taxes and equity earnings | 211 | 337 | 794 | 700 |
Income tax expense | (33) | (71) | (161) | (111) |
Net income | 178 | 266 | 633 | 589 |
Earnings attributable to noncontrolling interest | 0 | (3) | 0 | (7) |
San Diego Gas and Electric Company [Member] | Reclassification out of Accumulated Other Comprehensive Income [Member] | ||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||
Earnings attributable to common shares | 0 | 0 | 1 | 1 |
San Diego Gas and Electric Company [Member] | Reclassification out of Accumulated Other Comprehensive Income [Member] | Accumulated Gain (Loss), Cash Flow Hedge, Including Noncontrolling Interest [Member] | Interest rate instruments [Member] | ||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||
Interest expense | 0 | 1 | 0 | 3 |
San Diego Gas and Electric Company [Member] | Reclassification out of Accumulated Other Comprehensive Income [Member] | Gains (Losses) on Cash Flow hedges Attributable to Noncontrolling Interests [Member] | ||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||
Earnings attributable to noncontrolling interest | 0 | (1) | 0 | (3) |
San Diego Gas and Electric Company [Member] | Reclassification out of Accumulated Other Comprehensive Income [Member] | Gains (Losses) on Cash Flow hedges Attributable to Parent [Member] | ||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||
Earnings attributable to common shares | 0 | 0 | ||
San Diego Gas and Electric Company [Member] | Reclassification out of Accumulated Other Comprehensive Income [Member] | Accumulated Defined Benefit Plans Adjustment, Net Prior Service Attributable to Parent [Member] | ||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||
Other Income, Net | 1 | 1 | ||
Southern California Gas Company [Member] | ||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||
Interest expense | (39) | (36) | (119) | (104) |
Other Income (Expense), Net | 7 | (1) | (21) | (18) |
Income from continuing operations before income taxes and equity earnings | (30) | 178 | 521 | 488 |
Income tax expense | 6 | (35) | (95) | (50) |
Net income | (24) | 143 | 426 | 438 |
Southern California Gas Company [Member] | Reclassification out of Accumulated Other Comprehensive Income [Member] | ||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||
Earnings attributable to common shares | 0 | 1 | 1 | 1 |
Southern California Gas Company [Member] | Reclassification out of Accumulated Other Comprehensive Income [Member] | Accumulated Gain (Loss), Cash Flow Hedge, Including Noncontrolling Interest [Member] | Interest rate instruments [Member] | ||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||
Interest expense | $ 0 | $ 1 | 0 | 1 |
Southern California Gas Company [Member] | Reclassification out of Accumulated Other Comprehensive Income [Member] | Accumulated Defined Benefit Plans Adjustment, Net Prior Service Attributable to Parent [Member] | ||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||
Other Income, Net | $ 1 | $ 0 |
GENERAL INFORMATION AND OTHE_16
GENERAL INFORMATION AND OTHER FINANCIAL DATA - SHAREHOLDER'S EQUITY AND NONCONTROLLING INTEREST (Details) | Aug. 04, 2020$ / sharesshares | Jul. 01, 2020USD ($) | Jun. 19, 2020USD ($)$ / sharesshares | Mar. 30, 2020USD ($) | Feb. 07, 2019USD ($) | Nov. 05, 2020USD ($)shares | Sep. 30, 2020USD ($)$ / shares | Mar. 31, 2020USD ($) | Sep. 30, 2019USD ($)$ / sharesshares | Sep. 30, 2020USD ($)$ / sharesshares | Sep. 30, 2019USD ($)$ / sharesshares | Jul. 06, 2020USD ($)shares | Dec. 31, 2019 | Dec. 31, 2018 | Sep. 11, 2007USD ($)shares |
Subsidiary, Sale of Stock [Line Items] | |||||||||||||||
Issuances of common stock | $ 10,000,000 | $ 757,000,000 | |||||||||||||
Stock repurchase program, authorized amount | $ 2,000,000,000 | $ 2,000,000,000 | |||||||||||||
Stock repurchase program, authorized number of shares (in shares) | shares | 25,000,000 | 40,000,000 | |||||||||||||
Accelerated share repurchase program, prepaid amount | $ 500,000,000 | ||||||||||||||
Share repurchase program, number of shares repurchased (in shares) | shares | 4,089,375 | ||||||||||||||
Common stock repurchased, average price (in dollars per share) | $ / shares | $ 122.27 | ||||||||||||||
Repurchases of common stock | $ 501,000,000 | $ 5,000,000 | 565,000,000 | $ 23,000,000 | |||||||||||
Equitization of long-term debt for deficit held by NCI | $ 22,000,000 | ||||||||||||||
LA Storage [Member] | Liberty Gas Storage, LLC [Member] | |||||||||||||||
Subsidiary, Sale of Stock [Line Items] | |||||||||||||||
Percent ownership held by noncontrolling interests | 100.00% | ||||||||||||||
Chilquinta Energía subsidiaries [Member] | Discontinued Operations, Held-for-sale [Member] | |||||||||||||||
Subsidiary, Sale of Stock [Line Items] | |||||||||||||||
Percent ownership held by noncontrolling interests | 0.00% | 0.00% | |||||||||||||
Luz del Sur [Member] | Discontinued Operations, Held-for-sale [Member] | |||||||||||||||
Subsidiary, Sale of Stock [Line Items] | |||||||||||||||
Percent ownership held by noncontrolling interests | 0.00% | 0.00% | 16.40% | ||||||||||||
Liberty Gas Storage, LLC [Member] | Sempra LNG [Member] | |||||||||||||||
Subsidiary, Sale of Stock [Line Items] | |||||||||||||||
Payment to acquire remaining interest in Bay Gas | $ 7,000,000 | ||||||||||||||
Equitization of long-term debt for deficit held by NCI | 22,000,000 | ||||||||||||||
Increase from equity of noncontrolling interest | $ 2,000,000 | ||||||||||||||
Bay Gas [Member] | Sempra LNG [Member] | |||||||||||||||
Subsidiary, Sale of Stock [Line Items] | |||||||||||||||
Payment to acquire remaining interest in Bay Gas | $ 20,000,000 | ||||||||||||||
Sale of interest | 100.00% | ||||||||||||||
Sempra Mexico [Member] | Infraestructura Energética Nova [Member] | |||||||||||||||
Subsidiary, Sale of Stock [Line Items] | |||||||||||||||
Common stock repurchased (in shares) | shares | 57,547,381 | 2,620,000 | |||||||||||||
Repurchases of common stock | $ 9,000,000 | $ 167,000,000 | $ 10,000,000 | ||||||||||||
Sempra Mexico [Member] | Infraestructura Energética Nova [Member] | |||||||||||||||
Subsidiary, Sale of Stock [Line Items] | |||||||||||||||
Ownership interest (as a percent) | 69.20% | 66.60% | 69.20% | 66.60% | 66.60% | 66.50% | |||||||||
Sempra Mexico [Member] | ICM Ventures Holdings B.V. [Member] | |||||||||||||||
Subsidiary, Sale of Stock [Line Items] | |||||||||||||||
Ownership interest (as a percent) | 82.50% | 53.70% | |||||||||||||
Sempra Mexico [Member] | IEnova subsidiaries [Member] | |||||||||||||||
Subsidiary, Sale of Stock [Line Items] | |||||||||||||||
Percent ownership held by noncontrolling interests | 17.50% | 17.50% | |||||||||||||
Sempra Mexico [Member] | IEnova [Member] | |||||||||||||||
Subsidiary, Sale of Stock [Line Items] | |||||||||||||||
Percent ownership held by noncontrolling interests | 30.80% | 30.80% | 33.40% | ||||||||||||
Sempra LNG [Member] | Infraestructura Energética Nova [Member] | |||||||||||||||
Subsidiary, Sale of Stock [Line Items] | |||||||||||||||
Percent ownership held by noncontrolling interests | 50.00% | 50.00% | |||||||||||||
Sempra LNG [Member] | Liberty Gas Storage, LLC [Member] | |||||||||||||||
Subsidiary, Sale of Stock [Line Items] | |||||||||||||||
Percent ownership held by noncontrolling interests | 24.60% | 0.00% | 0.00% | 24.60% | |||||||||||
Sempra LNG [Member] | Ownership Interests Held By Others, Bay Gas Storage Company [Member] | |||||||||||||||
Subsidiary, Sale of Stock [Line Items] | |||||||||||||||
Percent ownership held by noncontrolling interests | 9.10% | ||||||||||||||
Sempra LNG [Member] | Liberty Gas Storage, LLC [Member] | Liberty Gas Storage, LLC [Member] | |||||||||||||||
Subsidiary, Sale of Stock [Line Items] | |||||||||||||||
Percent ownership held by noncontrolling interests | 100.00% | 100.00% | |||||||||||||
Series A Preferred Stock [Member] | Sempra Energy [Member] | |||||||||||||||
Subsidiary, Sale of Stock [Line Items] | |||||||||||||||
Stock price trigger amount | $ / shares | $ 129.668 | ||||||||||||||
Conversion ratio (in shares) | 0.9448 | ||||||||||||||
Conversion price | $ / shares | $ 100 | $ 100 | |||||||||||||
Series C Preferred Stock [Member] | |||||||||||||||
Subsidiary, Sale of Stock [Line Items] | |||||||||||||||
Preferred stock, shares issued (in shares) | shares | 900,000 | ||||||||||||||
Preferred stock, fixed rate (as a percent) | $ / shares | $ 0.04875 | ||||||||||||||
Preferred stock, redemption price per share (in dollars per share) | $ / shares | $ 1,000 | ||||||||||||||
Proceeds from issuance of preferred stock | $ 889,000,000 | ||||||||||||||
Preferred stock, discount | 11,000,000 | ||||||||||||||
Preferred stock, liquidation preference | $ 1,000 | ||||||||||||||
Common Stock [Member] | Settlement of Forward Sale Contracts [Member] | |||||||||||||||
Subsidiary, Sale of Stock [Line Items] | |||||||||||||||
Issuances of common stock | $ 728,000,000 | ||||||||||||||
Underwriting discounts and equity issuance costs | $ 13,000,000 | ||||||||||||||
Shares issued (in shares) | shares | 7,156,185 | ||||||||||||||
Share price (in dollars per share) | $ / shares | $ 101.74 | $ 101.74 | |||||||||||||
At Occurrence of Ratings Event | Series C Preferred Stock [Member] | |||||||||||||||
Subsidiary, Sale of Stock [Line Items] | |||||||||||||||
Preferred stock, redemption price per share (in dollars per share) | $ / shares | $ 1,020 | ||||||||||||||
Preferred stock, liquidation preference price per share (as a percent) | 102.00% | ||||||||||||||
Prior to October 15, 2025 | Series C Preferred Stock [Member] | |||||||||||||||
Subsidiary, Sale of Stock [Line Items] | |||||||||||||||
Preferred stock, dividend rate (as a percent) | 4.875% | ||||||||||||||
Preferred stock, liquidation preference per share (in dollars per share) | $ / shares | $ 1,000 | ||||||||||||||
On and after October 15 2025 | Series C Preferred Stock [Member] | |||||||||||||||
Subsidiary, Sale of Stock [Line Items] | |||||||||||||||
Preferred stock, dividend rate (as a percent) | 4.55% | ||||||||||||||
Preferred stock, liquidation preference per share (in dollars per share) | $ / shares | $ 1,000 | ||||||||||||||
Subsequent Event [Member] | Sempra Mexico [Member] | Infraestructura Energética Nova [Member] | |||||||||||||||
Subsidiary, Sale of Stock [Line Items] | |||||||||||||||
Common stock repurchased (in shares) | shares | 19,575,399 | ||||||||||||||
Repurchases of common stock | $ 64,000,000 | ||||||||||||||
Minimum [Member] | Chilquinta Energía subsidiaries [Member] | Discontinued Operations, Held-for-sale [Member] | |||||||||||||||
Subsidiary, Sale of Stock [Line Items] | |||||||||||||||
Percent ownership held by noncontrolling interests | 19.70% | ||||||||||||||
Minimum [Member] | Sempra Mexico [Member] | IEnova subsidiaries [Member] | |||||||||||||||
Subsidiary, Sale of Stock [Line Items] | |||||||||||||||
Percent ownership held by noncontrolling interests | 10.00% | ||||||||||||||
Minimum [Member] | Series A Preferred Stock [Member] | Sempra Energy [Member] | |||||||||||||||
Subsidiary, Sale of Stock [Line Items] | |||||||||||||||
Stock price trigger amount | $ / shares | $ 105.8425 | ||||||||||||||
Conversion ratio (in shares) | 0.7712 | ||||||||||||||
Maximum [Member] | Chilquinta Energía subsidiaries [Member] | Discontinued Operations, Held-for-sale [Member] | |||||||||||||||
Subsidiary, Sale of Stock [Line Items] | |||||||||||||||
Percent ownership held by noncontrolling interests | 43.40% | ||||||||||||||
Maximum [Member] | Sempra Mexico [Member] | IEnova subsidiaries [Member] | |||||||||||||||
Subsidiary, Sale of Stock [Line Items] | |||||||||||||||
Percent ownership held by noncontrolling interests | 46.30% | ||||||||||||||
Maximum [Member] | Series A Preferred Stock [Member] | Sempra Energy [Member] | |||||||||||||||
Subsidiary, Sale of Stock [Line Items] | |||||||||||||||
Stock price trigger amount | $ / shares | $ 105.8425 | ||||||||||||||
Conversion ratio (in shares) | 0.9448 |
GENERAL INFORMATION AND OTHE_17
GENERAL INFORMATION AND OTHER FINANCIAL DATA - OTHER NONCONTROLLING INTERESTS (Details) - USD ($) $ in Millions | Sep. 30, 2020 | Mar. 30, 2020 | Dec. 31, 2019 | |
Noncontrolling Interest [Line Items] | ||||
Other noncontrolling interests | $ 1,608 | $ 1,856 | [1] | |
IEnova [Member] | Sempra Mexico [Member] | ||||
Noncontrolling Interest [Line Items] | ||||
Percent ownership held by noncontrolling interests | 30.80% | 33.40% | ||
Other noncontrolling interests | $ 1,586 | $ 1,608 | ||
IEnova subsidiaries [Member] | Sempra Mexico [Member] | ||||
Noncontrolling Interest [Line Items] | ||||
Percent ownership held by noncontrolling interests | 17.50% | |||
Other noncontrolling interests | $ 7 | $ 15 | ||
IEnova subsidiaries [Member] | Sempra Mexico [Member] | Minimum [Member] | ||||
Noncontrolling Interest [Line Items] | ||||
Percent ownership held by noncontrolling interests | 10.00% | |||
IEnova subsidiaries [Member] | Sempra Mexico [Member] | Maximum [Member] | ||||
Noncontrolling Interest [Line Items] | ||||
Percent ownership held by noncontrolling interests | 46.30% | |||
Liberty Gas Storage, LLC [Member] | Sempra LNG [Member] | ||||
Noncontrolling Interest [Line Items] | ||||
Percent ownership held by noncontrolling interests | 0.00% | 24.60% | 24.60% | |
Other noncontrolling interests | $ 0 | $ (13) | ||
ECA LNG Proposed Liquefaction Project [Member] | Sempra LNG [Member] | ||||
Noncontrolling Interest [Line Items] | ||||
Percent ownership held by noncontrolling interests | 15.40% | 16.70% | ||
Other noncontrolling interests | $ 15 | $ 12 | ||
PXISE Energy Solutions LLC [Member] | Parent and Other [Member] | ||||
Noncontrolling Interest [Line Items] | ||||
Percent ownership held by noncontrolling interests | 20.00% | 20.00% | ||
Other noncontrolling interests | $ 0 | $ 1 | ||
Discontinued Operations, Held-for-sale [Member] | Chilquinta Energía subsidiaries [Member] | ||||
Noncontrolling Interest [Line Items] | ||||
Percent ownership held by noncontrolling interests | 0.00% | |||
Other noncontrolling interests | $ 0 | $ 23 | ||
Discontinued Operations, Held-for-sale [Member] | Chilquinta Energía subsidiaries [Member] | Minimum [Member] | ||||
Noncontrolling Interest [Line Items] | ||||
Percent ownership held by noncontrolling interests | 19.70% | |||
Discontinued Operations, Held-for-sale [Member] | Chilquinta Energía subsidiaries [Member] | Maximum [Member] | ||||
Noncontrolling Interest [Line Items] | ||||
Percent ownership held by noncontrolling interests | 43.40% | |||
Discontinued Operations, Held-for-sale [Member] | Luz del Sur [Member] | ||||
Noncontrolling Interest [Line Items] | ||||
Percent ownership held by noncontrolling interests | 0.00% | 16.40% | ||
Other noncontrolling interests | $ 0 | $ 205 | ||
Discontinued Operations, Held-for-sale [Member] | Tecsur [Member] | ||||
Noncontrolling Interest [Line Items] | ||||
Percent ownership held by noncontrolling interests | 0.00% | 9.80% | ||
Other noncontrolling interests | $ 0 | $ 5 | ||
[1] | Derived from audited financial statements. |
GENERAL INFORMATION AND OTHE_18
GENERAL INFORMATION AND OTHER FINANCIAL DATA - DUE TO DUE FROM AFFILIATES (Details) | 9 Months Ended | 12 Months Ended | ||
Sep. 30, 2020USD ($) | Dec. 31, 2019USD ($) | Sep. 30, 2020MXN ($) | ||
Related Party Transaction [Line Items] | ||||
Due from unconsolidated affiliates - current | $ 46,000,000 | $ 32,000,000 | [1] | |
Due from unconsolidated affiliates - noncurrent | 617,000,000 | 742,000,000 | [1] | |
Due to unconsolidated affiliates, current | (6,000,000) | (5,000,000) | [1] | |
Due to unconsolidated affiliates - noncurrent | (271,000,000) | (195,000,000) | [1] | |
Maximum borrowing capacity | $ 6,685,000,000 | |||
TAG Pipeline Norte [Member] | ||||
Related Party Transaction [Line Items] | ||||
Interest rate on due from affiliate, noncurrent | 3.16% | |||
TAG Pipeline Norte [Member] | LIBOR [Member] | ||||
Related Party Transaction [Line Items] | ||||
Spread on variable rate (as a percent) | 2.90% | |||
ESJ joint venture [Member] | ||||
Related Party Transaction [Line Items] | ||||
Note receivable, term | 10 years | |||
ESJ joint venture [Member] | LIBOR [Member] | ||||
Related Party Transaction [Line Items] | ||||
Spread on variable rate (as a percent) | 1.96% | |||
Interest rate on due from affiliate, noncurrent | 2.12% | |||
San Diego Gas and Electric Company [Member] | ||||
