COVER
COVER - shares | 9 Months Ended | |
Sep. 30, 2023 | Oct. 31, 2023 | |
Document Information [Line Items] | ||
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Sep. 30, 2023 | |
Document Transition Report | false | |
Entity File Number | 1-14201 | |
Entity Registrant Name | SEMPRA | |
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 | 629,328,058 | |
Amendment Flag | false | |
Document Fiscal Year Focus | 2023 | |
Document Fiscal Period Focus | Q3 | |
Current Fiscal Year End Date | --12-31 | |
Entity Central Index Key | 0001032208 | |
San Diego Gas and Electric Company | ||
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 | 8330 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 | ||
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 5th 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 | ||
Document Information [Line Items] | ||
Title of 12(b) Security | Common Stock, without par value | |
Trading Symbol | SRE | |
Security Exchange Name | NYSE | |
5.75% Junior Subordinated Notes Due 2079 | ||
Document Information [Line Items] | ||
Title of 12(b) Security | 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, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
REVENUES | ||||
Natural gas | $ 1,488 | $ 1,587 | $ 7,560 | $ 5,611 |
Electric | 1,250 | 1,357 | 3,331 | 3,663 |
Energy-related businesses | 596 | 673 | 2,338 | 1,710 |
Total revenues | 3,334 | 3,617 | 13,229 | 10,984 |
Operating expenses: | ||||
Operation and maintenance | (1,383) | (1,206) | (3,958) | (3,454) |
Aliso Canyon litigation and regulatory matters | 0 | (122) | 0 | (259) |
Depreciation and amortization | (563) | (506) | (1,651) | (1,500) |
Franchise fees and other taxes | (169) | (162) | (509) | (474) |
Other income (expense), net | 3 | (40) | 75 | (3) |
Interest income | 19 | 18 | 60 | 58 |
Interest expense | (312) | (282) | (995) | (796) |
Income before income taxes and equity earnings | 323 | 165 | 2,175 | 1,194 |
Income tax benefit (expense) | 52 | (21) | (499) | (435) |
Equity earnings | 479 | 417 | 1,086 | 1,118 |
Net income | 854 | 561 | 2,762 | 1,877 |
Earnings attributable to noncontrolling interests | (122) | (65) | (435) | (187) |
Preferred dividends | (11) | (11) | (33) | (33) |
Preferred dividends of subsidiary | 0 | 0 | (1) | (1) |
Earnings attributable to common shares | $ 721 | $ 485 | $ 2,293 | $ 1,656 |
Basic EPS: | ||||
Earnings (in dollars per share) | $ 1.14 | $ 0.77 | $ 3.64 | $ 2.63 |
Weighted-average common shares outstanding (in shares) | 630,036 | 629,447 | 629,963 | 630,603 |
Diluted EPS: | ||||
Earnings (in dollars per share) | $ 1.14 | $ 0.77 | $ 3.63 | $ 2.62 |
Weighted-average common shares outstanding (in shares) | 632,324 | 632,175 | 632,231 | 632,914 |
Natural gas | ||||
Operating expenses: | ||||
Operating expenses | $ (260) | $ (505) | $ (3,254) | $ (1,835) |
Electric fuel and purchased power | ||||
Operating expenses: | ||||
Operating expenses | (183) | (307) | (385) | (763) |
Energy-related businesses | ||||
Operating expenses: | ||||
Operating expenses | $ (163) | $ (340) | $ (437) | $ (764) |
CONDENSED CONSOLIDATED STATEM_2
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Net income | $ 854 | $ 561 | $ 2,762 | $ 1,877 |
Other comprehensive income (loss): | ||||
Foreign currency translation adjustments | (7) | (1) | 22 | 5 |
Financial instruments | 315 | 66 | 321 | 227 |
Pension and other postretirement benefits | 1 | 2 | (10) | 13 |
Total other comprehensive income | 309 | 67 | 333 | 245 |
Comprehensive income | 1,163 | 628 | 3,095 | 2,122 |
Preferred dividends of subsidiary | (1) | (1) | ||
Comprehensive income | 3,094 | 2,121 | ||
Pretax amount | ||||
Net income | 680 | 517 | 2,826 | 2,125 |
Other comprehensive income (loss): | ||||
Foreign currency translation adjustments | (5) | 0 | 16 | 5 |
Financial instruments | 150 | 60 | 158 | 227 |
Pension and other postretirement benefits | 2 | 2 | (8) | 15 |
Total other comprehensive income | 147 | 62 | 166 | 247 |
Comprehensive income | 827 | 579 | 2,992 | 2,372 |
Preferred dividends of subsidiary | (1) | (1) | ||
Comprehensive income | 2,991 | 2,371 | ||
Income tax benefit (expense) | ||||
Net income | 52 | (21) | (499) | (435) |
Other comprehensive income (loss): | ||||
Foreign currency translation adjustments | 0 | 0 | 0 | 0 |
Financial instruments | (39) | (15) | (43) | (56) |
Pension and other postretirement benefits | (1) | 0 | (2) | (2) |
Total other comprehensive income | (40) | (15) | (45) | (58) |
Comprehensive income | 12 | (36) | (544) | (493) |
Preferred dividends of subsidiary | 0 | 0 | ||
Comprehensive income | (544) | (493) | ||
Net-of-tax amount | ||||
Net income | 732 | 496 | 2,327 | 1,690 |
Other comprehensive income (loss): | ||||
Foreign currency translation adjustments | (5) | 0 | 16 | 5 |
Financial instruments | 111 | 45 | 115 | 171 |
Pension and other postretirement benefits | 1 | 2 | (10) | 13 |
Total other comprehensive income | 107 | 47 | 121 | 189 |
Comprehensive income | 839 | 543 | 2,448 | 1,879 |
Preferred dividends of subsidiary | (1) | (1) | ||
Comprehensive income | 2,447 | 1,878 | ||
Noncontrolling interests (after tax) | ||||
Net income | 122 | 65 | 435 | 187 |
Other comprehensive income (loss): | ||||
Foreign currency translation adjustments | (2) | (1) | 6 | 0 |
Financial instruments | 204 | 21 | 206 | 56 |
Pension and other postretirement benefits | 0 | 0 | 0 | 0 |
Total other comprehensive income | 202 | 20 | 212 | 56 |
Comprehensive income | $ 324 | $ 85 | 647 | 243 |
Preferred dividends of subsidiary | 0 | 0 | ||
Comprehensive income | $ 647 | $ 243 |
CONDENSED CONSOLIDATED BALANCE
CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) $ in Millions | Sep. 30, 2023 | Dec. 31, 2022 | |
Current assets: | |||
Cash and cash equivalents | $ 1,149 | $ 370 | [1] |
Restricted cash | 238 | 40 | [1] |
Accounts receivable – trade, net | 1,939 | 2,635 | [1] |
Accounts receivable – other, net | 498 | 685 | [1] |
Due from unconsolidated affiliates | 42 | 54 | [1] |
Income taxes receivable | 72 | 113 | [1] |
Inventories | 451 | 403 | [1] |
Prepaid expenses | 325 | 268 | [1] |
Regulatory assets | 190 | 351 | [1] |
Fixed-price contracts and other derivatives | 201 | 803 | [1] |
Greenhouse gas allowances | 144 | 141 | [1] |
Other current assets | 61 | 49 | [1] |
Total current assets | 5,310 | 5,912 | [1] |
Other assets: | |||
Restricted cash | 104 | 52 | [1] |
Regulatory assets | 3,277 | 2,588 | [1] |
Greenhouse gas allowances | 1,219 | 796 | [1] |
Nuclear decommissioning trusts | 827 | 841 | [1] |
Dedicated assets in support of certain benefit plans | 513 | 505 | [1] |
Deferred income taxes | 155 | 135 | [1] |
Right-of-use assets – operating leases | 721 | 655 | [1] |
Investment in Oncor Holdings | 14,148 | 13,665 | [1] |
Other investments | 2,208 | 2,012 | [1] |
Goodwill | 1,602 | 1,602 | [1] |
Other intangible assets | 324 | 344 | [1] |
Wildfire fund | 281 | 303 | [1] |
Other long-term assets | 1,874 | 1,382 | [1] |
Total other assets | 27,253 | 24,880 | [1] |
Property, plant and equipment: | |||
Property, plant and equipment | 70,348 | 63,893 | [1] |
Less accumulated depreciation and amortization | (17,176) | (16,111) | [1] |
Property, plant and equipment, net | 53,172 | 47,782 | [1] |
Total assets | 85,735 | 78,574 | [1] |
Current liabilities: | |||
Short-term debt | 1,977 | 3,352 | [1] |
Accounts payable – trade | 2,234 | 1,994 | [1] |
Accounts payable – other | 219 | 275 | [1] |
Dividends and interest payable | 734 | 621 | [1] |
Accrued compensation and benefits | 496 | 484 | [1] |
Regulatory liabilities | 529 | 504 | [1] |
Current portion of long-term debt and finance leases | 974 | 1,019 | [1] |
Reserve for Aliso Canyon costs | 126 | 129 | [1] |
Greenhouse gas obligations | 144 | 141 | [1] |
Total current liabilities | 8,765 | 9,899 | [1] |
Long-term debt and finance leases | 27,703 | 24,548 | [1] |
Deferred credits and other liabilities: | |||
Due to unconsolidated affiliates | 303 | 301 | [1] |
Regulatory liabilities | 3,468 | 3,341 | [1] |
Greenhouse gas obligations | 942 | 565 | [1] |
Pension and other postretirement benefit plan obligations, net of plan assets | 309 | 410 | [1] |
Deferred income taxes | 5,095 | 4,591 | [1] |
Asset retirement obligations | 3,584 | 3,546 | [1] |
Deferred credits and other | 2,308 | 2,117 | [1] |
Total deferred credits and other liabilities | 16,009 | 14,871 | [1] |
Commitments and contingencies | [1] | ||
Equity: | |||
Common stock | 12,038 | 12,160 | [1] |
Retained earnings | 15,371 | 14,201 | [1] |
Accumulated other comprehensive income (loss) | (60) | (135) | [1] |
Total shareholders’ equity | 28,238 | 27,115 | [1] |
Preferred stock of subsidiary | 20 | 20 | [1] |
Other noncontrolling interests | 5,000 | 2,121 | [1] |
Total equity | 33,258 | 29,256 | [1] |
Total liabilities and equity | 85,735 | 78,574 | [1] |
Related Party | |||
Current assets: | |||
Due from unconsolidated affiliates | 42 | 54 | |
Current liabilities: | |||
Other current liabilities | 5 | 0 | [1] |
Nonrelated Party | |||
Current liabilities: | |||
Other current liabilities | 1,327 | 1,380 | [1] |
Series C Preferred Stock | |||
Equity: | |||
Preferred stock | $ 889 | $ 889 | [1] |
[1]Derived from audited financial statements. |
CONDENSED CONSOLIDATED BALANC_2
CONDENSED CONSOLIDATED BALANCE SHEETS (Parentheticals) - shares | Sep. 30, 2023 | Dec. 31, 2022 |
Stockholders' Equity Attributable to Parent [Abstract] | ||
Preferred stock, shares authorized (in shares) | 50,000,000 | 50,000,000 |
Common stock, shares authorized (in shares) | 1,125,000,000 | 1,125,000,000 |
Common stock, shares outstanding (in shares) | 629,328,058 | 628,669,356 |
Series C Preferred Stock | ||
Stockholders' Equity Attributable to Parent [Abstract] | ||
Preferred stock, shares outstanding (in shares) | 900,000 | 900,000 |
CONDENSED CONSOLIDATED STATEM_3
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Millions | 9 Months Ended | |
Sep. 30, 2023 | Sep. 30, 2022 | |
CASH FLOWS FROM OPERATING ACTIVITIES | ||
Net income | $ 2,762 | $ 1,877 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Depreciation and amortization | 1,651 | 1,500 |
Deferred income taxes and investment tax credits | 234 | 387 |
Equity earnings | (1,086) | (1,118) |
Foreign currency transaction (gains) losses, net | (1) | 18 |
Share-based compensation expense | 53 | 49 |
Fixed-price contracts and other derivatives | (580) | 200 |
Bad debt expense | 368 | 110 |
Other | 7 | 47 |
Reserve for Aliso Canyon costs | (3) | (1,835) |
Net change in other working capital components | 1,613 | (267) |
Insurance receivable for Aliso Canyon costs | 0 | 350 |
Distributions from investments | 668 | 643 |
Changes in other noncurrent assets and liabilities, net | (557) | (506) |
Net cash provided by operating activities | 5,129 | 1,455 |
CASH FLOWS FROM INVESTING ACTIVITIES | ||
Expenditures for property, plant and equipment | (6,074) | (3,540) |
Expenditures for investments | (281) | (275) |
Purchases of nuclear decommissioning and other trust assets | (462) | (530) |
Proceeds from sales of nuclear decommissioning and other trust assets | 503 | 530 |
Repayments of advances to unconsolidated affiliates | 0 | 626 |
Other | 10 | 6 |
Net cash used in investing activities | (6,304) | (3,183) |
CASH FLOWS FROM FINANCING ACTIVITIES | ||
Common dividends paid | (1,109) | (1,070) |
Preferred dividends paid | (22) | (22) |
Issuances of common stock | 0 | 4 |
Repurchases of common stock | (32) | (478) |
Issuances of debt (maturities greater than 90 days) | 6,911 | 6,711 |
Payments on debt (maturities greater than 90 days) and finance leases | (6,018) | (3,365) |
Increase (decrease) in short-term debt, net | 629 | (1,438) |
Advances from unconsolidated affiliates | 31 | 28 |
Proceeds from sales of noncontrolling interests | 1,238 | 1,732 |
Distributions to noncontrolling interests | (289) | (146) |
Contributions from noncontrolling interests | 1,036 | 15 |
Settlement of cross-currency swaps | (99) | 0 |
Other | (78) | (35) |
Net cash provided by financing activities | 2,198 | 1,936 |
Effect of exchange rate changes on cash, cash equivalents and restricted cash | 6 | (3) |
Increase in cash, cash equivalents and restricted cash | 1,029 | 205 |
Cash, cash equivalents and restricted cash, January 1 | 462 | 581 |
Cash, cash equivalents and restricted cash, September 30 | 1,491 | 786 |
SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION | ||
Interest payments, net of amounts capitalized | 836 | 732 |
Income tax payments, net of refunds | 162 | 241 |
SUPPLEMENTAL DISCLOSURE OF NONCASH INVESTING AND FINANCING ACTIVITIES | ||
Repayment of advances from unconsolidated affiliate in lieu of distribution | 36 | 32 |
Accrued capital expenditures | 1,200 | 738 |
Increase in finance lease obligations for investment in PP&E | 47 | 33 |
(Decrease) increase in ARO for investment in PP&E | (15) | 49 |
Contributions from NCI | 200 | 0 |
Sale of NCI post-closing adjustment payable | 11 | 0 |
Preferred stock | ||
SUPPLEMENTAL DISCLOSURE OF NONCASH INVESTING AND FINANCING ACTIVITIES | ||
Dividends declared but not paid | 22 | 22 |
Common stock | ||
SUPPLEMENTAL DISCLOSURE OF NONCASH INVESTING AND FINANCING ACTIVITIES | ||
Dividends declared but not paid | $ 374 | $ 360 |
CONDENSED CONSOLIDATED STATEM_4
CONDENSED CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY - USD ($) $ in Millions | Total | Series C Preferred Stock | Preferred stock | Common stock | Retained earnings | Retained earnings Series C Preferred Stock | Accumulated other comprehensive income (loss) | Sempra shareholders' equity | Sempra shareholders' equity Series C Preferred Stock | Non- controlling interests | |
Beginning Balance at Dec. 31, 2021 | $ 27,419 | $ 889 | $ 11,862 | $ 13,548 | $ (318) | $ 25,981 | $ 1,438 | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||||
Net income | 1,877 | 1,690 | 1,690 | 187 | |||||||
Other comprehensive (loss) income | 245 | 189 | 189 | 56 | |||||||
Share-based compensation expense | 49 | 49 | 49 | ||||||||
Dividends declared: | |||||||||||
Preferred dividends | $ (33) | $ (33) | $ (33) | ||||||||
Common stock dividends declared | (1,081) | (1,081) | (1,081) | ||||||||
Preferred dividends of subsidiary | (1) | (1) | (1) | ||||||||
Issuances of common stock | 4 | 4 | 4 | ||||||||
Repurchases of common stock | (478) | (478) | (478) | ||||||||
Noncontrolling interest activities: | |||||||||||
Contributions | 15 | 15 | |||||||||
Distributions | (146) | (146) | |||||||||
Sale | 1,419 | 701 | 9 | 710 | 709 | ||||||
Ending balance at Sep. 30, 2022 | 29,289 | 889 | 12,138 | 14,123 | (120) | 27,030 | 2,259 | ||||
Beginning Balance at Jun. 30, 2022 | 29,053 | 889 | 12,121 | 13,998 | (167) | 26,841 | 2,212 | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||||
Net income | 561 | 496 | 496 | 65 | |||||||
Other comprehensive (loss) income | 67 | 47 | 47 | 20 | |||||||
Share-based compensation expense | 17 | 17 | 17 | ||||||||
Dividends declared: | |||||||||||
Preferred dividends | (11) | (11) | (11) | ||||||||
Common stock dividends declared | (360) | (360) | (360) | ||||||||
Issuances of common stock | 1 | 1 | 1 | ||||||||
Repurchases of common stock | (2) | (2) | (2) | ||||||||
Noncontrolling interest activities: | |||||||||||
Contributions | 2 | 2 | |||||||||
Distributions | (40) | (40) | |||||||||
Sale | 1 | 1 | 1 | ||||||||
Ending balance at Sep. 30, 2022 | 29,289 | 889 | 12,138 | 14,123 | (120) | 27,030 | 2,259 | ||||
Beginning Balance at Dec. 31, 2022 | 29,256 | [1] | 889 | 12,160 | 14,201 | (135) | 27,115 | 2,141 | |||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||||
Net income | 2,762 | 2,327 | 2,327 | 435 | |||||||
Other comprehensive (loss) income | 333 | 121 | 121 | 212 | |||||||
Share-based compensation expense | 53 | 53 | 53 | ||||||||
Dividends declared: | |||||||||||
Preferred dividends | (33) | (33) | (33) | ||||||||
Common stock dividends declared | (1,123) | (1,123) | (1,123) | ||||||||
Preferred dividends of subsidiary | (1) | (1) | (1) | ||||||||
Repurchases of common stock | (32) | (32) | (32) | ||||||||
Noncontrolling interest activities: | |||||||||||
Contributions | 1,091 | (145) | (145) | 1,236 | |||||||
Distributions | (289) | (289) | |||||||||
Sale | 1,241 | 2 | (46) | (44) | 1,285 | ||||||
Ending balance at Sep. 30, 2023 | 33,258 | 889 | 12,038 | 15,371 | (60) | 28,238 | 5,020 | ||||
Beginning Balance at Jun. 30, 2023 | 31,014 | 889 | 12,044 | 15,024 | (121) | 27,836 | 3,178 | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||||
Net income | 854 | 732 | 732 | 122 | |||||||
Other comprehensive (loss) income | 309 | 107 | 107 | 202 | |||||||
Share-based compensation expense | 22 | 22 | 22 | ||||||||
Dividends declared: | |||||||||||
Preferred dividends | $ (11) | $ (11) | $ (11) | ||||||||
Common stock dividends declared | (374) | (374) | (374) | ||||||||
Repurchases of common stock | (1) | (1) | (1) | ||||||||
Noncontrolling interest activities: | |||||||||||
Contributions | 496 | (11) | (11) | 507 | |||||||
Distributions | (37) | (37) | |||||||||
Sale | 986 | (16) | (46) | (62) | 1,048 | ||||||
Ending balance at Sep. 30, 2023 | $ 33,258 | $ 889 | $ 12,038 | $ 15,371 | $ (60) | $ 28,238 | $ 5,020 | ||||
[1]Derived from audited financial statements. |
CONDENSED CONSOLIDATED STATEM_5
CONDENSED CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY (Parenthetical) - $ / shares | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Dividends declared per share of common stock (in dollars per share) | $ 0.60 | $ 0.57 | $ 1.79 | $ 1.72 |
Series C Preferred Stock | ||||
Dividends declared per share of preferred stock (in dollars per share) | $ 12.19 | $ 12.19 | $ 36.57 | $ 36.57 |
CONDENSED STATEMENTS OF OPERATI
CONDENSED STATEMENTS OF OPERATIONS - SDG&E - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
REVENUES | ||||
Electric | $ 1,250 | $ 1,357 | $ 3,331 | $ 3,663 |
Natural gas | 1,488 | 1,587 | 7,560 | 5,611 |
Operating expenses: | ||||
Other Income (Expense), Net | 3 | (40) | 75 | (3) |
Interest income | 19 | 18 | 60 | 58 |
Interest expense | (312) | (282) | (995) | (796) |
Income before income taxes and equity earnings | 323 | 165 | 2,175 | 1,194 |
Income tax benefit (expense) | 52 | (21) | (499) | (435) |
Net income | 854 | 561 | 2,762 | 1,877 |
Earnings attributable to common shares | 721 | 485 | 2,293 | 1,656 |
San Diego Gas and Electric Company | ||||
REVENUES | ||||
Electric | 1,254 | 1,360 | 3,343 | 3,672 |
Natural gas | 188 | 209 | 1,014 | 741 |
Operating revenues | 1,442 | 1,569 | 4,357 | 4,413 |
Operating expenses: | ||||
Cost of electric fuel and purchased power | 200 | 316 | 442 | 806 |
Cost of natural gas | 45 | 65 | 462 | 260 |
Operation and maintenance | 463 | 439 | 1,364 | 1,256 |
Depreciation and amortization | 280 | 247 | 810 | 730 |
Franchise fees and other taxes | 101 | 97 | 287 | 277 |
Total operating expenses | 1,089 | 1,164 | 3,365 | 3,329 |
Operating income (loss) | 353 | 405 | 992 | 1,084 |
Other Income (Expense), Net | 25 | 12 | 75 | 68 |
Interest income | 7 | 2 | 12 | 3 |
Interest expense | (126) | (113) | (367) | (333) |
Income before income taxes and equity earnings | 259 | 306 | 712 | 822 |
Income tax benefit (expense) | 15 | (35) | 4 | (141) |
Net income | 274 | 271 | 716 | 681 |
Earnings attributable to common shares | $ 274 | $ 271 | $ 716 | $ 681 |
CONDENSED STATEMENTS OF COMPREH
CONDENSED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) - SDG&E - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Net income | $ 854 | $ 561 | $ 2,762 | $ 1,877 |
Comprehensive income | 3,094 | 2,121 | ||
Pension and other postretirement benefits | 1 | 2 | (10) | 13 |
Total other comprehensive (loss) income | 309 | 67 | 333 | 245 |
Pretax amount | ||||
Net income | 680 | 517 | 2,826 | 2,125 |
Comprehensive income | 2,991 | 2,371 | ||
Pension and other postretirement benefits | 2 | 2 | (8) | 15 |
Total other comprehensive (loss) income | 147 | 62 | 166 | 247 |
Income tax benefit (expense) | ||||
Net income | 52 | (21) | (499) | (435) |
Comprehensive income | (544) | (493) | ||
Pension and other postretirement benefits | (1) | 0 | (2) | (2) |
Total other comprehensive (loss) income | (40) | (15) | (45) | (58) |
Net-of-tax amount | ||||
Net income | 732 | 496 | 2,327 | 1,690 |
Comprehensive income | 2,447 | 1,878 | ||
Pension and other postretirement benefits | 1 | 2 | (10) | 13 |
Total other comprehensive (loss) income | 107 | 47 | 121 | 189 |
San Diego Gas and Electric Company | ||||
Net income | 274 | 271 | 716 | 681 |
Total other comprehensive (loss) income | 1 | 1 | ||
San Diego Gas and Electric Company | Pretax amount | ||||
Net income | 259 | 306 | 712 | 822 |
Comprehensive income | 259 | 307 | 712 | 823 |
Pension and other postretirement benefits | 1 | 1 | ||
Total other comprehensive (loss) income | 1 | 1 | ||
San Diego Gas and Electric Company | Income tax benefit (expense) | ||||
Net income | 15 | (35) | 4 | (141) |
Comprehensive income | 15 | (35) | 4 | (141) |
Pension and other postretirement benefits | 0 | 0 | ||
Total other comprehensive (loss) income | 0 | 0 | ||
San Diego Gas and Electric Company | Net-of-tax amount | ||||
Net income | 274 | 271 | 716 | 681 |
Comprehensive income | $ 274 | 272 | $ 716 | 682 |
Pension and other postretirement benefits | 1 | 1 | ||
Total other comprehensive (loss) income | $ 1 | $ 1 |
CONDENSED BALANCE SHEETS - SDG&
CONDENSED BALANCE SHEETS - SDG&E - USD ($) $ in Millions | Sep. 30, 2023 | Dec. 31, 2022 | |
Current assets: | |||
Cash and cash equivalents | $ 1,149 | $ 370 | [1] |
Accounts receivable – trade, net | 1,939 | 2,635 | [1] |
Accounts receivable – other, net | 498 | 685 | [1] |
Due from unconsolidated affiliates | 42 | 54 | [1] |
Inventories | 451 | 403 | [1] |
Prepaid expenses | 325 | 268 | [1] |
Regulatory assets | 190 | 351 | [1] |
Fixed-price contracts and other derivatives | 201 | 803 | [1] |
Greenhouse gas allowances | 144 | 141 | [1] |
Other current assets | 61 | 49 | [1] |
Total current assets | 5,310 | 5,912 | [1] |
Other assets: | |||
Regulatory assets | 3,277 | 2,588 | [1] |
Greenhouse gas allowances | 1,219 | 796 | [1] |
Nuclear decommissioning trusts | 827 | 841 | [1] |
Right-of-use assets – operating leases | 721 | 655 | [1] |
Wildfire fund | 281 | 303 | [1] |
Other long-term assets | 1,874 | 1,382 | [1] |
Total other assets | 27,253 | 24,880 | [1] |
Property, plant and equipment: | |||
Property, plant and equipment | 70,348 | 63,893 | [1] |
Less accumulated depreciation and amortization | (17,176) | (16,111) | [1] |
Property, plant and equipment, net | 53,172 | 47,782 | [1] |
Total assets | 85,735 | 78,574 | [1] |
Current liabilities: | |||
Short-term debt | 1,977 | 3,352 | [1] |
Accrued compensation and benefits | 496 | 484 | [1] |
Regulatory liabilities | 529 | 504 | [1] |
Current portion of long-term debt and finance leases | 974 | 1,019 | [1] |
Greenhouse gas obligations | 144 | 141 | [1] |
Total current liabilities | 8,765 | 9,899 | [1] |
Long-term debt and finance leases | 27,703 | 24,548 | [1] |
Deferred credits and other liabilities: | |||
Regulatory liabilities | 3,468 | 3,341 | [1] |
Greenhouse gas obligations | 942 | 565 | [1] |
Pension and other postretirement benefit plan obligations, net of plan assets | 309 | 410 | [1] |
Deferred income taxes | 5,095 | 4,591 | [1] |
Asset retirement obligations | 3,584 | 3,546 | [1] |
Deferred credits and other | 2,308 | 2,117 | [1] |
Total deferred credits and other liabilities | 16,009 | 14,871 | [1] |
Commitments and contingencies | [1] | ||
Equity: | |||
Common stock | 12,038 | 12,160 | [1] |
Retained earnings | 15,371 | 14,201 | [1] |
Accumulated other comprehensive income (loss) | (60) | (135) | [1] |
Total shareholders’ equity | 28,238 | 27,115 | [1] |
Total liabilities and equity | 85,735 | 78,574 | [1] |
Related Party | |||
Current assets: | |||
Due from unconsolidated affiliates | 42 | 54 | |
Current liabilities: | |||
Other current liabilities | 5 | 0 | [1] |
Nonrelated Party | |||
Current liabilities: | |||
Other current liabilities | 1,327 | 1,380 | [1] |
San Diego Gas and Electric Company | |||
Current assets: | |||
Cash and cash equivalents | 246 | 7 | [1] |
Accounts receivable – trade, net | 952 | 799 | [1] |
Accounts receivable – other, net | 155 | 110 | [1] |
Due from unconsolidated affiliates | 8 | 0 | [1] |
Inventories | 147 | 134 | [1] |
Prepaid expenses | 196 | 179 | [1] |
Regulatory assets | 15 | 247 | [1] |
Fixed-price contracts and other derivatives | 86 | 113 | [1] |
Greenhouse gas allowances | 22 | 22 | [1] |
Other current assets | 27 | 19 | [1] |
Total current assets | 1,854 | 1,630 | [1] |
Other assets: | |||
Regulatory assets | 1,694 | 1,219 | [1] |
Greenhouse gas allowances | 251 | 196 | [1] |
Nuclear decommissioning trusts | 827 | 841 | [1] |
Right-of-use assets – operating leases | 364 | 281 | [1] |
Wildfire fund | 281 | 303 | [1] |
Other long-term assets | 143 | 146 | [1] |
Total other assets | 3,560 | 2,986 | [1] |
Property, plant and equipment: | |||
Property, plant and equipment | 30,304 | 28,574 | [1] |
Less accumulated depreciation and amortization | (7,216) | (6,768) | [1] |
Property, plant and equipment, net | 23,088 | 21,806 | [1] |
Total assets | 28,502 | 26,422 | [1] |
Current liabilities: | |||
Short-term debt | 0 | 205 | [1] |
Accounts payable | 854 | 744 | [1] |
Interest payable | 111 | 63 | [1] |
Accrued compensation and benefits | 138 | 140 | [1] |
Accrued franchise fees | 103 | 120 | [1] |
Regulatory liabilities | 300 | 110 | [1] |
Current portion of long-term debt and finance leases | 441 | 489 | [1] |
Greenhouse gas obligations | 22 | 22 | [1] |
Asset retirement obligations | 110 | 98 | [1] |
Total current liabilities | 2,458 | 2,319 | [1] |
Long-term debt and finance leases | 9,453 | 8,497 | [1] |
Deferred credits and other liabilities: | |||
Regulatory liabilities | 2,417 | 2,298 | [1] |
Greenhouse gas obligations | 130 | 81 | [1] |
Pension and other postretirement benefit plan obligations, net of plan assets | 27 | 42 | [1] |
Deferred income taxes | 2,596 | 2,540 | [1] |
Asset retirement obligations | 772 | 789 | [1] |
Deferred credits and other | 966 | 789 | [1] |
Total deferred credits and other liabilities | 6,908 | 6,539 | [1] |
Commitments and contingencies | [1] | ||
Equity: | |||
Preferred stock | 0 | 0 | [1] |
Common stock | 1,660 | 1,660 | [1] |
Retained earnings | 8,030 | 7,414 | [1] |
Accumulated other comprehensive income (loss) | (7) | (7) | [1] |
Total shareholders’ equity | 9,683 | 9,067 | [1] |
Total liabilities and equity | 28,502 | 26,422 | [1] |
San Diego Gas and Electric Company | Related Party | |||
Current assets: | |||
Due from unconsolidated affiliates | 8 | 0 | |
Current liabilities: | |||
Other current liabilities | 49 | 135 | [1] |
San Diego Gas and Electric Company | Nonrelated Party | |||
Current liabilities: | |||
Other current liabilities | $ 330 | $ 193 | [1] |
[1]Derived from audited financial statements. |
CONDENSED BALANCE SHEETS - SD_2
CONDENSED BALANCE SHEETS - SDG&E (Parentheticals) - shares | Sep. 30, 2023 | Dec. 31, 2022 |
Stockholders' Equity Attributable to Parent [Abstract] | ||
Preferred stock, shares authorized (in shares) | 50,000,000 | 50,000,000 |
Common stock, shares authorized (in shares) | 1,125,000,000 | 1,125,000,000 |
Common stock, shares outstanding (in shares) | 629,328,058 | 628,669,356 |
San Diego Gas and Electric Company | ||
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) | 116,583,358 | 116,583,358 |
CONDENSED STATEMENTS OF CASH FL
CONDENSED STATEMENTS OF CASH FLOWS - SDG&E - USD ($) $ in Millions | 9 Months Ended | |
Sep. 30, 2023 | Sep. 30, 2022 | |
CASH FLOWS FROM OPERATING ACTIVITIES | ||
Net income | $ 2,762 | $ 1,877 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Depreciation and amortization | 1,651 | 1,500 |
Deferred income taxes and investment tax credits | 234 | 387 |
Bad debt expense | 368 | 110 |
Other | 7 | 47 |
Net change in other working capital components | 1,613 | (267) |
Changes in other noncurrent assets and liabilities, net | (557) | (506) |
Net cash provided by operating activities | 5,129 | 1,455 |
CASH FLOWS FROM INVESTING ACTIVITIES | ||
Expenditures for property, plant and equipment | (6,074) | (3,540) |
Purchases of nuclear decommissioning and other trust assets | (462) | (530) |
Proceeds from sales of nuclear decommissioning and other trust assets | 503 | 530 |
Other | 10 | 6 |
Net cash used in investing activities | (6,304) | (3,183) |
CASH FLOWS FROM FINANCING ACTIVITIES | ||
Common dividends paid | (1,109) | (1,070) |
Issuances of debt (maturities greater than 90 days) | 6,911 | 6,711 |
Payments on debt (maturities greater than 90 days) and finance leases | (6,018) | (3,365) |
Increase in short-term debt, net | 629 | (1,438) |
Net cash provided by financing activities | 2,198 | 1,936 |
Increase in cash, cash equivalents and restricted cash | 1,029 | 205 |
Cash, cash equivalents and restricted cash, January 1 | 462 | 581 |
Cash, cash equivalents and restricted cash, September 30 | 1,491 | 786 |
SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION | ||
Interest payments, net of amounts capitalized | 836 | 732 |
Income tax payments, net of refunds | 162 | 241 |
SUPPLEMENTAL DISCLOSURE OF NONCASH INVESTING AND FINANCING ACTIVITIES | ||
Accrued capital expenditures | 1,200 | 738 |
Increase in finance lease obligations for investment in PP&E | 47 | 33 |
(Decrease) increase in ARO for investment in PP&E | (15) | 49 |
San Diego Gas and Electric Company | ||
CASH FLOWS FROM OPERATING ACTIVITIES | ||
Net income | 716 | 681 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Depreciation and amortization | 810 | 730 |
Deferred income taxes and investment tax credits | (56) | 91 |
Bad debt expense | 94 | 46 |
Other | (30) | (23) |
Net change in other working capital components | 269 | 57 |
Changes in other noncurrent assets and liabilities, net | (319) | (214) |
Net cash provided by operating activities | 1,484 | 1,368 |
CASH FLOWS FROM INVESTING ACTIVITIES | ||
Expenditures for property, plant and equipment | (1,893) | (1,651) |
Purchases of nuclear decommissioning and other trust assets | (391) | (530) |
Proceeds from sales of nuclear decommissioning and other trust assets | 437 | 530 |
Other | 9 | 8 |
Net cash used in investing activities | (1,838) | (1,643) |
CASH FLOWS FROM FINANCING ACTIVITIES | ||
Common dividends paid | (100) | (100) |
Issuances of debt (maturities greater than 90 days) | 1,389 | 1,395 |
Payments on debt (maturities greater than 90 days) and finance leases | (479) | (416) |
Increase in short-term debt, net | (205) | (401) |
Debt issuance costs | (12) | (9) |
Net cash provided by financing activities | 593 | 469 |
Increase in cash, cash equivalents and restricted cash | 239 | 194 |
Cash, cash equivalents and restricted cash, January 1 | 7 | 25 |
Cash, cash equivalents and restricted cash, September 30 | 246 | 219 |
SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION | ||
Interest payments, net of amounts capitalized | 315 | 303 |
Income tax payments, net of refunds | 0 | 68 |
SUPPLEMENTAL DISCLOSURE OF NONCASH INVESTING AND FINANCING ACTIVITIES | ||
Accrued capital expenditures | 237 | 236 |
Increase in finance lease obligations for investment in PP&E | 7 | 12 |
(Decrease) increase in ARO for investment in PP&E | $ 13 | $ 1 |
CONDENSED STATEMENTS OF CHANGES
CONDENSED STATEMENTS OF CHANGES IN SHAREHOLDER’S EQUITY - SDG&E - USD ($) $ in Millions | Total | Common stock | Retained earnings | Accumulated other comprehensive income (loss) | San Diego Gas and Electric Company | San Diego Gas and Electric Company Common stock | San Diego Gas and Electric Company Retained earnings | San Diego Gas and Electric Company Accumulated other comprehensive income (loss) | |
Beginning Balance at Dec. 31, 2021 | $ 27,419 | $ 11,862 | $ 13,548 | $ (318) | $ 8,249 | $ 1,660 | $ 6,599 | $ (10) | |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||
Net income | 1,877 | 1,690 | 681 | 681 | |||||
Other comprehensive (loss) income | 245 | 189 | 1 | 1 | |||||
Common stock dividends declared | (1,081) | (1,081) | (100) | (100) | |||||
Ending balance at Sep. 30, 2022 | 29,289 | 12,138 | 14,123 | (120) | 8,831 | 1,660 | 7,180 | (9) | |
Beginning Balance at Jun. 30, 2022 | 29,053 | 12,121 | 13,998 | (167) | 8,659 | 1,660 | 7,009 | (10) | |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||
Net income | 561 | 496 | 271 | 271 | |||||
Other comprehensive (loss) income | 67 | 47 | 1 | 1 | |||||
Common stock dividends declared | (360) | (360) | (100) | (100) | |||||
Ending balance at Sep. 30, 2022 | 29,289 | 12,138 | 14,123 | (120) | 8,831 | 1,660 | 7,180 | (9) | |
Beginning Balance at Dec. 31, 2022 | 29,256 | [1] | 12,160 | 14,201 | (135) | 9,067 | 1,660 | 7,414 | (7) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||
Net income | 2,762 | 2,327 | 716 | 716 | |||||
Other comprehensive (loss) income | 333 | 121 | |||||||
Common stock dividends declared | (1,123) | (1,123) | (100) | (100) | |||||
Ending balance at Sep. 30, 2023 | 33,258 | 12,038 | 15,371 | (60) | 9,683 | 1,660 | 8,030 | (7) | |
Beginning Balance at Jun. 30, 2023 | 31,014 | 12,044 | 15,024 | (121) | 9,509 | 1,660 | 7,856 | (7) | |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||
Net income | 854 | 732 | 274 | 274 | |||||
Other comprehensive (loss) income | 309 | 107 | |||||||
Common stock dividends declared | (374) | (374) | (100) | (100) | |||||
Ending balance at Sep. 30, 2023 | $ 33,258 | $ 12,038 | $ 15,371 | $ (60) | $ 9,683 | $ 1,660 | $ 8,030 | $ (7) | |
[1]Derived from audited financial statements. |
CONDENSED STATEMENTS OF OPERA_2
CONDENSED STATEMENTS OF OPERATIONS - SoCalGas - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Operating expenses: | ||||
Aliso Canyon litigation and regulatory matters | $ 0 | $ 122 | $ 0 | $ 259 |
Other income (expense), net | 3 | (40) | 75 | (3) |
Interest income | 19 | 18 | 60 | 58 |
Interest expense | (312) | (282) | (995) | (796) |
Income before income taxes and equity earnings | 323 | 165 | 2,175 | 1,194 |
Income tax benefit (expense) | 52 | (21) | (499) | (435) |
Net income | 854 | 561 | 2,762 | 1,877 |
Preferred dividends | (11) | (11) | (33) | (33) |
Earnings attributable to common shares | 721 | 485 | 2,293 | 1,656 |
Southern California Gas Company | ||||
REVENUES | ||||
Operating revenues | 1,313 | 1,385 | 6,574 | 4,879 |
Operating expenses: | ||||
Cost of natural gas | 224 | 441 | 2,855 | 1,577 |
Operation and maintenance | 733 | 590 | 2,073 | 1,746 |
Aliso Canyon litigation and regulatory matters | 0 | 122 | 0 | 259 |
Depreciation and amortization | 211 | 190 | 625 | 565 |
Franchise fees and other taxes | 64 | 62 | 209 | 181 |
Total operating expenses | 1,232 | 1,405 | 5,762 | 4,328 |
Operating income (loss) | 81 | (20) | 812 | 551 |
Other income (expense), net | (2) | (43) | (9) | (5) |
Interest income | 2 | 3 | 7 | 4 |
Interest expense | (70) | (50) | (210) | (135) |
Income before income taxes and equity earnings | 11 | (110) | 600 | 415 |
Income tax benefit (expense) | 5 | 28 | (68) | (75) |
Net income | 16 | (82) | 532 | 340 |
Preferred dividends | 0 | 0 | (1) | (1) |
Earnings attributable to common shares | $ 16 | $ (82) | $ 531 | $ 339 |
CONDENSED STATEMENTS OF COMPR_2
CONDENSED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) - SoCalGas - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Net income | $ 854 | $ 561 | $ 2,762 | $ 1,877 |
Other comprehensive income (loss): | ||||
Financial instruments | 315 | 66 | 321 | 227 |
Pension and other postretirement benefits | 1 | 2 | (10) | 13 |
Total other comprehensive income | 309 | 67 | 333 | 245 |
Comprehensive income | 3,094 | 2,121 | ||
Pretax amount | ||||
Net income | 680 | 517 | 2,826 | 2,125 |
Other comprehensive income (loss): | ||||
Financial instruments | 150 | 60 | 158 | 227 |
Pension and other postretirement benefits | 2 | 2 | (8) | 15 |
Total other comprehensive income | 147 | 62 | 166 | 247 |
Comprehensive income | 2,991 | 2,371 | ||
Income tax benefit (expense) | ||||
Net income | 52 | (21) | (499) | (435) |
Other comprehensive income (loss): | ||||
Financial instruments | (39) | (15) | (43) | (56) |
Pension and other postretirement benefits | (1) | 0 | (2) | (2) |
Total other comprehensive income | (40) | (15) | (45) | (58) |
Comprehensive income | (544) | (493) | ||
Net-of-tax amount | ||||
Net income | 732 | 496 | 2,327 | 1,690 |
Other comprehensive income (loss): | ||||
Financial instruments | 111 | 45 | 115 | 171 |
Pension and other postretirement benefits | 1 | 2 | (10) | 13 |
Total other comprehensive income | 107 | 47 | 121 | 189 |
Comprehensive income | 2,447 | 1,878 | ||
Southern California Gas Company | ||||
Net income | 16 | (82) | 532 | 340 |
Other comprehensive income (loss): | ||||
Total other comprehensive income | 1 | 2 | 3 | |
Southern California Gas Company | Pretax amount | ||||
Net income | 11 | (110) | 600 | 415 |
Other comprehensive income (loss): | ||||
Financial instruments | 1 | 1 | ||
Pension and other postretirement benefits | 1 | 1 | 2 | 2 |
Total other comprehensive income | 1 | 1 | 3 | 3 |
Comprehensive income | 12 | (109) | 603 | 418 |
Southern California Gas Company | Income tax benefit (expense) | ||||
Net income | 5 | 28 | (68) | (75) |
Other comprehensive income (loss): | ||||
Financial instruments | 0 | 0 | ||
Pension and other postretirement benefits | (1) | 0 | (1) | 0 |
Total other comprehensive income | (1) | 0 | (1) | 0 |
Comprehensive income | 4 | 28 | (69) | (75) |
Southern California Gas Company | Net-of-tax amount | ||||
Net income | 16 | (82) | 532 | 340 |
Other comprehensive income (loss): | ||||
Financial instruments | 1 | 1 | ||
Pension and other postretirement benefits | 0 | 1 | 1 | 2 |
Total other comprehensive income | 0 | 1 | 2 | 3 |
Comprehensive income | $ 16 | $ (81) | $ 534 | $ 343 |
CONDENSED BALANCE SHEETS - SoCa
CONDENSED BALANCE SHEETS - SoCalGas - USD ($) $ in Millions | Sep. 30, 2023 | Dec. 31, 2022 | |
Current assets: | |||
Cash and cash equivalents | $ 1,149 | $ 370 | [1] |
Accounts receivable – trade, net | 1,939 | 2,635 | [1] |
Accounts receivable – other, net | 498 | 685 | [1] |
Due from unconsolidated affiliates | 42 | 54 | [1] |
Inventories | 451 | 403 | [1] |
Regulatory assets | 190 | 351 | [1] |
Greenhouse gas allowances | 144 | 141 | [1] |
Other current assets | 61 | 49 | [1] |
Total current assets | 5,310 | 5,912 | [1] |
Other assets: | |||
Regulatory assets | 3,277 | 2,588 | [1] |
Greenhouse gas allowances | 1,219 | 796 | [1] |
Right-of-use assets – operating leases | 721 | 655 | [1] |
Other long-term assets | 1,874 | 1,382 | [1] |
Total other assets | 27,253 | 24,880 | [1] |
Property, plant and equipment: | |||
Property, plant and equipment | 70,348 | 63,893 | [1] |
Less accumulated depreciation and amortization | (17,176) | (16,111) | [1] |
Property, plant and equipment, net | 53,172 | 47,782 | [1] |
Total assets | 85,735 | 78,574 | [1] |
Current liabilities: | |||
Short-term debt | 1,977 | 3,352 | [1] |
Accounts payable – trade | 2,234 | 1,994 | [1] |
Accounts payable – other | 219 | 275 | [1] |
Accrued compensation and benefits | 496 | 484 | [1] |
Regulatory liabilities | 529 | 504 | [1] |
Current portion of long-term debt and finance leases | 974 | 1,019 | [1] |
Reserve for Aliso Canyon costs | 126 | 129 | [1] |
Greenhouse gas obligations | 144 | 141 | [1] |
Total current liabilities | 8,765 | 9,899 | [1] |
Long-term debt and finance leases | 27,703 | 24,548 | [1] |
Deferred credits and other liabilities: | |||
Regulatory liabilities | 3,468 | 3,341 | [1] |
Greenhouse gas obligations | 942 | 565 | [1] |
Pension and other postretirement benefit plan obligations, net of plan assets | 309 | 410 | [1] |
Deferred income taxes | 5,095 | 4,591 | [1] |
Asset retirement obligations | 3,584 | 3,546 | [1] |
Deferred credits and other | 2,308 | 2,117 | [1] |
Total deferred credits and other liabilities | 16,009 | 14,871 | [1] |
Commitments and contingencies | [1] | ||
Equity: | |||
Common stock | 12,038 | 12,160 | [1] |
Retained earnings | 15,371 | 14,201 | [1] |
Accumulated other comprehensive income (loss) | (60) | (135) | [1] |
Total shareholders’ equity | 28,238 | 27,115 | [1] |
Total liabilities and equity | 85,735 | 78,574 | [1] |
Related Party | |||
Current assets: | |||
Due from unconsolidated affiliates | 42 | 54 | |
Current liabilities: | |||
Other current liabilities | 5 | 0 | [1] |
Nonrelated Party | |||
Current liabilities: | |||
Other current liabilities | 1,327 | 1,380 | [1] |
Southern California Gas Company | |||
Current assets: | |||
Cash and cash equivalents | 26 | 21 | [1] |
Accounts receivable – trade, net | 665 | 1,295 | [1] |
Accounts receivable – other, net | 71 | 293 | [1] |
Due from unconsolidated affiliates | 1 | 77 | [1] |
Inventories | 260 | 159 | [1] |
Regulatory assets | 172 | 104 | [1] |
Greenhouse gas allowances | 114 | 111 | [1] |
Other current assets | 82 | 69 | [1] |
Total current assets | 1,391 | 2,129 | [1] |
Other assets: | |||
Regulatory assets | 1,505 | 1,291 | [1] |
Greenhouse gas allowances | 850 | 551 | [1] |
Right-of-use assets – operating leases | 32 | 42 | [1] |
Other long-term assets | 606 | 583 | [1] |
Total other assets | 2,993 | 2,467 | [1] |
Property, plant and equipment: | |||
Property, plant and equipment | 26,401 | 25,058 | [1] |
Less accumulated depreciation and amortization | (7,716) | (7,308) | [1] |
Property, plant and equipment, net | 18,685 | 17,750 | [1] |
Total assets | 23,069 | 22,346 | [1] |
Current liabilities: | |||
Short-term debt | 420 | 900 | [1] |
Accounts payable – trade | 570 | 953 | [1] |
Accounts payable – other | 177 | 176 | [1] |
Accrued compensation and benefits | 217 | 209 | [1] |
Regulatory liabilities | 229 | 394 | [1] |
Current portion of long-term debt and finance leases | 523 | 318 | [1] |
Reserve for Aliso Canyon costs | 126 | 129 | [1] |
Greenhouse gas obligations | 114 | 111 | [1] |
Asset retirement obligations | 66 | 68 | [1] |
Total current liabilities | 2,985 | 3,723 | [1] |
Long-term debt and finance leases | 6,291 | 5,780 | [1] |
Deferred credits and other liabilities: | |||
Regulatory liabilities | 1,051 | 1,043 | [1] |
Greenhouse gas obligations | 748 | 443 | [1] |
Pension and other postretirement benefit plan obligations, net of plan assets | 198 | 277 | [1] |
Deferred income taxes | 1,469 | 1,306 | [1] |
Asset retirement obligations | 2,726 | 2,675 | [1] |
Deferred credits and other | 370 | 401 | [1] |
Total deferred credits and other liabilities | 6,562 | 6,145 | [1] |
Commitments and contingencies | [1] | ||
Equity: | |||
Preferred stock | 22 | 22 | [1] |
Common stock | 2,316 | 2,316 | [1] |
Retained earnings | 4,915 | 4,384 | [1] |
Accumulated other comprehensive income (loss) | (22) | (24) | [1] |
Total shareholders’ equity | 7,231 | 6,698 | [1] |
Total liabilities and equity | 23,069 | 22,346 | [1] |
Southern California Gas Company | Related Party | |||
Current assets: | |||
Due from unconsolidated affiliates | 1 | 77 | |
Current liabilities: | |||
Other current liabilities | 38 | 36 | [1] |
Southern California Gas Company | Nonrelated Party | |||
Current liabilities: | |||
Other current liabilities | $ 505 | $ 429 | [1] |
[1]Derived from audited financial statements. |
CONDENSED BALANCE SHEETS - So_2
CONDENSED BALANCE SHEETS - SoCalGas (Parentheticals) - shares | Sep. 30, 2023 | Dec. 31, 2022 |
Stockholders' Equity Attributable to Parent [Abstract] | ||
Preferred stock, shares authorized (in shares) | 50,000,000 | 50,000,000 |
Common stock, shares authorized (in shares) | 1,125,000,000 | 1,125,000,000 |
Common stock, shares outstanding (in shares) | 629,328,058 | 628,669,356 |
Southern California Gas Company | ||
Stockholders' Equity Attributable to Parent [Abstract] | ||
Preferred stock, shares authorized (in shares) | 11,000,000 | 11,000,000 |
Preferred stock, shares outstanding (in shares) | 862,043 | 862,043 |
Common stock, shares authorized (in shares) | 100,000,000 | 100,000,000 |
Common stock, shares outstanding (in shares) | 91,300,000 | 91,300,000 |
CONDENSED STATEMENTS OF CASH _2
CONDENSED STATEMENTS OF CASH FLOWS - SoCalGas - USD ($) $ in Millions | 9 Months Ended | |
Sep. 30, 2023 | Sep. 30, 2022 | |
CASH FLOWS FROM OPERATING ACTIVITIES | ||
Net income | $ 2,762 | $ 1,877 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Depreciation and amortization | 1,651 | 1,500 |
Deferred income taxes and investment tax credits | 234 | 387 |
Bad debt expense | 368 | 110 |
Other | 7 | 47 |
Reserve for Aliso Canyon costs | (3) | (1,835) |
Net change in other working capital components | 1,613 | (267) |
Insurance receivable for Aliso Canyon costs | 0 | 350 |
Changes in other noncurrent assets and liabilities, net | (557) | (506) |
Net cash provided by operating activities | 5,129 | 1,455 |
CASH FLOWS FROM INVESTING ACTIVITIES | ||
Expenditures for property, plant and equipment | (6,074) | (3,540) |
Net cash used in investing activities | (6,304) | (3,183) |
CASH FLOWS FROM FINANCING ACTIVITIES | ||
Preferred dividends paid | (22) | (22) |
Issuances of debt (maturities greater than 90 days) | 6,911 | 6,711 |
Payments on debt (maturities greater than 90 days) and finance leases | (6,018) | (3,365) |
Increase in short-term debt, net | 629 | (1,438) |
Net cash provided by financing activities | 2,198 | 1,936 |
Increase in cash, cash equivalents and restricted cash | 1,029 | 205 |
Cash, cash equivalents and restricted cash, January 1 | 462 | 581 |
Cash, cash equivalents and restricted cash, September 30 | 1,491 | 786 |
SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION | ||
Interest payments, net of amounts capitalized | 836 | 732 |
SUPPLEMENTAL DISCLOSURE OF NONCASH INVESTING AND FINANCING ACTIVITIES | ||
Accrued capital expenditures | 1,200 | 738 |
Increase in finance lease obligations for investment in PP&E | 47 | 33 |
(Decrease) increase in ARO for investment in PP&E | (15) | 49 |
Southern California Gas Company | ||
CASH FLOWS FROM OPERATING ACTIVITIES | ||
Net income | 532 | 340 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Depreciation and amortization | 625 | 565 |
Deferred income taxes and investment tax credits | 79 | 77 |
Bad debt expense | 272 | 60 |
Other | (9) | (9) |
Reserve for Aliso Canyon costs | (3) | (1,835) |
Net change in other working capital components | 2 | 98 |
Insurance receivable for Aliso Canyon costs | 0 | 350 |
Changes in other noncurrent assets and liabilities, net | (234) | (408) |
Net cash provided by operating activities | 1,264 | (762) |
CASH FLOWS FROM INVESTING ACTIVITIES | ||
Expenditures for property, plant and equipment | (1,451) | (1,394) |
Net cash used in investing activities | (1,451) | (1,394) |
CASH FLOWS FROM FINANCING ACTIVITIES | ||
Preferred dividends paid | (1) | (1) |
Equity contribution from Sempra | 0 | 650 |
Issuances of debt (maturities greater than 90 days) | 997 | 1,497 |
Payments on debt (maturities greater than 90 days) and finance leases | (1,115) | (10) |
Increase in short-term debt, net | 320 | 42 |
Debt issuance costs | (9) | (6) |
Net cash provided by financing activities | 192 | 2,172 |
Increase in cash, cash equivalents and restricted cash | 5 | 16 |
Cash, cash equivalents and restricted cash, January 1 | 21 | 37 |
