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Derivative Instruments (Tables)
 9 Months Ended
Sep. 30, 2019
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Schedule of Derivative Instruments Classified as Assets (Liabilities)
The following tables present the fair values of the Company's derivative instruments on a gross basis as reflected on the Company’s consolidated balance sheets (in millions):
 
 
September 30, 2019
 
 
Derivative Assets
 
Derivative Liabilities
 
 
Current
 
Long-Term
 
Current
 
Long-Term
Fair Value of Designated Derivatives
 
 
 
 
 
 
 
 
Interest rate swaps
 
$
—

 
$
—

 
$
6

 
$
81

 
 
 
 
 
 
 
 
 
Fair Value of Undesignated Derivatives
 
 
 
 
 
 
 
 
Foreign currency forward contracts
 
3

 
7

 
—

 
—

Congestion revenue rights (1)
 
—

 
—

 
—

 
—

Total Fair Value
 
$
3

 
$
7

 
$
6

 
$
81

 
 
 
 
 
 
 
 
 
 
 
December 31, 2018
 
 
Derivative Assets
 
Derivative Liabilities
 
 
Current
 
Long-Term
 
Current
 
Long-Term
Fair Value of Designated Derivatives
 
 
 
 
 
 
 
 
Interest rate swaps
 
$
—

 
$
3

 
$
2

 
$
25

 
 
 
 
 
 
 
 
 
Fair Value of Undesignated Derivatives
 
 
 
 
 
 
 
 
Interest rate swaps
 
$
—

 
$
—

 
$
—

 
$
4

Energy derivative
 
7

 
—

 
—

 
—

Foreign currency forward contracts
 
6

 
6

 
—

 
2

Congestion revenue rights
 
1

 
—

 
—

 
—

Total Fair Value
 
$
14

 
$
9

 
$
2

 
$
31


(1) 
As of September 30, 2019, the fair value was less than $1 million.
Schedule of Notional Amounts of Outstanding Derivative Positions
The following table summarizes the notional amounts of the Company's outstanding derivative instruments (in millions, except for MWh):
 
 
Unit of Measure
 
September 30,
 
December 31,
 
 
 
2019
 
2018
Designated Derivative Instruments
 
 
 
 
 
 
Interest rate swaps
 
USD
 
$
346

 
$
319

Interest rate swaps
 
CAD
 
$
707

 
$
721

Interest rate swaps
 
JPY
 
¥
54,987

 
¥
55,675

 
 
 
 
 
 
 
Undesignated Derivative Instruments
 
 
 
 
 
 
Interest rate swaps
 
USD
 
$
—

 
$
138

Energy derivative
 
MWh
 
—

 
193,252

Foreign currency forward contracts
 
CAD
 
$
77

 
$
106

Foreign currency forward contracts
 
JPY
 
¥
10,691

 
¥
11,589

Congestion revenue rights
 
MWh
 
248

 
505
Derivative Instruments, Gain (Loss)
The following table presents the pre-tax effect of the hedging instruments designated as cash flow recognized in accumulated other comprehensive loss, amounts reclassified to earnings for the following periods, as well as, amounts recognized in interest expense (in millions):
 
 
 
 
Three months ended September 30,
 
Nine months ended September 30,
 
 
Description
 
2019
 
2018
 
2019
 
2018
Gains (losses) recognized in accumulated OCI
 
Change in fair value (1)
 
$
(13
)
 
$
14

 
$
(66
)
 
$
22

Gains (losses) reclassified from accumulated OCI into:
 
 
 
 
 
 
 
 
 
 
Interest expense
 
Derivative settlements
 
$
(1
)
 
$
(1
)
 
$
(2
)
 
$
(4
)
Gain on derivatives
 
De-designation of derivatives
 
—

 
—

 
$
—

 
$
2

Gain recognized in interest expense
 
Ineffective portion (2)
 
$
—

 
$
—

 
$
—

 
$
1


(1) 
For 2018, the amount represents effective portion only as the Company adopted ASU 2017-12 on January 1, 2019.
(2) 
Applies to 2018 only as a result of the adoption of ASU 2017-12 on January 1, 2019.
Schedule of Other Derivatives Not Designated as Hedging Instruments, Statements of Financial Performance and Financial Position, Location
The following table presents gains and losses on derivatives not designated as hedges (in millions):
 
 
Financial Statement Line Item
 
Three months ended September 30,
 
Nine months ended September 30,
Derivative Type
 
 
2019
 
2018
 
2019
 
2018
Interest rate derivatives
 
Gain on derivatives
 
$
—

 
$
—

 
$
(1
)
 
$
4

Energy derivative
 
Electricity sales
 
$
—

 
$
2

 
$
—

 
$
(2
)
Foreign currency forward contracts
 
Gain on derivatives
 
$
3

 
$
1

 
$
4

 
$
12