Related Party Transaction [Line Items] | ||||
Due from unconsolidated affiliates - current | $ 3,000,000 | 0 | ||
Due to unconsolidated affiliates, current | (61,000,000) | (53,000,000) | [1] | |
Maximum borrowing capacity | 1,500,000,000 | |||
San Diego Gas and Electric Company [Member] | Due to/from Sempra Energy [Member] | ||||
Related Party Transaction [Line Items] | ||||
Due to unconsolidated affiliates, current | (56,000,000) | (37,000,000) | ||
Income taxes due (to) from Sempra Energy | 25,000,000 | 130,000,000 | ||
San Diego Gas and Electric Company [Member] | Due to/from SoCalGas [Member] | ||||
Related Party Transaction [Line Items] | ||||
Due from unconsolidated affiliates - current | 2,000,000 | 0 | ||
Due to unconsolidated affiliates, current | 0 | (10,000,000) | ||
San Diego Gas and Electric Company [Member] | Due to/from Other affiliates [Member] | ||||
Related Party Transaction [Line Items] | ||||
Due from unconsolidated affiliates - current | 1,000,000 | 0 | ||
Due to unconsolidated affiliates, current | (5,000,000) | (6,000,000) | ||
Southern California Gas Company [Member] | ||||
Related Party Transaction [Line Items] | ||||
Due from unconsolidated affiliates - current | 1,000,000 | 11,000,000 | [1] | |
Due to unconsolidated affiliates, current | (101,000,000) | (47,000,000) | [1] | |
Maximum borrowing capacity | 750,000,000 | |||
Southern California Gas Company [Member] | Due to/from Sempra Energy [Member] | ||||
Related Party Transaction [Line Items] | ||||
Due to unconsolidated affiliates, current | (49,000,000) | (45,000,000) | ||
Income taxes due (to) from Sempra Energy | 20,000,000 | 152,000,000 | ||
Southern California Gas Company [Member] | Due to/from Other affiliates [Member] | ||||
Related Party Transaction [Line Items] | ||||
Due from unconsolidated affiliates - current | 1,000,000 | 1,000,000 | ||
Due to unconsolidated affiliates, current | 0 | (2,000,000) | ||
Southern California Gas Company [Member] | Due to/from SDG&E | ||||
Related Party Transaction [Line Items] | ||||
Due from unconsolidated affiliates - current | 0 | 10,000,000 | ||
Due to unconsolidated affiliates, current | (2,000,000) | 0 | ||
Southern California Gas Company [Member] | Pacific Enterprises [Member] | ||||
Related Party Transaction [Line Items] | ||||
Due to unconsolidated affiliates, current | (50,000,000) | 0 | ||
IEnova Pipelines [Member] | ESJ joint venture [Member] | ||||
Related Party Transaction [Line Items] | ||||
Due from unconsolidated affiliates - current | 25,000,000 | |||
Sempra Mexico [Member] | ||||
Related Party Transaction [Line Items] | ||||
Due to unconsolidated affiliates - noncurrent | (271,000,000) | (195,000,000) | ||
Sempra Mexico [Member] | IMG [Member] | ||||
Related Party Transaction [Line Items] | ||||
Due from unconsolidated affiliates - noncurrent | 617,000,000 | 742,000,000 | ||
Due from affiliates, allowance for credit loss | 3,000,000 | |||
Maximum borrowing capacity | 641,000,000 | $ 14,200,000,000 | ||
Accrued interest receivable | $ 2,000,000 | |||
Sempra Mexico [Member] | IMG [Member] | Interbank Equilibrium Rate [Member] | ||||
Related Party Transaction [Line Items] | ||||
Spread on variable rate (as a percent) | 2.20% | |||
Interest rate on due from affiliate, noncurrent | 6.75% | |||
Sempra Mexico [Member] | TAG Pipeline Norte [Member] | ||||
Related Party Transaction [Line Items] | ||||
Stated rate of debt (as a percent) | 5.50% | 5.50% | ||
Sempra Mexico [Member] | TAG JV Notes [Member] | ||||
Related Party Transaction [Line Items] | ||||
Due to unconsolidated affiliates - noncurrent | $ (163,000,000) | (156,000,000) | ||
Stated rate of debt (as a percent) | 5.74% | 5.74% | ||
Other Long term Debt Currently Through December 2021 [Member] | Sempra Mexico [Member] | TAG Pipeline Norte [Member] | ||||
Related Party Transaction [Line Items] | ||||
Due to unconsolidated affiliates - noncurrent | $ (41,000,000) | (39,000,000) | ||
Other Long term Debt Currently Through January 2024 [Member] | Sempra Mexico [Member] | TAG Pipeline Norte [Member] | ||||
Related Party Transaction [Line Items] | ||||
Due to unconsolidated affiliates - noncurrent | $ (67,000,000) | $ 0 | ||
[1] | Derived from audited financial statements. |
GENERAL INFORMATION AND OTHE_19
GENERAL INFORMATION AND OTHER FINANCIAL DATA - AFFILIATES REVENUE AND COST OF SALES (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Related Party Transaction [Line Items] | ||||
Revenue from related parties | $ 9 | $ 13 | $ 31 | $ 40 |
Costs of sales to related parties | 9 | 12 | 35 | 40 |
San Diego Gas and Electric Company [Member] | ||||
Related Party Transaction [Line Items] | ||||
Revenue from related parties | 1 | 2 | 4 | 5 |
Costs of sales to related parties | 17 | 16 | 56 | 56 |
Southern California Gas Company [Member] | ||||
Related Party Transaction [Line Items] | ||||
Revenue from related parties | 23 | 16 | 61 | 50 |
Costs of sales to related parties | $ 2 | $ 2 | $ 2 | $ 6 |
GENERAL INFORMATION AND OTHE_20
GENERAL INFORMATION AND OTHER FINANCIAL DATA - OTHER (EXPENSE) INCOME, NET (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Other Income [Line Items] | ||||
Allowance for equity funds used during construction | $ 34 | $ 25 | $ 96 | $ 69 |
Investment gains | 16 | 9 | 9 | 46 |
Gains (losses) on interest rate and foreign exchange instruments, net | 19 | (17) | (129) | 7 |
Foreign currency transaction gains (losses), net | 15 | (13) | (95) | (2) |
Non-service component of net periodic benefit (cost) credit | (48) | (13) | (45) | (19) |
Fine related to Energy Efficiency Program inquiry | (6) | 0 | (6) | 0 |
Penalties related to billing practices OII | 0 | 0 | 0 | (8) |
Interest on regulatory balancing accounts, net | 0 | 4 | 13 | 9 |
Sundry, net | (1) | (2) | (6) | 1 |
Total | 29 | (7) | (163) | 103 |
Foreign currency translation gain (loss) | (95) | (2) | ||
San Diego Gas and Electric Company [Member] | ||||
Other Income [Line Items] | ||||
Allowance for equity funds used during construction | 21 | 15 | 61 | 42 |
Non-service component of net periodic benefit (cost) credit | (18) | 0 | (15) | 8 |
Fine related to Energy Efficiency Program inquiry | (6) | 0 | (6) | 0 |
Interest on regulatory balancing accounts, net | 0 | 4 | 8 | 10 |
Sundry, net | 1 | 0 | (1) | 0 |
Total | (2) | 19 | 47 | 60 |
Southern California Gas Company [Member] | ||||
Other Income [Line Items] | ||||
Allowance for equity funds used during construction | 11 | 9 | 29 | 25 |
Non-service component of net periodic benefit (cost) credit | (15) | (5) | (3) | 9 |
Penalties related to billing practices OII | 0 | 0 | 0 | (8) |
Interest on regulatory balancing accounts, net | 0 | 0 | 5 | (1) |
Sundry, net | (3) | (3) | (10) | (7) |
Total | (7) | $ 1 | 21 | 18 |
Sempra Mexico [Member] | IMG [Member] | ||||
Other Income [Line Items] | ||||
Foreign currency translation gain (loss) | $ 15 | $ (120) | $ (17) |
GENERAL INFORMATION AND OTHE_21
GENERAL INFORMATION AND OTHER FINANCIAL DATA - INCOME TAXES (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2020 | Sep. 30, 2019 | Mar. 31, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Income Tax Expense And Effective Income Tax Rates Disclosure [Line Items] | |||||
Income tax expense from continuing operations | $ 99 | $ 61 | $ 60 | $ 150 | |
Income from continuing operations before income taxes and equity earnings | 201 | 448 | 1,061 | 1,235 | |
Equity earnings (losses), before income tax | 117 | 17 | 158 | 24 | |
Pretax income | $ 318 | $ 465 | $ 1,219 | $ 1,259 | |
Effective income tax rate (as a percent) | 31.00% | 13.00% | 5.00% | 12.00% | |
Income tax expense (benefit) related to outside basis differences existing prior to the January 25, 2019 approval of our plan to sell our South American businesses | $ (192) | $ 103 | $ (89) | ||
Income tax expense (benefit) related to the increase in outside basis differences from 2019 earnings since January 25, 2019 | $ (7) | 32 | |||
San Diego Gas and Electric Company [Member] | |||||
Income Tax Expense And Effective Income Tax Rates Disclosure [Line Items] | |||||
Income tax expense from continuing operations | $ 33 | 71 | 161 | 111 | |
Income from continuing operations before income taxes and equity earnings | $ 211 | $ 337 | $ 794 | $ 700 | |
Effective income tax rate (as a percent) | 16.00% | 21.00% | 20.00% | 16.00% | |
Income tax benefit for release of a regulatory liability | $ 31 | ||||
Southern California Gas Company [Member] | |||||
Income Tax Expense And Effective Income Tax Rates Disclosure [Line Items] | |||||
Income tax expense from continuing operations | $ (6) | $ 35 | 95 | $ 50 | |
Income from continuing operations before income taxes and equity earnings | $ (30) | $ 178 | $ 521 | $ 488 | |
Effective income tax rate (as a percent) | 20.00% | 20.00% | 18.00% | 10.00% | |
Income tax benefit for release of a regulatory liability | $ 38 |
NEW ACCOUNTING STANDARDS (Detai
NEW ACCOUNTING STANDARDS (Details) - USD ($) $ in Millions | 9 Months Ended | 12 Months Ended | |
Sep. 30, 2020 | Dec. 31, 2019 | ||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||
Accounting Standards Update [Extensible List] | us-gaap:AccountingStandardsUpdate201613Member | us-gaap:AccountingStandardsUpdate201613Member | |
Accounts receivable – trade, net | $ 1,067 | $ 1,261 | [1] |
Due from unconsolidated affiliates - noncurrent | 617 | 742 | [1] |
Deferred income tax assets | 199 | 155 | [1] |
Other current liabilities | 993 | 866 | [1] |
Deferred credits and other | 2,146 | 2,048 | [1] |
Retained earnings | 13,560 | 11,130 | [1] |
Other noncontrolling interests | $ 1,608 | 1,856 | [1] |
Cumulative Effect, Period of Adoption, Adjustment [Member] | Accounting Standards Update 2016-13 [Member] | |||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||
Accounts receivable – trade, net | (1) | ||
Due from unconsolidated affiliates - noncurrent | (6) | ||
Deferred income tax assets | 4 | ||
Other current liabilities | 4 | ||
Deferred credits and other | 2 | ||
Retained earnings | (7) | ||
Other noncontrolling interests | $ (2) | ||
[1] | Derived from audited financial statements. |
REVENUES - DISAGGREGATION OF RE
REVENUES - DISAGGREGATION OF REVENUE (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Disaggregation of Revenue [Line Items] | ||||
Revenues from contracts with customers | $ 2,348 | $ 2,383 | $ 7,479 | $ 7,506 |
Utilities regulatory revenues | 200 | 267 | 352 | 34 |
Other revenues | 96 | 108 | 368 | 346 |
Total revenues | 2,644 | 2,758 | 8,199 | 7,886 |
Utilities service line [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues from contracts with customers | 2,101 | 2,131 | 6,847 | 6,774 |
Energy-Related Businesses [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues from contracts with customers | 247 | 252 | 632 | 732 |
Gas market [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues from contracts with customers | 1,077 | 1,029 | 4,171 | 4,112 |
Electric market [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues from contracts with customers | 1,271 | 1,354 | 3,308 | 3,394 |
Operating Segments [Member] | San Diego Gas and Electric Company [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues from contracts with customers | 1,301 | 1,370 | 3,610 | 3,604 |
Utilities regulatory revenues | 171 | 57 | 366 | 62 |
Other revenues | 0 | 0 | 0 | 0 |
Total revenues | 1,472 | 1,427 | 3,976 | 3,666 |
Operating Segments [Member] | San Diego Gas and Electric Company [Member] | Utilities service line [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues from contracts with customers | 1,301 | 1,370 | 3,610 | 3,604 |
Operating Segments [Member] | San Diego Gas and Electric Company [Member] | Energy-Related Businesses [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues from contracts with customers | 0 | 0 | 0 | 0 |
Operating Segments [Member] | San Diego Gas and Electric Company [Member] | Gas market [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues from contracts with customers | 126 | 100 | 518 | 441 |
Operating Segments [Member] | San Diego Gas and Electric Company [Member] | Electric market [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues from contracts with customers | 1,175 | 1,270 | 3,092 | 3,163 |
Operating Segments [Member] | Southern California Gas Company [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues from contracts with customers | 813 | 765 | 3,261 | 3,170 |
Utilities regulatory revenues | 29 | 210 | (14) | (28) |
Other revenues | 0 | 0 | 0 | 0 |
Total revenues | 842 | 975 | 3,247 | 3,142 |
Operating Segments [Member] | Southern California Gas Company [Member] | Utilities service line [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues from contracts with customers | 813 | 765 | 3,261 | 3,170 |
Operating Segments [Member] | Southern California Gas Company [Member] | Energy-Related Businesses [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues from contracts with customers | 0 | 0 | 0 | 0 |
Operating Segments [Member] | Southern California Gas Company [Member] | Gas market [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues from contracts with customers | 813 | 765 | 3,261 | 3,170 |
Operating Segments [Member] | Southern California Gas Company [Member] | Electric market [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues from contracts with customers | 0 | 0 | 0 | 0 |
Operating Segments [Member] | Sempra Mexico [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues from contracts with customers | 256 | 256 | 658 | 757 |
Utilities regulatory revenues | 0 | 0 | 0 | 0 |
Other revenues | 95 | 101 | 277 | 301 |
Total revenues | 351 | 357 | 935 | 1,058 |
Operating Segments [Member] | Sempra Mexico [Member] | Utilities service line [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues from contracts with customers | 12 | 14 | 42 | 56 |
Operating Segments [Member] | Sempra Mexico [Member] | Energy-Related Businesses [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues from contracts with customers | 244 | 242 | 616 | 701 |
Operating Segments [Member] | Sempra Mexico [Member] | Gas market [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues from contracts with customers | 159 | 171 | 439 | 527 |
Operating Segments [Member] | Sempra Mexico [Member] | Electric market [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues from contracts with customers | 97 | 85 | 219 | 230 |
Operating Segments [Member] | Sempra Renewables [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues from contracts with customers | 0 | 5 | ||
Utilities regulatory revenues | 0 | 0 | ||
Other revenues | 0 | 5 | ||
Total revenues | 0 | 10 | ||
Operating Segments [Member] | Sempra Renewables [Member] | Utilities service line [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues from contracts with customers | 0 | 0 | ||
Operating Segments [Member] | Sempra Renewables [Member] | Energy-Related Businesses [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues from contracts with customers | 0 | 5 | ||
Operating Segments [Member] | Sempra Renewables [Member] | Gas market [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues from contracts with customers | 0 | 0 | ||
Operating Segments [Member] | Sempra Renewables [Member] | Electric market [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues from contracts with customers | 0 | 5 | ||
Operating Segments [Member] | Sempra LNG [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues from contracts with customers | 35 | 50 | 56 | 139 |
Utilities regulatory revenues | 0 | 0 | 0 | 0 |
Other revenues | 28 | 50 | 199 | 188 |
Total revenues | 63 | 100 | 255 | 327 |
Operating Segments [Member] | Sempra LNG [Member] | Utilities service line [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues from contracts with customers | 0 | 0 | 0 | 0 |
Operating Segments [Member] | Sempra LNG [Member] | Energy-Related Businesses [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues from contracts with customers | 35 | 50 | 56 | 139 |
Operating Segments [Member] | Sempra LNG [Member] | Gas market [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues from contracts with customers | 33 | 48 | 51 | 134 |
Operating Segments [Member] | Sempra LNG [Member] | Electric market [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues from contracts with customers | 2 | 2 | 5 | 5 |