Cash, cash equivalents and restricted cash, September 30 | 26 | 53 |
SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION | ||
Interest payments, net of amounts capitalized | 183 | 123 |
SUPPLEMENTAL DISCLOSURE OF NONCASH INVESTING AND FINANCING ACTIVITIES | ||
Accrued capital expenditures | 253 | 235 |
Increase in finance lease obligations for investment in PP&E | 40 | 21 |
(Decrease) increase in ARO for investment in PP&E | $ (28) | $ 48 |
CONDENSED STATEMENTS OF CHANG_2
CONDENSED STATEMENTS OF CHANGES IN SHAREHOLDERS’ EQUITY - SoCalGas - USD ($) $ in Millions | Total | Preferred stock | Common stock | Retained earnings | Accumulated other comprehensive income (loss) | Southern California Gas Company | Southern California Gas Company Preferred stock | Southern California Gas Company Common stock | Southern California Gas Company Retained earnings | Southern California Gas Company Accumulated other comprehensive income (loss) | |
Beginning Balance at Dec. 31, 2021 | $ 27,419 | $ 889 | $ 11,862 | $ 13,548 | $ (318) | $ 5,442 | $ 22 | $ 1,666 | $ 3,785 | $ (31) | |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||||
Net income | 1,877 | 1,690 | 340 | 340 | |||||||
Other comprehensive (loss) income | 245 | 189 | 3 | 3 | |||||||
Dividends declared: | |||||||||||
Preferred dividends | (1) | (1) | |||||||||
Equity contribution from Sempra | 650 | 650 | |||||||||
Ending balance at Sep. 30, 2022 | 29,289 | 889 | 12,138 | 14,123 | (120) | 6,434 | 22 | 2,316 | 4,124 | (28) | |
Beginning Balance at Jun. 30, 2022 | 29,053 | 889 | 12,121 | 13,998 | (167) | 6,015 | 22 | 1,816 | 4,206 | (29) | |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||||
Net income | 561 | 496 | (82) | (82) | |||||||
Other comprehensive (loss) income | 67 | 47 | 1 | 1 | |||||||
Dividends declared: | |||||||||||
Preferred dividends | 0 | 0 | |||||||||
Equity contribution from Sempra | 500 | 500 | |||||||||
Ending balance at Sep. 30, 2022 | 29,289 | 889 | 12,138 | 14,123 | (120) | 6,434 | 22 | 2,316 | 4,124 | (28) | |
Beginning Balance at Dec. 31, 2022 | 29,256 | [1] | 889 | 12,160 | 14,201 | (135) | 6,698 | 22 | 2,316 | 4,384 | (24) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||||
Net income | 2,762 | 2,327 | 532 | 532 | |||||||
Other comprehensive (loss) income | 333 | 121 | 2 | 2 | |||||||
Dividends declared: | |||||||||||
Preferred dividends | (1) | (1) | |||||||||
Ending balance at Sep. 30, 2023 | 33,258 | 889 | 12,038 | 15,371 | (60) | 7,231 | 22 | 2,316 | 4,915 | (22) | |
Beginning Balance at Jun. 30, 2023 | 31,014 | 889 | 12,044 | 15,024 | (121) | 7,215 | 22 | 2,316 | 4,899 | (22) | |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||||
Net income | 854 | 732 | 16 | 16 | |||||||
Other comprehensive (loss) income | 309 | 107 | |||||||||
Dividends declared: | |||||||||||
Preferred dividends | 0 | 0 | |||||||||
Ending balance at Sep. 30, 2023 | $ 33,258 | $ 889 | $ 12,038 | $ 15,371 | $ (60) | $ 7,231 | $ 22 | $ 2,316 | $ 4,915 | $ (22) | |
[1]Derived from audited financial statements. |
CONDENSED STATEMENTS OF CHANG_3
CONDENSED STATEMENTS OF CHANGES IN SHAREHOLDERS’ EQUITY - SoCalGas (Parenthetical) - $ / shares | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Southern California Gas Company | ||||
Dividends declared per share of preferred stock (in dollars per share) | $ 0.38 | $ 0.38 | $ 1.13 | $ 1.13 |
CONDENSED STATEMENTS OF CHANG_4
CONDENSED STATEMENTS OF CHANGES IN SHAREHOLDER’S EQUITY - SDG&E (Parenthetical) - $ / shares | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Dividends declared per share of common stock (in dollars per share) | $ 0.60 | $ 0.57 | $ 1.79 | $ 1.72 |
San Diego Gas and Electric Company | ||||
Dividends declared per share of common stock (in dollars per share) | $ 0.86 | $ 0.86 | $ 0.86 | $ 0.86 |
GENERAL INFORMATION AND OTHER F
GENERAL INFORMATION AND OTHER FINANCIAL DATA | 9 Months Ended |
Sep. 30, 2023 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
GENERAL INFORMATION AND OTHER FINANCIAL DATA | GENERAL INFORMATION AND OTHER FINANCIAL DATA PRINCIPLES OF CONSOLIDATION Sempra Effective May 12, 2023, our company changed its legal name from Sempra Energy to Sempra. Sempra’s Condensed Consolidated Financial Statements include the accounts of Sempra, a California-based holding company, and its consolidated entities. We have four separate reportable segments, which we discuss in Note 11. 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 common stock is wholly owned by Enova Corporation, which is a wholly owned subsidiary of Sempra. SoCalGas SoCalGas’ common stock is wholly owned by Pacific Enterprises, which is a wholly owned subsidiary of Sempra. BASIS OF PRESENTATION This is a combined report of Sempra, SDG&E and SoCalGas. We provide separate information for SDG&E and SoCalGas as required. We have eliminated intercompany accounts and transactions within Sempra’s consolidated financial statements. We have prepared our 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. The financial statements reflect all adjustments that are necessary for a fair presentation of the results for the interim periods. These adjustments are only of a normal, recurring nature. 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, 2023 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. All December 31, 2022 balance sheet information in the Condensed Consolidated Financial Statements has been derived from our audited 2022 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. The information contained in this report should be read in conjunction with the Annual Report. Regulated Operations SDG&E, SoCalGas and Sempra Infrastructure’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. Certain business activities at Sempra Infrastructure are regulated by the CRE and the FERC and meet the regulatory accounting requirements of U.S. GAAP. Pipeline projects currently under construction 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 Cash equivalents are highly liquid investments with original maturities of three months or less at the date of purchase. Restricted cash includes: ▪ for Sempra Infrastructure, funds held as collateral in lieu of a customer’s letters of credit associated with its LNG storage and regasification agreement; funds denominated in U.S. dollars and Mexican pesos to pay for rights-of-way and other costs pursuant to trust agreements related to pipeline projects; and certain funds at Port Arthur LNG for which withdrawals and usage are dictated by its debt agreements ▪ for Parent and other, funds held in a delisting trust for the purpose of purchasing the remaining publicly owned IEnova shares The following table provides a reconciliation of cash, cash equivalents and restricted cash reported on Sempra’s Condensed Consolidated Balance Sheets to the sum of such amounts reported on Sempra’s Condensed Consolidated Statements of Cash Flows. RECONCILIATION OF CASH, CASH EQUIVALENTS AND RESTRICTED CASH (Dollars in millions) September 30, December 31, Cash and cash equivalents $ 1,149 $ 370 Restricted cash, current 238 40 Restricted cash, noncurrent 104 52 Total cash, cash equivalents and restricted cash on the Condensed Consolidated Statements of Cash Flows $ 1,491 $ 462 CREDIT LOSSES We are exposed to credit losses from financial assets measured at amortized cost, including trade and other accounts receivable, amounts due from unconsolidated affiliates, our net investment in sales-type leases and a note receivable. We are also exposed to credit losses from off-balance sheet arrangements through Sempra’s guarantee related to Cameron LNG JV’s SDSRA, which we discuss in Note 5. 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 receivables and customer payment patterns, historical and industry trends, counterparty creditworthiness, economic conditions and specific events, such as bankruptcies, pandemics and other factors. 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 the first quarter of 2022, SDG&E and SoCalGas received $63 million and $79 million, respectively, on behalf of their customers from the California Department of Community Services and Development under the 2021 California Arrearage Payment Program and applied the amounts directly to eligible customer accounts to reduce past due balances. In June 2022, AB 205 was approved establishing, among other things, the 2022 California Arrearage Payment Program. In December 2022, SDG&E and SoCalGas received funding of $51 million and $59 million, respectively, related to this program and, in January 2023, applied the amounts directly to eligible customer accounts to reduce past due balances. As a result of the impact and duration of suspending collections processes during the COVID - 19 pandemic, the implementation of programs such as the Arrearage Management Plan, and higher winter season customer billings, certain SDG&E and SoCalGas customers exhibit slower payment and higher levels of nonpayment than has been the case historically. This in turn has resulted in an increase in provisions for expected credit losses in the nine months ended September 30, 2023 for both companies, even as collections processes resume and past due payments potentially begin increasing. SDG&E and SoCalGas have regulatory mechanisms to recover credit losses and thus record changes in the allowances for credit losses related to Accounts Receivable – Trade that are probable of recovery in regulatory accounts. We discuss regulatory accounts in Note 4 of the Notes to Consolidated Financial Statements in the Annual Report and herein. Changes in allowances for credit losses for trade receivables and other receivables are as follows: CHANGES IN ALLOWANCES FOR CREDIT LOSSES (Dollars in millions) 2023 2022 Sempra: Allowances for credit losses at January 1 $ 181 $ 136 Provisions for expected credit losses 374 111 Write-offs (74) (57) Allowances for credit losses at September 30 $ 481 $ 190 SDG&E: Allowances for credit losses at January 1 $ 78 $ 66 Provisions for expected credit losses 96 51 Write-offs (34) (30) Allowances for credit losses at September 30 $ 140 $ 87 SoCalGas: Allowances for credit losses at January 1 $ 98 $ 69 Provisions for expected credit losses 276 58 Write-offs (40) (27) Allowances for credit losses at September 30 $ 334 $ 100 Allowances for credit losses related to trade receivables and other receivables are included in the Condensed Consolidated Balance Sheets as follows: ALLOWANCES FOR CREDIT LOSSES (Dollars in millions) September 30, December 31, 2023 2022 Sempra: Accounts receivable – trade, net $ 432 $ 140 Accounts receivable – other, net 48 40 Other long-term assets 1 1 Total allowances for credit losses $ 481 $ 181 SDG&E: Accounts receivable – trade, net $ 113 $ 52 Accounts receivable – other, net 26 25 Other long-term assets 1 1 Total allowances for credit losses $ 140 $ 78 SoCalGas: Accounts receivable – trade, net $ 312 $ 83 Accounts receivable – other, net 22 15 Total allowances for credit losses $ 334 $ 98 As we discuss below in “Note Receivable,” we have an interest-bearing promissory note due from KKR Pinnacle. On a quarterly basis, we evaluate credit losses and record allowances for expected credit losses on this note receivable, including compounded interest and unamortized transaction costs, based on published default rate studies, the maturity date of the instrument and an internally developed credit rating. At September 30, 2023 and December 31, 2022, $6 million and $7 million, respectively, of expected credit losses are included in Other Long-Term Assets on Sempra’s Condensed Consolidated Balance Sheets. INVENTORIES The components of inventories are as follows: INVENTORY BALANCES (Dollars in millions) Sempra SDG&E SoCalGas September 30, December 31, September 30, December 31, September 30, December 31, Natural gas $ 160 $ 106 $ 1 $ 1 $ 144 $ 74 LNG 9 62 — — — — Materials and supplies 282 235 146 133 116 85 Total $ 451 $ 403 $ 147 $ 134 $ 260 $ 159 NOTE RECEIVABLE In November 2021, Sempra loaned $300 million to KKR Pinnacle in exchange for an interest-bearing promissory note that is due in full no later than October 2029 and bears compound interest at 5% per annum, which may be paid quarterly or added to the outstanding principal at the election of KKR Pinnacle. At September 30, 2023 and December 31, 2022, Other Long-Term Assets includes $328 million and $316 million, respectively, of outstanding principal, compounded interest and unamortized transaction costs, net of allowance for credit losses, on Sempra’s Condensed Consolidated Balance Sheets. WILDFIRE FUND In July 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 October 2023, the OEIS approved SDG&E’s 2023 Wildfire Mitigation Plan, which is effective until the OEIS approves a new plan. SDG&E submitted its request to the OEIS for its annual wildfire safety certification in September 2023. OEIS has until December 2023 to issue the certification or provide written notice explaining why additional time is needed. SDG&E’s existing certification remains valid until this pending request is resolved. 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 financing costs, comprised of AFUDC and capitalized interest. CAPITALIZED FINANCING COSTS (Dollars in millions) Three months ended September 30, Nine months ended September 30, 2023 2022 2023 2022 Sempra $ 128 $ 65 $ 311 $ 182 SDG&E 28 30 90 84 SoCalGas 20 19 55 54 PROPERTY, PLANT AND EQUIPMENT Sempra Infrastructure’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. Following the start of commercial operations of the Guaymas-El Oro segment, Sempra Infrastructure reported damage to the pipeline in the Yaqui territory that has made that section inoperable since August 2017. Discussions with the CFE regarding the future of the pipeline are ongoing and the parties are working on restarting service on the pipeline, including the potential re-routing of a portion of the pipeline. If the parties do not agree on a definitive arrangement to re-route a portion of the pipeline or the parties do not agree on a new service start date, Sempra Infrastructure retains the right to terminate the contract and seek to recover its reasonable and documented costs and lost profits. At September 30, 2023, Sempra Infrastructure had $411 million in PP&E, net, related to the Guaymas-El Oro segment of the Sonora pipeline. 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 indirectly Sempra, 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 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. SDG&E determined that none of its PPAs and tolling agreements resulted in SDG&E being the primary beneficiary of a VIE at September 30, 2023 and December 31, 2022. PPAs and tolling agreements that relate to SDG&E’s involvement with VIEs are primarily accounted for as finance leases. The carrying amounts of the assets and liabilities under these contracts are included in PP&E, net, and finance lease liabilities with balances of $1,174 million and $1,194 million at September 30, 2023 and December 31, 2022, 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 Oncor Holdings is a VIE. Sempra is not the primary beneficiary of this 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 of the Notes to Consolidated Financial Statements in the Annual Report 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 $14,148 million and $13,665 million at September 30, 2023 and December 31, 2022, respectively. Sempra Infrastructure Cameron LNG JV Cameron LNG JV is a VIE principally due to contractual provisions that transfer certain risks to customers. Sempra is not the primary beneficiary of this VIE because we do not have the power to direct the most significant activities of Cameron LNG JV, including LNG production and operation and maintenance activities at the liquefaction facility. 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 $989 million at September 30, 2023 and $886 million at December 31, 2022. Our maximum exposure to loss, which fluctuates over time, includes the carrying value of our investment and our obligation under the SDSRA, which we discuss in Note 5. CFIN As we discuss in Note 5, in July 2020, Sempra entered into a Support Agreement for the benefit of CFIN, which is a VIE. Sempra is not the primary beneficiary of this VIE because we do not have the power to direct the most significant activities of CFIN, including modification, prepayment, and refinance decisions related to the financing arrangement with external lenders and Cameron LNG JV’s four project owners as well as the ability to determine and enforce remedies in the event of default. The conditional obligations of the Support Agreement represent a variable interest that we measure at fair value on a recurring basis (see Note 8). Sempra’s maximum exposure to loss under the terms of the Support Agreement is $979 million. ECA LNG Phase 1 ECA LNG Phase 1 is a VIE because its total equity at risk is not sufficient to finance its activities without additional subordinated financial support. We expect that ECA LNG Phase 1 will require future capital contributions or other financial support to finance the construction of the facility. Sempra is the primary beneficiary of this VIE because we have the power to direct the activities related to the construction and future operation and maintenance of the liquefaction facility. As a result, we consolidate ECA LNG Phase 1. Sempra consolidated $1,430 million and $1,099 million of assets at September 30, 2023 and December 31, 2022, respectively, consisting primarily of PP&E, net, attributable to ECA LNG Phase 1 that could be used only to settle obligations of this VIE and that are not available to settle obligations of Sempra, and $924 million and $685 million of liabilities at September 30, 2023 and December 31, 2022, respectively, consisting primarily of long-term debt, accounts payable and short-term debt attributable to ECA LNG Phase 1 for which creditors do not have recourse to the general credit of Sempra. Additionally, as we discuss in Note 6, IEnova and TotalEnergies SE have provided guarantees for 83.4% and 16.6%, respectively, of the loan facility supporting construction of the liquefaction facility. Port Arthur LNG Port Arthur LNG is a VIE because its total equity at risk is not sufficient to finance its activities without additional subordinated financial support. We expect that Port Arthur LNG will require future capital contributions or other financial support to finance the construction of the PA LNG Phase 1 project. Sempra is the primary beneficiary of this VIE because we have the power to direct the activities related to the construction and future operation and maintenance of the liquefaction facility. As a result, we consolidate Port Arthur LNG. Sempra consolidated $3,830 million of assets at September 30, 2023 consisting primarily of PP&E, net, other long-term assets and restricted cash attributable to Port Arthur LNG that could be used only to settle obligations of this VIE and that are not available to settle obligations of Sempra, and $788 million of liabilities at September 30, 2023 consisting primarily of accounts payable and long-term debt attributable to Port Arthur LNG for which creditors do not have recourse to the general credit of Sempra. PENSION AND PBOP Net Periodic Benefit Cost The following tables provide the components of net periodic benefit cost. The components of net periodic benefit cost, other than the service cost component, are included in the Other Income (Expense), Net, table below. NET PERIODIC BENEFIT COST – SEMPRA (Dollars in millions) Pension PBOP Three months ended September 30, 2023 2022 2023 2022 Service cost $ 25 $ 27 $ 3 $ 4 Interest cost 39 29 9 7 Expected return on assets (42) (46) (17) (16) Amortization of: Prior service cost (credit) 2 3 (1) (1) Actuarial loss (gain) 3 8 (5) (4) Net periodic benefit cost (credit) 27 21 (11) (10) Regulatory adjustments 30 87 10 10 Total expense (income) recognized $ 57 $ 108 $ (1) $ — Nine months ended September 30, 2023 2022 2023 2022 Service cost $ 82 $ 110 $ 10 $ 17 Interest cost 118 88 28 21 Expected return on assets (127) (137) (52) (48) Amortization of: Prior service cost (credit) 4 8 (2) (2) Actuarial loss (gain) 7 19 (17) (11) Net periodic benefit cost (credit) 84 88 (33) (23) Regulatory adjustments 88 84 32 23 Total expense (income) recognized $ 172 $ 172 $ (1) $ — NET PERIODIC BENEFIT COST – SDG&E (Dollars in millions) Pension PBOP Three months ended September 30, 2023 2022 2023 2022 Service cost $ 8 $ 8 $ 1 $ 1 Interest cost 10 7 2 1 Expected return on assets (9) (13) (2) (2) Amortization of: Actuarial loss (gain) 2 — — (1) Net periodic benefit cost (credit) 11 2 1 (1) Regulatory adjustments 3 24 (1) 1 Total expense recognized $ 14 $ 26 $ — $ — Nine months ended September 30, 2023 2022 2023 2022 Service cost $ 24 $ 28 $ 2 $ 4 Interest cost 30 20 6 4 Expected return on assets (29) (35) (6) (7) Amortization of: Actuarial loss (gain) 4 1 (1) (2) Net periodic benefit cost (credit) 29 14 1 (1) Regulatory adjustments 11 26 (1) 1 Total expense recognized $ 40 $ 40 $ — $ — NET PERIODIC BENEFIT COST – SOCALGAS (Dollars in millions) Pension PBOP Three months ended September 30, 2023 2022 2023 2022 Service cost $ 15 $ 16 $ 2 $ 3 Interest cost 24 20 7 5 Expected return on assets (29) (30) (14) (13) Amortization of: Prior service cost (credit) 1 2 (1) (1) Actuarial loss (gain) 1 6 (5) (3) Net periodic benefit cost (credit) 12 14 (11) (9) Regulatory adjustments 27 63 11 9 Total expense recognized $ 39 $ 77 $ — $ — Nine months ended September 30, 2023 2022 2023 2022 Service cost $ 49 $ 72 $ 7 $ 13 Interest cost 75 61 21 16 Expected return on assets (89) (94) (44) (40) Amortization of: Prior service cost (credit) 3 6 (2) (2) Actuarial loss (gain) 1 14 (15) (9) Net periodic benefit cost (credit) 39 59 (33) (22) Regulatory adjustments 77 58 33 22 Total expense recognized $ 116 $ 117 $ — $ — DEDICATED ASSETS IN SUPPORT OF CERTAIN BENEFITS PLANS In support of its Supplemental Executive Retirement, Cash Balance Restoration and Deferred Compensation Plans, Sempra maintains dedicated assets, including a Rabbi Trust and investments in life insurance contracts, which totaled $513 million and $505 million at September 30, 2023 and December 31, 2022, respectively. COMPREHENSIVE INCOME The following tables present the changes in AOCI by component and amounts reclassified out of AOCI to net income, after 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, 2023 and 2022 Sempra: Balance at June 30, 2023 $ (38) $ 14 $ (97) $ (121) OCI before reclassifications (5) 116 — 111 Amounts reclassified from AOCI (2) — (51) 1 (50) Net OCI (2) (5) 65 1 61 Balance at September 30, 2023 $ (43) $ 79 $ (96) $ (60) Balance at June 30, 2022 $ (65) $ (30) $ (72) $ (167) OCI before reclassifications — 40 — 40 Amounts reclassified from AOCI — 5 2 7 Net OCI — 45 2 47 Balance at September 30, 2022 $ (65) $ 15 $ (70) $ (120) SDG&E: Balance at June 30, 2023 and September 30, 2023 $ (7) $ (7) Balance at June 30, 2022 $ (10) $ (10) Amounts reclassified from AOCI 1 1 Net OCI 1 1 Balance at September 30, 2022 $ (9) $ (9) SoCalGas: Balance at June 30, 2023 and September 30, 2023 $ (11) $ (11) $ (22) Balance at June 30, 2022 $ (12) $ (17) $ (29) Amounts reclassified from AOCI — 1 1 Net OCI — 1 1 Balance at September 30, 2022 $ (12) $ (16) $ (28) (1) All amounts are net of income tax, if subject to tax, and after NCI. (2) Total AOCI includes ($46) of financial instruments associated with sale of NCI to KKR Denali, which we discuss below in “Other Noncontrolling Interests – Sempra Infrastructure.” This transaction did 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, 2023 and 2022 Sempra: Balance at December 31, 2022 $ (59) $ 10 $ (86) $ (135) OCI before reclassifications 16 129 (13) 132 Amounts reclassified from AOCI (2) — (60) 3 (57) Net OCI (2) 16 69 (10) 75 Balance at September 30, 2023 $ (43) $ 79 $ (96) $ (60) Balance at December 31, 2021 $ (79) $ (156) $ (83) $ (318) OCI before reclassifications 4 151 7 162 Amounts reclassified from AOCI (3) 10 20 6 36 Net OCI (3) 14 171 13 198 Balance at September 30, 2022 $ (65) $ 15 $ (70) $ (120) SDG&E: Balance at December 31, 2022 and September 30, 2023 $ (7) $ (7) Balance at December 31, 2021 $ (10) $ (10) Amounts reclassified from AOCI 1 1 Net OCI 1 1 Balance at September 30, 2022 $ (9) $ (9) SoCalGas: Balance at December 31, 2022 $ (12) $ (12) $ (24) Amounts reclassified from AOCI 1 1 2 Net OCI 1 1 2 Balance at September 30, 2023 $ (11) $ (11) $ (22) Balance at December 31, 2021 $ (13) $ (18) $ (31) Amounts reclassified from AOCI 1 2 3 Net OCI 1 2 3 Balance at September 30, 2022 $ (12) $ (16) $ (28) (1) All amounts are net of income tax, if subject to tax, and after NCI. (2) Total AOCI includes ($46) of financial instruments associated with sale of NCI to KKR Denali, which we discuss below in “Other Noncontrolling Interests – Sempra Infrastructure.” This transaction did not impact the Condensed Consolidated Statement of Comprehensive Income (Loss). (3) Total AOCI includes $9 of foreign currency translation adjustments associated with sale of NCI to ADIA, which we discuss below in “Other Noncontrolling Interests – Sempra Infrastructure.” This transaction did not impact the Condensed Consolidated Statement of Comprehensive Income (Loss). RECLASSIFICATIONS OUT OF ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) (Dollars in millions) Details about AOCI Amounts reclassified Affected line item on Condensed Three months ended September 30, 2023 2022 Sempra: Financial instruments: Interest rate instruments $ 1 $ 2 Interest Expense Interest rate instruments (12) 1 Equity Earnings (1) Foreign exchange instruments (1) — Other Income (Expense), Net Foreign exchange instruments (1) — Equity Earnings Interest rate and foreign exchange instruments — 3 Other Income (Expense), Net Total, before income tax (13) 6 2 (2) Income Tax Benefit (Expense) Total, net of income tax (11) 4 6 1 Earnings Attributable to Noncontrolling Interests Total, net of income tax and after NCI $ (5) $ 5 Pension and PBOP (2) : Amortization of actuarial loss $ 1 $ 2 Other Income (Expense), Net Amortization of prior service cost 1 1 Other Income (Expense), Net Total, before income tax 2 3 (1) (1) Income Tax Benefit (Expense) Total, net of income tax $ 1 $ 2 Total reclassifications for the period, net of income tax and after NCI $ (4) $ 7 SDG&E: Pension and PBOP (2) : Amortization of actuarial loss $ — $ 1 Other Income, Net Total reclassifications for the period, net of income tax $ — $ 1 SoCalGas: Pension and PBOP (2) : Amortization of prior service cost $ — $ 1 Other Expense, Net Total reclassifications for the period, net of income tax $ — $ 1 (1) Equity earnings at our foreign equity method investees are recognized after tax. (2) Amounts are included in the computation of net periodic benefit cost (see “Net Periodic Benefit Cost” above). RECLASSIFICATIONS OUT OF ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) (CONTINUED) (Dollars in millions) Details about AOCI Amounts reclassified Affected line item on Condensed Nine months ended September 30, 2023 2022 Sempra: Foreign currency translation adjustments $ — $ 1 Operation and Maintenance Financial instruments: Interest rate instruments $ 1 $ 1 Interest Expense Interest rate instruments (33) 28 Equity Earnings (1) Foreign exchange instruments — (2) Revenues: Energy-Related Businesses 1 1 Other Income (Expense), Net Foreign exchange instruments 1 (1) Equity Earnings (1) Interest rate and foreign exchange instruments (1) (1) Interest Expense (6) (3) Other Income (Expense), Net Total, before income tax (37) 23 5 (7) Income Tax Benefit (Expense) Total, net of income tax (32) 16 18 4 Earnings Attributable to Noncontrolling Interests Total, net of income tax and after NCI $ (14) $ 20 Pension and PBOP (2) : Amortization of actuarial loss $ 2 $ 6 Other Income (Expense), Net Amortization of prior service cost 2 3 Other Income (Expense), Net Total, before income tax 4 9 (1) (3) Income Tax Benefit (Expense) Total, net of income tax $ 3 $ 6 Total reclassifications for the period, net of income tax and after NCI $ (11) $ 27 SDG&E: Pension and PBOP (2) : Amortization of actuarial loss $ — $ 1 Other Income, Net Total reclassifications for the period, net of income tax $ — $ 1 SoCalGas: Financial instruments: Interest rate instruments $ 1 $ 1 Interest Expense Pension and PBOP (2) : Amortization of actuarial loss $ — $ 1 Other Expense, Net Amortization of prior service cost 1 1 Other Expense, Net Total, net of income tax $ 1 $ 2 Total reclassifications for the period, net of income tax $ 2 $ 3 (1) Equity earnings at our foreign equity method investees are recognized after tax. (2) Amounts are included in the computation of net periodic benefit cost (see “Net Periodic Benefit Cost” above). SHAREHOLDERS’ EQUITY AND NONCONTROLLING INTERESTS Sempra Common Stock On May 12, 2023, Sempra’s shareholders approved an amendment to Sempra’s Articles of Incorporation to increase the number of authorized shares of Sempra’s common stock from 750,000,000 to 1,125,000,000. Sempra Common Stock Split in the Form of a Stock Dividend On August 2, 2023, Sempra’s board of directors declared a two |
NEW ACCOUNTING STANDARDS
NEW ACCOUNTING STANDARDS | 9 Months Ended |
Sep. 30, 2023 | |
Accounting Changes and Error Corrections [Abstract] | |
NEW ACCOUNTING STANDARDS | NEW ACCOUNTING STANDARDSThere are no recent accounting pronouncements that have had or may have a significant effect on our results of operations, financial condition, cash flows and/or disclosures. |
REVENUES
REVENUES | 9 Months Ended |
Sep. 30, 2023 | |
Revenue from Contract with Customer [Abstract] | |
REVENUES | REVENUES We 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. 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 Infrastructure Consolidating adjustments and Parent Sempra Three months ended September 30, 2023 By major service line: Utilities $ 1,438 $ 1,120 $ 18 $ (35) $ 2,541 Energy-related businesses — — 369 (16) 353 Revenues from contracts with customers $ 1,438 $ 1,120 $ 387 $ (51) $ 2,894 By market: Gas $ 182 $ 1,120 $ 234 $ (30) $ 1,506 Electric 1,256 — 153 (21) 1,388 Revenues from contracts with customers $ 1,438 $ 1,120 $ 387 $ (51) $ 2,894 Revenues from contracts with customers $ 1,438 $ 1,120 $ 387 $ (51) $ 2,894 Utilities regulatory revenues 4 193 — — 197 Other revenues — — 242 1 243 Total revenues $ 1,442 $ 1,313 $ 629 $ (50) $ 3,334 Nine months ended September 30, 2023 By major service line: Utilities $ 4,603 $ 6,252 $ 67 $ (107) $ 10,815 Energy-related businesses — — 916 (56) 860 Revenues from contracts with customers $ 4,603 $ 6,252 $ 983 $ (163) $ 11,675 By market: Gas $ 988 $ 6,252 $ 605 $ (95) $ 7,750 Electric 3,615 — 378 (68) 3,925 Revenues from contracts with customers $ 4,603 $ 6,252 $ 983 $ (163) $ 11,675 Revenues from contracts with customers $ 4,603 $ 6,252 $ 983 $ (163) $ 11,675 Utilities regulatory revenues (246) 322 — — 76 Other revenues — — 1,502 (24) 1,478 Total revenues $ 4,357 $ 6,574 $ 2,485 $ (187) $ 13,229 DISAGGREGATED REVENUES (CONTINUED) (Dollars in millions) SDG&E SoCalGas Sempra Infrastructure Consolidating adjustments and Parent Sempra Three months ended September 30, 2022 By major service line: Utilities $ 1,383 $ 1,214 $ 19 $ (29) $ 2,587 Energy-related businesses — — 532 (13) 519 Revenues from contracts with customers $ 1,383 $ 1,214 $ 551 $ (42) $ 3,106 By market: Gas $ 175 $ 1,214 $ 379 $ (30) $ 1,738 Electric 1,208 — 172 (12) 1,368 Revenues from contracts with customers $ 1,383 $ 1,214 $ 551 $ (42) $ 3,106 Revenues from contracts with customers $ 1,383 $ 1,214 $ 551 $ (42) $ 3,106 Utilities regulatory revenues 186 171 — — 357 Other revenues — — 146 8 154 Total revenues $ 1,569 $ 1,385 $ 697 $ (34) $ 3,617 Nine months ended September 30, 2022 By major service line: Utilities $ 4,134 $ 4,473 $ 67 $ (85) $ 8,589 Energy-related businesses — — 1,281 (42) 1,239 Revenues from contracts with customers $ 4,134 $ 4,473 $ 1,348 $ (127) $ 9,828 By market: Gas $ 664 $ 4,473 $ 948 $ (75) $ 6,010 Electric 3,470 — 400 (52) 3,818 Revenues from contracts with customers $ 4,134 $ 4,473 $ 1,348 $ (127) $ 9,828 Revenues from contracts with customers $ 4,134 $ 4,473 $ 1,348 $ (127) $ 9,828 Utilities regulatory revenues 279 406 — — 685 Other revenues — — 462 9 471 Total revenues $ 4,413 $ 4,879 $ 1,810 $ (118) $ 10,984 REVENUES FROM CONTRACTS WITH CUSTOMERS Remaining Performance Obligations For contracts greater than one year, at September 30, 2023, we expect to recognize revenue related to the fixed fee component of the consideration as shown below. Sempra’s remaining performance obligations primarily relate to capacity agreements for natural gas storage and transportation at Sempra Infrastructure and transmission line projects at SDG&E. SoCalGas did not have any remaining performance obligations at September 30, 2023. REMAINING PERFORMANCE OBLIGATIONS (1) (Dollars in millions) Sempra SDG&E 2023 (excluding first nine months of 2023) $ 85 $ 1 2024 300 4 2025 338 4 2026 365 4 2027 365 4 Thereafter 4,077 59 Total revenues to be recognized $ 5,530 $ 76 (1) Excludes intercompany transactions. Contract Liabilities from Revenues from Contracts with Customers Activities within Sempra’s and SDG&E’s contract liabilities are presented below. There were no contract liabilities at SoCalGas in the nine months ended September 30, 2023 or 2022. Sempra Infrastructure recorded a contract liability for funds held as collateral in lieu of a customer’s letters of credit associated with its LNG storage and regasification agreement. CONTRACT LIABILITIES (Dollars in millions) 2023 2022 Sempra: Contract liabilities at January 1 $ (252) $ (278) Revenue from performance obligations satisfied during reporting period 9 129 Payments received in advance (21) (105) Contract liabilities at September 30 (1) $ (264) $ (254) SDG&E: Contract liabilities at January 1 $ (79) $ (83) Revenue from performance obligations satisfied during reporting period 3 3 Contract liabilities at September 30 (2) $ (76) $ (80) (1) Balances at September 30, 2023 include $9 in Other Current Liabilities and $255 in Deferred Credits and Other. (2) Balances at September 30, 2023 include $4 in Other Current Liabilities and $72 in Deferred Credits and Other. 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, 2023 December 31, 2022 Sempra: Accounts receivable – trade, net (1) $ 1,780 $ 2,291 Accounts receivable – other, net 15 25 Due from unconsolidated affiliates – current (2) 5 9 Other long-term assets (3) 1 9 Total $ 1,801 $ 2,334 SDG&E: Accounts receivable – trade, net (1) $ 952 $ 799 Accounts receivable – other, net 13 12 Due from unconsolidated affiliates – current (2) 6 2 Other long-term assets (3) 1 6 Total $ 972 $ 819 SoCalGas: Accounts receivable – trade, net $ 665 $ 1,295 Accounts receivable – other, net 2 13 Other long-term assets (3) — 3 Total $ 667 $ 1,311 (1) At September 30, 2023 and December 31, 2022, includes $201 and $72, respectively, of receivables due from customers that were billed on behalf of CCAs, which are not included in revenues. (2) Amount is presented net of amounts due to unconsolidated affiliates on the Condensed Consolidated Balance Sheets, when right of offset exists. (3) In connection with the COVID-19 pandemic and at the direction of the CPUC, SDG&E and SoCalGas enrolled residential and small business customers with past-due balances in long-term repayment plans. |
REGULATORY MATTERS
REGULATORY MATTERS | 9 Months Ended |
Sep. 30, 2023 | |
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. With the exception of regulatory balancing accounts, we generally do not earn a return on our regulatory assets until such time as a related cash expenditure has been made. Upon the occurrence of a cash expenditure associated with a regulatory asset, the related amounts are recoverable through a regulatory account mechanism for which we earn a return authorized by applicable regulators, which generally approximates the three-month commercial paper rate. The periods during which we recognize a regulatory asset while we do not earn a return vary by regulatory asset. REGULATORY ASSETS (LIABILITIES) (Dollars in millions) September 30, December 31, SDG&E: Fixed-price contracts and other derivatives $ (10) $ (110) Deferred income taxes recoverable in rates 518 296 Pension and PBOP plan obligations (2) 11 Removal obligations (2,382) (2,248) Environmental costs 105 107 Sunrise Powerlink fire mitigation 123 123 Regulatory balancing accounts (1)(2) : Commodity – electric 111 220 Gas transportation 15 60 Safety and reliability 186 107 Public purpose programs (133) (69) Wildfire mitigation plan 607 375 Liability insurance premium 96 99 Other balancing accounts (338) (50) Other regulatory assets, net (2) 96 137 Total SDG&E (1,008) (942) SoCalGas: Deferred income taxes recoverable in rates 244 161 Pension and PBOP plan obligations (265) (170) Employee benefit costs 24 24 Removal obligations (597) (616) Environmental costs 39 38 Regulatory balancing accounts (1)(2) : Commodity – gas, including transportation (356) (257) Safety and reliability 691 575 Public purpose programs (149) (158) Liability insurance premium 23 23 Other balancing accounts 519 115 Other regulatory assets, net (2) 224 223 Total SoCalGas 397 (42) Sempra Infrastructure: Deferred income taxes recoverable in rates 78 78 Other regulatory assets 3 — Total Sempra Infrastructure 81 78 Total Sempra $ (530) $ (906) (1) At September 30, 2023 and December 31, 2022, the noncurrent portion of regulatory balancing accounts – net undercollected for SDG&E was $842 and $562, respectively, and for SoCalGas was $957 and $692, respectively. (2) Includes regulatory assets earning a return authorized by applicable regulators, which generally approximates the three-month commercial paper rate. SEMPRA CALIFORNIA CPUC GRC The CPUC uses GRCs to set revenues to allow SDG&E and SoCalGas to recover their reasonable operating costs and to provide the opportunity to realize their authorized rates of return on their investments. In May 2022, SDG&E and SoCalGas filed their 2024 GRC applications requesting CPUC approval of test year revenue requirements for 2024 and attrition year adjustments for 2025 through 2027. SDG&E and SoCalGas requested revenue requirements for 2024 of $3.0 billion and $4.4 billion, respectively. SDG&E and SoCalGas proposed post-test year revenue requirement changes using various mechanisms that are estimated to result in annual increases of approximately 8% to 11% at SDG&E and approximately 6% to 8% at SoCalGas. Intervening parties have proposed various adjustments to SDG&E’s and SoCalGas’ revenue requirement requests. In October 2022, the CPUC issued a scoping ruling that set a schedule for the proceeding, including the expected issuance of a proposed decision in the second quarter of 2024. The CPUC has authorized SDG&E and SoCalGas to recognize the effects of the GRC final decision retroactive to January 1, 2024. In October 2023, SDG&E submitted a separate request with the CPUC in its 2024 GRC describing $2.2 billion in costs to implement its wildfire mitigation plans from 2019 through 2022, and seeking review and recovery of the incremental wildfire mitigation plan costs incurred during that period, totaling $1.5 billion. SDG&E expects to receive a proposed decision on this request in the second half of 2024. SDG&E also expects to submit in mid-2024 a separate request in its 2024 GRC for review and recovery of its wildfire mitigation plan costs incurred in 2023. The results of the GRC may materially and adversely differ from what is contained in the GRC applications. CPUC Cost of Capital The CPUC approved the following cost of capital for SDG&E and SoCalGas that became effective on January 1, 2023 and will remain in effect through December 31, 2025, subject to the CCM. The CPUC has issued a ruling to initiate a second phase of this cost of capital proceeding to evaluate potential modifications to the CCM. CPUC AUTHORIZED COST OF CAPITAL FOR 2023 – 2025 SDG&E SoCalGas Authorized weighting Return on Weighted return on rate base (1) Authorized weighting Return on Weighted 45.25 % 4.05 % 1.83 % Long-Term Debt 45.60 % 4.07 % 1.86 % 2.75 6.22 0.17 Preferred Equity 2.40 6.00 0.14 52.00 9.95 5.17 Common Equity 52.00 9.80 5.10 100.00 % 7.18 % 100.00 % 7.10 % (1) Total weighted return on rate base does not sum due to rounding differences. The CCM was triggered for SDG&E and SoCalGas on September 30, 2023 and, subject to regulatory approval, would increase each of their authorized rates of return effective January 1, 2024 as follows: PROPOSED CPUC COST OF CAPITAL FOR 2024 – 2025 SDG&E SoCalGas Authorized weighting Return on Weighted Authorized weighting Return on Weighted 45.25 % 4.34 % 1.96 % Long-Term Debt 45.60 % 4.54 % 2.07 % 2.75 6.22 0.17 Preferred Equity 2.40 6.00 0.14 52.00 10.65 5.54 Common Equity 52.00 10.50 5.46 100.00 % 7.67 % 100.00 % 7.67 % SDG&E FERC Rate Matters SDG&E files separately with the FERC for its authorized ROE on FERC-regulated electric transmission operations and assets. SDG&E’s currently effective TO5 settlement 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 (the California ISO adder). If the FERC issues an order ruling that California IOUs are no longer eligible for the California ISO adder, SDG&E would refund the California ISO adder as of the refund effective date (June 1, 2019) if such a refund is determined to be required by the terms of the TO5 settlement. The TO5 term is effective June 1, 2019 and shall remain in effect until terminated by a notice provided at least six months before the end of the calendar year. Following such notice, SDG&E would file an updated rate request with an effective date of January 1 of the following year. We provide below updates to ongoing matters related to SONGS, a nuclear generating facility near San Clemente, California that permanently 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. Major decommissioning work began in 2020. We expect the majority of the decommissioning work to be completed around 2030. 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. SDG&E is responsible for approximately 20% of the total decommissioning cost. 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. Amounts that were 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 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 December 2022, the CPUC granted SDG&E authorization to access NDT funds of up to $81 million for forecasted 2023 costs. The following table shows the fair values and gross unrealized gains and losses for the securities held in the NDT on the Sempra and SDG&E Condensed Consolidated Balance Sheets. We provide additional fair value disclosures for the NDT in Note 8. NUCLEAR DECOMMISSIONING TRUSTS (Dollars in millions) Cost Gross Gross Estimated September 30, 2023 Debt securities: Debt securities issued by the U.S. Treasury and other U.S. government corporations and agencies (1) $ 44 $ 1 $ (2) $ 43 Municipal bonds (2) 278 — (18) 260 Other securities (3) 234 1 (19) 216 Total debt securities 556 2 (39) 519 Equity securities 99 201 (5) 295 Short-term investments, primarily cash equivalents 24 — — 24 Receivables (payables), net (11) — — (11) Total $ 668 $ 203 $ (44) $ 827 December 31, 2022 Debt securities: Debt securities issued by the U.S. Treasury and other U.S. government corporations and agencies $ 40 $ 1 $ (1) $ 40 Municipal bonds 283 1 (14) 270 Other securities 248 — (21) 227 Total debt securities 571 2 (36) 537 Equity securities 111 194 (8) 297 Short-term investments, primarily cash equivalents 11 — — 11 Receivables (payables), net (4) — — (4) Total $ 689 $ 196 $ (44) $ 841 (1) Maturity dates are 2023 - 2054. (2) Maturity dates are 2023 - 2062. (3) Maturity dates are 2023 - 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 NUCLEAR DECOMMISSIONING TRUSTS (Dollars in millions) Three months ended September 30, Nine months ended September 30, 2023 2022 2023 2022 Proceeds from sales $ 143 $ 133 $ 437 $ 530 Gross realized gains 12 2 20 16 Gross realized losses (3) (3) (9) (14) 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’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 The present value of SDG&E’s ARO related to decommissioning costs for all three SONGS units was $512 million at September 30, 2023 and is based on a cost study prepared in 2020 that is pending CPUC approval. SDG&E expects to receive a proposed decision in the fourth quarter of 2023. |
INVESTMENTS IN UNCONSOLIDATED E
INVESTMENTS IN UNCONSOLIDATED ENTITIES | 9 Months Ended |
Sep. 30, 2023 | |
