10-Q

    Table of Contents                                Index to Financial Statements

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 10-Q

☑ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d)

OF THE SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended September 30, 2022

OR

☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d)

OF THE SECURITIES EXCHANGE ACT OF 1934

For the transition period from           to            

Commission
File Number Registrant,
State of Incorporation,
Address and Telephone Number I.R.S. Employer
Identification No.

1-3526 The Southern Company 58-0690070

(A Delaware Corporation)

30 Ivan Allen Jr. Boulevard, N.W.

Atlanta, Georgia 30308

(404) 506-5000

1-3164 Alabama Power Company 63-0004250

(An Alabama Corporation)

600 North 18th Street

Birmingham, Alabama 35203

(205) 257-1000

1-6468 Georgia Power Company 58-0257110

(A Georgia Corporation)

241 Ralph McGill Boulevard, N.E.

Atlanta, Georgia 30308

(404) 506-6526

001-11229 Mississippi Power Company 64-0205820

(A Mississippi Corporation)

2992 West Beach Boulevard

Gulfport, Mississippi 39501

(228) 864-1211

001-37803 Southern Power Company 58-2598670

(A Delaware Corporation)

30 Ivan Allen Jr. Boulevard, N.W.

Atlanta, Georgia 30308

(404) 506-5000

1-14174 Southern Company Gas 58-2210952

(A Georgia Corporation)

Ten Peachtree Place, N.E.

Atlanta, Georgia 30309

(404) 584-4000

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Securities registered pursuant to Section 12(b) of the Act:

Registrant	Title of Each Class	Trading Symbol(s)	Name of Each Exchange on Which Registered
The Southern Company	Common Stock, par value $5 per share	SO	New York Stock Exchange
			(NYSE)
The Southern Company	Series 2017B 5.25% Junior Subordinated Notes due 2077	SOJC	NYSE
The Southern Company	2019 Series A Corporate Units	SOLN	NYSE
The Southern Company	Series 2020A 4.95% Junior Subordinated Notes due 2080	SOJD	NYSE
The Southern Company	Series 2020C 4.20% Junior Subordinated Notes due 2060	SOJE	NYSE
The Southern Company	Series 2021B 1.875% Fixed-to-Fixed Reset Rate Junior Subordinated Notes due 2081	SO 81	NYSE
Alabama Power Company	5.00% Series Class A Preferred Stock	ALP PR Q	NYSE
Georgia Power Company	Series 2017A 5.00% Junior Subordinated Notes due 2077	GPJA	NYSE
Southern Power Company	Series 2016B 1.850% Senior Notes due 2026	SO/26A	NYSE

Indicate by check mark whether the registrants (1) have filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrants were required to file such reports), and (2) have been subject to such filing requirements for the past 90 days. Yes þ No ¨

Indicate by check mark whether the registrants have submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T during the preceding 12 months (or for such shorter period that the registrants were required to submit such files). Yes þ No ¨

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See the definitions of "large accelerated filer," "accelerated filer," "smaller reporting company," and "emerging growth company" in Rule 12b-2 of the Exchange Act.

Registrant	Large Accelerated Filer	Accelerated Filer	Non-accelerated Filer	Smaller Reporting Company	Emerging Growth Company
The Southern Company	X
Alabama Power Company			X
Georgia Power Company			X
Mississippi Power Company			X
Southern Power Company			X
Southern Company Gas			X

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes ☐ No þ (Response applicable to all registrants.)

Registrant	Description of Common Stock	Shares Outstanding at September 30, 2022
The Southern Company	Par Value $5 Per Share	1,088,672,828
Alabama Power Company	Par Value $40 Per Share	30,537,500
Georgia Power Company	Without Par Value	9,261,500
Mississippi Power Company	Without Par Value	1,121,000
Southern Power Company	Par Value $0.01 Per Share	1,000
Southern Company Gas	Par Value $0.01 Per Share	100

This combined Form 10-Q is separately filed by The Southern Company, Alabama Power Company, Georgia Power Company, Mississippi Power Company, Southern Power Company, and Southern Company Gas. Information contained herein relating to any individual registrant is filed by such registrant on its own behalf. Each registrant makes no representation as to information relating to the other registrants.

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TABLE OF CONTENTS

		Page
	Definitions	4
	Cautionary Statement Regarding Forward-Looking Information	8
	PART I—FINANCIAL INFORMATION
Item 1.	Financial Statements (Unaudited)	10
Item 2.	Management's Discussion and Analysis of Financial Condition and Results of Operations	100
Item 3.	Quantitative and Qualitative Disclosures about Market Risk	158
Item 4.	Controls and Procedures	158
	PART II—OTHER INFORMATION
Item 1.	Legal Proceedings	159
Item 1A.	Risk Factors	159
Item 2.	Unregistered Sales of Equity Securities and Use of Proceeds	Inapplicable
Item 3.	Defaults Upon Senior Securities	Inapplicable
Item 4.	Mine Safety Disclosures	Inapplicable
Item 5.	Other Information	Inapplicable
Item 6.	Exhibits	159
	Signatures	163

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DEFINITIONS

Term	Meaning
2019 ARP	Alternate Rate Plan approved by the Georgia PSC in 2019 for Georgia Power for the years 2020 through 2022
AFUDC	Allowance for funds used during construction
Alabama Power	Alabama Power Company
Amended and Restated Loan Guarantee Agreement	Loan guarantee agreement entered into by Georgia Power with the DOE in 2014, as amended and restated in March 2019, under which the proceeds of borrowings may be used to reimburse Georgia Power for Eligible Project Costs incurred in connection with its construction of Plant Vogtle Units 3 and 4
ARO	Asset retirement obligation
Atlanta Gas Light	Atlanta Gas Light Company, a wholly-owned subsidiary of Southern Company Gas
Bechtel	Bechtel Power Corporation, the primary contractor for the remaining construction activities for Plant Vogtle Units 3 and 4
Bechtel Agreement	The 2017 construction completion agreement between the Vogtle Owners and Bechtel
CCR	Coal combustion residuals
CCR Rule	Disposal of Coal Combustion Residuals from Electric Utilities final rule published by the EPA in 2015
Chattanooga Gas	Chattanooga Gas Company, a wholly-owned subsidiary of Southern Company Gas
Clean Air Act	Clean Air Act Amendments of 1990
COD	Commercial operation date
Contractor Settlement Agreement	The December 31, 2015 agreement between Westinghouse and the Vogtle Owners resolving disputes between the Vogtle Owners and the EPC Contractor under the Vogtle 3 and 4 Agreement
COVID-19	The novel coronavirus disease declared a pandemic by the World Health Organization and the Centers for Disease Control and Prevention in March 2020
CWIP	Construction work in progress
Dalton	City of Dalton, Georgia, an incorporated municipality in the State of Georgia, acting by and through its Board of Water, Light, and Sinking Fund Commissioners
Dalton Pipeline	A pipeline facility in Georgia in which Southern Company Gas has a 50% undivided ownership interest
DOE	U.S. Department of Energy
ECCR	Georgia Power's Environmental Compliance Cost Recovery tariff
Eligible Project Costs	Certain costs of construction relating to Plant Vogtle Units 3 and 4 that are eligible for financing under the loan guarantee program established under Title XVII of the Energy Policy Act of 2005
EPA	U.S. Environmental Protection Agency
EPC Contractor	Westinghouse and its affiliate, WECTEC Global Project Services Inc.; the former engineering, procurement, and construction contractor for Plant Vogtle Units 3 and 4
FERC	Federal Energy Regulatory Commission
FFB	Federal Financing Bank
Fitch	Fitch Ratings, Inc.
Form 10-K	Annual Report on Form 10-K of Southern Company, Alabama Power, Georgia Power, Mississippi Power, Southern Power, and Southern Company Gas for the year ended December 31, 2021, as applicable
GAAP	U.S. generally accepted accounting principles
Georgia Power	Georgia Power Company
GRAM	Atlanta Gas Light's Georgia Rate Adjustment Mechanism
Guarantee Settlement Agreement	The June 9, 2017 settlement agreement between the Vogtle Owners and Toshiba related to certain payment obligations of the EPC Contractor guaranteed by Toshiba
Gulf Power	Gulf Power Company, until January 1, 2019 a wholly-owned subsidiary of Southern Company; effective January 1, 2021, Gulf Power Company merged with and into Florida Power and Light Company, with Florida Power and Light Company remaining as the surviving company

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DEFINITIONS

(continued)

Term	Meaning
Heating Degree Days	A measure of weather, calculated when the average daily temperatures are less than 65 degrees Fahrenheit
Heating Season	The period from November through March when Southern Company Gas' natural gas usage and operating revenues are generally higher
HLBV	Hypothetical liquidation at book value
IGCC	Integrated coal gasification combined cycle, the technology originally approved for Mississippi Power's Kemper County energy facility
IIC	Intercompany Interchange Contract
IRP	Integrated resource plan
ITAAC	Inspections, Tests, Analyses, and Acceptance Criteria, standards established by the NRC
ITC	Investment tax credit
JEA	Jacksonville Electric Authority
KWH	Kilowatt-hour
LIBOR	London Interbank Offered Rate
LIFO	Last-in, first-out
LOCOM	Lower of weighted average cost or current market price
LTSA	Long-term service agreement
MEAG Power	Municipal Electric Authority of Georgia
Mississippi Power	Mississippi Power Company
mmBtu	Million British thermal units
Moody's	Moody's Investors Service, Inc.
MRA	Municipal and Rural Associations
MW	Megawatt
natural gas distribution utilities	Southern Company Gas' natural gas distribution utilities (Nicor Gas, Atlanta Gas Light, Virginia Natural Gas, and Chattanooga Gas)
NCCR	Georgia Power's Nuclear Construction Cost Recovery tariff
NDR	Alabama Power's Natural Disaster Reserve
Nicor Gas	Northern Illinois Gas Company, a wholly-owned subsidiary of Southern Company Gas
N/M	Not meaningful
NRC	U.S. Nuclear Regulatory Commission
NYMEX	New York Mercantile Exchange, Inc.
OCI	Other comprehensive income
OPC	Oglethorpe Power Corporation (an electric membership corporation)
PennEast Pipeline	PennEast Pipeline Company, LLC, a joint venture in which Southern Company Gas has a 20% ownership interest
PEP	Mississippi Power's Performance Evaluation Plan
PowerSecure	PowerSecure, Inc., a wholly-owned subsidiary of Southern Company
PPA	Power purchase agreements, as well as, for Southern Power, contracts for differences that provide the owner of a renewable facility a certain fixed price for the electricity sold to the grid
PSC	Public Service Commission
PTC	Production tax credit
Rate CNP	Alabama Power's Rate Certificated New Plant, consisting of Rate CNP New Plant, Rate CNP Compliance, and Rate CNP PPA
Rate ECR	Alabama Power's Rate Energy Cost Recovery
Rate NDR	Alabama Power's Rate Natural Disaster Reserve
Rate RSE	Alabama Power's Rate Stabilization and Equalization

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DEFINITIONS

(continued)

Term	Meaning
Registrants	Southern Company, Alabama Power, Georgia Power, Mississippi Power, Southern Power Company, and Southern Company Gas
ROE	Return on equity
S&P	S&P Global Ratings, a division of S&P Global Inc.
SAVE	Steps to Advance Virginia's Energy, an infrastructure replacement program at Virginia Natural Gas
SCS	Southern Company Services, Inc., the Southern Company system service company and a wholly-owned subsidiary of Southern Company
SEC	U.S. Securities and Exchange Commission
SEGCO	Southern Electric Generating Company, 50% owned by each of Alabama Power and Georgia Power
Sequent	Sequent Energy Management, L.P. and Sequent Energy Canada Corp., wholly-owned subsidiaries of Southern Company Gas through June 30, 2021
SNG	Southern Natural Gas Company, L.L.C., a pipeline system in which Southern Company Gas has a 50% ownership interest
SOFR	Secured Overnight Financing Rate
Southern Company	The Southern Company
Southern Company Gas	Southern Company Gas and its subsidiaries
Southern Company Gas Capital	Southern Company Gas Capital Corporation, a 100%-owned subsidiary of Southern Company Gas
Southern Company power pool	The operating arrangement whereby the integrated generating resources of the traditional electric operating companies and Southern Power (excluding subsidiaries) are subject to joint commitment and dispatch in order to serve their combined load obligations
Southern Company system	Southern Company, the traditional electric operating companies, Southern Power, Southern Company Gas, SEGCO, Southern Nuclear, SCS, Southern Communications Services, Inc., PowerSecure, and other subsidiaries
Southern Holdings	Southern Company Holdings, Inc., a wholly-owned subsidiary of Southern Company
Southern Nuclear	Southern Nuclear Operating Company, Inc., a wholly-owned subsidiary of Southern Company
Southern Power	Southern Power Company and its subsidiaries
SouthStar	SouthStar Energy Services, LLC (a Marketer), a wholly-owned subsidiary of Southern Company Gas
SP Solar	SP Solar Holdings I, LP, a limited partnership indirectly owning substantially all of Southern Power's solar and battery energy storage facilities, in which Southern Power has a 67% ownership interest
SP Wind	SP Wind Holdings II, LLC, a holding company owning a portfolio of eight operating wind facilities, in which Southern Power is the controlling partner in a tax equity arrangement
Subsidiary Registrants	Alabama Power, Georgia Power, Mississippi Power, Southern Power, and Southern Company Gas
Toshiba	Toshiba Corporation, the parent company of Westinghouse
traditional electric operating companies	Alabama Power, Georgia Power, and Mississippi Power
VCM	Vogtle Construction Monitoring
VIE	Variable interest entity
Virginia Commission	Virginia State Corporation Commission
Virginia Natural Gas	Virginia Natural Gas, Inc., a wholly-owned subsidiary of Southern Company Gas
Vogtle 3 and 4 Agreement	Agreement entered into with the EPC Contractor in 2008 by Georgia Power, acting for itself and as agent for the Vogtle Owners, and rejected in bankruptcy in July 2017, pursuant to which the EPC Contractor agreed to design, engineer, procure, construct, and test Plant Vogtle Units 3 and 4
Vogtle Owners	Georgia Power, OPC, MEAG Power, and Dalton

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DEFINITIONS

(continued)

Term	Meaning
Vogtle Services Agreement	The June 2017 services agreement between the Vogtle Owners and the EPC Contractor, as amended and restated in July 2017, for the EPC Contractor to transition construction management of Plant Vogtle Units 3 and 4 to Southern Nuclear and to provide ongoing design, engineering, and procurement services to Southern Nuclear
WACOG	Weighted average cost of gas
Westinghouse	Westinghouse Electric Company LLC

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CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING INFORMATION

This Quarterly Report on Form 10-Q contains forward-looking statements. Forward-looking statements include, among other things, statements concerning the potential and expected effects of the continued COVID-19 pandemic, regulated rates, the strategic goals for the business, customer and sales growth, economic conditions, cost recovery and other rate actions, projected equity ratios, current and proposed environmental regulations and related compliance plans and estimated expenditures, pending or potential litigation matters, access to sources of capital, financing activities, completion dates and costs of construction projects, matters related to the abandonment of the Kemper IGCC, completion of announced dispositions, filings with state and federal regulatory authorities, and estimated construction plans and expenditures. In some cases, forward-looking statements can be identified by terminology such as "may," "will," "could," "would," "should," "expects," "plans," "anticipates," "believes," "estimates," "projects," "predicts," "potential," or "continue" or the negative of these terms or other similar terminology. There are various factors that could cause actual results to differ materially from those suggested by the forward-looking statements; accordingly, there can be no assurance that such indicated results will be realized. These factors include:

•the impact of recent and future federal and state regulatory changes, including tax, environmental, and other laws and regulations to which Southern Company and its subsidiaries are subject, as well as changes in application of existing laws and regulations;

•the potential effects of the continued COVID-19 pandemic, including, but not limited to, those described in Item 1A "Risk Factors" of the Form 10-K;

•the extent and timing of costs and legal requirements related to CCR;

•current and future litigation or regulatory investigations, proceedings, or inquiries, including litigation and other disputes related to the Kemper County energy facility and Plant Vogtle Units 3 and 4;

•the effects, extent, and timing of the entry of additional competition in the markets in which Southern Company's subsidiaries operate, including from the development and deployment of alternative energy sources;

•variations in demand for electricity and natural gas;

•available sources and costs of natural gas and other fuels and commodities;

•the ability to complete necessary or desirable pipeline expansion or infrastructure projects, limits on pipeline capacity, and operational interruptions to natural gas distribution and transmission activities;

•transmission constraints;

•effects of inflation;

•the ability to control costs and avoid cost and schedule overruns during the development, construction, and operation of facilities or other projects, including Plant Vogtle Units 3 and 4 (which includes components based on new technology that only within the last few years began initial operation in the global nuclear industry at this scale) and Plant Barry Unit 8, due to current and/or future challenges which include, but are not limited to, changes in labor costs, availability, and productivity; challenges with management of contractors or vendors; subcontractor performance; adverse weather conditions; shortages, delays, increased costs, or inconsistent quality of equipment, materials, and labor; contractor or supplier delay; delays due to judicial or regulatory action; nonperformance under construction, operating, or other agreements; operational readiness, including specialized operator training and required site safety programs; engineering or design problems or any remediation related thereto; design and other licensing-based compliance matters, including, for Plant Vogtle Unit 4, inspections and the timely submittal by Southern Nuclear of the ITAAC documentation and the related investigations, reviews, and approvals by the NRC necessary to support NRC authorization to load fuel; challenges with start-up activities, including major equipment failure, or system integration; and/or operational performance; and challenges related to the COVID-19 pandemic;

•the ability to overcome or mitigate the current challenges at Plant Vogtle Units 3 and 4, as described in Note (B) to the Condensed Financial Statements under "Georgia Power – Nuclear Construction" in Item 1 herein, that could further impact the cost and schedule for the project;

•legal proceedings and regulatory approvals and actions related to construction projects, such as Plant Vogtle Units 3 and 4 and Plant Barry Unit 8, including PSC approvals and FERC and NRC actions;

•under certain specified circumstances, a decision by holders of more than 10% of the ownership interests of Plant Vogtle Units 3 and 4 not to proceed with construction;

•the ability of certain other Vogtle Owners to tender a portion of their ownership interests to Georgia Power following certain construction cost increases, including the purported exercises by OPC and Dalton of their tender options and related litigation;

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CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING INFORMATION

(continued)

•in the event Georgia Power becomes obligated to provide funding to MEAG Power with respect to the portion of MEAG Power's ownership interest in Plant Vogtle Units 3 and 4 involving JEA, any inability of Georgia Power to receive repayment of such funding;

•the ability to construct facilities in accordance with the requirements of permits and licenses (including satisfaction of NRC requirements), to satisfy any environmental performance standards and the requirements of tax credits and other incentives, and to integrate facilities into the Southern Company system upon completion of construction;

•investment performance of the employee and retiree benefit plans and nuclear decommissioning trust funds;

•advances in technology, including the pace and extent of development of low- to no-carbon energy and battery energy storage technologies and negative carbon concepts;

•performance of counterparties under ongoing renewable energy partnerships and development agreements;

•state and federal rate regulations and the impact of pending and future rate cases and negotiations, including rate actions relating to ROE, equity ratios, additional generating capacity, and fuel and other cost recovery mechanisms;

•the ability to successfully operate the traditional electric operating companies' and SEGCO's generation, transmission, and distribution facilities, Southern Power's generation facilities, and Southern Company Gas' natural gas distribution and storage facilities and the successful performance of necessary corporate functions;

•the inherent risks involved in operating and constructing nuclear generating facilities;

•the inherent risks involved in transporting and storing natural gas;

•the performance of projects undertaken by the non-utility businesses and the success of efforts to invest in and develop new opportunities;

•internal restructuring or other restructuring options that may be pursued;

•potential business strategies, including acquisitions or dispositions of assets or businesses, which cannot be assured to be completed or beneficial to Southern Company or its subsidiaries;

•the ability of counterparties of Southern Company and its subsidiaries to make payments as and when due and to perform as required;

•the ability to obtain new short- and long-term contracts with wholesale customers;

•the direct or indirect effect on the Southern Company system's business resulting from cyber intrusion or physical attack and the threat of physical attacks;

•interest rate fluctuations and financial market conditions and the results of financing efforts;

•access to capital markets and other financing sources;

•changes in Southern Company's and any of its subsidiaries' credit ratings;

•the replacement of LIBOR with an alternative reference rate;

•the ability of the traditional electric operating companies to obtain additional generating capacity (or sell excess generating capacity) at competitive prices;

•catastrophic events such as fires, earthquakes, explosions, floods, tornadoes, hurricanes and other storms, droughts, pandemic health events, political unrest, wars, or other similar occurrences;

•the direct or indirect effects on the Southern Company system's business resulting from incidents affecting the U.S. electric grid, natural gas pipeline infrastructure, or operation of generating or storage resources;

•impairments of goodwill or long-lived assets;

•the effect of accounting pronouncements issued periodically by standard-setting bodies; and

•other factors discussed elsewhere herein and in other reports (including the Form 10-K) filed by the Registrants from time to time with the SEC.

The Registrants expressly disclaim any obligation to update any forward-looking statements.

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PART I

Item 1. Financial Statements (Unaudited).