Consolidation, Eliminations [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues from contracts with customers | (57) | (58) | (106) | (169) |
Utilities regulatory revenues | 0 | 0 | 0 | 0 |
Other revenues | (27) | (43) | (108) | (148) |
Total revenues | (84) | (101) | (214) | (317) |
Consolidation, Eliminations [Member] | Utilities service line [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues from contracts with customers | (25) | (18) | (66) | (56) |
Consolidation, Eliminations [Member] | Energy-Related Businesses [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues from contracts with customers | (32) | (40) | (40) | (113) |
Consolidation, Eliminations [Member] | Gas market [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues from contracts with customers | (54) | (55) | (98) | (160) |
Consolidation, Eliminations [Member] | Electric market [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues from contracts with customers | $ (3) | $ (3) | $ (8) | $ (9) |
REVENUES - PERFORMANCE OBLIGATI
REVENUES - PERFORMANCE OBLIGATIONS (Details) $ in Millions | Sep. 30, 2020USD ($) |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Revenues to be recognized | $ 6,349 |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2020-10-01 | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Revenues to be recognized | $ 88 |
Revenues to be recognized, period of recognition | 3 months |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2021-01-01 | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Revenues to be recognized | $ 388 |
Revenues to be recognized, period of recognition | 1 year |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2022-01-01 | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Revenues to be recognized | $ 406 |
Revenues to be recognized, period of recognition | 1 year |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2023-01-01 | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Revenues to be recognized | $ 407 |
Revenues to be recognized, period of recognition | 1 year |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2024-01-01 | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Revenues to be recognized | $ 348 |
Revenues to be recognized, period of recognition | 1 year |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2025-01-01 | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Revenues to be recognized | $ 4,712 |
Revenues to be recognized, period of recognition | |
San Diego Gas and Electric Company [Member] | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Revenues to be recognized | $ 88 |
San Diego Gas and Electric Company [Member] | Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2020-10-01 | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Revenues to be recognized | $ 1 |
Revenues to be recognized, period of recognition | 3 months |
San Diego Gas and Electric Company [Member] | Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2021-01-01 | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Revenues to be recognized | $ 4 |
Revenues to be recognized, period of recognition | 1 year |
San Diego Gas and Electric Company [Member] | Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2022-01-01 | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Revenues to be recognized | $ 4 |
Revenues to be recognized, period of recognition | 1 year |
San Diego Gas and Electric Company [Member] | Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2023-01-01 | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Revenues to be recognized | $ 4 |
Revenues to be recognized, period of recognition | 1 year |
San Diego Gas and Electric Company [Member] | Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2024-01-01 | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Revenues to be recognized | $ 4 |
Revenues to be recognized, period of recognition | 1 year |
San Diego Gas and Electric Company [Member] | Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2025-01-01 | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Revenues to be recognized | $ 71 |
Revenues to be recognized, period of recognition |
REVENUES - CONTRACT LIABILITIES
REVENUES - CONTRACT LIABILITIES (Details) - USD ($) $ in Millions | 9 Months Ended | |
Sep. 30, 2020 | Sep. 30, 2019 | |
Contract with Customer, Liability [Roll Forward] | ||
Contract liabilities, opening balance | $ (163) | $ (70) |
Revenue from performance obligations satisfied during reporting period | 3 | 1 |
Payments received in advance | (95) | |
Contract liabilities, closing balance | (160) | (164) |
Other Current Liabilities [Member] | ||
Contract with Customer, Liability [Roll Forward] | ||
Contract liabilities, closing balance | (4) | |
Deferred Credits and Other [Member] | ||
Contract with Customer, Liability [Roll Forward] | ||
Contract liabilities, closing balance | (156) | |
San Diego Gas and Electric Company [Member] | ||
Contract with Customer, Liability [Roll Forward] | ||
Contract liabilities, opening balance | (91) | 0 |
Revenue from performance obligations satisfied during reporting period | 3 | 0 |
Payments received in advance | (92) | |
Contract liabilities, closing balance | (88) | $ (92) |
San Diego Gas and Electric Company [Member] | Other Current Liabilities [Member] | ||
Contract with Customer, Liability [Roll Forward] | ||
Contract liabilities, closing balance | (4) | |
San Diego Gas and Electric Company [Member] | Deferred Credits and Other [Member] | ||
Contract with Customer, Liability [Roll Forward] | ||
Contract liabilities, closing balance | $ (84) |
REVENUES - RECEIVABLES FROM REV
REVENUES - RECEIVABLES FROM REVENUES FROM CONTRACTS WITH CUSTOMERS (Details) - USD ($) $ in Millions | Sep. 30, 2020 | Dec. 31, 2019 |
Contract with Customer, Asset [Line Items] | ||
Receivables from revenues from contracts with customers | $ 978 | $ 1,184 |
Accounts receivable – trade, net [Member] | ||
Contract with Customer, Asset [Line Items] | ||
Receivables from revenues from contracts with customers | 962 | 1,163 |
Accounts receivable – other, net [Member] | ||
Contract with Customer, Asset [Line Items] | ||
Receivables from revenues from contracts with customers | 13 | 16 |
Due from unconsolidated affiliates – current [Member] | ||
Contract with Customer, Asset [Line Items] | ||
Receivables from revenues from contracts with customers | 3 | 5 |
San Diego Gas and Electric Company [Member] | ||
Contract with Customer, Asset [Line Items] | ||
Receivables from revenues from contracts with customers | 474 | 405 |
San Diego Gas and Electric Company [Member] | Accounts receivable – trade, net [Member] | ||
Contract with Customer, Asset [Line Items] | ||
Receivables from revenues from contracts with customers | 462 | 398 |
San Diego Gas and Electric Company [Member] | Accounts receivable – other, net [Member] | ||
Contract with Customer, Asset [Line Items] | ||
Receivables from revenues from contracts with customers | 9 | 5 |
San Diego Gas and Electric Company [Member] | Due from unconsolidated affiliates – current [Member] | ||
Contract with Customer, Asset [Line Items] | ||
Receivables from revenues from contracts with customers | 3 | 2 |
Southern California Gas Company [Member] | ||
Contract with Customer, Asset [Line Items] | ||
Receivables from revenues from contracts with customers | 426 | 721 |
Southern California Gas Company [Member] | Accounts receivable – trade, net [Member] | ||
Contract with Customer, Asset [Line Items] | ||
Receivables from revenues from contracts with customers | 422 | 710 |
Southern California Gas Company [Member] | Accounts receivable – other, net [Member] | ||
Contract with Customer, Asset [Line Items] | ||
Receivables from revenues from contracts with customers | $ 4 | $ 11 |
REGULATORY MATTERS - REGULATORY
REGULATORY MATTERS - REGULATORY ACCOUNTS (Details) - USD ($) $ in Millions | Sep. 30, 2020 | Dec. 31, 2019 |
Net Regulatory Assets (Liabilities) Sempra Energy Consolidated [Member] | ||
Schedule Of Net Regulatory Assets (Liabilities) [Line Items] | ||
Net regulatory assets (liabilities) | $ (1,657) | $ (1,908) |
San Diego Gas and Electric Company [Member] | ||
Schedule Of Net Regulatory Assets (Liabilities) [Line Items] | ||
Regulatory balancing accounts - net undercollected, Noncurrent | 127 | 108 |
San Diego Gas and Electric Company [Member] | Fixed-price contracts and other derivatives [Member] | ||
Schedule Of Net Regulatory Assets (Liabilities) [Line Items] | ||
Net regulatory assets (liabilities) | (21) | 8 |
San Diego Gas and Electric Company [Member] | Deferred income taxes (refundable) recoverable in rates [Member] | ||
Schedule Of Net Regulatory Assets (Liabilities) [Line Items] | ||
Net regulatory assets (liabilities) | (20) | (108) |
San Diego Gas and Electric Company [Member] | Pension and other postretirement benefit plan obligations [Member] | ||
Schedule Of Net Regulatory Assets (Liabilities) [Line Items] | ||
Net regulatory assets (liabilities) | 72 | 103 |
San Diego Gas and Electric Company [Member] | Removal obligations [Member] | ||
Schedule Of Net Regulatory Assets (Liabilities) [Line Items] | ||
Net regulatory assets (liabilities) | (2,131) | (2,056) |
San Diego Gas and Electric Company [Member] | Environmental costs [Member] | ||
Schedule Of Net Regulatory Assets (Liabilities) [Line Items] | ||
Net regulatory assets (liabilities) | 43 | 45 |
San Diego Gas and Electric Company [Member] | Sunrise Powerlink fire mitigation [Member] | ||
Schedule Of Net Regulatory Assets (Liabilities) [Line Items] | ||
Net regulatory assets (liabilities) | 120 | 121 |
San Diego Gas and Electric Company [Member] | Regulatory Balancing Accounts, Commodity – electric [Member] | ||
Schedule Of Net Regulatory Assets (Liabilities) [Line Items] | ||
Net regulatory assets (liabilities) | 173 | 102 |
San Diego Gas and Electric Company [Member] | Regulatory Balancing Accounts, Gas transportation [Member] | ||
Schedule Of Net Regulatory Assets (Liabilities) [Line Items] | ||
Net regulatory assets (liabilities) | 15 | 22 |
San Diego Gas and Electric Company [Member] | Regulatory Balancing Accounts, Safety and reliability [Member] | ||
Schedule Of Net Regulatory Assets (Liabilities) [Line Items] | ||
Net regulatory assets (liabilities) | 74 | 77 |
San Diego Gas and Electric Company [Member] | Regulatory Balancing Accounts, Public purpose programs [Member] | ||
Schedule Of Net Regulatory Assets (Liabilities) [Line Items] | ||
Net regulatory assets (liabilities) | (146) | (124) |
San Diego Gas and Electric Company [Member] | GRC retroactive impacts [Member] | ||
Schedule Of Net Regulatory Assets (Liabilities) [Line Items] | ||
Net regulatory assets (liabilities) | 70 | 111 |
San Diego Gas and Electric Company [Member] | Regulatory Balancing Accounts, Other balancing accounts [Member] | ||
Schedule Of Net Regulatory Assets (Liabilities) [Line Items] | ||
Net regulatory assets (liabilities) | 284 | 106 |
San Diego Gas and Electric Company [Member] | Other regulatory (liabilities) assets [Member] | ||
Schedule Of Net Regulatory Assets (Liabilities) [Line Items] | ||
Net regulatory assets (liabilities) | 25 | (153) |
San Diego Gas and Electric Company [Member] | Net Regulatory Assets (Liabilities) SDGE [Member] | ||
Schedule Of Net Regulatory Assets (Liabilities) [Line Items] | ||
Net regulatory assets (liabilities) | (1,442) | (1,746) |
Southern California Gas Company [Member] | ||
Schedule Of Net Regulatory Assets (Liabilities) [Line Items] | ||
Regulatory balancing accounts - net undercollected, Noncurrent | 291 | 500 |
Southern California Gas Company [Member] | Deferred income taxes (refundable) recoverable in rates [Member] | ||
Schedule Of Net Regulatory Assets (Liabilities) [Line Items] | ||
Net regulatory assets (liabilities) | (125) | (203) |
Southern California Gas Company [Member] | Pension and other postretirement benefit plan obligations [Member] | ||
Schedule Of Net Regulatory Assets (Liabilities) [Line Items] | ||
Net regulatory assets (liabilities) | 370 | 400 |
Southern California Gas Company [Member] | Removal obligations [Member] | ||
Schedule Of Net Regulatory Assets (Liabilities) [Line Items] | ||
Net regulatory assets (liabilities) | (698) | (728) |
Southern California Gas Company [Member] | Environmental costs [Member] | ||
Schedule Of Net Regulatory Assets (Liabilities) [Line Items] | ||
Net regulatory assets (liabilities) | 37 | 40 |
Southern California Gas Company [Member] | Regulatory Balancing Accounts, Safety and reliability [Member] | ||
Schedule Of Net Regulatory Assets (Liabilities) [Line Items] | ||
Net regulatory assets (liabilities) | 358 | 295 |
Southern California Gas Company [Member] | Regulatory Balancing Accounts, Public purpose programs [Member] | ||
Schedule Of Net Regulatory Assets (Liabilities) [Line Items] | ||
Net regulatory assets (liabilities) | (349) | (273) |
Southern California Gas Company [Member] | GRC retroactive impacts [Member] | ||
Schedule Of Net Regulatory Assets (Liabilities) [Line Items] | ||
Net regulatory assets (liabilities) | 252 | 400 |
Southern California Gas Company [Member] | Regulatory Balancing Accounts, Other balancing accounts [Member] | ||
Schedule Of Net Regulatory Assets (Liabilities) [Line Items] | ||
Net regulatory assets (liabilities) | (116) | (7) |
Southern California Gas Company [Member] | Other regulatory (liabilities) assets [Member] | ||
Schedule Of Net Regulatory Assets (Liabilities) [Line Items] | ||
Net regulatory assets (liabilities) | 46 | (101) |
Southern California Gas Company [Member] | Employee benefit costs [Member] | ||
Schedule Of Net Regulatory Assets (Liabilities) [Line Items] | ||
Net regulatory assets (liabilities) | 44 | 44 |
Southern California Gas Company [Member] | Regulatory Balancing Accounts, Commodity - gas including transportation [Member] | ||
Schedule Of Net Regulatory Assets (Liabilities) [Line Items] | ||
Net regulatory assets (liabilities) | (118) | (118) |
Southern California Gas Company [Member] | Net Regulatory Assets (Liabilities) SoCalGas [Member] | ||
Schedule Of Net Regulatory Assets (Liabilities) [Line Items] | ||
Net regulatory assets (liabilities) | (299) | (251) |
Sempra Mexico [Member] | Deferred income taxes (refundable) recoverable in rates [Member] | ||
Schedule Of Net Regulatory Assets (Liabilities) [Line Items] | ||
Net regulatory assets (liabilities) | 83 | 83 |
Sempra Mexico [Member] | Other regulatory (liabilities) assets [Member] | ||
Schedule Of Net Regulatory Assets (Liabilities) [Line Items] | ||
Net regulatory assets (liabilities) | $ 1 | $ 6 |
REGULATORY MATTERS - GENERAL RA
REGULATORY MATTERS - GENERAL RATE CASE (Details) - USD ($) $ in Millions | 1 Months Ended | 3 Months Ended | |
Apr. 30, 2020 | Jun. 30, 2019 | Mar. 31, 2019 | |
San Diego Gas and Electric Company [Member] | General Rate Case [Member] | |||
General Rate Case [Line Items] | |||
Tracked income tax expense liability | $ 86 | ||
Southern California Gas Company [Member] | General Rate Case [Member] | |||
General Rate Case [Line Items] | |||
Tracked income tax expense liability | 89 | ||
2019 GRC FD [Member] | San Diego Gas and Electric Company [Member] | |||
General Rate Case [Line Items] | |||
Retroactive after-tax earnings impact | $ 30 | $ 36 | |
2019 GRC FD [Member] | Southern California Gas Company [Member] | |||
General Rate Case [Line Items] | |||
Retroactive after-tax earnings impact | $ 46 | $ 84 | |
2019 GRC FD - 2022 Requirement [Member] | San Diego Gas and Electric Company [Member] | |||
General Rate Case [Line Items] | |||
GRC requested revenue requirement | 95 | ||
2019 GRC FD - 2022 Requirement [Member] | Southern California Gas Company [Member] | |||
General Rate Case [Line Items] | |||
GRC requested revenue requirement | 155 | ||
2019 GRC FD - 2023 Requirement [Member] | San Diego Gas and Electric Company [Member] | |||
General Rate Case [Line Items] | |||
GRC requested revenue requirement | 96 | ||
2019 GRC FD - 2023 Requirement [Member] | Southern California Gas Company [Member] | |||
General Rate Case [Line Items] | |||
GRC requested revenue requirement | $ 137 |
REGULATORY MATTERS - COST OF CA
REGULATORY MATTERS - COST OF CAPITAL & FERC (Details) - USD ($) $ in Millions | 1 Months Ended | 3 Months Ended | 9 Months Ended | 12 Months Ended | 36 Months Ended | ||||
Jan. 31, 2020 | Oct. 31, 2019 | Sep. 30, 2020 | Mar. 31, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | Dec. 31, 2018 | Dec. 31, 2022 | |