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 11 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 Note 6 of the Notes to Consolidated Financial Statements in the Annual Report. SEMPRA TEXAS UTILITIES Oncor Holdings We account for our 100% equity ownership interest in Oncor Holdings, which owns an 80.25% interest in Oncor, as an equity method investment. Due to the ring-fence 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, 2023 and 2022, Sempra contributed $270 million and $256 million, respectively, to Oncor Holdings, and Oncor Holdings distributed $323 million and $255 million, respectively, to Sempra. 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 2023 2022 2023 2022 Operating revenues $ 1,592 $ 1,438 $ 4,227 $ 3,980 Operating expenses (1,007) (929) (3,007) (2,734) Income from operations 585 509 1,220 1,246 Interest expense (140) (115) (396) (331) Income tax expense (81) (70) (148) (164) Net income 376 315 672 732 Noncontrolling interest held by Texas Transmission Investment LLC (75) (62) (135) (146) Earnings attributable to Sempra (1) 301 253 537 586 (1) Excludes adjustments to equity earnings related to amortization of a tax sharing liability associated with a tax sharing arrangement and changes in basis differences in AOCI within the carrying value of our equity method investment. SEMPRA INFRASTRUCTURE Cameron LNG JV In the nine months ended September 30, 2023 and 2022, Sempra Infrastructure contributed $11 million and $19 million, respectively, to Cameron LNG JV, and Cameron LNG JV distributed $339 million and $388 million, respectively, to Sempra Infrastructure. Sempra Promissory Note for SDSRA Distribution Cameron LNG JV’s debt agreements require Cameron LNG JV to maintain the SDSRA, which is an additional reserve account beyond the Senior Debt Service Accrual Account, where funds accumulate from operations to satisfy senior debt obligations due and payable on the next payment date. Both accounts can be funded with cash or authorized investments. In June 2021, Sempra Infrastructure received a distribution of $165 million based on its proportionate share of the SDSRA, for which Sempra provided a promissory note and letters of credit to secure a proportionate share of Cameron LNG JV’s obligation to fund the SDSRA. Sempra’s maximum exposure to loss is replenishment of the amount withdrawn by Sempra Infrastructure from the SDSRA, or $165 million. We recorded a guarantee liability of $22 million in June 2021, with an associated carrying value of $19 million at September 30, 2023, for the fair value of the promissory note, which is being reduced over the duration of the guarantee through Sempra Infrastructure’s investment in Cameron LNG JV. The guarantee will terminate upon full repayment of Cameron LNG JV’s debt, scheduled to occur in 2039, or replenishment of the amount withdrawn by Sempra Infrastructure from the SDSRA. Sempra 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 used its $753 million share of the proceeds for working capital and other general corporate purposes, including the repayment of indebtedness. Sempra Infrastructure’s $753 million proportionate share of the affiliate loans, based on SI Partners’ 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 has provided a guarantee pursuant to a Support Agreement under which: ▪ Sempra has severally guaranteed repayment of the bank debt plus accrued and unpaid interest if CFIN fails to pay the external lenders; ▪ the external lenders may exercise an option to put the bank debt to Sempra Infrastructure upon the occurrence of certain events, including a failure by CFIN to meet its payment obligations under the bank debt; ▪ the external lenders will put some or all of the bank debt to Sempra Infrastructure on the fifth, tenth, or fifteenth anniversary date of the affiliate loans, except the portion of the debt owed to any external lender that has elected not to participate in the put option six months prior to the respective anniversary date; ▪ Sempra Infrastructure also has a right to call the bank debt back from, or to refinance the bank debt with, the external lenders at any time; and ▪ 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 Infrastructure. In exchange for this guarantee, the external lenders pay a guarantee fee that is based on the credit rating of Sempra’s long-term senior unsecured non-credit enhanced debt rating, which guarantee fee Sempra Infrastructure recognizes as interest income as earned. Sempra’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 8). At September 30, 2023, the fair value of the Support Agreement was $18 million, of which $7 million is included in Other Current Assets and $11 million is included in Other Long-Term Assets on Sempra’s Condensed Consolidated Balance Sheet. TAG In the nine months ended September 30, 2023 and 2022, TAG distributed $36 million and $32 million, respectively, to Sempra Infrastructure. IMG In the nine months ended September 30, 2023, IMG distributed $6 million to Sempra Infrastructure. |
DEBT AND CREDIT FACILITIES
DEBT AND CREDIT FACILITIES | 9 Months Ended |
Sep. 30, 2023 | |
Debt Disclosure [Abstract] | |
DEBT AND CREDIT FACILITIES | DEBT AND CREDIT FACILITIES The principal terms of our debt arrangements are described below and in Note 7 of the Notes to Consolidated Financial Statements in the Annual Report. SHORT-TERM DEBT Committed Lines of Credit At September 30, 2023, Sempra had an aggregate capacity of $9.9 billion under seven primary committed lines of credit, which provide liquidity and support commercial paper programs. Because our commercial paper programs are supported by some of these lines of credit, we reflect the amount of commercial paper outstanding, before reductions of any unamortized discounts, and any letters of credit outstanding as a reduction to the available unused credit capacity in the following table. COMMITTED LINES OF CREDIT (Dollars in millions) September 30, 2023 Borrower Expiration date of facility Total facility Commercial paper outstanding Amounts outstanding Letters of credit outstanding Available unused credit Sempra October 2028 (1) $ 4,000 $ (970) $ — $ — $ 3,030 SDG&E October 2028 (1) 1,500 — — — 1,500 SoCalGas October 2028 (1) 1,200 (421) — — 779 SI Partners and IEnova September 2025 (2) 500 — (350) — 150 SI Partners and IEnova August 2026 (3) 1,000 — — — 1,000 SI Partners and IEnova August 2028 (4) 1,500 — (201) — 1,299 Port Arthur LNG March 2030 200 — — (25) 175 Total $ 9,900 $ (1,391) $ (551) $ (25) $ 7,933 (1) In October 2023, Sempra, SDG&E and SoCalGas each amended their respective credit facility to extend the expiration date from October 2027 to October 2028. Each credit facility will maintain a syndicate of 23 lenders through October 2027, at which time the syndicate of lenders for each credit facility will be reduced to 22 unless a new or existing lender agrees to assume the 23 rd lender’s commitment. Such a reduction in lenders would result in a reduction to the available credit capacity to $3,845, $1,442 and $1,153 for Sempra, SDG&E and SoCalGas, respectively, through October 2028. (2) In September 2023, the $150 facility was terminated and the $350 facility was amended to increase the commitment to $500, adjust the applicable margin to 80 bps (including credit adjustment spread), and extend the expiration date from September 2023 to September 2025. (3) In August 2023, the facility was amended to include IEnova as a co-borrower, adjust the Term SOFR credit adjustment spread to 10 bps in all tenors, and extend the expiration date from November 2024 to August 2026. Additionally, either SI Partners or IEnova has the right to increase the total facility to $1,500, subject to lender approval. (4) In August 2023, the facility was amended to extend the expiration date from February 2024 to August 2028. Sempra, 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, 2023, each entity was in compliance with this ratio under its respective credit facility. SI Partners must maintain a ratio of consolidated adjusted net indebtedness to consolidated earnings before interest, taxes, depreciation and amortization (as defined in each of the applicable credit facilities) of no more than 5.25 to 1.00 at the end of each quarter. At September 30, 2023, SI Partners was in compliance with this ratio. In March 2023, Port Arthur LNG entered into a seven-year initial working capital facility agreement with a syndicate of lenders expiring in March 2030. The credit facility permits borrowings of up to $200 million, which bear interest by reference to Term SOFR, plus the applicable margin and a credit adjustment spread. The credit facility also provides for the issuance of up to $200 million of letters of credit. Uncommitted Line of Credit ECA LNG Phase 1 has an uncommitted line of credit, which is generally used for working capital requirements, with an aggregate capacity of $200 million of which $37 million was outstanding at September 30, 2023. The amounts outstanding are before reductions of any unamortized discounts. Borrowings can be in U.S. dollars or Mexican pesos. At September 30, 2023, outstanding amounts were borrowed in Mexican pesos and bear interest at a variable rate based on the 28-day Interbank Equilibrium Interest Rate plus 105 bps. In June 2023, the facility was amended to extend the expiration date to August 2024 and replace the London Interbank Offered Rate reference rate plus 105 bps with the SOFR reference rate plus 115 bps. As such, borrowings made in U.S. dollars bear interest at a variable rate based on the one-month or three-month SOFR plus 115 bps. Uncommitted Letters of Credit Outside of our domestic and foreign 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, 2023, we had $508 million in standby letters of credit outstanding under these agreements. UNCOMMITTED LETTERS OF CREDIT (Dollars in millions) September 30, 2023 Expiration date range Uncommitted letters of credit outstanding SDG&E January 2024 - May 2024 $ 15 SoCalGas March 2024 - November 2024 20 Sempra Infrastructure October 2023 - October 2043 307 Parent and other March 2024 - September 2024 166 Total $ 508 Term Loan In July 2022, SoCalGas entered into an $800 million, 364-day term loan agreement with a maturity date of July 6, 2023. In August 2022, SoCalGas borrowed $800 million, net of negligible debt issuance costs, under the term loan agreement. The borrowing bore interest at benchmark rates plus 70 bps and was due in full upon maturity. SoCalGas used the proceeds for payment of a portion of the costs relating to litigation pertaining to the Leak. In the second quarter of 2023, SoCalGas repaid the term loan in full. Weighted-Average Interest Rates The weighted-average interest rates on all short-term debt were as follows: WEIGHTED-AVERAGE INTEREST RATES September 30, 2023 December 31, 2022 Sempra 5.86 % 5.57 % SDG&E — 4.76 SoCalGas 5.37 4.71 LONG-TERM DEBT SDG&E In March 2023, SDG&E issued $800 million aggregate principal amount of 5.35% first mortgage bonds due in full upon maturity on April 1, 2053 and received proceeds of $783 million (net of debt discount, underwriting discounts and debt issuance costs of $17 million). The first mortgage bonds are redeemable prior to maturity, subject to their terms, and in certain circumstances subject to make-whole provisions. SDG&E used the net proceeds for general corporate purposes, including repayment of commercial paper and other indebtedness. In August 2023, SDG&E issued $600 million aggregate principal amount of 4.95% green first mortgage bonds due in full upon maturity on August 15, 2028 and received proceeds of $593 million (net of debt discount, underwriting discounts and debt issuance costs of $7 million). The first mortgage bonds are redeemable prior to maturity, subject to their terms, and in certain circumstances subject to make-whole provisions. SDG&E intends to use the net proceeds to finance or refinance investments in eligible projects that fall into one or more of the following categories: climate change adaptation, clean energy solutions and clean transportation. SoCalGas In May 2023, SoCalGas issued $500 million aggregate principal amount of 5.20% first mortgage bonds due in full upon maturity on June 1, 2033 and received proceeds of $495 million (net of debt discount, underwriting discounts and debt issuance costs of $5 million), and $500 million aggregate principal amount of 5.75% first mortgage bonds due in full upon maturity on June 1, 2053 and received proceeds of $493 million (net of debt discount, underwriting discounts and debt issuance costs of $7 million). Each series of first mortgage bonds is redeemable prior to maturity, subject to its terms, and in certain circumstances subject to make-whole provisions. SoCalGas used the net proceeds to repay its $300 million senior unsecured floating rate notes prior to their September 2023 scheduled maturity, a portion of its $800 million term loan and other general corporate purposes. Sempra In June 2023, Sempra issued $550 million aggregate principal amount of 5.40% senior unsecured notes due in full upon maturity on August 1, 2026 and received proceeds of $545 million (net of debt discount, underwriting discounts and debt issuance costs of $5 million), and $700 million aggregate principal amount of 5.50% senior unsecured notes due in full upon maturity on August 1, 2033 and received proceeds of $692 million (net of debt discount, underwriting discounts and debt issuance costs of $8 million). Each series of notes is redeemable prior to maturity, subject to its terms, and in certain circumstances subject to make-whole provisions. We used the net proceeds for general corporate purposes, including repayment of commercial paper and other indebtedness. Sempra Infrastructure ECA LNG Phase 1 ECA LNG Phase 1 has a five-year loan agreement with a syndicate of seven external lenders that matures in December 2025 for an aggregate principal amount of up to $1.3 billion. IEnova and TotalEnergies SE have provided guarantees for repayment of the loans plus accrued and unpaid interest of 83.4% and 16.6%, respectively. At September 30, 2023 and December 31, 2022, $782 million and $575 million, respectively, of borrowings from external lenders were outstanding under the loan agreement, with a weighted-average interest rate of 8.35% and 7.54%, respectively. Port Arthur LNG In March 2023, Port Arthur LNG entered into a term loan facility agreement with a syndicate of lenders for an aggregate principal amount of approximately $6.8 billion. Proceeds from the loans will be used to finance the cost of construction of the PA LNG Phase 1 project. The loans mature on March 20, 2030 and bear interest by reference to Term SOFR, plus the applicable margin and a credit adjustment spread. The applicable margin prior to completion of the PA LNG Phase 1 project (which occurs upon the satisfaction or waiver of a series of customary operational, technical, environmental and social and other tests and conditions that generally would not be fully met until after the commercial operations date) is 2.00% and on completion and thereafter is 2.25%. The principal amounts outstanding on the loans must be repaid in quarterly installments, commencing on the earlier of (i) the first quarterly payment date occurring more than three calendar months following completion of the PA LNG Phase 1 project and (ii) April 20, 2029. Under the terms of the loan agreement, at least 60% of the projected outstanding balance is required to be hedged during construction and over the underlying 20-year notional amortization period. As we discuss in Note 7, Port Arthur LNG entered into hedging instruments in satisfaction of this requirement in March 2023. An upfront equity funding amount of $4.7 billion is required to have been contributed to Port Arthur LNG for construction costs as a condition to the initial advance of term loans under the agreement (other than advances for fees, interest, expenses and certain other specified costs). Port Arthur LNG paid $200 million in debt issuance costs at closing. Additionally, the loan agreement and the related working capital facility agreement that we discuss above require payment of commitment fees calculated at a rate per annum equal to 30% of the applicable margin for Term SOFR loans multiplied by the outstanding debt commitments, and additional administrative fees. At September 30, 2023, $243 million of borrowings were outstanding under the loan agreement, with an all-in weighted-average interest rate of 5.71%. In connection with this loan agreement, SI Partners and ConocoPhillips have collectively provided commitments for approximately $2.8 billion in equity funding for the benefit of Port Arthur LNG for their respective affiliate’s share of the equity funding of anticipated construction costs of the PA LNG Phase 1 project in excess of the upfront equity funding amount of $4.7 billion. The amount of each commitment is based on each of SI Partners’ and ConocoPhillips’ proportionate indirect ownership interest in Port Arthur LNG of 70% and 30%, respectively, as of the March 2023 loan agreement. The obligation under these guarantees will be reduced as their respective affiliates fund their direct proportionate interest of capital calls. Such equity funding can be called upon by Port Arthur LNG to fund project costs or, upon the taking of an enforcement action under the terms of Port Arthur LNG’s finance documents, to pay its senior debt obligations. The pari passu secured obligations under the related finance documents are secured by a first priority lien (subject to customary permitted encumbrances) in substantially all of the assets of Port Arthur LNG, including the equity interests in, and real property |
DERIVATIVE FINANCIAL INSTRUMENT
DERIVATIVE FINANCIAL INSTRUMENTS | 9 Months Ended |
Sep. 30, 2023 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
DERIVATIVE FINANCIAL INSTRUMENTS | DERIVATIVE FINANCIAL INSTRUMENTS We 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 may have derivatives that are (1) cash flow hedges, (2) fair value hedges, or (3) undesignated. Depending on the applicability of hedge accounting and, for SDG&E and SoCalGas 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 and amounts related to terminations or early settlements of interest rate swaps 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 of variability of future cash flows of a given revenue or expense item, 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: ▪ SDG&E and SoCalGas use natural gas derivatives and SDG&E uses electricity derivatives, for the benefit of customers, with the objective of managing price risk and basis risk, 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 limited by company policy. SDG&E’s risk management and transacting activity plans for electricity derivatives are also required to be filed with, and have been approved by, the CPUC. SoCalGas is also subject to certain regulatory requirements and thresholds related to natural gas procurement under the GCIM. 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 Natural Gas or in Cost of Electric Fuel and Purchased Power. ▪ 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 Infrastructure may use natural gas and electricity derivatives, as appropriate, in an effort to optimize the earnings of its assets which support the following businesses: LNG, natural gas pipelines and storage, and power generation. Gains and losses associated with undesignated derivatives are recognized in Energy-Related Businesses Revenues on the Condensed Consolidated Statements of Operations. ▪ From time to time, our various businesses, including SDG&E and SoCalGas, may use other derivatives to hedge exposures such as GHG allowances. The following table summarizes net energy derivative volumes. NET ENERGY DERIVATIVE VOLUMES (Quantities in millions) Commodity Unit of measure September 30, 2023 December 31, 2022 Sempra: Natural gas MMBtu 441 254 Electricity MWh — 1 Congestion revenue rights MWh 40 42 SDG&E: Natural gas MMBtu 16 15 Congestion revenue rights MWh 40 42 SoCalGas: Natural gas MMBtu 347 224 INTEREST RATE DERIVATIVES We are exposed to interest rates primarily as a result of our current and expected use of financing. SDG&E and SoCalGas, as well as Sempra 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. In December 2022, Sempra Infrastructure entered into an undesignated contingent interest rate swap to lock in interest rates on up to $3.5 billion of the variable rate indebtedness from anticipated future project-level debt financing that would be used to pay for construction costs of the PA LNG Phase 1 project. The contingent interest rate swap had a 25-year tenor, and its settlement was conditional upon the closing of project-level debt financing with respect to the PA LNG Phase 1 project. In March 2023, we closed on the project-level debt financing and, shortly thereafter, paid $14 million to cash settle the contingent interest rate swap. As we discuss in Note 6, a minimum of 60% of the projected amount of term loans outstanding is required to be hedged under the Port Arthur LNG term loan facility agreement. In March 2023, Port Arthur LNG entered into floating-to-fixed interest rate swaps with 17 counterparties to hedge the variability in cash flows related to the SOFR-based component of interest payments on forecasted loans outstanding under the agreement. The notional amounts of the interest rate swaps generally increase in proportion to the forecasted borrowings up to a maximum amount of $4.2 billion prior to the maturity of the term loans on March 20, 2030. Under the interest rate swaps, which are designated as cash flow hedges, Port Arthur LNG receives interest at Term SOFR and pays interest at a fixed rate of 3.23% based on amortizing notional amounts maturing in 2048. The following table presents the net notional amounts of our interest rate derivatives, excluding those in our equity method investments and the contingent interest rate swap. INTEREST RATE DERIVATIVES (Dollars in millions) September 30, 2023 December 31, 2022 Notional debt Maturities Notional debt Maturities Sempra: Cash flow hedges (1) $ 4,454 2023-2048 $ 294 2023-2034 (1) At September 30, 2023 and December 31, 2022, cash flow hedges accrued interest based on a notional of $491 and $294, respectively. FOREIGN CURRENCY DERIVATIVES We may 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 fixed interest rates for U.S. fixed interest rates. From time to time, Sempra Infrastructure 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 may 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. The following table presents the net notional amounts of our foreign currency derivatives, excluding those in our equity method investments. FOREIGN CURRENCY DERIVATIVES (Dollars in millions) September 30, 2023 December 31, 2022 Notional amount Maturities Notional amount Maturities Sempra: Cross-currency swaps $ — — $ 306 2023 Other foreign currency derivatives 150 2023-2025 111 2023-2024 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, 2023 Current assets: Fixed-price contracts and other derivatives (1) Other long-term assets Other current liabilities Deferred credits and other Sempra: Derivatives designated as hedging instruments: Interest rate instruments $ 15 $ 363 $ — $ — Foreign exchange instruments — 1 (8) — Derivatives not designated as hedging instruments: Commodity contracts not subject to rate recovery 175 25 (172) (29) Associated offsetting commodity contracts (166) (22) 166 22 Commodity contracts subject to rate recovery 22 15 (171) (6) Associated offsetting commodity contracts (16) (3) 16 3 Associated offsetting cash collateral — — — 1 Net amounts presented on the balance sheet 30 379 (169) (9) Additional cash collateral for commodity contracts not subject to rate recovery 89 — — — Additional cash collateral for commodity contracts subject to rate recovery 82 — — — Total (2) $ 201 $ 379 $ (169) $ (9) SDG&E: Derivatives not designated as hedging instruments: Commodity contracts subject to rate recovery $ 18 $ 15 $ (13) $ (4) Associated offsetting commodity contracts (12) (3) 12 3 Associated offsetting cash collateral — — — 1 Net amounts presented on the balance sheet 6 12 (1) — Additional cash collateral for commodity contracts subject to rate recovery 80 — — — Total (2) $ 86 $ 12 $ (1) $ — SoCalGas: Derivatives not designated as hedging instruments: Commodity contracts subject to rate recovery $ 4 $ — $ (158) $ (2) Associated offsetting commodity contracts (4) — 4 — Net amounts presented on the balance sheet — — (154) (2) Additional cash collateral for commodity contracts subject to rate recovery 2 — — — Total $ 2 $ — $ (154) $ (2) (1) Included in Other Current Assets for SoCalGas. (2) Normal purchase contracts previously measured at fair value are excluded. DERIVATIVE INSTRUMENTS ON THE CONDENSED CONSOLIDATED BALANCE SHEETS (CONTINUED) (Dollars in millions) December 31, 2022 Current assets: Fixed-price contracts and other derivatives (1) Other long-term assets Other current liabilities Deferred credits and other Sempra: Derivatives designated as hedging instruments: Interest rate instruments $ 10 $ 33 $ — $ — Foreign exchange instruments — — (7) (1) Interest rate and foreign exchange instruments — — (105) — Derivatives not designated as hedging instruments: Commodity contracts not subject to rate recovery 480 133 (399) (132) Associated offsetting commodity contracts (301) (39) 301 39 Commodity contracts subject to rate recovery 138 27 (97) (2) Associated offsetting commodity contracts (27) (2) 27 2 Interest rate instrument 33 — — — Net amounts presented on the balance sheet 333 152 (280) (94) Additional cash collateral for commodity contracts not subject to rate recovery 451 — — — Additional cash collateral for commodity contracts subject to rate recovery 18 — — — Total (2) $ 802 $ 152 $ (280) $ (94) SDG&E: Derivatives not designated as hedging instruments: Commodity contracts subject to rate recovery $ 107 $ 27 $ (13) $ (2) Associated offsetting commodity contracts (12) (2) 12 2 Net amounts presented on the balance sheet 95 25 (1) — Additional cash collateral for commodity contracts subject to rate recovery 17 — — — Total (2) $ 112 $ 25 $ (1) $ — SoCalGas: Derivatives not designated as hedging instruments: Commodity contracts subject to rate recovery $ 31 $ — $ (84) $ — Associated offsetting commodity contracts (15) — 15 — Net amounts presented on the balance sheet 16 — (69) — Additional cash collateral for commodity contracts subject to rate recovery 1 — — — Total $ 17 $ — $ (69) $ — (1) Included in Other Current Assets for SoCalGas. (2) Normal purchase contracts previously measured at fair value are excluded. The following table 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 gain (loss) reclassified Three months ended September 30, Three months ended September 30, 2023 2022 Location 2023 2022 Sempra: Interest rate instruments $ 320 $ 4 Interest Expense $ (1) $ (2) Interest rate instruments 32 68 Equity Earnings (1) 12 (1) Foreign exchange instruments 8 2 Revenues: Energy- Related Businesses — — Other Income (Expense), Net 1 — Foreign exchange instruments 7 1 Equity Earnings (1) 1 — Interest rate and foreign exchange instruments — — Other Income (Expense), Net — (3) Total $ 367 $ 75 $ 13 $ (6) Nine months ended September 30, Nine months ended September 30, 2023 2022 Location 2023 2022 Sempra: Interest rate instruments $ 337 $ 39 Interest Expense $ (1) $ (1) Interest rate instruments 56 212 Equity Earnings (1) 33 (28) Foreign exchange instruments — (1) Revenues: Energy- Related Businesses — 2 Other Income (Expense), Net (1) (1) Foreign exchange instruments 1 (1) Equity Earnings (1) (1) 1 Interest rate and foreign exchange instruments 7 13 Interest Expense 1 1 Other Income (Expense), Net 6 3 Total $ 401 $ 262 $ 37 $ (23) SoCalGas: Interest rate instruments $ — $ — Interest Expense $ (1) $ (1) (1) Equity earnings at our foreign equity method investees are recognized after tax. For Sempra, we expect that net gains before NCI of $48 million, which are net of income tax expense, that are currently recorded in AOCI (with net gains of $22 million attributable to NCI) 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, 2023 is approximately 24 years for Sempra. The maximum remaining term for which we are hedging exposure to the variability of cash flows at our equity method investees is 16 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 2023 2022 2023 2022 Sempra: Commodity contracts not subject to rate recovery Revenues: Energy-Related Businesses $ 83 $ (227) $ 785 $ (455) Commodity contracts subject to rate recovery Cost of Natural Gas (125) (11) (172) (15) Commodity contracts subject to rate recovery Cost of Electric Fuel and Purchased Power 23 16 5 10 Interest rate instrument Interest Expense — — (47) — Total $ (19) $ (222) $ 571 $ (460) SDG&E: Commodity contracts subject to rate recovery Cost of Electric Fuel and Purchased Power $ 23 $ 16 $ 5 $ 10 SoCalGas: Commodity contracts subject to rate recovery Cost of Natural Gas $ (125) $ (11) $ (172) $ (15) CREDIT RISK RELATED CONTINGENT FEATURES For Sempra, 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, the total fair value of this group of derivative instruments in a liability position at September 30, 2023 and December 31, 2022 was $160 million and $106 million, respectively. For SoCalGas, the total fair value of this group of derivative instruments in a liability position at September 30, 2023 and December 31, 2022 was $157 million and $69 million, respectively. SDG&E did not have this group of derivative instruments in a liability position at September 30, 2023 or December 31, 2022. At September 30, 2023, if the credit ratings of Sempra or SoCalGas were reduced below investment grade, $160 million and $157 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, 2023 | |
Fair Value Disclosures [Abstract] | |
FAIR VALUE MEASUREMENTS | FAIR VALUE MEASUREMENTS We 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, 2023 and December 31, 2022. 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, 2022. The fair value of commodity derivative assets and liabilities is presented in accordance with our netting policy, as we discuss in Note 7 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: ▪ Nuclear decommissioning trusts reflect the assets of SDG&E’s NDT, excluding accounts receivable and accounts payable. 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 instruments 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 short-term investments that consist of money market and mutual funds 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). ▪ As we discuss in Note 5, in July 2020, Sempra 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 Infrastructure.” RECURRING FAIR VALUE MEASURES – SEMPRA (Dollars in millions) Level 1 Level 2 Level 3 Total Fair value at September 30, 2023 Assets: Nuclear decommissioning trusts: Short-term investments, primarily cash equivalents $ 21 $ 3 $ — $ 24 Equity securities 291 4 — 295 Debt securities: Debt securities issued by the U.S. Treasury and other U.S. government corporations and agencies 27 16 — 43 Municipal bonds — 260 — 260 Other securities — 216 — 216 Total debt securities 27 492 — 519 Total nuclear decommissioning trusts (1) 339 499 — 838 Short-term investments held in Rabbi Trust 62 — — 62 Interest rate instruments — 378 — 378 Foreign exchange instruments — 1 — 1 Commodity contracts not subject to rate recovery — 12 — 12 Effect of netting and allocation of collateral (2) 89 — — 89 Commodity contracts subject to rate recovery — — 18 18 Effect of netting and allocation of collateral (2) 76 — 6 82 Support Agreement, net of related guarantee fees — — 18 18 Total $ 566 $ 890 $ 42 $ 1,498 Liabilities: Foreign exchange instruments $ — $ 8 $ — $ 8 Commodity contracts not subject to rate recovery — 13 — 13 Commodity contracts subject to rate recovery 2 156 — 158 Effect of netting and allocation of collateral (2) (1) — — (1) Total $ 1 $ 177 $ — $ 178 (1) Excludes receivables (payables), net. (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 – SEMPRA (CONTINUED) (Dollars in millions) Level 1 Level 2 Level 3 Total Fair value at December 31, 2022 Assets: Nuclear decommissioning trusts: Short-term investments, primarily cash equivalents $ 10 $ 1 $ — $ 11 Equity securities 293 4 — 297 Debt securities: Debt securities issued by the U.S. Treasury and other U.S. government corporations and agencies 27 13 — 40 Municipal bonds — 270 — 270 Other securities — 227 — 227 Total debt securities 27 510 — 537 Total nuclear decommissioning trusts (1) 330 515 — 845 Short-term investments held in Rabbi Trust 55 — — 55 Interest rate instruments — 76 — 76 Commodity contracts not subject to rate recovery — 273 — 273 Effect of netting and allocation of collateral (2) 451 — — 451 Commodity contracts subject to rate recovery 82 19 35 136 Effect of netting and allocation of collateral (2) 12 — 6 18 Support Agreement, net of related guarantee fees — — 17 17 Total $ 930 $ 883 $ 58 $ 1,871 Liabilities: Foreign exchange instruments $ — $ 8 $ — $ 8 Interest rate and foreign exchange instruments — 105 — 105 Commodity contracts not subject to rate recovery — 191 — 191 Commodity contracts subject to rate recovery — 70 — 70 Total $ — $ 374 $ — $ 374 1) Excludes receivables (payables), net. (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) Level 1 Level 2 Level 3 Total Fair value at September 30, 2023 Assets: Nuclear decommissioning trusts: Short-term investments, primarily cash equivalents $ 21 $ 3 $ — $ 24 Equity securities 291 4 — 295 Debt securities: Debt securities issued by the U.S. Treasury and other U.S. government corporations and agencies 27 16 — 43 Municipal bonds — 260 — 260 Other securities — 216 — 216 Total debt securities 27 492 — 519 Total nuclear decommissioning trusts (1) 339 499 — 838 Commodity contracts subject to rate recovery — — 18 18 Effect of netting and allocation of collateral (2) 74 — 6 80 Total $ 413 $ 499 $ 24 $ 936 Liabilities: Commodity contracts subject to rate recovery $ 2 $ — $ — $ 2 Effect of netting and allocation of collateral (2) (1) — — (1) Total $ 1 $ — $ — $ 1 Fair value at December 31, 2022 Assets: Nuclear decommissioning trusts: Short-term investments, primarily cash equivalents $ 10 $ 1 $ — $ 11 Equity securities 293 4 — 297 Debt securities: Debt securities issued by the U.S. Treasury and other U.S. government corporations and agencies 27 13 — 40 Municipal bonds — 270 — 270 Other securities — 227 — 227 Total debt securities 27 510 — 537 Total nuclear decommissioning trusts (1) 330 515 — 845 Commodity contracts subject to rate recovery 82 3 35 120 Effect of netting and allocation of collateral (2) 11 — 6 17 Total $ 423 $ 518 $ 41 $ 982 Liabilities: Commodity contracts subject to rate recovery $ — $ 1 $ — $ 1 Total $ — $ 1 $ — $ 1 (1) Excludes receivables (payables), net. (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) Level 1 Level 2 Level 3 Total Fair value at September 30, 2023 Assets: Effect of netting and allocation of collateral (1) $ 2 $ — $ — $ 2 Total $ 2 $ — $ — $ 2 Liabilities: Commodity contracts subject to rate recovery $ — $ 156 $ — $ 156 Total $ — $ 156 $ — $ 156 Fair value at December 31, 2022 Assets: Commodity contracts subject to rate recovery $ — $ 16 $ — $ 16 Effect of netting and allocation of collateral (1) 1 — — 1 Total $ 1 $ 16 $ — $ 17 Liabilities: Commodity contracts subject to rate recovery $ — $ 69 $ — $ 69 Total $ — $ 69 $ — $ 69 (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 and SDG&E. LEVEL 3 RECONCILIATIONS (1) (Dollars in millions) Three months ended September 30, 2023 2022 Balance at July 1 $ 20 $ 33 Realized and unrealized losses (2) (35) Allocated transmission instruments 1 2 Settlements (1) 33 Balance at September 30 $ 18 $ 33 Change in unrealized gains relating to instruments still held at September 30 $ 1 $ 3 Nine months ended September 30, 2023 2022 Balance at January 1 $ 35 $ 54 Realized and unrealized losses (10) (58) Allocated transmission instruments (1) (4) Settlements (6) 41 Balance at September 30 $ 18 $ 33 Change in unrealized losses relating to instruments still held at September 30 $ (8) $ (15) (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. 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 2023 $ (3.09) to $ 10.71 $ (0.56) 2022 (3.67) to 6.96 (0.70) The impact associated with discounting is not significant. 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 significantly higher (lower) fair value measurement. We summarize CRR volumes in Note 7. Long-term, fixed-price electricity positions in 2022 that were valued using significant unobservable data were classified as Level 3 because the contract terms related to a delivery location or tenor for which observable market rate information was not available. The fair value of the net electricity positions classified as Level 3 was 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, 2022 were $26.75 to $127.20 and $68.50, respectively. We summarize long-term, fixed-price electricity position volumes in Note 7. 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 Infrastructure The table below sets forth reconciliations of changes in the fair value of Sempra’s Support Agreement for the benefit of CFIN classified as Level 3 in the fair value hierarchy for Sempra. LEVEL 3 RECONCILIATIONS (Dollars in millions) Three months ended September 30, 2023 2022 Balance at July 1 $ 23 $ 16 Realized and unrealized (losses) gains (1) (3) 2 Settlements (2) (2) Balance at September 30 (2) $ 18 $ 16 Change in unrealized (losses) gains relating to instruments still held at September 30 $ (2) $ 2 Nine months ended September 30, 2023 2022 Balance at January 1 $ 17 $ 7 Realized and unrealized gains (1) 7 16 Settlements (6) (7) Balance at September 30 (2) $ 18 $ 16 Change in unrealized gains relating to instruments still held at September 30 $ 7 $ 15 (1) Net gains are included in Interest Income and net losses are included in Interest Expense on Sempra’s Condensed Consolidated Statements of Operations. (2) Includes $7 in Other Current Assets and $11 in Other Long-term Assets at September 30, 2023 on Sempra’s Condensed Consolidated Balance Sheet. Fair Value of Financial Instruments The fair values of certain of our financial instruments (cash, accounts receivable, amounts due to/from unconsolidated affiliates with original maturities of less than 90 days, 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) Carrying Fair value Level 1 Level 2 Level 3 Total September 30, 2023 Sempra: Long-term note receivable (1) $ 330 $ — $ — $ 295 $ 295 Long-term amounts due to unconsolidated affiliates 308 — 269 — 269 Total long-term debt (2) 27,657 — 23,765 — 23,765 SDG&E: Total long-term debt (3) $ 8,750 $ — $ 7,202 $ — $ 7,202 SoCalGas: Total long-term debt (4) $ 6,759 $ — $ 5,953 $ — $ 5,953 December 31, 2022 Sempra: Long-term note receivable (1) $ 318 $ — $ — $ 286 $ 286 Long-term amounts due to unconsolidated affiliates 301 — 263 — 263 Total long-term debt (2) 24,513 — 21,549 — 21,549 SDG&E: Total long-term debt (3) $ 7,800 $ — $ 6,726 $ — $ 6,726 SoCalGas: Total long-term debt (4) $ 6,059 $ — $ 5,538 $ — $ 5,538 (1) Before allowances for credit losses of $6 and $7 at September 30, 2023 and December 31, 2022, respectively. Excludes unamortized transaction costs of $4 and $5 at September 30, 2023 and December 31, 2022, respectively. (2) Before reductions of unamortized discount and debt issuance costs of $326 and $289 at September 30, 2023 and December 31, 2022, respectively, and excluding finance lease obligations of $1,346 and $1,343 at September 30, 2023 and December 31, 2022, respectively. (3) Before reductions of unamortized discount and debt issuance costs of $90 and $70 at September 30, 2023 and December 31, 2022, respectively, and excluding finance lease obligations of $1,234 and $1,256 at September 30, 2023 and December 31, 2022, respectively. (4) Before reductions of unamortized discount and debt issuance costs of $57 and $48 at September 30, 2023 and December 31, 2022, respectively, and excluding finance lease obligations of $112 and $87 at September 30, 2023 and December 31, 2022, respectively. We provide the fair values for the securities held in the NDT related to SONGS in Note 9. |
SAN ONOFRE NUCLEAR GENERATING S
SAN ONOFRE NUCLEAR GENERATING STATION | 9 Months Ended |
Sep. 30, 2023 | |
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. With the exception of regulatory balancing accounts, we generally do not earn a return on our regulatory assets until such time as a related cash expenditure has been made. Upon the occurrence of a cash expenditure associated with a regulatory asset, the related amounts are recoverable through a regulatory account mechanism for which we earn a return authorized by applicable regulators, which generally approximates the three-month commercial paper rate. The periods during which we recognize a regulatory asset while we do not earn a return vary by regulatory asset. REGULATORY ASSETS (LIABILITIES) (Dollars in millions) September 30, December 31, SDG&E: Fixed-price contracts and other derivatives $ (10) $ (110) Deferred income taxes recoverable in rates 518 296 Pension and PBOP plan obligations (2) 11 Removal obligations (2,382) (2,248) Environmental costs 105 107 Sunrise Powerlink fire mitigation 123 123 Regulatory balancing accounts (1)(2) : Commodity – electric 111 220 Gas transportation 15 60 Safety and reliability 186 107 Public purpose programs (133) (69) Wildfire mitigation plan 607 375 Liability insurance premium 96 99 Other balancing accounts (338) (50) Other regulatory assets, net (2) 96 137 Total SDG&E (1,008) (942) SoCalGas: Deferred income taxes recoverable in rates 244 161 Pension and PBOP plan obligations (265) (170) Employee benefit costs 24 24 Removal obligations (597) (616) Environmental costs 39 38 Regulatory balancing accounts (1)(2) : Commodity – gas, including transportation (356) (257) Safety and reliability 691 575 Public purpose programs (149) (158) Liability insurance premium 23 23 Other balancing accounts 519 115 Other regulatory assets, net (2) 224 223 Total SoCalGas 397 (42) Sempra Infrastructure: Deferred income taxes recoverable in rates 78 78 Other regulatory assets 3 — Total Sempra Infrastructure 81 78 Total Sempra $ (530) $ (906) (1) At September 30, 2023 and December 31, 2022, the noncurrent portion of regulatory balancing accounts – net undercollected for SDG&E was $842 and $562, respectively, and for SoCalGas was $957 and $692, respectively. (2) Includes regulatory assets earning a return authorized by applicable regulators, which generally approximates the three-month commercial paper rate. SEMPRA CALIFORNIA CPUC GRC The CPUC uses GRCs to set revenues to allow SDG&E and SoCalGas to recover their reasonable operating costs and to provide the opportunity to realize their authorized rates of return on their investments. In May 2022, SDG&E and SoCalGas filed their 2024 GRC applications requesting CPUC approval of test year revenue requirements for 2024 and attrition year adjustments for 2025 through 2027. SDG&E and SoCalGas requested revenue requirements for 2024 of $3.0 billion and $4.4 billion, respectively. SDG&E and SoCalGas proposed post-test year revenue requirement changes using various mechanisms that are estimated to result in annual increases of approximately 8% to 11% at SDG&E and approximately 6% to 8% at SoCalGas. Intervening parties have proposed various adjustments to SDG&E’s and SoCalGas’ revenue requirement requests. In October 2022, the CPUC issued a scoping ruling that set a schedule for the proceeding, including the expected issuance of a proposed decision in the second quarter of 2024. The CPUC has authorized SDG&E and SoCalGas to recognize the effects of the GRC final decision retroactive to January 1, 2024. In October 2023, SDG&E submitted a separate request with the CPUC in its 2024 GRC describing $2.2 billion in costs to implement its wildfire mitigation plans from 2019 through 2022, and seeking review and recovery of the incremental wildfire mitigation plan costs incurred during that period, totaling $1.5 billion. SDG&E expects to receive a proposed decision on this request in the second half of 2024. SDG&E also expects to submit in mid-2024 a separate request in its 2024 GRC for review and recovery of its wildfire mitigation plan costs incurred in 2023. The results of the GRC may materially and adversely differ from what is contained in the GRC applications. CPUC Cost of Capital The CPUC approved the following cost of capital for SDG&E and SoCalGas that became effective on January 1, 2023 and will remain in effect through December 31, 2025, subject to the CCM. The CPUC has issued a ruling to initiate a second phase of this cost of capital proceeding to evaluate potential modifications to the CCM. CPUC AUTHORIZED COST OF CAPITAL FOR 2023 – 2025 SDG&E SoCalGas Authorized weighting Return on Weighted return on rate base (1) Authorized weighting Return on Weighted 45.25 % 4.05 % 1.83 % Long-Term Debt 45.60 % 4.07 % 1.86 % 2.75 6.22 0.17 Preferred Equity 2.40 6.00 0.14 52.00 9.95 5.17 Common Equity 52.00 9.80 5.10 100.00 % 7.18 % 100.00 % 7.10 % (1) Total weighted return on rate base does not sum due to rounding differences. The CCM was triggered for SDG&E and SoCalGas on September 30, 2023 and, subject to regulatory approval, would increase each of their authorized rates of return effective January 1, 2024 as follows: PROPOSED CPUC COST OF CAPITAL FOR 2024 – 2025 SDG&E SoCalGas Authorized weighting Return on Weighted Authorized weighting Return on Weighted 45.25 % 4.34 % 1.96 % Long-Term Debt 45.60 % 4.54 % 2.07 % 2.75 6.22 0.17 Preferred Equity 2.40 6.00 0.14 52.00 10.65 5.54 Common Equity 52.00 10.50 5.46 100.00 % 7.67 % 100.00 % 7.67 % SDG&E FERC Rate Matters SDG&E files separately with the FERC for its authorized ROE on FERC-regulated electric transmission operations and assets. SDG&E’s currently effective TO5 settlement 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 (the California ISO adder). If the FERC issues an order ruling that California IOUs are no longer eligible for the California ISO adder, SDG&E would refund the California ISO adder as of the refund effective date (June 1, 2019) if such a refund is determined to be required by the terms of the TO5 settlement. The TO5 term is effective June 1, 2019 and shall remain in effect until terminated by a notice provided at least six months before the end of the calendar year. Following such notice, SDG&E would file an updated rate request with an effective date of January 1 of the following year. We provide below updates to ongoing matters related to SONGS, a nuclear generating facility near San Clemente, California that permanently 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. Major decommissioning work began in 2020. We expect the majority of the decommissioning work to be completed around 2030. 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. SDG&E is responsible for approximately 20% of the total decommissioning cost. 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. Amounts that were 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 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 December 2022, the CPUC granted SDG&E authorization to access NDT funds of up to $81 million for forecasted 2023 costs. The following table shows the fair values and gross unrealized gains and losses for the securities held in the NDT on the Sempra and SDG&E Condensed Consolidated Balance Sheets. We provide additional fair value disclosures for the NDT in Note 8. NUCLEAR DECOMMISSIONING TRUSTS (Dollars in millions) Cost Gross Gross Estimated September 30, 2023 Debt securities: Debt securities issued by the U.S. Treasury and other U.S. government corporations and agencies (1) $ 44 $ 1 $ (2) $ 43 Municipal bonds (2) 278 — (18) 260 Other securities (3) 234 1 (19) 216 Total debt securities 556 2 (39) 519 Equity securities 99 201 (5) 295 Short-term investments, primarily cash equivalents 24 — — 24 Receivables (payables), net (11) — — (11) Total $ 668 $ 203 $ (44) $ 827 December 31, 2022 Debt securities: Debt securities issued by the U.S. Treasury and other U.S. government corporations and agencies $ 40 $ 1 $ (1) $ 40 Municipal bonds 283 1 (14) 270 Other securities 248 — (21) 227 Total debt securities 571 2 (36) 537 Equity securities 111 194 (8) 297 Short-term investments, primarily cash equivalents 11 — — 11 Receivables (payables), net (4) — — (4) Total $ 689 $ 196 $ (44) $ 841 (1) Maturity dates are 2023 - 2054. (2) Maturity dates are 2023 - 2062. (3) Maturity dates are 2023 - 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 NUCLEAR DECOMMISSIONING TRUSTS (Dollars in millions) Three months ended September 30, Nine months ended September 30, 2023 2022 2023 2022 Proceeds from sales $ 143 $ 133 $ 437 $ 530 Gross realized gains 12 2 20 16 Gross realized losses (3) (3) (9) (14) 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’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 The present value of SDG&E’s ARO related to decommissioning costs for all three SONGS units was $512 million at September 30, 2023 and is based on a cost study prepared in 2020 that is pending CPUC approval. SDG&E expects to receive a proposed decision in the fourth quarter of 2023. |
COMMITMENTS AND CONTINGENCIES
COMMITMENTS AND CONTINGENCIES | 9 Months Ended |
Sep. 30, 2023 | |