	Page
The Southern Company and Subsidiary Companies:
Condensed Consolidated Statements of Income	11
Condensed Consolidated Statements of Comprehensive Income	12
Condensed Consolidated Statements of Cash Flows	13
Condensed Consolidated Balance Sheets	14
Condensed Consolidated Statements of Stockholders' Equity	16
Alabama Power Company:
Condensed Statements of Income	18
Condensed Statements of Comprehensive Income	18
Condensed Statements of Cash Flows	19
Condensed Balance Sheets	20
Condensed Statements of Common Stockholder's Equity	22
Georgia Power Company:
Condensed Statements of Income	23
Condensed Statements of Comprehensive Income	23
Condensed Statements of Cash Flows	24
Condensed Balance Sheets	25
Condensed Statements of Common Stockholder's Equity	27
Mississippi Power Company:
Condensed Statements of Income	28
Condensed Statements of Comprehensive Income	28
Condensed Statements of Cash Flows	29
Condensed Balance Sheets	30
Condensed Statements of Common Stockholder's Equity	32
Southern Power Company and Subsidiary Companies:
Condensed Consolidated Statements of Income	33
Condensed Consolidated Statements of Comprehensive Income	33
Condensed Consolidated Statements of Cash Flows	34
Condensed Consolidated Balance Sheets	35
Condensed Consolidated Statements of Stockholders' Equity	37
Southern Company Gas and Subsidiary Companies:
Condensed Consolidated Statements of Income	39
Condensed Consolidated Statements of Comprehensive Income	39
Condensed Consolidated Statements of Cash Flows	40
Condensed Consolidated Balance Sheets	41
Condensed Consolidated Statements of Stockholder's Equity	43
Combined Notes to the Condensed Financial Statements	44

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THE SOUTHERN COMPANY AND SUBSIDIARY COMPANIES

CONDENSED CONSOLIDATED STATEMENTS OF INCOME (UNAUDITED)

	For the Three Months Ended September 30,				For the Nine Months Ended September 30,
	2022		2021		2022		2021
	(in millions)				(in millions)
Operating Revenues:
Retail electric revenues	$	5,961	$	4,551	$	14,363	$	11,492
Wholesale electric revenues	1,197		731		2,798		1,822
Other electric revenues	185		179		554		525
Natural gas revenues (includes alternative revenue programs of     $(1), $(1), $—, and $3, respectively)	857		623		3,998		2,994
Other revenues	178		154		519		513
Total operating revenues	8,378		6,238		22,232		17,346
Operating Expenses:
Fuel	2,423		1,234		5,249		2,930
Purchased power	645		288		1,285		712
Cost of natural gas	294		129		1,840		943
Cost of other sales	92		71		275		255
Other operations and maintenance	1,547		1,446		4,621		4,257
Depreciation and amortization	922		896		2,728		2,658
Taxes other than income taxes	352		312		1,073		969
Estimated loss on Plant Vogtle Units 3 and 4	(70)		264		(18)		772
Gain on dispositions, net	(20)		(125)		(53)		(179)
Total operating expenses	6,185		4,515		17,000		13,317
Operating Income	2,193		1,723		5,232		4,029
Other Income and (Expense):
Allowance for equity funds used during construction	59		49		163		140
Earnings from equity method investments	28		30		109		35
Interest expense, net of amounts capitalized	(511)		(451)		(1,461)		(1,352)
Other income (expense), net	132		131		414		290
Total other income and (expense)	(292)		(241)		(775)		(887)
Earnings Before Income Taxes	1,901		1,482		4,457		3,142
Income taxes	414		372		891		550
Consolidated Net Income	1,487		1,110		3,566		2,592
Dividends on preferred stock of subsidiaries	3		4		10		11
Net income (loss) attributable to noncontrolling interests	12		5		(55)		(27)
Consolidated Net Income Attributable to    Southern Company	$	1,472	$	1,101	$	3,611	$	2,608
Common Stock Data:
Earnings per share -
Basic	$	1.36	$	1.04	$	3.38	$	2.46
Diluted	$	1.35	$	1.03	$	3.36	$	2.44
Average number of shares of common stock outstanding (in millions)
Basic	1,082		1,061		1,070		1,060
Diluted	1,088		1,068		1,076		1,067

The accompanying notes as they relate to Southern Company are an integral part of these condensed consolidated financial statements.

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THE SOUTHERN COMPANY AND SUBSIDIARY COMPANIES

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (UNAUDITED)

	For the Three Months Ended September 30,				For the Nine Months Ended September 30,
	2022		2021		2022		2021
	(in millions)				(in millions)
Consolidated Net Income	$	1,487	$	1,110	$	3,566	$	2,592
Other comprehensive income:
Qualifying hedges:
Changes in fair value, net of tax of     $2, $1, $(5), and $(4), respectively	—		1		(27)		(15)
Reclassification adjustment for amounts included in net income,    net of tax of $8, $10, $32, and $27, respectively	26		31		100		81
Pension and other postretirement benefit plans:
Reclassification adjustment for amounts included in net income,    net of tax of $1, $1, $3, and $4, respectively	2		4		8		10
Total other comprehensive income	28		36		81		76
Comprehensive Income	1,515		1,146		3,647		2,668
Dividends on preferred stock of subsidiaries	3		4		10		11
Comprehensive income (loss) attributable to noncontrolling interests	12		5		(55)		(27)
Consolidated Comprehensive Income Attributable to    Southern Company	$	1,500	$	1,137	$	3,692	$	2,684

The accompanying notes as they relate to Southern Company are an integral part of these condensed consolidated financial statements.

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THE SOUTHERN COMPANY AND SUBSIDIARY COMPANIES

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED)

	For the Nine Months Ended September 30,
	2022		2021
	(in millions)
Operating Activities:
Consolidated net income	$	3,566	$	2,592
Adjustments to reconcile consolidated net income to net cash provided from operating activities —
Depreciation and amortization, total	3,084		2,944
Deferred income taxes	608		89
Utilization of federal investment tax credits	266		256
Allowance for equity funds used during construction	(163)		(140)
Mark-to-market adjustments	(33)		147
Pension, postretirement, and other employee benefits	(322)		(218)
Settlement of asset retirement obligations	(314)		(341)
Stock based compensation expense	116		134
Estimated loss on Plant Vogtle Units 3 and 4	(18)		772
Storm damage accruals	160		166
Gain on dispositions, net	(41)		(171)
Natural gas cost under recovery – long-term	207		(79)
Retail fuel cost under recovery – long-term	(1,701)		(209)
Other, net	(45)		156
Changes in certain current assets and liabilities —
-Receivables	(327)		2
-Materials and supplies	(138)		(91)
-Natural gas for sale, net of temporary LIFO liquidation	(136)		20
-Natural gas cost under recovery	(124)		(432)
-Other current assets	(343)		(180)
-Accounts payable	805		(45)
-Accrued taxes	167		288
-Accrued compensation	(123)		(93)
-Accrued interest	(101)		(110)
-Retail fuel cost over recovery	(1)		(150)
-Other current liabilities	(32)		(226)
Net cash provided from operating activities	5,017		5,081
Investing Activities:
Business acquisitions, net of cash acquired	—		(345)
Property additions	(5,502)		(5,222)
Nuclear decommissioning trust fund purchases	(858)		(1,301)
Nuclear decommissioning trust fund sales	854		1,297
Proceeds from dispositions	120		160
Cost of removal, net of salvage	(518)		(282)
Payments pursuant to LTSAs	(121)		(145)
Other investing activities	73		(12)
Net cash used for investing activities	(5,952)		(5,850)
Financing Activities:
Decrease in notes payable, net	(349)		(203)
Proceeds —
Long-term debt	3,800		6,793
Short-term borrowings	1,200		325
Common stock	1,803		62
Redemptions and repurchases —
Long-term debt	(1,932)		(3,060)
Short-term borrowings	(900)		(25)
Capital contributions from noncontrolling interests	73		415
Distributions to noncontrolling interests	(175)		(204)
Payment of common stock dividends	(2,166)		(2,077)
Other financing activities	(235)		(224)
Net cash provided from financing activities	1,119		1,802
Net Change in Cash, Cash Equivalents, and Restricted Cash	184		1,033
Cash, Cash Equivalents, and Restricted Cash at Beginning of Period	1,829		1,068
Cash, Cash Equivalents, and Restricted Cash at End of Period	$	2,013	$	2,101
Supplemental Cash Flow Information:
Cash paid during the period for —
Interest (net of $74 and $68 capitalized for 2022 and 2021, respectively)	$	1,425	$	1,417
Income taxes, net	160		92
Noncash transactions —
Accrued property additions at end of period	872		915
Contributions from noncontrolling interests	—		89
Contributions of wind turbine equipment	—		82
Right-of-use assets obtained under leases	141		92
Reassessment of right-of-use assets under operating leases	40		—

The accompanying notes as they relate to Southern Company are an integral part of these condensed consolidated financial statements.

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THE SOUTHERN COMPANY AND SUBSIDIARY COMPANIES

CONDENSED CONSOLIDATED BALANCE SHEETS (UNAUDITED)

Assets	At September 30, 2022		At December 31, 2021
	(in millions)
Current Assets:
Cash and cash equivalents	$	2,009	$	1,798
Receivables —
Customer accounts	2,223		1,806
Unbilled revenues	593		711
Other accounts and notes	533		523
Accumulated provision for uncollectible accounts	(80)		(78)
Materials and supplies	1,657		1,543
Fossil fuel for generation	526		450
Natural gas for sale	498		362
Prepaid expenses	373		330
Assets from risk management activities, net of collateral	289		151
Regulatory assets – asset retirement obligations	284		219
Natural gas cost under recovery	390		266
Other regulatory assets	746		653
Other current assets	322		231
Total current assets	10,363		8,965
Property, Plant, and Equipment:
In service	116,236		115,592
Less: Accumulated depreciation	34,922		34,079
Plant in service, net of depreciation	81,314		81,513
Other utility plant, net	602		—
Nuclear fuel, at amortized cost	840		824
Construction work in progress	10,773		8,771
Total property, plant, and equipment	93,529		91,108
Other Property and Investments:
Goodwill	5,280		5,280
Nuclear decommissioning trusts, at fair value	2,031		2,542
Equity investments in unconsolidated subsidiaries	1,292		1,282
Other intangible assets, net of amortization of $331 and $307, respectively	415		445
Miscellaneous property and investments	590		653
Total other property and investments	9,608		10,202
Deferred Charges and Other Assets:
Operating lease right-of-use assets, net of amortization	1,560		1,701
Deferred charges related to income taxes	854		824
Prepaid pension costs	2,019		1,657
Unamortized loss on reacquired debt	243		258
Deferred under recovered fuel clause revenues	1,697		410
Regulatory assets – asset retirement obligations, deferred	6,519		5,466
Other regulatory assets, deferred	6,121		5,577
Other deferred charges and assets	1,492		1,366
Total deferred charges and other assets	20,505		17,259
Total Assets	$	134,005	$	127,534

The accompanying notes as they relate to Southern Company are an integral part of these condensed consolidated financial statements.

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THE SOUTHERN COMPANY AND SUBSIDIARY COMPANIES

CONDENSED CONSOLIDATED BALANCE SHEETS (UNAUDITED)

Liabilities and Stockholders' Equity	At September 30, 2022		At December 31, 2021
	(in millions)
Current Liabilities:
Securities due within one year	$	3,241	$	2,157
Notes payable	1,398		1,440
Accounts payable	3,079		2,169
Customer deposits	516		479
Accrued taxes —
Accrued income taxes	129		50
Other accrued taxes	882		641
Accrued interest	431		533
Accrued compensation	961		1,070
Asset retirement obligations	689		697
Operating lease obligations	191		250
Other regulatory liabilities	440		563
Other current liabilities	844		872
Total current liabilities	12,801		10,921
Long-term Debt	50,427		50,120
Deferred Credits and Other Liabilities:
Accumulated deferred income taxes	9,916		8,862
Deferred credits related to income taxes	5,271		5,401
Accumulated deferred ITCs	2,154		2,216
Employee benefit obligations	1,466		1,550
Operating lease obligations, deferred	1,393		1,503
Asset retirement obligations, deferred	11,007		10,990
Other cost of removal obligations	1,950		2,103
Other regulatory liabilities, deferred	536		485
Other deferred credits and liabilities	1,366		816
Total deferred credits and other liabilities	35,059		33,926
Total Liabilities	98,287		94,967
Redeemable Preferred Stock of Subsidiaries	242		291
Total Stockholders' Equity (See accompanying statements)	35,476		32,276
Total Liabilities and Stockholders' Equity	$	134,005	$	127,534

The accompanying notes as they relate to Southern Company are an integral part of these condensed consolidated financial statements.

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SOUTHERN COMPANY AND SUBSIDIARY COMPANIES

CONDENSED CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY (UNAUDITED)

	Southern Company Common Stockholders' Equity
	Number of Common Shares		Common Stock								Accumulated Other Comprehensive Income (Loss)
	Issued	Treasury	Par Value		Paid-In Capital		Treasury		Retained Earnings				Noncontrolling Interests		Total
	(in millions)
Balance at December 31, 2020	1,058	(1)	$	5,268	$	11,834	$	(46)	$	11,311	$	(395)	$	4,262	$	32,234
Consolidated net income (loss)	—	—	—		—		—		1,135		—		(32)		1,103
Other comprehensive income	—	—	—		—		—		—		28		—		28
Stock issued	2	—	5		9		—		—		—		—		14
Stock-based compensation	—	—	—		9		—		—		—		—		9
Cash dividends of $0.64 per share	—	—	—		—		—		(678)		—		—		(678)
Capital contributions from    noncontrolling interests	—	—	—		—		—		—		—		403		403
Distributions to noncontrolling interests	—	—	—		—		—		—		—		(46)		(46)
Other	—	—	—		2		—		—		—		(1)		1
Balance at March 31, 2021	1,060	(1)	5,273		11,854		(46)		11,768		(367)		4,586		33,068
Consolidated net income	—	—	—		—		—		372		—		—		372
Other comprehensive income	—	—	—		—		—		—		12		—		12
Stock issued	—	—	1		9		—		—		—		—		10
Stock-based compensation	—	—	—		22		—		—		—		—		22
Cash dividends of $0.66 per share	—	—	—		—		—		(699)		—		—		(699)
Capital contributions from    noncontrolling interests	—	—	—		—		—		—		—		29		29
Distributions to noncontrolling interests	—	—	—		—		—		—		—		(68)		(68)
Other	—	—	—		1		(2)		1		—		—		—
Balance at June 30, 2021	1,060	(1)	5,274		11,886		(48)		11,442		(355)		4,547		32,746
Consolidated net income	—	—	—		—		—		1,101		—		5		1,106
Other comprehensive income	—	—	—		—		—		—		36		—		36
Stock issued	1	—	4		34		—		—		—		—		38
Stock-based compensation	—	—	—		22		—		—		—		—		22
Cash dividends of $0.66 per share	—	—	—		—		—		(700)		—		—		(700)
Capital contributions from    noncontrolling interests	—	—	—		—		—		—		—		72		72
Distributions to noncontrolling interests	—	—	—		—		—		—		—		(94)		(94)
Other	—	—	—		(10)		2		1		—		—		(7)
Balance at September 30, 2021	1,061	(1)	$	5,278	$	11,932	$	(46)	$	11,844	$	(319)	$	4,530	$	33,219

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SOUTHERN COMPANY AND SUBSIDIARY COMPANIES

CONDENSED CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY (UNAUDITED)

	Southern Company Common Stockholders' Equity
	Number of Common Shares		Common Stock								Accumulated Other Comprehensive Income (Loss)
	Issued	Treasury	Par Value		Paid-In Capital		Treasury		Retained Earnings				Noncontrolling Interests		Total
	(in millions)
Balance at December 31, 2021	1,061	(1)	$	5,279	$	11,950	$	(47)	$	10,929	$	(237)	$	4,402	$	32,276
Consolidated net income (loss)	—	—	—		—		—		1,032		—		(45)		987
Other comprehensive income	—	—	—		—		—		—		42		—		42
Stock issued	3	—	7		31		—		—		—		—		38
Stock-based compensation	—	—	—		6		—		—		—		—		6
Cash dividends of $0.66 per share	—	—	—		—		—		(702)		—		—		(702)
Capital contributions from    noncontrolling interests	—	—	—		—		—		—		—		73		73
Distributions to noncontrolling interests	—	—	—		—		—		—		—		(98)		(98)
Other	—	—	—		7		(2)		2		—		—		7
Balance at March 31, 2022	1,064	(1)	5,286		11,994		(49)		11,261		(195)		4,332		32,629
Consolidated net income (loss)	—	—	—		—		—		1,107		—		(22)		1,085
Other comprehensive income	—	—	—		—		—		—		11		—		11
Stock issued	—	—	2		21		—		—		—		—		23
Stock-based compensation	—	—	—		14		—		—		—		—		14
Cash dividends of $0.68 per share	—	—	—		—		—		(723)		—		—		(723)
Distributions to noncontrolling interests	—	—	—		—		—		—		—		(28)		(28)
Other	—	—	—		4		(2)		—		—		—		2
Balance at June 30, 2022	1,064	(1)	5,288		12,033		(51)		11,645		(184)		4,282		33,013
Consolidated net income	—	—	—		—		—		1,472		—		12		1,484
Other comprehensive income	—	—	—		—		—		—		28		—		28
Stock issued	26	—	129		1,613		—		—		—		—		1,742
Stock-based compensation	—	—	—		15		—		—		—		—		15
Cash dividends of $0.68 per share	—	—	—		—		—		(741)		—		—		(741)
Distributions to noncontrolling interests	—	—	—		—		—		—		—		(57)		(57)
Other	—	—	—		(4)		(1)		(2)		(1)		—		(8)
Balance at September 30, 2022	1,090	(1)	$	5,417	$	13,657	$	(52)	$	12,374	$	(157)	$	4,237	$	35,476

The accompanying notes as they relate to Southern Company are an integral part of these condensed consolidated financial statements.

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ALABAMA POWER COMPANY

CONDENSED STATEMENTS OF INCOME (UNAUDITED)

	For the Three Months Ended September 30,				For the Nine Months Ended September 30,
	2022		2021		2022		2021
	(in millions)				(in millions)
Operating Revenues:
Retail revenues	$	2,008	$	1,651	$	5,015	$	4,357
Wholesale revenues, non-affiliates	250		107		522		285
Wholesale revenues, affiliates	70		53		170		109
Other revenues	116		93		316		268
Total operating revenues	2,444		1,904		6,023		5,019
Operating Expenses:
Fuel	666		373		1,399		927
Purchased power, non-affiliates	185		76		347		173
Purchased power, affiliates	113		45		260		114
Other operations and maintenance	418		401		1,270		1,175
Depreciation and amortization	220		214		652		640
Taxes other than income taxes	106		99		309		303
Total operating expenses	1,708		1,208		4,237		3,332
Operating Income	736		696		1,786		1,687
Other Income and (Expense):
Allowance for equity funds used during construction	18		14		51		38
Interest expense, net of amounts capitalized	(98)		(84)		(278)		(252)
Other income (expense), net	38		29		101		93
Total other income and (expense)	(42)		(41)		(126)		(121)
Earnings Before Income Taxes	694		655		1,660		1,566
Income taxes	166		152		394		366
Net Income	528		503		1,266		1,200
Dividends on Preferred Stock	3		4		10		11
Net Income After Dividends on Preferred Stock	$	525	$	499	$	1,256	$	1,189

CONDENSED STATEMENTS OF COMPREHENSIVE INCOME (UNAUDITED)

	For the Three Months Ended September 30,				For the Nine Months Ended September 30,
	2022		2021		2022		2021
	(in millions)				(in millions)
Net Income	$	528	$	503	$	1,266	$	1,200
Other comprehensive income:
Qualifying hedges:
Changes in fair value, net of tax of     $—, $1, $—, and $1, respectively	1		4		(1)		3
Reclassification adjustment for amounts included in net income,    net of tax of $—, $—, $1, and $1, respectively	1		1		3		3
Total other comprehensive income	2		5		2		6
Comprehensive Income	$	530	$	508	$	1,268	$	1,206

The accompanying notes as they relate to Alabama Power are an integral part of these condensed financial statements.