Public Utilities, General Disclosures [Line Items] | |||||||||
Fine related to Energy Efficiency Program inquiry | $ 6 | $ 0 | $ 6 | $ 0 | |||||
California Public Utilities Commission [Member] | |||||||||
Public Utilities, General Disclosures [Line Items] | |||||||||
CCM benchmark rate, increase (decrease) percent for trigger | 1.00% | ||||||||
San Diego Gas and Electric Company [Member] | |||||||||
Public Utilities, General Disclosures [Line Items] | |||||||||
FERC requirement to maintain common equity ratio, at or above (percent) | 10.60% | 10.60% | |||||||
Base ROE | 10.10% | 10.10% | |||||||
Additional Bps | 0.50% | ||||||||
Additional FERC revenues | $ 12 | $ 17 | |||||||
Fine related to Energy Efficiency Program inquiry | $ 6 | $ 0 | $ 6 | $ 0 | |||||
San Diego Gas and Electric Company [Member] | California Public Utilities Commission [Member] | |||||||||
Public Utilities, General Disclosures [Line Items] | |||||||||
CCM benchmark rate | 4.498% | ||||||||
San Diego Gas and Electric Company [Member] | Federal Energy Regulatory Commission [Member] | |||||||||
Public Utilities, General Disclosures [Line Items] | |||||||||
Additional Bps | 0.50% | ||||||||
San Diego Gas and Electric Company [Member] | Forecast [Member] | California Public Utilities Commission [Member] | |||||||||
Public Utilities, General Disclosures [Line Items] | |||||||||
Authorized weighting | 100.00% | ||||||||
Weighted return on base rate (as a percent) | 7.55% | ||||||||
San Diego Gas and Electric Company [Member] | Capital Structure, Preferred Stock [Member] | California Public Utilities Commission [Member] | |||||||||
Public Utilities, General Disclosures [Line Items] | |||||||||
Authorized weighting | 6.22% | ||||||||
San Diego Gas and Electric Company [Member] | Capital Structure, Preferred Stock [Member] | Forecast [Member] | California Public Utilities Commission [Member] | |||||||||
Public Utilities, General Disclosures [Line Items] | |||||||||
Authorized weighting | 2.75% | ||||||||
Return on rate base | 6.22% | ||||||||
Weighted return on base rate (as a percent) | 0.17% | ||||||||
San Diego Gas and Electric Company [Member] | Capital Structure, Long Term Debt [Member] | Forecast [Member] | California Public Utilities Commission [Member] | |||||||||
Public Utilities, General Disclosures [Line Items] | |||||||||
Authorized weighting | 45.25% | ||||||||
Return on rate base | 4.59% | ||||||||
Weighted return on base rate (as a percent) | 2.08% | ||||||||
San Diego Gas and Electric Company [Member] | Common Equity [Member] | Federal Energy Regulatory Commission [Member] | |||||||||
Public Utilities, General Disclosures [Line Items] | |||||||||
Approved return on equity, percentage | 10.05% | ||||||||
San Diego Gas and Electric Company [Member] | Common Equity [Member] | Forecast [Member] | California Public Utilities Commission [Member] | |||||||||
Public Utilities, General Disclosures [Line Items] | |||||||||
Authorized weighting | 52.00% | ||||||||
Return on rate base | 10.20% | ||||||||
Weighted return on base rate (as a percent) | 5.30% | ||||||||
Southern California Gas Company [Member] | California Public Utilities Commission [Member] | |||||||||
Public Utilities, General Disclosures [Line Items] | |||||||||
CCM benchmark rate | 4.029% | ||||||||
Southern California Gas Company [Member] | Forecast [Member] | California Public Utilities Commission [Member] | |||||||||
Public Utilities, General Disclosures [Line Items] | |||||||||
Authorized weighting | 100.00% | ||||||||
Weighted return on base rate (as a percent) | 7.30% | ||||||||
Southern California Gas Company [Member] | Capital Structure, Preferred Stock [Member] | Forecast [Member] | California Public Utilities Commission [Member] | |||||||||
Public Utilities, General Disclosures [Line Items] | |||||||||
Authorized weighting | 2.40% | ||||||||
Return on rate base | 6.00% | ||||||||
Weighted return on base rate (as a percent) | 0.14% | ||||||||
Southern California Gas Company [Member] | Capital Structure, Long Term Debt [Member] | Forecast [Member] | California Public Utilities Commission [Member] | |||||||||
Public Utilities, General Disclosures [Line Items] | |||||||||
Authorized weighting | 45.60% | ||||||||
Return on rate base | 4.23% | ||||||||
Weighted return on base rate (as a percent) | 1.93% | ||||||||
Southern California Gas Company [Member] | Common Equity [Member] | Forecast [Member] | California Public Utilities Commission [Member] | |||||||||
Public Utilities, General Disclosures [Line Items] | |||||||||
Authorized weighting | 52.00% | ||||||||
Return on rate base | 10.05% | ||||||||
Weighted return on base rate (as a percent) | 5.23% | ||||||||
Energy Efficiency Program Inquiry [Member] | San Diego Gas and Electric Company [Member] | California Public Utilities Commission [Member] | |||||||||
Public Utilities, General Disclosures [Line Items] | |||||||||
Reduction in revenue from inquiry | 36 | $ 51 | |||||||
After tax impact from inquiry | $ 29 | $ 44 |
ACQUISITIONS, DIVESTITURES AN_3
ACQUISITIONS, DIVESTITURES AND DISCONTINUED OPERATIONS - ACQUISITION ACTIVITY (Details) - USD ($) $ in Millions | 1 Months Ended | ||||
Feb. 29, 2020 | May 31, 2019 | Sep. 30, 2020 | Dec. 31, 2019 | [1] | |
Business Acquisition [Line Items] | |||||
Equity method investment | $ 11,962 | $ 11,519 | |||
Oncor Electric Delivery Company LLC. [Member] | |||||
Business Acquisition [Line Items] | |||||
Ownership percentage held by noncontrolling owners | 80.45% | ||||
Sempra Texas Intermediate Holding Company LLC [Member] | Oncor Electric Delivery Company LLC Additional Acquisition [Member] | |||||
Business Acquisition [Line Items] | |||||
Acquired percentage interest | 80.25% | ||||
Sempra Texas Intermediate Holding Company LLC [Member] | TTHC [Member] | |||||
Business Acquisition [Line Items] | |||||
Additional ownership percentage | 1.00% | 1.00% | |||
Sempra Texas Intermediate Holding Company LLC [Member] | Sharyland Holdings, LP [Member] | |||||
Business Acquisition [Line Items] | |||||
Acquired percentage interest | 50.00% | ||||
Cash consideration | $ 95 | ||||
Post closing adjustments | $ 7 | ||||
Sempra Texas Intermediate Holding Company LLC [Member] | Oncor Electric Delivery Company LLC. [Member] | Oncor Electric Delivery Company LLC Additional Acquisition [Member] | |||||
Business Acquisition [Line Items] | |||||
Acquired percentage interest | 0.1975% | ||||
Acquired receivables | $ 6 | ||||
Cash consideration | 23 | ||||
Fair value of notes receivable acquired | $ 7 | ||||
TTHC [Member] | Oncor Electric Delivery Company LLC. [Member] | |||||
Business Acquisition [Line Items] | |||||
Ownership percentage in consolidated entity | 19.75% | ||||
TTHC [Member] | TTI [Member] | |||||
Business Acquisition [Line Items] | |||||
Ownership percentage in consolidated entity | 100.00% | ||||
Equity method investment | $ 16 | ||||
Borealis [Member] | Cheyne Walk [Member] | |||||
Business Acquisition [Line Items] | |||||
Ownership percentage held by noncontrolling owners | 99.00% | ||||
Sharyland Holdings, LP [Member] | Sharyland Utilities, LP [Member] | |||||
Business Acquisition [Line Items] | |||||
Ownership percentage held by noncontrolling owners | 100.00% | ||||
[1] | Derived from audited financial statements. |
ACQUISITIONS, DIVESTITURES AN_4
ACQUISITIONS, DIVESTITURES AND DISCONTINUED OPERATIONS - DIVESTITURES (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | |||||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | Apr. 30, 2019 | Feb. 07, 2019 | Jan. 31, 2019 | |
Business Acquisition [Line Items] | |||||||
(Loss) gain on sale of assets | $ 0 | $ (3) | $ 0 | $ 63 | |||
Sempra Renewables [Member] | Disposal Group Held-for-sale [Member] | Wind Facilities [Member] | |||||||
Business Acquisition [Line Items] | |||||||
Consideration to be received | $ 569 | ||||||
(Loss) gain on sale of assets | 61 | ||||||
Gain on sale of assets, after tax and NCI | $ 45 | ||||||
Sempra LNG [Member] | Disposal Group, Disposed of by Sale, Not Discontinued Operations [Member] | Mississippi Hub And Bay Gas [Member] | |||||||
Business Acquisition [Line Items] | |||||||
Consideration to be received | $ 322 | ||||||
Sempra LNG [Member] | Disposal Group, Disposed of by Sale, Not Discontinued Operations [Member] | Other Non-Utility assets [Member] | |||||||
Business Acquisition [Line Items] | |||||||
Consideration to be received | $ 5 |
ACQUISITIONS, DIVESTITURES AN_5
ACQUISITIONS, DIVESTITURES AND DISCONTINUED OPERATIONS - DISCONTINUED OPERATIONS (Details) $ in Millions | Jun. 24, 2020USD ($) | Apr. 24, 2020USD ($) | Sep. 30, 2020USD ($) | Sep. 30, 2019USD ($) | Sep. 30, 2020USD ($)company | Sep. 30, 2019USD ($) | Jun. 30, 2020USD ($) | Dec. 31, 2019USD ($) | |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||||||
(Loss) income from discontinued operations, net of income tax | $ (7) | $ 256 | $ 1,850 | $ 292 | |||||
Earnings attributable to noncontrolling interests | 0 | (8) | (10) | (25) | |||||
(Loss) Income from Discontinued Operations, Net of Income Tax | (7) | 248 | 1,840 | 267 | |||||
Cash and cash equivalents | 0 | 0 | $ 75 | ||||||
Current assets | 0 | 0 | 445 | [1] | |||||
Noncurrent assets | 0 | 0 | 3,513 | [1] | |||||
Current liabilities | 0 | 0 | 444 | [1] | |||||
Noncurrent liabilities | 0 | 0 | 1,052 | [1] | |||||
Discontinued Operations, Held-for-sale [Member] | Sempra South American Utilities [Member] | |||||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||||||
Consideration to be received | $ 2,216 | ||||||||
Pretax gain on sale | 628 | ||||||||
Revenues | 0 | 398 | 570 | 1,222 | |||||
Cost of sales | 0 | (249) | (364) | (765) | |||||
(Loss) gain on sale of discontinued operations | $ 248 | (16) | 0 | 2,899 | 0 | ||||
Operating expenses | 0 | (38) | (66) | (123) | |||||
Interest and other | 0 | (3) | (3) | (12) | |||||
Income before income taxes and equity earnings | (16) | 108 | 3,036 | 322 | |||||
Income tax benefit (expense) | 9 | 148 | (1,186) | (32) | |||||
Equity earnings | 0 | 0 | 0 | 2 | |||||
(Loss) income from discontinued operations, net of income tax | (7) | 256 | 1,850 | 292 | |||||
(Loss) Income from Discontinued Operations, Net of Income Tax | (7) | $ 248 | 1,840 | $ 267 | |||||
Cash and cash equivalents | $ 4,600 | $ 4,600 | 74 | ||||||
Restricted cash | 1 | ||||||||
Accounts receivable, net | 303 | ||||||||
Due from unconsolidated affiliates | 2 | ||||||||
Inventories | 36 | ||||||||
Other current assets | 29 | ||||||||
Current assets | 445 | ||||||||
Due from unconsolidated affiliates | 54 | ||||||||
Goodwill and other intangible assets | 801 | ||||||||
Property, plant and equipment, net | 2,618 | ||||||||
Other noncurrent assets | 40 | ||||||||
Noncurrent assets | 3,513 | ||||||||
Short-term debt | 52 | ||||||||
Accounts payable | 201 | ||||||||
Current portion of long-term debt and finance leases | 85 | ||||||||
Other current liabilities | 106 | ||||||||
Current liabilities | 444 | ||||||||
Long-term debt and finance leases | 702 | ||||||||
Deferred income taxes | 284 | ||||||||
Other noncurrent liabilities | 66 | ||||||||
Noncurrent liabilities | $ 1,052 | ||||||||
Cumulative foreign translation adjustments | $ 645 | ||||||||
Discontinued Operations, Held-for-sale [Member] | Luz Del Sur [Member] | Sempra South American Utilities [Member] | |||||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||||||
Consideration to be received | $ 3,549 | ||||||||
Pretax gain on sale | 2,271 | ||||||||
(Loss) gain on sale of discontinued operations | $ 1,499 | ||||||||
Luz Del Sur [Member] | Discontinued Operations, Held-for-sale [Member] | Sempra South American Utilities [Member] | |||||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||||||
Ownership interest (as a percent) | 83.60% | 83.60% | 83.60% | ||||||
Number of energy services companies | company | 2 | ||||||||
Chilquinta Energia [Member] | Discontinued Operations, Held-for-sale [Member] | Sempra South American Utilities [Member] | |||||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||||||
Ownership interest (as a percent) | 100.00% | 100.00% | 100.00% | ||||||
Eletrans [Member] | Discontinued Operations, Held-for-sale [Member] | Sempra South American Utilities [Member] | |||||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||||||
Ownership interest (as a percent) | 50.00% | ||||||||
[1] | Derived from audited financial statements. |
INVESTMENTS IN UNCONSOLIDATED_2
INVESTMENTS IN UNCONSOLIDATED ENTITIES - NARRATIVE (Details) - USD ($) $ in Millions | 1 Months Ended | 3 Months Ended | 9 Months Ended | |||
Jul. 31, 2020 | Mar. 31, 2020 | Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Schedule of Equity Method Investments [Line Items] | ||||||
Distributions from investments | $ 761 | $ 9 | ||||
Equity earnings | $ 326 | $ 266 | 822 | 485 | ||
R B S Sempra Commodities [Member] | ||||||
Schedule of Equity Method Investments [Line Items] | ||||||
Equity earnings | $ (100) | |||||
Sempra Texas Utilities [Member] | Oncor Holdings [Member] | ||||||
Schedule of Equity Method Investments [Line Items] | ||||||
Contribution | 209 | 1,236 | 209 | 1,236 | ||
Commitment to invest | $ 1,067 | 1,067 | ||||
Sempra LNG [Member] | ||||||
Schedule of Equity Method Investments [Line Items] | ||||||
Maximum exposure under guarantor obligations | 4,000 | 4,000 | ||||
Sempra LNG [Member] | Variable Interest Entity, Not Primary Beneficiary [Member] | ||||||
Schedule of Equity Method Investments [Line Items] | ||||||
Maximum exposure under guarantor obligations | 979 | 979 | ||||
Guarantees, carrying value | 6 | 6 | ||||
Corporate Joint Venture [Member] | Sempra LNG [Member] | Cameron LNG [Member] | ||||||
Schedule of Equity Method Investments [Line Items] | ||||||
Contribution | 54 | 54 | ||||
Proceeds from dividends received | 209 | |||||
Distributions from investments | 803 | |||||
Investments made during period | 77 | |||||
Capitalized interest | 32 | |||||
Maximum exposure under guarantor obligations | 4,000 | 4,000 | ||||
Guarantees, carrying value | 1 | $ 1 | ||||
Proceeds from related party debt | $ 1,500 | |||||
Liability cap (as a percent) | 130.00% | |||||
Liability cap, amount | $ 979 | $ 979 | ||||
Corporate Joint Venture [Member] | Sempra LNG [Member] | Cameron LNG [Member] | Variable Interest Entity, Not Primary Beneficiary [Member] | ||||||
Schedule of Equity Method Investments [Line Items] | ||||||
Distributions from investments | 753 | |||||
Proceeds from related party debt | $ 753 | |||||
Oncor Holdings [Member] | Sempra Texas Utilities [Member] | ||||||
Schedule of Equity Method Investments [Line Items] | ||||||
Proceeds from dividends received | $ 220 | $ 162 | ||||
Oncor Holdings [Member] | Sempra Texas Holdings Corp [Member] | Sempra Texas Intermediate Holding Company LLC [Member] | ||||||
Schedule of Equity Method Investments [Line Items] | ||||||
Ownership percentage in consolidated entity | 100.00% | |||||
Oncor Electric Delivery Company LLC. [Member] | Oncor Holdings [Member] | Sempra Texas Utilities [Member] | ||||||
Schedule of Equity Method Investments [Line Items] | ||||||
Acquired percentage interest | 80.25% | 80.25% | ||||
Cameron LNG [Member] | Sempra LNG [Member] | ||||||
Schedule of Equity Method Investments [Line Items] | ||||||
Ownership percentage in consolidated entity | 50.20% | |||||
Other Current Liabilities [Member] | R B S Sempra Commodities [Member] | ||||||
Schedule of Equity Method Investments [Line Items] | ||||||
Equity earnings | 25 | |||||
Deferred Credits and Other [Member] | R B S Sempra Commodities [Member] | ||||||
Schedule of Equity Method Investments [Line Items] | ||||||
Equity earnings | $ 75 |
INVESTMENTS IN UNCONSOLIDATED_3
INVESTMENTS IN UNCONSOLIDATED ENTITIES - SUMMARIZED FINANCIAL INFORMATION (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Schedule of Equity Method Investments [Line Items] | ||||
Operating revenues | $ 2,301 | $ 2,398 | $ 7,199 | $ 6,808 |
Net income (loss) | 421 | 909 | 3,673 | 1,862 |
Equity Method Investment, Nonconsolidated Investee or Group of Investees [Member] | Oncor Holdings [Member] | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Operating revenues | 1,232 | 1,211 | 3,394 | 3,268 |
Operating expenses | (819) | (787) | (2,387) | (2,319) |
Operating income | 413 | 424 | 1,007 | 949 |
Interest expense | (102) | (97) | (305) | (276) |
Income tax expense | (50) | (53) | (115) | (106) |
Net income (loss) | 255 | 261 | 557 | 511 |