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, and in some cases have exceeded, applicable insurance coverage and could materially adversely affect our business, results of operations, financial condition, cash flows and/or prospects. Unless otherwise indicated, we are unable to reasonably estimate possible losses or a range of losses in excess of any amounts accrued. At September 30, 2023, loss contingency accruals for legal matters, including associated legal fees and regulatory matters related to the Leak, that are probable and estimable were $203 million for Sempra, including $127 million for SoCalGas. Amounts for Sempra and SoCalGas include $125 million for matters related to the Leak, which we discuss below. SDG&E City of San Diego Franchise Agreement In 2021, two lawsuits were filed in the California Superior Court challenging various aspects of the natural gas and electric franchise agreements granted by the City of San Diego to SDG&E. Both lawsuits ultimately sought to void the franchise agreements. In one of the cases, judgment was granted in favor of SDG&E and the City of San Diego, and the plaintiff in that case has appealed. In the second case, the court ruled in favor of SDG&E and the City of San Diego, upholding all terms of the franchise agreements, except for the two-thirds City Council vote requirement for termination if the City decides to terminate under certain circumstances. Under the court’s ruling, the City can instead terminate on a majority vote, so long as it satisfies repayment provisions under the franchise agreements. This matter is subject to a motion for reconsideration, and subsequently an appeal if not otherwise resolved. 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. Litigation. In September 2021, SoCalGas and Sempra entered into an agreement with counsel to resolve approximately 390 lawsuits including approximately 36,000 plaintiffs (the Individual Plaintiffs) then pending against SoCalGas and Sempra related to the Leak for a payment of up to $1.8 billion. Over 99% of the Individual Plaintiffs participated and submitted valid releases, and SoCalGas paid $1.79 billion in 2022 under the agreement. The Individual Plaintiffs who have not participated in the settlement (the Remaining Individual Plaintiffs) are able to continue to pursue their claims. In addition, as of October 31, 2023, new lawsuits related to the Leak on behalf of approximately 394 new plaintiffs have been filed against SoCalGas and Sempra since the September 2021 settlement. The Remaining Individual Plaintiffs’ cases and new plaintiffs’ cases are coordinated before a single court in the LA Superior Court for pretrial management under a consolidated master complaint filed in November 2017, with one plaintiff’s case proceeding under a separate complaint. Both the consolidated master complaint and the separate complaint assert negligence, negligence per se, strict liability, negligent and intentional infliction of emotional distress and fraudulent concealment. The consolidated master complaint asserts additional causes of action for private and public nuisance (continuing and permanent), trespass, inverse condemnation, loss of consortium and wrongful death against SoCalGas and Sempra. The separate complaint asserts an additional cause of action for assault and battery. Both complaints seek compensatory and punitive damages for personal injuries, lost wages and/or lost profits, costs of future medical monitoring, and attorneys’ fees. The consolidated master complaint also seeks property damage and diminution in property value, injunctive relief and civil penalties. In October 2023, the LA Superior Court ordered the cases of 233 Remaining Individual Plaintiffs who did not respond to discovery requests to be dismissed. Four shareholder derivative actions were filed alleging breach of fiduciary duties against certain officers and certain directors of Sempra and/or SoCalGas. Three of the four shareholder derivative actions were joined in an Amended Consolidated Shareholder Derivative Complaint filed in the same coordinated proceeding in the LA Superior Court, which was dismissed with prejudice in January 2021, and in June 2023, the Court of Appeal of the State of California Second Appellate District Division Five affirmed the dismissal. Plaintiffs have sought review in the California Supreme Court. The LA Superior Court dismissed the remaining fourth action with prejudice in November 2022. Plaintiffs appealed this dismissal, but in October 2023, abandoned the appeal; as a result, the dismissal is final. Regulatory Proceeding. In February 2017, the CPUC opened proceeding SB 380 OII 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, as well as evaluating the impacts of reducing or eliminating the Aliso Canyon natural gas storage facility using the established framework and models. The next phase of the proceeding included engaging a consultant to analyze alternative means for meeting or avoiding the demand for the facility’s services if it were eliminated in either the 2027 or 2035 timeframe, and to address potential implementation of alternatives to the Aliso Canyon natural gas storage facility if the CPUC determines that the Aliso Canyon natural gas storage facility should be permanently closed. The CPUC also added all California IOUs as parties to the proceeding and encouraged all load serving entities in the Los Angeles Basin to join the proceeding. In November 2021, the CPUC issued a decision on the interim range of gas inventory levels at the Aliso Canyon natural gas storage facility, setting an interim range of gas inventory levels of up to 41.16 Bcf. In August 2023, the CPUC issued a decision approving a new interim range of gas inventory levels of up to 68.6 Bcf. The CPUC may issue future changes to this interim range of authorized gas inventory levels before issuing a final decision within the SB 380 OII proceeding. At September 30, 2023, the Aliso Canyon natural gas storage facility had a net book value of $993 million. 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, we may record an impairment of the facility, which could be material, or we could incur materially higher than expected operating costs and/or be required to make material additional capital expenditures (any or all of which may not be recoverable in rates), and natural gas reliability and electric generation could be jeopardized. Regulatory Proceeding – Resolved. In June 2019, the CPUC opened an OII (the Leak OII) to investigate and consider, among other things, whether SoCalGas should be sanctioned for the Leak and what damages, fines or other penalties, if any, should be imposed for any violations, unreasonable or imprudent practices or failure to cooperate sufficiently with SED, as well as to determine the amount of various costs incurred by SoCalGas and other parties in connection with the Leak and the ratemaking treatment or other disposition of such costs. In October 2022, SoCalGas executed a settlement agreement with SED and the Public Advocates Office at the CPUC to resolve all aspects of the Leak OII. The settlement agreement provides for financial penalties, certain costs that SoCalGas will reimburse, a violation of California Public Utilities Code section 451, and that SoCalGas will not seek recovery from ratepayers for costs previously incurred, among other provisions. In September 2023, the CPUC issued a final decision approving the settlement agreement. Insurance and Accounting and Other Impacts. Since 2015, SoCalGas has incurred significant costs related to the Leak, including costs to defend against and settle civil litigation arising from the Leak. Other than insurance for directors’ and officers’ liability, we have exhausted all of our insurance for this matter. 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. In the three months and nine months ended September 30, 2022, SoCalGas recorded total charges of $122 million ($101 million after tax) and $259 million ($199 million after tax), respectively, in Aliso Canyon Litigation and Regulatory Matters on the SoCalGas and Sempra Condensed Consolidated Statements of Operations related to the litigation and regulatory proceedings associated with the Leak. At September 30, 2023, $126 million is accrued in Reserve for Aliso Canyon Costs and $3 million is accrued in Deferred Credits and Other on SoCalGas’ and Sempra’s Condensed Consolidated Balance Sheets. These accruals do not include any amounts in excess of what has been estimated to resolve certain matters that we describe above in “Litigation” and “Regulatory Proceeding,” nor any amounts that may be necessary to resolve threatened litigation, other potential litigation or other costs, in each case to the extent it is not possible to predict at this time the outcome of these actions or reasonably estimate the possible costs or a range of possible costs. Further, we are not able to reasonably estimate the possible loss or a range of possible losses in excess of the amounts accrued, which could be significant and could have a material adverse effect on SoCalGas’ and Sempra’s business, results of operations, financial condition, cash flows and/or prospects. Sempra Infrastructure Energía Costa Azul We describe below certain land disputes and permit challenges affecting our ECA Regas Facility. Certain of these land disputes involve land on which portions of the ECA LNG liquefaction facilities under construction and in development are expected to be situated or on which portions of the ECA Regas Facility that would be necessary for the operation of such ECA LNG liquefaction facilities are situated. One or more unfavorable final decisions on these disputes or challenges could materially adversely affect our existing natural gas regasification operations and proposed natural gas liquefaction projects at the site of the ECA Regas Facility and have a material adverse effect on Sempra’s business, results of operations, financial condition, cash flows and/or prospects. Land Disputes. Sempra Infrastructure has been engaged in a long-running land dispute with a claimant relating to property adjacent to its ECA Regas Facility that allegedly overlaps with land owned by the ECA Regas Facility (the facility, however, is not situated on the land that is the subject of this dispute), as follows: ▪ The 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 to the claimant and cause it to be registered. Both SEDATU and Sempra Infrastructure 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, which is pending resolution. ▪ In a separate proceeding, the claimant filed suit to reinitiate an administrative procedure at SEDATU to obtain the property title that, as described above, had previously been issued in a ruling by the federal Agrarian Court and subsequently reversed by a federal court in Mexico. In April 2021, the proceeding in the Agrarian Court concluded with the court ordering that the administrative procedure be restarted. The administrative procedure at SEDATU may continue if SEDATU decides to reopen the matter. In addition, an area of real property on which part of the ECA Regas Facility is situated is subject to a claim in the federal Agrarian Court, in which the plaintiff seeks to annul the property title for a portion of the land on which the ECA Regas Facility is situated and to obtain possession of a different parcel that allegedly overlaps with the site of the ECA Regas Facility. The proceeding, which seeks an order that SEDATU annul the ECA Regas Facility’s competing property title, was initiated in 2006 and, in July 2021, a decision was issued in favor of the ECA Regas Facility. The plaintiff appealed and, in February 2022, the appellate court confirmed the ruling in favor of the ECA Regas Facility and dismissed the appeal. The plaintiff filed a federal appeal against the appellate court ruling. A ruling from the Federal Collegiate Circuit Court is pending. Environmental and Social Impact Permits. 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 Regas 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 and 2021, three 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 ASEA and SENER to ECA LNG authorizing natural gas liquefaction activities at the ECA Regas Facility, as follows: ▪ In the first case, the court issued a provisional injunction against the permits 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 against the permits was denied. That decision was reversed on appeal in January 2020, resulting in the issuance of a new injunction against the permits that were issued by ASEA and SENER. This injunction has uncertain application absent clarification by the court. The claimants petitioned the court to rule that construction of natural gas liquefaction facilities violated the injunction and, in February 2022, the court ruled in favor of the ECA Regas Facility, holding that the natural gas liquefaction construction activities did not violate the injunction. The claimants appealed this ruling but were not successful. The claimants’ underlying challenge to the permits remains pending. ▪ In the third case, a group of residents filed a complaint in June 2021 against various federal and state authorities alleging deficiencies in the public consultation process for the issuance of the permits. The request for an initial injunction was denied. The claimants appealed this ruling but were not successful. The lower court’s ruling was favorable to the ECA Regas Facility, as the court determined that no harm has been caused to the plaintiffs and dismissed the lawsuit. The claimants appealed and the appellate court’s ruling is pending. Litigation Related to Regulatory and Other Actions by the Mexican Government Amendments to Mexico’s Electricity Industry Law. In March 2021, the Mexican government published a decree with amendments to Mexico’s Electricity Industry Law that include some public policy changes, including establishing priority of dispatch for CFE plants over privately owned plants. According to the decree, these amendments were to become effective in March 2021, and SENER, the CRE and Centro Nacional de Control de Energía (Mexico’s National Center for Energy Control) were to have 180 calendar days to modify, as necessary, all resolutions, policies, criteria, manuals and other regulations applicable to the power industry to conform with this decree. However, a Mexican court issued a suspension of the amendments later in March 2021. In April 2022, the Mexican Supreme Court resolved an action of unconstitutionality filed by a group of senators against the amended Electricity Industry Law, but the qualified majority of eight votes out of 11 as is required in matters involving constitutionality was not reached and the proceeding was dismissed, which means that the Mexican Supreme Court did not issue a binding precedent and the amended Electricity Industry Law remains in force. Sempra Infrastructure filed three lawsuits against the amendments to the Electricity Industry Law and, in each of them, Sempra Infrastructure obtained a favorable judgment in the lower courts, which were challenged by the CRE. Final resolution is pending. If the proposed amendments are affirmed by the lower courts or by the Mexican Supreme Court (which in these cases would only require a simple majority vote), the CRE may be required to revoke self-supply permits granted under the former electricity law, which were grandfathered when the new Electricity Industry Law was enacted, under a legal standard that is ambiguous and not well - defined under the law. If such self-supply permits granted under the former electricity law are revoked, it may result in increased costs for Sempra Infrastructure and for its power consumers, adversely affect our ability to develop new projects, result in decreased revenues and cash flows, and negatively impact our ability to recover the carrying values of our investments in Mexico, any of which could have a material adverse effect on Sempra’s business, results of operations, financial condition, cash flows and/or prospects. Sonora Pipeline – Resolved Guaymas-El Oro Segment. Sempra Infrastructure’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, resulting in a suspension order in 2016 that prohibited construction through the Bácum community territory. Because Sempra Infrastructure did not believe the 2016 suspension order prohibited construction in the remainder of the Yaqui territory, construction was completed, and commercial operations began in May 2017. Following the start of commercial operations, Sempra Infrastructure reported damage to the Guaymas-El Oro segment in the Yaqui territory that has made that section inoperable since August 2017 and, as a result, Sempra Infrastructure 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 Sempra Infrastructure from making repairs to put the pipeline back in service. In July 2019, a federal district court ruled in favor of Sempra Infrastructure 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 Sempra Infrastructure from repairing the damage to the Guaymas-El Oro segment to remain in place until the appeals process was exhausted. Following a request by the CFE to dismiss the appeal based on the plan to re-route the portion of the pipeline that is in the Yaqui territory, in December 2022, the court of appeals reversed the federal district court’s ruling and ordered the district court to issue a new ruling that takes into account the planned re-routing of the pipeline. In February 2023, the district court issued a new ruling and resolved to dismiss the case, which was not appealed and, in March 2023, the district court declared that the case was definitively concluded. Other Litigation RBS Sempra Commodities Sempra holds an equity method investment in RBS Sempra Commodities, a limited liability partnership in the process of being liquidated. In 2015, liquidators filed a claim in the High Court of Justice against RBS (now NatWest Markets plc, our partner in the JV) and Mercuria Energy Europe Trading Limited (the Defendants) on behalf of 10 companies (the Liquidating Companies) that engaged in carbon credit trading via chains that included a company that traded directly with RBS SEE, a subsidiary of RBS Sempra Commodities. The claim alleges that the Defendants’ participation in the purchase and sale of carbon credits resulted in the Liquidating Companies’ carbon credit trading transactions creating a value-added tax liability they were unable to pay, and that the Defendants are liable to provide for equitable compensation due to dishonest assistance and compensation under the U.K. Insolvency Act of 1986. Trial on the matter was held in 2018. In March 2020, the High Court of Justice rendered its judgment mostly in favor of the Liquidating Companies and awarded damages of approximately £45 million (approximately $55 million in U.S. dollars at September 30, 2023), plus costs and interest. In October 2020, the High Court of Justice assessed costs and interest to be approximately £21 million (approximately $26 million in U.S. dollars at September 30, 2023) as of that date, with interest continuing to accrue. The Defendants appealed and, in May 2021, the Court of Appeal set aside the High Court of Justice’s decision and ordered a retrial. In July 2022, the Supreme Court of the U.K. denied the Liquidating Companies application for permission to appeal the Court of Appeal’s decision. No date has been scheduled for the retrial. J.P. Morgan Chase & Co., which acquired RBS SEE and later sold it to Mercuria Energy Group, Ltd., previously notified us that Mercuria Energy Group, Ltd. has sought indemnity for the claim, and J.P. Morgan Chase & Co. has in turn sought indemnity from Sempra and RBS. Asbestos Claims Against EFH Subsidiaries Certain EFH subsidiaries that we acquired as part of the merger of EFH with an indirect subsidiary of Sempra were defendants in personal injury lawsuits brought in state courts throughout the U.S. These cases alleged illness or death as a result of exposure to asbestos in power plants designed and/or built by companies whose assets were purchased by predecessor entities to the EFH subsidiaries, and generally assert claims for product defects, negligence, strict liability and wrongful death. They sought compensatory and punitive damages. As of October 31, 2023, two lawsuits are pending. Additionally, approximately 28,000 proofs of claim were filed, but not discharged, in advance of a December 2015 deadline to file a proof of claim in the EFH bankruptcy proceeding on behalf of persons who allege exposure to asbestos under similar circumstances and assert the right to file such lawsuits in the future. The costs to defend or resolve such claims and the amount of damages that may be incurred could have a material adverse effect on Sempra’s results of operations, financial condition, cash flows and/or prospects. Ordinary Course Litigation We are also defendants in ordinary routine litigation incidental to our businesses, including personal injury, employment litigation, product liability, property damage and other claims. Juries have demonstrated an increasing willingness to grant large awards, including punitive damages, in these types of cases. LEASES We discuss leases further in Note 16 of the Notes to Consolidated Financial Statements in the Annual Report. Lessee Accounting We have operating and finance leases for real and personal property (including office space, land, fleet vehicles, machinery and equipment, warehouses and other operational facilities) and PPAs with renewable energy, energy storage and peaker plant facilities. SDG&E entered into an energy storage agreement that commenced in the second quarter of 2023 and expires in 2033. SDG&E recorded an operating lease right-of-use asset and operating lease liability of $101 million. Undiscounted lease payments are $9 million in 2023, $13 million in each of 2024 through 2027 and $66 million thereafter. Leases That Have Not Yet Commenced SDG&E has entered into seven purchased-power contracts, of which SDG&E expects one will commence in the fourth quarter of 2023, two will commence in 2024, three will commence in 2025, and one will commence in 2026. SDG&E expects the future minimum lease payments to be $32 million in 2024, $61 million in 2025, $82 million in 2026, $83 million in 2027 and $919 million thereafter until expiration in 2041. Lessor Accounting Sempra Infrastructure is a lessor for certain of its natural gas and ethane pipelines, compressor stations, liquid petroleum gas storage facilities, a rail facility and refined products terminals, which we account for as operating or sales-type leases. We provide information below for leases for which we are the lessor. LESSOR INFORMATION ON THE CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS – SEMPRA (Dollars in millions) Three months ended September 30, Nine months ended September 30, 2023 2022 2023 2022 Sales-type leases: Interest income $ 2 $ 2 $ 5 $ 6 Total revenues from sales-type leases (1) $ 2 $ 2 $ 5 $ 6 Operating leases: Fixed lease payments $ 78 $ 71 $ 234 $ 211 Variable lease payments 10 3 26 7 Total revenues from operating leases (1) $ 88 $ 74 $ 260 $ 218 Depreciation expense $ 15 $ 14 $ 45 $ 41 (1) Included in Revenues: Energy-Related Businesses on the Condensed Consolidated Statements of Operations. CONTRACTUAL COMMITMENTS We discuss below significant changes in the first nine months of 2023 to contractual commitments discussed in Note 16 of the Notes to Consolidated Financial Statements in the Annual Report. Natural Gas Contracts Sempra Infrastructure’s natural gas contracts and natural gas storage and transportation commitments have increased by approximately $877 million since December 31, 2022 primarily from entering into new storage and transportation contracts in the first nine months of 2023. We expect future payments to decrease by $29 million in 2023, and increase by $38 million in 2024, $35 million in 2025, $33 million in 2026, $30 million in 2027 and $770 million thereafter through expiration in 2059 compared to December 31, 2022. LNG Purchase Agreement Sempra Infrastructure has an SPA for the supply of LNG to the ECA Regas Facility. The commitment amount is calculated using a predetermined formula based on estimated forward prices of the index applicable from 2023 to 2029. Although this agreement specifies a number of cargoes to be delivered, under its terms, the supplier may divert certain cargoes, which would reduce amounts paid under the agreement by Sempra Infrastructure. At September 30, 2023, we expect the commitment amount to decrease by $980 million in 2023, $62 million in 2024, $45 million in 2025, $47 million in 2026, $58 million in 2027 and $136 million thereafter (through contract termination in 2029) compared to December 31, 2022, reflecting changes in estimated forward prices since December 31, 2022 and actual transactions for the first nine months of 2023. These LNG commitment amounts are based on the assumption that all LNG cargoes under the agreement are delivered, less those already confirmed to be diverted as of September 30, 2023. Actual LNG purchases in the current and prior years have been significantly lower than the maximum amount provided under the agreement due to the supplier electing to divert cargoes as allowed by the agreement. Purchased-Power Contracts SDG&E’s purchased-power contract commitments have increased by approximately $482 million since December 31, 2022 primarily from entering into energy storage, hybrid renewable energy and energy storage, and resource adequacy agreements for the first nine months of 2023. At September 30, 2023, we expect the commitment amount to increase by $14 million in 2023, $3 million in 2024, $13 million in 2025, $32 million in 2026, $33 million in 2027, and $387 million thereafter through expiration in 2042 compared to December 31, 2022. ENVIRONMENTAL ISSUES We disclose any proceeding under environmental laws to which a government authority is a party when the potential monetary sanctions, exclusive of interest and costs, exceed the lesser of $1 million or 1% of current assets, which was $53 million for Sempra, $19 million for SDG&E and $14 million for SoCalGas at September 30, 2023. |
SEGMENT INFORMATION
SEGMENT INFORMATION | 9 Months Ended |
Sep. 30, 2023 | |
Segment Reporting [Abstract] | |
SEGMENT INFORMATION | SEGMENT INFORMATION We have four 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 electricity transmission and distribution utility serving customers in the north-central, eastern, western and panhandle regions of Texas; and our indirect, 50% interest in Sharyland Holdings L.P., which owns Sharyland Utilities, L.L.C., a regulated electric transmission utility serving customers near the Texas-Mexico border. ▪ Sempra Infrastructure includes the operating companies of our subsidiary, SI Partners, as well as a holding company and certain services companies. Sempra Infrastructure develops, builds, operates and invests in energy infrastructure to help enable the energy transition in North American markets and globally. We evaluate each segment’s performance based on its contribution to Sempra’s reported earnings and cash flows. SDG&E and SoCalGas operate in essentially separate service territories, under separate regulatory frameworks and rate structures set by the CPUC and, in the case of SDG&E, the FERC. 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, Condensed Consolidated Statements of Cash Flows and Condensed Consolidated Balance Sheets. Amounts labeled as “All other” in the following tables consist primarily of activities of parent organizations. SEGMENT INFORMATION (Dollars in millions) Three months ended September 30, Nine months ended September 30, 2023 2022 2023 2022 REVENUES SDG&E $ 1,442 $ 1,569 $ 4,357 $ 4,413 SoCalGas 1,313 1,385 6,574 4,879 Sempra Infrastructure 629 697 2,485 1,810 All other — 1 — 1 Adjustments and eliminations — — (1) — Intersegment revenues (1) (50) (35) (186) (119) Total $ 3,334 $ 3,617 $ 13,229 $ 10,984 DEPRECIATION AND AMORTIZATION SDG&E $ 280 $ 247 $ 810 $ 730 SoCalGas 211 190 625 565 Sempra Infrastructure 71 67 210 199 All other 1 2 6 6 Total $ 563 $ 506 $ 1,651 $ 1,500 INTEREST INCOME SDG&E $ 7 $ 2 $ 12 $ 3 SoCalGas 2 3 7 4 Sempra Infrastructure 4 7 25 37 All other 7 6 17 14 Intercompany eliminations (1) — (1) — Total $ 19 $ 18 $ 60 $ 58 INTEREST EXPENSE SDG&E $ 126 $ 113 $ 367 $ 333 SoCalGas 70 50 210 135 Sempra Infrastructure 7 39 127 98 All other 109 81 292 232 Intercompany eliminations — (1) (1) (2) Total $ 312 $ 282 $ 995 $ 796 INCOME TAX (BENEFIT) EXPENSE SDG&E $ (15) $ 35 $ (4) $ 141 SoCalGas (5) (28) 68 75 Sempra Texas Utilities — 1 — 1 Sempra Infrastructure 24 58 555 219 All other (56) (45) (120) (1) Total $ (52) $ 21 $ 499 $ 435 EQUITY EARNINGS Equity earnings, before income tax: Sempra Texas Utilities $ 2 $ 1 $ 5 $ 6 Sempra Infrastructure 131 133 413 430 133 134 418 436 Equity earnings, net of income tax: Sempra Texas Utilities 305 257 548 603 Sempra Infrastructure 41 26 120 79 346 283 668 682 Total $ 479 $ 417 $ 1,086 $ 1,118 (1) Revenues for reportable segments include intersegment revenues of $5, $29, and $16 for the three months ended September 30, 2023 and $14, $91, and $81 for the nine months ended September 30, 2023; $4, $24, and $7 for the three months ended September 30, 2022 and $11, $73, and $35 for the nine months ended September 30, 2022 for SDG&E, SoCalGas, and Sempra Infrastructure, respectively. SEGMENT INFORMATION (CONTINUED) (Dollars in millions) Three months ended September 30, Nine months ended September 30, 2023 2022 2023 2022 EARNINGS (LOSSES) ATTRIBUTABLE TO COMMON SHARES SDG&E $ 274 $ 271 $ 716 $ 681 SoCalGas 16 (82) 531 339 Sempra Texas Utilities 305 256 548 604 Sempra Infrastructure 223 114 746 392 All other (97) (74) (248) (360) Total $ 721 $ 485 $ 2,293 $ 1,656 EXPENDITURES FOR PROPERTY, PLANT & EQUIPMENT SDG&E $ 1,893 $ 1,651 SoCalGas 1,451 1,394 Sempra Infrastructure 2,725 489 All other 5 6 Total $ 6,074 $ 3,540 September 30, December 31, ASSETS SDG&E $ 28,502 $ 26,422 SoCalGas 23,069 22,346 Sempra Texas Utilities 14,269 13,781 Sempra Infrastructure 19,722 15,760 All other 1,205 1,376 Intersegment receivables (1,032) (1,111) Total $ 85,735 $ 78,574 EQUITY METHOD INVESTMENTS Sempra Texas Utilities $ 14,260 $ 13,772 Sempra Infrastructure 2,096 1,905 Total $ 16,356 $ 15,677 |
Insider Trading Arrangements
Insider Trading Arrangements | 3 Months Ended |
Sep. 30, 2023 | |
Trading Arrangements, by Individual | |
Rule 10b5-1 Arrangement Adopted | false |
Non-Rule 10b5-1 Arrangement Adopted | false |
Rule 10b5-1 Arrangement Terminated | false |
Non-Rule 10b5-1 Arrangement Terminated | false |
GENERAL INFORMATION AND OTHER_2
GENERAL INFORMATION AND OTHER FINANCIAL DATA (Policies) | 9 Months Ended |
Sep. 30, 2023 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Principles of Consolidation | PRINCIPLES OF CONSOLIDATION Sempra Effective May 12, 2023, our company changed its legal name from Sempra Energy to Sempra. Sempra’s Condensed Consolidated Financial Statements include the accounts of Sempra, a California-based holding company, and its consolidated entities. We have four separate reportable segments, which we discuss in Note 11. 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 common stock is wholly owned by Enova Corporation, which is a wholly owned subsidiary of Sempra. SoCalGas |
Basis of Presentation | BASIS OF PRESENTATION This is a combined report of Sempra, SDG&E and SoCalGas. We provide separate information for SDG&E and SoCalGas as required. We have eliminated intercompany accounts and transactions within Sempra’s consolidated financial statements. We have prepared our 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. The financial statements reflect all adjustments that are necessary for a fair presentation of the results for the interim periods. These adjustments are only of a normal, recurring nature. 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, 2023 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. All December 31, 2022 balance sheet information in the Condensed Consolidated Financial Statements has been derived from our audited 2022 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. The information contained in this report should be read in conjunction with the Annual Report. |
Regulated Operations | Regulated Operations SDG&E, SoCalGas and Sempra Infrastructure’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. Certain business activities at Sempra Infrastructure are regulated by the CRE and the FERC and meet the regulatory accounting requirements of U.S. GAAP. Pipeline projects currently under construction 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. |
Credit Losses | We are exposed to credit losses from financial assets measured at amortized cost, including trade and other accounts receivable, amounts due from unconsolidated affiliates, our net investment in sales-type leases and a note receivable. We are also exposed to credit losses from off-balance sheet arrangements through Sempra’s guarantee related to Cameron LNG JV’s SDSRA, which we discuss in Note 5. 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 receivables and customer payment patterns, historical and industry trends, counterparty creditworthiness, economic conditions and specific events, such as bankruptcies, pandemics and other factors. 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. |
Variable Interest Entity | 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 | Basic EPS is calculated by dividing earnings attributable to common shares 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. |
Interim Period Effective Tax Rate | Sempra, 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 | 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 ▪ state income taxes AFUDC related to equity recorded for regulated construction projects at Sempra Infrastructure has similar flow-through treatment. Under the IRA, beginning in 2023, the scope of projects eligible for investment tax credits was expanded to include standalone energy storage projects. The IRA also provided an election that prospectively permits investment tax credits related to standalone energy storage projects to be returned to utility customers over a period that is shorter than the life of the applicable asset. Under this election, SDG&E recorded a regulatory liability to offset these investment tax credits, which reduced SDG&E’s and Sempra’s ETR in 2023. |
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 of variability of future cash flows of a given revenue or expense item, 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: ▪ SDG&E and SoCalGas use natural gas derivatives and SDG&E uses electricity derivatives, for the benefit of customers, with the objective of managing price risk and basis risk, 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 limited by company policy. SDG&E’s risk management and transacting activity plans for electricity derivatives are also required to be filed with, and have been approved by, the CPUC. SoCalGas is also subject to certain regulatory requirements and thresholds related to natural gas procurement under the GCIM. 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 Natural Gas or in Cost of Electric Fuel and Purchased Power. ▪ 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 Infrastructure may use natural gas and electricity derivatives, as appropriate, in an effort to optimize the earnings of its assets which support the following businesses: LNG, natural gas pipelines and storage, and power generation. Gains and losses associated with undesignated derivatives are recognized in Energy-Related Businesses Revenues on the Condensed Consolidated Statements of Operations. ▪ From time to time, our various businesses, including SDG&E and SoCalGas, may use other derivatives to hedge exposures such as GHG allowances. INTEREST RATE DERIVATIVES We are exposed to interest rates primarily as a result of our current and expected use of financing. SDG&E and SoCalGas, as well as Sempra 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. In December 2022, Sempra Infrastructure entered into an undesignated contingent interest rate swap to lock in interest rates on up to $3.5 billion of the variable rate indebtedness from anticipated future project-level debt financing that would be used to pay for construction costs of the PA LNG Phase 1 project. The contingent interest rate swap had a 25-year tenor, and its settlement was conditional upon the closing of project-level debt financing with respect to the PA LNG Phase 1 project. In March 2023, we closed on the project-level debt financing and, shortly thereafter, paid $14 million to cash settle the contingent interest rate swap. As we discuss in Note 6, a minimum of 60% of the projected amount of term loans outstanding is required to be hedged under the Port Arthur LNG term loan facility agreement. In March 2023, Port Arthur LNG entered into floating-to-fixed interest rate swaps with 17 counterparties to hedge the variability in cash flows related to the SOFR-based component of interest payments on forecasted loans outstanding under the agreement. The notional amounts of the interest rate swaps generally increase in proportion to the forecasted borrowings up to a maximum amount of $4.2 billion prior to the maturity of the term loans on March 20, 2030. Under the interest rate swaps, which are designated as cash flow hedges, Port Arthur LNG receives interest at Term SOFR and pays interest at a fixed rate of 3.23% based on amortizing notional amounts maturing in 2048. FOREIGN CURRENCY DERIVATIVES We may 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 fixed interest rates for U.S. fixed interest rates. From time to time, Sempra Infrastructure 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 may 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. CREDIT RISK RELATED CONTINGENT FEATURES For Sempra, 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. |
Fair Value Measurement | We have not changed the valuation techniques or types of inputs we use to measure recurring fair value since December 31, 2022. The fair value of commodity derivative assets and liabilities is presented in accordance with our netting policy, as we discuss in Note 7 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: ▪ Nuclear decommissioning trusts reflect the assets of SDG&E’s NDT, excluding accounts receivable and accounts payable. 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 instruments 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 short-term investments that consist of money market and mutual funds 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). ▪ As we discuss in Note 5, in July 2020, Sempra 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 Infrastructure.” |
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’s and SDG&E’s Condensed Consolidated Balance Sheets. We determine the cost of securities in the trusts on the basis of specific identification. |
Legal Proceedings | 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, and in some cases have exceeded, applicable insurance coverage and could materially adversely affect our business, results of operations, financial condition, cash flows and/or prospects. Unless otherwise indicated, we are unable to reasonably estimate possible losses or a range of losses in excess of any amounts accrued. |
Segment Information | We have four 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 electricity transmission and distribution utility serving customers in the north-central, eastern, western and panhandle regions of Texas; and our indirect, 50% interest in Sharyland Holdings L.P., which owns Sharyland Utilities, L.L.C., a regulated electric transmission utility serving customers near the Texas-Mexico border. ▪ Sempra Infrastructure includes the operating companies of our subsidiary, SI Partners, as well as a holding company and certain services companies. Sempra Infrastructure develops, builds, operates and invests in energy infrastructure to help enable the energy transition in North American markets and globally. We evaluate each segment’s performance based on its contribution to Sempra’s reported earnings and cash flows. SDG&E and SoCalGas operate in essentially separate service territories, under separate regulatory frameworks and rate structures set by the CPUC and, in the case of SDG&E, the FERC. 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, 2023 | |
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’s Condensed Consolidated Balance Sheets to the sum of such amounts reported on Sempra’s Condensed Consolidated Statements of Cash Flows. RECONCILIATION OF CASH, CASH EQUIVALENTS AND RESTRICTED CASH (Dollars in millions) September 30, December 31, Cash and cash equivalents $ 1,149 $ 370 Restricted cash, current 238 40 Restricted cash, noncurrent 104 52 Total cash, cash equivalents and restricted cash on the Condensed Consolidated Statements of Cash Flows $ 1,491 $ 462 |
Accounts Receivable, Allowance for Credit Loss Table | Changes in allowances for credit losses for trade receivables and other receivables are as follows: CHANGES IN ALLOWANCES FOR CREDIT LOSSES (Dollars in millions) 2023 2022 Sempra: Allowances for credit losses at January 1 $ 181 $ 136 Provisions for expected credit losses 374 111 Write-offs (74) (57) Allowances for credit losses at September 30 $ 481 $ 190 SDG&E: Allowances for credit losses at January 1 $ 78 $ 66 Provisions for expected credit losses 96 51 Write-offs (34) (30) Allowances for credit losses at September 30 $ 140 $ 87 SoCalGas: Allowances for credit losses at January 1 $ 98 $ 69 Provisions for expected credit losses 276 58 Write-offs (40) (27) Allowances for credit losses at September 30 $ 334 $ 100 Allowances for credit losses related to trade receivables and other receivables are included in the Condensed Consolidated Balance Sheets as follows: ALLOWANCES FOR CREDIT LOSSES (Dollars in millions) September 30, December 31, 2023 2022 Sempra: Accounts receivable – trade, net $ 432 $ 140 Accounts receivable – other, net 48 40 Other long-term assets 1 1 Total allowances for credit losses $ 481 $ 181 SDG&E: Accounts receivable – trade, net $ 113 $ 52 Accounts receivable – other, net 26 25 Other long-term assets 1 1 Total allowances for credit losses $ 140 $ 78 SoCalGas: Accounts receivable – trade, net $ 312 $ 83 Accounts receivable – other, net 22 15 Total allowances for credit losses $ 334 $ 98 |
Inventory Table | The components of inventories are as follows: INVENTORY BALANCES (Dollars in millions) Sempra SDG&E SoCalGas September 30, December 31, September 30, December 31, September 30, December 31, Natural gas $ 160 $ 106 $ 1 $ 1 $ 144 $ 74 LNG 9 62 — — — — Materials and supplies 282 235 146 133 116 85 Total $ 451 $ 403 $ 147 $ 134 $ 260 $ 159 |
Capitalized Financing Costs Table | The table below summarizes capitalized financing costs, comprised of AFUDC and capitalized interest. CAPITALIZED FINANCING COSTS (Dollars in millions) Three months ended September 30, Nine months ended September 30, 2023 2022 2023 2022 Sempra $ 128 $ 65 $ 311 $ 182 SDG&E 28 30 90 84 SoCalGas 20 19 55 54 |
Net Periodic Benefit Cost Table | The following tables provide the components of net periodic benefit cost. The components of net periodic benefit cost, other than the service cost component, are included in the Other Income (Expense), Net, table below. NET PERIODIC BENEFIT COST – SEMPRA (Dollars in millions) Pension PBOP Three months ended September 30, 2023 2022 2023 2022 Service cost $ 25 $ 27 $ 3 $ 4 Interest cost 39 29 9 7 Expected return on assets (42) (46) (17) (16) Amortization of: Prior service cost (credit) 2 3 (1) (1) Actuarial loss (gain) 3 8 (5) (4) Net periodic benefit cost (credit) 27 21 (11) (10) Regulatory adjustments 30 87 10 10 Total expense (income) recognized $ 57 $ 108 $ (1) $ — Nine months ended September 30, 2023 2022 2023 2022 Service cost $ 82 $ 110 $ 10 $ 17 Interest cost 118 88 28 21 Expected return on assets (127) (137) (52) (48) Amortization of: Prior service cost (credit) 4 8 (2) (2) Actuarial loss (gain) 7 19 (17) (11) Net periodic benefit cost (credit) 84 88 (33) (23) Regulatory adjustments 88 84 32 23 Total expense (income) recognized $ 172 $ 172 $ (1) $ — NET PERIODIC BENEFIT COST – SDG&E (Dollars in millions) Pension PBOP Three months ended September 30, 2023 2022 2023 2022 Service cost $ 8 $ 8 $ 1 $ 1 Interest cost 10 7 2 1 Expected return on assets (9) (13) (2) (2) Amortization of: Actuarial loss (gain) 2 — — (1) Net periodic benefit cost (credit) 11 2 1 (1) Regulatory adjustments 3 24 (1) 1 Total expense recognized $ 14 $ 26 $ — $ — Nine months ended September 30, 2023 2022 2023 2022 Service cost $ 24 $ 28 $ 2 $ 4 Interest cost 30 20 6 4 Expected return on assets (29) (35) (6) (7) Amortization of: Actuarial loss (gain) 4 1 (1) (2) Net periodic benefit cost (credit) 29 14 1 (1) Regulatory adjustments 11 26 (1) 1 Total expense recognized $ 40 $ 40 $ — $ — NET PERIODIC BENEFIT COST – SOCALGAS (Dollars in millions) Pension PBOP Three months ended September 30, 2023 2022 2023 2022 Service cost $ 15 $ 16 $ 2 $ 3 Interest cost 24 20 7 5 Expected return on assets (29) (30) (14) (13) Amortization of: Prior service cost (credit) 1 2 (1) (1) Actuarial loss (gain) 1 6 (5) (3) Net periodic benefit cost (credit) 12 14 (11) (9) Regulatory adjustments 27 63 11 9 Total expense recognized $ 39 $ 77 $ — $ — Nine months ended September 30, 2023 2022 2023 2022 Service cost $ 49 $ 72 $ 7 $ 13 Interest cost 75 61 21 16 Expected return on assets (89) (94) (44) (40) Amortization of: Prior service cost (credit) 3 6 (2) (2) Actuarial loss (gain) 1 14 (15) (9) Net periodic benefit cost (credit) 39 59 (33) (22) Regulatory adjustments 77 58 33 22 Total expense recognized $ 116 $ 117 $ — $ — |