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ALABAMA POWER COMPANY

CONDENSED STATEMENTS OF CASH FLOWS (UNAUDITED)

	For the Nine Months Ended September 30,
	2022		2021
	(in millions)
Operating Activities:
Net income	$	1,266	$	1,200
Adjustments to reconcile net income to net cash provided from operating activities —
Depreciation and amortization, total	817		748
Deferred income taxes	210		104
Pension, postretirement, and other employee benefits	(85)		(74)
Settlement of asset retirement obligations	(139)		(152)
Retail fuel cost under recovery – long-term	(413)		—
Other, net	(98)		(51)
Changes in certain current assets and liabilities —
-Receivables	(296)		(128)
-Fossil fuel stock	(40)		91
-Prepayments	(34)		(24)
-Retail fuel cost under recovery	(93)		(79)
-Other current assets	(41)		(32)
-Accounts payable	(22)		(230)
-Accrued taxes	110		178
-Other current liabilities	(70)		(132)
Net cash provided from operating activities	1,072		1,419
Investing Activities:
Property additions	(1,483)		(1,235)
Nuclear decommissioning trust fund purchases	(273)		(536)
Nuclear decommissioning trust fund sales	273		536
Cost of removal, net of salvage	(163)		(93)
Other investing activities	5		(7)
Net cash used for investing activities	(1,641)		(1,335)
Financing Activities:
Proceeds — Senior notes	1,700		600
Redemptions —
Senior notes	(550)		(200)
Other long-term debt	—		(206)
Capital contributions from parent company	660		630
Payment of common stock dividends	(762)		(738)
Other financing activities	(81)		(30)
Net cash provided from financing activities	967		56
Net Change in Cash, Cash Equivalents, and Restricted Cash	398		140
Cash, Cash Equivalents, and Restricted Cash at Beginning of Period	1,060		530
Cash, Cash Equivalents, and Restricted Cash at End of Period	$	1,458	$	670
Supplemental Cash Flow Information:
Cash paid during the period for —
Interest (net of $14 and $11 capitalized for 2022 and 2021, respectively)	$	278	$	246
Income taxes, net	178		183
Noncash transactions —
Accrued property additions at end of period	186		178
Right-of-use assets obtained under leases	9		2

The accompanying notes as they relate to Alabama Power are an integral part of these condensed financial statements.

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ALABAMA POWER COMPANY

CONDENSED BALANCE SHEETS (UNAUDITED)

Assets	At September 30, 2022		At December 31, 2021
	(in millions)
Current Assets:
Cash and cash equivalents	$	1,458	$	1,060
Receivables —
Customer accounts	573		410
Unbilled revenues	146		138
Affiliated	84		37
Other accounts and notes	131		55
Accumulated provision for uncollectible accounts	(13)		(14)
Fossil fuel stock	199		159
Materials and supplies	568		548
Prepaid expenses	67		41
Other regulatory assets	298		208
Other current assets	129		67
Total current assets	3,640		2,709
Property, Plant, and Equipment:
In service	33,042		33,135
Less: Accumulated provision for depreciation	10,393		10,313
Plant in service, net of depreciation	22,649		22,822
Other utility plant, net	602		—
Nuclear fuel, at amortized cost	242		247
Construction work in progress	1,524		1,147
Total property, plant, and equipment	25,017		24,216
Other Property and Investments:
Nuclear decommissioning trusts, at fair value	1,067		1,325
Equity investments in unconsolidated subsidiaries	58		57
Miscellaneous property and investments	128		126
Total other property and investments	1,253		1,508
Deferred Charges and Other Assets:
Operating lease right-of-use assets, net of amortization	70		108
Deferred charges related to income taxes	248		240
Prepaid pension and other postretirement benefit costs	605		513
Regulatory assets – asset retirement obligations	1,952		1,547
Other regulatory assets, deferred	2,048		1,807
Other deferred charges and assets	413		334
Total deferred charges and other assets	5,336		4,549
Total Assets	$	35,246	$	32,982

The accompanying notes as they relate to Alabama Power are an integral part of these condensed financial statements.

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    Table of Contents                                Index to Financial Statements

ALABAMA POWER COMPANY

CONDENSED BALANCE SHEETS (UNAUDITED)

Liabilities and Stockholder's Equity	At September 30, 2022		At December 31, 2021
	(in millions)
Current Liabilities:
Securities due within one year	$	202	$	751
Accounts payable —
Affiliated	401		309
Other	376		459
Customer deposits	106		106
Accrued taxes	209		98
Accrued interest	86		100
Accrued compensation	200		219
Asset retirement obligations	327		320
Other regulatory liabilities	89		215
Other current liabilities	97		125
Total current liabilities	2,093		2,702
Long-term Debt	10,628		8,936
Deferred Credits and Other Liabilities:
Accumulated deferred income taxes	3,829		3,573
Deferred credits related to income taxes	1,930		1,968
Accumulated deferred ITCs	82		88
Employee benefit obligations	171		171
Operating lease obligations	65		66
Asset retirement obligations, deferred	3,987		4,014
Other cost of removal obligations	57		192
Other regulatory liabilities, deferred	226		210
Other deferred credits and liabilities	62		58
Total deferred credits and other liabilities	10,409		10,340
Total Liabilities	23,130		21,978
Redeemable Preferred Stock	242		291
Common Stockholder's Equity (See accompanying statements)	11,874		10,713
Total Liabilities and Stockholder's Equity	$	35,246	$	32,982

The accompanying notes as they relate to Alabama Power are an integral part of these condensed financial statements.

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ALABAMA POWER COMPANY

CONDENSED STATEMENTS OF COMMON STOCKHOLDER'S EQUITY (UNAUDITED)

	Number of Common Shares Issued	Common Stock		Paid-In Capital		Retained Earnings		Accumulated Other Comprehensive Income (Loss)		Total
	(in millions)
Balance at December 31, 2020	31	$	1,222	$	5,413	$	3,194	$	(19)	$	9,810
Net income after dividends on    preferred stock	—	—		—		359		—		359
Capital contributions from parent company	—	—		602		—		—		602
Other comprehensive income	—	—		—		—		1		1
Cash dividends on common stock	—	—		—		(246)		—		(246)
Balance at March 31, 2021	31	1,222		6,015		3,307		(18)		10,526
Net income after dividends on    preferred stock	—	—		—		331		—		331
Capital contributions from parent company	—	—		26		—		—		26
Other comprehensive income	—	—		—		—		1		1
Cash dividends on common stock	—	—		—		(246)		—		(246)
Other	—	—		—		(1)		—		(1)
Balance at June 30, 2021	31	1,222		6,041		3,391		(17)		10,637
Net income after dividends on    preferred stock	—	—		—		499		—		499
Capital contributions from parent company	—	—		9		—		—		9
Other comprehensive income	—	—		—		—		5		5
Cash dividends on common stock	—	—		—		(246)		—		(246)
Other	—	—		—		—		(1)		(1)
Balance at September 30, 2021	31	$	1,222	$	6,050	$	3,644	$	(13)	$	10,903
Balance at December 31, 2021	31	$	1,222	$	6,056	$	3,448	$	(13)	$	10,713
Net income after dividends on    preferred stock	—	—		—		347		—		347
Capital contributions from parent company	—	—		626		—		—		626
Cash dividends on common stock	—	—		—		(254)		—		(254)
Balance at March 31, 2022	31	1,222		6,682		3,541		(13)		11,432
Net income after dividends on    preferred stock	—	—		—		383		—		383
Capital contributions from parent company	—	—		32		—		—		32
Other comprehensive income	—	—		—		—		1		1
Cash dividends on common stock	—	—		—		(254)		—		(254)
Balance at June 30, 2022	31	1,222		6,714		3,670		(12)		11,594
Net income after dividends on    preferred stock	—	—		—		525		—		525
Capital contributions from parent company	—	—		7		—		—		7
Other comprehensive income	—	—		—		—		2		2
Cash dividends on common stock	—	—		—		(254)		—		(254)
Balance at September 30, 2022	31	$	1,222	$	6,721	$	3,941	$	(10)	$	11,874

The accompanying notes as they relate to Alabama Power are an integral part of these condensed financial statements.

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GEORGIA POWER COMPANY

CONDENSED STATEMENTS OF INCOME (UNAUDITED)

	For the Three Months Ended September 30,				For the Nine Months Ended September 30,
	2022		2021		2022		2021
	(in millions)				(in millions)
Operating Revenues:
Retail revenues	$	3,703	$	2,652	$	8,629	$	6,465
Wholesale revenues	56		63		186		143
Other revenues	130		141		403		442
Total operating revenues	3,889		2,856		9,218		7,050
Operating Expenses:
Fuel	841		432		1,887		1,088
Purchased power, non-affiliates	304		173		700		461
Purchased power, affiliates	571		288		1,100		573
Other operations and maintenance	595		544		1,686		1,558
Depreciation and amortization	359		345		1,066		1,025
Taxes other than income taxes	155		130		420		365
Estimated loss on Plant Vogtle Units 3 and 4	(70)		264		(18)		772
Total operating expenses	2,755		2,176		6,841		5,842
Operating Income	1,134		680		2,377		1,208
Other Income and (Expense):
Allowance for equity funds used during construction	37		33		102		94
Interest expense, net of amounts capitalized	(123)		(106)		(347)		(315)
Other income (expense), net	36		42		140		124
Total other income and (expense)	(50)		(31)		(105)		(97)
Earnings Before Income Taxes	1,084		649		2,272		1,111
Income taxes	226		113		421		81
Net Income	$	858	$	536	$	1,851	$	1,030

CONDENSED STATEMENTS OF COMPREHENSIVE INCOME (UNAUDITED)

	For the Three Months Ended September 30,				For the Nine Months Ended September 30,
	2022		2021		2022		2021
	(in millions)				(in millions)
Net Income	$	858	$	536	$	1,851	$	1,030
Other comprehensive income:
Qualifying hedges:
Changes in fair value, net of tax of     $—, $—, $8, and $—, respectively	—		—		23		—
Reclassification adjustment for amounts included in net income,    net of tax of $—, $1, $1, and $2, respectively	1		2		4		5
Total other comprehensive income	1		2		27		5
Comprehensive Income	$	859	$	538	$	1,878	$	1,035

The accompanying notes as they relate to Georgia Power are an integral part of these condensed financial statements.

23

    Table of Contents                                Index to Financial Statements

GEORGIA POWER COMPANY

CONDENSED STATEMENTS OF CASH FLOWS (UNAUDITED)

	For the Nine Months Ended September 30,
	2022		2021
	(in millions)
Operating Activities:
Net income	$	1,851	$	1,030
Adjustments to reconcile net income to net cash provided from operating activities —
Depreciation and amortization, total	1,211		1,164
Deferred income taxes	266		(299)
Utilization of federal investment tax credits	49		19
Allowance for equity funds used during construction	(102)		(94)
Pension, postretirement, and other employee benefits	(178)		(112)
Settlement of asset retirement obligations	(149)		(154)
Storm damage accruals	160		160
Retail fuel cost under recovery – long-term	(1,287)		(203)
Estimated loss on Plant Vogtle Units 3 and 4	(18)		772
Other, net	(71)		70
Changes in certain current assets and liabilities —
-Receivables	(321)		(85)
-Fossil fuel stock	(23)		77
-Materials and supplies	(67)		(60)
-Contract assets	(51)		(32)
-Other current assets	(72)		(20)
-Accounts payable	211		164
-Accrued taxes	151		154
-Retail fuel cost over recovery	—		(113)
-Other current liabilities	(78)		(88)
Net cash provided from operating activities	1,482		2,350
Investing Activities:
Property additions	(2,658)		(2,411)
Nuclear decommissioning trust fund purchases	(585)		(766)
Nuclear decommissioning trust fund sales	581		761
Cost of removal, net of salvage	(250)		(99)
Change in construction payables, net of joint owner portion	148		(68)
Contributions in aid of construction	102		71
Proceeds from dispositions	56		4
Other investing activities	(47)		(64)
Net cash used for investing activities	(2,653)		(2,572)
Financing Activities:
Increase (decrease) in notes payable, net	415		(60)
Proceeds —
Senior notes	1,500		750
Pollution control revenue bonds	—		122
FFB loan	—		371
Short-term borrowings	650		—
Redemptions and repurchases —
Senior notes	(400)		(325)
Pollution control revenue bonds	(53)		(69)
FFB loan	(66)		(75)
Short-term borrowings	(250)		—
Other long-term debt	(125)		—
Capital contributions from parent company	813		1,054
Payment of common stock dividends	(1,268)		(1,237)
Other financing activities	(45)		(26)
Net cash provided from financing activities	1,171		505
Net Change in Cash, Cash Equivalents, and Restricted Cash	—		283
Cash, Cash Equivalents, and Restricted Cash at Beginning of Period	33		9
Cash, Cash Equivalents, and Restricted Cash at End of Period	$	33	$	292
Supplemental Cash Flow Information:
Cash paid during the period for —
Interest (net of $52 and $47 capitalized for 2022 and 2021, respectively)	$	332	$	325
Income taxes, net	151		237
Noncash transactions —
Accrued property additions at end of period	609		477
Right-of-use assets obtained under operating leases	7		(3)
Right-of-use assets obtained under finance leases	112		—

The accompanying notes as they relate to Georgia Power are an integral part of these condensed financial statements.

24

    Table of Contents                                Index to Financial Statements

GEORGIA POWER COMPANY

CONDENSED BALANCE SHEETS (UNAUDITED)

Assets	At September 30, 2022		At December 31, 2021
	(in millions)
Current Assets:
Cash and cash equivalents	$	33	$	33
Receivables —
Customer accounts, net	866		547
Unbilled revenues	267		231
Joint owner accounts	64		116
Affiliated	66		25
Other accounts and notes	30		44
Fossil fuel stock	272		248
Materials and supplies	713		670
Regulatory assets – asset retirement obligations	244		178
Assets from risk management activities	88		48
Other regulatory assets	299		289
Other current assets	212		130
Total current assets	3,154		2,559
Property, Plant, and Equipment:
In service	41,159		41,332
Less: Accumulated provision for depreciation	12,942		12,854
Plant in service, net of depreciation	28,217		28,478
Nuclear fuel, at amortized cost	598		577
Construction work in progress	8,053		6,688
Total property, plant, and equipment	36,868		35,743
Other Property and Investments:
Nuclear decommissioning trusts, at fair value	964		1,217
Equity investments in unconsolidated subsidiaries	51		50
Miscellaneous property and investments	87		69
Total other property and investments	1,102		1,336
Deferred Charges and Other Assets:
Operating lease right-of-use assets, net of amortization	1,034		1,157
Deferred charges related to income taxes	573		550
Prepaid pension costs	697		563
Deferred under recovered fuel clause revenues	1,697		410
Regulatory assets – asset retirement obligations, deferred	4,323		3,688
Other regulatory assets, deferred	2,579		1,964
Other deferred charges and assets	519		491
Total deferred charges and other assets	11,422		8,823
Total Assets	$	52,546	$	48,461

The accompanying notes as they relate to Georgia Power are an integral part of these condensed financial statements.

25

    Table of Contents                                Index to Financial Statements

GEORGIA POWER COMPANY

CONDENSED BALANCE SHEETS (UNAUDITED)

Liabilities and Stockholder's Equity	At September 30, 2022		At December 31, 2021
	(in millions)
Current Liabilities:
Securities due within one year	$	900	$	675
Notes payable	814		—
Accounts payable —
Affiliated	880		757
Other	1,025		702
Customer deposits	254		259
Accrued taxes	486		335
Accrued interest	127		136
Accrued compensation	213		232
Operating lease obligations	148		156
Asset retirement obligations	309		317
Other regulatory liabilities	197		280
Other current liabilities	243		254
Total current liabilities	5,596		4,103
Long-term Debt	13,831		13,109
Deferred Credits and Other Liabilities:
Accumulated deferred income taxes	3,588		3,019
Deferred credits related to income taxes	2,264		2,321
Accumulated deferred ITCs	321		328
Employee benefit obligations	370		402
Operating lease obligations, deferred	854		999
Asset retirement obligations, deferred	6,547		6,507
Other deferred credits and liabilities	518		439
Total deferred credits and other liabilities	14,462		14,015
Total Liabilities	33,889		31,227
Common Stockholder's Equity (See accompanying statements)	18,657		17,234
Total Liabilities and Stockholder's Equity	$	52,546	$	48,461

The accompanying notes as they relate to Georgia Power are an integral part of these condensed financial statements.

26

    Table of Contents                                Index to Financial Statements

GEORGIA POWER COMPANY

CONDENSED STATEMENTS OF COMMON STOCKHOLDER'S EQUITY (UNAUDITED)

	Number of Common Shares Issued	Common Stock		Paid-In Capital		Retained Earnings		Accumulated Other Comprehensive Income (Loss)		Total
	(in millions)
Balance at December 31, 2020	9	$	398	$	12,361	$	3,789	$	(47)	$	16,501
Net income	—	—		—		351		—		351
Capital contributions from parent company	—	—		332		—		—		332
Other comprehensive income	—	—		—		—		2		2
Cash dividends on common stock	—	—		—		(412)		—		(412)
Balance at March 31, 2021	9	398		12,693		3,728		(45)		16,774
Net income	—	—		—		143		—		143
Capital contributions from parent company	—	—		40		—		—		40
Other comprehensive income	—	—		—		—		1		1
Cash dividends on common stock	—	—		—		(412)		—		(412)
Balance at June 30, 2021	9	398		12,733		3,459		(44)		16,546
Net income	—	—		—		536		—		536
Capital contributions from parent company	—	—		690		—		—		690
Other comprehensive income	—	—		—		—		2		2
Cash dividends on common stock	—	—		—		(413)		—		(413)
Balance at September 30, 2021	9	$	398	$	13,423	$	3,582	$	(42)	$	17,361
Balance at December 31, 2021	9	$	398	$	14,153	$	2,724	$	(41)	$	17,234
Net income	—	—		—		385		—		385
Capital contributions from parent company	—	—		443		—		—		443
Other comprehensive income	—	—		—		—		10		10
Cash dividends on common stock	—	—		—		(423)		—		(423)
Balance at March 31, 2022	9	398		14,596		2,686		(31)		17,649
Net income	—	—		—		608		—		608
Capital contributions from parent company	—	—		46		—		—		46
Other comprehensive income	—	—		—		—		16		16
Cash dividends on common stock	—	—		—		(422)		—		(422)
Balance at June 30, 2022	9	398		14,642		2,872		(15)		17,897
Net income	—	—		—		858		—		858
Capital contributions from parent company	—	—		324		—		—		324
Other comprehensive income	—	—		—		—		1		1
Cash dividends on common stock	—	—		—		(423)		—		(423)
Balance at September 30, 2022	9	$	398	$	14,966	$	3,307	$	(14)	$	18,657

The accompanying notes as they relate to Georgia Power are an integral part of these condensed financial statements.

27

    Table of Contents                                Index to Financial Statements

MISSISSIPPI POWER COMPANY

CONDENSED STATEMENTS OF INCOME (UNAUDITED)

	For the Three Months Ended September 30,				For the Nine Months Ended September 30,
	2022		2021		2022		2021
	(in millions)				(in millions)
Operating Revenues:
Retail revenues	$	250	$	248	$	718	$	670
Wholesale revenues, non-affiliates	60		60		191		178
Wholesale revenues, affiliates	187		62		336		120
Other revenues	13		8		34		20
Total operating revenues	510		378		1,279		988
Operating Expenses:
Fuel and purchased power	262		145		601		351
Other operations and maintenance	86		85		252		230
Depreciation and amortization	45		46		135		138
Taxes other than income taxes	32		33		93		96
Total operating expenses	425		309		1,081		815
Operating Income	85		69		198		173
Other Income and (Expense):
Interest expense, net of amounts capitalized	(15)		(16)		(42)		(45)
Other income (expense), net	9		7		32		27
Total other income and (expense)	(6)		(9)		(10)		(18)
Earnings Before Income Taxes	79		60		188		155
Income taxes	17		10		38		22
Net Income	$	62	$	50	$	150	$	133

CONDENSED STATEMENTS OF COMPREHENSIVE INCOME (UNAUDITED)

	For the Three Months Ended September 30,				For the Nine Months Ended September 30,
	2022		2021		2022		2021
	(in millions)				(in millions)
Net Income	$	62	$	50	$	150	$	133
Other comprehensive income:
Qualifying hedges:
Reclassification adjustment for amounts included in net income,    net of tax of $—, $—, $—, and $—, respectively	—		—		—		1
Total other comprehensive income	—		—		—		1
Comprehensive Income	$	62	$	50	$	150	$	134

The accompanying notes as they relate to Mississippi Power are an integral part of these condensed financial statements.

28

    Table of Contents                                Index to Financial Statements

MISSISSIPPI POWER COMPANY

CONDENSED STATEMENTS OF CASH FLOWS (UNAUDITED)

	For the Nine Months Ended September 30,
	2022		2021
	(in millions)
Operating Activities:
Net income	$	150	$	133
Adjustments to reconcile net income to net cash provided from operating activities —
Depreciation and amortization, total	164		161
Settlement of asset retirement obligations	(15)		(18)
Other, net	20		(20)
Changes in certain current assets and liabilities —
-Receivables	(58)		(19)
-Other current assets	(17)		(9)
-Accounts payable	41		(12)
-Accrued taxes	(3)		(20)
-Retail fuel cost over recovery	—		(19)
-Other current liabilities	(3)		(18)
Net cash provided from operating activities	279		159
Investing Activities:
Property additions	(165)		(135)
Construction payables	(9)		(11)
Payments pursuant to LTSAs	(23)		(21)
Other investing activities	(22)		(15)
Net cash used for investing activities	(219)		(182)
Financing Activities:
Decrease in notes payable, net	—		(25)
Proceeds — Senior notes	—		525
Redemptions —
Other revenue bonds	—		(270)
Other long-term debt	—		(75)
Capital contributions from parent company	55		103
Payment of common stock dividends	(128)		(118)
Other financing activities	1		(10)
Net cash provided from (used for) financing activities	(72)		130
Net Change in Cash, Cash Equivalents, and Restricted Cash	(12)		107
Cash, Cash Equivalents, and Restricted Cash at Beginning of Period	61		39
Cash, Cash Equivalents, and Restricted Cash at End of Period	$	49	$	146
Supplemental Cash Flow Information:
Cash paid during the period for —
Interest	$	49	$	53
Income taxes, net	18		11
Noncash transactions — Accrued property additions at end of period	16		23

The accompanying notes as they relate to Mississippi Power are an integral part of these condensed financial statements.