Noncontrolling interest held by TTI | (50) | (52) | (111) | (102) |
Earnings attributable to Sempra Energy | $ 205 | $ 209 | $ 446 | $ 409 |
DEBT AND CREDIT FACILITIES - LI
DEBT AND CREDIT FACILITIES - LINES OF CREDIT (Details) | Mar. 30, 2020 | Oct. 31, 2020USD ($) | Mar. 31, 2020USD ($) | Apr. 30, 2020USD ($) | Sep. 30, 2020USD ($)customer |
Line of Credit Facility [Line Items] | |||||
Maximum borrowing capacity | $ 6,685,000,000 | ||||
Capacity for issuance of letters of credit | $ 200,000,000 | ||||
Maximum ratio of indebtedness to total capitalization | 65.00% | ||||
Standby letters of credit outstanding | $ 560,000,000 | ||||
Sempra Energy [Member] | |||||
Line of Credit Facility [Line Items] | |||||
Maximum borrowing capacity | 1,250,000,000 | ||||
Option to request | 500,000,000 | ||||
Sempra Global [Member] | |||||
Line of Credit Facility [Line Items] | |||||
Maximum borrowing capacity | 3,185,000,000 | ||||
San Diego Gas and Electric Company [Member] | |||||
Line of Credit Facility [Line Items] | |||||
Maximum borrowing capacity | 1,500,000,000 | ||||
Capacity for issuance of letters of credit | 100,000,000 | ||||
Option to request | $ 250,000,000 | ||||
Maximum ratio of indebtedness to total capitalization | 65.00% | ||||
Southern California Gas Company [Member] | |||||
Line of Credit Facility [Line Items] | |||||
Maximum borrowing capacity | $ 750,000,000 | ||||
Capacity for issuance of letters of credit | 100,000,000 | ||||
Option to request | $ 250,000,000 | ||||
Maximum ratio of indebtedness to total capitalization | 65.00% | ||||
Sempra U.S. Businesses [Member] | |||||
Line of Credit Facility [Line Items] | |||||
Maximum borrowing capacity | $ 6,700,000,000 | ||||
Foreign Line of Credit [Member] | Sempra Mexico [Member] | |||||
Line of Credit Facility [Line Items] | |||||
Maximum borrowing capacity | 1,780,000,000 | ||||
Amount outstanding | (772,000,000) | ||||
Available unused credit | 1,008,000,000 | ||||
Foreign Committed Lines of Credit, Due February 2024 [Member] | Foreign Line of Credit [Member] | Sempra Mexico [Member] | |||||
Line of Credit Facility [Line Items] | |||||
Maximum borrowing capacity | 1,500,000,000 | ||||
Amount outstanding | (492,000,000) | ||||
Available unused credit | $ 1,008,000,000 | ||||
Term of debt instrument | 5 years | ||||
Number of lenders | customer | 10 | ||||
Foreign Committed Lines of Credit, Due February 2024 [Member] | Foreign Line of Credit [Member] | Sempra Mexico [Member] | LIBOR [Member] | |||||
Line of Credit Facility [Line Items] | |||||
Spread on variable rate (as a percent) | 0.80% | ||||
Foreign Committed Lines of Credit, Due September 2021 [Member] | Foreign Line of Credit [Member] | Sempra Mexico [Member] | |||||
Line of Credit Facility [Line Items] | |||||
Maximum borrowing capacity | $ 280,000,000 | ||||
Amount outstanding | (280,000,000) | ||||
Available unused credit | $ 0 | ||||
Term of debt instrument | 2 years | ||||
Foreign Committed Lines of Credit, Due September 2021 [Member] | Foreign Line of Credit [Member] | Sempra Mexico [Member] | LIBOR [Member] | |||||
Line of Credit Facility [Line Items] | |||||
Spread on variable rate (as a percent) | 0.54% | ||||
Foreign Uncommitted Revolving Credit Facility Due April 2022 [Member] | Foreign Line of Credit [Member] | Sempra Mexico [Member] | |||||
Line of Credit Facility [Line Items] | |||||
Maximum borrowing capacity | $ 100,000,000 | ||||
Available unused credit | $ 100,000,000 | ||||
Term of debt instrument | 3 years | ||||
Uncommitted Revolving Credit Facility with Bank of Nova Scotia [Member] | Foreign Line of Credit [Member] | Sempra Mexico [Member] | Subsequent Event [Member] | |||||
Line of Credit Facility [Line Items] | |||||
Maximum borrowing capacity | $ 100,000,000 | ||||
Term of debt instrument | 3 years | ||||
Uncommitted Revolving Credit Facility with Scotiabank Inverlat S.A. [Member] | Foreign Line of Credit [Member] | Sempra Mexico [Member] | Subsequent Event [Member] | |||||
Line of Credit Facility [Line Items] | |||||
Maximum borrowing capacity | $ 20,000,000 | ||||
Term of debt instrument | 3 years | ||||
Term Loan [Member] | Sempra Energy [Member] | |||||
Line of Credit Facility [Line Items] | |||||
Net proceeds of debt | $ 1,599,000,000 | ||||
Debt issuance costs | $ 1,000,000 | ||||
Term Loan [Member] | San Diego Gas and Electric Company [Member] | |||||
Line of Credit Facility [Line Items] | |||||
Spread on variable rate (as a percent) | 0.80% | 0.95% | |||
Net proceeds of debt | $ 200,000,000 |
DEBT AND CREDIT FACILITIES - WE
DEBT AND CREDIT FACILITIES - WEIGHTED-AVERAGE INTEREST RATES AND INTEREST RATE SWAPS (Details) | Sep. 30, 2020 | Dec. 31, 2019 |
Sempra Energy Consolidated [Member] | ||
Debt Instrument [Line Items] | ||
Weighted average interest rate on total short-term debt outstanding | 0.93% | 2.31% |
San Diego Gas and Electric Company [Member] | ||
Debt Instrument [Line Items] | ||
Weighted average interest rate on total short-term debt outstanding | 1.97% | |
Southern California Gas Company [Member] | ||
Debt Instrument [Line Items] | ||
Weighted average interest rate on total short-term debt outstanding | 1.86% |
DEBT AND CREDIT FACILITIES - LO
DEBT AND CREDIT FACILITIES - LONG-TERM DEBT (Details) - USD ($) | Mar. 30, 2020 | Sep. 30, 2020 | Jun. 30, 2020 | Apr. 30, 2020 | Jan. 31, 2020 | Dec. 31, 2020 | Sep. 30, 2020 |
Debt Instrument [Line Items] | |||||||
Equitization of long-term debt for deficit held by NCI | $ 22,000,000 | ||||||
Southern California Gas Company [Member] | First Mortgage Bonds, Due 2030 [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Stated rate of debt (as a percent) | 2.55% | ||||||
Bonds [Member] | San Diego Gas and Electric Company [Member] | Forecast [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Repayments of first mortgage bonds | $ 250,000,000 | ||||||
Bonds [Member] | San Diego Gas and Electric Company [Member] | First Mortgage Bonds, Due 2030 [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Debt amount | $ 800,000,000 | $ 800,000,000 | |||||
Stated rate of debt (as a percent) | 1.70% | 1.70% | |||||
Net proceeds of debt | $ 792,000,000 | ||||||
Debt issuance costs | 8,000,000 | $ 8,000,000 | |||||
Bonds [Member] | San Diego Gas and Electric Company [Member] | First Mortgage Bonds, Due 2050 [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Debt amount | $ 400,000,000 | ||||||
Stated rate of debt (as a percent) | 3.32% | ||||||
Net proceeds of debt | $ 395,000,000 | ||||||
Debt issuance costs | 5,000,000 | ||||||
Repayments of lines of credit | 200,000,000 | ||||||
Bonds [Member] | Southern California Gas Company [Member] | First Mortgage Bonds, Due 2030 [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Debt amount | $ 650,000,000 | ||||||
Net proceeds of debt | 643,000,000 | ||||||
Debt issuance costs | $ 7,000,000 | ||||||
Unsecured Debt [Member] | Southern California Gas Company [Member] | Senior Unsecured Notes Maturing 2023 [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Debt amount | 300,000,000 | 300,000,000 | |||||
Net proceeds of debt | 298,000,000 | ||||||
Debt issuance costs | $ 2,000,000 | 2,000,000 | |||||
Redemption of principal amount (as a percent) | 100.00% | ||||||
Unsecured Debt [Member] | Sempra Mexico [Member] | Four Point Seven Five Percent Senior Unsecured Notes Maturing 2051 [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Debt amount | $ 800,000,000 | $ 800,000,000 | |||||
Stated rate of debt (as a percent) | 4.75% | 4.75% | |||||
Net proceeds of debt | $ 770,000,000 | ||||||
Debt issuance costs | $ 30,000,000 | $ 30,000,000 | |||||
Japan International Cooperation Agency [Member] | Sempra Mexico [Member] | IEnova Loan Agreement [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Net proceeds of debt | 98,000,000 | ||||||
Debt issuance costs | 2,000,000 | ||||||
Proceeds from debt issuance | $ 100,000,000 | ||||||
Fixed interest rate (as a percent) | 2.38% | ||||||
U.S. International Development Finance Corporation [Member] | Sempra Mexico [Member] | IEnova Loan Agreement [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Net proceeds of debt | $ 236,000,000 | ||||||
Debt issuance costs | 5,000,000 | ||||||
Proceeds from debt issuance | $ 241,000,000 | ||||||
Fixed interest rate (as a percent) | 2.90% | ||||||
Liberty Gas Storage, LLC [Member] | Sempra LNG [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Equitization of long-term debt for deficit held by NCI | $ 22,000,000 | ||||||
LIBOR [Member] | Unsecured Debt [Member] | Southern California Gas Company [Member] | Senior Unsecured Notes Maturing 2023 [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Spread on variable rate (as a percent) | 35.00% | ||||||
LIBOR [Member] | Japan International Cooperation Agency [Member] | Sempra Mexico [Member] | IEnova Loan Agreement [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Spread on variable rate (as a percent) | 1.50% |
DERIVATIVE FINANCIAL INSTRUME_3
DERIVATIVE FINANCIAL INSTRUMENTS - DERIVATIVE COMMODITY VOLUMES (Details) | 9 Months Ended | 12 Months Ended |
Sep. 30, 2020MWhMMBTU | Dec. 31, 2019MMBTUMWh | |
Natural Gas Derivative [Member] | ||
Derivative [Line Items] | ||
Derivative, nonmonetary notional amount | MMBTU | 19 | 32 |
Electric Energy Derivative [Member] | ||
Derivative [Line Items] | ||
Derivative, nonmonetary notional amount | 2 | 2 |
Congestion Revenue Rights Derivative [Member] | ||
Derivative [Line Items] | ||
Derivative, nonmonetary notional amount | 43 | 48 |
SDG&E [Member] | Natural Gas Derivative [Member] | ||
Derivative [Line Items] | ||
Derivative, nonmonetary notional amount | MMBTU | 23 | 37 |
SDG&E [Member] | Electric Energy Derivative [Member] | ||
Derivative [Line Items] | ||
Derivative, nonmonetary notional amount | 1 | 2 |
SDG&E [Member] | Congestion Revenue Rights Derivative [Member] | ||
Derivative [Line Items] | ||
Derivative, nonmonetary notional amount | 43 | 48 |
SoCalGas [Member] | Natural Gas Derivative [Member] | ||
Derivative [Line Items] | ||
Derivative, nonmonetary notional amount | MMBTU | 0 | 2 |
DERIVATIVE FINANCIAL INSTRUME_4
DERIVATIVE FINANCIAL INSTRUMENTS - DERIVATIVE NOTIONALS (Details) - USD ($) $ in Millions | Sep. 30, 2020 | Dec. 31, 2019 |
Interest rate and foreign exchange instruments [Member] | ||
Derivative [Line Items] | ||
Notional amount of derivative | $ 306 | $ 306 |
Foreign Exchange [Member] | ||
Derivative [Line Items] | ||
Notional amount of derivative | 1,341 | 1,796 |
Cash Flow Hedging [Member] | Interest Rate Contract [Member] | ||
Derivative [Line Items] | ||
Notional amount of derivative | $ 1,500 | $ 1,445 |
DERIVATIVE FINANCIAL INSTRUME_5
DERIVATIVE FINANCIAL INSTRUMENTS - DERIVATIVE INSTRUMENTS ON THE CONDENSED BALANCE SHEET (Details) - USD ($) $ in Millions | Sep. 30, 2020 | Dec. 31, 2019 |
Other current assets [Member] | ||
Derivatives not designated as hedging instruments: | ||
Net amounts presented on the balance sheet | $ 23 | $ 58 |
Additional cash collateral for commodity contracts not subject to rate recovery | 41 | 43 |
Additional cash collateral for commodity contracts subject to rate recovery | 24 | 25 |
Total | 88 | 126 |
Other long-term assets [Member] | ||
Derivatives not designated as hedging instruments: | ||
Net amounts presented on the balance sheet | 89 | 85 |
Additional cash collateral for commodity contracts not subject to rate recovery | 0 | 0 |
Additional cash collateral for commodity contracts subject to rate recovery | 0 | 0 |
Total | 89 | 85 |
Other Current Liabilities [Member] | ||
Derivatives not designated as hedging instruments: | ||
Net amounts presented on the balance sheet | (75) | (53) |
Additional cash collateral for commodity contracts not subject to rate recovery | 0 | 0 |
Additional cash collateral for commodity contracts subject to rate recovery | 0 | 0 |
Total | (75) | (53) |
Deferred credits and other [Member] | ||
Derivatives not designated as hedging instruments: | ||
Net amounts presented on the balance sheet | (220) | (192) |
Additional cash collateral for commodity contracts not subject to rate recovery | 0 | 0 |
Additional cash collateral for commodity contracts subject to rate recovery | 0 | 0 |
Total | (220) | (192) |
Designated as Hedging Instrument [Member] | Other current assets [Member] | ||
Derivatives designated as hedging instruments: | ||
Interest rate and foreign exchange instruments | 6 | 0 |
Designated as Hedging Instrument [Member] | Other long-term assets [Member] | ||
Derivatives designated as hedging instruments: | ||
Interest rate and foreign exchange instruments | 2 | 3 |
Designated as Hedging Instrument [Member] | Other Current Liabilities [Member] | ||
Derivatives designated as hedging instruments: | ||
Interest rate and foreign exchange instruments | (22) | (17) |
Designated as Hedging Instrument [Member] | Deferred credits and other [Member] | ||
Derivatives designated as hedging instruments: | ||
Interest rate and foreign exchange instruments | (188) | (140) |
Not Designated as Hedging Instrument [Member] | Other current assets [Member] | ||
Derivatives not designated as hedging instruments: | ||
Foreign exchange instruments | 13 | 41 |
Associated offsetting foreign exchange instruments | (13) | (20) |
Commodity contracts not subject to rate recovery | 102 | 34 |
Associated offsetting commodity contracts | (100) | (32) |
Commodity contracts subject to rate recovery | 17 | 41 |
Associated offsetting commodity contracts | (2) | (6) |
Associated offsetting cash collateral | 0 | |
Not Designated as Hedging Instrument [Member] | Other long-term assets [Member] | ||
Derivatives not designated as hedging instruments: | ||
Foreign exchange instruments | 0 | 0 |
Associated offsetting foreign exchange instruments | 0 | 0 |
Commodity contracts not subject to rate recovery | 7 | 11 |
Associated offsetting commodity contracts | (4) | (2) |
Commodity contracts subject to rate recovery | 84 | 76 |
Associated offsetting commodity contracts | 0 | (3) |
Associated offsetting cash collateral | 0 | |
Not Designated as Hedging Instrument [Member] | Other Current Liabilities [Member] | ||
Derivatives not designated as hedging instruments: | ||
Foreign exchange instruments | (22) | (20) |
Associated offsetting foreign exchange instruments | 13 | 20 |
Commodity contracts not subject to rate recovery | (114) | (41) |
Associated offsetting commodity contracts | 100 | 32 |
Commodity contracts subject to rate recovery | (32) | (47) |
Associated offsetting commodity contracts | 2 | 6 |
Associated offsetting cash collateral | 14 | |
Not Designated as Hedging Instrument [Member] | Deferred credits and other [Member] | ||
Derivatives not designated as hedging instruments: | ||
Foreign exchange instruments | 0 | 0 |
Associated offsetting foreign exchange instruments | 0 | 0 |
Commodity contracts not subject to rate recovery | (7) | (10) |
Associated offsetting commodity contracts | 4 | 2 |
Commodity contracts subject to rate recovery | (29) | (47) |
Associated offsetting commodity contracts | 0 | 3 |
Associated offsetting cash collateral | 0 | |
San Diego Gas and Electric Company [Member] | Other current assets [Member] | ||
Derivatives not designated as hedging instruments: | ||
Net amounts presented on the balance sheet | 12 | 26 |
Additional cash collateral for commodity contracts subject to rate recovery | 22 | 16 |
Total | 34 | 42 |
San Diego Gas and Electric Company [Member] | Other long-term assets [Member] | ||
Derivatives not designated as hedging instruments: | ||
Net amounts presented on the balance sheet | 84 | 73 |
Additional cash collateral for commodity contracts subject to rate recovery | 0 | 0 |
Total | 84 | 73 |
San Diego Gas and Electric Company [Member] | Other Current Liabilities [Member] | ||
Derivatives not designated as hedging instruments: | ||
Net amounts presented on the balance sheet | (24) | (23) |
Additional cash collateral for commodity contracts subject to rate recovery | 0 | 0 |
Total | (24) | (23) |
San Diego Gas and Electric Company [Member] | Deferred credits and other [Member] | ||
Derivatives not designated as hedging instruments: | ||
Net amounts presented on the balance sheet | (29) | (44) |
Additional cash collateral for commodity contracts subject to rate recovery | 0 | 0 |
Total | (29) | (44) |
San Diego Gas and Electric Company [Member] | Not Designated as Hedging Instrument [Member] | Other current assets [Member] | ||