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, after 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, 2023 and 2022 Sempra: Balance at June 30, 2023 $ (38) $ 14 $ (97) $ (121) OCI before reclassifications (5) 116 — 111 Amounts reclassified from AOCI (2) — (51) 1 (50) Net OCI (2) (5) 65 1 61 Balance at September 30, 2023 $ (43) $ 79 $ (96) $ (60) Balance at June 30, 2022 $ (65) $ (30) $ (72) $ (167) OCI before reclassifications — 40 — 40 Amounts reclassified from AOCI — 5 2 7 Net OCI — 45 2 47 Balance at September 30, 2022 $ (65) $ 15 $ (70) $ (120) SDG&E: Balance at June 30, 2023 and September 30, 2023 $ (7) $ (7) Balance at June 30, 2022 $ (10) $ (10) Amounts reclassified from AOCI 1 1 Net OCI 1 1 Balance at September 30, 2022 $ (9) $ (9) SoCalGas: Balance at June 30, 2023 and September 30, 2023 $ (11) $ (11) $ (22) Balance at June 30, 2022 $ (12) $ (17) $ (29) Amounts reclassified from AOCI — 1 1 Net OCI — 1 1 Balance at September 30, 2022 $ (12) $ (16) $ (28) (1) All amounts are net of income tax, if subject to tax, and after NCI. (2) Total AOCI includes ($46) of financial instruments associated with sale of NCI to KKR Denali, which we discuss below in “Other Noncontrolling Interests – Sempra Infrastructure.” This transaction did 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, 2023 and 2022 Sempra: Balance at December 31, 2022 $ (59) $ 10 $ (86) $ (135) OCI before reclassifications 16 129 (13) 132 Amounts reclassified from AOCI (2) — (60) 3 (57) Net OCI (2) 16 69 (10) 75 Balance at September 30, 2023 $ (43) $ 79 $ (96) $ (60) Balance at December 31, 2021 $ (79) $ (156) $ (83) $ (318) OCI before reclassifications 4 151 7 162 Amounts reclassified from AOCI (3) 10 20 6 36 Net OCI (3) 14 171 13 198 Balance at September 30, 2022 $ (65) $ 15 $ (70) $ (120) SDG&E: Balance at December 31, 2022 and September 30, 2023 $ (7) $ (7) Balance at December 31, 2021 $ (10) $ (10) Amounts reclassified from AOCI 1 1 Net OCI 1 1 Balance at September 30, 2022 $ (9) $ (9) SoCalGas: Balance at December 31, 2022 $ (12) $ (12) $ (24) Amounts reclassified from AOCI 1 1 2 Net OCI 1 1 2 Balance at September 30, 2023 $ (11) $ (11) $ (22) Balance at December 31, 2021 $ (13) $ (18) $ (31) Amounts reclassified from AOCI 1 2 3 Net OCI 1 2 3 Balance at September 30, 2022 $ (12) $ (16) $ (28) (1) All amounts are net of income tax, if subject to tax, and after NCI. (2) Total AOCI includes ($46) of financial instruments associated with sale of NCI to KKR Denali, which we discuss below in “Other Noncontrolling Interests – Sempra Infrastructure.” This transaction did not impact the Condensed Consolidated Statement of Comprehensive Income (Loss). (3) Total AOCI includes $9 of foreign currency translation adjustments associated with sale of NCI to ADIA, which we discuss below in “Other Noncontrolling Interests – Sempra Infrastructure.” This transaction did 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 AOCI Amounts reclassified Affected line item on Condensed Three months ended September 30, 2023 2022 Sempra: Financial instruments: Interest rate instruments $ 1 $ 2 Interest Expense Interest rate instruments (12) 1 Equity Earnings (1) Foreign exchange instruments (1) — Other Income (Expense), Net Foreign exchange instruments (1) — Equity Earnings Interest rate and foreign exchange instruments — 3 Other Income (Expense), Net Total, before income tax (13) 6 2 (2) Income Tax Benefit (Expense) Total, net of income tax (11) 4 6 1 Earnings Attributable to Noncontrolling Interests Total, net of income tax and after NCI $ (5) $ 5 Pension and PBOP (2) : Amortization of actuarial loss $ 1 $ 2 Other Income (Expense), Net Amortization of prior service cost 1 1 Other Income (Expense), Net Total, before income tax 2 3 (1) (1) Income Tax Benefit (Expense) Total, net of income tax $ 1 $ 2 Total reclassifications for the period, net of income tax and after NCI $ (4) $ 7 SDG&E: Pension and PBOP (2) : Amortization of actuarial loss $ — $ 1 Other Income, Net Total reclassifications for the period, net of income tax $ — $ 1 SoCalGas: Pension and PBOP (2) : Amortization of prior service cost $ — $ 1 Other Expense, Net Total reclassifications for the period, net of income tax $ — $ 1 (1) Equity earnings at our foreign equity method investees are recognized after tax. (2) Amounts are included in the computation of net periodic benefit cost (see “Net Periodic Benefit Cost” above). RECLASSIFICATIONS OUT OF ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) (CONTINUED) (Dollars in millions) Details about AOCI Amounts reclassified Affected line item on Condensed Nine months ended September 30, 2023 2022 Sempra: Foreign currency translation adjustments $ — $ 1 Operation and Maintenance Financial instruments: Interest rate instruments $ 1 $ 1 Interest Expense Interest rate instruments (33) 28 Equity Earnings (1) Foreign exchange instruments — (2) Revenues: Energy-Related Businesses 1 1 Other Income (Expense), Net Foreign exchange instruments 1 (1) Equity Earnings (1) Interest rate and foreign exchange instruments (1) (1) Interest Expense (6) (3) Other Income (Expense), Net Total, before income tax (37) 23 5 (7) Income Tax Benefit (Expense) Total, net of income tax (32) 16 18 4 Earnings Attributable to Noncontrolling Interests Total, net of income tax and after NCI $ (14) $ 20 Pension and PBOP (2) : Amortization of actuarial loss $ 2 $ 6 Other Income (Expense), Net Amortization of prior service cost 2 3 Other Income (Expense), Net Total, before income tax 4 9 (1) (3) Income Tax Benefit (Expense) Total, net of income tax $ 3 $ 6 Total reclassifications for the period, net of income tax and after NCI $ (11) $ 27 SDG&E: Pension and PBOP (2) : Amortization of actuarial loss $ — $ 1 Other Income, Net Total reclassifications for the period, net of income tax $ — $ 1 SoCalGas: Financial instruments: Interest rate instruments $ 1 $ 1 Interest Expense Pension and PBOP (2) : Amortization of actuarial loss $ — $ 1 Other Expense, Net Amortization of prior service cost 1 1 Other Expense, Net Total, net of income tax $ 1 $ 2 Total reclassifications for the period, net of income tax $ 2 $ 3 (1) Equity earnings at our foreign equity method investees are recognized after tax. (2) Amounts are included in the computation of net periodic benefit cost (see “Net Periodic Benefit Cost” 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’s Condensed Consolidated Balance Sheets. OTHER NONCONTROLLING INTERESTS (Dollars in millions) Percent ownership held by noncontrolling interests Equity held by September 30, December 31, September 30, December 31, Sempra Infrastructure: SI Partners 30.0 % 30.0 % $ 4,011 $ 2,060 SI Partners subsidiaries (1) 0.1 - 42.0 0.1 - 16.6 989 61 Total Sempra $ 5,000 $ 2,121 (1) SI Partners has subsidiaries with NCI held by others. Percentage range reflects the highest and lowest ownership percentages among these subsidiaries. |
Earnings Per Share Computations Table | 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, 2023 2022 2023 2022 Numerator: Earnings attributable to common shares $ 721 $ 485 $ 2,293 $ 1,656 Denominator: Weighted-average common shares outstanding for basic EPS (1) 630,036 629,447 629,963 630,603 Dilutive effect of stock options and RSUs (2) 2,288 2,728 2,268 2,311 Weighted-average common shares outstanding for diluted EPS 632,324 632,175 632,231 632,914 EPS: Basic $ 1.14 $ 0.77 $ 3.64 $ 2.63 Diluted $ 1.14 $ 0.77 $ 3.63 $ 2.62 (1) Includes 716 and 803 fully vested RSUs held in our Deferred Compensation Plan for the three months ended September 30, 2023 and 2022, respectively, and 716 and 805 of such RSUs for the nine months ended September 30, 2023 and 2022, 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. |
Transactions with Affiliates Table | We summarize amounts due from and to unconsolidated affiliates at Sempra, SDG&E and SoCalGas in the following table. AMOUNTS DUE FROM (TO) UNCONSOLIDATED AFFILIATES (Dollars in millions) September 30, December 31, Sempra: Tax sharing arrangement with Oncor Holdings $ 34 $ 41 Various affiliates 8 13 Total due from unconsolidated affiliates – current $ 42 $ 54 Sempra Infrastructure (1) : TAG Pipelines Norte, S. de R.L. de C.V. – 5.5% Note due January 9, 2024 $ (5) $ — Total due to unconsolidated affiliates – current $ (5) $ — Sempra Infrastructure (1) : TAG Pipelines Norte, S. de R.L. de C.V.: 5.5% Note due January 9, 2024 $ — $ (40) 5.5% Note due January 14, 2025 (24) (23) 5.5% Note due July 16, 2025 (22) (21) 5.5% Note due January 14, 2026 (20) (19) 5.5% Note due July 14, 2026 (11) (11) 5.5% Note due January 19, 2027 (14) — 5.5% Note due July 21, 2027 (17) — TAG – 5.74% Note due December 17, 2029 (195) (187) Total due to unconsolidated affiliates – noncurrent $ (303) $ (301) SDG&E: SoCalGas $ 8 $ — Total due from unconsolidated affiliates – current $ 8 $ — Sempra $ (38) $ (49) SoCalGas — (72) Various affiliates (11) (14) Total due to unconsolidated affiliates – current $ (49) $ (135) Income taxes due (to) from Sempra (2) $ (43) $ 10 SoCalGas: SDG&E $ — $ 72 Various affiliates 1 5 Total due from unconsolidated affiliates – current $ 1 $ 77 Sempra $ (30) $ (36) SDG&E (8) — Total due to unconsolidated affiliates – current $ (38) $ (36) Income taxes due to Sempra (2) $ (6) $ (16) (1) U.S. dollar-denominated loans at fixed interest rates. Amounts include principal balances plus accumulated interest outstanding. (2) SDG&E and SoCalGas are included in the consolidated income tax return of Sempra, 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. Amounts include current and noncurrent income taxes due to/from Sempra. The following table summarizes income statement information from unconsolidated affiliates. INCOME STATEMENT IMPACT FROM UNCONSOLIDATED AFFILIATES (Dollars in millions) Three months ended September 30, Nine months ended September 30, 2023 2022 2023 2022 Sempra: Revenues $ 10 $ 10 $ 34 $ 32 Interest income — 2 — 16 Interest expense 3 4 11 12 SDG&E: Revenues $ 5 $ 4 $ 15 $ 12 Cost of sales 25 17 82 67 SoCalGas: Revenues $ 29 $ 24 $ 91 $ 73 Cost of sales (1) 2 (1) 37 (5) (1) Includes net commodity costs from natural gas transactions with unconsolidated affiliates. |
Other Income and Expense Table | Other Income (Expense), Net, consists of the following: OTHER INCOME (EXPENSE), NET (Dollars in millions) Three months ended September 30, Nine months ended September 30, 2023 2022 2023 2022 Sempra: Allowance for equity funds used during construction $ 35 $ 35 $ 105 $ 104 Investment losses, net (1) (19) (13) (2) (60) Gains (losses) on interest rate and foreign exchange instruments, net 1 (3) 5 2 Foreign currency transaction (losses) gains, net (2) (3) 4 1 (18) Non-service components of net periodic benefit cost (28) (77) (79) (45) Interest on regulatory balancing accounts, net 19 7 56 12 Sundry, net (2) 7 (11) 2 Total $ 3 $ (40) $ 75 $ (3) SDG&E: Allowance for equity funds used during construction $ 21 $ 22 $ 67 $ 64 Non-service components of net periodic benefit cost (5) (17) (14) (8) Interest on regulatory balancing accounts, net 10 5 31 9 Sundry, net (1) 2 (9) 3 Total $ 25 $ 12 $ 75 $ 68 SoCalGas: Allowance for equity funds used during construction $ 14 $ 14 $ 38 $ 40 Non-service components of net periodic benefit cost (22) (58) (60) (32) Interest on regulatory balancing accounts, net 9 2 25 3 Sundry, net (3) (1) (12) (16) Total $ (2) $ (43) $ (9) $ (5) (1) Represents net investment losses on dedicated assets in support of our executive retirement and deferred compensation plans. These amounts are offset by corresponding changes in compensation expense related to the plans, recorded in O&M on the Condensed Consolidated Statements of Operations. (2) Includes losses of $11 in the nine months ended September 30, 2022 from translation to U.S. dollars of a Mexican peso-denominated loan to IMG, which are offset by corresponding amounts included in Equity Earnings on the Condensed Consolidated Statement of Operations. |
Income Tax Expense and Effective Income Tax Rates Table | We provide our calculations of ETRs in the following table. INCOME TAX (BENEFIT) EXPENSE AND EFFECTIVE INCOME TAX RATES (Dollars in millions) Three months ended September 30, Nine months ended September 30, 2023 2022 2023 2022 Sempra: Income tax (benefit) expense $ (52) $ 21 $ 499 $ 435 Income before income taxes and equity earnings $ 323 $ 165 $ 2,175 $ 1,194 Equity earnings, before income tax (1) 133 134 418 436 Pretax income $ 456 $ 299 $ 2,593 $ 1,630 Effective income tax rate (11) % 7 % 19 % 27 % SDG&E: Income tax (benefit) expense $ (15) $ 35 $ (4) $ 141 Income before income taxes $ 259 $ 306 $ 712 $ 822 Effective income tax rate (6) % 11 % (1) % 17 % SoCalGas: Income tax (benefit) expense $ (5) $ (28) $ 68 $ 75 Income (loss) before income taxes $ 11 $ (110) $ 600 $ 415 Effective income tax rate (45) % 25 % 11 % 18 % (1) We discuss how we recognize equity earnings in Note 6 of the Notes to Consolidated Financial Statements in the Annual Report. |
REVENUES (Tables)
REVENUES (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
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 Infrastructure Consolidating adjustments and Parent Sempra Three months ended September 30, 2023 By major service line: Utilities $ 1,438 $ 1,120 $ 18 $ (35) $ 2,541 Energy-related businesses — — 369 (16) 353 Revenues from contracts with customers $ 1,438 $ 1,120 $ 387 $ (51) $ 2,894 By market: Gas $ 182 $ 1,120 $ 234 $ (30) $ 1,506 Electric 1,256 — 153 (21) 1,388 Revenues from contracts with customers $ 1,438 $ 1,120 $ 387 $ (51) $ 2,894 Revenues from contracts with customers $ 1,438 $ 1,120 $ 387 $ (51) $ 2,894 Utilities regulatory revenues 4 193 — — 197 Other revenues — — 242 1 243 Total revenues $ 1,442 $ 1,313 $ 629 $ (50) $ 3,334 Nine months ended September 30, 2023 By major service line: Utilities $ 4,603 $ 6,252 $ 67 $ (107) $ 10,815 Energy-related businesses — — 916 (56) 860 Revenues from contracts with customers $ 4,603 $ 6,252 $ 983 $ (163) $ 11,675 By market: Gas $ 988 $ 6,252 $ 605 $ (95) $ 7,750 Electric 3,615 — 378 (68) 3,925 Revenues from contracts with customers $ 4,603 $ 6,252 $ 983 $ (163) $ 11,675 Revenues from contracts with customers $ 4,603 $ 6,252 $ 983 $ (163) $ 11,675 Utilities regulatory revenues (246) 322 — — 76 Other revenues — — 1,502 (24) 1,478 Total revenues $ 4,357 $ 6,574 $ 2,485 $ (187) $ 13,229 DISAGGREGATED REVENUES (CONTINUED) (Dollars in millions) SDG&E SoCalGas Sempra Infrastructure Consolidating adjustments and Parent Sempra Three months ended September 30, 2022 By major service line: Utilities $ 1,383 $ 1,214 $ 19 $ (29) $ 2,587 Energy-related businesses — — 532 (13) 519 Revenues from contracts with customers $ 1,383 $ 1,214 $ 551 $ (42) $ 3,106 By market: Gas $ 175 $ 1,214 $ 379 $ (30) $ 1,738 Electric 1,208 — 172 (12) 1,368 Revenues from contracts with customers $ 1,383 $ 1,214 $ 551 $ (42) $ 3,106 Revenues from contracts with customers $ 1,383 $ 1,214 $ 551 $ (42) $ 3,106 Utilities regulatory revenues 186 171 — — 357 Other revenues — — 146 8 154 Total revenues $ 1,569 $ 1,385 $ 697 $ (34) $ 3,617 Nine months ended September 30, 2022 By major service line: Utilities $ 4,134 $ 4,473 $ 67 $ (85) $ 8,589 Energy-related businesses — — 1,281 (42) 1,239 Revenues from contracts with customers $ 4,134 $ 4,473 $ 1,348 $ (127) $ 9,828 By market: Gas $ 664 $ 4,473 $ 948 $ (75) $ 6,010 Electric 3,470 — 400 (52) 3,818 Revenues from contracts with customers $ 4,134 $ 4,473 $ 1,348 $ (127) $ 9,828 Revenues from contracts with customers $ 4,134 $ 4,473 $ 1,348 $ (127) $ 9,828 Utilities regulatory revenues 279 406 — — 685 Other revenues — — 462 9 471 Total revenues $ 4,413 $ 4,879 $ 1,810 $ (118) $ 10,984 |
Schedule of Timing of Remaining Performance Obligations | For contracts greater than one year, at September 30, 2023, we expect to recognize revenue related to the fixed fee component of the consideration as shown below. Sempra’s remaining performance obligations primarily relate to capacity agreements for natural gas storage and transportation at Sempra Infrastructure and transmission line projects at SDG&E. SoCalGas did not have any remaining performance obligations at September 30, 2023. REMAINING PERFORMANCE OBLIGATIONS (1) (Dollars in millions) Sempra SDG&E 2023 (excluding first nine months of 2023) $ 85 $ 1 2024 300 4 2025 338 4 2026 365 4 2027 365 4 Thereafter 4,077 59 Total revenues to be recognized $ 5,530 $ 76 (1) |
Schedule of Contract Liabilities | Activities within Sempra’s and SDG&E’s contract liabilities are presented below. There were no contract liabilities at SoCalGas in the nine months ended September 30, 2023 or 2022. Sempra Infrastructure recorded a contract liability for funds held as collateral in lieu of a customer’s letters of credit associated with its LNG storage and regasification agreement. CONTRACT LIABILITIES (Dollars in millions) 2023 2022 Sempra: Contract liabilities at January 1 $ (252) $ (278) Revenue from performance obligations satisfied during reporting period 9 129 Payments received in advance (21) (105) Contract liabilities at September 30 (1) $ (264) $ (254) SDG&E: Contract liabilities at January 1 $ (79) $ (83) Revenue from performance obligations satisfied during reporting period 3 3 Contract liabilities at September 30 (2) $ (76) $ (80) (1) Balances at September 30, 2023 include $9 in Other Current Liabilities and $255 in Deferred Credits and Other. (2) Balances at September 30, 2023 include $4 in Other Current Liabilities and $72 in Deferred Credits and Other. |
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, 2023 December 31, 2022 Sempra: Accounts receivable – trade, net (1) $ 1,780 $ 2,291 Accounts receivable – other, net 15 25 Due from unconsolidated affiliates – current (2) 5 9 Other long-term assets (3) 1 9 Total $ 1,801 $ 2,334 SDG&E: Accounts receivable – trade, net (1) $ 952 $ 799 Accounts receivable – other, net 13 12 Due from unconsolidated affiliates – current (2) 6 2 Other long-term assets (3) 1 6 Total $ 972 $ 819 SoCalGas: Accounts receivable – trade, net $ 665 $ 1,295 Accounts receivable – other, net 2 13 Other long-term assets (3) — 3 Total $ 667 $ 1,311 (1) At September 30, 2023 and December 31, 2022, includes $201 and $72, respectively, of receivables due from customers that were billed on behalf of CCAs, which are not included in revenues. (2) Amount is presented net of amounts due to unconsolidated affiliates on the Condensed Consolidated Balance Sheets, when right of offset exists. (3) In connection with the COVID-19 pandemic and at the direction of the CPUC, SDG&E and SoCalGas enrolled residential and small business customers with past-due balances in long-term repayment plans. |
REGULATORY MATTERS (Tables)
REGULATORY MATTERS (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Regulated Operations [Abstract] | |
Schedule of Regulatory Assets | REGULATORY ASSETS (LIABILITIES) (Dollars in millions) September 30, December 31, SDG&E: Fixed-price contracts and other derivatives $ (10) $ (110) Deferred income taxes recoverable in rates 518 296 Pension and PBOP plan obligations (2) 11 Removal obligations (2,382) (2,248) Environmental costs 105 107 Sunrise Powerlink fire mitigation 123 123 Regulatory balancing accounts (1)(2) : Commodity – electric 111 220 Gas transportation 15 60 Safety and reliability 186 107 Public purpose programs (133) (69) Wildfire mitigation plan 607 375 Liability insurance premium 96 99 Other balancing accounts (338) (50) Other regulatory assets, net (2) 96 137 Total SDG&E (1,008) (942) SoCalGas: Deferred income taxes recoverable in rates 244 161 Pension and PBOP plan obligations (265) (170) Employee benefit costs 24 24 Removal obligations (597) (616) Environmental costs 39 38 Regulatory balancing accounts (1)(2) : Commodity – gas, including transportation (356) (257) Safety and reliability 691 575 Public purpose programs (149) (158) Liability insurance premium 23 23 Other balancing accounts 519 115 Other regulatory assets, net (2) 224 223 Total SoCalGas 397 (42) Sempra Infrastructure: Deferred income taxes recoverable in rates 78 78 Other regulatory assets 3 — Total Sempra Infrastructure 81 78 Total Sempra $ (530) $ (906) (1) At September 30, 2023 and December 31, 2022, the noncurrent portion of regulatory balancing accounts – net undercollected for SDG&E was $842 and $562, respectively, and for SoCalGas was $957 and $692, respectively. (2) Includes regulatory assets earning a return authorized by applicable regulators, which generally approximates the three-month commercial paper rate. |
Schedule of Regulatory Liabilities | REGULATORY ASSETS (LIABILITIES) (Dollars in millions) September 30, December 31, SDG&E: Fixed-price contracts and other derivatives $ (10) $ (110) Deferred income taxes recoverable in rates 518 296 Pension and PBOP plan obligations (2) 11 Removal obligations (2,382) (2,248) Environmental costs 105 107 Sunrise Powerlink fire mitigation 123 123 Regulatory balancing accounts (1)(2) : Commodity – electric 111 220 Gas transportation 15 60 Safety and reliability 186 107 Public purpose programs (133) (69) Wildfire mitigation plan 607 375 Liability insurance premium 96 99 Other balancing accounts (338) (50) Other regulatory assets, net (2) 96 137 Total SDG&E (1,008) (942) SoCalGas: Deferred income taxes recoverable in rates 244 161 Pension and PBOP plan obligations (265) (170) Employee benefit costs 24 24 Removal obligations (597) (616) Environmental costs 39 38 Regulatory balancing accounts (1)(2) : Commodity – gas, including transportation (356) (257) Safety and reliability 691 575 Public purpose programs (149) (158) Liability insurance premium 23 23 Other balancing accounts 519 115 Other regulatory assets, net (2) 224 223 Total SoCalGas 397 (42) Sempra Infrastructure: Deferred income taxes recoverable in rates 78 78 Other regulatory assets 3 — Total Sempra Infrastructure 81 78 Total Sempra $ (530) $ (906) (1) At September 30, 2023 and December 31, 2022, the noncurrent portion of regulatory balancing accounts – net undercollected for SDG&E was $842 and $562, respectively, and for SoCalGas was $957 and $692, respectively. (2) Includes regulatory assets earning a return authorized by applicable regulators, which generally approximates the three-month commercial paper rate. |
CPUC Authorized Cost of Capital and Rate Structure | CPUC AUTHORIZED COST OF CAPITAL FOR 2023 – 2025 SDG&E SoCalGas Authorized weighting Return on Weighted return on rate base (1) Authorized weighting Return on Weighted 45.25 % 4.05 % 1.83 % Long-Term Debt 45.60 % 4.07 % 1.86 % 2.75 6.22 0.17 Preferred Equity 2.40 6.00 0.14 52.00 9.95 5.17 Common Equity 52.00 9.80 5.10 100.00 % 7.18 % 100.00 % 7.10 % (1) Total weighted return on rate base does not sum due to rounding differences. The CCM was triggered for SDG&E and SoCalGas on September 30, 2023 and, subject to regulatory approval, would increase each of their authorized rates of return effective January 1, 2024 as follows: PROPOSED CPUC COST OF CAPITAL FOR 2024 – 2025 SDG&E SoCalGas Authorized weighting Return on Weighted Authorized weighting Return on Weighted 45.25 % 4.34 % 1.96 % Long-Term Debt 45.60 % 4.54 % 2.07 % 2.75 6.22 0.17 Preferred Equity 2.40 6.00 0.14 52.00 10.65 5.54 Common Equity 52.00 10.50 5.46 100.00 % 7.67 % 100.00 % 7.67 % |
INVESTMENT IN UNCONSOLIDATED EN
INVESTMENT IN UNCONSOLIDATED ENTITIES (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
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 2023 2022 2023 2022 Operating revenues $ 1,592 $ 1,438 $ 4,227 $ 3,980 Operating expenses (1,007) (929) (3,007) (2,734) Income from operations 585 509 1,220 1,246 Interest expense (140) (115) (396) (331) Income tax expense (81) (70) (148) (164) Net income 376 315 672 732 Noncontrolling interest held by Texas Transmission Investment LLC (75) (62) (135) (146) Earnings attributable to Sempra (1) 301 253 537 586 |
DEBT AND CREDIT FACILITIES (Tab
DEBT AND CREDIT FACILITIES (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Debt Disclosure [Abstract] | |
Schedule of Line of Credit Facilities | COMMITTED LINES OF CREDIT (Dollars in millions) September 30, 2023 Borrower Expiration date of facility Total facility Commercial paper outstanding Amounts outstanding Letters of credit outstanding Available unused credit Sempra October 2028 (1) $ 4,000 $ (970) $ — $ — $ 3,030 SDG&E October 2028 (1) 1,500 — — — 1,500 SoCalGas October 2028 (1) 1,200 (421) — — 779 SI Partners and IEnova September 2025 (2) 500 — (350) — 150 SI Partners and IEnova August 2026 (3) 1,000 — — — 1,000 SI Partners and IEnova August 2028 (4) 1,500 — (201) — 1,299 Port Arthur LNG March 2030 200 — — (25) 175 Total $ 9,900 $ (1,391) $ (551) $ (25) $ 7,933 (1) In October 2023, Sempra, SDG&E and SoCalGas each amended their respective credit facility to extend the expiration date from October 2027 to October 2028. Each credit facility will maintain a syndicate of 23 lenders through October 2027, at which time the syndicate of lenders for each credit facility will be reduced to 22 unless a new or existing lender agrees to assume the 23 rd lender’s commitment. Such a reduction in lenders would result in a reduction to the available credit capacity to $3,845, $1,442 and $1,153 for Sempra, SDG&E and SoCalGas, respectively, through October 2028. (2) In September 2023, the $150 facility was terminated and the $350 facility was amended to increase the commitment to $500, adjust the applicable margin to 80 bps (including credit adjustment spread), and extend the expiration date from September 2023 to September 2025. (3) In August 2023, the facility was amended to include IEnova as a co-borrower, adjust the Term SOFR credit adjustment spread to 10 bps in all tenors, and extend the expiration date from November 2024 to August 2026. Additionally, either SI Partners or IEnova has the right to increase the total facility to $1,500, subject to lender approval. (4) In August 2023, the facility was amended to extend the expiration date from February 2024 to August 2028. UNCOMMITTED LETTERS OF CREDIT (Dollars in millions) September 30, 2023 Expiration date range Uncommitted letters of credit outstanding SDG&E January 2024 - May 2024 $ 15 SoCalGas March 2024 - November 2024 20 Sempra Infrastructure October 2023 - October 2043 307 Parent and other March 2024 - September 2024 166 Total $ 508 The weighted-average interest rates on all short-term debt were as follows: WEIGHTED-AVERAGE INTEREST RATES September 30, 2023 December 31, 2022 Sempra 5.86 % 5.57 % SDG&E — 4.76 SoCalGas 5.37 4.71 |
DERIVATIVE FINANCIAL INSTRUME_2
DERIVATIVE FINANCIAL INSTRUMENTS (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
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, 2023 December 31, 2022 Sempra: Natural gas MMBtu 441 254 Electricity MWh — 1 Congestion revenue rights MWh 40 42 SDG&E: Natural gas MMBtu 16 15 Congestion revenue rights MWh 40 42 SoCalGas: Natural gas MMBtu 347 224 |
Notional Amounts of Derivatives Table | The following table presents the net notional amounts of our interest rate derivatives, excluding those in our equity method investments and the contingent interest rate swap. INTEREST RATE DERIVATIVES (Dollars in millions) September 30, 2023 December 31, 2022 Notional debt Maturities Notional debt Maturities Sempra: Cash flow hedges (1) $ 4,454 2023-2048 $ 294 2023-2034 (1) At September 30, 2023 and December 31, 2022, cash flow hedges accrued interest based on a notional of $491 and $294, respectively. The following table presents the net notional amounts of our foreign currency derivatives, excluding those in our equity method investments. FOREIGN CURRENCY DERIVATIVES (Dollars in millions) September 30, 2023 December 31, 2022 Notional amount Maturities Notional amount Maturities Sempra: Cross-currency swaps $ — — $ 306 2023 Other foreign currency derivatives 150 2023-2025 111 2023-2024 |
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, 2023 Current assets: Fixed-price contracts and other derivatives (1) Other long-term assets Other current liabilities Deferred credits and other Sempra: Derivatives designated as hedging instruments: Interest rate instruments $ 15 $ 363 $ — $ — Foreign exchange instruments — 1 (8) — Derivatives not designated as hedging instruments: Commodity contracts not subject to rate recovery 175 25 (172) (29) Associated offsetting commodity contracts (166) (22) 166 22 Commodity contracts subject to rate recovery 22 15 (171) (6) Associated offsetting commodity contracts (16) (3) 16 3 Associated offsetting cash collateral — — — 1 Net amounts presented on the balance sheet 30 379 (169) (9) Additional cash collateral for commodity contracts not subject to rate recovery 89 — — — Additional cash collateral for commodity contracts subject to rate recovery 82 — — — Total (2) $ 201 $ 379 $ (169) $ (9) SDG&E: Derivatives not designated as hedging instruments: Commodity contracts subject to rate recovery $ 18 $ 15 $ (13) $ (4) Associated offsetting commodity contracts (12) (3) 12 3 Associated offsetting cash collateral — — — 1 Net amounts presented on the balance sheet 6 12 (1) — Additional cash collateral for commodity contracts subject to rate recovery 80 — — — Total (2) $ 86 $ 12 $ (1) $ — SoCalGas: Derivatives not designated as hedging instruments: Commodity contracts subject to rate recovery $ 4 $ — $ (158) $ (2) Associated offsetting commodity contracts (4) — 4 — Net amounts presented on the balance sheet — — (154) (2) Additional cash collateral for commodity contracts subject to rate recovery 2 — — — Total $ 2 $ — $ (154) $ (2) (1) Included in Other Current Assets for SoCalGas. (2) Normal purchase contracts previously measured at fair value are excluded. DERIVATIVE INSTRUMENTS ON THE CONDENSED CONSOLIDATED BALANCE SHEETS (CONTINUED) (Dollars in millions) December 31, 2022 Current assets: Fixed-price contracts and other derivatives (1) Other long-term assets Other current liabilities Deferred credits and other Sempra: Derivatives designated as hedging instruments: Interest rate instruments $ 10 $ 33 $ — $ — Foreign exchange instruments — — (7) (1) Interest rate and foreign exchange instruments — — (105) — Derivatives not designated as hedging instruments: Commodity contracts not subject to rate recovery 480 133 (399) (132) Associated offsetting commodity contracts (301) (39) 301 39 Commodity contracts subject to rate recovery 138 27 (97) (2) Associated offsetting commodity contracts (27) (2) 27 2 Interest rate instrument 33 — — — Net amounts presented on the balance sheet 333 152 (280) (94) Additional cash collateral for commodity contracts not subject to rate recovery 451 — — — Additional cash collateral for commodity contracts subject to rate recovery 18 — — — Total (2) $ 802 $ 152 $ (280) $ (94) SDG&E: Derivatives not designated as hedging instruments: Commodity contracts subject to rate recovery $ 107 $ 27 $ (13) $ (2) Associated offsetting commodity contracts (12) (2) 12 2 Net amounts presented on the balance sheet 95 25 (1) — Additional cash collateral for commodity contracts subject to rate recovery 17 — — — Total (2) $ 112 $ 25 $ (1) $ — SoCalGas: Derivatives not designated as hedging instruments: Commodity contracts subject to rate recovery $ 31 $ — $ (84) $ — Associated offsetting commodity contracts (15) — 15 — Net amounts presented on the balance sheet 16 — (69) — Additional cash collateral for commodity contracts subject to rate recovery 1 — — — Total $ 17 $ — $ (69) $ — (1) Included in Other Current Assets for SoCalGas. (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 following table 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 gain (loss) reclassified Three months ended September 30, Three months ended September 30, 2023 2022 Location 2023 2022 Sempra: Interest rate instruments $ 320 $ 4 Interest Expense $ (1) $ (2) Interest rate instruments 32 68 Equity Earnings (1) 12 (1) Foreign exchange instruments 8 2 Revenues: Energy- Related Businesses — — Other Income (Expense), Net 1 — Foreign exchange instruments 7 1 Equity Earnings (1) 1 — Interest rate and foreign exchange instruments — — Other Income (Expense), Net — (3) Total $ 367 $ 75 $ 13 $ (6) Nine months ended September 30, Nine months ended September 30, 2023 2022 Location 2023 2022 Sempra: Interest rate instruments $ 337 $ 39 Interest Expense $ (1) $ (1) Interest rate instruments 56 212 Equity Earnings (1) 33 (28) Foreign exchange instruments — (1) Revenues: Energy- Related Businesses — 2 Other Income (Expense), Net (1) (1) Foreign exchange instruments 1 (1) Equity Earnings (1) (1) 1 Interest rate and foreign exchange instruments 7 13 Interest Expense 1 1 Other Income (Expense), Net 6 3 Total $ 401 $ 262 $ 37 $ (23) SoCalGas: Interest rate instruments $ — $ — Interest Expense $ (1) $ (1) (1) Equity earnings at our foreign equity method investees are recognized after tax. |
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 2023 2022 2023 2022 Sempra: Commodity contracts not subject to rate recovery Revenues: Energy-Related Businesses $ 83 $ (227) $ 785 $ (455) Commodity contracts subject to rate recovery Cost of Natural Gas (125) (11) (172) (15) Commodity contracts subject to rate recovery Cost of Electric Fuel and Purchased Power 23 16 5 10 Interest rate instrument Interest Expense — — (47) — Total $ (19) $ (222) $ 571 $ (460) SDG&E: Commodity contracts subject to rate recovery Cost of Electric Fuel and Purchased Power $ 23 $ 16 $ 5 $ 10 SoCalGas: Commodity contracts subject to rate recovery Cost of Natural Gas $ (125) $ (11) $ (172) $ (15) |
FAIR VALUE MEASUREMENTS (Tables
FAIR VALUE MEASUREMENTS (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Fair Value Disclosures [Abstract] | |
Recurring Fair Value Measures | RECURRING FAIR VALUE MEASURES – SEMPRA (Dollars in millions) Level 1 Level 2 Level 3 Total Fair value at September 30, 2023 Assets: Nuclear decommissioning trusts: Short-term investments, primarily cash equivalents $ 21 $ 3 $ — $ 24 Equity securities 291 4 — 295 Debt securities: Debt securities issued by the U.S. Treasury and other U.S. government corporations and agencies 27 16 — 43 Municipal bonds — 260 — 260 Other securities — 216 — 216 Total debt securities 27 492 — 519 Total nuclear decommissioning trusts (1) 339 499 — 838 Short-term investments held in Rabbi Trust 62 — — 62 Interest rate instruments — 378 — 378 Foreign exchange instruments — 1 — 1 Commodity contracts not subject to rate recovery — 12 — 12 Effect of netting and allocation of collateral (2) 89 — — 89 Commodity contracts subject to rate recovery — — 18 18 Effect of netting and allocation of collateral (2) 76 — 6 82 Support Agreement, net of related guarantee fees — — 18 18 Total $ 566 $ 890 $ 42 $ 1,498 Liabilities: Foreign exchange instruments $ — $ 8 $ — $ 8 Commodity contracts not subject to rate recovery — 13 — 13 Commodity contracts subject to rate recovery 2 156 — 158 Effect of netting and allocation of collateral (2) (1) — — (1) Total $ 1 $ 177 $ — $ 178 (1) Excludes receivables (payables), net. (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 – SEMPRA (CONTINUED) (Dollars in millions) Level 1 Level 2 Level 3 Total Fair value at December 31, 2022 Assets: Nuclear decommissioning trusts: Short-term investments, primarily cash equivalents $ 10 $ 1 $ — $ 11 Equity securities 293 4 — 297 Debt securities: Debt securities issued by the U.S. Treasury and other U.S. government corporations and agencies 27 13 — 40 Municipal bonds — 270 — 270 Other securities — 227 — 227 Total debt securities 27 510 — 537 Total nuclear decommissioning trusts (1) 330 515 — 845 Short-term investments held in Rabbi Trust 55 — — 55 Interest rate instruments — 76 — 76 Commodity contracts not subject to rate recovery — 273 — 273 Effect of netting and allocation of collateral (2) 451 — — 451 Commodity contracts subject to rate recovery 82 19 35 136 Effect of netting and allocation of collateral (2) 12 — 6 18 Support Agreement, net of related guarantee fees — — 17 17 Total $ 930 $ 883 $ 58 $ 1,871 Liabilities: Foreign exchange instruments $ — $ 8 $ — $ 8 Interest rate and foreign exchange instruments — 105 — 105 Commodity contracts not subject to rate recovery — 191 — 191 Commodity contracts subject to rate recovery — 70 — 70 Total $ — $ 374 $ — $ 374 1) Excludes receivables (payables), net. (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) Level 1 Level 2 Level 3 Total Fair value at September 30, 2023 Assets: Nuclear decommissioning trusts: Short-term investments, primarily cash equivalents $ 21 $ 3 $ — $ 24 Equity securities 291 4 — 295 Debt securities: Debt securities issued by the U.S. Treasury and other U.S. government corporations and agencies 27 16 — 43 Municipal bonds — 260 — 260 Other securities — 216 — 216 Total debt securities 27 492 — 519 Total nuclear decommissioning trusts (1) 339 499 — 838 Commodity contracts subject to rate recovery — — 18 18 Effect of netting and allocation of collateral (2) 74 — 6 80 Total $ 413 $ 499 $ 24 $ 936 Liabilities: Commodity contracts subject to rate recovery $ 2 $ — $ — $ 2 Effect of netting and allocation of collateral (2) (1) — — (1) Total $ 1 $ — $ — $ 1 Fair value at December 31, 2022 Assets: Nuclear decommissioning trusts: Short-term investments, primarily cash equivalents $ 10 $ 1 $ — $ 11 Equity securities 293 4 — 297 Debt securities: Debt securities issued by the U.S. Treasury and other U.S. government corporations and agencies 27 13 — 40 Municipal bonds — 270 — 270 Other securities — 227 — 227 Total debt securities 27 510 — 537 Total nuclear decommissioning trusts (1) 330 515 — 845 Commodity contracts subject to rate recovery 82 3 35 120 Effect of netting and allocation of collateral (2) 11 — 6 17 Total $ 423 $ 518 $ 41 $ 982 Liabilities: Commodity contracts subject to rate recovery $ — $ 1 $ — $ 1 Total $ — $ 1 $ — $ 1 (1) Excludes receivables (payables), net. (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) Level 1 Level 2 Level 3 Total Fair value at September 30, 2023 Assets: Effect of netting and allocation of collateral (1) $ 2 $ — $ — $ 2 Total $ 2 $ — $ — $ 2 Liabilities: Commodity contracts subject to rate recovery $ — $ 156 $ — $ 156 Total $ — $ 156 $ — $ 156 Fair value at December 31, 2022 Assets: Commodity contracts subject to rate recovery $ — $ 16 $ — $ 16 Effect of netting and allocation of collateral (1) 1 — — 1 Total $ 1 $ 16 $ — $ 17 Liabilities: Commodity contracts subject to rate recovery $ — $ 69 $ — $ 69 Total $ — $ 69 $ — $ 69 (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 | 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 and SDG&E. LEVEL 3 RECONCILIATIONS (1) (Dollars in millions) Three months ended September 30, 2023 2022 Balance at July 1 $ 20 $ 33 Realized and unrealized losses (2) (35) Allocated transmission instruments 1 2 Settlements (1) 33 Balance at September 30 $ 18 $ 33 Change in unrealized gains relating to instruments still held at September 30 $ 1 $ 3 Nine months ended September 30, 2023 2022 Balance at January 1 $ 35 $ 54 Realized and unrealized losses (10) (58) Allocated transmission instruments (1) (4) Settlements (6) 41 Balance at September 30 $ 18 $ 33 Change in unrealized losses relating to instruments still held at September 30 $ (8) $ (15) (1) Excludes the effect of the contractual ability to settle contracts under master netting agreements. The table below sets forth reconciliations of changes in the fair value of Sempra’s Support Agreement for the benefit of CFIN classified as Level 3 in the fair value hierarchy for Sempra. LEVEL 3 RECONCILIATIONS (Dollars in millions) Three months ended September 30, 2023 2022 Balance at July 1 $ 23 $ 16 Realized and unrealized (losses) gains (1) (3) 2 Settlements (2) (2) Balance at September 30 (2) $ 18 $ 16 Change in unrealized (losses) gains relating to instruments still held at September 30 $ (2) $ 2 Nine months ended September 30, 2023 2022 Balance at January 1 $ 17 $ 7 Realized and unrealized gains (1) 7 16 Settlements (6) (7) Balance at September 30 (2) $ 18 $ 16 Change in unrealized gains relating to instruments still held at September 30 $ 7 $ 15 (1) Net gains are included in Interest Income and net losses are included in Interest Expense on Sempra’s Condensed Consolidated Statements of Operations. (2) Includes $7 in Other Current Assets and $11 in Other Long-term Assets at September 30, 2023 on Sempra’s Condensed Consolidated Balance Sheet. |
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 2023 $ (3.09) to $ 10.71 $ (0.56) 2022 (3.67) to 6.96 (0.70) |
Fair Value of Financial Instruments | 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) Carrying Fair value Level 1 Level 2 Level 3 Total September 30, 2023 Sempra: Long-term note receivable (1) $ 330 $ — $ — $ 295 $ 295 Long-term amounts due to unconsolidated affiliates 308 — 269 — 269 Total long-term debt (2) 27,657 — 23,765 — 23,765 SDG&E: Total long-term debt (3) $ 8,750 $ — $ 7,202 $ — $ 7,202 SoCalGas: Total long-term debt (4) $ 6,759 $ — $ 5,953 $ — $ 5,953 December 31, 2022 Sempra: Long-term note receivable (1) $ 318 $ — $ — $ 286 $ 286 Long-term amounts due to unconsolidated affiliates 301 — 263 — 263 Total long-term debt (2) 24,513 — 21,549 — 21,549 SDG&E: Total long-term debt (3) $ 7,800 $ — $ 6,726 $ — $ 6,726 SoCalGas: Total long-term debt (4) $ 6,059 $ — $ 5,538 $ — $ 5,538 (1) Before allowances for credit losses of $6 and $7 at September 30, 2023 and December 31, 2022, respectively. Excludes unamortized transaction costs of $4 and $5 at September 30, 2023 and December 31, 2022, respectively. (2) Before reductions of unamortized discount and debt issuance costs of $326 and $289 at September 30, 2023 and December 31, 2022, respectively, and excluding finance lease obligations of $1,346 and $1,343 at September 30, 2023 and December 31, 2022, respectively. (3) Before reductions of unamortized discount and debt issuance costs of $90 and $70 at September 30, 2023 and December 31, 2022, respectively, and excluding finance lease obligations of $1,234 and $1,256 at September 30, 2023 and December 31, 2022, respectively. (4) Before reductions of unamortized discount and debt issuance costs of $57 and $48 at September 30, 2023 and December 31, 2022, respectively, and excluding finance lease obligations of $112 and $87 at September 30, 2023 and December 31, 2022, respectively. |
SAN ONOFRE NUCLEAR GENERATING_2
SAN ONOFRE NUCLEAR GENERATING STATION (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
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 on the Sempra and SDG&E Condensed Consolidated Balance Sheets. We provide additional fair value disclosures for the NDT in Note 8. NUCLEAR DECOMMISSIONING TRUSTS (Dollars in millions) Cost Gross Gross Estimated September 30, 2023 Debt securities: Debt securities issued by the U.S. Treasury and other U.S. government corporations and agencies (1) $ 44 $ 1 $ (2) $ 43 Municipal bonds (2) 278 — (18) 260 Other securities (3) 234 1 (19) 216 Total debt securities 556 2 (39) 519 Equity securities 99 201 (5) 295 Short-term investments, primarily cash equivalents 24 — — 24 Receivables (payables), net (11) — — (11) Total $ 668 $ 203 $ (44) $ 827 December 31, 2022 Debt securities: Debt securities issued by the U.S. Treasury and other U.S. government corporations and agencies $ 40 $ 1 $ (1) $ 40 Municipal bonds 283 1 (14) 270 Other securities 248 — (21) 227 Total debt securities 571 2 (36) 537 Equity securities 111 194 (8) 297 Short-term investments, primarily cash equivalents 11 — — 11 Receivables (payables), net (4) — — (4) Total $ 689 $ 196 $ (44) $ 841 (1) Maturity dates are 2023 - 2054. (2) Maturity dates are 2023 - 2062. (3) Maturity dates are 2023 - 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 NUCLEAR DECOMMISSIONING TRUSTS (Dollars in millions) Three months ended September 30, Nine months ended September 30, 2023 2022 2023 2022 Proceeds from sales $ 143 $ 133 $ 437 $ 530 Gross realized gains 12 2 20 16 Gross realized losses (3) (3) (9) (14) |
COMMITMENTS AND CONTINGENCIES (
COMMITMENTS AND CONTINGENCIES (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Commitments and Contingencies Disclosure [Abstract] | |
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 (Dollars in millions) Three months ended September 30, Nine months ended September 30, 2023 2022 2023 2022 Sales-type leases: Interest income $ 2 $ 2 $ 5 $ 6 Total revenues from sales-type leases (1) $ 2 $ 2 $ 5 $ 6 Operating leases: Fixed lease payments $ 78 $ 71 $ 234 $ 211 Variable lease payments 10 3 26 7 Total revenues from operating leases (1) $ 88 $ 74 $ 260 $ 218 Depreciation expense $ 15 $ 14 $ 45 $ 41 (1) Included in Revenues: Energy-Related Businesses on the Condensed Consolidated Statements of Operations. |
Sales-type Lease, Lease Income | We provide information below for leases for which we are the lessor. LESSOR INFORMATION ON THE CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS – SEMPRA (Dollars in millions) Three months ended September 30, Nine months ended September 30, 2023 2022 2023 2022 Sales-type leases: Interest income $ 2 $ 2 $ 5 $ 6 Total revenues from sales-type leases (1) $ 2 $ 2 $ 5 $ 6 Operating leases: Fixed lease payments $ 78 $ 71 $ 234 $ 211 Variable lease payments 10 3 26 7 Total revenues from operating leases (1) $ 88 $ 74 $ 260 $ 218 Depreciation expense $ 15 $ 14 $ 45 $ 41 (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, 2023 | |
Segment Reporting [Abstract] | |
Segment Information | The following tables show selected information by segment from our Condensed Consolidated Statements of Operations, Condensed Consolidated Statements of Cash Flows and Condensed Consolidated Balance Sheets. Amounts labeled as “All other” in the following tables consist primarily of activities of parent organizations. SEGMENT INFORMATION (Dollars in millions) Three months ended September 30, Nine months ended September 30, 2023 2022 2023 2022 REVENUES SDG&E $ 1,442 $ 1,569 $ 4,357 $ 4,413 SoCalGas 1,313 1,385 6,574 4,879 Sempra Infrastructure 629 697 2,485 1,810 All other — 1 — 1 Adjustments and eliminations — — (1) — Intersegment revenues (1) (50) (35) (186) (119) Total $ 3,334 $ 3,617 $ 13,229 $ 10,984 DEPRECIATION AND AMORTIZATION SDG&E $ 280 $ 247 $ 810 $ 730 SoCalGas 211 190 625 565 Sempra Infrastructure 71 67 210 199 All other 1 2 6 6 Total $ 563 $ 506 $ 1,651 $ 1,500 INTEREST INCOME SDG&E $ 7 $ 2 $ 12 $ 3 SoCalGas 2 3 7 4 Sempra Infrastructure 4 7 25 37 All other 7 6 17 14 Intercompany eliminations (1) — (1) — Total $ 19 $ 18 $ 60 $ 58 INTEREST EXPENSE SDG&E $ 126 $ 113 $ 367 $ 333 SoCalGas 70 50 210 135 Sempra Infrastructure 7 39 127 98 All other 109 81 292 232 Intercompany eliminations — (1) (1) (2) Total $ 312 $ 282 $ 995 $ 796 INCOME TAX (BENEFIT) EXPENSE SDG&E $ (15) $ 35 $ (4) $ 141 SoCalGas (5) (28) 68 75 Sempra Texas Utilities — 1 — 1 Sempra Infrastructure 24 58 555 219 All other (56) (45) (120) (1) Total $ (52) $ 21 $ 499 $ 435 EQUITY EARNINGS Equity earnings, before income tax: Sempra Texas Utilities $ 2 $ 1 $ 5 $ 6 Sempra Infrastructure 131 133 413 430 133 134 418 436 Equity earnings, net of income tax: Sempra Texas Utilities 305 257 548 603 Sempra Infrastructure 41 26 120 79 346 283 668 682 Total $ 479 $ 417 $ 1,086 $ 1,118 (1) Revenues for reportable segments include intersegment revenues of $5, $29, and $16 for the three months ended September 30, 2023 and $14, $91, and $81 for the nine months ended September 30, 2023; $4, $24, and $7 for the three months ended September 30, 2022 and $11, $73, and $35 for the nine months ended September 30, 2022 for SDG&E, SoCalGas, and Sempra Infrastructure, respectively. SEGMENT INFORMATION (CONTINUED) (Dollars in millions) Three months ended September 30, Nine months ended September 30, 2023 2022 2023 2022 EARNINGS (LOSSES) ATTRIBUTABLE TO COMMON SHARES SDG&E $ 274 $ 271 $ 716 $ 681 SoCalGas 16 (82) 531 339 Sempra Texas Utilities 305 256 548 604 Sempra Infrastructure 223 114 746 392 All other (97) (74) (248) (360) Total $ 721 $ 485 $ 2,293 $ 1,656 EXPENDITURES FOR PROPERTY, PLANT & EQUIPMENT SDG&E $ 1,893 $ 1,651 SoCalGas 1,451 1,394 Sempra Infrastructure 2,725 489 All other 5 6 Total $ 6,074 $ 3,540 September 30, December 31, ASSETS SDG&E $ 28,502 $ 26,422 SoCalGas 23,069 22,346 Sempra Texas Utilities 14,269 13,781 Sempra Infrastructure 19,722 15,760 All other 1,205 1,376 Intersegment receivables (1,032) (1,111) Total $ 85,735 $ 78,574 EQUITY METHOD INVESTMENTS Sempra Texas Utilities $ 14,260 $ 13,772 Sempra Infrastructure 2,096 1,905 Total $ 16,356 $ 15,677 |