29

    Table of Contents                                Index to Financial Statements

MISSISSIPPI POWER COMPANY

CONDENSED BALANCE SHEETS (UNAUDITED)

Assets	At September 30, 2022		At December 31, 2021
	(in millions)
Current Assets:
Cash and cash equivalents	$	49	$	61
Receivables —
Customer accounts, net	71		37
Unbilled revenues	43		34
Affiliated	39		29
Other accounts and notes	34		28
Fossil fuel stock	37		28
Materials and supplies	80		70
Assets from risk management activities	69		28
Other regulatory assets	60		54
Other current assets	16		13
Total current assets	498		382
Property, Plant, and Equipment:
In service	5,209		5,106
Less: Accumulated provision for depreciation	1,669		1,591
Plant in service, net of depreciation	3,540		3,515
Construction work in progress	168		127
Total property, plant, and equipment	3,708		3,642
Other Property and Investments	171		179
Deferred Charges and Other Assets:
Deferred charges related to income taxes	30		31
Prepaid pension costs	97		79
Regulatory assets – asset retirement obligations	238		232
Other regulatory assets, deferred	271		317
Accumulated deferred income taxes	108		118
Other deferred charges and assets	130		100
Total deferred charges and other assets	874		877
Total Assets	$	5,251	$	5,080

The accompanying notes as they relate to Mississippi Power are an integral part of these condensed financial statements.

30

    Table of Contents                                Index to Financial Statements

MISSISSIPPI POWER COMPANY

CONDENSED BALANCE SHEETS (UNAUDITED)

Liabilities and Stockholder's Equity	At September 30, 2022		At December 31, 2021
	(in millions)
Current Liabilities:
Securities due within one year	$	1	$	1
Accounts payable —
Affiliated	96		81
Other	68		47
Accrued taxes	116		120
Accrued compensation	33		36
Asset retirement obligations	20		30
Other regulatory liabilities	102		59
Other current liabilities	80		65
Total current liabilities	516		439
Long-term Debt	1,509		1,510
Deferred Credits and Other Liabilities:
Accumulated deferred income taxes	465		464
Deferred credits related to income taxes	258		269
Employee benefit obligations	86		88
Asset retirement obligations, deferred	162		160
Other cost of removal obligations	197		195
Other regulatory liabilities, deferred	87		64
Other deferred credits and liabilities	25		24
Total deferred credits and other liabilities	1,280		1,264
Total Liabilities	3,305		3,213
Common Stockholder's Equity (See accompanying statements)	1,946		1,867
Total Liabilities and Stockholder's Equity	$	5,251	$	5,080

The accompanying notes as they relate to Mississippi Power are an integral part of these condensed financial statements.

31

    Table of Contents                                Index to Financial Statements

MISSISSIPPI POWER COMPANY

CONDENSED STATEMENTS OF COMMON STOCKHOLDER'S EQUITY (UNAUDITED)

	Number of Common Shares Issued	Common Stock		Paid-In Capital		Retained Earnings (Accumulated Deficit)		Accumulated Other Comprehensive Income (Loss)		Total
	(in millions)
Balance at December 31, 2020	1	$	38	$	4,460	$	(2,754)	$	(2)	$	1,742
Net income	—	—		—		45		—		45
Capital contributions from parent company	—	—		100		—		—		100
Cash dividends on common stock	—	—		—		(39)		—		(39)
Balance at March 31, 2021	1	38		4,560		(2,748)		(2)		1,848
Net income	—	—		—		38		—		38
Capital contributions from parent company	—	—		2		—		—		2
Cash dividends on common stock	—	—		—		(39)		—		(39)
Other	—	—		—		(1)		1		—
Balance at June 30, 2021	1	38		4,562		(2,750)		(1)		1,849
Net income	—	—		—		50		—		50
Capital contributions from parent company	—	—		3		—		—		3
Cash dividends on common stock	—	—		—		(39)		—		(39)
Balance at September 30, 2021	1	$	38	$	4,565	$	(2,739)	$	(1)	$	1,863
Balance at December 31, 2021	1	$	38	$	4,582	$	(2,753)	$	—	$	1,867
Net income	—	—		—		42		—		42
Capital contributions from parent company	—	—		51		—		—		51
Cash dividends on common stock	—	—		—		(43)		—		(43)
Balance at March 31, 2022	1	38		4,633		(2,754)		—		1,917
Net income	—	—		—		45		—		45
Capital contributions from parent company	—	—		1		—		—		1
Cash dividends on common stock	—	—		—		(42)		—		(42)
Balance at June 30, 2022	1	38		4,634		(2,751)		—		1,921
Net income	—	—		—		62		—		62
Capital contributions from parent company	—	—		5		—		—		5
Cash dividends on common stock	—	—		—		(42)		—		(42)
Balance at September 30, 2022	1	$	38	$	4,639	$	(2,731)	$	—	$	1,946

The accompanying notes as they relate to Mississippi Power are an integral part of these condensed financial statements.

32

    Table of Contents                                Index to Financial Statements

SOUTHERN POWER COMPANY AND SUBSIDIARY COMPANIES

CONDENSED CONSOLIDATED STATEMENTS OF INCOME (UNAUDITED)

	For the Three Months Ended September 30,				For the Nine Months Ended September 30,
	2022		2021		2022		2021
	(in millions)				(in millions)
Operating Revenues:
Wholesale revenues, non-affiliates	$	835	$	503	$	1,918	$	1,231
Wholesale revenues, affiliates	336		167		673		361
Other revenues	9		9		27		18
Total operating revenues	1,180		679		2,618		1,610
Operating Expenses:
Fuel	605		259		1,274		540
Purchased power	144		41		233		86
Other operations and maintenance	113		94		331		308
Depreciation and amortization	133		132		384		383
Taxes other than income taxes	13		12		38		35
Loss on sales-type leases	—		15		1		15
Gain on dispositions, net	—		—		(2)		(39)
Total operating expenses	1,008		553		2,259		1,328
Operating Income	172		126		359		282
Other Income and (Expense):
Interest expense, net of amounts capitalized	(32)		(36)		(105)		(111)
Other income (expense), net	3		2		5		10
Total other income and (expense)	(29)		(34)		(100)		(101)
Earnings Before Income Taxes	143		92		259		181
Income taxes (benefit)	36		9		49		(3)
Net Income	107		83		210		184
Net income (loss) attributable to noncontrolling interests	12		5		(55)		(27)
Net Income Attributable to Southern Power	$	95	$	78	$	265	$	211

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (UNAUDITED)

	For the Three Months Ended September 30,				For the Nine Months Ended September 30,
	2022		2021		2022		2021
	(in millions)				(in millions)
Net Income	$	107	$	83	$	210	$	184
Other comprehensive income (loss):
Qualifying hedges:
Changes in fair value, net of tax of     $(11), $(7), $(35), and $(16), respectively	(35)		(21)		(106)		(48)
Reclassification adjustment for amounts included in net income,    net of tax of $9, $9, $35, and $22, respectively	28		27		106		66
Pension and other postretirement benefit plans:
Reclassification adjustment for amounts included in net income,    net of tax of $—, $—, $—, and $1, respectively	—		1		1		2
Total other comprehensive income (loss)	(7)		7		1		20
Comprehensive Income	100		90		211		204
Comprehensive income (loss) attributable to noncontrolling interests	12		5		(55)		(27)
Comprehensive Income Attributable to Southern Power	$	88	$	85	$	266	$	231

The accompanying notes as they relate to Southern Power are an integral part of these condensed consolidated financial statements.

33

    Table of Contents                                Index to Financial Statements

SOUTHERN POWER COMPANY AND SUBSIDIARY COMPANIES

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED)

	For the Nine Months Ended September 30,
	2022		2021
	(in millions)
Operating Activities:
Net income	$	210	$	184
Adjustments to reconcile net income to net cash provided from operating activities —
Depreciation and amortization, total	404		402
Deferred income taxes	21		(16)
Utilization of federal investment tax credits	218		237
Amortization of investment tax credits	(44)		(44)
Gain on dispositions, net	(2)		(39)
Other, net	1		14
Changes in certain current assets and liabilities —
-Receivables	(124)		(117)
-Prepaid income taxes	22		63
-Other current assets	(15)		(5)
-Accounts payable	95		55
-Accrued taxes	55		15
-Other current liabilities	(14)		1
Net cash provided from operating activities	827		750
Investing Activities:
Business acquisitions, net of cash acquired	—		(345)
Property additions	(64)		(355)
Proceeds from dispositions	48		22
Change in construction payables	(60)		(22)
Payments pursuant to LTSAs	(52)		(61)
Other investing activities	—		8
Net cash used for investing activities	(128)		(753)
Financing Activities:
Decrease in notes payable, net	(5)		(148)
Proceeds — Senior notes	—		400
Redemptions — Senior notes	(677)		—
Capital contributions from parent company	330		4
Return of capital to parent company	—		(271)
Capital contributions from noncontrolling interests	73		415
Distributions to noncontrolling interests	(175)		(204)
Payment of common stock dividends	(148)		(153)
Other financing activities	(1)		(10)
Net cash provided from (used for) financing activities	(603)		33
Net Change in Cash, Cash Equivalents, and Restricted Cash	96		30
Cash, Cash Equivalents, and Restricted Cash at Beginning of Period	135		183
Cash, Cash Equivalents, and Restricted Cash at End of Period	$	231	$	213
Supplemental Cash Flow Information:
Cash paid (received) during the period for —
Interest (net of $— and $5 capitalized for 2022 and 2021, respectively)	$	120	$	118
Income taxes, net	(202)		(235)
Noncash transactions —
Contributions from noncontrolling interests	—		89
Contributions of wind turbine equipment	—		82
Accrued property additions at end of period	30		53
Right-of-use assets obtained under operating leases	—		66
Reassessment of right-of-use assets under operating leases	40		—

The accompanying notes as they relate to Southern Power are an integral part of these condensed consolidated financial statements.

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SOUTHERN POWER COMPANY AND SUBSIDIARY COMPANIES

CONDENSED CONSOLIDATED BALANCE SHEETS (UNAUDITED)

Assets	At September 30, 2022		At December 31, 2021
	(in millions)
Current Assets:
Cash and cash equivalents	$	229	$	107
Receivables —
Customer accounts, net	232		139
Affiliated	95		51
Other	24		29
Materials and supplies	112		106
Prepaid income taxes	5		27
Other current assets	51		46
Total current assets	748		505
Property, Plant, and Equipment:
In service	14,641		14,585
Less: Accumulated provision for depreciation	3,589		3,241
Plant in service, net of depreciation	11,052		11,344
Construction work in progress	48		45
Total property, plant, and equipment	11,100		11,389
Other Property and Investments:
Intangible assets, net of amortization of $124 and $109, respectively	268		282
Equity investments in unconsolidated subsidiaries	49		86
Net investment in sales-type leases	155		161
Total other property and investments	472		529
Deferred Charges and Other Assets:
Operating lease right-of-use assets, net of amortization	491		479
Prepaid LTSAs	210		210
Other deferred charges and assets	262		278
Total deferred charges and other assets	963		967
Total Assets	$	13,283	$	13,390

The accompanying notes as they relate to Southern Power are an integral part of these condensed consolidated financial statements.

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SOUTHERN POWER COMPANY AND SUBSIDIARY COMPANIES

CONDENSED CONSOLIDATED BALANCE SHEETS (UNAUDITED)

Liabilities and Stockholders' Equity	At September 30, 2022		At December 31, 2021
	(in millions)
Current Liabilities:
Securities due within one year	$	290	$	679
Notes payable	208		211
Accounts payable —
Affiliated	179		92
Other	70		85
Accrued taxes	208		14
Accrued interest	22		32
Other current liabilities	96		140
Total current liabilities	1,073		1,253
Long-term Debt	2,642		3,009
Deferred Credits and Other Liabilities:
Accumulated deferred income taxes	315		215
Accumulated deferred ITCs	1,571		1,614
Operating lease obligations	515		497
Other deferred credits and liabilities	287		204
Total deferred credits and other liabilities	2,688		2,530
Total Liabilities	6,403		6,792
Total Stockholders' Equity (See accompanying statements)	6,880		6,598
Total Liabilities and Stockholders' Equity	$	13,283	$	13,390

The accompanying notes as they relate to Southern Power are an integral part of these condensed consolidated financial statements.

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SOUTHERN POWER COMPANY AND SUBSIDIARY COMPANIES

CONDENSED CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY (UNAUDITED)

	Paid-In Capital		Retained Earnings		Accumulated Other Comprehensive Income (Loss)		Total Common Stockholders' Equity		Noncontrolling Interests		Total
	(in millions)
Balance at December 31, 2020	$	914	$	1,522	$	(67)	$	2,369	$	4,262	$	6,631
Net income (loss)	—		97		—		97		(32)		65
Return of capital to parent company	(271)		—		—		(271)		—		(271)
Other comprehensive income	—		—		16		16		—		16
Cash dividends on common stock	—		(51)		—		(51)		—		(51)
Capital contributions from    noncontrolling interests	—		—		—		—		403		403
Distributions to noncontrolling interests	—		—		—		—		(46)		(46)
Other	(2)		1		(1)		(2)		(1)		(3)
Balance at March 31, 2021	641		1,569		(52)		2,158		4,586		6,744
Net income	—		36		—		36		—		36
Other comprehensive income (loss)	—		—		(3)		(3)		—		(3)
Cash dividends on common stock	—		(51)		—		(51)		—		(51)
Capital contributions from    noncontrolling interests	—		—		—		—		29		29
Distributions to noncontrolling interests	—		—		—		—		(68)		(68)
Other	2		—		1		3		—		3
Balance at June 30, 2021	643		1,554		(54)		2,143		4,547		6,690
Net income	—		78		—		78		5		83
Other comprehensive income	—		—		7		7		—		7
Cash dividends on common stock	—		(51)		—		(51)		—		(51)
Capital contributions from    noncontrolling interests	—		—		—		—		73		73
Distributions to noncontrolling interests	—		—		—		—		(95)		(95)
Balance at September 30, 2021	$	643	$	1,581	$	(47)	$	2,177	$	4,530	$	6,707

The accompanying notes as they relate to Southern Power are an integral part of these condensed consolidated financial statements.

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SOUTHERN POWER COMPANY AND SUBSIDIARY COMPANIES

CONDENSED CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY (UNAUDITED)

	Paid-In Capital		Retained Earnings		Accumulated Other Comprehensive Income (Loss)		Total Common Stockholders' Equity		Noncontrolling Interests		Total
	(in millions)
Balance at December 31, 2021	$	638	$	1,585	$	(27)	$	2,196	$	4,402	$	6,598
Net income (loss)	—		72		—		72		(45)		27
Other comprehensive income	—		—		5		5		—		5
Cash dividends on common stock	—		(49)		—		(49)		—		(49)
Capital contributions from    noncontrolling interests	—		—		—		—		73		73
Distributions to noncontrolling interests	—		—		—		—		(98)		(98)
Balance at March 31, 2022	638		1,608		(22)		2,224		4,332		6,556
Net income (loss)	—		98		—		98		(22)		76
Capital contributions from parent company	322		—		—		322		—		322
Other comprehensive income	—		—		3		3		—		3
Cash dividends on common stock	—		(50)		—		(50)		—		(50)
Distributions to noncontrolling interests	—		—		—		—		(28)		(28)
Balance at June 30, 2022	960		1,656		(19)		2,597		4,282		6,879
Net income	—		95		—		95		12		107
Capital contributions from parent company	9		—		—		9		—		9
Other comprehensive income (loss)	—		—		(7)		(7)		—		(7)
Cash dividends on common stock	—		(49)		—		(49)		—		(49)
Distributions to noncontrolling interests	—		—		—		—		(57)		(57)
Other	—		(1)		(1)		(2)		—		(2)
Balance at September 30, 2022	$	969	$	1,701	$	(27)	$	2,643	$	4,237	$	6,880

The accompanying notes as they relate to Southern Power are an integral part of these condensed consolidated financial statements.

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SOUTHERN COMPANY GAS AND SUBSIDIARY COMPANIES

CONDENSED CONSOLIDATED STATEMENTS OF INCOME (UNAUDITED)

	For the Three Months Ended September 30,				For the Nine Months Ended September 30,
	2022		2021		2022		2021
	(in millions)				(in millions)
Operating Revenues:
Natural gas revenues (includes revenue taxes of     $15, $12, $118, and $89, respectively)	$	858	$	624	$	3,998	$	2,991
Alternative revenue programs	(1)		(1)		—		3
Total operating revenues	857		623		3,998		2,994
Operating Expenses:
Cost of natural gas	294		129		1,840		943
Other operations and maintenance	252		238		829		776
Depreciation and amortization	140		133		414		396
Taxes other than income taxes	45		36		208		166
Gain on dispositions, net	—		(121)		(5)		(127)
Total operating expenses	731		415		3,286		2,154
Operating Income	126		208		712		840
Other Income and (Expense):
Earnings from equity method investments	34		25		105		14
Interest expense, net of amounts capitalized	(65)		(57)		(187)		(175)
Other income (expense), net	15		13		47		(66)
Total other income and (expense)	(16)		(19)		(35)		(227)
Earnings Before Income Taxes	110		189		677		613
Income taxes	27		133		161		224
Net Income	$	83	$	56	$	516	$	389

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (UNAUDITED)

	For the Three Months Ended September 30,				For the Nine Months Ended September 30,
	2022		2021		2022		2021
	(in millions)				(in millions)
Net Income	$	83	$	56	$	516	$	389
Other comprehensive income:
Qualifying hedges:
Changes in fair value, net of tax of     $8, $8, $16, and $11, respectively	19		23		39		32
Reclassification adjustment for amounts included in net income,     net of tax of $(2), $—, $(7), and $1, respectively	(5)		(2)		(17)		1
Total other comprehensive income	14		21		22		33
Comprehensive Income	$	97	$	77	$	538	$	422

The accompanying notes as they relate to Southern Company Gas are an integral part of these condensed consolidated financial statements.

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SOUTHERN COMPANY GAS AND SUBSIDIARY COMPANIES

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED)

	For the Nine Months Ended September 30,
	2022		2021
	(in millions)
Operating Activities:
Net income	$	516	$	389
Adjustments to reconcile net income to net cash provided from operating activities —
Depreciation and amortization, total	414		396
Deferred income taxes	109		289
Mark-to-market adjustments	(34)		147
Impairment of PennEast Pipeline investment	—		84
Gain on dispositions, net	(5)		(127)
Natural gas cost under recovery – long-term	207		(79)
Other, net	27		32
Changes in certain current assets and liabilities —
-Receivables	301		311
-Natural gas for sale, net of temporary LIFO liquidation	(136)		20
-Prepaid income taxes	(77)		(148)
-Natural gas cost under recovery	(124)		(432)
-Other current assets	7		(98)
-Accounts payable	342		30
-Other current liabilities	(15)		(57)
Net cash provided from operating activities	1,532		757
Investing Activities:
Property additions	(1,063)		(1,045)
Cost of removal, net of salvage	(84)		(74)
Change in construction payables, net	(103)		4
Proceeds from dispositions	—		126
Other investing activities	11		23
Net cash used for investing activities	(1,239)		(966)
Financing Activities:
Increase (decrease) in notes payable, net	(749)		38
Proceeds —
Short-term borrowings	50		300
First mortgage bonds	100		100
Senior notes	500		450
Redemptions —
Short-term borrowings	(150)		—
Senior notes	—		(300)
Medium-term notes	(46)		(30)
Capital contributions from parent company	357		63
Payment of common stock dividends	(389)		(397)
Other financing activities	14		(2)
Net cash provided from (used for) financing activities	(313)		222
Net Change in Cash, Cash Equivalents, and Restricted Cash	(20)		13
Cash, Cash Equivalents, and Restricted Cash at Beginning of Period	48		19
Cash, Cash Equivalents, and Restricted Cash at End of Period	$	28	$	32
Supplemental Cash Flow Information:
Cash paid during the period for —
Interest (net of $7 and $6 capitalized for 2022 and 2021, respectively)	$	186	$	173
Income taxes, net	193		85
Noncash transactions — Accrued property additions at end of period	10		146

The accompanying notes as they relate to Southern Company Gas are an integral part of these condensed consolidated financial statements.

