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Revenue Recognition
 3 Months Ended
Mar. 31, 2025
Revenue Recognition [Abstract]  
Revenue Recognition [Text Block]
Note 5 – Revenue Recognition
Revenue by Category
The following table presents Williams’ revenue disaggregated by major service line:
Transmission & Gulf of AmericaNortheast G&PWestGas & NGL Marketing ServicesOtherEliminationsTotal
(Millions)
Three Months Ended March 31, 2025
Revenues from contracts with customers:
Service revenues:
Regulated interstate natural gas transportation and storage$920 $— $— $— $— $(20)$900 
Gathering, processing, transportation, fractionation, and storage:
Monetary consideration192 462 430 — — (45)1,039 
Commodity consideration23 1 25 — — — 49 
Other17 24 7 — — (5)43 
Total service revenues1,152 487 462 — — (70)2,031 
Product sales115 57 264 2,056 155 (491)2,156 
Total revenues from contracts with customers1,267 544 726 2,056 155 (561)4,187 
Other revenues (1)5 11 (1)1,100 (27)(1)1,087 
Other adjustments (2)— — — (2,445)— 219 (2,226)
Total revenues$1,272 $555 $725 $711 $128 $(343)$3,048 
Three Months Ended March 31, 2024
Revenues from contracts with customers:
Service revenues:
Regulated interstate natural gas transportation and storage$880 $— $— $— $— $(21)$859 
Gathering, processing, transportation, fractionation, and storage:
Monetary consideration145 444 430 — — (38)981 
Commodity consideration9 5 16 — — — 30 
Other13 24 6 — — (5)38 
Total service revenues1,047 473 452 — — (64)1,908 
Product sales61 25 248 1,306 108 (317)1,431 
Total revenues from contracts with customers1,108 498 700 1,306 108 (381)3,339 
Other revenues (1)11 11 1 833 12 — 868 
Other adjustments (2)— — — (1,569)— 133 (1,436)
Total revenues$1,119 $509 $701 $570 $120 $(248)$2,771 
______________________________
(1)Revenues not derived from contracts with customers primarily consist of physical product sales related to commodity derivative contracts, realized and unrealized gains and losses associated with Williams’ commodity derivative contracts, which are reported in Net gain (loss) from commodity derivatives in the Consolidated Statement of Income, management fees received for certain services provided to operated equity-method investments, and leasing revenues associated with the Williams headquarters building.
(2)Other adjustments reflect certain costs of Gas & NGL Marketing Services’ risk management activities. As Williams is acting as agent for natural gas marketing customers or engages in energy trading activities, the resulting revenues are presented net of the related costs of those activities in the Consolidated Statement of Income.
For Transco and NWP, revenue disaggregation by major service line includes Natural gas transportation, Natural gas storage, Natural gas product sales, and Other, which are separately presented in their Statements of Net Income.
Contract Assets
The following table presents a reconciliation of contract assets:
Three Months Ended March 31,
WilliamsTranscoNWP
202520242025202420252024
(Millions)
Balance at beginning of period$98 $36 $10 $— $21 $17 
Revenue recognized in excess of amounts invoiced30 41 4 — 2 1 
Minimum volume commitments invoiced(23)(27)— — — — 
Amortization of contract assets(1)— — — (1)— 
Balance at end of period$104 $50 $14 $— $22 $18 
Contract Liabilities
The following table presents a reconciliation of contract liabilities:
Three Months Ended March 31,
WilliamsTranscoNWP
202520242025202420252024
(Millions)
Balance at beginning of period$1,046 $1,081 $173 $184 $— $2 
Payments received and deferred34 42 — — — — 
Significant financing component2 2 — — — — 
Recognized in revenue(66)(72)(2)(3)— (1)
Balance at end of period$1,016 $1,053 $171 $181 $— $1 
Remaining Performance Obligations
Remaining performance obligations primarily include reservation charges on contracted capacity for Williams’ gas pipeline firm transportation contracts with customers, storage capacity contracts, long-term contracts containing MVC associated with midstream businesses, and fixed payments associated with offshore gathering and transportation. For Williams’ interstate natural gas pipeline businesses, including Transco and NWP, remaining performance obligations generally reflect the expected rates for such services for the life of the related contracts; however, these rates may change based on future tariffs approved by the FERC and the amount and timing of these changes are not currently known.
Remaining performance obligations exclude variable consideration, including contracts with variable consideration for which it has elected the practical expedient for consideration recognized in revenue as billed. Certain of its contracts contain evergreen and other renewal provisions for periods beyond the initial term of the contract. The remaining performance obligation amounts as of March 31, 2025, do not consider potential future performance obligations for which the renewal has not been exercised and exclude contracts with customers for which the underlying facilities have not received FERC authorization to be placed into service. Consideration received prior to March 31, 2025, that will be recognized in future periods is also excluded from its remaining performance obligations and is instead reflected in contract liabilities.
The following tables present the amount of the contract liabilities balance expected to be recognized as revenue when performance obligations are satisfied and the transaction price allocated to the remaining performance obligations under certain contracts as of March 31, 2025.
Contract Liabilities
WilliamsTranscoNWP
(Millions)
2025 (nine months)
$123 $8 $— 
2026 (one year)
152 10 — 
2027 (one year)
147 11 — 
2028 (one year)
125 11 — 
2029 (one year)
91 11 — 
Thereafter
378 120 — 
   Total$1,016 $171 $— 
Remaining Performance Obligations
WilliamsTranscoNWP
(Millions)
2025 (nine months)
$3,275 $2,207 $293 
2026 (one year)
4,174 2,758 394 
2027 (one year)
3,923 2,632 376 
2028 (one year)
3,098 2,018 367 
2029 (one year)
2,698 1,764 348 
Thereafter
14,887 11,160 2,229 
   Total$32,055 $22,539 $4,007 
Accounts Receivable
The following is a summary of Williams’ Trade accounts and other receivables:
March 31, 2025December 31, 2024
(Millions)
Accounts receivable related to revenues from contracts with customers$1,392 $1,494 
Receivables from derivatives347 294 
Other accounts receivable42 75 
Trade accounts and other receivables$1,781 $1,863 
Transco and NWP receivables from contracts with customers are included within Receivables - Trade and Receivables - Affiliates. Receivables that are not related to contracts with customers are included within Receivables - Advances to affiliate and Receivables - Other.