GENERAL INFORMATION AND OTHER_4
GENERAL INFORMATION AND OTHER FINANCIAL DATA - PRINCIPLES OF CONSOLIDATION (Details) | 9 Months Ended |
Sep. 30, 2023 segment | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Number of reportable segments | 4 |
GENERAL INFORMATION AND OTHER_5
GENERAL INFORMATION AND OTHER FINANCIAL DATA - CASH, CASH EQUIVALENTS AND RESTRICTED CASH (Details) - USD ($) $ in Millions | Sep. 30, 2023 | Dec. 31, 2022 | Sep. 30, 2022 | Dec. 31, 2021 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |||||
Cash and cash equivalents | $ 1,149 | $ 370 | [1] | ||
Restricted cash, current | 238 | 40 | [1] | ||
Restricted cash, noncurrent | 104 | 52 | [1] | ||
Total cash, cash equivalents and restricted cash on the Condensed Consolidated Statements of Cash Flows | $ 1,491 | $ 462 | $ 786 | $ 581 | |
[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, 2023 | Sep. 30, 2022 | Dec. 31, 2022 | Mar. 31, 2022 | |
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Receivables from revenues from contracts with customers | $ 1,801 | $ 2,334 | ||
Accounts Receivable, Allowance for Credit Loss [Roll Forward] | ||||
Beginning balance | 181 | $ 136 | ||
Provisions for expected credit losses | 374 | 111 | ||
Write-offs | (74) | (57) | ||
Ending balance | 481 | 190 | ||
Allowance for credit losses | 6 | 7 | ||
Accounts receivable – trade, net | ||||
Accounts Receivable, Allowance for Credit Loss [Roll Forward] | ||||
Accounts receivable - trade and other, net | 432 | 140 | ||
Accounts receivable – other, net | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Receivables from revenues from contracts with customers | 15 | 25 | ||
Accounts Receivable, Allowance for Credit Loss [Roll Forward] | ||||
Accounts receivable - trade and other, net | 48 | 40 | ||
Other long-term assets | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Receivables from revenues from contracts with customers | 1 | 9 | ||
Accounts Receivable, Allowance for Credit Loss [Roll Forward] | ||||
Expected credit losses, noncurrent | 1 | 1 | ||
Other long-term assets | KKR | ||||
Accounts Receivable, Allowance for Credit Loss [Roll Forward] | ||||
Expected credit losses, noncurrent | 6 | 7 | ||
Deferred Credits and Other | Sempra LNG | ||||
Accounts Receivable, Allowance for Credit Loss [Roll Forward] | ||||
Allowance for credit losses | 6 | 6 | ||
San Diego Gas and Electric Company | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Receivables from revenues from contracts with customers | 972 | 819 | ||
Accounts Receivable, Allowance for Credit Loss [Roll Forward] | ||||
Beginning balance | 78 | 66 | ||
Provisions for expected credit losses | 96 | 51 | ||
Write-offs | (34) | (30) | ||
Ending balance | 140 | 87 | ||
San Diego Gas and Electric Company | Customers Under California Arrearage Payment Program | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Receivables from revenues from contracts with customers | 51 | $ 63 | ||
San Diego Gas and Electric Company | Accounts receivable – trade, net | ||||
Accounts Receivable, Allowance for Credit Loss [Roll Forward] | ||||
Accounts receivable - trade and other, net | 113 | 52 | ||
San Diego Gas and Electric Company | Accounts receivable – other, net | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Receivables from revenues from contracts with customers | 13 | 12 | ||
Accounts Receivable, Allowance for Credit Loss [Roll Forward] | ||||
Accounts receivable - trade and other, net | 26 | 25 | ||
San Diego Gas and Electric Company | Other long-term assets | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Receivables from revenues from contracts with customers | 1 | 6 | ||
Accounts Receivable, Allowance for Credit Loss [Roll Forward] | ||||
Expected credit losses, noncurrent | 1 | 1 | ||
Southern California Gas Company | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Receivables from revenues from contracts with customers | 667 | 1,311 | ||
Accounts Receivable, Allowance for Credit Loss [Roll Forward] | ||||
Beginning balance | 98 | 69 | ||
Provisions for expected credit losses | 276 | 58 | ||
Write-offs | (40) | (27) | ||
Ending balance | 334 | $ 100 | ||
Southern California Gas Company | Customers Under California Arrearage Payment Program | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Receivables from revenues from contracts with customers | 59 | $ 79 | ||
Southern California Gas Company | Accounts receivable – trade, net | ||||
Accounts Receivable, Allowance for Credit Loss [Roll Forward] | ||||
Accounts receivable - trade and other, net | 312 | 83 | ||
Southern California Gas Company | Accounts receivable – other, net | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Receivables from revenues from contracts with customers | 2 | 13 | ||
Accounts Receivable, Allowance for Credit Loss [Roll Forward] | ||||
Accounts receivable - trade and other, net | 22 | 15 | ||
Southern California Gas Company | Other long-term assets | ||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||
Receivables from revenues from contracts with customers | $ 0 | $ 3 |
GENERAL INFORMATION AND OTHER_7
GENERAL INFORMATION AND OTHER FINANCIAL DATA - INVENTORIES (Details) - USD ($) $ in Millions | Sep. 30, 2023 | Dec. 31, 2022 | |
Inventory [Line Items] | |||
Natural gas | $ 160 | $ 106 | |
LNG | 9 | 62 | |
Materials and supplies | 282 | 235 | |
Total | 451 | 403 | [1] |
San Diego Gas and Electric Company | |||
Inventory [Line Items] | |||
Natural gas | 1 | 1 | |
LNG | 0 | 0 | |
Materials and supplies | 146 | 133 | |
Total | 147 | 134 | [1] |
Southern California Gas Company | |||
Inventory [Line Items] | |||
Natural gas | 144 | 74 | |
LNG | 0 | 0 | |
Materials and supplies | 116 | 85 | |
Total | $ 260 | $ 159 | [1] |
[1]Derived from audited financial statements. |
GENERAL INFORMATION AND OTHER_8
GENERAL INFORMATION AND OTHER FINANCIAL DATA - NOTE RECEIVABLE (Details) - KKR - USD ($) $ in Millions | 9 Months Ended | ||
Sep. 30, 2023 | Dec. 31, 2022 | Nov. 30, 2021 | |
Financing Receivable, Allowance for Credit Loss [Line Items] | |||
Note receivable issued | $ 300 | ||
Compound interest rate (as a percent) | 5% | ||
Other long-term assets | |||
Financing Receivable, Allowance for Credit Loss [Line Items] | |||
Note receivable, net | $ 328 | $ 316 |
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, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Capitalized Financing Costs Disclosure [Line Items] | ||||
Capitalized interest costs | $ 128 | $ 65 | $ 311 | $ 182 |
San Diego Gas and Electric Company | ||||
Capitalized Financing Costs Disclosure [Line Items] | ||||
Capitalized interest costs | 28 | 30 | 90 | 84 |
Southern California Gas Company | ||||
Capitalized Financing Costs Disclosure [Line Items] | ||||
Capitalized interest costs | $ 20 | $ 19 | $ 55 | $ 54 |
GENERAL INFORMATION AND OTHE_10
GENERAL INFORMATION AND OTHER FINANCIAL DATA - PROPERTY, PLANT AND EQUIPMENT (Details) $ in Millions | 9 Months Ended |
Sep. 30, 2023 USD ($) segment | |
Property, Plant and Equipment [Line Items] | |
Number of reportable segments | 4 |
Sempra Infrastructure | |
Property, Plant and Equipment [Line Items] | |
Number of reportable segments | 2 |
Sempra Infrastructure | Guaymas-El Oro segment of the Sonora Pipeline | |
Property, Plant and Equipment [Line Items] | |
Property, plant and equipment | $ | $ 411 |
GENERAL INFORMATION AND OTHE_11
GENERAL INFORMATION AND OTHER FINANCIAL DATA - VARIABLE INTEREST ENTITIES (Details) - USD ($) $ in Millions | 9 Months Ended | ||
Sep. 30, 2023 | Dec. 31, 2022 | ||
Variable Interest Entities [Line Items] | |||
Property plant and equipment, net | $ 53,172 | $ 47,782 | [1] |
Finance lease obligations | 1,346 | 1,343 | |
Equity method investment | 14,148 | 13,665 | [1] |
Assets | 85,735 | 78,574 | [1] |
Oncor Holdings | Sempra Texas Utilities | |||
Variable Interest Entities [Line Items] | |||
Equity method investment | 14,148 | 13,665 | |
Cameron LNG Holdings | Sempra Infrastructure | |||
Variable Interest Entities [Line Items] | |||
Equity method investment | 989 | 886 | |
San Diego Gas and Electric Company | |||
Variable Interest Entities [Line Items] | |||
Property plant and equipment, net | 23,088 | 21,806 | [1] |
Finance lease obligations | 1,234 | 1,256 | |
Assets | $ 28,502 | 26,422 | [1] |
IEnova | ECA LNG JV | |||
Variable Interest Entities [Line Items] | |||
Ownership percentage in consolidated entity (in percentage) | 83.40% | ||
Subsidiary of TOTAL SE | ECA LNG JV | |||
Variable Interest Entities [Line Items] | |||
Ownership percentage in consolidated entity (in percentage) | 16.60% | ||
Variable Interest Entity, Not Primary Beneficiary | Sempra Infrastructure | |||
Variable Interest Entities [Line Items] | |||
Maximum exposure under guarantor obligations | $ 979 | ||
Variable Interest Entity, Not Primary Beneficiary | San Diego Gas and Electric Company | |||
Variable Interest Entities [Line Items] | |||
Property plant and equipment, net | 1,174 | 1,194 | |
Finance lease obligations | 1,174 | 1,194 | |
Variable Interest Entity, Primary Beneficiary | ECA LNG JV | Sempra Infrastructure | |||
Variable Interest Entities [Line Items] | |||
Assets | 1,430 | 1,099 | |
Liabilities | 924 | $ 685 | |
Variable Interest Entity, Primary Beneficiary | Port Arthur LNG | Sempra Infrastructure | |||
Variable Interest Entities [Line Items] | |||
Assets | 3,830 | ||
Liabilities | $ 788 | ||
[1]Derived from audited financial statements. |
GENERAL INFORMATION AND OTHE_12
GENERAL INFORMATION AND OTHER FINANCIAL DATA - PENSION AND OTHER POSTRETIREMENT BENEFITS (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Pension | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Service cost | $ 25 | $ 27 | $ 82 | $ 110 |
Interest cost | 39 | 29 | 118 | 88 |
Expected return on assets | (42) | (46) | (127) | (137) |
Amortization of: | ||||
Prior service cost (credit) | 2 | 3 | 4 | 8 |
Actuarial loss (gain) | 3 | 8 | 7 | 19 |
Net periodic benefit cost (credit) | 27 | 21 | 84 | 88 |
Regulatory adjustments | 30 | 87 | 88 | 84 |
Total expense (income) recognized | 57 | 108 | 172 | 172 |
Pension | San Diego Gas and Electric Company | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Service cost | 8 | 8 | 24 | 28 |
Interest cost | 10 | 7 | 30 | 20 |
Expected return on assets | (9) | (13) | (29) | (35) |
Amortization of: | ||||
Actuarial loss (gain) | 2 | 0 | 4 | 1 |
Net periodic benefit cost (credit) | 11 | 2 | 29 | 14 |
Regulatory adjustments | 3 | 24 | 11 | 26 |
Total expense (income) recognized | 14 | 26 | 40 | 40 |
Pension | Southern California Gas Company | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Service cost | 15 | 16 | 49 | 72 |
Interest cost | 24 | 20 | 75 | 61 |
Expected return on assets | (29) | (30) | (89) | (94) |
Amortization of: | ||||
Prior service cost (credit) | 1 | 2 | 3 | 6 |
Actuarial loss (gain) | 1 | 6 | 1 | 14 |
Net periodic benefit cost (credit) | 12 | 14 | 39 | 59 |
Regulatory adjustments | 27 | 63 | 77 | 58 |
Total expense (income) recognized | 39 | 77 | 116 | 117 |
PBOP | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Service cost | 3 | 4 | 10 | 17 |
Interest cost | 9 | 7 | 28 | 21 |
Expected return on assets | (17) | (16) | (52) | (48) |
Amortization of: | ||||
Prior service cost (credit) | (1) | (1) | (2) | (2) |
Actuarial loss (gain) | (5) | (4) | (17) | (11) |
Net periodic benefit cost (credit) | (11) | (10) | (33) | (23) |
Regulatory adjustments | 10 | 10 | 32 | 23 |
Total expense (income) recognized | (1) | 0 | (1) | 0 |
PBOP | San Diego Gas and Electric Company | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Service cost | 1 | 1 | 2 | 4 |
Interest cost | 2 | 1 | 6 | 4 |
Expected return on assets | (2) | (2) | (6) | (7) |
Amortization of: | ||||
Actuarial loss (gain) | 0 | (1) | (1) | (2) |
Net periodic benefit cost (credit) | 1 | (1) | 1 | (1) |
Regulatory adjustments | (1) | 1 | (1) | 1 |
Total expense (income) recognized | 0 | 0 | 0 | 0 |
PBOP | Southern California Gas Company | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Service cost | 2 | 3 | 7 | 13 |
Interest cost | 7 | 5 | 21 | 16 |
Expected return on assets | (14) | (13) | (44) | (40) |
Amortization of: | ||||
Prior service cost (credit) | (1) | (1) | (2) | (2) |
Actuarial loss (gain) | (5) | (3) | (15) | (9) |
Net periodic benefit cost (credit) | (11) | (9) | (33) | (22) |
Regulatory adjustments | 11 | 9 | 33 | 22 |
Total expense (income) recognized | $ 0 | $ 0 | $ 0 | $ 0 |
GENERAL INFORMATION AND OTHE_13
GENERAL INFORMATION AND OTHER FINANCIAL DATA - DEDICATED ASSETS IN SUPPORT OF CERTAIN BENEFITS PLANS (Details) - USD ($) $ in Millions | Sep. 30, 2023 | Dec. 31, 2022 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |||
Dedicated assets in support of certain benefit plans | $ 513 | $ 505 | [1] |
[1]Derived from audited financial statements. |
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 | |||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | ||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | |||||
Beginning balance | [1] | $ 27,115 | |||
OCI before reclassifications | $ 111 | $ 40 | 132 | $ 162 | |
Amounts reclassified from AOCI | (50) | 7 | (57) | 36 | |
Net OCI | 61 | 47 | 75 | 198 | |
Ending balance | 28,238 | 28,238 | |||
Total accumulated other comprehensive income (loss) | |||||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | |||||
Beginning balance | (121) | (167) | (135) | (318) | |
Ending balance | (60) | (120) | (60) | (120) | |
Foreign currency translation adjustments | |||||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | |||||
Beginning balance | (38) | (65) | (59) | (79) | |
OCI before reclassifications | (5) | 0 | 16 | 4 | |
Amounts reclassified from AOCI | 0 | 0 | 0 | 10 | |
Net OCI | (5) | 0 | 16 | 14 | |
Ending balance | (43) | (65) | (43) | (65) | |
AOCI associated with noncontrolling interests | 9 | ||||
Financial instruments | |||||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | |||||
Beginning balance | 14 | (30) | 10 | (156) | |
OCI before reclassifications | 116 | 40 | 129 | 151 | |
Amounts reclassified from AOCI | (51) | 5 | (60) | 20 | |
Net OCI | 65 | 45 | 69 | 171 | |
Ending balance | 79 | 15 | 79 | 15 | |
AOCI associated with noncontrolling interests | (46) | (46) | |||
Pension and PBOP | |||||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | |||||
Beginning balance | (97) | (72) | (86) | (83) | |
OCI before reclassifications | 0 | 0 | (13) | 7 | |
Amounts reclassified from AOCI | 1 | 2 | 3 | 6 | |
Net OCI | 1 | 2 | (10) | 13 | |
Ending balance | (96) | (70) | (96) | (70) | |
San Diego Gas and Electric Company | |||||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | |||||
Beginning balance | [1] | 9,067 | |||
Amounts reclassified from AOCI | 1 | 1 | |||
Net OCI | 1 | 1 | |||
Ending balance | 9,683 | 9,683 | |||
San Diego Gas and Electric Company | Total accumulated other comprehensive income (loss) | |||||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | |||||
Beginning balance | (7) | (10) | (7) | (10) | |
Ending balance | (7) | (9) | (7) | (9) | |
San Diego Gas and Electric Company | Pension and PBOP | |||||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | |||||
Beginning balance | (7) | (10) | (7) | (10) | |
Amounts reclassified from AOCI | 1 | 1 | |||
Net OCI | 1 | 1 | |||
Ending balance | (7) | (9) | (7) | (9) | |
Southern California Gas Company | |||||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | |||||
Beginning balance | [1] | 6,698 | |||
Amounts reclassified from AOCI | 1 | 2 | 3 | ||
Net OCI | 1 | 2 | 3 | ||
Ending balance | 7,231 | 7,231 | |||
Southern California Gas Company | Total accumulated other comprehensive income (loss) | |||||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | |||||
Beginning balance | (22) | (29) | (24) | (31) | |
Ending balance | (22) | (28) | (22) | (28) | |
Southern California Gas Company | Financial instruments | |||||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | |||||
Beginning balance | (11) | (12) | (12) | (13) | |
Amounts reclassified from AOCI | 0 | 1 | 1 | ||
Net OCI | 0 | 1 | 1 | ||
Ending balance | (11) | (12) | (11) | (12) | |
Southern California Gas Company | Pension and PBOP | |||||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | |||||
Beginning balance | (11) | (17) | (12) | (18) | |
Amounts reclassified from AOCI | 1 | 1 | 2 | ||
Net OCI | 1 | 1 | 2 | ||
Ending balance | $ (11) | $ (16) | $ (11) | $ (16) | |
[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, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||
Operation and Maintenance | $ 1,383 | $ 1,206 | $ 3,958 | $ 3,454 |
Interest expense | (312) | (282) | (995) | (796) |
Energy-related businesses | 596 | 673 | 2,338 | 1,710 |
Other Income (Expense), Net | 3 | (40) | 75 | (3) |
Income before income taxes and equity earnings | 323 | 165 | 2,175 | 1,194 |
Income tax benefit (expense) | 52 | (21) | (499) | (435) |
Net income | 854 | 561 | 2,762 | 1,877 |
Earnings Attributable to Noncontrolling Interests | (122) | (65) | (435) | (187) |
Southern California Gas Company | ||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||
Interest expense | (70) | (50) | (210) | (135) |
Other Income (Expense), Net | (2) | (43) | (9) | (5) |
Income before income taxes and equity earnings | 11 | (110) | 600 | 415 |
Income tax benefit (expense) | 5 | 28 | (68) | (75) |
Net income | 16 | (82) | 532 | 340 |
San Diego Gas and Electric Company | ||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||
Interest expense | (126) | (113) | (367) | (333) |
Other Income (Expense), Net | 25 | 12 | 75 | 68 |
Income before income taxes and equity earnings | 259 | 306 | 712 | 822 |
Income tax benefit (expense) | 15 | (35) | 4 | (141) |
Net income | 274 | 271 | 716 | 681 |
Reclassification out of Accumulated Other Comprehensive Income | ||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||
Earnings attributable to common shares | (4) | 7 | (11) | 27 |
Reclassification out of Accumulated Other Comprehensive Income | Southern California Gas Company | ||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||
Earnings attributable to common shares | 0 | 1 | 2 | 3 |
Reclassification out of Accumulated Other Comprehensive Income | San Diego Gas and Electric Company | ||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||
Earnings attributable to common shares | 0 | 1 | 0 | 1 |
Reclassification out of Accumulated Other Comprehensive Income | Foreign currency translation adjustments | ||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||
Operation and Maintenance | 0 | 1 | ||
Reclassification out of Accumulated Other Comprehensive Income | Accumulated Gain (Loss), Cash Flow Hedge, Including Noncontrolling Interest | ||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||
Income before income taxes and equity earnings | (13) | 6 | (37) | 23 |
Income tax benefit (expense) | 2 | (2) | 5 | (7) |
Net income | (11) | 4 | (32) | 16 |
Earnings attributable to common shares | (5) | 5 | (14) | 20 |
Reclassification out of Accumulated Other Comprehensive Income | Accumulated Gain (Loss), Cash Flow Hedge, Including Noncontrolling Interest | Southern California Gas Company | ||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||
Net income | 1 | 2 | ||
Reclassification out of Accumulated Other Comprehensive Income | Accumulated Gain (Loss), Cash Flow Hedge, Including Noncontrolling Interest | Interest rate instruments | ||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||
Interest expense | 1 | 2 | 1 | 1 |
Equity earnings | (12) | 1 | (33) | 28 |
Reclassification out of Accumulated Other Comprehensive Income | Accumulated Gain (Loss), Cash Flow Hedge, Including Noncontrolling Interest | Interest rate instruments | Southern California Gas Company | ||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||
Interest expense | 1 | 1 | ||
Reclassification out of Accumulated Other Comprehensive Income | Accumulated Gain (Loss), Cash Flow Hedge, Including Noncontrolling Interest | Foreign exchange instruments | ||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||
Equity earnings | (1) | 0 | 1 | (1) |
Energy-related businesses | 0 | (2) | ||
Other Income (Expense), Net | (1) | 0 | 1 | 1 |
Reclassification out of Accumulated Other Comprehensive Income | Accumulated Gain (Loss), Cash Flow Hedge, Including Noncontrolling Interest | Interest rate and foreign exchange instruments | ||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||
Interest expense | (1) | (1) | ||
Other Income (Expense), Net | 0 | 3 | (6) | (3) |
Reclassification out of Accumulated Other Comprehensive Income | Accumulated Gain (Loss), Net, Cash Flow Hedge, Noncontrolling Interest | ||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||
Earnings Attributable to Noncontrolling Interests | 6 | 1 | 18 | 4 |
Reclassification out of Accumulated Other Comprehensive Income | Amortization of actuarial loss | ||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||
Other Income (Expense), Net | 1 | 2 | 2 | 6 |
Reclassification out of Accumulated Other Comprehensive Income | Amortization of actuarial loss | Southern California Gas Company | ||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||
Amortization of prior service cost | 0 | 1 | ||
Reclassification out of Accumulated Other Comprehensive Income | Amortization of actuarial loss | San Diego Gas and Electric Company | ||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||
Amortization of prior service cost | 0 | 1 | 0 | 1 |
Reclassification out of Accumulated Other Comprehensive Income | Amortization of prior service cost | ||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||
Other Income (Expense), Net | 1 | 1 | 2 | 3 |
Reclassification out of Accumulated Other Comprehensive Income | Amortization of prior service cost | Southern California Gas Company | ||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||
Amortization of prior service cost | 0 | 1 | 1 | 1 |
Reclassification out of Accumulated Other Comprehensive Income | Pension and PBOP | ||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||
Income before income taxes and equity earnings | 2 | 3 | 4 | 9 |
Income tax benefit (expense) | (1) | (1) | (1) | (3) |
Net income | $ 1 | $ 2 | $ 3 | $ 6 |
GENERAL INFORMATION AND OTHE_16
GENERAL INFORMATION AND OTHER FINANCIAL DATA - SHAREHOLDERS’ EQUITY AND NONCONTROLLING INTERESTS NARRATIVE (Details) $ / shares in Units, $ in Millions | 1 Months Ended | 3 Months Ended | 9 Months Ended | ||||||||||||
Aug. 02, 2023 shares | Mar. 20, 2023 USD ($) | Apr. 06, 2022 USD ($) $ / shares shares | Jan. 11, 2022 USD ($) $ / shares shares | Sep. 30, 2023 USD ($) shares | Jun. 30, 2022 USD ($) | Sep. 30, 2023 USD ($) shares | Sep. 30, 2022 USD ($) | Sep. 30, 2023 USD ($) shares | Sep. 30, 2022 USD ($) shares | May 12, 2023 shares | May 11, 2023 shares | Dec. 31, 2022 shares | Dec. 21, 2021 USD ($) | Oct. 01, 2021 USD ($) | |
Noncontrolling Interest [Line Items] | |||||||||||||||
Common stock, shares authorized (in shares) | shares | 1,125,000,000 | 1,125,000,000 | 1,125,000,000 | 1,125,000,000 | 1,125,000,000 | 750,000,000 | 1,125,000,000 | ||||||||
Stock split, conversion ratio | 2 | ||||||||||||||
Stock dividend (in percent) | 100% | ||||||||||||||
Increase in equity | $ 496 | $ 2 | $ 1,091 | $ 15 | |||||||||||
Increase in shareholders' equity | 986 | $ 1 | 1,241 | $ 1,419 | |||||||||||
Port Arthur LNG | |||||||||||||||
Noncontrolling Interest [Line Items] | |||||||||||||||
Increase in equity | $ 234 | ||||||||||||||
SI Partners | |||||||||||||||
Noncontrolling Interest [Line Items] | |||||||||||||||
Increase in shareholders' equity | 200 | ||||||||||||||
Sale of noncontrolling interest, change in equity | 145 | ||||||||||||||
Sempra Infrastructure | SI Partners | |||||||||||||||
Noncontrolling Interest [Line Items] | |||||||||||||||
Increase in shareholders' equity | $ 709 | ||||||||||||||
Sale of noncontrolling interest, change in equity | 710 | ||||||||||||||
Sale of noncontrolling interest, transaction costs | 12 | ||||||||||||||
Reduction to deferred income tax liability | 300 | ||||||||||||||
Sale of noncontrolling interest, transaction costs reimbursed | $ 10 | ||||||||||||||
KKR Denali | Port Arthur LNG | |||||||||||||||
Noncontrolling Interest [Line Items] | |||||||||||||||
Increase in equity | $ 1,100 | ||||||||||||||
Increase in shareholders' equity | 56 | ||||||||||||||
Sale of noncontrolling interest, transaction costs | 11 | ||||||||||||||
Sale of noncontrolling interest, tax expense (tax benefit) | (22) | ||||||||||||||
Indirect Subsidiary Of SI Partners | Port Arthur LNG | |||||||||||||||
Noncontrolling Interest [Line Items] | |||||||||||||||
Cash consideration | 254 | ||||||||||||||
Increase in shareholders' equity | 12 | ||||||||||||||
Sale of noncontrolling interest, transaction costs | 3 | ||||||||||||||
Sale of noncontrolling interest, tax expense (tax benefit) | 5 | ||||||||||||||
Funding commitment, aggregate amount | $ 9,000 | ||||||||||||||
KKR | SI Partners | |||||||||||||||
Noncontrolling Interest [Line Items] | |||||||||||||||
Funding commitment, aggregate amount | $ 200 | ||||||||||||||
Funding used | 14 | 200 | |||||||||||||
SI Partners | KKR Denali | Port Arthur LNG | |||||||||||||||
Noncontrolling Interest [Line Items] | |||||||||||||||
Cash consideration for minimum amount of interest transferred | 984 | $ 984 | $ 984 | ||||||||||||
Share of development costs incurred, threshold | $ 439 | ||||||||||||||
Port Arthur LNG | Indirect Subsidiary Of SI Partners | |||||||||||||||
Noncontrolling Interest [Line Items] | |||||||||||||||
Ownership interest (as a percent) | 30% | ||||||||||||||
Funding commitment (in percent) | 110% | ||||||||||||||
Guaranteed funding amount (in percent) | 70% | ||||||||||||||
Port Arthur LNG | SI Partners | KKR Denali | |||||||||||||||
Noncontrolling Interest [Line Items] | |||||||||||||||
Ownership interest (as a percent) | 42% | 42% | 42% | ||||||||||||
Port Arthur LNG | Minimum | KKR Denali | |||||||||||||||
Noncontrolling Interest [Line Items] | |||||||||||||||
Ownership interest (as a percent) | 19.60% | 19.60% | 19.60% | ||||||||||||
SI Partners | Sempra Infrastructure | |||||||||||||||
Noncontrolling Interest [Line Items] | |||||||||||||||
Ownership interest (as a percent) | 30% | 30% | 30% | 30% | |||||||||||
SI Partners | Abu Dhabi Investment Authority | |||||||||||||||
Noncontrolling Interest [Line Items] | |||||||||||||||
Sale of noncontrolling interest (as a percent) | 10% | ||||||||||||||
Sale of noncontrolling interest, aggregate purchase price | $ 1,700 | ||||||||||||||
SI Partners | KKR | |||||||||||||||
Noncontrolling Interest [Line Items] | |||||||||||||||
Ownership interest (as a percent) | 20% | 20% | |||||||||||||
SI Partners | Abu Dhabi Investment Authority | |||||||||||||||
Noncontrolling Interest [Line Items] | |||||||||||||||
Ownership interest (as a percent) | 10% | ||||||||||||||
SI Partners | Sempra | |||||||||||||||
Noncontrolling Interest [Line Items] | |||||||||||||||
Ownership interest (as a percent) | 70% | ||||||||||||||
SI Partners subsidiaries | Minimum | Sempra Infrastructure | |||||||||||||||
Noncontrolling Interest [Line Items] | |||||||||||||||
Ownership interest (as a percent) | 0.10% | 0.10% | 0.10% | 0.10% | |||||||||||
SI Partners subsidiaries | Maximum | Sempra Infrastructure | |||||||||||||||
Noncontrolling Interest [Line Items] | |||||||||||||||
Ownership interest (as a percent) | 42% | 42% | 42% | 16.60% | |||||||||||
Common stock | |||||||||||||||
Noncontrolling Interest [Line Items] | |||||||||||||||
Share repurchase program, number of shares repurchased (in shares) | shares | 2,943,914 | 2,945,512 | 411,447 | 404,806 | |||||||||||
Common stock repurchased | $ 32 | $ 28 | |||||||||||||
Accelerated share repurchase program, prepaid amount | $ 250 | $ 200 | |||||||||||||
Common stock repurchased, average price (in dollars per share) | $ / shares | $ 84.92 | $ 67.90 |
GENERAL INFORMATION AND OTHE_17
GENERAL INFORMATION AND OTHER FINANCIAL DATA - SHAREHOLDERS’ EQUITY AND NONCONTROLLING INTERESTS - OTHER NONCONTROLLING INTERESTS (Details) - USD ($) $ in Millions | Sep. 30, 2023 | Dec. 31, 2022 | |
Noncontrolling Interest [Line Items] | |||
Other noncontrolling interests | $ 5,000 | $ 2,121 | [1] |
SI Partners | Sempra Infrastructure | |||
Noncontrolling Interest [Line Items] | |||
Ownership interest (as a percent) | 30% | 30% | |
Other noncontrolling interests | $ 4,011 | $ 2,060 | |
SI Partners subsidiaries | Sempra Infrastructure | |||
Noncontrolling Interest [Line Items] | |||
Other noncontrolling interests | $ 989 | $ 61 | |
SI Partners subsidiaries | Sempra Infrastructure | Minimum | |||
Noncontrolling Interest [Line Items] | |||
Ownership interest (as a percent) | 0.10% | 0.10% | |
SI Partners subsidiaries | Sempra Infrastructure | Maximum | |||
Noncontrolling Interest [Line Items] | |||
Ownership interest (as a percent) | 42% | 16.60% | |
[1]Derived from audited financial statements. |
GENERAL INFORMATION AND OTHE_18
GENERAL INFORMATION AND OTHER FINANCIAL DATA - EARNINGS PER COMMON SHARE (Details) - USD ($) $ / shares in Units, $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Deferred Compensation Arrangement with Individual, Share-based Payments [Line Items] | ||||
Earnings attributable to common shares, basic | $ 721 | $ 485 | $ 2,293 | $ 1,656 |
Earnings attributable to common shares, diluted | $ 721 | $ 485 | $ 2,293 | $ 1,656 |
Weighted-average common shares outstanding for basic EPS (in shares) | 630,036,000 | 629,447,000 | 629,963,000 | 630,603,000 |
Dilutive effect of stock options and RSUs (in shares) | 2,288,000 | 2,728,000 | 2,268,000 | 2,311,000 |
Weighted-average common shares outstanding for diluted EPS (in shares) | 632,324,000 | 632,175,000 | 632,231,000 | 632,914,000 |
Earnings per share, basic (dollars per share) | $ 1.14 | $ 0.77 | $ 3.64 | $ 2.63 |
Earnings per share, diluted (in dollars per share) | $ 1.14 | $ 0.77 | $ 3.63 | $ 2.62 |
Vested RSUs included in basic WASO (in shares) | 716,000 | 803,000 | 716,000 | 805,000 |
Stock options, RSAs and RSUs | ||||
Deferred Compensation Arrangement with Individual, Share-based Payments [Line Items] | ||||
Non-qualified stock options granted (in shares) | 326,574 | |||
Performance-based RSUs | ||||
Deferred Compensation Arrangement with Individual, Share-based Payments [Line Items] | ||||
Equity awards, granted (in shares) | 661,620 | |||
Service-based RSUs | ||||
Deferred Compensation Arrangement with Individual, Share-based Payments [Line Items] | ||||
Equity awards, granted (in shares) | 272,729 | |||
Stock options, RSAs and RSUs | ||||
Deferred Compensation Arrangement with Individual, Share-based Payments [Line Items] | ||||
Antidilutive securities excluded from earnings per share (in shares) | 624,242 | 0 | 470,804 | 230,752 |
GENERAL INFORMATION AND OTHE_19
GENERAL INFORMATION AND OTHER FINANCIAL DATA - TRANSACTIONS WITH AFFILIATES (Details) - USD ($) $ in Millions | Sep. 30, 2023 | Dec. 31, 2022 | |
Related Party Transaction [Line Items] | |||
Due from unconsolidated affiliates | $ 42 | $ 54 | [1] |
Total due to unconsolidated affiliates – noncurrent | (303) | (301) | [1] |
Related Party | |||
Related Party Transaction [Line Items] | |||
Due from unconsolidated affiliates | 42 | 54 | |
Total due to unconsolidated affiliates – current | (5) | 0 | [1] |
Various affiliates | |||
Related Party Transaction [Line Items] | |||
Due from unconsolidated affiliates | 8 | 13 | |
Tax Sharing Arrangement | Related Party | |||
Related Party Transaction [Line Items] | |||
Due from unconsolidated affiliates | 34 | 41 | |
TAG Pipeline Norte | Related Party | |||
Related Party Transaction [Line Items] | |||
Total due to unconsolidated affiliates – current | (5) | 0 | |
San Diego Gas and Electric Company | |||
Related Party Transaction [Line Items] | |||
Due from unconsolidated affiliates | 8 | 0 | [1] |
San Diego Gas and Electric Company | Related Party | |||
Related Party Transaction [Line Items] | |||
Due from unconsolidated affiliates | 8 | 0 | |
Total due to unconsolidated affiliates – current | (49) | (135) | [1] |
San Diego Gas and Electric Company | Various affiliates | |||
Related Party Transaction [Line Items] | |||
Total due to unconsolidated affiliates – current | (11) | (14) | |
San Diego Gas and Electric Company | Due to/from Sempra Energy | |||
Related Party Transaction [Line Items] | |||
Total due to unconsolidated affiliates – current | (38) | (49) | |
Income taxes due (to) from Sempra | (43) | 10 | |
San Diego Gas and Electric Company | Due to/from SoCalGas | |||
Related Party Transaction [Line Items] | |||
Due from unconsolidated affiliates | 8 | 0 | |
Total due to unconsolidated affiliates – current | 0 | (72) | |
Southern California Gas Company | |||
Related Party Transaction [Line Items] | |||
Due from unconsolidated affiliates | 1 | 77 | [1] |
Southern California Gas Company | Related Party | |||
Related Party Transaction [Line Items] | |||
Due from unconsolidated affiliates | 1 | 77 | |
Total due to unconsolidated affiliates – current | (38) | (36) | [1] |
Southern California Gas Company | Various affiliates | |||
Related Party Transaction [Line Items] | |||
Due from unconsolidated affiliates | 1 | 5 | |
Southern California Gas Company | Due to/from Sempra Energy | |||
Related Party Transaction [Line Items] | |||
Total due to unconsolidated affiliates – current | (30) | (36) | |
Income taxes due (to) from Sempra | (6) | (16) | |
Southern California Gas Company | Due to/from SDG&E | |||
Related Party Transaction [Line Items] | |||
Due from unconsolidated affiliates | 0 | 72 | |
Total due to unconsolidated affiliates – current | (8) | 0 | |
Sempra Infrastructure | Related Party | |||
Related Party Transaction [Line Items] | |||
Total due to unconsolidated affiliates – noncurrent | $ (303) | (301) | |
Five Point Five Percent Note Due January 2024 | Sempra Infrastructure | TAG Pipeline Norte | Related Party | |||
Related Party Transaction [Line Items] | |||
Stated rate of debt (as a percent) | 5.50% | ||
Total due to unconsolidated affiliates – noncurrent | $ 0 | (40) | |
Five Point Five Percent Note Due January 2025 | Sempra Infrastructure | TAG Pipeline Norte | Related Party | |||
Related Party Transaction [Line Items] | |||
Stated rate of debt (as a percent) | 5.50% | ||
Total due to unconsolidated affiliates – noncurrent | $ (24) | (23) | |
Five Point Five Percent Notes Due July 2025 | Sempra Infrastructure | TAG Pipeline Norte | Related Party | |||
Related Party Transaction [Line Items] | |||
Stated rate of debt (as a percent) | 5.50% | ||
Total due to unconsolidated affiliates – noncurrent | $ (22) | (21) | |
Five Point Five Percent Note due January 2026 | Sempra Infrastructure | TAG Pipeline Norte | Related Party | |||
Related Party Transaction [Line Items] | |||
Stated rate of debt (as a percent) | 5.50% | ||
Total due to unconsolidated affiliates – noncurrent | $ (20) | (19) | |
Five Point Five Percent Note due July 2026 | Sempra Infrastructure | TAG Pipeline Norte | Related Party | |||
Related Party Transaction [Line Items] | |||
Stated rate of debt (as a percent) | 5.50% | ||
Total due to unconsolidated affiliates – noncurrent | $ (11) | (11) | |
Five Point Five Percent Note due January 2027 | Sempra Infrastructure | TAG Pipeline Norte | Related Party | |||
Related Party Transaction [Line Items] | |||
Stated rate of debt (as a percent) | 5.50% | ||
Total due to unconsolidated affiliates – noncurrent | $ (14) | 0 | |
Five Point Five Percent Note due July 2027 | Sempra Infrastructure | TAG Pipeline Norte | Related Party | |||
Related Party Transaction [Line Items] | |||
Stated rate of debt (as a percent) | 5.50% | ||
Total due to unconsolidated affiliates – noncurrent | $ (17) | 0 | |
Five Point Seven Four Percent Note December 2029 | Sempra Infrastructure | TAG | Related Party | |||
Related Party Transaction [Line Items] | |||
Stated rate of debt (as a percent) | 5.74% | ||
Total due to unconsolidated affiliates – noncurrent | $ (195) | $ (187) | |
[1]Derived from audited financial statements. |
GENERAL INFORMATION AND OTHE_20
GENERAL INFORMATION AND OTHER FINANCIAL DATA - AFFILIATES REVENUE AND COST OF SALES (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Related Party Transaction [Line Items] | ||||
Revenues | $ 3,334 | $ 3,617 | $ 13,229 | $ 10,984 |
Interest income | 19 | 18 | 60 | 58 |
Interest expense | 312 | 282 | 995 | 796 |
Related Party | ||||
Related Party Transaction [Line Items] | ||||
Revenues | 10 | 10 | 34 | 32 |
Interest income | 0 | 2 | 0 | 16 |
Interest expense | 3 | 4 | 11 | 12 |
San Diego Gas and Electric Company | ||||
Related Party Transaction [Line Items] | ||||
Interest income | 7 | 2 | 12 | 3 |
Interest expense | 126 | 113 | 367 | 333 |
Operating revenues | 1,442 | 1,569 | 4,357 | 4,413 |
San Diego Gas and Electric Company | Related Party | ||||
Related Party Transaction [Line Items] | ||||
Operating revenues | 5 | 4 | 15 | 12 |
Cost of sales | 25 | 17 | 82 | 67 |
Southern California Gas Company | ||||
Related Party Transaction [Line Items] | ||||
Interest income | 2 | 3 | 7 | 4 |
Interest expense | 70 | 50 | 210 | 135 |
Operating revenues | 1,313 | 1,385 | 6,574 | 4,879 |
Southern California Gas Company | Related Party | ||||
Related Party Transaction [Line Items] | ||||
Operating revenues | 29 | 24 | 91 | 73 |
Cost of sales | $ 2 | $ (1) | $ 37 | $ (5) |
GENERAL INFORMATION AND OTHE_21
GENERAL INFORMATION AND OTHER FINANCIAL DATA - OTHER INCOME, NET (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Other Income [Line Items] | ||||
Allowance for equity funds used during construction | $ 35 | $ 35 | $ 105 | $ 104 |
Investment gains (losses), net | (19) | (13) | (2) | (60) |
Gains (losses) on interest rate and foreign exchange instruments, net | 1 | (3) | 5 | 2 |
Foreign currency transaction gains (losses), net | (3) | 4 | 1 | (18) |
Non-service components of net periodic benefit cost | (28) | (77) | (79) | (45) |
Interest on regulatory balancing accounts, net | 19 | 7 | 56 | 12 |
Sundry, net | (2) | 7 | (11) | 2 |
Total | 3 | (40) | 75 | (3) |
San Diego Gas and Electric Company | ||||
Other Income [Line Items] | ||||
Allowance for equity funds used during construction | 21 | 22 | 67 | 64 |
Non-service components of net periodic benefit cost | (5) | (17) | (14) | (8) |
Interest on regulatory balancing accounts, net | 10 | 5 | 31 | 9 |
Sundry, net | (1) | 2 | (9) | 3 |
Total | 25 | 12 | 75 | 68 |
Southern California Gas Company | ||||
Other Income [Line Items] | ||||
Allowance for equity funds used during construction | 14 | 14 | 38 | 40 |
Non-service components of net periodic benefit cost | (22) | (58) | (60) | (32) |
Interest on regulatory balancing accounts, net | 9 | 2 | 25 | 3 |
Sundry, net | (3) | (1) | (12) | (16) |
Total | $ (2) | $ (43) | $ (9) | (5) |
IMG | ||||
Other Income [Line Items] | ||||
Foreign currency transaction gains (losses), net | $ 11 |
GENERAL INFORMATION AND OTHE_22
GENERAL INFORMATION AND OTHER FINANCIAL DATA - INCOME TAXES (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Income Tax Expense And Effective Income Tax Rates Disclosure [Line Items] | ||||
Income tax expense (benefit) | $ (52) | $ 21 | $ 499 | $ 435 |
Income before income taxes and equity earnings | 323 | 165 | 2,175 | 1,194 |
Equity earnings, before income tax: | 133 | 134 | 418 | 436 |
Pretax income | $ 456 | $ 299 | $ 2,593 | $ 1,630 |
Effective income tax rate (as a percent) | (11.00%) | 7% | 19% | 27% |
San Diego Gas and Electric Company | ||||
Income Tax Expense And Effective Income Tax Rates Disclosure [Line Items] | ||||
Income tax expense (benefit) | $ (15) | $ 35 | $ (4) | $ 141 |
Income before income taxes and equity earnings | $ 259 | $ 306 | $ 712 | $ 822 |
Effective income tax rate (as a percent) | (6.00%) | 11% | (1.00%) | 17% |
Southern California Gas Company | ||||
Income Tax Expense And Effective Income Tax Rates Disclosure [Line Items] | ||||
Income tax expense (benefit) | $ (5) | $ (28) | $ 68 | $ 75 |
Income before income taxes and equity earnings | $ 11 | $ (110) | $ 600 | $ 415 |
Effective income tax rate (as a percent) | (45.00%) | 25% | 11% | 18% |
GENERAL INFORMATION AND OTHE_23
GENERAL INFORMATION AND OTHER FINANCIAL DATA - INCOME TAXES NARRATIVE (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Schedule Of Income Tax Expense And Effective Income Tax Rates [Line Items] | ||||
Income tax expense (benefit) | $ (52) | $ 21 | $ 499 | $ 435 |
Deferred income tax liability for foreign earnings | 120 | 120 | ||
Southern California Gas Company | ||||
Schedule Of Income Tax Expense And Effective Income Tax Rates [Line Items] | ||||
Income tax expense (benefit) | $ (5) | $ (28) | 68 | $ 75 |
Southern California Gas Company | Cumulative Effect, Period of Adoption, Adjustment [Member] | ||||
Schedule Of Income Tax Expense And Effective Income Tax Rates [Line Items] | ||||
Income tax expense (benefit) | $ (43) |
REVENUES - DISAGGREGATION OF RE
REVENUES - DISAGGREGATION OF REVENUE (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Disaggregation of Revenue [Line Items] | ||||
Revenues from contracts with customers | $ 2,894 | $ 3,106 | $ 11,675 | $ 9,828 |
Utilities regulatory revenues | 197 | 357 | 76 | 685 |
Other revenues | 243 | 154 | 1,478 | 471 |
Total revenues | 3,334 | 3,617 | 13,229 | 10,984 |
Utilities | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues from contracts with customers | 2,541 | 2,587 | 10,815 | 8,589 |
Energy-related businesses | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues from contracts with customers | 353 | 519 | 860 | 1,239 |
Gas | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues from contracts with customers | 1,506 | 1,738 | 7,750 | 6,010 |
Electric | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues from contracts with customers | 1,388 | 1,368 | 3,925 | 3,818 |
Operating Segments | San Diego Gas and Electric Company | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues from contracts with customers | 1,438 | 1,383 | 4,603 | 4,134 |
Utilities regulatory revenues | 4 | 186 | (246) | 279 |
Other revenues | 0 | 0 | 0 | 0 |
Total revenues | 1,442 | 1,569 | 4,357 | 4,413 |
Operating Segments | San Diego Gas and Electric Company | Utilities | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues from contracts with customers | 1,438 | 1,383 | 4,603 | 4,134 |
Operating Segments | San Diego Gas and Electric Company | Energy-related businesses | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues from contracts with customers | 0 | 0 | 0 | 0 |
Operating Segments | San Diego Gas and Electric Company | Gas | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues from contracts with customers | 182 | 175 | 988 | 664 |
Operating Segments | San Diego Gas and Electric Company | Electric | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues from contracts with customers | 1,256 | 1,208 | 3,615 | 3,470 |
Operating Segments | Southern California Gas Company | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues from contracts with customers | 1,120 | 1,214 | 6,252 | 4,473 |
Utilities regulatory revenues | 193 | 171 | 322 | 406 |
Other revenues | 0 | 0 | 0 | 0 |
Total revenues | 1,313 | 1,385 | 6,574 | 4,879 |
Operating Segments | Southern California Gas Company | Utilities | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues from contracts with customers | 1,120 | 1,214 | 6,252 | 4,473 |
Operating Segments | Southern California Gas Company | Energy-related businesses | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues from contracts with customers | 0 | 0 | 0 | 0 |
Operating Segments | Southern California Gas Company | Gas | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues from contracts with customers | 1,120 | 1,214 | 6,252 | 4,473 |
Operating Segments | Southern California Gas Company | Electric | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues from contracts with customers | 0 | 0 | 0 | 0 |
Operating Segments | Sempra Infrastructure | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues from contracts with customers | 387 | 551 | 983 | 1,348 |
Utilities regulatory revenues | 0 | 0 | 0 | 0 |
Other revenues | 242 | 146 | 1,502 | 462 |
Total revenues | 629 | 697 | 2,485 | 1,810 |
Operating Segments | Sempra Infrastructure | Utilities | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues from contracts with customers | 18 | 19 | 67 | 67 |
Operating Segments | Sempra Infrastructure | Energy-related businesses | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues from contracts with customers | 369 | 532 | 916 | 1,281 |
Operating Segments | Sempra Infrastructure | Gas | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues from contracts with customers | 234 | 379 | 605 | 948 |
Operating Segments | Sempra Infrastructure | Electric | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues from contracts with customers | 153 | 172 | 378 | 400 |
Consolidation, Eliminations | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues from contracts with customers | (51) | (42) | (163) | (127) |
Utilities regulatory revenues | 0 | 0 | 0 | 0 |
Other revenues | 1 | 8 | (24) | 9 |
Total revenues | (50) | (34) | (187) | (118) |
Consolidation, Eliminations | Utilities | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues from contracts with customers | (35) | (29) | (107) | (85) |
Consolidation, Eliminations | Energy-related businesses | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues from contracts with customers | (16) | (13) | (56) | (42) |
Consolidation, Eliminations | Gas | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues from contracts with customers | (30) | (30) | (95) | (75) |
Consolidation, Eliminations | Electric | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues from contracts with customers | $ (21) | $ (12) | $ (68) | $ (52) |
REVENUES - PERFORMANCE OBLIGATI
REVENUES - PERFORMANCE OBLIGATIONS (Details) $ in Millions | Sep. 30, 2023 USD ($) |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Revenues to be recognized | $ 5,530 |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2023-10-01 | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Revenues to be recognized | $ 85 |
Revenues to be recognized, period of recognition | 3 months |
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 | $ 300 |
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 | $ 338 |
Revenues to be recognized, period of recognition | 1 year |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2026-01-01 | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Revenues to be recognized | $ 365 |
Revenues to be recognized, period of recognition | 1 year |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2027-01-01 | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Revenues to be recognized | $ 365 |
Revenues to be recognized, period of recognition | 1 year |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2028-01-01 | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Revenues to be recognized | $ 4,077 |