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SOUTHERN COMPANY GAS AND SUBSIDIARY COMPANIES

CONDENSED CONSOLIDATED BALANCE SHEETS (UNAUDITED)

Assets	At September 30, 2022		At December 31, 2021
	(in millions)
Current Assets:
Cash and cash equivalents	$	26	$	45
Receivables —
Customer accounts	296		462
Unbilled revenues	122		278
Other accounts and notes	58		49
Accumulated provision for uncollectible accounts	(41)		(39)
Natural gas for sale	498		362
Prepaid expenses	192		114
Natural gas cost under recovery	390		266
Other regulatory assets	121		136
Other current assets	118		82
Total current assets	1,780		1,755
Property, Plant, and Equipment:
In service	19,656		18,880
Less: Accumulated depreciation	5,270		5,067
Plant in service, net of depreciation	14,386		13,813
Construction work in progress	871		684
Total property, plant, and equipment	15,257		14,497
Other Property and Investments:
Goodwill	5,015		5,015
Equity investments in unconsolidated subsidiaries	1,125		1,173
Other intangible assets, net of amortization of $154 and $145, respectively	28		37
Miscellaneous property and investments	27		19
Total other property and investments	6,195		6,244
Deferred Charges and Other Assets:
Operating lease right-of-use assets, net of amortization	61		70
Prepaid pension costs	200		175
Other regulatory assets, deferred	468		689
Other deferred charges and assets	136		130
Total deferred charges and other assets	865		1,064
Total Assets	$	24,097	$	23,560

The accompanying notes as they relate to Southern Company Gas are an integral part of these condensed consolidated financial statements.

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SOUTHERN COMPANY GAS AND SUBSIDIARY COMPANIES

CONDENSED CONSOLIDATED BALANCE SHEETS (UNAUDITED)

Liabilities and Stockholder's Equity	At September 30, 2022		At December 31, 2021
	(in millions)
Current Liabilities:
Securities due within one year	$	—	$	47
Notes payable	360		1,209
Accounts payable —
Affiliated	64		58
Other	592		361
Customer deposits	137		95
Accrued taxes	71		124
Accrued interest	67		59
Accrued compensation	92		110
Other regulatory liabilities	15		8
Other current liabilities	168		155
Total current liabilities	1,566		2,226
Long-term Debt	7,361		6,855
Deferred Credits and Other Liabilities:
Accumulated deferred income taxes	1,662		1,555
Deferred credits related to income taxes	793		816
Employee benefit obligations	158		176
Operating lease obligations	53		59
Other cost of removal obligations	1,696		1,683
Accrued environmental remediation	217		197
Other deferred credits and liabilities	153		77
Total deferred credits and other liabilities	4,732		4,563
Total Liabilities	13,659		13,644
Common Stockholder's Equity (See accompanying statements)	10,438		9,916
Total Liabilities and Stockholder's Equity	$	24,097	$	23,560

The accompanying notes as they relate to Southern Company Gas are an integral part of these condensed consolidated financial statements.

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SOUTHERN COMPANY GAS AND SUBSIDIARY COMPANIES

CONDENSED CONSOLIDATED STATEMENTS OF STOCKHOLDER'S EQUITY (UNAUDITED)

	Paid-In Capital		Retained Earnings (Accumulated Deficit)		Accumulated Other Comprehensive Income (Loss)		Total
	(in millions)
Balance at December 31, 2020	$	9,930	$	(141)	$	(22)	$	9,767
Net income	—		398		—		398
Capital contributions from parent company	57		—		—		57
Other comprehensive income	—		—		4		4
Cash dividends on common stock	—		(132)		—		(132)
Balance at March 31, 2021	9,987		125		(18)		10,094
Net loss	—		(65)		—		(65)
Capital contributions from parent company	25		—		—		25
Other comprehensive income	—		—		8		8
Cash dividends on common stock	—		(133)		—		(133)
Balance at June 30, 2021	10,012		(73)		(10)		9,929
Net income	—		56		—		56
Capital contributions from parent company	2		—		—		2
Other comprehensive income	—		—		21		21
Cash dividends on common stock	—		(132)		—		(132)
Balance at September 30, 2021	$	10,014	$	(149)	$	11	$	9,876
Balance at December 31, 2021	$	10,024	$	(132)	$	24	$	9,916
Net income	—		319		—		319
Capital contributions from parent company	50		—		—		50
Other comprehensive income	—		—		20		20
Cash dividends on common stock	—		(130)		—		(130)
Balance at March 31, 2022	10,074		57		44		10,175
Net income	—		115		—		115
Capital contributions from parent company	312		—		—		312
Other comprehensive income (loss)	—		—		(12)		(12)
Cash dividends on common stock	—		(130)		—		(130)
Balance at June 30, 2022	10,386		42		32		10,460
Net income	—		83		—		83
Capital contributions from parent company	11		—		—		11
Other comprehensive income	—		—		14		14
Cash dividends on common stock	—		(130)		—		(130)
Balance at September 30, 2022	$	10,397	$	(5)	$	46	$	10,438

The accompanying notes as they relate to Southern Company Gas are an integral part of these condensed consolidated financial statements.

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NOTES TO THE CONDENSED FINANCIAL STATEMENTS

FOR

THE SOUTHERN COMPANY AND SUBSIDIARY COMPANIES

ALABAMA POWER COMPANY

GEORGIA POWER COMPANY

MISSISSIPPI POWER COMPANY

SOUTHERN POWER COMPANY AND SUBSIDIARY COMPANIES

SOUTHERN COMPANY GAS AND SUBSIDIARY COMPANIES

(UNAUDITED)

INDEX TO THE NOTES TO THE CONDENSED FINANCIAL STATEMENTS

Note		Page
A	Introduction	45
B	Regulatory Matters	48
C	Contingencies	60
D	Revenue from Contracts with Customers and Lease Income	64
E	Consolidated Entities and Equity Method Investments	69
F	Financing and Leases	72
G	Income Taxes	74
H	Retirement Benefits	75
I	Fair Value Measurements	78
J	Derivatives	83
K	Acquisitions and Dispositions	94
L	Segment and Related Information	95

INDEX TO APPLICABLE NOTES TO FINANCIAL STATEMENTS BY REGISTRANT

The following unaudited notes to the condensed financial statements are a combined presentation; however, information contained herein relating to any individual Registrant is filed by such Registrant on its own behalf and each Registrant makes no representation as to information related to the other Registrants. The list below indicates the Registrants to which each footnote applies.

Registrant	Applicable Notes
Southern Company	A, B, C, D, E, F, G, H, I, J, K, L
Alabama Power	A, B, C, D, F, G, H, I, J, K
Georgia Power	A, B, C, D, F, G, H, I, J
Mississippi Power	A, B, C, D, F, G, H, I, J
Southern Power	A, C, D, E, F, G, H, I, J, K
Southern Company Gas	A, B, C, D, E, F, G, H, I, J, K, L

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NOTES TO THE CONDENSED FINANCIAL STATEMENTS

(UNAUDITED)

(A) INTRODUCTION

The condensed quarterly financial statements of each Registrant included herein have been prepared by such Registrant, without audit, pursuant to the rules and regulations of the SEC. The Condensed Balance Sheets at December 31, 2021 have been derived from the audited financial statements of each Registrant. In the opinion of each Registrant's management, the information regarding such Registrant furnished herein reflects all adjustments, which, except as otherwise disclosed, are of a normal recurring nature, necessary to present fairly the results of operations for the periods ended September 30, 2022 and 2021. Certain information and footnote disclosures normally included in annual financial statements prepared in accordance with GAAP have been condensed or omitted pursuant to such rules and regulations, although each Registrant believes that the disclosures regarding such Registrant are adequate to make the information presented not misleading. Disclosures which would substantially duplicate the disclosures in the Form 10-K and details which have not changed significantly in amount or composition since the filing of the Form 10-K are generally omitted from this Quarterly Report on Form 10-Q unless specifically required by GAAP. Therefore, these Condensed Financial Statements should be read in conjunction with the financial statements and the notes thereto included in the Form 10-K. Due to the seasonal variations in the demand for energy and other factors, operating results for the periods presented are not necessarily indicative of the operating results to be expected for the full year.

Certain prior year data presented in the financial statements have been reclassified to conform to the current year presentation. These reclassifications had no impact on the overall results of operations, financial position, or cash flows of any Registrant.

Goodwill and Other Intangible Assets

Goodwill at September 30, 2022 and December 31, 2021 was as follows:

	Goodwill
	(in millions)
Southern Company	$	5,280
Southern Company Gas:
Gas distribution operations	$	4,034
Gas marketing services	981
Southern Company Gas total	$	5,015

Goodwill is not amortized, but is subject to an annual impairment test during the fourth quarter of each year, or more frequently if impairment indicators arise.

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NOTES TO THE CONDENSED FINANCIAL STATEMENTS (Continued)

(UNAUDITED)

Other intangible assets were as follows:

	At September 30, 2022						At December 31, 2021
	Gross Carrying Amount		Accumulated Amortization		Other Intangible Assets, Net		Gross Carrying Amount		Accumulated Amortization		Other Intangible Assets, Net
	(in millions)						(in millions)
Southern Company
Other intangible assets subject to amortization:
Customer relationships	$	212	$	(159)	$	53	$	212	$	(150)	$	62
Trade names	64		(44)		20		64		(38)		26
PPA fair value adjustments	390		(124)		266		390		(109)		281
Other	5		(4)		1		11		(10)		1
Total other intangible assets subject to amortization	$	671	$	(331)	$	340	$	677	$	(307)	$	370
Other intangible assets not subject to amortization:
Federal Communications Commission licenses	75		—		75		75		—		75
Total other intangible assets	$	746	$	(331)	$	415	$	752	$	(307)	$	445
Southern Power
Other intangible assets subject to amortization:
PPA fair value adjustments	$	390	$	(124)	$	266	$	390	$	(109)	$	281
Southern Company Gas
Other intangible assets subject to amortization:
Gas marketing services
Customer relationships	$	156	$	(137)	$	19	$	156	$	(130)	$	26
Trade names	26		(17)		9		26		(15)		11
Total other intangible assets subject to amortization	$	182	$	(154)	$	28	$	182	$	(145)	$	37

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NOTES TO THE CONDENSED FINANCIAL STATEMENTS (Continued)

(UNAUDITED)

Amortization associated with other intangible assets was as follows:

	Three Months Ended		Nine Months Ended
	September 30, 2022
	(in millions)
Southern Company(a)	$	11	$	30
Southern Power(b)	5		15
Southern Company Gas	4		9

(a)Includes $5 million and $15 million for the three and nine months ended September 30, 2022, respectively, recorded as a reduction to operating revenues.

(b)Recorded as a reduction to operating revenues.

Cash, Cash Equivalents, and Restricted Cash

The following table provides a reconciliation of cash, cash equivalents, and restricted cash reported within the condensed balance sheets that total to the amount shown in the condensed statements of cash flows for the applicable Registrants:

	Southern Company				Southern Power				Southern Company Gas
	September 30, 2022		December 31, 2021		September 30, 2022		December 31, 2021		September 30, 2022		December 31, 2021
	(in millions)
Cash and cash equivalents	$	2,009	$	1,798	$	229	$	107	$	26	$	45
Restricted cash(a):
Other current assets	2		2		—		—		2		2
Other deferred charges and assets	3		29		3		29		—		—
Total cash, cash equivalents, and restricted cash(b)	$	2,013	$	1,829	$	231	$	135	$	28	$	48

(a)For Southern Power, reflects $3 million and $10 million at September 30, 2022 and December 31, 2021, respectively, held to fund estimated construction completion costs at the Deuel Harvest wind facility and $19 million at December 31, 2021 related to tax equity contributions restricted until the Garland battery energy storage facility achieved final contracted capacity. For Southern Company Gas, reflects collateral for workers' compensation, life insurance, and long-term disability insurance.

(b)Total may not add due to rounding.

Natural Gas for Sale

With the exception of Nicor Gas, Southern Company Gas records natural gas inventories on a WACOG basis. For any declines in market prices below the WACOG considered to be other than temporary, an adjustment is recorded to reduce the value of natural gas inventories to market value. Nicor Gas' natural gas inventory is carried at cost on a LIFO basis. Inventory decrements occurring during the year that are restored prior to year end are charged to cost of natural gas at the estimated annual replacement cost. Inventory decrements that are not restored prior to year end are charged to cost of natural gas at the actual LIFO cost of the inventory layers liquidated.

Southern Company Gas recorded no material adjustments to natural gas inventories for either period presented. Nicor Gas had no inventory decrement at September 30, 2022.

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Depreciation and Amortization

See Note 5 to the financial statements under "Depreciation and Amortization" in Item 8 of the Form 10-K for additional information.

Alabama Power

On September 23, 2022, the FERC authorized Alabama Power to use updated depreciation rates from its 2021 depreciation study effective January 1, 2023. The study was also provided to the Alabama PSC, and the new depreciation rates will be reflected in Alabama Power's future rate filings. See Note 2 to the financial statements under "Alabama Power" in Item 8 of the Form 10-K for additional information.

Southern Power

Effective January 1, 2022, Southern Power revised the depreciable lives of its wind generating facilities from up to 30 years to up to 35 years. This revision resulted in an immaterial decrease in depreciation for the three and nine months ended September 30, 2022.

(B) REGULATORY MATTERS

See Note 2 to the financial statements in Item 8 of the Form 10-K for additional information relating to regulatory matters.

The recovery balances for certain retail regulatory clauses of the traditional electric operating companies and Southern Company Gas at September 30, 2022 and December 31, 2021 were as follows:

Regulatory Clause	Balance Sheet Line Item	September 30, 2022		December 31, 2021
		(in millions)
Alabama Power
Rate CNP Compliance	Other regulatory liabilities, deferred	$	4	$	—
	Other regulatory assets, deferred	—		16
Rate CNP PPA	Other regulatory assets, deferred	125		84
Retail Energy Cost Recovery(*)	Other regulatory assets, current	93		—
	Other regulatory assets, deferred	413		126
Georgia Power
Fuel Cost Recovery	Deferred under recovered fuel clause revenues	$	1,697	$	410
Mississippi Power
Fuel Cost Recovery	Other customer accounts receivable	$	13	$	4
Ad Valorem Tax	Other regulatory assets, current	12		12
	Other regulatory assets, deferred	22		37
Southern Company Gas
Natural Gas Cost Recovery	Natural gas cost under recovery	$	390	$	266
	Other regulatory assets, deferred	—		207

(*)In accordance with an Alabama PSC order issued on February 1, 2022, Alabama Power applied $126 million of its 2021 Rate RSE refund to reduce the Rate ECR under recovered balance.

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Alabama Power

Certificates of Convenience and Necessity

On July 12, 2022, the Alabama PSC approved a certificate of convenience and necessity (CCN) authorizing Alabama Power to complete the acquisition of the Calhoun Generating Station, which was approved by the FERC on March 25, 2022. The transaction closed on September 30, 2022 and, on October 3, 2022, Alabama Power filed Rate CNP New Plant with the Alabama PSC to recover the related costs. The filing reflected an increase in annual revenues of $34 million, or 0.6%, effective with the billing month of November 2022. Alabama Power expects to recover all approved costs associated with the acquisition through existing rate mechanisms as outlined in Note 2 to the financial statements in Item 8 of the Form 10-K. See Note (K) under "Alabama Power" for additional information.

With the completion of the Calhoun Generating Station acquisition, Alabama Power expects to retire Plant Barry Unit 5 as early as 2023. In September 2022, Alabama Power reclassified approximately $600 million for Plant Barry Unit 5 from plant in service, net of depreciation to other utility plant, net and will continue to depreciate the asset according to the original depreciation rates. At retirement, Alabama Power will reclassify the remaining net investment costs of the unit to a regulatory asset to be recovered over the unit's remaining useful life, as established prior to the decision to retire, through Rate CNP Compliance. See Note 2 to the financial statements under "Alabama Power – Environmental Accounting Order" in Item 8 of the Form 10-K for additional information.

In its 2020 order authorizing the CCN for Alabama Power's construction of Plant Barry Unit 8, the Alabama PSC authorized recovery of estimated actual in-service costs of $652 million. At September 30, 2022, project expenditures associated with Plant Barry Unit 8 included in CWIP totaled approximately $484 million and the unit is expected to be placed in service in November 2023. The ultimate outcome of this matter cannot be determined at this time.

Rate ECR

On July 12, 2022, the Alabama PSC approved an adjustment to Rate ECR from 1.960 cents per KWH to 2.557 cents per KWH, or approximately $310 million annually, effective with August 2022 billings. The approved increase in the Rate ECR factor has no significant effect on Alabama Power's net income, but does increase operating cash flows related to fuel cost recovery. The rate will adjust to 5.910 cents per KWH in January 2025 absent a further order from the Alabama PSC.

Rate NDR

On July 12, 2022, the Alabama PSC approved modifications to Rate NDR, which include an adjustment to the charges to establish and maintain the reserve and an adjustment to the recovery period for any existing deferred storm-related operations and maintenance costs and future reserve deficits from 24 months to 48 months. As modified, the maximum total Rate NDR charge to recover a deficit is limited to $5.00 per month per non-residential customer account and $2.50 per month per residential customer account.

Beginning with August 2022 billings, the reserve establishment charge was suspended and the reserve maintenance charge was activated as a result of the NDR balance exceeding $75 million. Alabama Power expects to collect $6 million in the second half of 2022 and approximately $12 million annually beginning in 2023 under Rate NDR unless the NDR balance falls below $50 million. At September 30, 2022, Alabama Power's NDR balance was $103 million. Alabama Power continues to have the authority to accrue additional amounts to the NDR as circumstances warrant.

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Reliability Reserve Accounting Order

On July 12, 2022, the Alabama PSC approved an accounting order authorizing Alabama Power to create a reliability reserve separate from the NDR and transition the previous Rate NDR authority related to reliability expenditures to the reliability reserve. Alabama Power may make accruals to the reliability reserve if the NDR balance exceeds $35 million.

Renewable Generation Certificate

Through the issuance of a Renewable Generation Certificate (RGC), Alabama Power is authorized by the Alabama PSC to procure up to 500 MWs of renewable capacity and energy by September 16, 2027 and to market the related energy and environmental attributes to customers and other third parties. In April 2022, one of the existing solar projects which was expected to be served through a PPA commencing in first quarter 2024 was terminated, resulting in the restoration of 80 MWs of capacity under the RGC. On October 4, 2022, the Alabama PSC approved two new solar PPAs totaling 160 MWs. Alabama Power has procured solar capacity totaling approximately 330 MWs under the RGC. The ultimate outcome of this matter cannot be determined at this time.

Georgia Power

Rate Plans

2022 Base Rate Case

On June 24, 2022, Georgia Power filed a base rate case (Georgia Power 2022 Base Rate Case) with the Georgia PSC. The filing, as modified on August 22, 2022, proposes a three-year alternate rate plan with requested rate increases totaling $889 million, $107 million, and $45 million effective January 1, 2023, January 1, 2024, and January 1, 2025, respectively. These increases are based on a proposed retail ROE of 11.00% using the currently approved equity ratio of 56% and reflect levelized revenue requirements during the three-year period, with the exception of incremental compliance costs related to CCR AROs, Demand-Side Management (DSM) programs, and related adjustments to the Municipal Franchise Fee tariff.

Georgia Power has requested recovery of the proposed increases through its existing base rate tariffs as follows:

Tariff	2023		2024		2025
	(in millions)
Traditional base	$	762	$	—	$	—
ECCR
Traditional	5		—		—
CCR ARO(a)	64		78		47
DSM(a)	37		27		(2)
Municipal Franchise Fee	21		2		1
Total(b)	$	889	$	107	$	45

(a)As determined by the Georgia PSC through annual compliance filings.

(b)Totals may not add due to rounding.

Georgia Power's filing primarily reflects requests to (i) recover the costs of recent and future capital investments in the electric grid including the transmission and distribution systems and the continuation of its grid investment plan, all designed to support customer long-term reliability and resiliency needs, (ii) recover the cost of coal-fired generation units proposed for retirement, or made unavailable, as requested in the 2022 IRP, as Georgia Power continues the transition of the generation fleet to more economical and cleaner resources, (iii) make the necessary investments and recover costs to comply with federal and state environmental regulations, including costs

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associated with the CCR AROs related to ash pond and landfill closures and post-closure care, and (iv) reduce operating costs despite significant inflationary pressures. In addition, the filing includes the following provisions:

•Continuation of an allowed retail ROE range of 9.50% to 12.00%.

•Continuation of the process whereby 80% of any earnings above the top of the allowed ROE range are shared with Georgia Power's customers and the remaining 20% are retained by Georgia Power.

•Continuation of the option to file an Interim Cost Recovery tariff in the event earnings are projected to fall below the bottom of the allowed ROE range during the three-year term of the plan.

Georgia Power expects the Georgia PSC to render a final decision in this matter on December 20, 2022. The ultimate outcome of this matter cannot be determined at this time.

2019 ARP

In 2020, the Georgia PSC denied a motion for reconsideration filed by Sierra Club regarding the Georgia PSC's decision in the 2019 ARP allowing Georgia Power to recover compliance costs for CCR AROs. The Superior Court of Fulton County subsequently affirmed the Georgia PSC's decision and, in October 2021, the Georgia Court of Appeals affirmed the Superior Court of Fulton County's order. In December 2021, Sierra Club filed a petition for writ of certiorari to the Georgia Supreme Court, which was denied on July 14, 2022. This matter is now concluded. See Note 6 to the financial statements in Item 8 of the Form 10-K for additional information regarding Georgia Power's AROs.

Integrated Resource Plans

In response to supply chain challenges in the solar industry, the Georgia PSC approved Georgia Power's request to amend 970 MWs of utility-scale solar PPAs that were authorized by the Georgia PSC in Georgia Power's 2019 IRP. The amendments extended the required commercial operation dates for the PPAs from 2023 to 2024.