Derivatives not designated as hedging instruments: | ||
Commodity contracts subject to rate recovery | 14 | 30 |
Associated offsetting commodity contracts | (2) | (4) |
Associated offsetting cash collateral | 0 | |
San Diego Gas and Electric Company [Member] | Not Designated as Hedging Instrument [Member] | Other long-term assets [Member] | ||
Derivatives not designated as hedging instruments: | ||
Commodity contracts subject to rate recovery | 84 | 76 |
Associated offsetting commodity contracts | 0 | (3) |
Associated offsetting cash collateral | 0 | |
San Diego Gas and Electric Company [Member] | Not Designated as Hedging Instrument [Member] | Other Current Liabilities [Member] | ||
Derivatives not designated as hedging instruments: | ||
Commodity contracts subject to rate recovery | (26) | (41) |
Associated offsetting commodity contracts | 2 | 4 |
Associated offsetting cash collateral | 14 | |
San Diego Gas and Electric Company [Member] | Not Designated as Hedging Instrument [Member] | Deferred credits and other [Member] | ||
Derivatives not designated as hedging instruments: | ||
Commodity contracts subject to rate recovery | (29) | (47) |
Associated offsetting commodity contracts | 0 | 3 |
Associated offsetting cash collateral | 0 | |
Southern California Gas Company [Member] | Other current assets [Member] | ||
Derivatives not designated as hedging instruments: | ||
Net amounts presented on the balance sheet | 3 | 9 |
Additional cash collateral for commodity contracts subject to rate recovery | 2 | 9 |
Total | 5 | 18 |
Southern California Gas Company [Member] | Other long-term assets [Member] | ||
Derivatives not designated as hedging instruments: | ||
Net amounts presented on the balance sheet | 0 | 0 |
Additional cash collateral for commodity contracts subject to rate recovery | 0 | 0 |
Total | 0 | 0 |
Southern California Gas Company [Member] | Other Current Liabilities [Member] | ||
Derivatives not designated as hedging instruments: | ||
Net amounts presented on the balance sheet | (6) | (4) |
Additional cash collateral for commodity contracts subject to rate recovery | 0 | 0 |
Total | (6) | (4) |
Southern California Gas Company [Member] | Deferred credits and other [Member] | ||
Derivatives not designated as hedging instruments: | ||
Net amounts presented on the balance sheet | 0 | 0 |
Additional cash collateral for commodity contracts subject to rate recovery | 0 | 0 |
Total | 0 | 0 |
Southern California Gas Company [Member] | Not Designated as Hedging Instrument [Member] | Other current assets [Member] | ||
Derivatives not designated as hedging instruments: | ||
Commodity contracts subject to rate recovery | 3 | 11 |
Associated offsetting commodity contracts | (2) | |
Southern California Gas Company [Member] | Not Designated as Hedging Instrument [Member] | Other long-term assets [Member] | ||
Derivatives not designated as hedging instruments: | ||
Commodity contracts subject to rate recovery | 0 | 0 |
Associated offsetting commodity contracts | 0 | |
Southern California Gas Company [Member] | Not Designated as Hedging Instrument [Member] | Other Current Liabilities [Member] | ||
Derivatives not designated as hedging instruments: | ||
Commodity contracts subject to rate recovery | (6) | (6) |
Associated offsetting commodity contracts | 2 | |
Southern California Gas Company [Member] | Not Designated as Hedging Instrument [Member] | Deferred credits and other [Member] | ||
Derivatives not designated as hedging instruments: | ||
Commodity contracts subject to rate recovery | $ 0 | 0 |
Associated offsetting commodity contracts | $ 0 |
DERIVATIVE FINANCIAL INSTRUME_6
DERIVATIVE FINANCIAL INSTRUMENTS - DERIVATIVE IMPACT ON INCOME (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Derivative [Line Items] | ||||
Pretax gain (loss) on derivatives recognized in earnings | $ 19 | $ (17) | $ (129) | $ 7 |
Designated as Hedging Instrument [Member] | Cash Flow Hedging [Member] | ||||
Derivative [Line Items] | ||||
Pretax gain (loss) recognized in OCI | 36 | (68) | (225) | (250) |
Pretax (loss) gain reclassified from AOCI into earnings | (4) | (8) | (43) | (16) |
Designated as Hedging Instrument [Member] | Interest Expense [Member] | Cash Flow Hedging [Member] | Interest rate and foreign exchange instruments [Member] | ||||
Derivative [Line Items] | ||||
Pretax gain (loss) recognized in OCI | 14 | (7) | (73) | (25) |
Pretax (loss) gain reclassified from AOCI into earnings | (3) | (1) | (7) | (2) |
Designated as Hedging Instrument [Member] | Other Income (Expense), Net [Member] | Cash Flow Hedging [Member] | Interest rate and foreign exchange instruments [Member] | ||||
Derivative [Line Items] | ||||
Pretax (loss) gain reclassified from AOCI into earnings | 4 | (5) | (33) | 0 |
Designated as Hedging Instrument [Member] | Other Income (Expense), Net [Member] | Cash Flow Hedging [Member] | Foreign Exchange Instruments [Member] | ||||
Derivative [Line Items] | ||||
Pretax (loss) gain reclassified from AOCI into earnings | 1 | 0 | ||
Designated as Hedging Instrument [Member] | Gain On Sale Of Assets [Member] | Cash Flow Hedging [Member] | Interest Rate Contract [Member] | ||||
Derivative [Line Items] | ||||
Pretax gain (loss) recognized in OCI | 0 | 0 | ||
Pretax (loss) gain reclassified from AOCI into earnings | 0 | (10) | ||
Designated as Hedging Instrument [Member] | Equity Earnings [Member] | Cash Flow Hedging [Member] | Interest rate and foreign exchange instruments [Member] | ||||
Derivative [Line Items] | ||||
Pretax gain (loss) recognized in OCI | 24 | (62) | (166) | (222) |
Pretax (loss) gain reclassified from AOCI into earnings | (5) | (2) | (6) | (3) |
Designated as Hedging Instrument [Member] | Revenues: Energy-Related Businesses [Member] | Cash Flow Hedging [Member] | Foreign Exchange Instruments [Member] | ||||
Derivative [Line Items] | ||||
Pretax gain (loss) recognized in OCI | (2) | 1 | 14 | (3) |
Pretax (loss) gain reclassified from AOCI into earnings | 2 | (1) | ||
Not Designated as Hedging Instrument [Member] | ||||
Derivative [Line Items] | ||||
Pretax gain (loss) on derivatives recognized in earnings | 17 | (5) | (37) | 8 |
Not Designated as Hedging Instrument [Member] | Other Income (Expense), Net [Member] | Foreign Exchange Instruments [Member] | ||||
Derivative [Line Items] | ||||
Pretax gain (loss) on derivatives recognized in earnings | 15 | (12) | (97) | 7 |
Not Designated as Hedging Instrument [Member] | Revenues: Energy-Related Businesses [Member] | Commodity Contracts not subject to rate recovery [Member] | ||||
Derivative [Line Items] | ||||
Pretax gain (loss) on derivatives recognized in earnings | (39) | (8) | 25 | 9 |
Not Designated as Hedging Instrument [Member] | Cost of Electric Fuel and Purchased Power [Member] | Commodity Contracts Subject To Rate Recovery [Member] | ||||
Derivative [Line Items] | ||||
Pretax gain (loss) on derivatives recognized in earnings | 41 | 18 | 41 | (7) |
Not Designated as Hedging Instrument [Member] | Cost of Natural Gas [Member] | Commodity Contracts Subject To Rate Recovery [Member] | ||||
Derivative [Line Items] | ||||
Pretax gain (loss) on derivatives recognized in earnings | 0 | (3) | (6) | (1) |
San Diego Gas and Electric Company [Member] | Designated as Hedging Instrument [Member] | Interest Expense [Member] | Cash Flow Hedging [Member] | Interest Rate Contract [Member] | ||||
Derivative [Line Items] | ||||
Pretax gain (loss) recognized in OCI | 0 | 0 | 0 | (1) |
Pretax (loss) gain reclassified from AOCI into earnings | 0 | (1) | 0 | (3) |
San Diego Gas and Electric Company [Member] | Not Designated as Hedging Instrument [Member] | Cost of Electric Fuel and Purchased Power [Member] | Commodity Contracts Subject To Rate Recovery [Member] | ||||
Derivative [Line Items] | ||||
Pretax gain (loss) on derivatives recognized in earnings | 41 | 18 | 41 | (7) |
Southern California Gas Company [Member] | Designated as Hedging Instrument [Member] | Interest Expense [Member] | Cash Flow Hedging [Member] | Interest Rate Contract [Member] | ||||
Derivative [Line Items] | ||||
Pretax gain (loss) recognized in OCI | 0 | 0 | 0 | 0 |
Pretax (loss) gain reclassified from AOCI into earnings | 0 | (1) | 0 | (1) |
Southern California Gas Company [Member] | Not Designated as Hedging Instrument [Member] | Cost of Natural Gas [Member] | Commodity Contracts Subject To Rate Recovery [Member] | ||||
Derivative [Line Items] | ||||
Pretax gain (loss) on derivatives recognized in earnings | $ 0 | $ (3) | $ (6) | $ (1) |
DERIVATIVE FINANCIAL INSTRUME_7
DERIVATIVE FINANCIAL INSTRUMENTS - CASH FLOW HEDGES (Details) $ in Millions | 9 Months Ended |
Sep. 30, 2020USD ($) | |
Derivative [Line Items] | |
Cash flow hedge gain (loss) to be reclassified | $ (72) |
Term of interest rate cash flow hedge | 14 years |
Southern California Gas Company [Member] | |
Derivative [Line Items] | |
Cash flow hedge gain (loss) to be reclassified | $ (1) |
Equity Method Investee [Member] | |
Derivative [Line Items] | |
Term of interest rate cash flow hedge | 19 years |
DERIVATIVE FINANCIAL INSTRUME_8
DERIVATIVE FINANCIAL INSTRUMENTS - DERIVATIVE INSTRUMENTS WITH CONTINGENT FEATURES (Details) - USD ($) $ in Millions | Sep. 30, 2020 | Dec. 31, 2019 |
Derivative [Line Items] | ||
Derivative fair value | $ 8 | $ 21 |
Collateral | 8 | |
Southern California Gas Company [Member] | ||
Derivative [Line Items] | ||
Derivative fair value | 7 | $ 4 |
Collateral | $ 7 |
FAIR VALUE MEASUREMENTS - RECUR
FAIR VALUE MEASUREMENTS - RECURRING FAIR VALUE MEASURES (Details) - USD ($) $ in Millions | Sep. 30, 2020 | Dec. 31, 2019 |
Fair Value Measured at Net Asset Value Per Share [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investments at NAV | $ 5 | |
Recurring [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Nuclear decommissioning trusts - equity securities | $ 389 | 509 |
Nuclear decommissioning trusts - Debt securities issued by the U.S. Treasury and other U.S. government corporations and agencies | 49 | 57 |
Nuclear decommissioning trusts - Municipal bonds | 335 | 282 |
Nuclear decommissioning trusts - Other securities | 271 | 226 |
Nuclear decommissioning trusts - Total debt securities | 655 | 565 |
Total nuclear decommissioning trusts | 1,044 | 1,074 |
Support Agreement, net of related guarantee fees | 6 | |
Total Assets Measured at Fair Value | 1,227 | 1,285 |
Total Liabilities Measured at Fair Value | 295 | 245 |
Recurring [Member] | Interest rate and foreign exchange instruments [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets | 8 | 24 |
Derivative liabilities | 219 | 157 |
Recurring [Member] | Commodity contracts not subject to rate recovery [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets | 5 | 11 |
Effect of netting and allocation of collateral | 41 | 43 |
Derivative liabilities | 17 | 17 |
Recurring [Member] | Commodity contracts subject to rate recovery [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets | 99 | 108 |
Effect of netting and allocation of collateral | 24 | 25 |
Derivative liabilities | 59 | 85 |
Effect of netting and allocation of collateral | (14) | |
Recurring [Member] | Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Nuclear decommissioning trusts - equity securities | 382 | 503 |
Nuclear decommissioning trusts - Debt securities issued by the U.S. Treasury and other U.S. government corporations and agencies | 26 | 46 |
Nuclear decommissioning trusts - Municipal bonds | 0 | 0 |
Nuclear decommissioning trusts - Other securities | 0 | 0 |
Nuclear decommissioning trusts - Total debt securities | 26 | 46 |
Total nuclear decommissioning trusts | 408 | 549 |
Support Agreement, net of related guarantee fees | 0 | |
Total Assets Measured at Fair Value | 476 | 608 |
Total Liabilities Measured at Fair Value | 0 | 0 |
Recurring [Member] | Level 1 [Member] | Interest rate and foreign exchange instruments [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets | 0 | 0 |
Derivative liabilities | 0 | 0 |
Recurring [Member] | Level 1 [Member] | Commodity contracts not subject to rate recovery [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets | 0 | 0 |
Effect of netting and allocation of collateral | 41 | 43 |
Derivative liabilities | 0 | 0 |
Recurring [Member] | Level 1 [Member] | Commodity contracts subject to rate recovery [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets | 9 | 5 |
Effect of netting and allocation of collateral | 18 | 11 |
Derivative liabilities | 0 | 14 |
Effect of netting and allocation of collateral | (14) | |
Recurring [Member] | Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Nuclear decommissioning trusts - equity securities | 7 | 6 |
Nuclear decommissioning trusts - Debt securities issued by the U.S. Treasury and other U.S. government corporations and agencies | 23 | 11 |
Nuclear decommissioning trusts - Municipal bonds | 335 | 282 |
Nuclear decommissioning trusts - Other securities | 271 | 226 |
Nuclear decommissioning trusts - Total debt securities | 629 | 519 |
Total nuclear decommissioning trusts | 636 | 525 |
Support Agreement, net of related guarantee fees | 0 | |
Total Assets Measured at Fair Value | 653 | 576 |
Total Liabilities Measured at Fair Value | 242 | 178 |
Recurring [Member] | Level 2 [Member] | Interest rate and foreign exchange instruments [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets | 8 | 24 |
Derivative liabilities | 219 | 157 |
Recurring [Member] | Level 2 [Member] | Commodity contracts not subject to rate recovery [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets | 5 | 11 |
Effect of netting and allocation of collateral | 0 | 0 |
Derivative liabilities | 17 | 17 |
Recurring [Member] | Level 2 [Member] | Commodity contracts subject to rate recovery [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets | 4 | 8 |
Effect of netting and allocation of collateral | 0 | 8 |
Derivative liabilities | 6 | 4 |
Effect of netting and allocation of collateral | 0 | |
Recurring [Member] | Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Nuclear decommissioning trusts - equity securities | 0 | 0 |
Nuclear decommissioning trusts - Debt securities issued by the U.S. Treasury and other U.S. government corporations and agencies | 0 | 0 |
Nuclear decommissioning trusts - Municipal bonds | 0 | 0 |
Nuclear decommissioning trusts - Other securities | 0 | 0 |
Nuclear decommissioning trusts - Total debt securities | 0 | 0 |
Total nuclear decommissioning trusts | 0 | 0 |
Support Agreement, net of related guarantee fees | 6 | |
Total Assets Measured at Fair Value | 98 | 101 |
Total Liabilities Measured at Fair Value | 53 | 67 |
Recurring [Member] | Level 3 [Member] | Interest rate and foreign exchange instruments [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets | 0 | 0 |
Derivative liabilities | 0 | 0 |
Recurring [Member] | Level 3 [Member] | Commodity contracts not subject to rate recovery [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets | 0 | 0 |
Effect of netting and allocation of collateral | 0 | 0 |
Derivative liabilities | 0 | 0 |
Recurring [Member] | Level 3 [Member] | Commodity contracts subject to rate recovery [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets | 86 | 95 |
Effect of netting and allocation of collateral | 6 | 6 |
Derivative liabilities | 53 | 67 |
Effect of netting and allocation of collateral | 0 | |
San Diego Gas and Electric Company [Member] | Recurring [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Nuclear decommissioning trusts - equity securities | 389 | 509 |
Nuclear decommissioning trusts - Debt securities issued by the U.S. Treasury and other U.S. government corporations and agencies | 49 | 57 |
Nuclear decommissioning trusts - Municipal bonds | 335 | 282 |
Nuclear decommissioning trusts - Other securities | 271 | 226 |
Nuclear decommissioning trusts - Total debt securities | 655 | 565 |
Total nuclear decommissioning trusts | 1,044 | 1,074 |
Total Assets Measured at Fair Value | 1,162 | 1,189 |
Total Liabilities Measured at Fair Value | 53 | 67 |
San Diego Gas and Electric Company [Member] | Recurring [Member] | Commodity contracts subject to rate recovery [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets | 96 | 99 |
Effect of netting and allocation of collateral | 22 | 16 |
Derivative liabilities | 53 | 81 |
Effect of netting and allocation of collateral | (14) | |