Revenues to be recognized, period of recognition | |
San Diego Gas and Electric Company | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Revenues to be recognized | $ 76 |
San Diego Gas and Electric Company | Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2023-10-01 | |
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 | 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 | 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 |
Revenues to be recognized, period of recognition | 1 year |
San Diego Gas and Electric Company | Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2026-01-01 | |
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 | Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2027-01-01 | |
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 | Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2028-01-01 | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Revenues to be recognized | $ 59 |
Revenues to be recognized, period of recognition |
REVENUES - CONTRACT LIABILITIES
REVENUES - CONTRACT LIABILITIES (Details) - USD ($) $ in Millions | 9 Months Ended | |
Sep. 30, 2023 | Sep. 30, 2022 | |
Contract with Customer, Liability [Roll Forward] | ||
Contract liabilities, opening balance | $ (252) | $ (278) |
Revenue from performance obligations satisfied during reporting period | 9 | 129 |
Payments received in advance | (21) | (105) |
Contract liabilities, closing balance | (264) | (254) |
Other current liabilities | ||
Contract with Customer, Liability [Roll Forward] | ||
Contract liabilities, closing balance | (9) | |
Deferred Credits and Other | ||
Contract with Customer, Liability [Roll Forward] | ||
Contract liabilities, closing balance | (255) | |
San Diego Gas and Electric Company | ||
Contract with Customer, Liability [Roll Forward] | ||
Contract liabilities, opening balance | (79) | (83) |
Revenue from performance obligations satisfied during reporting period | 3 | 3 |
Contract liabilities, closing balance | (76) | $ (80) |
San Diego Gas and Electric Company | Other current liabilities | ||
Contract with Customer, Liability [Roll Forward] | ||
Contract liabilities, closing balance | (4) | |
San Diego Gas and Electric Company | Deferred Credits and Other | ||
Contract with Customer, Liability [Roll Forward] | ||
Contract liabilities, closing balance | $ (72) |
REVENUES - RECEIVABLES FROM REV
REVENUES - RECEIVABLES FROM REVENUES FROM CONTRACTS WITH CUSTOMERS (Details) - USD ($) $ in Millions | Sep. 30, 2023 | Dec. 31, 2022 |
Contract with Customer, Asset [Line Items] | ||
Receivables from revenues from contracts with customers | $ 1,801 | $ 2,334 |
Accounts receivable – trade, net | ||
Contract with Customer, Asset [Line Items] | ||
Receivables from revenues from contracts with customers | 1,780 | 2,291 |
Accounts receivable – trade, net | Community Choice Aggregation | ||
Contract with Customer, Asset [Line Items] | ||
Receivables from revenues from contracts with customers | 201 | 72 |
Accounts receivable – other, net | ||
Contract with Customer, Asset [Line Items] | ||
Receivables from revenues from contracts with customers | 15 | 25 |
Due from unconsolidated affiliates – current | ||
Contract with Customer, Asset [Line Items] | ||
Receivables from revenues from contracts with customers | 5 | 9 |
Other long-term assets | ||
Contract with Customer, Asset [Line Items] | ||
Receivables from revenues from contracts with customers | 1 | 9 |
San Diego Gas and Electric Company | ||
Contract with Customer, Asset [Line Items] | ||
Receivables from revenues from contracts with customers | 972 | 819 |
San Diego Gas and Electric Company | Accounts receivable – trade, net | ||
Contract with Customer, Asset [Line Items] | ||
Receivables from revenues from contracts with customers | 952 | 799 |
San Diego Gas and Electric Company | Accounts receivable – other, net | ||
Contract with Customer, Asset [Line Items] | ||
Receivables from revenues from contracts with customers | 13 | 12 |
San Diego Gas and Electric Company | Due from unconsolidated affiliates – current | ||
Contract with Customer, Asset [Line Items] | ||
Receivables from revenues from contracts with customers | 6 | 2 |
San Diego Gas and Electric Company | Other long-term assets | ||
Contract with Customer, Asset [Line Items] | ||
Receivables from revenues from contracts with customers | 1 | 6 |
Southern California Gas Company | ||
Contract with Customer, Asset [Line Items] | ||
Receivables from revenues from contracts with customers | 667 | 1,311 |
Southern California Gas Company | Accounts receivable – trade, net | ||
Contract with Customer, Asset [Line Items] | ||
Receivables from revenues from contracts with customers | 665 | 1,295 |
Southern California Gas Company | Accounts receivable – other, net | ||
Contract with Customer, Asset [Line Items] | ||
Receivables from revenues from contracts with customers | 2 | 13 |
Southern California Gas Company | Other long-term assets | ||
Contract with Customer, Asset [Line Items] | ||
Receivables from revenues from contracts with customers | $ 0 | $ 3 |
REGULATORY MATTERS - REGULATORY
REGULATORY MATTERS - REGULATORY ACCOUNTS (Details) - USD ($) $ in Millions | Sep. 30, 2023 | Dec. 31, 2022 |
Total Sempra | ||
Schedule Of Net Regulatory Assets (Liabilities) [Line Items] | ||
Net regulatory assets (liabilities) | $ (530) | $ (906) |
San Diego Gas and Electric Company | ||
Schedule Of Net Regulatory Assets (Liabilities) [Line Items] | ||
Regulatory balancing accounts - net undercollected, Noncurrent | 842 | 562 |
San Diego Gas and Electric Company | Fixed-price contracts and other derivatives | ||
Schedule Of Net Regulatory Assets (Liabilities) [Line Items] | ||
Net regulatory assets (liabilities) | (10) | (110) |
San Diego Gas and Electric Company | Deferred income taxes recoverable in rates | ||
Schedule Of Net Regulatory Assets (Liabilities) [Line Items] | ||
Net regulatory assets (liabilities) | 518 | 296 |
San Diego Gas and Electric Company | Pension and PBOP plan obligations | ||
Schedule Of Net Regulatory Assets (Liabilities) [Line Items] | ||
Net regulatory assets (liabilities) | (2) | 11 |
San Diego Gas and Electric Company | Removal obligations | ||
Schedule Of Net Regulatory Assets (Liabilities) [Line Items] | ||
Net regulatory assets (liabilities) | (2,382) | (2,248) |
San Diego Gas and Electric Company | Environmental costs | ||
Schedule Of Net Regulatory Assets (Liabilities) [Line Items] | ||
Net regulatory assets (liabilities) | 105 | 107 |
San Diego Gas and Electric Company | Sunrise Powerlink fire mitigation | ||
Schedule Of Net Regulatory Assets (Liabilities) [Line Items] | ||
Net regulatory assets (liabilities) | 123 | 123 |
San Diego Gas and Electric Company | Commodity – electric | ||
Schedule Of Net Regulatory Assets (Liabilities) [Line Items] | ||
Net regulatory assets (liabilities) | 111 | 220 |
San Diego Gas and Electric Company | Gas transportation | ||
Schedule Of Net Regulatory Assets (Liabilities) [Line Items] | ||
Net regulatory assets (liabilities) | 15 | 60 |
San Diego Gas and Electric Company | Safety and reliability | ||
Schedule Of Net Regulatory Assets (Liabilities) [Line Items] | ||
Net regulatory assets (liabilities) | 186 | 107 |
San Diego Gas and Electric Company | Public purpose programs | ||
Schedule Of Net Regulatory Assets (Liabilities) [Line Items] | ||
Net regulatory assets (liabilities) | (133) | (69) |
San Diego Gas and Electric Company | Wildfire mitigation plan | ||
Schedule Of Net Regulatory Assets (Liabilities) [Line Items] | ||
Net regulatory assets (liabilities) | 607 | 375 |
San Diego Gas and Electric Company | Liability insurance premium | ||
Schedule Of Net Regulatory Assets (Liabilities) [Line Items] | ||
Net regulatory assets (liabilities) | 96 | 99 |
San Diego Gas and Electric Company | Other balancing accounts | ||
Schedule Of Net Regulatory Assets (Liabilities) [Line Items] | ||
Net regulatory assets (liabilities) | (338) | (50) |
San Diego Gas and Electric Company | Other regulatory assets, net | ||
Schedule Of Net Regulatory Assets (Liabilities) [Line Items] | ||
Net regulatory assets (liabilities) | 96 | 137 |
San Diego Gas and Electric Company | Total SDG&E | ||
Schedule Of Net Regulatory Assets (Liabilities) [Line Items] | ||
Net regulatory assets (liabilities) | (1,008) | (942) |
Southern California Gas Company | ||
Schedule Of Net Regulatory Assets (Liabilities) [Line Items] | ||
Regulatory balancing accounts - net undercollected, Noncurrent | 957 | 692 |
Southern California Gas Company | Deferred income taxes recoverable in rates | ||
Schedule Of Net Regulatory Assets (Liabilities) [Line Items] | ||
Net regulatory assets (liabilities) | 244 | 161 |
Southern California Gas Company | Pension and PBOP plan obligations | ||
Schedule Of Net Regulatory Assets (Liabilities) [Line Items] | ||
Net regulatory assets (liabilities) | (265) | (170) |
Southern California Gas Company | Removal obligations | ||
Schedule Of Net Regulatory Assets (Liabilities) [Line Items] | ||
Net regulatory assets (liabilities) | (597) | (616) |
Southern California Gas Company | Employee benefit costs | ||
Schedule Of Net Regulatory Assets (Liabilities) [Line Items] | ||
Net regulatory assets (liabilities) | 24 | 24 |
Southern California Gas Company | Environmental costs | ||
Schedule Of Net Regulatory Assets (Liabilities) [Line Items] | ||
Net regulatory assets (liabilities) | 39 | 38 |
Southern California Gas Company | Commodity – gas, including transportation | ||
Schedule Of Net Regulatory Assets (Liabilities) [Line Items] | ||
Net regulatory assets (liabilities) | (356) | (257) |
Southern California Gas Company | Safety and reliability | ||
Schedule Of Net Regulatory Assets (Liabilities) [Line Items] | ||
Net regulatory assets (liabilities) | 691 | 575 |
Southern California Gas Company | Public purpose programs | ||
Schedule Of Net Regulatory Assets (Liabilities) [Line Items] | ||
Net regulatory assets (liabilities) | (149) | (158) |
Southern California Gas Company | Liability insurance premium | ||
Schedule Of Net Regulatory Assets (Liabilities) [Line Items] | ||
Net regulatory assets (liabilities) | 23 | 23 |
Southern California Gas Company | Other balancing accounts | ||
Schedule Of Net Regulatory Assets (Liabilities) [Line Items] | ||
Net regulatory assets (liabilities) | 519 | 115 |
Southern California Gas Company | Other regulatory assets, net | ||
Schedule Of Net Regulatory Assets (Liabilities) [Line Items] | ||
Net regulatory assets (liabilities) | 224 | 223 |
Southern California Gas Company | Total SoCalGas | ||
Schedule Of Net Regulatory Assets (Liabilities) [Line Items] | ||
Net regulatory assets (liabilities) | 397 | (42) |
Sempra Infrastructure | Deferred income taxes recoverable in rates | ||
Schedule Of Net Regulatory Assets (Liabilities) [Line Items] | ||
Net regulatory assets (liabilities) | 78 | 78 |
Sempra Infrastructure | Other regulatory assets, net | ||
Schedule Of Net Regulatory Assets (Liabilities) [Line Items] | ||
Net regulatory assets (liabilities) | 3 | 0 |
Sempra Infrastructure | Total Sempra Infrastructure | ||
Schedule Of Net Regulatory Assets (Liabilities) [Line Items] | ||
Net regulatory assets (liabilities) | $ 81 | $ 78 |
REGULATORY MATTERS - GENERAL RA
REGULATORY MATTERS - GENERAL RATE CASE (Details) - 2024 GRC - 2024 Requirement - General Rate Case - USD ($) $ in Billions | 1 Months Ended | |
Oct. 31, 2023 | May 31, 2022 | |
San Diego Gas and Electric Company | ||
General Rate Case [Line Items] | ||
Requested revenue requirements | $ 3 | |
San Diego Gas and Electric Company | Subsequent Event | ||
General Rate Case [Line Items] | ||
Requested revenue requirements | $ 2.2 | |
Requested review and recovery of wildfire mitigation plan | $ 1.5 | |
San Diego Gas and Electric Company | Minimum | ||
General Rate Case [Line Items] | ||
Estimate of annual increases | 8% | |
San Diego Gas and Electric Company | Maximum | ||
General Rate Case [Line Items] | ||
Estimate of annual increases | 11% | |
Southern California Gas Company | ||
General Rate Case [Line Items] | ||
Requested revenue requirements | $ 4.4 | |
Southern California Gas Company | Minimum | ||
General Rate Case [Line Items] | ||
Estimate of annual increases | 6% | |
Southern California Gas Company | Maximum | ||
General Rate Case [Line Items] | ||
Estimate of annual increases | 8% |
REGULATORY MATTERS - COST OF CA
REGULATORY MATTERS - COST OF CAPITAL & FERC (Details) - California Public Utilities Commission - Forecast | 24 Months Ended | 36 Months Ended |
Dec. 31, 2025 | Dec. 31, 2025 | |
San Diego Gas and Electric Company | ||
Public Utilities, General Disclosures [Line Items] | ||
Authorized weighting (as a percent) | 100% | 100% |
Weighted return on rate base (as a percent) | 7.67% | 7.18% |
San Diego Gas and Electric Company | Authorized Weighting | ||
Public Utilities, General Disclosures [Line Items] | ||
Approved debt capital structure (as a percent) | 45.25% | 45.25% |
San Diego Gas and Electric Company | Authorized Weighting | Preferred Equity | ||
Public Utilities, General Disclosures [Line Items] | ||
Approved return on equity (as a percent) | 2.75% | 2.75% |
San Diego Gas and Electric Company | Authorized Weighting | Common Equity | ||
Public Utilities, General Disclosures [Line Items] | ||
Approved return on equity (as a percent) | 52% | 52% |
San Diego Gas and Electric Company | Return on Rate Base | ||
Public Utilities, General Disclosures [Line Items] | ||
Approved debt capital structure (as a percent) | 4.34% | 4.05% |
San Diego Gas and Electric Company | Return on Rate Base | Preferred Equity | ||
Public Utilities, General Disclosures [Line Items] | ||
Approved return on equity (as a percent) | 6.22% | 6.22% |
San Diego Gas and Electric Company | Return on Rate Base | Common Equity | ||
Public Utilities, General Disclosures [Line Items] | ||
Approved return on equity (as a percent) | 10.65% | 9.95% |
San Diego Gas and Electric Company | Weighted Return on Rate Base | ||
Public Utilities, General Disclosures [Line Items] | ||
Approved debt capital structure (as a percent) | 1.96% | 1.83% |
San Diego Gas and Electric Company | Weighted Return on Rate Base | Preferred Equity | ||
Public Utilities, General Disclosures [Line Items] | ||
Approved return on equity (as a percent) | 0.17% | 0.17% |
San Diego Gas and Electric Company | Weighted Return on Rate Base | Common Equity | ||
Public Utilities, General Disclosures [Line Items] | ||
Approved return on equity (as a percent) | 5.54% | 5.17% |
Southern California Gas Company | ||
Public Utilities, General Disclosures [Line Items] | ||
Authorized weighting (as a percent) | 100% | 100% |
Weighted return on rate base (as a percent) | 7.67% | 7.10% |
Southern California Gas Company | Authorized Weighting | ||
Public Utilities, General Disclosures [Line Items] | ||
Approved debt capital structure (as a percent) | 45.60% | 45.60% |
Southern California Gas Company | Authorized Weighting | Preferred Equity | ||
Public Utilities, General Disclosures [Line Items] | ||
Approved return on equity (as a percent) | 2.40% | 2.40% |
Southern California Gas Company | Authorized Weighting | Common Equity | ||
Public Utilities, General Disclosures [Line Items] | ||
Approved return on equity (as a percent) | 52% | 52% |
Southern California Gas Company | Return on Rate Base | ||
Public Utilities, General Disclosures [Line Items] | ||
Approved debt capital structure (as a percent) | 4.54% | 4.07% |
Southern California Gas Company | Return on Rate Base | Preferred Equity | ||
Public Utilities, General Disclosures [Line Items] | ||
Approved return on equity (as a percent) | 6% | 6% |
Southern California Gas Company | Return on Rate Base | Common Equity | ||
Public Utilities, General Disclosures [Line Items] | ||
Approved return on equity (as a percent) | 10.50% | 9.80% |
Southern California Gas Company | Weighted Return on Rate Base | ||
Public Utilities, General Disclosures [Line Items] | ||
Approved debt capital structure (as a percent) | 2.07% | 1.86% |
Southern California Gas Company | Weighted Return on Rate Base | Preferred Equity | ||
Public Utilities, General Disclosures [Line Items] | ||
Approved return on equity (as a percent) | 0.14% | 0.14% |
Southern California Gas Company | Weighted Return on Rate Base | Common Equity | ||
Public Utilities, General Disclosures [Line Items] | ||
Approved return on equity (as a percent) | 5.46% | 5.10% |
REGULATORY MATTERS - FERC RATE
REGULATORY MATTERS - FERC RATE MATTERS (Details) - San Diego Gas and Electric Company | 9 Months Ended |
Sep. 30, 2023 | |
Public Utilities, General Disclosures [Line Items] | |
FERC requirement to maintain common equity ratio, at or above (percent) | 10.60% |
FERC requirement to maintain common equity ratio at or above, base (as a percent) | 10.10% |
FERC requirement, additional basis spread | 0.50% |
INVESTMENTS IN UNCONSOLIDATED_2
INVESTMENTS IN UNCONSOLIDATED ENTITIES - NARRATIVE (Details) $ in Millions | 1 Months Ended | 9 Months Ended | ||
Jun. 30, 2021 USD ($) | Jul. 31, 2020 USD ($) projectOwner bank | Sep. 30, 2023 USD ($) | Sep. 30, 2022 USD ($) | |
Schedule of Equity Method Investments [Line Items] | ||||
Proceeds from distributions received | $ 668 | $ 643 | ||
Oncor Holdings | Oncor Electric Delivery Company LLC. | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Ownership interest (as a percent) | 80.25% | |||
Sempra Texas Intermediate Holding Company LLC | Oncor Holdings | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Ownership interest (as a percent) | 100% | |||
Sempra Texas Utilities | Oncor Holdings | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Investments made during period | $ 270 | 256 | ||
Proceeds from distributions received | $ 323 | 255 | ||
Sempra Infrastructure | Cameron LNG JV | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Ownership percentage in consolidated entity (in percentage) | 50.20% | |||
Sempra Infrastructure | TAG | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Proceeds from distributions received | $ 36 | 32 | ||
Sempra Infrastructure | IMG | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Proceeds from distributions received | 6 | |||
Sempra Infrastructure | Variable Interest Entity, Not Primary Beneficiary | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Guarantees, carrying value | 18 | |||
Sempra Infrastructure | Other current assets | Variable Interest Entity, Not Primary Beneficiary | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Guarantees, carrying value | 7 | |||
Sempra Infrastructure | Other long-term assets | Variable Interest Entity, Not Primary Beneficiary | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Guarantees, carrying value | 11 | |||
Sempra Infrastructure | Cameron LNG JV | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Investments made during period | 11 | 19 | ||
Proceeds from distributions received | 339 | $ 388 | ||
Sempra Infrastructure | Cameron LNG JV | Corporate Joint Venture | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Liability cap, amount | $ 979 | |||
Number of project owners | projectOwner | 4 | |||
Proceeds from related party debt | $ 1,500 | |||
Number of project owners sending direct proceeds | projectOwner | 2 | |||
Number of project owners sending proceeds from external lenders | projectOwner | 2 | |||
Liability cap (as a percent) | 130% | |||
Sempra Infrastructure | Cameron LNG JV | Corporate Joint Venture | Variable Interest Entity, Not Primary Beneficiary | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Proceeds from related party debt | $ 753 | |||
Return on investments | $ 753 | |||
Number of banks | bank | 8 | |||
Sempra Infrastructure | Cameron LNG JV | Promissory Note for SDSRA Distribution | Corporate Joint Venture | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Proceeds from distributions received | $ 165 | |||
Liability cap, amount | 165 | |||
Sempra Infrastructure | Cameron LNG JV | Promissory Note for SDSRA Distribution | Corporate Joint Venture | Deferred Credits and Other | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Senior note, liability | $ 22 | |||
Sempra Infrastructure | Cameron LNG JV | Promissory Note for SDSRA Distribution | Corporate Joint Venture | Other current liabilities | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Guarantees, carrying value | $ 19 |
INVESTMENTS IN UNCONSOLIDATED_3
INVESTMENTS IN UNCONSOLIDATED ENTITIES - SUMMARIZED FINANCIAL INFORMATION (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Schedule of Equity Method Investments [Line Items] | ||||
Net income | $ 854 | $ 561 | $ 2,762 | $ 1,877 |
Equity Method Investment, Nonconsolidated Investee or Group of Investees | Oncor Holdings | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Operating revenues | 1,592 | 1,438 | 4,227 | 3,980 |
Operating expenses | (1,007) | (929) | (3,007) | (2,734) |
Operating income (loss) | 585 | 509 | 1,220 | 1,246 |
Interest expense | (140) | (115) | (396) | (331) |
Income tax expense | (81) | (70) | (148) | (164) |
Net income | 376 | 315 | 672 | 732 |
Noncontrolling interest held by Texas Transmission Investment LLC | (75) | (62) | (135) | (146) |
Earnings attributable to Sempra Energy | $ 301 | $ 253 | $ 537 | $ 586 |
DEBT AND CREDIT FACILITIES - NA
DEBT AND CREDIT FACILITIES - NARRATIVE (Details) | 1 Months Ended | 9 Months Ended | |||||||
Aug. 31, 2023 USD ($) | Jun. 30, 2023 USD ($) | May 31, 2023 USD ($) | Mar. 31, 2023 USD ($) | Aug. 31, 2022 USD ($) | Jul. 31, 2022 USD ($) | Sep. 30, 2023 USD ($) lineOfCredit bank | Sep. 30, 2022 USD ($) | Dec. 31, 2022 USD ($) | |
Line of Credit Facility [Line Items] | |||||||||
Maximum borrowing capacity | $ 9,900,000,000 | ||||||||
Primary committed lines of credit | lineOfCredit | 7 | ||||||||
Maximum ratio of indebtedness to total capitalization (as a percent) | 65% | ||||||||
Uncommitted letters of credit outstanding | $ 508,000,000 | ||||||||
Issuances of debt (maturities greater than 90 days) | 6,911,000,000 | $ 6,711,000,000 | |||||||
Foreign Unsecured Line of Credit | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Maximum borrowing capacity | 200,000,000 | ||||||||
Line of credit, amount outstanding | $ 37,000,000 | ||||||||
Five Point Four Zero Percent Senior Unsecured Notes | Unsecured Debt | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Debt amount | $ 550,000,000 | ||||||||
Stated rate of debt (as a percent) | 5.40% | ||||||||
Proceeds from debt issuance | $ 545,000,000 | ||||||||
Unamortized debt issuance costs and discounts | 5,000,000 | ||||||||
Five Point Five Zero Percent Senior Unsecured Notes | Unsecured Debt | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Debt amount | $ 700,000,000 | ||||||||
Stated rate of debt (as a percent) | 5.50% | ||||||||
Proceeds from debt issuance | $ 692,000,000 | ||||||||
Unamortized debt issuance costs and discounts | $ 8,000,000 | ||||||||
SI Partners | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Maximum adjustment EBITDA allowed | 5.25 | ||||||||
SI Partners | Loan Agreement To Finance The Cost Of Development And Construction Of The PA LNG Phase 1 Project | Port Arthur LNG | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Ownership interest (as a percent) | 70% | ||||||||
Port Arthur LNG | Port Arthur LNG Committed Line Of Credit Due 2030 | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Maximum borrowing capacity | $ 200,000,000 | ||||||||
Port Arthur LNG | Port Arthur LNG Committed Line Of Credit Due 2030 | Line of Credit | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Maximum borrowing capacity | $ 200,000,000 | ||||||||
Term of debt instrument (in years) | 7 years | ||||||||
SI Partners and IEnova | IEnova Uncommitted Line Of Credit Due 2024 | Interbank Equilibrium Interest Rate | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Variable percentage rate (in percent) | 1.05% | ||||||||
SI Partners and IEnova | IEnova Uncommitted Line Of Credit Due 2024 | Secured Overnight Financing Rate (SOFR) | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Variable percentage rate (in percent) | 1.15% | ||||||||
SI Partners and IEnova | IEnova Uncommitted Line Of Credit Due 2024 | London Interbank Offered Rate (LIBOR) | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Variable percentage rate (in percent) | 1.05% | ||||||||
Southern California Gas Company | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Maximum borrowing capacity | $ 1,200,000,000 | ||||||||
Maximum ratio of indebtedness to total capitalization (as a percent) | 65% | ||||||||
Issuances of debt (maturities greater than 90 days) | $ 997,000,000 | 1,497,000,000 | |||||||
Debt issuance costs | 9,000,000 | 6,000,000 | |||||||
Southern California Gas Company | Term Loan Due 2023 | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Issuances of debt (maturities greater than 90 days) | $ 800,000,000 | ||||||||
Southern California Gas Company | Term Loan Due 2023 | Secured Debt | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Term of debt instrument (in years) | 364 days | ||||||||
Variable percentage rate (in percent) | 0.70% | ||||||||
Debt amount | $ 800,000,000 | ||||||||
Southern California Gas Company | Term Loan Due 2023 | Secured Debt | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Debt amount | $ 800,000,000 | ||||||||
Southern California Gas Company | Five Point Two Zero Percent Senior Secured Notes | Secured Debt | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Debt amount | $ 500,000,000 | ||||||||
Stated rate of debt (as a percent) | 5.20% | ||||||||
Proceeds from debt issuance | $ 495,000,000 | ||||||||
Unamortized debt issuance costs and discounts | 5,000,000 | ||||||||
Southern California Gas Company | Five Point Seven Five Percent Senior Secured Notes | Secured Debt | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Debt amount | $ 500,000,000 | ||||||||
Stated rate of debt (as a percent) | 5.75% | ||||||||
Proceeds from debt issuance | $ 493,000,000 | ||||||||
Unamortized debt issuance costs and discounts | $ 7,000,000 | ||||||||
Southern California Gas Company | Senior Unsecured Floating Rate Notes | Unsecured Debt | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Debt amount | $ 300,000,000 | ||||||||
San Diego Gas and Electric Company | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Maximum borrowing capacity | $ 1,500,000,000 | ||||||||
Maximum ratio of indebtedness to total capitalization (as a percent) | 65% | ||||||||
Issuances of debt (maturities greater than 90 days) | $ 1,389,000,000 | 1,395,000,000 | |||||||
Debt issuance costs | $ 12,000,000 | $ 9,000,000 | |||||||
San Diego Gas and Electric Company | Five Point Three Five Zero Percent Senior Secured Notes | Secured Debt | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Debt amount | $ 800,000,000 | ||||||||
Stated rate of debt (as a percent) | 5.35% | ||||||||
Proceeds from debt issuance | $ 783,000,000 | ||||||||
Unamortized debt issuance costs and discounts | $ 17,000,000 | ||||||||
San Diego Gas and Electric Company | Four Point Nine Percent Green First Mortgage Bonds | Secured Debt | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Debt amount | $ 600,000,000 | ||||||||
Stated rate of debt (as a percent) | 4.95% | ||||||||
Proceeds from debt issuance | $ 593,000,000 | ||||||||
Unamortized debt issuance costs and discounts | $ 7,000,000 | ||||||||
Sempra LNG | Loan Agreement To Finance Natural Gas Liquefaction Export Facility | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Term of debt instrument (in years) | 5 years | ||||||||
Number of banks in syndicate | bank | 7 | ||||||||
Weighted average interest rate (as a percent) | 8.35% | 7.54% | |||||||
Sempra Infrastructure | Loan Agreement To Finance Natural Gas Liquefaction Export Facility | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Maximum borrowing capacity | $ 1,300,000,000 | ||||||||
Debt outstanding | $ 782,000,000 | $ 575,000,000 | |||||||
IEnova | ECA LNG JV | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Ownership percentage in consolidated entity (in percentage) | 83.40% | ||||||||
Subsidiary of TOTAL SE | ECA LNG JV | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Ownership percentage in consolidated entity (in percentage) | 16.60% | ||||||||
Port Arthur LNG | Loan Agreement To Finance The Cost Of Development And Construction Of The PA LNG Phase 1 Project | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Term of debt instrument (in years) | 20 years | ||||||||
Debt outstanding | $ 243,000,000 | ||||||||
Weighted average interest rate (as a percent) | 5.71% | ||||||||
Upfront equity funding amount | $ 4,700,000,000 | ||||||||
Debt issuance costs | $ 200,000,000 | ||||||||
Commitment fee (in percent) | 30% | ||||||||
Port Arthur LNG | Loan Agreement To Finance The Cost Of Development And Construction Of The PA LNG Phase 1 Project | Secured Overnight Financing Rate (SOFR) | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Minimum amount of the projected amount of term loans (in percent) | 60% | ||||||||
Port Arthur LNG | Loan Agreement To Finance The Cost Of Development And Construction Of The PA LNG Phase 1 Project | Secured Overnight Financing Rate (SOFR) | Interest Rate, Before Completion of Phase 1 | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Variable percentage rate (in percent) | 2% | ||||||||
Port Arthur LNG | Loan Agreement To Finance The Cost Of Development And Construction Of The PA LNG Phase 1 Project | Secured Overnight Financing Rate (SOFR) | Interest Rate, After Completion of Phase 1 | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Variable percentage rate (in percent) | 2.25% | ||||||||
Port Arthur LNG | Loan Agreement To Finance The Cost Of Development And Construction Of The PA LNG Phase 1 Project | Line of Credit | Secured Overnight Financing Rate (SOFR) | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Minimum amount of the projected amount of term loans (in percent) | 60% | ||||||||
Port Arthur LNG | Loan Agreement To Finance The Cost Of Development And Construction Of The PA LNG Phase 1 Project | Domestic Line of Credit | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Maximum borrowing capacity | $ 6,800,000,000 | ||||||||
SI Partners and ConocoPhillips | Loan Agreement To Finance The Cost Of Development And Construction Of The PA LNG Phase 1 Project | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Equity funding provided | $ 2,800,000,000 | ||||||||
ConocoPhillips | Loan Agreement To Finance The Cost Of Development And Construction Of The PA LNG Phase 1 Project | Port Arthur LNG | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Ownership interest (as a percent) | 30% |
DEBT AND CREDIT FACILITIES - CO
DEBT AND CREDIT FACILITIES - COMMITTED LINES OF CREDIT (Details) $ in Millions | 1 Months Ended | 12 Months Ended | ||||
Oct. 31, 2023 lender | Sep. 30, 2023 USD ($) | Aug. 31, 2023 USD ($) | Oct. 31, 2028 USD ($) lender | Sep. 29, 2023 USD ($) | Mar. 31, 2023 USD ($) | |
Line of Credit Facility [Line Items] | ||||||
Maximum borrowing capacity | $ 9,900 | |||||
Available unused credit | 7,933 | |||||
Forecast | ||||||
Line of Credit Facility [Line Items] | ||||||
Number of lenders | lender | 22 | |||||
Subsequent Event | ||||||
Line of Credit Facility [Line Items] | ||||||
Number of lenders | lender | 23 | |||||
Letters of credit outstanding | ||||||
Line of Credit Facility [Line Items] | ||||||
Line of credit outstanding | (25) | |||||
Commercial paper outstanding | ||||||
Line of Credit Facility [Line Items] | ||||||
Line of credit outstanding | (1,391) | |||||
Amounts outstanding | ||||||
Line of Credit Facility [Line Items] | ||||||
Line of credit outstanding | (551) | |||||
Sempra | ||||||
Line of Credit Facility [Line Items] | ||||||
Maximum borrowing capacity | 4,000 | |||||
Available unused credit | 3,030 | |||||
Sempra | Forecast | ||||||
Line of Credit Facility [Line Items] | ||||||
Maximum borrowing capacity | $ 3,845 | |||||
Sempra | Letters of credit outstanding | ||||||
Line of Credit Facility [Line Items] | ||||||
Line of credit outstanding | 0 | |||||
Sempra | Commercial paper outstanding | ||||||
Line of Credit Facility [Line Items] | ||||||
Line of credit outstanding | (970) | |||||
Sempra | Amounts outstanding | ||||||
Line of Credit Facility [Line Items] | ||||||
Line of credit outstanding | 0 | |||||
San Diego Gas and Electric Company | ||||||
Line of Credit Facility [Line Items] | ||||||
Maximum borrowing capacity | 1,500 | |||||
Available unused credit | 1,500 | |||||
San Diego Gas and Electric Company | Forecast | ||||||
Line of Credit Facility [Line Items] | ||||||
Maximum borrowing capacity | 1,442 | |||||
San Diego Gas and Electric Company | Letters of credit outstanding | ||||||
Line of Credit Facility [Line Items] | ||||||
Line of credit outstanding | 0 | |||||
San Diego Gas and Electric Company | Commercial paper outstanding | ||||||
Line of Credit Facility [Line Items] | ||||||
Line of credit outstanding | 0 | |||||
San Diego Gas and Electric Company | Amounts outstanding | ||||||
Line of Credit Facility [Line Items] | ||||||
Line of credit outstanding | 0 | |||||
Southern California Gas Company | ||||||
Line of Credit Facility [Line Items] | ||||||
Maximum borrowing capacity | 1,200 | |||||
Available unused credit | 779 | |||||
Southern California Gas Company | Forecast | ||||||
Line of Credit Facility [Line Items] | ||||||
Maximum borrowing capacity | $ 1,153 | |||||
Southern California Gas Company | Letters of credit outstanding | ||||||
Line of Credit Facility [Line Items] | ||||||
Line of credit outstanding | 0 | |||||
Southern California Gas Company | Commercial paper outstanding | ||||||
Line of Credit Facility [Line Items] | ||||||
Line of credit outstanding | (421) | |||||
Southern California Gas Company | Amounts outstanding | ||||||
Line of Credit Facility [Line Items] | ||||||
Line of credit outstanding | 0 | |||||
SI Partners and IEnova | IEnova and SI Partners Committed Line Of Credit Due September 2025 | ||||||
Line of Credit Facility [Line Items] | ||||||
Maximum borrowing capacity | 500 | $ 350 | ||||
Available unused credit | $ 150 | |||||
Variable percentage rate (in percent) | 0.80% | |||||
SI Partners and IEnova | IEnova and SI Partners Committed Line Of Credit Due September 2025 | Letters of credit outstanding | ||||||
Line of Credit Facility [Line Items] | ||||||
Line of credit outstanding | $ 0 | |||||
SI Partners and IEnova | IEnova and SI Partners Committed Line Of Credit Due August 2026 | ||||||
Line of Credit Facility [Line Items] | ||||||
Maximum borrowing capacity | 1,000 | $ 1,500 | ||||
Available unused credit | 1,000 | |||||
SI Partners and IEnova | IEnova and SI Partners Committed Line Of Credit Due August 2026 | Secured Overnight Financing Rate (SOFR) | ||||||
Line of Credit Facility [Line Items] | ||||||
Variable percentage rate (in percent) | 0.10% | |||||
SI Partners and IEnova | IEnova and SI Partners Committed Line Of Credit Due August 2026 | Letters of credit outstanding | ||||||
Line of Credit Facility [Line Items] | ||||||
Line of credit outstanding | 0 | |||||
SI Partners and IEnova | IEnova and SI Partners Committed Line Of Credit Due August 2028 | ||||||
Line of Credit Facility [Line Items] | ||||||
Maximum borrowing capacity | 1,500 | |||||
Available unused credit | 1,299 | |||||
SI Partners and IEnova | IEnova and SI Partners Committed Line Of Credit Due August 2028 | Letters of credit outstanding | ||||||
Line of Credit Facility [Line Items] | ||||||
Line of credit outstanding | 0 | |||||
SI Partners and IEnova | Commercial paper outstanding | IEnova and SI Partners Committed Line Of Credit Due September 2025 | ||||||
Line of Credit Facility [Line Items] | ||||||
Line of credit outstanding | 0 | |||||
SI Partners and IEnova | Commercial paper outstanding | IEnova and SI Partners Committed Line Of Credit Due August 2026 | ||||||
Line of Credit Facility [Line Items] | ||||||
Line of credit outstanding | 0 | |||||
SI Partners and IEnova | Commercial paper outstanding | IEnova and SI Partners Committed Line Of Credit Due August 2028 | ||||||
Line of Credit Facility [Line Items] | ||||||
Line of credit outstanding | 0 | |||||
SI Partners and IEnova | Amounts outstanding | IEnova and SI Partners Committed Line Of Credit Due September 2025 | ||||||
Line of Credit Facility [Line Items] | ||||||
Line of credit outstanding | (350) | |||||
SI Partners and IEnova | Amounts outstanding | IEnova and SI Partners Committed Line Of Credit Due August 2026 | ||||||
Line of Credit Facility [Line Items] | ||||||
Line of credit outstanding | 0 | |||||
SI Partners and IEnova | Amounts outstanding | IEnova and SI Partners Committed Line Of Credit Due August 2028 | ||||||
Line of Credit Facility [Line Items] | ||||||
Line of credit outstanding | (201) | |||||
SI Partners and IEnova | Line of Credit | IEnova And SI Partners Committed Line Of Credit Due December 2023 | ||||||
Line of Credit Facility [Line Items] | ||||||
Termination of debt | 150 | |||||
Port Arthur LNG | Port Arthur LNG Committed Line Of Credit Due 2030 | ||||||
Line of Credit Facility [Line Items] | ||||||
Maximum borrowing capacity | 200 | |||||
Available unused credit | 175 | |||||
Port Arthur LNG | Port Arthur LNG Committed Line Of Credit Due 2030 | Letters of credit outstanding | ||||||
Line of Credit Facility [Line Items] | ||||||
Maximum borrowing capacity | $ 200 | |||||
Line of credit outstanding | (25) | |||||
Port Arthur LNG | Commercial paper outstanding | Port Arthur LNG Committed Line Of Credit Due 2030 | ||||||
Line of Credit Facility [Line Items] | ||||||
Line of credit outstanding | 0 | |||||
Port Arthur LNG | Amounts outstanding | Port Arthur LNG Committed Line Of Credit Due 2030 | ||||||
Line of Credit Facility [Line Items] | ||||||
Line of credit outstanding | $ 0 | |||||
Port Arthur LNG | Line of Credit | Port Arthur LNG Committed Line Of Credit Due 2030 | ||||||
Line of Credit Facility [Line Items] | ||||||
Maximum borrowing capacity | $ 200 |
DEBT AND CREDIT FACILITIES - UN
DEBT AND CREDIT FACILITIES - UNCOMMITTED LETTERS OF CREDIT (Details) $ in Millions | Sep. 30, 2023 USD ($) |
Line of Credit Facility [Line Items] | |
Uncommitted letters of credit outstanding | $ 508 |
Letters of credit outstanding | |
Line of Credit Facility [Line Items] | |
Uncommitted letters of credit outstanding | 508 |
Letters of credit outstanding | San Diego Gas and Electric Company | |
Line of Credit Facility [Line Items] | |
Uncommitted letters of credit outstanding | 15 |
Letters of credit outstanding | Southern California Gas Company | |
Line of Credit Facility [Line Items] | |
Uncommitted letters of credit outstanding | 20 |
Letters of credit outstanding | Sempra Infrastructure | |
Line of Credit Facility [Line Items] | |
Uncommitted letters of credit outstanding | 307 |
Letters of credit outstanding | Parent and Other | |
Line of Credit Facility [Line Items] | |
Uncommitted letters of credit outstanding | $ 166 |
DEBT AND CREDIT FACILITIES - WE
DEBT AND CREDIT FACILITIES - WEIGHTED-AVERAGE INTEREST RATES AND INTEREST RATE SWAPS (Details) | Sep. 30, 2023 | Dec. 31, 2022 |
Debt Instrument [Line Items] | ||
Weighted average interest rate on total short-term debt outstanding | 5.86% | 5.57% |
San Diego Gas and Electric Company | ||
Debt Instrument [Line Items] | ||
Weighted average interest rate on total short-term debt outstanding | 0% | 4.76% |
Southern California Gas Company | ||
Debt Instrument [Line Items] | ||
Weighted average interest rate on total short-term debt outstanding | 5.37% | 4.71% |
DERIVATIVE FINANCIAL INSTRUME_3
DERIVATIVE FINANCIAL INSTRUMENTS - DERIVATIVE COMMODITY VOLUMES (Details) | 9 Months Ended | 12 Months Ended |
Sep. 30, 2023 MWh MMBTU | Dec. 31, 2022 MMBTU MWh | |
Natural gas | Long | ||
Derivative [Line Items] | ||
Derivative, nonmonetary notional amount | MMBTU | 441 | 254 |
Electricity | ||
Derivative [Line Items] | ||
Derivative, nonmonetary notional amount | MWh | 0 | 1 |
Congestion revenue rights | ||
Derivative [Line Items] | ||
Derivative, nonmonetary notional amount | MWh | 40 | 42 |
SDG&E | Natural gas | ||
Derivative [Line Items] | ||
Derivative, nonmonetary notional amount | MMBTU | 16 | 15 |
SDG&E | Congestion revenue rights | ||
Derivative [Line Items] | ||
Derivative, nonmonetary notional amount | MWh | 40 | 42 |
SoCalGas | Natural gas | ||
Derivative [Line Items] | ||
Derivative, nonmonetary notional amount | MMBTU | 347 | 224 |
DERIVATIVE FINANCIAL INSTRUME_4
DERIVATIVE FINANCIAL INSTRUMENTS - INTEREST RATE DERIVATIVES (Details) $ in Millions | 1 Months Ended | 9 Months Ended | ||
Mar. 31, 2023 USD ($) counterparty | Sep. 30, 2023 USD ($) | Sep. 30, 2022 USD ($) | Dec. 31, 2022 USD ($) | |
Derivative [Line Items] | ||||
Cash paid to settle | $ 99 | $ 0 | ||
Loan Agreement To Finance The Cost Of Development And Construction Of The PA LNG Phase 1 Project | Port Arthur LNG | Secured Overnight Financing Rate (SOFR) | ||||
Derivative [Line Items] | ||||
Minimum amount of the projected amount of term loans (in percent) | 60% | |||
Loan Agreement To Finance The Cost Of Development And Construction Of The PA LNG Phase 1 Project | Port Arthur LNG | Line of Credit | Secured Overnight Financing Rate (SOFR) | ||||
Derivative [Line Items] | ||||
Minimum amount of the projected amount of term loans (in percent) | 60% | |||
Interest Rate Swap | Cash Flow Hedging | ||||
Derivative [Line Items] | ||||
Amount of interest rate swap | $ 3,500 | |||
Interest rate swap tenor (in years) | 25 years | |||
Notional amounts | $ 491 | $ 294 | ||
Interest Rate Swap | Cash Flow Hedging | Port Arthur LNG | ||||
Derivative [Line Items] | ||||
Cash paid to settle | $ 14 | |||
Number of counterparties | counterparty | 17 | |||
Fixed rate (in percent) | 3.23% | |||
Interest Rate Swap | Cash Flow Hedging | Port Arthur LNG | Maximum | ||||
Derivative [Line Items] | ||||
Notional amounts | $ 4,200 |
DERIVATIVE FINANCIAL INSTRUME_5
DERIVATIVE FINANCIAL INSTRUMENTS - DERIVATIVE NOTIONALS (Details) - USD ($) $ in Millions | Sep. 30, 2023 | Dec. 31, 2022 |
Interest rate and foreign exchange instruments | ||
Derivative [Line Items] | ||
Notional amount of derivative | $ 0 | $ 306 |
Foreign exchange instruments | ||
Derivative [Line Items] | ||
Notional amount of derivative | 150 | 111 |
Cash Flow Hedging | Interest rate instruments | ||
Derivative [Line Items] | ||
Notional amount of derivative | 4,454 | 294 |
Cash Flow Hedging | Interest Rate Swap | ||
Derivative [Line Items] | ||
Notional amounts | $ 491 | $ 294 |
DERIVATIVE FINANCIAL INSTRUME_6
DERIVATIVE FINANCIAL INSTRUMENTS - DERIVATIVE INSTRUMENTS ON THE CONDENSED BALANCE SHEET (Details) - USD ($) $ in Millions | Sep. 30, 2023 | Dec. 31, 2022 |
Other current assets | ||
Derivatives not designated as hedging instruments: | ||
Net amounts presented on the balance sheet | $ 30 | $ 333 |
Additional cash collateral for commodity contracts not subject to rate recovery | 89 | 451 |
Additional cash collateral for commodity contracts subject to rate recovery | 82 | 18 |
Total | 201 | 802 |
Other long-term assets | ||
Derivatives not designated as hedging instruments: | ||
Net amounts presented on the balance sheet | 379 | 152 |
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 | 379 | 152 |
Other current liabilities | ||
Derivatives not designated as hedging instruments: | ||
Net amounts presented on the balance sheet | (169) | (280) |
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 | (169) | (280) |
Deferred credits and other | ||
Derivatives not designated as hedging instruments: | ||
Net amounts presented on the balance sheet | (9) | (94) |
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 | (9) | (94) |
Derivatives designated as hedging instruments: | Other current assets | ||
Derivatives designated as hedging instruments: | ||
Interest rate instruments | 15 | 10 |
Foreign exchange instruments | 0 | 0 |
Interest rate and foreign exchange instruments | 0 | |
Derivatives designated as hedging instruments: | Other long-term assets | ||
Derivatives designated as hedging instruments: | ||
Interest rate instruments | 363 | 33 |
Foreign exchange instruments | 1 | 0 |
Interest rate and foreign exchange instruments | 0 | |
Derivatives designated as hedging instruments: | Other current liabilities | ||
Derivatives designated as hedging instruments: | ||
Interest rate instruments | 0 | 0 |
Foreign exchange instruments | (8) | (7) |
Interest rate and foreign exchange instruments | (105) | |
Derivatives designated as hedging instruments: | Deferred credits and other | ||
Derivatives designated as hedging instruments: | ||
Interest rate instruments | 0 | 0 |
Foreign exchange instruments | 0 | (1) |
Interest rate and foreign exchange instruments | 0 | |
Derivatives not designated as hedging instruments: | Other current assets | ||
Derivatives designated as hedging instruments: | ||
Interest rate instruments | 33 | |
Derivatives not designated as hedging instruments: | ||
Commodity contracts not subject to rate recovery | 175 | 480 |
Associated offsetting commodity contracts | (166) | (301) |
Commodity contracts subject to rate recovery | 22 | 138 |
Associated offsetting commodity contracts | (16) | (27) |
Associated offsetting cash collateral | 0 | |
Derivatives not designated as hedging instruments: | Other long-term assets | ||
Derivatives designated as hedging instruments: | ||
Interest rate instruments | 0 | |
Derivatives not designated as hedging instruments: | ||
Commodity contracts not subject to rate recovery | 25 | 133 |
Associated offsetting commodity contracts | (22) | (39) |
Commodity contracts subject to rate recovery | 15 | 27 |
Associated offsetting commodity contracts | (3) | (2) |
Associated offsetting cash collateral | 0 | |
Derivatives not designated as hedging instruments: | Other current liabilities | ||
Derivatives designated as hedging instruments: | ||
Interest rate instruments | 0 | |
Derivatives not designated as hedging instruments: | ||
Commodity contracts not subject to rate recovery | (172) | (399) |
Associated offsetting commodity contracts | 166 | 301 |
Commodity contracts subject to rate recovery | (171) | (97) |
Associated offsetting commodity contracts | 16 | 27 |
Associated offsetting cash collateral | 0 | |
Derivatives not designated as hedging instruments: | Deferred credits and other | ||
Derivatives designated as hedging instruments: | ||
Interest rate instruments | 0 | |
Derivatives not designated as hedging instruments: | ||
Commodity contracts not subject to rate recovery | (29) | (132) |
Associated offsetting commodity contracts | 22 | 39 |
Commodity contracts subject to rate recovery | (6) | (2) |
Associated offsetting commodity contracts | 3 | 2 |
Associated offsetting cash collateral | 1 | |
San Diego Gas and Electric Company | Other current assets | ||
Derivatives not designated as hedging instruments: | ||
Net amounts presented on the balance sheet | 6 | 95 |
Additional cash collateral for commodity contracts subject to rate recovery | 80 | 17 |