On July 21, 2022, the Georgia PSC approved the 2022 IRP, as modified by a stipulated agreement among Georgia Power, the staff of the Georgia PSC, and certain intervenors and as further modified by the Georgia PSC. In the 2022 IRP decision, the Georgia PSC approved the following requests:

•Decertification and retirement of Plant Wansley Units 1 and 2 (926 MWs based on 53.5% ownership), which occurred on August 31, 2022, and reclassification to regulatory asset accounts of the remaining net book values and any remaining unusable materials and supplies inventories upon retirement. The regulatory asset accounts for the remaining net book values of the units ($299 million and $277 million for Unit 1 and Unit 2, respectively, at September 30, 2022) are being amortized at a rate equal to the unit depreciation rates authorized in the 2019 ARP through December 31, 2022. In the Georgia Power 2022 Base Rate Case, Georgia Power requested recovery of the remaining regulatory asset balances for the net book values of the units through 2030 and requested that the timing of recovery of the regulatory asset account for the unusable materials and supplies inventories be determined in a future base rate case.

•Decertification and retirement of Plant Scherer Unit 3 (614 MWs based on 75% ownership) by December 31, 2028 and reclassification to regulatory asset accounts of the remaining net book value (approximately $608 million at September 30, 2022) and any remaining unusable materials and supplies inventory to regulatory asset accounts upon retirement. The timing of recovery for these regulatory assets is expected to be determined in a future base rate case.

•Decertification and retirement of Plant Gaston Units 1 through 4 (500 MWs based on 50% ownership through SEGCO) by December 31, 2028. See Note 7 to the financial statements under "SEGCO" in Item 8 of the Form 10-K for additional information.

•Georgia Power's environmental compliance strategy, including approval of Georgia Power's plans to address CCR at its ash ponds and landfills. Recovery of the related costs is expected to be determined in future base rate cases. The Georgia PSC's approval included a change in the method of closure for one ash

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pond. Georgia Power is currently evaluating the related impact on its cost estimates and AROs; however, it is not expected to be material.

•Installation of environmental controls at Plants Bowen and Scherer for compliance with rules related to effluent limitations guidelines.

•Initiation of a license renewal application with the NRC for Plant Hatch.

•Investments related to the continued hydro operations of Plants Sinclair and Burton.

•Provisional authorization for development of a 265-MW battery energy storage facility with expected commercial operation in 2026.

•Issuance of requests for proposals (RFP) for 2,300 MWs of renewable resources, an additional 500 MWs of energy storage, and up to 140 MWs of biomass generation.

•Related transmission projects necessary to support the generation facilities plan.

•Certification of six PPAs (including five affiliate PPAs with Southern Power that are subject to approval by the FERC) with capacities of 1,567 MWs beginning in 2024, 380 MWs beginning in 2025, and 228 MWs beginning in 2028, procured through RFPs authorized in the 2019 IRP. See Note (F) under "Georgia Power Lease Modification" for additional information.

The Georgia PSC deferred a decision on the requested decertification and retirement of Plant Bowen Units 1 and 2 (1,400 MWs) to the 2025 IRP and rejected Georgia Power's request to certify approximately 88 MWs of wholesale capacity to be placed in retail rate base between January 1, 2024 and January 1, 2025. Georgia Power may offer such capacity in the wholesale market or to the retail jurisdiction in a future regulatory proceeding.

On August 26, 2022, Restore Chattooga Gorge Coalition (RCG) filed a petition in the Superior Court of Fulton County, Georgia against Georgia Power and the Georgia PSC. The petition challenges Georgia Power's plan to expend $115 million to modernize Plant Tugalo, as approved in the 2019 IRP, and seeks judicial review of the Georgia PSC's order in the 2022 IRP proceeding with respect to the denial of RCG's challenge to the modernization plan.

The ultimate outcome of these matters cannot be determined at this time.

Nuclear Construction

In 2009, the Georgia PSC certified construction of Plant Vogtle Units 3 and 4, in which Georgia Power holds a 45.7% ownership interest. In 2012, the NRC issued the related combined construction and operating licenses, which allowed full construction of the two AP1000 nuclear units (with electric generating capacity of approximately 1,100 MWs each) and related facilities to begin. Until March 2017, construction on Plant Vogtle Units 3 and 4 continued under the Vogtle 3 and 4 Agreement, which was a substantially fixed price agreement.

In connection with the EPC Contractor's bankruptcy filing in March 2017, Georgia Power, acting for itself and as agent for the other Vogtle Owners, entered into several transitional arrangements to allow construction to continue. In July 2017, Georgia Power, acting for itself and as agent for the other Vogtle Owners, entered into the Vogtle Services Agreement, whereby Westinghouse provides facility design and engineering services, procurement and technical support, and staff augmentation on a time and materials cost basis. The Vogtle Services Agreement provides that it will continue until the start-up and testing of Plant Vogtle Units 3 and 4 are complete and electricity is generated and sold from both units. The Vogtle Services Agreement is terminable by the Vogtle Owners upon 30 days' written notice.

In October 2017, Georgia Power, acting for itself and as agent for the other Vogtle Owners, executed the Bechtel Agreement, under which Bechtel is reimbursed for actual costs plus a base fee and an at-risk fee, subject to adjustment based on Bechtel's performance against cost and schedule targets. Each Vogtle Owner is severally (not jointly) liable for its proportionate share, based on its ownership interest, of all amounts owed to Bechtel under the Bechtel Agreement. The Vogtle Owners may terminate the Bechtel Agreement at any time for their convenience, provided that the Vogtle Owners will be required to pay amounts related to work performed prior to the termination (including the applicable portion of the base fee), certain termination-related costs, and, at certain stages of the

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work, the applicable portion of the at-risk fee. Bechtel may terminate the Bechtel Agreement under certain circumstances, including certain Vogtle Owner suspensions of work, certain breaches of the Bechtel Agreement by the Vogtle Owners, Vogtle Owner insolvency, and certain other events.

See Note 8 to the financial statements under "Long-term Debt – DOE Loan Guarantee Borrowings" in Item 8 of the Form 10-K for information on the Amended and Restated Loan Guarantee Agreement, including applicable covenants, events of default, and mandatory prepayment events.

Cost and Schedule

Georgia Power's approximate proportionate share of the remaining estimated capital cost to complete Plant Vogtle Units 3 and 4, including contingency, through the end of the first quarter 2023 and the fourth quarter 2023, respectively, is as follows:

	(in millions)
Base project capital cost forecast(a)(b)	$	10,334
Construction contingency estimate	49
Total project capital cost forecast(a)(b)	10,383
Net investment at September 30, 2022(b)	(9,280)
Remaining estimate to complete	$	1,103

(a)Includes approximately $590 million of costs that are not shared with the other Vogtle Owners and approximately $353 million of incremental costs under the cost-sharing and tender provisions of the joint ownership agreements described below. Excludes financing costs expected to be capitalized through AFUDC of approximately $385 million, of which $275 million had been accrued through September 30, 2022.

(b)Net of $1.7 billion received from Toshiba under the Guarantee Settlement Agreement and approximately $188 million in related customer refunds.

Georgia Power estimates that its financing costs for construction of Plant Vogtle Units 3 and 4 will total approximately $3.4 billion, of which $3.1 billion had been incurred through September 30, 2022.

As part of its ongoing processes, Southern Nuclear continues to evaluate cost and schedule forecasts on a regular basis to incorporate current information available, particularly in the areas of engineering support, commodity installation, system turnovers and related test results, and workforce statistics. Southern Nuclear establishes aggressive target values for monthly construction production and system turnover activities, which are reflected in the site work plans.

Since March 2020, the number of active COVID-19 cases at the site has fluctuated consistent with the surrounding area and impacted productivity levels and pace of activity completion, with the site experiencing peaks in the number of active cases in January 2021, August 2021, and January 2022. Georgia Power estimates the productivity impacts of the COVID-19 pandemic have consumed approximately three to four months of schedule margin previously embedded in the site work plan for Unit 3 and Unit 4. As of September 30, 2022, Georgia Power's proportionate share of the estimated incremental cost associated with COVID-19 mitigation actions and impacts on construction productivity is estimated to be between $160 million and $200 million and is included in the total project capital cost forecast. The continuing effects of the COVID-19 pandemic could further disrupt or delay construction and testing activities at Plant Vogtle Units 3 and 4.

On July 29, 2022, Southern Nuclear announced that all Unit 3 ITAACs had been submitted to the NRC. On August 3, 2022, the NRC published its 103(g) finding that the acceptance criteria in the combined license for Unit 3 had been met, which allowed nuclear fuel to be loaded and allows start-up testing to begin. Fuel load for Unit 3 was completed on October 17, 2022, and the unit is projected to be placed in service by the end of the first quarter 2023. Unit 4 is projected to be placed in service by the end of the fourth quarter 2023.

During the first nine months of 2022, established construction contingency totaling $170 million was assigned to the base capital cost forecast for costs primarily associated with construction productivity, the pace of system turnovers, additional craft and support resources, and procurement for Units 3 and 4. Georgia Power also increased its total

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project capital cost forecast by adding $36 million and $32 million to replenish construction contingency in the second quarter 2022 and the third quarter 2022, respectively.

After considering the significant level of uncertainty that exists regarding the future recoverability of these costs since the ultimate outcome of these matters is subject to the outcome of future assessments by management, as well as Georgia PSC decisions in future regulatory proceedings, Georgia Power recorded pre-tax charges to income in the second quarter 2022 and the third quarter 2022 of $36 million ($27 million after tax) and $32 million ($24 million after tax), respectively, for the increases in the total project capital cost forecast. Georgia Power may request the Georgia PSC to evaluate those expenditures for rate recovery during the prudence review following the Unit 4 fuel load pursuant to the twenty-fourth VCM stipulation described below.

The projected schedule for Unit 3 primarily depends on the pace of system and area transitions to operations, including the completion of closure documentation necessary to support start-up testing, and the progression of start-up, final component, and pre-operational testing, which may be impacted by equipment or other operational failures. The projected schedule for Unit 4 primarily depends on Unit 3 progress through start-up and testing; overall construction productivity and production levels improving, particularly in electrical installation, including terminations; and appropriate levels of craft laborers, particularly electricians, being added and maintained. As Unit 4 progresses through construction and continues to transition into testing, ongoing and potential future challenges include the pace and quality of electrical, mechanical, and instrumentation and controls commodities installation; availability of craft and supervisory resources, including the temporary diversion of such resources to support Unit 3; the pace of work package closures and system turnovers; and the timeframe and duration of hot functional and other testing. Ongoing or future challenges for both units also include management of contractors and vendors; subcontractor performance; supervision of craft labor and related productivity; ability to attract and retain craft labor; and/or related cost escalation. New challenges also may arise, particularly as Units 3 and 4 move into initial testing and start-up, which may result in required engineering changes or remediation related to plant systems, structures, or components (some of which are based on new technology that only within the last few years began initial operation in the global nuclear industry at this scale). These challenges may result in further schedule delays and/or cost increases.

There have been technical and procedural challenges to the construction and licensing of Plant Vogtle Units 3 and 4 at the federal and state level and additional challenges may arise. Processes are in place that are designed to ensure compliance with the requirements specified in the Westinghouse Design Control Document and the combined construction and operating licenses, including inspections by Southern Nuclear and the NRC that occur throughout construction. On March 25, 2022, the NRC completed a follow-up inspection related to the November 2021 final significance report on its special inspection to review the root cause of additional construction remediation work identified in 2021 and Southern Nuclear's corresponding corrective action plans. The NRC closed the two white findings identified in November 2021 and returned Vogtle Unit 3 to the NRC's baseline inspection program.

With the receipt of the NRC's 103(g) finding, Unit 3 is now under the NRC's operating reactor oversight process and must meet applicable technical and operational requirements contained within Unit 3's operating license. Various design and other licensing-based compliance matters, including the timely submittal by Southern Nuclear of the ITAAC documentation and the related reviews and approvals by the NRC necessary to support NRC authorization to load fuel for Unit 4, may arise, which may result in additional license amendment requests or require other resolution. If any license amendment requests or other licensing-based compliance issues, including inspections and ITAACs for Unit 4, are not resolved in a timely manner, there may be delays in the project schedule that could result in increased costs.

The ultimate outcome of these matters cannot be determined at this time. However, any extension of the in-service date beyond the first quarter 2023 for Unit 3 or the fourth quarter 2023 for Unit 4, including the current level of cost sharing described below, is estimated to result in additional base capital costs for Georgia Power of up to $15 million per month for Unit 3 and $35 million per month for Unit 4, as well as the related AFUDC and any additional related construction, support resources, or testing costs. While Georgia Power is not precluded from seeking retail recovery of any future capital cost forecast increase other than the amounts related to the cost-sharing

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and tender provisions of the joint ownership agreements described below, management will ultimately determine whether or not to seek recovery. Any further changes to the capital cost forecast that are not expected to be recoverable through regulated rates will be required to be charged to income and such charges could be material.

Joint Owner Contracts

In November 2017, the Vogtle Owners entered into an amendment to their joint ownership agreements for Plant Vogtle Units 3 and 4 to provide for, among other conditions, additional Vogtle Owner approval requirements. Effective in August 2018, the Vogtle Owners further amended the joint ownership agreements to clarify and provide procedures for certain provisions of the joint ownership agreements related to adverse events that require the vote of the holders of at least 90% of the ownership interests in Plant Vogtle Units 3 and 4 to continue construction (as amended, and together with the November 2017 amendment, the Vogtle Joint Ownership Agreements). The Vogtle Joint Ownership Agreements also confirm that the Vogtle Owners' sole recourse against Georgia Power or Southern Nuclear for any action or inaction in connection with their performance as agent for the Vogtle Owners is limited to removal of Georgia Power and/or Southern Nuclear as agent, except in cases of willful misconduct.

Amendments to the Vogtle Joint Ownership Agreements

In connection with a September 2018 vote by the Vogtle Owners to continue construction, Georgia Power entered into (i) a binding term sheet (Vogtle Owner Term Sheet) with the other Vogtle Owners and MEAG Power's wholly-owned subsidiaries MEAG Power SPVJ, LLC (MEAG SPVJ), MEAG Power SPVM, LLC (MEAG SPVM), and MEAG Power SPVP, LLC (MEAG SPVP) to take certain actions which partially mitigate potential financial exposure for the other Vogtle Owners, including additional amendments to the Vogtle Joint Ownership Agreements and the purchase of PTCs from the other Vogtle Owners at pre-established prices, and (ii) a term sheet (MEAG Term Sheet) with MEAG Power and MEAG SPVJ to provide up to $300 million of funding with respect to MEAG SPVJ's ownership interest in Plant Vogtle Units 3 and 4 under certain circumstances. In January 2019, Georgia Power, MEAG Power, and MEAG SPVJ entered into an agreement to implement the provisions of the MEAG Term Sheet. In February 2019, Georgia Power, the other Vogtle Owners, and MEAG Power's wholly-owned subsidiaries MEAG SPVJ, MEAG SPVM, and MEAG SPVP entered into certain amendments to the Vogtle Joint Ownership Agreements to implement the provisions of the Vogtle Owner Term Sheet (Global Amendments).

Pursuant to the Global Amendments: (i) each Vogtle Owner must pay its proportionate share of qualifying construction costs for Plant Vogtle Units 3 and 4 based on its ownership percentage up to the estimated cost at completion (EAC) for Plant Vogtle Units 3 and 4 which formed the basis of Georgia Power's forecast of $8.4 billion in the nineteenth VCM plus $800 million; (ii) Georgia Power will be responsible for 55.7% of actual qualifying construction costs between $800 million and $1.6 billion over the EAC in the nineteenth VCM (resulting in $80 million of potential additional costs to Georgia Power), with the remaining Vogtle Owners responsible for 44.3% of such costs pro rata in accordance with their respective ownership interests; and (iii) Georgia Power will be responsible for 65.7% of qualifying construction costs between $1.6 billion and $2.1 billion over the EAC in the nineteenth VCM (resulting in a further $100 million of potential additional costs to Georgia Power), with the remaining Vogtle Owners responsible for 34.3% of such costs pro rata in accordance with their respective ownership interests. The Global Amendments provide that if the EAC is revised and exceeds the EAC in the nineteenth VCM by more than $2.1 billion, each of the other Vogtle Owners will have a one-time option at the time the project budget cost forecast is so revised to tender a portion of its ownership interest to Georgia Power in exchange for Georgia Power's agreement to pay 100% of such Vogtle Owner's remaining share of total construction costs in excess of the EAC in the nineteenth VCM plus $2.1 billion.

For purposes of the foregoing provisions, qualifying construction costs will not include costs (i) resulting from force majeure events, including epidemics and quarantines, governmental actions or inactions (or significant delays associated with issuance of such actions) that affect the licensing, completion, start-up, operations, or financing of Plant Vogtle Units 3 and 4, administrative proceedings or litigation regarding ITAAC or other regulatory challenges to commencement of operation of Plant Vogtle Units 3 and 4, and changes in laws or regulations governing Plant Vogtle Units 3 and 4, (ii) legal fees and legal expenses incurred due to litigation with contractors or subcontractors

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that are not subsidiaries or affiliates of Southern Company, and (iii) additional costs caused by requests from the Vogtle Owners other than Georgia Power, except for the exercise of a right to vote granted under the Vogtle Joint Ownership Agreements, that increase costs by $100,000 or more.

In addition, pursuant to the Global Amendments, the holders of at least 90% of the ownership interests in Plant Vogtle Units 3 and 4 must vote to continue construction if certain adverse events (Project Adverse Events) occur, including, among other events: (i) the bankruptcy of Toshiba; (ii) the termination or rejection in bankruptcy of certain agreements, including the Vogtle Services Agreement, the Bechtel Agreement, or the agency agreement with Southern Nuclear; (iii) Georgia Power's public announcement of its intention not to submit for rate recovery any portion of its investment in Plant Vogtle Units 3 and 4 or the Georgia PSC determines that any of Georgia Power's costs relating to the construction of Plant Vogtle Units 3 and 4 will not be recovered in retail rates, excluding any additional amounts paid by Georgia Power on behalf of the other Vogtle Owners pursuant to the Global Amendments described above and the first 6% of costs during any six-month VCM reporting period that are disallowed by the Georgia PSC for recovery, or for which Georgia Power elects not to seek cost recovery, through retail rates; and (iv) an incremental extension of one year or more from the seventeenth VCM report estimated in-service dates of November 2021 and November 2022 for Units 3 and 4, respectively. The schedule extension announced in February 2022 triggered the requirement for a vote to continue construction. Effective February 25, 2022, all of the Vogtle Owners had voted to continue construction.

Georgia Power and the other Vogtle Owners do not agree on either the starting dollar amount for the determination of cost increases subject to the cost-sharing and tender provisions of the Global Amendments or the extent to which COVID-19-related costs impact those provisions. Based on the definition in the Global Amendments, Georgia Power believes the starting dollar amount is $18.38 billion and the current project capital cost forecast exceeds the cost-sharing provision threshold, but not the tender provision threshold. The other Vogtle Owners have notified Georgia Power that they believe the current capital cost expenditures have already exceeded the cost-sharing thresholds and the current project capital cost forecast triggers the tender provisions under the Global Amendments. In October 2021, Georgia Power and the other Vogtle Owners entered into an agreement, which was modified on June 3, 2022, to clarify the process for the tender provisions of the Global Amendments to provide for a decision between 120 and 194 days after the tender option is triggered, which the other Vogtle Owners assert occurred on February 14, 2022. On June 17, 2022 and July 26, 2022, OPC and Dalton, respectively, notified Georgia Power of their purported exercises of their tender options.

On June 18, 2022, OPC and MEAG Power each filed a separate lawsuit against Georgia Power in the Superior Court of Fulton County, Georgia seeking a declaratory judgment that the starting dollar amount is $17.1 billion and that the cost-sharing and tender provisions have been triggered. The lawsuits also assert other claims, including breach of contract allegations, and seek, among other remedies, damages and injunctive relief requiring Georgia Power to track and allocate construction costs consistent with MEAG Power's and OPC's interpretations of the Global Amendments. On July 25, 2022 and July 28, 2022, Georgia Power filed its answers in the lawsuits filed by MEAG Power and OPC, respectively, and included counterclaims seeking a declaratory judgment that the starting dollar amount is $18.38 billion and that costs related to force majeure events are excluded prior to calculating the cost-sharing and tender provisions and when calculating Georgia Power's related financial obligations. On September 26, 2022, Dalton filed complaints in each of these lawsuits. On September 29, 2022, Georgia Power and MEAG Power reached an agreement to resolve their dispute regarding the proper interpretation of the cost-sharing and tender provisions of the Global Amendments. Under the terms of the agreement, among other items, (i) MEAG Power will not exercise its tender option and will retain its full ownership interest in Plant Vogtle Units 3 and 4; (ii) Georgia Power will pay a portion of MEAG Power's costs of construction for Plant Vogtle Units 3 and 4 as such costs are incurred and with no further adjustment for force majeure costs, which payments will total approximately $79 million based on the current project capital cost forecast; and (iii) Georgia Power will pay 20% of MEAG Power's costs of construction with respect to any amounts over the current project capital cost forecast, with no further adjustment for force majeure costs. In addition, MEAG Power agreed to vote to continue construction upon occurrence of a Project Adverse Event unless the commercial operation date of either of Plant Vogtle Unit 3 or Unit 4 is not projected to occur by December 31, 2025. On October 4, 2022, MEAG Power and Georgia Power filed a

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notice of settlement and voluntary dismissal of their pending litigation, including Georgia Power's counterclaim, and, on October 6, 2022, Dalton dismissed its related complaint.