San Diego Gas and Electric Company [Member] | Recurring [Member] | Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Nuclear decommissioning trusts - equity securities | 382 | 503 |
Nuclear decommissioning trusts - Debt securities issued by the U.S. Treasury and other U.S. government corporations and agencies | 26 | 46 |
Nuclear decommissioning trusts - Municipal bonds | 0 | 0 |
Nuclear decommissioning trusts - Other securities | 0 | 0 |
Nuclear decommissioning trusts - Total debt securities | 26 | 46 |
Total nuclear decommissioning trusts | 408 | 549 |
Total Assets Measured at Fair Value | 433 | 560 |
Total Liabilities Measured at Fair Value | 0 | 0 |
San Diego Gas and Electric Company [Member] | Recurring [Member] | Level 1 [Member] | Commodity contracts subject to rate recovery [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets | 9 | 1 |
Effect of netting and allocation of collateral | 16 | 10 |
Derivative liabilities | 0 | 14 |
Effect of netting and allocation of collateral | (14) | |
San Diego Gas and Electric Company [Member] | Recurring [Member] | Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Nuclear decommissioning trusts - equity securities | 7 | 6 |
Nuclear decommissioning trusts - Debt securities issued by the U.S. Treasury and other U.S. government corporations and agencies | 23 | 11 |
Nuclear decommissioning trusts - Municipal bonds | 335 | 282 |
Nuclear decommissioning trusts - Other securities | 271 | 226 |
Nuclear decommissioning trusts - Total debt securities | 629 | 519 |
Total nuclear decommissioning trusts | 636 | 525 |
Total Assets Measured at Fair Value | 637 | 528 |
Total Liabilities Measured at Fair Value | 0 | 0 |
San Diego Gas and Electric Company [Member] | Recurring [Member] | Level 2 [Member] | Commodity contracts subject to rate recovery [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets | 1 | 3 |
Effect of netting and allocation of collateral | 0 | 0 |
Derivative liabilities | 0 | 0 |
Effect of netting and allocation of collateral | 0 | |
San Diego Gas and Electric Company [Member] | Recurring [Member] | Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Nuclear decommissioning trusts - equity securities | 0 | 0 |
Nuclear decommissioning trusts - Debt securities issued by the U.S. Treasury and other U.S. government corporations and agencies | 0 | 0 |
Nuclear decommissioning trusts - Municipal bonds | 0 | 0 |
Nuclear decommissioning trusts - Other securities | 0 | 0 |
Nuclear decommissioning trusts - Total debt securities | 0 | 0 |
Total nuclear decommissioning trusts | 0 | 0 |
Total Assets Measured at Fair Value | 92 | 101 |
Total Liabilities Measured at Fair Value | 53 | 67 |
San Diego Gas and Electric Company [Member] | Recurring [Member] | Level 3 [Member] | Commodity contracts subject to rate recovery [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets | 86 | 95 |
Effect of netting and allocation of collateral | 6 | 6 |
Derivative liabilities | 53 | 67 |
Effect of netting and allocation of collateral | 0 | |
Southern California Gas Company [Member] | Recurring [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total Assets Measured at Fair Value | 5 | 18 |
Total Liabilities Measured at Fair Value | 6 | 4 |
Southern California Gas Company [Member] | Recurring [Member] | Commodity contracts subject to rate recovery [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets | 3 | 9 |
Effect of netting and allocation of collateral | 2 | 9 |
Derivative liabilities | 6 | 4 |
Southern California Gas Company [Member] | Recurring [Member] | Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total Assets Measured at Fair Value | 2 | 5 |
Total Liabilities Measured at Fair Value | 0 | 0 |
Southern California Gas Company [Member] | Recurring [Member] | Level 1 [Member] | Commodity contracts subject to rate recovery [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets | 0 | 4 |
Effect of netting and allocation of collateral | 2 | 1 |
Derivative liabilities | 0 | 0 |
Southern California Gas Company [Member] | Recurring [Member] | Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total Assets Measured at Fair Value | 3 | 13 |
Total Liabilities Measured at Fair Value | 6 | 4 |
Southern California Gas Company [Member] | Recurring [Member] | Level 2 [Member] | Commodity contracts subject to rate recovery [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets | 3 | 5 |
Effect of netting and allocation of collateral | 0 | 8 |
Derivative liabilities | 6 | 4 |
Southern California Gas Company [Member] | Recurring [Member] | Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total Assets Measured at Fair Value | 0 | 0 |
Total Liabilities Measured at Fair Value | 0 | 0 |
Southern California Gas Company [Member] | Recurring [Member] | Level 3 [Member] | Commodity contracts subject to rate recovery [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets | 0 | 0 |
Effect of netting and allocation of collateral | 0 | 0 |
Derivative liabilities | $ 0 | $ 0 |
FAIR VALUE MEASUREMENTS - RECON
FAIR VALUE MEASUREMENTS - RECON OF LEVEL 3 ASSETS (Details) - USD ($) | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | Dec. 31, 2019 | |
Fair Value, Net Derivative Asset (Liability) Measured on Recurring Basis, Unobservable Input Reconciliation [Roll Forward] | |||||
Beginning balance | $ 17,000,000 | $ 176,000,000 | $ 28,000,000 | $ 179,000,000 | $ 179,000,000 |
Realized and unrealized losses | (4,000,000) | (24,000,000) | (18,000,000) | (32,000,000) | |
Allocated transmission instruments | 1,000,000 | 0 | 2,000,000 | 0 | |
Settlements | 19,000,000 | 27,000,000 | 21,000,000 | 32,000,000 | |
Ending balance | 33,000,000 | 179,000,000 | 33,000,000 | 179,000,000 | 28,000,000 |
Change in unrealized gains (losses) relating to instruments still held at the end of the period | 7,000,000 | 1,000,000 | (1,000,000) | 12,000,000 | |
Sempra LNG [Member] | |||||
Fair Value, Net Derivative Asset (Liability) Measured on Recurring Basis, Unobservable Input Reconciliation [Roll Forward] | |||||
Change in unrealized gains (losses) relating to instruments still held at the end of the period | 6,000,000 | ||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | |||||
Beginning balance | 0 | ||||
Realized and unrealized gains | 7,000,000 | ||||
Settlements | (1,000,000) | ||||
Ending balance | 6,000,000 | 6,000,000 | |||
San Diego Gas and Electric Company [Member] | |||||
Fair Value, Net Derivative Asset (Liability) Measured on Recurring Basis, Unobservable Input Reconciliation [Roll Forward] | |||||
Beginning balance | 17,000,000 | 176,000,000 | 28,000,000 | 179,000,000 | 179,000,000 |
Realized and unrealized losses | (4,000,000) | (24,000,000) | (18,000,000) | (32,000,000) | |
Allocated transmission instruments | 1,000,000 | 0 | 2,000,000 | 0 | |
Settlements | 19,000,000 | 27,000,000 | 21,000,000 | 32,000,000 | |
Ending balance | 33,000,000 | 179,000,000 | 33,000,000 | 179,000,000 | 28,000,000 |
Change in unrealized gains (losses) relating to instruments still held at the end of the period | 7,000,000 | 1,000,000 | (1,000,000) | 12,000,000 | |
Level 3 [Member] | San Diego Gas and Electric Company [Member] | Minimum [Member] | |||||
Fair Value, Net Derivative Asset (Liability) Measured on Recurring Basis, Unobservable Input Reconciliation [Roll Forward] | |||||
Congestion revenue rights (in dollars per MWH) | (3.77) | (8.57) | |||
Market electricity forward price inputs ( in dollars per MWH) | 19.45 | 21.60 | 19.45 | 21.60 | |
Level 3 [Member] | San Diego Gas and Electric Company [Member] | Maximum [Member] | |||||
Fair Value, Net Derivative Asset (Liability) Measured on Recurring Basis, Unobservable Input Reconciliation [Roll Forward] | |||||
Congestion revenue rights (in dollars per MWH) | 6.03 | 35.21 | |||
Market electricity forward price inputs ( in dollars per MWH) | 71.25 | 57.20 | 71.25 | 57.20 | |
Level 3 [Member] | San Diego Gas and Electric Company [Member] | Weighted Average [Member] | |||||
Fair Value, Net Derivative Asset (Liability) Measured on Recurring Basis, Unobservable Input Reconciliation [Roll Forward] | |||||
Congestion revenue rights (in dollars per MWH) | (1.58) | $ (2.94) | |||
Market electricity forward price inputs ( in dollars per MWH) | $ 38.14 | $ 38.29 | $ 38.14 | $ 38.29 |
FAIR VALUE MEASUREMENTS - FINAN
FAIR VALUE MEASUREMENTS - FINANCIAL INSTRUMENTS (Details) - USD ($) $ in Millions | Sep. 30, 2020 | Dec. 31, 2019 |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Long-term amounts due from unconsolidated affiliates, allowance for credit losses | $ 3 | |
Unamortized discount and debt issuance costs | 263 | $ 225 |
Finance lease obligations | 1,335 | 1,289 |
Carrying amount [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Long-term amounts due from unconsolidated affiliates | 620 | 742 |
Long-term amounts due to unconsolidated affiliate | 271 | 195 |
Total long-term debt | 23,588 | 21,247 |
Fair value [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Long-term amounts due from unconsolidated affiliates | 649 | 759 |
Long-term amounts due to unconsolidated affiliate | 280 | 184 |
Total long-term debt | 26,105 | 22,664 |
Fair value [Member] | Level 1 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Long-term amounts due from unconsolidated affiliates | 0 | 0 |
Long-term amounts due to unconsolidated affiliate | 0 | 0 |
Total long-term debt | 0 | 0 |
Fair value [Member] | Level 2 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Long-term amounts due from unconsolidated affiliates | 649 | 759 |
Long-term amounts due to unconsolidated affiliate | 280 | 184 |
Total long-term debt | 26,105 | 22,638 |
Fair value [Member] | Level 3 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Long-term amounts due from unconsolidated affiliates | 0 | 0 |
Long-term amounts due to unconsolidated affiliate | 0 | 0 |
Total long-term debt | 0 | 26 |
San Diego Gas and Electric Company [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Unamortized discount and debt issuance costs | 59 | 48 |
Finance lease obligations | 1,278 | 1,270 |
San Diego Gas and Electric Company [Member] | Carrying amount [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Total long-term debt | 6,505 | 5,140 |
San Diego Gas and Electric Company [Member] | Fair value [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Total long-term debt | 7,481 | 5,662 |
San Diego Gas and Electric Company [Member] | Fair value [Member] | Level 1 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Total long-term debt | 0 | 0 |
San Diego Gas and Electric Company [Member] | Fair value [Member] | Level 2 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Total long-term debt | 7,481 | 5,662 |
San Diego Gas and Electric Company [Member] | Fair value [Member] | Level 3 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Total long-term debt | 0 | 0 |
Southern California Gas Company [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Unamortized discount and debt issuance costs | 41 | 34 |
Finance lease obligations | 57 | 19 |
Southern California Gas Company [Member] | Carrying amount [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Total long-term debt | 4,759 | 3,809 |
Southern California Gas Company [Member] | Fair value [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Total long-term debt | 5,573 | 4,189 |
Southern California Gas Company [Member] | Fair value [Member] | Level 1 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Total long-term debt | 0 | 0 |
Southern California Gas Company [Member] | Fair value [Member] | Level 2 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Total long-term debt | 5,573 | 4,189 |
Southern California Gas Company [Member] | Fair value [Member] | Level 3 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Total long-term debt | $ 0 | $ 0 |
SAN ONOFRE NUCLEAR GENERATING_3
SAN ONOFRE NUCLEAR GENERATING STATION (Details) - USD ($) $ in Millions | 9 Months Ended | |
Sep. 30, 2020 | Mar. 31, 2020 | |
Jointly Owned Utility Plant Interests [Line Items] | ||
Anticipated term of dismantlement work | 10 years | |
San Diego Gas and Electric Company [Member] | ||
Jointly Owned Utility Plant Interests [Line Items] | ||
Percent of dismantlement work expense (as a percent) | 20.00% | |
ARO related to decommissioning costs | $ 593 | |
Cost study estimate decommissioning escalated | $ 860 | |
Jointly Owned Nuclear Power Plant [Member] | San Diego Gas and Electric Company [Member] | ||
Jointly Owned Utility Plant Interests [Line Items] | ||
Jointly owned utility plant, proportionate ownership share (as a percent) | 20.00% | |
SONGS 2 and 3 Decommissioning [Member] | San Diego Gas and Electric Company [Member] | ||
Jointly Owned Utility Plant Interests [Line Items] | ||
Nuclear decommissioning trust authorized withdrawal amount | $ 109 |
SAN ONOFRE NUCLEAR GENERATING_4
SAN ONOFRE NUCLEAR GENERATING STATION - NUCLEAR DECOMMISSIONING TRUSTS (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | Dec. 31, 2019 | |
Debt Securities, Available-for-sale [Line Items] | |||||
Cost | $ 784 | $ 784 | $ 729 | ||
Gross unrealized gains | 287 | 287 | 360 | ||
Gross unrealized losses | (14) | (14) | (7) | ||
Estimated fair value | 1,057 | 1,057 | 1,082 | ||
Proceeds from sales | 294 | $ 231 | 1,091 | $ 728 | |
Gross realized gains | 9 | 5 | 108 | 18 | |
Gross realized losses | (2) | $ (1) | (13) | $ (4) | |
Total debt securities [Member] | |||||
Debt Securities, Available-for-sale [Line Items] | |||||
Cost | 624 | 624 | 545 | ||
Gross unrealized gains | 33 | 33 | 21 | ||
Gross unrealized losses | (2) | (2) | (1) | ||
Estimated fair value | 655 | 655 | 565 | ||
U.S. government corporations and agencies [Member] | |||||
Debt Securities, Available-for-sale [Line Items] | |||||
Cost | 48 | 48 | 57 | ||
Gross unrealized gains | 1 | 1 | 0 | ||
Gross unrealized losses | 0 | 0 | 0 | ||
Estimated fair value | 49 | 49 | 57 | ||
Municipal bonds [Member] | |||||
Debt Securities, Available-for-sale [Line Items] | |||||
Cost | 318 | 318 | 270 | ||
Gross unrealized gains | 18 | 18 | 12 | ||
Gross unrealized losses | (1) | (1) | 0 | ||
Estimated fair value | 335 | 335 | 282 | ||
Other securities [Member] | |||||
Debt Securities, Available-for-sale [Line Items] | |||||
Cost | 258 | 258 | 218 | ||
Gross unrealized gains | 14 | 14 | 9 | ||
Gross unrealized losses | (1) | (1) | (1) | ||
Estimated fair value | 271 | 271 | 226 | ||
Equity securities [Member] | |||||
Debt Securities, Available-for-sale [Line Items] | |||||
Cost | 147 | 147 | 176 | ||
Gross unrealized gains | 254 | 254 | 339 | ||
Gross unrealized losses | (12) | (12) | (6) | ||
Estimated fair value | 389 | 389 | 509 | ||
Cash and cash equivalents [Member] | |||||
Debt Securities, Available-for-sale [Line Items] | |||||
Cost | 13 | 13 | 8 | ||
Gross unrealized gains | 0 | 0 | 0 | ||
Gross unrealized losses | 0 | 0 | 0 | ||
Estimated fair value | $ 13 | $ 13 | $ 8 |
SAN ONOFRE NUCLEAR GENERATING_5
SAN ONOFRE NUCLEAR GENERATING STATION - NUCLEAR INSURANCE (Details) - San Diego Gas and Electric Company [Member] $ in Millions | Sep. 30, 2020USD ($) |
Schedule Of Nuclear Insurance [Line Items] | |
Maximum nuclear liability insurance coverage | $ 450 |
Maximum secondary financial protection | 110 |
Maximum nuclear liability loss coverage per incident | 560 |
Nuclear property damage insurance | 130 |
Federal nuclear property damage insurance, minimum required | 50 |
Maximum premium assessment under nuclear property damage insurance | 3.5 |
Maximum nuclear property insurance terrorism coverage | $ 3,240 |
COMMITMENTS AND CONTINGENCIES -
COMMITMENTS AND CONTINGENCIES - LEGAL PROCEEDINGS (Details) | Nov. 02, 2020plaintifflawsuit | Nov. 30, 2019customer | Oct. 31, 2018plaintiff | Aug. 31, 2018USD ($) | Jan. 31, 2017lawsuit | Feb. 29, 2016USD ($) | Sep. 30, 2020USD ($)lawsuit | Sep. 30, 2020USD ($)lawsuit | Dec. 31, 2018claimant | Mar. 31, 2020USD ($) | Dec. 31, 2019USD ($) | [1] |
Loss Contingencies [Line Items] | ||||||||||||
Liability for legal proceedings | $ 444,000,000 | $ 444,000,000 | ||||||||||
Number of alleged violations | customer | 330 | |||||||||||
Reserve for Aliso Canyon costs | 268,000,000 | 268,000,000 | $ 9,000,000 | |||||||||
Guaymas-El Oror Segment, Sonora Pipeline [Member] | ||||||||||||
Loss Contingencies [Line Items] | ||||||||||||
Net book value of pipeline | $ 446,000,000 | 446,000,000 | ||||||||||