Total | 86 | 112 |
San Diego Gas and Electric Company | Other long-term assets | ||
Derivatives not designated as hedging instruments: | ||
Net amounts presented on the balance sheet | 12 | 25 |
Additional cash collateral for commodity contracts subject to rate recovery | 0 | 0 |
Total | 12 | 25 |
San Diego Gas and Electric Company | Other current liabilities | ||
Derivatives not designated as hedging instruments: | ||
Net amounts presented on the balance sheet | (1) | (1) |
Additional cash collateral for commodity contracts subject to rate recovery | 0 | 0 |
Total | (1) | (1) |
San Diego Gas and Electric Company | Deferred credits and other | ||
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 |
San Diego Gas and Electric Company | Derivatives not designated as hedging instruments: | Other current assets | ||
Derivatives not designated as hedging instruments: | ||
Commodity contracts subject to rate recovery | 18 | 107 |
Associated offsetting commodity contracts | (12) | (12) |
Associated offsetting cash collateral | 0 | |
San Diego Gas and Electric Company | Derivatives not designated as hedging instruments: | Other long-term assets | ||
Derivatives not designated as hedging instruments: | ||
Commodity contracts subject to rate recovery | 15 | 27 |
Associated offsetting commodity contracts | (3) | (2) |
Associated offsetting cash collateral | 0 | |
San Diego Gas and Electric Company | Derivatives not designated as hedging instruments: | Other current liabilities | ||
Derivatives not designated as hedging instruments: | ||
Commodity contracts subject to rate recovery | (13) | (13) |
Associated offsetting commodity contracts | 12 | 12 |
Associated offsetting cash collateral | 0 | |
San Diego Gas and Electric Company | Derivatives not designated as hedging instruments: | Deferred credits and other | ||
Derivatives not designated as hedging instruments: | ||
Commodity contracts subject to rate recovery | (4) | (2) |
Associated offsetting commodity contracts | 3 | 2 |
Associated offsetting cash collateral | 1 | |
Southern California Gas Company | Other current assets | ||
Derivatives not designated as hedging instruments: | ||
Net amounts presented on the balance sheet | 0 | 16 |
Additional cash collateral for commodity contracts subject to rate recovery | 2 | 1 |
Total | 2 | 17 |
Southern California Gas Company | Other long-term assets | ||
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 | Other current liabilities | ||
Derivatives not designated as hedging instruments: | ||
Net amounts presented on the balance sheet | (154) | (69) |
Additional cash collateral for commodity contracts subject to rate recovery | 0 | 0 |
Total | (154) | (69) |
Southern California Gas Company | Deferred credits and other | ||
Derivatives not designated as hedging instruments: | ||
Net amounts presented on the balance sheet | (2) | 0 |
Additional cash collateral for commodity contracts subject to rate recovery | 0 | 0 |
Total | (2) | 0 |
Southern California Gas Company | Derivatives not designated as hedging instruments: | Other current assets | ||
Derivatives not designated as hedging instruments: | ||
Commodity contracts subject to rate recovery | 4 | 31 |
Associated offsetting commodity contracts | (4) | (15) |
Southern California Gas Company | Derivatives not designated as hedging instruments: | Other long-term assets | ||
Derivatives not designated as hedging instruments: | ||
Commodity contracts subject to rate recovery | 0 | 0 |
Associated offsetting commodity contracts | 0 | 0 |
Southern California Gas Company | Derivatives not designated as hedging instruments: | Other current liabilities | ||
Derivatives not designated as hedging instruments: | ||
Commodity contracts subject to rate recovery | (158) | (84) |
Associated offsetting commodity contracts | 4 | 15 |
Southern California Gas Company | Derivatives not designated as hedging instruments: | Deferred credits and other | ||
Derivatives not designated as hedging instruments: | ||
Commodity contracts subject to rate recovery | (2) | 0 |
Associated offsetting commodity contracts | $ 0 | $ 0 |
DERIVATIVE FINANCIAL INSTRUME_7
DERIVATIVE FINANCIAL INSTRUMENTS - DERIVATIVE IMPACT ON INCOME (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Derivative [Line Items] | ||||
Pretax gain (loss) reclassified from AOCI into earnings | $ 315 | $ 66 | $ 321 | $ 227 |
Pretax gain (loss) on derivatives recognized in earnings | 1 | (3) | 5 | 2 |
Derivatives designated as hedging instruments: | Cash Flow Hedging | ||||
Derivative [Line Items] | ||||
Pretax gain (loss) recognized in OCI | 367 | 75 | 401 | 262 |
Pretax gain (loss) reclassified from AOCI into earnings | 13 | (6) | 37 | (23) |
Derivatives designated as hedging instruments: | Interest Expense | Cash Flow Hedging | Interest rate instruments | ||||
Derivative [Line Items] | ||||
Pretax gain (loss) recognized in OCI | 320 | 4 | 337 | 39 |
Pretax gain (loss) reclassified from AOCI into earnings | (1) | (2) | (1) | (1) |
Derivatives designated as hedging instruments: | Interest Expense | Cash Flow Hedging | Interest rate instruments | Southern California Gas Company | ||||
Derivative [Line Items] | ||||
Pretax gain (loss) recognized in OCI | 0 | 0 | ||
Pretax gain (loss) reclassified from AOCI into earnings | (1) | (1) | ||
Derivatives designated as hedging instruments: | Interest Expense | Cash Flow Hedging | Interest rate and foreign exchange instruments | ||||
Derivative [Line Items] | ||||
Pretax gain (loss) recognized in OCI | 7 | 13 | ||
Pretax gain (loss) reclassified from AOCI into earnings | 1 | 1 | ||
Derivatives designated as hedging instruments: | Equity Earnings | Cash Flow Hedging | Interest rate instruments | ||||
Derivative [Line Items] | ||||
Pretax gain (loss) recognized in OCI | 32 | 68 | 56 | 212 |
Pretax gain (loss) reclassified from AOCI into earnings | 12 | (1) | 33 | (28) |
Derivatives designated as hedging instruments: | Equity Earnings | Cash Flow Hedging | Foreign exchange instruments | ||||
Derivative [Line Items] | ||||
Pretax gain (loss) recognized in OCI | 7 | 1 | 1 | (1) |
Pretax gain (loss) reclassified from AOCI into earnings | 1 | 0 | (1) | 1 |
Derivatives designated as hedging instruments: | Revenues: Energy- Related Businesses | Cash Flow Hedging | Foreign exchange instruments | ||||
Derivative [Line Items] | ||||
Pretax gain (loss) recognized in OCI | 8 | 2 | 0 | (1) |
Pretax gain (loss) reclassified from AOCI into earnings | 0 | 0 | 0 | 2 |
Derivatives designated as hedging instruments: | Other Income (Expense), Net | Cash Flow Hedging | Foreign exchange instruments | ||||
Derivative [Line Items] | ||||
Pretax gain (loss) reclassified from AOCI into earnings | 1 | 0 | (1) | (1) |
Derivatives designated as hedging instruments: | Other Income (Expense), Net | Cash Flow Hedging | Interest rate and foreign exchange instruments | ||||
Derivative [Line Items] | ||||
Pretax gain (loss) recognized in OCI | 0 | 0 | ||
Pretax gain (loss) reclassified from AOCI into earnings | 0 | (3) | 6 | 3 |
Derivatives not designated as hedging instruments: | ||||
Derivative [Line Items] | ||||
Pretax gain (loss) on derivatives recognized in earnings | (19) | (222) | 571 | (460) |
Derivatives not designated as hedging instruments: | Commodity contracts not subject to rate recovery | ||||
Derivative [Line Items] | ||||
Pretax gain (loss) on derivatives recognized in earnings | 83 | (227) | 785 | (455) |
Derivatives not designated as hedging instruments: | Commodity contracts subject to rate recovery | Southern California Gas Company | ||||
Derivative [Line Items] | ||||
Pretax gain (loss) on derivatives recognized in earnings | (125) | (11) | (172) | (15) |
Derivatives not designated as hedging instruments: | Commodity contracts subject to rate recovery | San Diego Gas and Electric Company | ||||
Derivative [Line Items] | ||||
Pretax gain (loss) on derivatives recognized in earnings | 23 | 16 | 5 | 10 |
Derivatives not designated as hedging instruments: | Contingent Interest Rate Derivative | ||||
Derivative [Line Items] | ||||
Pretax gain (loss) on derivatives recognized in earnings | 0 | 0 | (47) | 0 |
Derivatives not designated as hedging instruments: | Cost of Electric Fuel and Purchased Power | Commodity contracts subject to rate recovery | ||||
Derivative [Line Items] | ||||
Pretax gain (loss) on derivatives recognized in earnings | 23 | 16 | 5 | 10 |
Derivatives not designated as hedging instruments: | Cost of Natural Gas | Commodity contracts subject to rate recovery | ||||
Derivative [Line Items] | ||||
Pretax gain (loss) on derivatives recognized in earnings | $ (125) | $ (11) | $ (172) | $ (15) |
DERIVATIVE FINANCIAL INSTRUME_8
DERIVATIVE FINANCIAL INSTRUMENTS - CASH FLOW HEDGES NARRATIVE (Details) $ in Millions | 9 Months Ended |
Sep. 30, 2023 USD ($) | |
Derivative [Line Items] | |
Cash flow hedge gain (loss) to be reclassified | $ 48 |
Cash flow hedge gain (loss) to be reclassified, NCI | $ 22 |
Term of interest rate cash flow hedge (in years) | 24 years |
Southern California Gas Company | |
Derivative [Line Items] | |
Cash flow hedge gain (loss) to be reclassified | $ (1) |
Equity Method Investee | |
Derivative [Line Items] | |
Term of interest rate cash flow hedge (in years) | 16 years |
DERIVATIVE FINANCIAL INSTRUME_9
DERIVATIVE FINANCIAL INSTRUMENTS - DERIVATIVE INSTRUMENTS WITH CONTINGENT FEATURES (Details) - USD ($) $ in Millions | Sep. 30, 2023 | Dec. 31, 2022 |
Derivative [Line Items] | ||
Derivative fair value | $ 160 | $ 106 |
Collateral | 160 | |
Southern California Gas Company | ||
Derivative [Line Items] | ||
Derivative fair value | 157 | $ 69 |
Collateral | $ 157 |
FAIR VALUE MEASUREMENTS - RECUR
FAIR VALUE MEASUREMENTS - RECURRING FAIR VALUE MEASURES (Details) - Recurring - USD ($) $ in Millions | Sep. 30, 2023 | Dec. 31, 2022 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total nuclear decommissioning trusts | $ 838 | $ 845 |
Short-term investments held in Rabbi Trust | 62 | 55 |
Support Agreement, net of related guarantee fees | 18 | 17 |
Total | 1,498 | 1,871 |
Total | 178 | 374 |
Short-term investments, primarily cash equivalents | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total nuclear decommissioning trusts | 24 | 11 |
Equity securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total nuclear decommissioning trusts | 295 | 297 |
Debt securities issued by the U.S. Treasury and other U.S. government corporations and agencies | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total nuclear decommissioning trusts | 43 | 40 |
Municipal bonds | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total nuclear decommissioning trusts | 260 | 270 |
Other securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total nuclear decommissioning trusts | 216 | 227 |
Total debt securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total nuclear decommissioning trusts | 519 | 537 |
Interest rate instruments | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets | 378 | 76 |
Commodity contracts not subject to rate recovery | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets | 12 | 273 |
Effect of netting and allocation of collateral | 89 | 451 |
Derivative liabilities | 13 | 191 |
Commodity contracts subject to rate recovery | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets | 18 | 136 |
Effect of netting and allocation of collateral | 82 | 18 |
Derivative liabilities | 158 | 70 |
Effect of netting and allocation of collateral | (1) | |
Foreign exchange instruments | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets | 1 | |
Derivative liabilities | 8 | 8 |
Interest rate and foreign exchange instruments | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative liabilities | 105 | |
Level 1 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total nuclear decommissioning trusts | 339 | 330 |
Short-term investments held in Rabbi Trust | 62 | 55 |
Support Agreement, net of related guarantee fees | 0 | 0 |
Total | 566 | 930 |
Total | 1 | 0 |
Level 1 | Short-term investments, primarily cash equivalents | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total nuclear decommissioning trusts | 21 | 10 |
Level 1 | Equity securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total nuclear decommissioning trusts | 291 | 293 |
Level 1 | Debt securities issued by the U.S. Treasury and other U.S. government corporations and agencies | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total nuclear decommissioning trusts | 27 | 27 |
Level 1 | Municipal bonds | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total nuclear decommissioning trusts | 0 | 0 |
Level 1 | Other securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total nuclear decommissioning trusts | 0 | 0 |
Level 1 | Total debt securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total nuclear decommissioning trusts | 27 | 27 |
Level 1 | Interest rate instruments | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets | 0 | 0 |
Level 1 | Commodity contracts not subject to rate recovery | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets | 0 | 0 |
Effect of netting and allocation of collateral | 89 | 451 |
Derivative liabilities | 0 | 0 |
Level 1 | Commodity contracts subject to rate recovery | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets | 0 | 82 |
Effect of netting and allocation of collateral | 76 | 12 |
Derivative liabilities | 2 | 0 |
Effect of netting and allocation of collateral | (1) | |
Level 1 | Foreign exchange instruments | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets | 0 | |
Derivative liabilities | 0 | 0 |
Level 1 | Interest rate and foreign exchange instruments | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative liabilities | 0 | |
Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total nuclear decommissioning trusts | 499 | 515 |
Short-term investments held in Rabbi Trust | 0 | 0 |
Support Agreement, net of related guarantee fees | 0 | 0 |
Total | 890 | 883 |
Total | 177 | 374 |
Level 2 | Short-term investments, primarily cash equivalents | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total nuclear decommissioning trusts | 3 | 1 |
Level 2 | Equity securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total nuclear decommissioning trusts | 4 | 4 |
Level 2 | Debt securities issued by the U.S. Treasury and other U.S. government corporations and agencies | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total nuclear decommissioning trusts | 16 | 13 |
Level 2 | Municipal bonds | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total nuclear decommissioning trusts | 260 | 270 |
Level 2 | Other securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total nuclear decommissioning trusts | 216 | 227 |
Level 2 | Total debt securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total nuclear decommissioning trusts | 492 | 510 |
Level 2 | Interest rate instruments | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets | 378 | 76 |
Level 2 | Commodity contracts not subject to rate recovery | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets | 12 | 273 |
Effect of netting and allocation of collateral | 0 | 0 |
Derivative liabilities | 13 | 191 |
Level 2 | Commodity contracts subject to rate recovery | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets | 0 | 19 |
Effect of netting and allocation of collateral | 0 | 0 |
Derivative liabilities | 156 | 70 |
Effect of netting and allocation of collateral | 0 | |
Level 2 | Foreign exchange instruments | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets | 1 | |
Derivative liabilities | 8 | 8 |
Level 2 | Interest rate and foreign exchange instruments | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative liabilities | 105 | |
Level 3 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total nuclear decommissioning trusts | 0 | 0 |
Short-term investments held in Rabbi Trust | 0 | 0 |
Support Agreement, net of related guarantee fees | 18 | 17 |
Total | 42 | 58 |
Total | 0 | 0 |
Level 3 | Short-term investments, primarily cash equivalents | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total nuclear decommissioning trusts | 0 | 0 |
Level 3 | Equity securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total nuclear decommissioning trusts | 0 | 0 |
Level 3 | Debt securities issued by the U.S. Treasury and other U.S. government corporations and agencies | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total nuclear decommissioning trusts | 0 | 0 |
Level 3 | Municipal bonds | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total nuclear decommissioning trusts | 0 | 0 |
Level 3 | Other securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total nuclear decommissioning trusts | 0 | 0 |
Level 3 | Total debt securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total nuclear decommissioning trusts | 0 | 0 |
Level 3 | Interest rate instruments | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets | 0 | 0 |
Level 3 | Commodity contracts not subject to rate recovery | ||
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 |
Level 3 | Commodity contracts subject to rate recovery | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets | 18 | 35 |
Effect of netting and allocation of collateral | 6 | 6 |
Derivative liabilities | 0 | 0 |
Effect of netting and allocation of collateral | 0 | |
Level 3 | Foreign exchange instruments | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets | 0 | |
Derivative liabilities | 0 | 0 |
Level 3 | Interest rate and foreign exchange instruments | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative liabilities | 0 | |
San Diego Gas and Electric Company | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total nuclear decommissioning trusts | 838 | 845 |
Total | 936 | 982 |
Total | 1 | 1 |
San Diego Gas and Electric Company | Short-term investments, primarily cash equivalents | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total nuclear decommissioning trusts | 24 | 11 |
San Diego Gas and Electric Company | Equity securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total nuclear decommissioning trusts | 295 | 297 |
San Diego Gas and Electric Company | Debt securities issued by the U.S. Treasury and other U.S. government corporations and agencies | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total nuclear decommissioning trusts | 43 | 40 |
San Diego Gas and Electric Company | Municipal bonds | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total nuclear decommissioning trusts | 260 | 270 |
San Diego Gas and Electric Company | Other securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total nuclear decommissioning trusts | 216 | 227 |
San Diego Gas and Electric Company | Total debt securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total nuclear decommissioning trusts | 519 | 537 |
San Diego Gas and Electric Company | Commodity contracts subject to rate recovery | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets | 18 | 120 |
Effect of netting and allocation of collateral | 80 | 17 |
Derivative liabilities | 2 | 1 |
Effect of netting and allocation of collateral | (1) | |
San Diego Gas and Electric Company | Level 1 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total nuclear decommissioning trusts | 339 | 330 |
Total | 413 | 423 |
Total | 1 | 0 |
San Diego Gas and Electric Company | Level 1 | Short-term investments, primarily cash equivalents | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total nuclear decommissioning trusts | 21 | 10 |
San Diego Gas and Electric Company | Level 1 | Equity securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total nuclear decommissioning trusts | 291 | 293 |
San Diego Gas and Electric Company | Level 1 | Debt securities issued by the U.S. Treasury and other U.S. government corporations and agencies | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total nuclear decommissioning trusts | 27 | 27 |
San Diego Gas and Electric Company | Level 1 | Municipal bonds | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total nuclear decommissioning trusts | 0 | 0 |
San Diego Gas and Electric Company | Level 1 | Other securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total nuclear decommissioning trusts | 0 | 0 |
San Diego Gas and Electric Company | Level 1 | Total debt securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total nuclear decommissioning trusts | 27 | 27 |
San Diego Gas and Electric Company | Level 1 | Commodity contracts subject to rate recovery | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets | 0 | 82 |
Effect of netting and allocation of collateral | 74 | 11 |
Derivative liabilities | 2 | 0 |
Effect of netting and allocation of collateral | (1) | |
San Diego Gas and Electric Company | Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total nuclear decommissioning trusts | 499 | 515 |
Total | 499 | 518 |
Total | 0 | 1 |
San Diego Gas and Electric Company | Level 2 | Short-term investments, primarily cash equivalents | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total nuclear decommissioning trusts | 3 | 1 |
San Diego Gas and Electric Company | Level 2 | Equity securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total nuclear decommissioning trusts | 4 | 4 |
San Diego Gas and Electric Company | Level 2 | Debt securities issued by the U.S. Treasury and other U.S. government corporations and agencies | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total nuclear decommissioning trusts | 16 | 13 |
San Diego Gas and Electric Company | Level 2 | Municipal bonds | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total nuclear decommissioning trusts | 260 | 270 |
San Diego Gas and Electric Company | Level 2 | Other securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total nuclear decommissioning trusts | 216 | 227 |
San Diego Gas and Electric Company | Level 2 | Total debt securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total nuclear decommissioning trusts | 492 | 510 |
San Diego Gas and Electric Company | Level 2 | Commodity contracts subject to rate recovery | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets | 0 | 3 |
Effect of netting and allocation of collateral | 0 | 0 |
Derivative liabilities | 0 | 1 |
Effect of netting and allocation of collateral | 0 | |
San Diego Gas and Electric Company | Level 3 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total nuclear decommissioning trusts | 0 | 0 |
Total | 24 | 41 |
Total | 0 | 0 |
San Diego Gas and Electric Company | Level 3 | Short-term investments, primarily cash equivalents | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total nuclear decommissioning trusts | 0 | 0 |
San Diego Gas and Electric Company | Level 3 | Equity securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total nuclear decommissioning trusts | 0 | 0 |
San Diego Gas and Electric Company | Level 3 | Debt securities issued by the U.S. Treasury and other U.S. government corporations and agencies | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total nuclear decommissioning trusts | 0 | 0 |
San Diego Gas and Electric Company | Level 3 | Municipal bonds | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total nuclear decommissioning trusts | 0 | 0 |
San Diego Gas and Electric Company | Level 3 | Other securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total nuclear decommissioning trusts | 0 | 0 |
San Diego Gas and Electric Company | Level 3 | Total debt securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total nuclear decommissioning trusts | 0 | 0 |
San Diego Gas and Electric Company | Level 3 | Commodity contracts subject to rate recovery | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets | 18 | 35 |
Effect of netting and allocation of collateral | 6 | 6 |
Derivative liabilities | 0 | 0 |
Effect of netting and allocation of collateral | 0 | |
Southern California Gas Company | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total | 2 | 17 |
Total | 156 | 69 |
Southern California Gas Company | Commodity contracts subject to rate recovery | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets | 16 | |
Effect of netting and allocation of collateral | 2 | 1 |
Derivative liabilities | 156 | 69 |
Southern California Gas Company | Level 1 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total | 2 | 1 |
Total | 0 | 0 |
Southern California Gas Company | Level 1 | Commodity contracts subject to rate recovery | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets | 0 | |
Effect of netting and allocation of collateral | 2 | 1 |
Derivative liabilities | 0 | 0 |
Southern California Gas Company | Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total | 0 | 16 |
Total | 156 | 69 |
Southern California Gas Company | Level 2 | Commodity contracts subject to rate recovery | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets | 16 | |
Effect of netting and allocation of collateral | 0 | 0 |
Derivative liabilities | 156 | 69 |
Southern California Gas Company | Level 3 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total | 0 | 0 |
Total | 0 | 0 |
Southern California Gas Company | Level 3 | Commodity contracts subject to rate recovery | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets | 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) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 USD ($) | Sep. 30, 2022 USD ($) $ / MWh | Sep. 30, 2023 USD ($) $ / MWh | Sep. 30, 2022 USD ($) $ / MWh | |
Fair Value, Net Derivative Asset (Liability) Measured on Recurring Basis, Unobservable Input Reconciliation [Roll Forward] | ||||
Beginning balance | $ 20 | $ 33 | $ 35 | $ 54 |
Realized and unrealized losses | (2) | (35) | (10) | (58) |
Allocated transmission instruments | 1 | 2 | (1) | (4) |
Settlements | (1) | 33 | (6) | 41 |
Ending balance | 18 | 33 | 18 | 33 |
Change in unrealized losses relating to instruments still held at September 30 | 1 | 3 | (8) | (15) |
Sempra Infrastructure | ||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||||
Beginning balance | 23 | 16 | 17 | 7 |
Realized and unrealized gains | (3) | 2 | 7 | 16 |
Settlements | (2) | (2) | (6) | (7) |
Ending balance | 18 | 16 | 18 | 16 |
Change in unrealized gains (losses) relating to instruments still held at the end of the period | (2) | 2 | 7 | 15 |
Sempra Infrastructure | Other current assets | ||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||||
Ending balance | 7 | 7 | ||
Sempra Infrastructure | Other long-term assets | ||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||||
Ending balance | 11 | 11 | ||
San Diego Gas and Electric Company | ||||
Fair Value, Net Derivative Asset (Liability) Measured on Recurring Basis, Unobservable Input Reconciliation [Roll Forward] | ||||
Beginning balance | 20 | 33 | 35 | 54 |
Realized and unrealized losses | (2) | (35) | (10) | (58) |
Allocated transmission instruments | 1 | 2 | (1) | (4) |
Settlements | (1) | 33 | (6) | 41 |
Ending balance | 18 | 33 | 18 | 33 |
Change in unrealized losses relating to instruments still held at September 30 | $ 1 | $ 3 | $ (8) | $ (15) |
Level 3 | San Diego Gas and Electric Company | Minimum | ||||
Fair Value, Net Derivative Asset (Liability) Measured on Recurring Basis, Unobservable Input Reconciliation [Roll Forward] | ||||
Congestion revenue rights (in dollars per MWH) | $ / MWh | (3.09) | (3.67) | ||
Market electricity forward price inputs ( in dollars per MWH) | $ / MWh | 26.75 | 26.75 | ||
Level 3 | San Diego Gas and Electric Company | Maximum | ||||
Fair Value, Net Derivative Asset (Liability) Measured on Recurring Basis, Unobservable Input Reconciliation [Roll Forward] | ||||
Congestion revenue rights (in dollars per MWH) | $ / MWh | 10.71 | 6.96 | ||
Market electricity forward price inputs ( in dollars per MWH) | $ / MWh | 127.20 | 127.20 | ||
Level 3 | San Diego Gas and Electric Company | Weighted Average | ||||
Fair Value, Net Derivative Asset (Liability) Measured on Recurring Basis, Unobservable Input Reconciliation [Roll Forward] | ||||
Congestion revenue rights (in dollars per MWH) | $ / MWh | (0.56) | (0.70) | ||
Market electricity forward price inputs ( in dollars per MWH) | $ / MWh | 68.50 | 68.50 |
FAIR VALUE MEASUREMENTS - FINAN
FAIR VALUE MEASUREMENTS - FINANCIAL INSTRUMENTS (Details) - USD ($) $ in Millions | Sep. 30, 2023 | Dec. 31, 2022 |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Allowance for credit losses | $ 6 | $ 7 |
Unamortized transaction costs | 4 | 5 |
Unamortized discount and debt issuance costs | 326 | 289 |
Finance lease obligations | 1,346 | 1,343 |
Carrying amount | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Long-term notes receivable | 330 | 318 |
Long-term amounts due to unconsolidated affiliates | 308 | 301 |
Total long-term debt | 27,657 | 24,513 |
Fair value | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Long-term notes receivable | 295 | 286 |
Long-term amounts due to unconsolidated affiliates | 269 | 263 |
Total long-term debt | 23,765 | 21,549 |
Fair value | Level 1 | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Long-term notes receivable | 0 | 0 |
Long-term amounts due to unconsolidated affiliates | 0 | 0 |
Total long-term debt | 0 | 0 |
Fair value | Level 2 | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Long-term notes receivable | 0 | 0 |
Long-term amounts due to unconsolidated affiliates | 269 | 263 |
Total long-term debt | 23,765 | 21,549 |
Fair value | Level 3 | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Long-term notes receivable | 295 | 286 |
Long-term amounts due to unconsolidated affiliates | 0 | 0 |
Total long-term debt | 0 | 0 |
San Diego Gas and Electric Company | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Unamortized discount and debt issuance costs | 90 | 70 |
Finance lease obligations | 1,234 | 1,256 |
San Diego Gas and Electric Company | Carrying amount | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Total long-term debt | 8,750 | 7,800 |
San Diego Gas and Electric Company | Fair value | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Total long-term debt | 7,202 | 6,726 |
San Diego Gas and Electric Company | Fair value | Level 1 | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Total long-term debt | 0 | 0 |
San Diego Gas and Electric Company | Fair value | Level 2 | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Total long-term debt | 7,202 | 6,726 |
San Diego Gas and Electric Company | Fair value | Level 3 | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Total long-term debt | 0 | 0 |
Southern California Gas Company | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Unamortized discount and debt issuance costs | 57 | 48 |
Finance lease obligations | 112 | 87 |
Southern California Gas Company | Carrying amount | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Total long-term debt | 6,759 | 6,059 |
Southern California Gas Company | Fair value | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Total long-term debt | 5,953 | 5,538 |
Southern California Gas Company | Fair value | Level 1 | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Total long-term debt | 0 | 0 |
Southern California Gas Company | Fair value | Level 2 | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Total long-term debt | 5,953 | 5,538 |
Southern California Gas Company | Fair value | Level 3 | ||
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 - NARRATIVE (Details) - San Diego Gas and Electric Company - USD ($) $ in Millions | Sep. 30, 2023 | Dec. 31, 2022 |
Jointly Owned Nuclear Power Plant | ||
Jointly Owned Utility Plant Interests [Line Items] | ||
Jointly owned utility plant, proportionate ownership share (as a percent) | 20% | |
Percent of dismantlement work expense (as a percent) | 20% | |
ARO related to decommissioning costs | $ 512 | |
SONGS 2 and 3 Decommissioning | ||
Jointly Owned Utility Plant Interests [Line Items] | ||
Nuclear decommissioning trust authorized withdrawal amount | $ 81 |
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, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | Dec. 31, 2022 | |
Debt Securities, Available-for-sale [Line Items] | |||||
Cost | $ 668 | $ 668 | $ 689 | ||
Gross unrealized gains | 203 | 203 | 196 | ||
Gross unrealized losses | (44) | (44) | (44) | ||
Estimated fair value | 827 | 827 | 841 | ||
Proceeds from sales | 143 | $ 133 | 437 | $ 530 | |
Gross realized gains | 12 | 2 | 20 | 16 | |
Gross realized losses | (3) | $ (3) | (9) | $ (14) | |
Total debt securities | |||||
Debt Securities, Available-for-sale [Line Items] | |||||
Cost | 556 | 556 | 571 | ||
Gross unrealized gains | 2 | 2 | 2 | ||
Gross unrealized losses | (39) | (39) | (36) | ||
Estimated fair value | 519 | 519 | 537 | ||
U.S. government corporations and agencies | |||||
Debt Securities, Available-for-sale [Line Items] | |||||
Cost | 44 | 44 | 40 | ||
Gross unrealized gains | 1 | 1 | 1 | ||
Gross unrealized losses | (2) | (2) | (1) | ||
Estimated fair value | 43 | 43 | 40 | ||
Municipal bonds | |||||
Debt Securities, Available-for-sale [Line Items] | |||||
Cost | 278 | 278 | 283 | ||
Gross unrealized gains | 0 | 0 | 1 | ||
Gross unrealized losses | (18) | (18) | (14) | ||
Estimated fair value | 260 | 260 | 270 | ||
Other securities | |||||
Debt Securities, Available-for-sale [Line Items] | |||||
Cost | 234 | 234 | 248 | ||
Gross unrealized gains | 1 | 1 | 0 | ||
Gross unrealized losses | (19) | (19) | (21) | ||
Estimated fair value | 216 | 216 | 227 | ||
Equity securities | |||||
Debt Securities, Available-for-sale [Line Items] | |||||
Cost | 99 | 99 | 111 | ||
Gross unrealized gains | 201 | 201 | 194 | ||
Gross unrealized losses | (5) | (5) | (8) | ||
Estimated fair value | 295 | 295 | 297 | ||
Short-term investments, primarily cash equivalents | |||||
Debt Securities, Available-for-sale [Line Items] | |||||
Cost | 24 | 24 | 11 | ||
Gross unrealized gains | 0 | 0 | 0 | ||
Gross unrealized losses | 0 | 0 | 0 | ||
Estimated fair value | 24 | 24 | 11 | ||
Receivables (payables), net | |||||
Debt Securities, Available-for-sale [Line Items] | |||||
Cost | (11) | (11) | (4) | ||
Gross unrealized gains | 0 | 0 | 0 | ||
Gross unrealized losses | 0 | 0 | 0 | ||
Estimated fair value | $ (11) | $ (11) | $ (4) |
COMMITMENTS AND CONTINGENCIES -
COMMITMENTS AND CONTINGENCIES - LEGAL PROCEEDINGS (Details) $ in Millions | 1 Months Ended | 3 Months Ended | 4 Months Ended | 9 Months Ended | 12 Months Ended | 25 Months Ended | 48 Months Ended | |||||||
Oct. 31, 2023 plaintiff | Sep. 30, 2021 USD ($) lawsuit plaintiff | Jan. 31, 2021 lawsuit | Sep. 30, 2023 USD ($) lawsuit | Sep. 30, 2022 USD ($) | Feb. 11, 2016 well | Sep. 30, 2023 USD ($) segment lawsuit | Sep. 30, 2022 USD ($) | Dec. 31, 2022 USD ($) | Oct. 31, 2023 plaintiff | Dec. 31, 2021 claimant lawsuit | Aug. 31, 2023 Bcf | Nov. 30, 2021 Bcf | Mar. 31, 2021 lawsuit | |
Loss Contingencies [Line Items] | ||||||||||||||
Liability for legal proceedings | $ 203 | $ 203 | ||||||||||||
Natural gas inventory level (in bcf) | Bcf | 68.6 | 41.16 | ||||||||||||
Aliso Canyon litigation and regulatory matters | 0 | $ 122 | $ 0 | $ 259 | ||||||||||
Number of reportable segments | segment | 4 | |||||||||||||
Sempra Infrastructure | ||||||||||||||
Loss Contingencies [Line Items] | ||||||||||||||
Number of lawsuits | lawsuit | 3 | |||||||||||||
Number of claimants | claimant | 3 | |||||||||||||
Number of reportable segments | segment | 2 | |||||||||||||
Aliso Canyon Natural Gas Storage Facility Gas Leak | ||||||||||||||
Loss Contingencies [Line Items] | ||||||||||||||
Liability for legal proceedings | 125 | $ 125 | ||||||||||||
Southern California Gas Company | ||||||||||||||
Loss Contingencies [Line Items] | ||||||||||||||
Liability for legal proceedings | 127 | 127 | ||||||||||||
Wells with gas leak | well | 1 | |||||||||||||
Aliso Canyon litigation and regulatory matters | 0 | 122 | 0 | 259 | ||||||||||
Southern California Gas Company | Aliso Canyon Natural Gas Storage Facility Gas Leak | ||||||||||||||
Loss Contingencies [Line Items] | ||||||||||||||
Liability for legal proceedings | 125 | 125 | ||||||||||||
Number of lawsuits | lawsuit | 390 | |||||||||||||
Number of plaintiffs | plaintiff | 36,000 | |||||||||||||
Net book value of Aliso Canyon facility | 993 | 993 | ||||||||||||
Aliso Canyon litigation and regulatory matters, net of tax | $ 101 | $ 199 | ||||||||||||
Reserve for Aliso Canyon costs | $ 126 | $ 126 | ||||||||||||
Southern California Gas Company | Aliso Canyon Natural Gas Storage Facility Gas Leak | Subsequent Event | ||||||||||||||
Loss Contingencies [Line Items] | ||||||||||||||
Number of plaintiffs | plaintiff | 233 | |||||||||||||
Southern California Gas Company | Shareholder Derivative Complaint | ||||||||||||||
Loss Contingencies [Line Items] | ||||||||||||||
Number of lawsuits | lawsuit | 4 | 4 | ||||||||||||
Claims dismissed | lawsuit | 3 | |||||||||||||
Southern California Gas Company | Individual Plaintiff Litigation | Aliso Canyon Natural Gas Storage Facility Gas Leak | ||||||||||||||
Loss Contingencies [Line Items] | ||||||||||||||
Estimate of costs | $ 1,800 | |||||||||||||
Percentage of plaintiffs agreeing to participate and submit releases (in percent) | 99% | |||||||||||||
Payment of liquidating companies' costs | $ 1,790 | |||||||||||||
Southern California Gas Company | The Developer Plaintiffs | Aliso Canyon Natural Gas Storage Facility Gas Leak | Subsequent Event | ||||||||||||||
Loss Contingencies [Line Items] | ||||||||||||||
Number of plaintiffs | plaintiff | 394 | |||||||||||||
San Diego Gas and Electric Company | ||||||||||||||
Loss Contingencies [Line Items] | ||||||||||||||
Number of lawsuits | lawsuit | 2 | |||||||||||||
Deferred Credits and Other | Southern California Gas Company | Aliso Canyon Natural Gas Storage Facility Gas Leak | ||||||||||||||
Loss Contingencies [Line Items] | ||||||||||||||
Reserve for Aliso Canyon costs | $ 3 | $ 3 |
COMMITMENTS AND CONTINGENCIES_2
COMMITMENTS AND CONTINGENCIES - OTHER LITIGATION (Details) £ in Millions, $ in Millions | 1 Months Ended | 9 Months Ended | ||
Oct. 31, 2020 GBP (£) | Mar. 31, 2020 GBP (£) | Sep. 30, 2023 USD ($) | Oct. 31, 2023 lawsuit claim | |
Plaintiffs | HMRC VAT Claim | ||||
Loss Contingencies [Line Items] | ||||
Damages awarded | £ 45 | $ 55 | ||
Cost and interest assessed | £ 21 | $ 26 | ||
Energy Future Holdings Corp. | Subsequent Event | ||||
Loss Contingencies [Line Items] | ||||
Lawsuits pending | lawsuit | 2 | |||
Number of proof of claims | claim | 28,000 |
COMMITMENTS AND CONTINGENCIES_3
COMMITMENTS AND CONTINGENCIES - LEASE INFORMATION NARRATIVE (Details) - San Diego Gas and Electric Company $ in Millions | 9 Months Ended |
Sep. 30, 2023 USD ($) agreement | |
Lessee, Lease, Description [Line Items] | |
Right-of-use asset and lease liability | $ 101 |
Undiscounted lease payments due remainder of the year | 9 |
Undiscounted lease payments due year two | 13 |
Undiscounted lease payments due year three | 13 |
Undiscounted lease payments due year one | 13 |
Undiscounted lease payments due year four | 13 |
Undiscounted lease payments due thereafter | $ 66 |
Purchased-Power Contracts | |
Lessee, Lease, Description [Line Items] | |
Number of purchased-power contracts | agreement | 7 |
Lease not yet commenced, year one | $ 32 |
Lease not yet commenced, year two | 61 |
Lease not yet commenced, year three | 82 |
Lease not yet commenced, year four | 83 |
Lease not yet commenced, thereafter | $ 919 |
COMMITMENTS AND CONTINGENCIES_4
COMMITMENTS AND CONTINGENCIES - LEASE INFORMATION (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Commitments and Contingencies Disclosure [Abstract] | ||||
Interest income | $ 2 | $ 2 | $ 5 | $ 6 |
Total revenues from sales-type leases | 2 | 2 | 5 | 6 |
Fixed lease payments | 78 | 71 | 234 | 211 |
Variable lease payments | 10 | 3 | 26 | 7 |
Total revenues from operating leases | 88 | 74 | 260 | 218 |
Depreciation expense | $ 15 | $ 14 | $ 45 | $ 41 |
COMMITMENTS AND CONTINGENCIES_5
COMMITMENTS AND CONTINGENCIES - CONTRACTUAL COMMITMENTS & ENVIRONMENTAL ISSUES (Details) $ in Millions | 9 Months Ended |
Sep. 30, 2023 USD ($) | |
Loss Contingencies [Line Items] | |
Potential monetary sanctions threshold | $ 1 |
Potential monetary sanctions threshold (as a percent) | 1% |
Environmental cost, potential monetary sanctions threshold, actual amount | $ 53 |
Sempra Infrastructure | Natural Gas Storage and Transportation Contracts | |
Loss Contingencies [Line Items] | |
Change since 2022 | 877 |
Change in 2023 | (29) |
Change in 2024 | 38 |
Change in 2025 | 35 |
Change in 2026 | 33 |
Change in 2027 | 30 |
Change thereafter | 770 |
Sempra Infrastructure | Liquefied Natural Gas Contracts | |
Loss Contingencies [Line Items] | |
Change in 2023 | (980) |
Change in 2024 | (62) |
Change in 2025 | (45) |
Change in 2026 | (47) |
Change in 2027 | (58) |
Change thereafter | (136) |
San Diego Gas and Electric Company | |
Loss Contingencies [Line Items] | |
Environmental cost, potential monetary sanctions threshold, actual amount | 19 |
San Diego Gas and Electric Company | Purchased-Power Contracts | |
Loss Contingencies [Line Items] | |
Change since 2022 | 482 |
Change in 2023 | 14 |
Change in 2024 | 3 |
Change in 2025 | 13 |
Change in 2026 | 32 |
Change in 2027 | 33 |
Change thereafter | 387 |
Southern California Gas Company | |
Loss Contingencies [Line Items] | |
Environmental cost, potential monetary sanctions threshold, actual amount | $ 14 |
SEGMENT INFORMATION - NARRATIVE
SEGMENT INFORMATION - NARRATIVE (Details) | 9 Months Ended |
Sep. 30, 2023 segment | |
Segment Reporting Information [Line Items] | |
Number of reportable segments | 4 |
Oncor Electric Delivery Company LLC Additional Acquisition | Sempra Texas Utilities | |
Segment Reporting Information [Line Items] | |
Acquired percentage interest (in percent) | 80.25% |
Sharyland Holdings, LP | Sempra Texas Utilities | |
Segment Reporting Information [Line Items] | |
Acquired percentage interest (in percent) | 50% |
SEGMENT INFORMATION - SCHEDULE
SEGMENT INFORMATION - SCHEDULE (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | Dec. 31, 2022 | ||
Segment Reporting Information, Profit (Loss) [Abstract] | ||||||
REVENUES | $ 3,334 | $ 3,617 | $ 13,229 | $ 10,984 | ||
DEPRECIATION AND AMORTIZATION | 563 | 506 | 1,651 | 1,500 | ||
INTEREST INCOME | 19 | 18 | 60 | 58 | ||
INTEREST EXPENSE | 312 | 282 | 995 | 796 | ||
INCOME TAX (BENEFIT) EXPENSE | (52) | 21 | 499 | 435 | ||
Equity earnings, before income tax: | 133 | 134 | 418 | 436 | ||
Equity earnings, net of income tax: | 346 | 283 | 668 | 682 | ||
Equity earnings | 479 | 417 | 1,086 | 1,118 | ||
EARNINGS (LOSSES) ATTRIBUTABLE TO COMMON SHARES | 721 | 485 | 2,293 | 1,656 | ||
Segment Reporting Information, Additional Information [Abstract] | ||||||
EXPENDITURES FOR PROPERTY, PLANT & EQUIPMENT | 6,074 | 3,540 | ||||
ASSETS | 85,735 | 85,735 | $ 78,574 | [1] | ||
EQUITY METHOD INVESTMENTS | 16,356 | 16,356 | 15,677 | |||
Operating Segments | SDG&E | ||||||
Segment Reporting Information, Profit (Loss) [Abstract] | ||||||
REVENUES | 1,442 | 1,569 | 4,357 | 4,413 | ||
DEPRECIATION AND AMORTIZATION | 280 | 247 | 810 | 730 | ||
INTEREST INCOME | 7 | 2 | 12 | 3 | ||
INTEREST EXPENSE | 126 | 113 | 367 | 333 | ||
INCOME TAX (BENEFIT) EXPENSE | (15) | 35 | (4) | 141 | ||
EARNINGS (LOSSES) ATTRIBUTABLE TO COMMON SHARES | 274 | 271 | 716 | 681 | ||
Segment Reporting Information, Additional Information [Abstract] | ||||||
EXPENDITURES FOR PROPERTY, PLANT & EQUIPMENT | 1,893 | 1,651 | ||||
ASSETS | 28,502 | 28,502 | 26,422 | |||
Operating Segments | SoCalGas | ||||||
Segment Reporting Information, Profit (Loss) [Abstract] | ||||||
REVENUES | 1,313 | 1,385 | 6,574 | 4,879 | ||
DEPRECIATION AND AMORTIZATION | 211 | 190 | 625 | 565 | ||
INTEREST INCOME | 2 | 3 | 7 | 4 | ||
INTEREST EXPENSE | 70 | 50 | 210 | 135 | ||
INCOME TAX (BENEFIT) EXPENSE | (5) | (28) | 68 | 75 | ||
EARNINGS (LOSSES) ATTRIBUTABLE TO COMMON SHARES | 16 | (82) | 531 | 339 | ||
Segment Reporting Information, Additional Information [Abstract] | ||||||
EXPENDITURES FOR PROPERTY, PLANT & EQUIPMENT | 1,451 | 1,394 | ||||
ASSETS | 23,069 | 23,069 | 22,346 | |||
Operating Segments | Sempra Texas Utilities | ||||||
Segment Reporting Information, Profit (Loss) [Abstract] | ||||||
INCOME TAX (BENEFIT) EXPENSE | 0 | 1 | 0 | 1 | ||
Equity earnings, before income tax: | 2 | 1 | 5 | 6 | ||
Equity earnings, net of income tax: | 305 | 257 | 548 | 603 | ||
EARNINGS (LOSSES) ATTRIBUTABLE TO COMMON SHARES | 305 | 256 | 548 | 604 | ||
Segment Reporting Information, Additional Information [Abstract] | ||||||
ASSETS | 14,269 | 14,269 | 13,781 | |||
EQUITY METHOD INVESTMENTS | 14,260 | 14,260 | 13,772 | |||
Operating Segments | Sempra Infrastructure | ||||||
Segment Reporting Information, Profit (Loss) [Abstract] | ||||||
REVENUES | 629 | 697 | 2,485 | 1,810 | ||
DEPRECIATION AND AMORTIZATION | 71 | 67 | 210 | 199 | ||
INTEREST INCOME | 4 | 7 | 25 | 37 | ||
INTEREST EXPENSE | 7 | 39 | 127 | 98 | ||
INCOME TAX (BENEFIT) EXPENSE | 24 | 58 | 555 | 219 | ||
Equity earnings, before income tax: | 131 | 133 | 413 | 430 | ||
Equity earnings, net of income tax: | 41 | 26 | 120 | 79 | ||
EARNINGS (LOSSES) ATTRIBUTABLE TO COMMON SHARES | 223 | 114 | 746 | 392 | ||
Segment Reporting Information, Additional Information [Abstract] | ||||||
EXPENDITURES FOR PROPERTY, PLANT & EQUIPMENT | 2,725 | 489 | ||||
ASSETS | 19,722 | 19,722 | 15,760 | |||
EQUITY METHOD INVESTMENTS | 2,096 | 2,096 | 1,905 | |||
All other | ||||||
Segment Reporting Information, Profit (Loss) [Abstract] | ||||||
REVENUES | 0 | 1 | 0 | 1 | ||
DEPRECIATION AND AMORTIZATION | 1 | 2 | 6 | 6 | ||
INTEREST INCOME | 7 | 6 | 17 | 14 | ||
INTEREST EXPENSE | 109 | 81 | 292 | 232 | ||
INCOME TAX (BENEFIT) EXPENSE | (56) | (45) | (120) | (1) | ||
EARNINGS (LOSSES) ATTRIBUTABLE TO COMMON SHARES | (97) | (74) | (248) | (360) | ||
Segment Reporting Information, Additional Information [Abstract] | ||||||
EXPENDITURES FOR PROPERTY, PLANT & EQUIPMENT | 5 | 6 | ||||
ASSETS | 1,205 | 1,205 | 1,376 | |||
Adjustments and eliminations | ||||||
Segment Reporting Information, Profit (Loss) [Abstract] | ||||||
REVENUES | 0 | 0 | (1) | 0 | ||
Intersegment revenues and eliminations | ||||||
Segment Reporting Information, Profit (Loss) [Abstract] | ||||||
REVENUES | (50) | (35) | (186) | (119) | ||
INTEREST INCOME | (1) | 0 | (1) | 0 | ||
INTEREST EXPENSE | 0 | (1) | (1) | (2) | ||
Segment Reporting Information, Additional Information [Abstract] | ||||||
ASSETS | (1,032) | (1,032) | $ (1,111) | |||
Intersegment revenues and eliminations | SDG&E | ||||||
Segment Reporting Information, Profit (Loss) [Abstract] | ||||||
REVENUES | (5) | (4) | (14) | (11) | ||
Intersegment revenues and eliminations | SoCalGas | ||||||
Segment Reporting Information, Profit (Loss) [Abstract] | ||||||
REVENUES | (29) | (24) | (91) | (73) | ||
Intersegment revenues and eliminations | Sempra Infrastructure | ||||||
Segment Reporting Information, Profit (Loss) [Abstract] | ||||||
REVENUES | $ (16) | $ (7) | $ (81) | $ (35) | ||
[1]Derived from audited financial statements. |