Georgia Power recorded pre-tax charges (credits) to income in the fourth quarter 2021, the second quarter 2022, and the third quarter 2022 of approximately $440 million ($328 million after tax), $16 million ($12 million after tax), and $(102) million ($(76) million after tax), respectively, associated with the cost-sharing and tender provisions of the Global Amendments, including the settlement with MEAG Power, which are included in the total project capital cost forecast and will not be recovered from retail customers. The settlement with MEAG Power does not resolve the separate pending litigation with OPC, including Dalton's associated complaint, described above. Georgia Power may be required to record further pre-tax charges to income of up to approximately $300 million associated with the cost-sharing and tender provisions of the Global Amendments for OPC and Dalton based on the current project capital cost forecast.

Georgia Power's ownership interest in Plant Vogtle Units 3 and 4 continues to be 45.7%; however, it could increase if OPC or Dalton effectively exercises the option to tender a portion of their ownership interest to Georgia Power and require Georgia Power to pay 100% of the remaining share of the costs necessary to complete Plant Vogtle Units 3 and 4. Georgia Power's incremental ownership interest would be calculated and conveyed to Georgia Power after Plant Vogtle Units 3 and 4 are placed in service.

The ultimate outcome of these matters cannot be determined at this time.

Regulatory Matters

In 2009, the Georgia PSC voted to certify construction of Plant Vogtle Units 3 and 4 with a certified capital cost of $4.418 billion. In addition, in 2009 the Georgia PSC approved inclusion of the Plant Vogtle Units 3 and 4 related CWIP accounts in rate base, and the State of Georgia enacted the Georgia Nuclear Energy Financing Act, which allows Georgia Power to recover financing costs for Plant Vogtle Units 3 and 4. Financing costs are recovered on all applicable certified costs through annual adjustments to the NCCR tariff up to the certified capital cost of $4.418 billion. At September 30, 2022, Georgia Power had recovered approximately $2.8 billion of financing costs. Financing costs related to capital costs above $4.418 billion are being recognized through AFUDC and are expected to be recovered through retail rates over the life of Plant Vogtle Units 3 and 4; however, Georgia Power is not recording AFUDC related to any capital costs in excess of the total deemed reasonable by the Georgia PSC (currently $7.3 billion) and not requested for rate recovery. In November 2021, the Georgia PSC approved Georgia Power's request to decrease the NCCR tariff by $78 million annually, effective January 1, 2022.

Georgia Power is required to file semi-annual VCM reports with the Georgia PSC by February 28 and August 31 of each year. In 2013, in connection with the eighth VCM report, the Georgia PSC approved a stipulation between Georgia Power and the staff of the Georgia PSC to waive the requirement to amend the Plant Vogtle Units 3 and 4 certificate in accordance with the 2009 certification order until the completion of Plant Vogtle Unit 3, or earlier if deemed appropriate by the Georgia PSC and Georgia Power.

In 2016, the Georgia PSC voted to approve a settlement agreement (Vogtle Cost Settlement Agreement) resolving certain prudency matters in connection with the fifteenth VCM report. In December 2017, the Georgia PSC voted to approve (and issued its related order on January 11, 2018) Georgia Power's seventeenth VCM report and modified the Vogtle Cost Settlement Agreement. The Vogtle Cost Settlement Agreement, as modified by the January 11, 2018 order, resolved the following regulatory matters related to Plant Vogtle Units 3 and 4: (i) none of the $3.3 billion of costs incurred through December 31, 2015 and reflected in the fourteenth VCM report should be disallowed from rate base on the basis of imprudence; (ii) the Contractor Settlement Agreement was reasonable and prudent and none of the $0.3 billion paid pursuant to the Contractor Settlement Agreement should be disallowed from rate base on the basis of imprudence; (iii) (a) capital costs incurred up to $5.68 billion would be presumed to be reasonable and prudent with the burden of proof on any party challenging such costs, (b) Georgia Power would have the burden to show that any capital costs above $5.68 billion were prudent, and (c) a revised capital cost forecast of $7.3 billion (after reflecting the impact of payments received under the Guarantee Settlement Agreement and related customer refunds) was found reasonable; (iv) construction of Plant Vogtle Units 3 and 4 should be

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completed, with Southern Nuclear serving as project manager and Bechtel as primary contractor; (v) approved and deemed reasonable Georgia Power's revised schedule placing Plant Vogtle Units 3 and 4 in service in November 2021 and November 2022, respectively; (vi) confirmed that the revised cost forecast does not represent a cost cap and that a prudence proceeding on cost recovery will occur following Unit 4 fuel load, consistent with applicable Georgia law; (vii) reduced the ROE used to calculate the NCCR tariff (a) from 10.95% (the ROE rate setting point authorized by the Georgia PSC in the 2013 alternate rate plan) to 10.00% effective January 1, 2016, (b) from 10.00% to 8.30%, effective January 1, 2020, and (c) from 8.30% to 5.30%, effective January 1, 2021 (provided that the ROE in no case will be less than Georgia Power's average cost of long-term debt); (viii) reduced the ROE used for AFUDC equity for Plant Vogtle Units 3 and 4 from 10.00% to Georgia Power's average cost of long-term debt, effective January 1, 2018; and (ix) agreed that effective the first month after Unit 3 reaches commercial operation, retail base rates would be adjusted to include the costs related to Unit 3 and common facilities deemed prudent in the Vogtle Cost Settlement Agreement (see Note 2 to the financial statements under "Georgia Power – Plant Vogtle Unit 3 and Common Facilities Rate Proceeding" in Item 8 of the Form 10-K for additional information). The January 11, 2018 order also stated that if Plant Vogtle Units 3 and 4 are not commercially operational by June 1, 2021 and June 1, 2022, respectively, the ROE used to calculate the NCCR tariff will be further reduced by 10 basis points each month (but not lower than Georgia Power's average cost of long-term debt) until the respective Unit is commercially operational. The ROE reductions negatively impacted earnings by approximately $270 million in 2021 and are estimated to have negative earnings impacts of approximately $300 million and $250 million in 2022 and 2023, respectively. In its January 11, 2018 order, the Georgia PSC also stated if other conditions change and assumptions upon which Georgia Power's seventeenth VCM report are based do not materialize, the Georgia PSC reserved the right to reconsider the decision to continue construction.

In the August 2021 order approving the twenty-fourth VCM report, the Georgia PSC approved a stipulation addressing the following matters: (i) beginning with its twenty-fifth VCM report, Georgia Power will continue to report to the Georgia PSC all costs incurred during the period for review and will request for approval costs up to the $7.3 billion determined to be reasonable in the Georgia PSC's seventeenth VCM order and (ii) Georgia Power will not seek rate recovery of the $0.7 billion increase to the base capital cost forecast included in the nineteenth VCM report and charged to income by Georgia Power in the second quarter 2018. In addition, the stipulation confirms Georgia Power may request verification and approval of costs above $7.3 billion for inclusion in rate base at a later time, but no earlier than the prudence review contemplated by the seventeenth VCM order described previously.

The Georgia PSC has approved 25 VCM reports covering periods through June 30, 2021. These reports reflect total construction capital costs incurred of $7.9 billion (net of $1.7 billion of payments received under the Guarantee Settlement Agreement and approximately $188 million in related customer refunds), of which the Georgia PSC has verified and approved $7.3 billion as described above. The Georgia PSC also has reviewed the twenty-sixth VCM report, which reflects $584 million of additional construction capital costs incurred through December 31, 2021. Georgia Power filed its twenty-seventh VCM report with the Georgia PSC on August 31, 2022, which reflects the revised capital cost forecast as of June 30, 2022 of $10.5 billion and $522 million of construction capital costs incurred from January 1, 2022 through June 30, 2022.

The ultimate outcome of these matters cannot be determined at this time.

Mississippi Power

Performance Evaluation Plan

On June 7, 2022, the Mississippi PSC approved Mississippi Power's annual retail PEP filing for 2022, resulting in an annual increase in revenues of approximately $18 million, or 1.9%, primarily due to increases in rate base, operations and maintenance expenses, and depreciation and amortization. The rate increase became effective with the first billing cycle of April 2022 in accordance with the PEP rate schedule.

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Ad Valorem Tax Adjustment

On June 7, 2022, the Mississippi PSC approved Mississippi Power's annual ad valorem tax adjustment filing for 2022, resulting in an annual increase in revenues of $5 million, effective with the first billing cycle of July 2022.

Municipal and Rural Associations Tariff

On August 26, 2022, the FERC accepted an amended shared service agreement (SSA) between Mississippi Power and Cooperative Energy, effective July 1, 2022, under which Cooperative Energy will continue to decrease its use of Mississippi Power's generation services under the MRA tariff up to 2.5% annually through 2035. At September 30, 2022, Mississippi Power is serving approximately 400 MWs of Cooperative Energy's annual demand. Beginning in 2036, Cooperative Energy will provide 100% of its electricity requirements at the MRA delivery points under the tariff. Neither party has the option to cancel the amended SSA.

On July 15, 2022, Mississippi Power filed a request with the FERC for a $23 million increase in annual wholesale base revenues under the MRA tariff and requested an effective date of July 15, 2022. Cooperative Energy has filed a complaint with the FERC challenging the new rates. On September 13, 2022, the FERC issued an order accepting Mississippi Power's request effective September 14, 2022, subject to refund, and establishing hearing and settlement judge procedures. The ultimate outcome of this matter cannot be determined at this time.

Southern Company Gas

Infrastructure Replacement Programs and Capital Projects

Capital expenditures incurred under specific infrastructure replacement programs and capital projects during the first nine months of 2022 were as follows:

Utility	Program	Nine Months Ended September 30, 2022
		(in millions)
Nicor Gas	Investing in Illinois	$	311
Virginia Natural Gas	SAVE	52
Atlanta Gas Light	System Reinforcement Rider	51
Chattanooga Gas	Pipeline Replacement Program	2
Total		$	416

Rate Proceedings

Atlanta Gas Light

On July 1, 2022, Atlanta Gas Light filed its annual GRAM update with the Georgia PSC. The filing requests an annual base rate increase of $53 million based on the projected 12-month period beginning January 1, 2023. Resolution of the GRAM filing is expected by December 28, 2022, with the new rates effective January 1, 2023. The ultimate outcome of this matter cannot be determined at this time.

Virginia Natural Gas

On August 1, 2022, Virginia Natural Gas filed a general base rate case with the Virginia Commission seeking an increase in annual base rate revenues of $69 million, including $15 million related to the recovery of investments under the SAVE program, primarily to recover investments and increased costs associated with infrastructure, technology, and workforce development. The requested increase is based on a projected 12-month period beginning January 1, 2023, a ROE of 10.35%, and an equity ratio of 53.2%. Rate adjustments are expected to be effective January 1, 2023, subject to refund. The Virginia Commission is expected to rule on the requested increase in the third quarter 2023. The ultimate outcome of this matter cannot be determined at this time.

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(C) CONTINGENCIES

See Note 3 to the financial statements in Item 8 of the Form 10-K for information relating to various lawsuits and other contingencies.

General Litigation Matters

The Registrants are involved in various matters being litigated and regulatory matters. The ultimate outcome of such pending or potential litigation or regulatory matters against each Registrant and any subsidiaries cannot be determined at this time; however, for current proceedings not specifically reported herein, management does not anticipate that the ultimate liabilities, if any, arising from such current proceedings would have a material effect on such Registrant's financial statements.

The Registrants believe the pending legal challenges discussed below have no merit; however, the ultimate outcome of these matters cannot be determined at this time.

Southern Company

In February 2017, Jean Vineyard and Judy Mesirov each filed a shareholder derivative lawsuit in the U.S. District Court for the Northern District of Georgia. Each of these lawsuits named as defendants Southern Company, certain of its directors, certain of its current and former officers, and certain former Mississippi Power officers. In 2017, these two shareholder derivative lawsuits were consolidated in the U.S. District Court for the Northern District of Georgia. The complaints alleged that the defendants caused Southern Company to make false or misleading statements regarding the Kemper County energy facility cost and schedule. Further, the complaints alleged that the defendants were unjustly enriched and caused the waste of corporate assets and also alleged that the individual defendants violated their fiduciary duties.

In May 2017, Helen E. Piper Survivor's Trust filed a shareholder derivative lawsuit in the Superior Court of Gwinnett County, Georgia that named as defendants Southern Company, certain of its directors, certain of its current and former officers, and certain former Mississippi Power officers. The complaint alleged that the individual defendants, among other things, breached their fiduciary duties in connection with schedule delays and cost overruns associated with the construction of the Kemper County energy facility. The complaint further alleged that the individual defendants authorized or failed to correct false and misleading statements regarding the Kemper County energy facility schedule and cost and failed to implement necessary internal controls to prevent harm to Southern Company. In August 2019, the court granted a motion filed by the plaintiff in July 2019 to substitute a new named plaintiff, Martin J. Kobuck, in place of Helen E. Piper Survivor's Trust.

The plaintiffs in each of these cases sought to recover, on behalf of Southern Company, unspecified actual damages and, on each plaintiff's own behalf, attorneys' fees and costs in bringing the lawsuit. The plaintiffs also sought certain changes to Southern Company's corporate governance and internal processes. On January 21, 2022, the plaintiffs in the federal court action filed a motion for preliminary approval of settlement, together with an executed stipulation of settlement, which applied to both actions. On June 9, 2022, the U.S. District Court for the Northern District of Georgia granted final approval of the settlement and, on June 16, 2022, the Superior Court of Gwinnett County, Georgia entered an order awarding attorneys' fees and expenses related to the Martin J. Kobuck lawsuit. The settlement consisted of an aggregate payment by Southern Company's insurers of approximately $4.5 million for attorneys' fees and expenses, as well as adoption of various corporate governance reforms by Southern Company. These matters are now concluded.

Alabama Power

On September 26, 2022, Mobile Baykeeper, through its counsel Southern Environmental Law Center, filed a citizen suit in the U.S. District Court for the Southern District of Alabama alleging that Alabama Power's plan to close the Plant Barry ash pond utilizing a closure-in-place methodology violates the Resource Conservation and Recovery Act (RCRA) and regulations governing CCR. Among other relief requested, Mobile Baykeeper seeks a declaratory judgment that the RCRA and regulations governing CCR are being violated, preliminary and injunctive relief to

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prevent implementation of Alabama Power's closure plan and the development of a closure plan that satisfies regulations governing CCR requirements. See Note 6 to the financial statements in Item 8 of the Form 10-K for a discussion of Alabama Power's ARO liabilities related to facilities that are subject to the CCR Rule and the related state rule. The ultimate outcome of this matter cannot be determined at this time.

Georgia Power

In 2011, plaintiffs filed a putative class action against Georgia Power in the Superior Court of Fulton County, Georgia alleging that Georgia Power's collection in rates of amounts for municipal franchise fees (which fees are paid to municipalities) exceeded the amounts allowed in orders of the Georgia PSC and alleging certain state law claims. This case has been ruled upon and appealed numerous times over the last several years. In 2019, the Georgia PSC issued an order that found Georgia Power has appropriately implemented the municipal franchise fee schedule. In March 2021, the Superior Court of Fulton County granted class certification and Georgia Power's motion for summary judgment and the plaintiffs filed a notice of appeal. In April 2021, Georgia Power filed a notice of cross appeal on the issue of class certification. In December 2021, the Georgia Court of Appeals affirmed the Superior Court's ruling that granted summary judgment to Georgia Power and dismissed Georgia Power's cross appeal on the issue of class certification as moot. Also in December 2021, the plaintiffs filed a petition for writ of certiorari to the Georgia Supreme Court. The amount of any possible losses cannot be estimated at this time because, among other factors, it is unknown whether any losses would be subject to recovery from any municipalities.

In July 2020, a group of individual plaintiffs filed a complaint in the Superior Court of Fulton County, Georgia against Georgia Power alleging that releases from Plant Scherer have impacted groundwater, surface water, and air, resulting in alleged personal injuries and property damage. The plaintiffs seek an unspecified amount of monetary damages including punitive damages, a medical monitoring fund, and injunctive relief. Georgia Power has filed multiple motions to dismiss the complaint. In October 2021, three additional complaints were filed in the Superior Court of Monroe County, Georgia against Georgia Power alleging that releases from Plant Scherer have impacted groundwater and air, resulting in alleged personal injuries and property damage. The plaintiffs seek an unspecified amount of monetary damages including punitive damages. In November 2021, Georgia Power filed a notice to remove the three cases pending in the Superior Court of Monroe County, Georgia to the U.S. District Court for the Middle District of Georgia. On February 7, 2022, four additional complaints were filed in the Superior Court of Monroe County, Georgia against Georgia Power seeking damages for alleged personal injuries or property damage. On March 9, 2022, Georgia Power filed a notice to remove the four cases pending in the Superior Court of Monroe County, Georgia to the U.S. District Court for the Middle District of Georgia. The amount of any possible losses from these matters cannot be estimated at this time.

Mississippi Power

In 2018, Ray C. Turnage and 10 other individual plaintiffs filed a putative class action complaint against Mississippi Power and the three then-serving members of the Mississippi PSC in the U.S. District Court for the Southern District of Mississippi, which was amended in March 2019 to include four additional plaintiffs. Mississippi Power received Mississippi PSC approval in 2013 to charge a mirror CWIP rate premised upon including in its rate base pre-construction and construction costs for the Kemper IGCC prior to placing the Kemper IGCC into service. The Mississippi Supreme Court reversed that approval and ordered Mississippi Power to refund the amounts paid by customers under the previously-approved mirror CWIP rate. The plaintiffs allege that the initial approval process, and the amount approved, were improper and make claims for gross negligence, reckless conduct, and intentional wrongdoing. They also allege that Mississippi Power underpaid customers by up to $23.5 million in the refund process by applying an incorrect interest rate. The plaintiffs seek to recover, on behalf of themselves and their putative class, actual damages, punitive damages, pre-judgment interest, post-judgment interest, attorney's fees, and costs. The district court dismissed the amended complaint; however, in March 2020, the plaintiffs filed a motion seeking to name the new members of the Mississippi PSC, the Mississippi Development Authority, and Southern Company as additional defendants and add a cause of action against all defendants based on a dormant commerce clause theory under the U.S. Constitution. In July 2020, the plaintiffs filed a motion for leave to file a third amended complaint, which included the same federal claims as the proposed second amended complaint, as well as several

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additional state law claims based on the allegation that Mississippi Power failed to disclose the annual percentage rate of interest applicable to refunds. In November 2020, the district court denied each of the plaintiffs' pending motions and entered final judgment in favor of Mississippi Power. In January 2021, the district court denied further motions by the plaintiffs to vacate the judgment and to file a revised second amended complaint. In February 2021, the plaintiffs filed a notice of appeal with the U.S. Court of Appeals for the Fifth Circuit. On March 21, 2022, the U.S. Court of Appeals for the Fifth Circuit issued an opinion affirming the dismissal of the claims against the Mississippi PSC defendants but reversing the dismissal of the claims against Mississippi Power. On May 31, 2022, the U.S. Court of Appeals for the Fifth Circuit denied a petition by Mississippi Power for a rehearing en banc and remanded the case to the U.S. District Court for the Southern District of Mississippi for further proceedings. On June 17, 2022, Mississippi Power filed with the trial court a motion to dismiss the complaint. An adverse outcome in this proceeding could have a material impact on Mississippi Power's financial statements.

Environmental Remediation

The Southern Company system must comply with environmental laws and regulations governing the handling and disposal of waste and releases of hazardous substances. Under these various laws and regulations, the Southern Company system could incur substantial costs to clean up affected sites. The traditional electric operating companies and the natural gas distribution utilities in Illinois and Georgia have each received authority from their respective state PSCs or other applicable state regulatory agencies to recover approved environmental remediation costs through regulatory mechanisms. These regulatory mechanisms are adjusted annually or as necessary within limits approved by the state PSCs or other applicable state regulatory agencies.

Georgia Power's environmental remediation liability was $16 million and $17 million at September 30, 2022 and December 31, 2021, respectively. Georgia Power has been designated or identified as a potentially responsible party at sites governed by the Georgia Hazardous Site Response Act and/or by the federal Comprehensive Environmental Response, Compensation, and Liability Act, and assessment and potential cleanup of such sites is expected.

Southern Company Gas' environmental remediation liability was $270 million and $249 million at September 30, 2022 and December 31, 2021, respectively, based on the estimated cost of environmental investigation and remediation associated with known former manufactured gas plant operating sites.

The ultimate outcome of these matters cannot be determined at this time; however, as a result of the regulatory treatment for environmental remediation expenses described above, the final disposition of these matters is not expected to have a material impact on the financial statements of the applicable Registrants.