Consolidated Class Action Complaints [Member] | ||||||||||||
Loss Contingencies [Line Items] | ||||||||||||
Number of lawsuits filed | lawsuit | 2 | |||||||||||
Property Class Action [Member] | ||||||||||||
Loss Contingencies [Line Items] | ||||||||||||
Number of lawsuits filed | lawsuit | 1 | |||||||||||
Complaints Filed by Public Entities [Member] | ||||||||||||
Loss Contingencies [Line Items] | ||||||||||||
Number of lawsuits filed | lawsuit | 3 | |||||||||||
Southern California Gas Company [Member] | ||||||||||||
Loss Contingencies [Line Items] | ||||||||||||
Liability for legal proceedings | $ 299,000,000 | 299,000,000 | ||||||||||
Insurance settlements receivable | 1,279,000,000 | 1,279,000,000 | ||||||||||
Reserve for Aliso Canyon costs | 268,000,000 | 268,000,000 | $ 9,000,000 | |||||||||
Southern California Gas Company [Member] | Aliso Canyon Natural Gas Storage Facility Gas Leak [Member] | ||||||||||||
Loss Contingencies [Line Items] | ||||||||||||
Liability for legal proceedings | 273,000,000 | 273,000,000 | ||||||||||
Net book value of Aliso Canyon facility | 788,000,000 | 788,000,000 | ||||||||||
Estimate of costs | 1,440,000,000 | 1,440,000,000 | ||||||||||
Payable related to natural gas leak, noncurrent | 268,000,000 | 268,000,000 | ||||||||||
Loss contingency accrual | $ 277,000,000 | |||||||||||
Receivable related to natural gas leak | 504,000,000 | 504,000,000 | ||||||||||
Insurance proceeds | 775,000,000 | |||||||||||
Southern California Gas Company [Member] | Aliso Canyon Natural Gas Storage Facility Gas Leak [Member] | Operation and Maintenance [Member] | ||||||||||||
Loss Contingencies [Line Items] | ||||||||||||
Loss contingency accrual | 27,000,000 | 27,000,000 | 100,000,000 | |||||||||
Loss contingency accrual, after tax | $ 22,000,000 | $ 22,000,000 | 72,000,000 | |||||||||
Southern California Gas Company [Member] | Shareholder Derivative Complaint [Member] | ||||||||||||
Loss Contingencies [Line Items] | ||||||||||||
Number of lawsuits | lawsuit | 4 | 4 | ||||||||||
Southern California Gas Company [Member] | Damages from Product Defects [Member] | ||||||||||||
Loss Contingencies [Line Items] | ||||||||||||
Maximum occupational safety and health fines | $ 75,000 | |||||||||||
Penalty assessments | 233,500 | |||||||||||
Reimbursement costs | 246,673 | |||||||||||
Maximum other assessments in settlement of criminal complaint | $ 6,000,000 | |||||||||||
Southern California Gas Company [Member] | Complaints Filed by Firefighters [Member] | Aliso Canyon Natural Gas Storage Facility Gas Leak [Member] | ||||||||||||
Loss Contingencies [Line Items] | ||||||||||||
Number of plaintiffs | plaintiff | 51 | |||||||||||
Southern California Gas Company [Member] | Complaints Filed by Public Entities [Member] | Funding for Environmental Projects [Member] | ||||||||||||
Loss Contingencies [Line Items] | ||||||||||||
Settlement amount payable | $ 120,000,000 | |||||||||||
Southern California Gas Company [Member] | Complaints Filed by Public Entities [Member] | Civil Penalties [Member] | ||||||||||||
Loss Contingencies [Line Items] | ||||||||||||
Settlement amount payable | $ 21,000,000 | |||||||||||
Sempra Mexico [Member] | ECA LNG Regasification facility [Member] | ||||||||||||
Loss Contingencies [Line Items] | ||||||||||||
Number of lawsuits | lawsuit | 4 | 4 | ||||||||||
Number of plaintiffs | claimant | 2 | |||||||||||
Subsequent Event [Member] | Southern California Gas Company [Member] | Aliso Canyon Natural Gas Storage Facility Gas Leak [Member] | ||||||||||||
Loss Contingencies [Line Items] | ||||||||||||
Number of lawsuits | lawsuit | 394 | |||||||||||
Number of plaintiffs | plaintiff | 36,000 | |||||||||||
Subsequent Event [Member] | Energy Future Holdings Corp. [Member] | ||||||||||||
Loss Contingencies [Line Items] | ||||||||||||
Number of lawsuits | lawsuit | 275 | |||||||||||
Number of lawsuits filed | lawsuit | 182 | |||||||||||
Deferred Credits and Other [Member] | Southern California Gas Company [Member] | Aliso Canyon Natural Gas Storage Facility Gas Leak [Member] | ||||||||||||
Loss Contingencies [Line Items] | ||||||||||||
Reserve for Aliso Canyon costs | $ 7,000,000 | $ 7,000,000 | ||||||||||
Insurance Receivable [Member] | Southern California Gas Company [Member] | Aliso Canyon Natural Gas Storage Facility Gas Leak [Member] | ||||||||||||
Loss Contingencies [Line Items] | ||||||||||||
Loss contingency accrual | $ 177,000,000 | |||||||||||
[1] | Derived from audited financial statements. |
COMMITMENTS AND CONTINGENCIES_2
COMMITMENTS AND CONTINGENCIES - OTHER LITIGATION (Details) £ in Millions, $ in Millions | Nov. 02, 2020lawsuitproof_of_claim | Mar. 31, 2020GBP (£) | Sep. 30, 2020USD ($) | Oct. 01, 2014USD ($) | Oct. 01, 2014GBP (£) |
R B S Sempra Commodities [Member] | HMRC VAT Claim [Member] | |||||
Loss Contingencies [Line Items] | |||||
VAT tax claim paid upon appeal | $ 138 | £ 86 | |||
Plaintiffs [Member] | HMRC VAT Claim [Member] | |||||
Loss Contingencies [Line Items] | |||||
Damages awarded | £ 45 | $ 58 | |||
Energy Future Holdings Corp. [Member] | Subsequent Event [Member] | |||||
Loss Contingencies [Line Items] | |||||
Number of lawsuits | 275 | ||||
Number of lawsuits filed | 182 | ||||
Number of proof of claims | proof_of_claim | 28,000 | ||||
R B S Sempra Commodities [Member] | |||||
Loss Contingencies [Line Items] | |||||
Equity losses on investment | $ | $ 100 | ||||
Maximum [Member] | R B S Sempra Commodities [Member] | HMRC VAT Claim [Member] | |||||
Loss Contingencies [Line Items] | |||||
VAT tax claim, penalty (as a percentage) | 100.00% | 100.00% |
COMMITMENTS AND CONTINGENCIES_3
COMMITMENTS AND CONTINGENCIES - LESSEE CASH FLOW INFORMATION (Details) - USD ($) $ in Millions | 9 Months Ended | |
Sep. 30, 2020 | Sep. 30, 2019 | |
Lessee, Lease, Description [Line Items] | ||
Increase in operating lease obligations for right-of-use assets | $ 24 | $ 571 |
Increase in finance lease obligations for investment in PP&E | 72 | 27 |
San Diego Gas and Electric Company [Member] | ||
Lessee, Lease, Description [Line Items] | ||
Increase in operating lease obligations for right-of-use assets | 0 | 147 |
Increase in finance lease obligations for investment in PP&E | 26 | 12 |
Southern California Gas Company [Member] | ||
Lessee, Lease, Description [Line Items] | ||
Increase in operating lease obligations for right-of-use assets | 4 | 117 |
Increase in finance lease obligations for investment in PP&E | $ 46 | $ 15 |
COMMITMENTS AND CONTINGENCIES_4
COMMITMENTS AND CONTINGENCIES - LESSOR INFORMATION (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Lessee, Lease, Description [Line Items] | ||||
Minimum lease payments | $ 48 | $ 51 | $ 145 | $ 150 |
Variable lease payments | 1 | 0 | 1 | 6 |
Total revenues from operating leases | 49 | 51 | 146 | 156 |
Assets Leased to Others [Member] | ||||
Lessee, Lease, Description [Line Items] | ||||
Depreciation | $ 10 | $ 10 | $ 29 | $ 29 |
COMMITMENTS AND CONTINGENCIES_5
COMMITMENTS AND CONTINGENCIES - CONTRACTUAL COMMITMENTS (Details) $ in Millions | 9 Months Ended |
Sep. 30, 2020USD ($) | |
SoCalGas [Member] | Natural Gas Minimum Purchase Obligation Contracts [Member] | |
Loss Contingencies [Line Items] | |
Increase in contractual commitments | $ 54 |
Change in 2020 | 11 |
Change in 2021 | 43 |
SoCalGas [Member] | Natural Gas Interstate Pipeline Capacity Agreements [Member] | |
Loss Contingencies [Line Items] | |
Increase in contractual commitments | 597 |
Change in 2020 | (90) |
Change in 2021 | 17 |
Change in 2022 | 88 |
Change in 2023 | 100 |
Change in 2024 | 90 |
Change thereafter | 392 |
Sempra LNG [Member] | Natural Gas Storage and Transportation Contracts [Member] | |
Loss Contingencies [Line Items] | |
Increase in contractual commitments | 567 |
Change in 2020 | (44) |
Change in 2021 | 73 |
Change in 2022 | 38 |
Change in 2023 | 34 |
Change in 2024 | 30 |
Change thereafter | 436 |
Sempra LNG [Member] | Liquefied Natural Gas Contracts [Member] | |
Loss Contingencies [Line Items] | |
Change in 2020 | (238) |
Change in 2021 | 94 |
Change in 2022 | 40 |
Change in 2023 | 7 |
Change in 2024 | (12) |
Change thereafter | $ (56) |
SEGMENT INFORMATION (Details)
SEGMENT INFORMATION (Details) $ in Millions | 1 Months Ended | 3 Months Ended | 9 Months Ended | 17 Months Ended | |||||
Apr. 30, 2019segment | Sep. 30, 2020USD ($) | Sep. 30, 2019USD ($) | Sep. 30, 2020USD ($)segment | Sep. 30, 2019USD ($) | Sep. 30, 2020USD ($)segment | Dec. 31, 2019USD ($) | May 16, 2019 | ||
Segment Reporting Information [Line Items] | |||||||||
Number of reportable segments | segment | 6 | 5 | 5 | ||||||
Segment Reporting Information, Profit (Loss) [Abstract] | |||||||||
REVENUES | $ 2,644 | $ 2,758 | $ 8,199 | $ 7,886 | |||||
INTEREST EXPENSE | 264 | 279 | 818 | 797 | |||||
INTEREST INCOME | 27 | 22 | 76 | 64 | |||||
DEPRECIATION AND AMORTIZATION | 418 | 402 | 1,242 | 1,174 | |||||
Income tax expense from continuing operations | 99 | 61 | 60 | 150 | |||||
Equity earnings (losses), before income tax: | 117 | 17 | 158 | 24 | |||||
Equity earnings, net of income tax: | 209 | 249 | 664 | 461 | |||||
Equity earnings | 326 | 266 | 822 | 485 | |||||
EARNINGS (LOSSES) ATTRIBUTABLE TO COMMON SHARES | 351 | 813 | 3,350 | 1,608 | |||||
Discontinued operations | (7) | 248 | 1,840 | 267 | |||||
Segment Reporting Information, Additional Information [Abstract] | |||||||||
EXPENDITURES FOR PROPERTY, PLANT & EQUIPMENT | 3,313 | 2,590 | |||||||
ASSETS | 67,222 | 67,222 | $ 67,222 | $ 65,665 | [1] | ||||
EQUITY METHOD AND OTHER INVESTMENTS | 13,417 | 13,417 | 13,417 | 13,622 | |||||
Operating Segments [Member] | SDG&E [Member] | |||||||||
Segment Reporting Information, Profit (Loss) [Abstract] | |||||||||
REVENUES | 1,472 | 1,427 | 3,976 | 3,666 | |||||
INTEREST EXPENSE | 103 | 106 | 307 | 311 | |||||
INTEREST INCOME | 1 | 1 | 2 | 3 | |||||
DEPRECIATION AND AMORTIZATION | 200 | 196 | 598 | 571 | |||||
Income tax expense from continuing operations | 33 | 71 | 161 | 111 | |||||
EARNINGS (LOSSES) ATTRIBUTABLE TO COMMON SHARES | 178 | 263 | 633 | 582 | |||||
Segment Reporting Information, Additional Information [Abstract] | |||||||||
EXPENDITURES FOR PROPERTY, PLANT & EQUIPMENT | 1,323 | 1,071 | |||||||
ASSETS | 22,421 | 22,421 | 22,421 | 20,560 | |||||
Operating Segments [Member] | SoCalGas [Member] | |||||||||
Segment Reporting Information, Profit (Loss) [Abstract] | |||||||||
REVENUES | 842 | 975 | 3,247 | 3,142 | |||||
INTEREST EXPENSE | 39 | 36 | 119 | 104 | |||||
INTEREST INCOME | 0 | 0 | 2 | 1 | |||||
DEPRECIATION AND AMORTIZATION | 165 | 154 | 486 | 449 | |||||
Income tax expense from continuing operations | (6) | 35 | 95 | 50 | |||||
EARNINGS (LOSSES) ATTRIBUTABLE TO COMMON SHARES | (24) | 143 | 425 | 437 | |||||
Segment Reporting Information, Additional Information [Abstract] | |||||||||
EXPENDITURES FOR PROPERTY, PLANT & EQUIPMENT | 1,345 | 1,019 | |||||||
ASSETS | 17,943 | 17,943 | 17,943 | 17,077 | |||||
Operating Segments [Member] | Sempra Texas Utilities [Member] | |||||||||
Segment Reporting Information, Profit (Loss) [Abstract] | |||||||||
Equity earnings (losses), before income tax: | 1 | 0 | 1 | 1 | |||||
Equity earnings, net of income tax: | 208 | 212 | 457 | 418 | |||||
EARNINGS (LOSSES) ATTRIBUTABLE TO COMMON SHARES | 209 | 212 | 458 | 419 | |||||
Segment Reporting Information, Additional Information [Abstract] | |||||||||
ASSETS | 12,063 | 12,063 | 12,063 | 11,619 | |||||
EQUITY METHOD AND OTHER INVESTMENTS | 12,063 | 12,063 | 12,063 | 11,619 | |||||
Operating Segments [Member] | Sempra Mexico [Member] | |||||||||
Segment Reporting Information, Profit (Loss) [Abstract] | |||||||||
REVENUES | 351 | 357 | 935 | 1,058 | |||||
INTEREST EXPENSE | 31 | 30 | 95 | 89 | |||||
INTEREST INCOME | 14 | 20 | 47 | 58 | |||||
DEPRECIATION AND AMORTIZATION | 47 | 46 | 141 | 136 | |||||
Income tax expense from continuing operations | 92 | 0 | (161) | 116 | |||||
Equity earnings, net of income tax: | 1 | 37 | 207 | 43 | |||||
EARNINGS (LOSSES) ATTRIBUTABLE TO COMMON SHARES | 50 | 84 | 302 | 214 | |||||
Segment Reporting Information, Additional Information [Abstract] | |||||||||
EXPENDITURES FOR PROPERTY, PLANT & EQUIPMENT | 443 | 420 | |||||||
ASSETS | 10,730 | 10,730 | 10,730 | 9,938 | |||||
EQUITY METHOD AND OTHER INVESTMENTS | 920 | 920 | 920 | 741 | |||||
Operating Segments [Member] | Sempra Renewables [Member] | |||||||||
Segment Reporting Information, Profit (Loss) [Abstract] | |||||||||
REVENUES | 0 | 0 | 0 | 10 | |||||
INTEREST EXPENSE | 0 | 0 | 0 | 3 | |||||
INTEREST INCOME | 0 | 0 | 0 | 11 | |||||
Income tax expense from continuing operations | 0 | 0 | 0 | 4 | |||||
Equity earnings (losses), before income tax: | 0 | 0 | 0 | 5 | |||||
EARNINGS (LOSSES) ATTRIBUTABLE TO COMMON SHARES | 0 | 0 | 0 | 59 | |||||
Segment Reporting Information, Additional Information [Abstract] | |||||||||
EXPENDITURES FOR PROPERTY, PLANT & EQUIPMENT | 0 | 2 | |||||||
Operating Segments [Member] | Sempra LNG [Member] | |||||||||
Segment Reporting Information, Profit (Loss) [Abstract] | |||||||||
REVENUES | 63 | 100 | 255 | 327 | |||||
INTEREST EXPENSE | 8 | 11 | 39 | 18 | |||||
INTEREST INCOME | 25 | 15 | 65 | 45 | |||||
DEPRECIATION AND AMORTIZATION | 2 | 2 | 7 | 7 | |||||
Income tax expense from continuing operations | 18 | (2) | 59 | 4 | |||||
Equity earnings (losses), before income tax: | 116 | 17 | 257 | 19 | |||||
EARNINGS (LOSSES) ATTRIBUTABLE TO COMMON SHARES | 71 | 2 | 207 | 13 | |||||
Segment Reporting Information, Additional Information [Abstract] | |||||||||
EXPENDITURES FOR PROPERTY, PLANT & EQUIPMENT | 196 | 74 | |||||||
ASSETS | 3,643 | 3,643 | 3,643 | 3,901 | |||||
EQUITY METHOD AND OTHER INVESTMENTS | 433 | 433 | 433 | 1,256 | |||||
Corporate, Non-Segment [Member] | |||||||||
Segment Reporting Information, Profit (Loss) [Abstract] | |||||||||
REVENUES | 0 | 1 | 1 | 1 | |||||
INTEREST EXPENSE | 93 | 117 | 304 | 336 | |||||
INTEREST INCOME | 0 | 1 | 3 | 2 | |||||
DEPRECIATION AND AMORTIZATION | 4 | 4 | 10 | 11 | |||||
Income tax expense from continuing operations | (38) | (43) | (94) | (135) | |||||
Equity earnings (losses), before income tax: | 0 | 0 | (100) | (1) | |||||
EARNINGS (LOSSES) ATTRIBUTABLE TO COMMON SHARES | (126) | (139) | (515) | (383) | |||||
Segment Reporting Information, Additional Information [Abstract] | |||||||||
EXPENDITURES FOR PROPERTY, PLANT & EQUIPMENT | 6 | 4 | |||||||
ASSETS | 2,398 | 2,398 | 2,398 | 749 | |||||
EQUITY METHOD AND OTHER INVESTMENTS | 1 | 1 | 1 | 6 | |||||
Segment Reconciling Items [Member] | |||||||||
Segment Reporting Information, Profit (Loss) [Abstract] | |||||||||
REVENUES | 2 | (2) | 0 | (3) | |||||
Discontinued operations | (7) | 248 | 1,840 | 267 | |||||
Segment Reporting Information, Additional Information [Abstract] | |||||||||
Discontinued operations | 0 | 0 | 0 | 3,958 | |||||
Intersegment eliminations [Member] | |||||||||
Segment Reporting Information, Profit (Loss) [Abstract] | |||||||||
REVENUES | (86) | (100) | (215) | (315) | |||||
INTEREST EXPENSE | (10) | (21) | (46) | (64) | |||||
INTEREST INCOME | (13) | (15) | (43) | (56) | |||||
Segment Reporting Information, Additional Information [Abstract] | |||||||||
ASSETS | (1,976) | (1,976) | $ (1,976) | $ (2,137) | |||||
Intersegment eliminations [Member] | SDG&E [Member] | |||||||||
Segment Reporting Information, Profit (Loss) [Abstract] | |||||||||
REVENUES | 1 | 1 | 4 | 4 | |||||
Intersegment eliminations [Member] | SoCalGas [Member] | |||||||||
Segment Reporting Information, Profit (Loss) [Abstract] | |||||||||
REVENUES | 23 | 16 | 61 | 50 | |||||
Intersegment eliminations [Member] | Sempra Mexico [Member] | |||||||||
Segment Reporting Information, Profit (Loss) [Abstract] | |||||||||
REVENUES | 12 | 29 | 69 | 89 | |||||
Intersegment eliminations [Member] | Sempra LNG [Member] | |||||||||
Segment Reporting Information, Profit (Loss) [Abstract] | |||||||||
REVENUES | $ 50 | $ 54 | $ 81 | $ 172 | |||||
Oncor Electric Delivery Company LLC. [Member] | Oncor Holdings [Member] | Sempra Texas Utilities [Member] | |||||||||
Segment Reporting Information [Line Items] | |||||||||
Ownership interest (as a percent) | 80.25% | 80.25% | 80.25% | ||||||
Sharyland Holdings, LP [Member] | Sempra Texas Utilities [Member] | |||||||||
Segment Reporting Information [Line Items] | |||||||||
Acquired percentage interest | 50.00% | ||||||||
[1] | Derived from audited financial statements. |