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Other Matters

Mississippi Power

In conjunction with Southern Company's 2019 sale of Gulf Power, NextEra Energy, Inc. held back $75 million of the purchase price pending Mississippi Power and Gulf Power negotiating a mutually acceptable revised operating agreement for Plant Daniel. On July 12, 2022, the co-owners executed a revised operating agreement and Southern Company subsequently received the remaining $75 million of the purchase price. The revised operating agreement contains dispatch procedures for the two jointly-owned coal units at Plant Daniel such that Mississippi Power will designate one of the two units as primary and the other as secondary in lieu of each company separately owning 100% of a single generating unit. Mississippi Power has the option to purchase its co-owner's ownership interest for $1 on January 15, 2024, provided that Mississippi Power exercises the option no later than 120 days prior to that date. The revised operating agreement is not expected to have a material impact on Mississippi Power's financial statements. See Note 15 to the financial statements under "Southern Company" in Item 8 of the Form 10-K for additional information regarding the sale of Gulf Power.

On August 31, 2022, the Mississippi Department of Revenue (Mississippi DOR) completed an audit of sales and use taxes paid by Mississippi Power from 2016 to 2019 and entered a final assessment, indicating a total amount due of $28 million, including associated penalties and interest. Mississippi Power does not agree with the audit findings and expects to exercise its rights to an administrative appeal with the Mississippi DOR by October 30, 2022. Excluding amounts associated with the gasifier and other abandoned Kemper IGCC assets, Mississippi Power's sales and use taxes are generally authorized for rate recovery; however, the ultimate outcome of this matter cannot be determined at this time.

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(D) REVENUE FROM CONTRACTS WITH CUSTOMERS AND LEASE INCOME

Revenue from Contracts with Customers

The Registrants generate revenues from a variety of sources, some of which are not accounted for as revenue from contracts with customers, such as leases, derivatives, and certain cost recovery mechanisms. See Note 1 to the financial statements under "Revenues" in Item 8 of the Form 10-K for additional information on the revenue policies of the Registrants. See "Lease Income" herein and Note (J) for additional information on revenue accounted for under lease and derivative accounting guidance, respectively.

The following table disaggregates revenue from contracts with customers for the three and nine months ended September 30, 2022 and 2021:

	Southern Company		Alabama Power		Georgia Power		Mississippi Power		Southern Power		Southern Company Gas
	(in millions)
Three Months Ended September 30, 2022
Operating revenues
Retail electric revenues
Residential	$	2,104	$	799	$	1,212	$	93	$	—	$	—
Commercial	1,637		499		1,051		87		—		—
Industrial	1,183		452		642		89		—		—
Other	27		3		22		2		—		—
Total retail electric revenues	4,951		1,753		2,927		271		—		—
Natural gas distribution revenues
Residential	331		—		—		—		—		331
Commercial	93		—		—		—		—		93
Transportation	259		—		—		—		—		259
Industrial	12		—		—		—		—		12
Other	49		—		—		—		—		49
Total natural gas distribution revenues	744		—		—		—		—		744
Wholesale electric revenues
PPA energy revenues	812		187		40		4		591		—
PPA capacity revenues	175		56		12		1		107		—
Non-PPA revenues	58		67		4		242		303		—
Total wholesale electric revenues	1,045		310		56		247		1,001		—
Other natural gas revenues
Gas marketing services	84		—		—		—		—		84
Other natural gas revenues	15		—		—		—		—		15
Total natural gas revenues	99		—		—		—		—		99
Other revenues	277		65		110		13		9		—
Total revenue from contracts with customers	7,116		2,128		3,093		531		1,010		843
Other revenue sources(a)	1,262		316		796		(21)		170		14
Total operating revenues	$	8,378	$	2,444	$	3,889	$	510	$	1,180	$	857

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	Southern Company		Alabama Power		Georgia Power		Mississippi Power		Southern Power		Southern Company Gas
	(in millions)
Nine Months Ended September 30, 2022
Operating revenues
Retail electric revenues
Residential	$	5,282	$	2,049	$	2,995	$	238	$	—	$	—
Commercial	4,202		1,285		2,688		229		—		—
Industrial	2,914		1,143		1,529		242		—		—
Other	79		10		62		7		—		—
Total retail electric revenues	12,477		4,487		7,274		716		—		—
Natural gas distribution revenues
Residential	1,821		—		—		—		—		1,821
Commercial	493		—		—		—		—		493
Transportation	872		—		—		—		—		872
Industrial	60		—		—		—		—		60
Other	244		—		—		—		—		244
Total natural gas distribution revenues	3,490		—		—		—		—		3,490
Wholesale electric revenues
PPA energy revenues	1,739		354		112		11		1,285		—
PPA capacity revenues	443		135		35		4		273		—
Non-PPA revenues	182		166		19		511		572		—
Total wholesale electric revenues	2,364		655		166		526		2,130		—
Other natural gas revenues
Gas marketing services	417		—		—		—		—		417
Other natural gas revenues	41		—		—		—		—		41
Total natural gas revenues	458		—		—		—		—		458
Other revenues	810		173		327		34		27		—
Total revenue from contracts with customers	19,599		5,315		7,767		1,276		2,157		3,948
Other revenue sources(a)	2,633		708		1,451		3		461		50
Total operating revenues	$	22,232	$	6,023	$	9,218	$	1,279	$	2,618	$	3,998

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	Southern Company		Alabama Power		Georgia Power		Mississippi Power		Southern Power		Southern Company Gas
	(in millions)
Three Months Ended September 30, 2021
Operating revenues
Retail electric revenues
Residential	$	1,974	$	750	$	1,138	$	86	$	—	$	—
Commercial	1,432		471		882		79		—		—
Industrial	902		394		428		80		—		—
Other	24		4		18		2		—		—
Total retail electric revenues	4,332		1,619		2,466		247		—		—
Natural gas distribution revenues
Residential	218		—		—		—		—		218
Commercial	55		—		—		—		—		55
Transportation	239		—		—		—		—		239
Industrial	6		—		—		—		—		6
Other	31		—		—		—		—		31
Total natural gas distribution revenues	549		—		—		—		—		549
Wholesale electric revenues
PPA energy revenues	359		61		41		2		261		—
PPA capacity revenues	125		14		14		1		97		—
Non-PPA revenues	63		54		3		120		134		—
Total wholesale electric revenues	547		129		58		123		492		—
Other natural gas revenues
Gas marketing services	45		—		—		—		—		45
Other natural gas revenues	11		—		—		—		—		11
Total natural gas revenues	56		—		—		—		—		56
Other revenues	248		53		112		8		9		—
Total revenue from contracts with customers	5,732		1,801		2,636		378		501		605
Other revenue sources(a)	506		103		220		—		178		18
Total operating revenues	$	6,238	$	1,904	$	2,856	$	378	$	679	$	623

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	Southern Company		Alabama Power		Georgia Power		Mississippi Power		Southern Power		Southern Company Gas
	(in millions)
Nine Months Ended September 30, 2021
Operating revenues
Retail electric revenues
Residential	$	4,910	$	1,931	$	2,765	$	214	$	—	$	—
Commercial	3,727		1,229		2,293		205		—		—
Industrial	2,299		1,048		1,034		217		—		—
Other	70		13		51		6		—		—
Total retail electric revenues	11,006		4,221		6,143		642		—		—
Natural gas distribution revenues
Residential	1,143		—		—		—		—		1,143
Commercial	298		—		—		—		—		298
Transportation	775		—		—		—		—		775
Industrial	29		—		—		—		—		29
Other	187		—		—		—		—		187
Total natural gas distribution revenues	2,432		—		—		—		—		2,432
Wholesale electric revenues
PPA energy revenues	782		143		71		9		575		—
PPA capacity revenues	375		86		41		4		247		—
Non-PPA revenues	181		108		14		283		273		—
Total wholesale electric revenues	1,338		337		126		296		1,095		—
Other natural gas revenues
Wholesale gas services	2,168		—		—		—		—		2,168
Gas marketing services	303		—		—		—		—		303
Other natural gas revenues	27		—		—		—		—		27
Total natural gas revenues	2,498		—		—		—		—		2,498
Other revenues	792		150		362		22		18		—
Total revenue from contracts with customers	18,066		4,708		6,631		960		1,113		4,930
Other revenue sources(a)	2,979		311		419		28		497		1,763
Other adjustments(b)	(3,699)		—		—		—		—		(3,699)
Total operating revenues	$	17,346	$	5,019	$	7,050	$	988	$	1,610	$	2,994

(a)Other revenue sources relate to revenues from customers accounted for as derivatives and leases, alternative revenue programs at Southern Company Gas, and cost recovery mechanisms and revenues that meet other scope exceptions for revenues from contracts with customers at the traditional electric operating companies.

(b)Other adjustments relate to the cost of Southern Company Gas' energy and risk management activities. Wholesale gas services revenues are presented net of the related costs of those activities on the statement of income. See Note 15 to the financial statements under "Southern Company Gas" in Item 8 of the Form 10-K and Note (L) under "Southern Company Gas" for information on the sale of Sequent and components of wholesale gas services' operating revenues, respectively.

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Contract Balances

The following table reflects the closing balances of receivables, contract assets, and contract liabilities related to revenues from contracts with customers at September 30, 2022 and December 31, 2021:

	Southern Company		Alabama Power		Georgia Power		Mississippi Power		Southern Power		Southern Company Gas
	(in millions)
Accounts Receivable
At September 30, 2022	$	2,760	$	800	$	1,035	$	98	$	264	$	433
At December 31, 2021	2,504		589		736		73		149		753
Contract Assets
At September 30, 2022	$	178	$	5	$	114	$	—	$	—	$	—
At December 31, 2021	117		2		63		—		1		—
Contract Liabilities
At September 30, 2022	$	56	$	5	$	6	$	7	$	2	$	—
At December 31, 2021	57		4		14		—		1		—

At September 30, 2022 and December 31, 2021, Georgia Power had contract assets primarily related to retail customer fixed bill programs, where the payment is contingent upon Georgia Power's continued performance and the customer's continued participation in the program over a one-year contract term, and unregulated service agreements, where payment is contingent on project completion. Contract liabilities for Georgia Power relate to cash collections recognized in advance of revenue for unregulated service agreements. Southern Company's unregulated distributed generation business had $59 million and $50 million of contract assets and $37 million and $39 million of contract liabilities at September 30, 2022 and December 31, 2021, respectively, for outstanding performance obligations.

Revenues recognized in the three and nine months ended September 30, 2022, which were included in contract liabilities at December 31, 2021, were $13 million and $32 million, respectively, for Southern Company and immaterial for the other Registrants.

Remaining Performance Obligations

The Subsidiary Registrants have long-term contracts with customers in which revenues are recognized as performance obligations are satisfied over the contract term. For the traditional electric operating companies and Southern Power, these contracts primarily relate to PPAs whereby electricity and generation capacity are provided to a customer. The revenue recognized for the delivery of electricity is variable; however, certain PPAs include a fixed payment for fixed generation capacity over the term of the contract. For Southern Company Gas, these contracts involve energy infrastructure enhancement and upgrade projects for certain governmental customers. Southern Company's unregulated distributed generation business also has partially satisfied performance obligations related to certain fixed price contracts. Revenues from contracts with customers related to these performance obligations remaining at September 30, 2022 are expected to be recognized as follows:

	2022 (remaining)		2023		2024		2025		2026		Thereafter
	(in millions)
Southern Company	$	243	$	619	$	434	$	322	$	307	$	2,340
Alabama Power	8		24		7		5		—		—
Georgia Power	20		70		34		22		11		21
Southern Power	80		341		344		294		299		2,334
Southern Company Gas	12		29		29		—		—		—

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Revenue expected to be recognized for performance obligations remaining at September 30, 2022 was immaterial for Mississippi Power.

Lease Income

Lease income for the three and nine months ended September 30, 2022 and 2021 is as follows:

	Southern Company		Alabama Power		Georgia Power		Mississippi Power		Southern Power		Southern Company Gas
	(in millions)
For the Three Months Ended September 30, 2022
Lease income - interest income on sales-type leases	$	7	$	—	$	—	$	4	$	3	$	—
Lease income - operating leases	50		19		8		1		21		9
Variable lease income	139		—		—		—		145		—
Total lease income	$	196	$	19	$	8	$	5	$	169	$	9
For the Nine Months Ended September 30, 2022
Lease income - interest income on sales-type leases	$	19	$	—	$	—	$	11	$	8	$	—
Lease income - operating leases	149		58		24		1		64		27
Variable lease income	355		1		—		—		372		—
Total lease income	$	523	$	59	$	24	$	12	$	444	$	27
For the Three Months Ended September 30, 2021
Lease income - interest income on sales-type leases	$	4	$	—	$	—	$	4	$	—	$	—
Lease income - operating leases	56		21		11		—		21		9
Variable lease income	143		—		—		—		151		—
Total lease income	$	203	$	21	$	11	$	4	$	172	$	9
For the Nine Months Ended September 30, 2021
Lease income - interest income on sales-type leases	$	11	$	—	$	—	$	10	$	—	$	—
Lease income - operating leases	168		62		31		1		64		26
Variable lease income	355		—		—		—		379		—
Total lease income	$	534	$	62	$	31	$	11	$	443	$	26

Lease payments received under tolling arrangements and PPAs consist of either scheduled payments or variable payments based on the amount of energy produced by the underlying electric generating units. Lease income for Alabama Power and Southern Power is included in wholesale revenues.

(E) CONSOLIDATED ENTITIES AND EQUITY METHOD INVESTMENTS

See Note 7 to the financial statements in Item 8 of the Form 10-K for additional information.

Southern Power

Variable Interest Entities

Southern Power has certain subsidiaries that are determined to be VIEs. Southern Power is considered the primary beneficiary of these VIEs because it controls the most significant activities of the VIEs, including operating and maintaining the respective assets, and has the obligation to absorb expected losses of these VIEs to the extent of its equity interests.

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SP Solar and SP Wind

At September 30, 2022 and December 31, 2021, SP Solar had total assets of $6.0 billion and $6.1 billion, respectively, total liabilities of $0.4 billion, and noncontrolling interests of $1.1 billion. Cash distributions from SP Solar are allocated 67% to Southern Power and 33% to Global Atlantic in accordance with their partnership interest percentage. Under the terms of the limited partnership agreement, distributions without limited partner consent are limited to available cash and SP Solar is obligated to distribute all such available cash to its partners each quarter. Available cash includes all cash generated in the quarter subject to the maintenance of appropriate operating reserves.

At September 30, 2022 and December 31, 2021, SP Wind had total assets of $2.3 billion, total liabilities of $191 million and $130 million, respectively, and noncontrolling interests of $40 million and $41 million, respectively. Under the terms of the limited liability agreement, distributions without Class A member consent are limited to available cash and SP Wind is obligated to distribute all such available cash to its members each quarter. Available cash includes all cash generated in the quarter subject to the maintenance of appropriate operating reserves. Cash distributions from SP Wind are generally allocated 60% to Southern Power and 40% to the three financial investors in accordance with the limited liability agreement.

Southern Power consolidates both SP Solar and SP Wind, as the primary beneficiary, since it controls the most significant activities of each entity, including operating and maintaining their assets. Certain transfers and sales of the assets in the VIEs are subject to partner consent and the liabilities are non-recourse to the general credit of Southern Power. Liabilities consist of customary working capital items and do not include any long-term debt.

Other Variable Interest Entities

Southern Power has other consolidated VIEs that relate to certain subsidiaries that have either sold noncontrolling interests to tax equity investors or acquired less than a 100% interest from facility developers. These entities are considered VIEs because the arrangements are structured similar to a limited partnership and the noncontrolling members do not have substantive kick-out rights.

At September 30, 2022 and December 31, 2021, the other VIEs had total assets of $1.9 billion, total liabilities of $0.2 billion and $0.3 billion, respectively, and noncontrolling interests of $0.8 billion and $0.9 billion, respectively. Under the terms of the partnership agreements, distributions of all available cash are required each month or quarter and additional distributions require partner consent.

Equity Method Investments

At September 30, 2022 and December 31, 2021, Southern Power had equity method investments in wind and battery energy storage projects totaling $49 million and $86 million, respectively. Earnings (loss) from these investments were immaterial for all periods presented. During the nine months ended September 30, 2022, Southern Power sold equity method investments in wind projects and received proceeds totaling $38 million. The gains associated with the sales were immaterial.

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Southern Company Gas

Equity Method Investments

The carrying amounts of Southern Company Gas' equity method investments at September 30, 2022 and December 31, 2021 and related earnings (loss) from those investments for the three and nine months ended September 30, 2022 and 2021 were as follows:

Investment Balance	September 30, 2022		December 31, 2021
	(in millions)
SNG	$	1,091	$	1,129
Other(*)	34		44
Total	$	1,125	$	1,173

(*)Balance at September 30, 2022 reflects an $11 million distribution received in 2022 from PennEast Pipeline.

	Three Months Ended September 30,				Nine Months Ended September 30,
Earnings (Loss) from Equity Method Investments	2022		2021		2022		2021
	(in millions)
SNG	$	34	$	27	$	104	$	93
PennEast Pipeline(*)	—		(2)		—		(81)
Other	—		—		1		2
Total	$	34	$	25	$	105	$	14

(*)Primarily reflects pre-tax impairment charges. See Note 7 to the financial statements under "Southern Company Gas" in Item 8 of the Form 10-K for additional information.

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(F) FINANCING AND LEASES

Bank Credit Arrangements

See Note 8 to the financial statements under "Bank Credit Arrangements" in Item 8 of the Form 10-K for additional information.

At September 30, 2022, committed credit arrangements with banks were as follows:

	Expires
Company	2023		2024		2025		2026		Total		Unused		Expires within One Year
	(in millions)
Southern Company parent	$	—	$	—	$	—	$	2,000	$	2,000	$	1,998	$	—
Alabama Power	—		550		—		700		1,250		1,250		—
Georgia Power	—		—		—		1,750		1,750		1,726		—
Mississippi Power	—		150		125		—		275		275		—
Southern Power(a)	—		—		—		600		600		569		—
Southern Company Gas(b)	250		—		—		1,500		1,750		1,748		250
SEGCO	30		—		—		—		30		30		30
Southern Company	$	280	$	700	$	125	$	6,550	$	7,655	$	7,596	$	280

(a)Does not include Southern Power Company's two $75 million continuing letter of credit facilities for standby letters of credit, expiring in 2023 and 2025, respectively, of which $11 million and $5 million, respectively, was unused at September 30, 2022. Southern Power's subsidiaries are not parties to its bank credit arrangements or letter of credit facilities.

(b)Southern Company Gas, as the parent entity, guarantees the obligations of Southern Company Gas Capital, which is the borrower of $800 million of the credit arrangement expiring in 2026. Southern Company Gas' committed credit arrangement expiring in 2026 also includes $700 million for which Nicor Gas is the borrower and which is restricted for working capital needs of Nicor Gas. Pursuant to the multi-year credit arrangement expiring in 2026, the allocations between Southern Company Gas Capital and Nicor Gas may be adjusted. Nicor Gas is also the borrower of a new $250 million credit arrangement expiring in 2023.

As reflected in the table above, in March 2022, Mississippi Power amended and restated its $125 million revolving credit arrangement, which among other things, extended the maturity date from 2023 to 2025 and allows for borrowing based on term SOFR.

Subject to applicable market conditions, Southern Company and its subsidiaries expect to renew or replace their bank credit arrangements as needed, prior to expiration. In connection therewith, Southern Company and its subsidiaries may extend the maturity dates and/or increase or decrease the lending commitments thereunder.

These bank credit arrangements, as well as the term loan arrangements of the Registrants, Nicor Gas, and SEGCO, contain covenants that limit debt levels and contain cross-acceleration or, in the case of Southern Power, cross-default provisions to other indebtedness (including guarantee obligations) that are restricted only to the indebtedness of the individual company. Such cross-default provisions to other indebtedness would trigger an event of default if Southern Power defaulted on indebtedness or guarantee obligations over a specified threshold. Such cross-acceleration provisions to other indebtedness would trigger an event of default if the applicable borrower defaulted on indebtedness, the payment of which was then accelerated. At September 30, 2022, the Registrants, Nicor Gas, and SEGCO were in compliance with all such covenants. None of the bank credit arrangements contain material adverse change clauses at the time of borrowings.

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(UNAUDITED)

A portion of the unused credit with banks is allocated to provide liquidity support to the revenue bonds of the traditional electric operating companies and the commercial paper programs of the Registrants, Nicor Gas, and SEGCO. The amount of variable rate revenue bonds of the traditional electric operating companies outstanding requiring liquidity support at September 30, 2022 was approximately $1.4 billion (comprised of approximately $789 million at Alabama Power, $619 million at Georgia Power, and $34 million at Mississippi Power). In addition, at September 30, 2022, Georgia Power had approximately $288 million of fixed rate revenue bonds outstanding that are required to be remarketed within the next 12 months.

Equity Units

In May 2022, Southern Company remarketed $862.5 million aggregate principal amount of its Series 2019A Remarketable Junior Subordinated Notes due August 1, 2024 (2019A RSNs) and $862.5 million aggregate principal amount of its Series 2019B Remarketable Junior Subordinated Notes due August 1, 2027 (2019B RSNs), pursuant to the terms of its 2019 Series A Equity Units (Equity Units). In connection with the remarketing, the interest rates on the 2019A RSNs and the 2019B RSNs were reset to 4.475% and 5.113%, respectively, payable on a semi-annual basis, and Southern Company ceased to have the ability to redeem these securities prior to maturity or to defer interest payments. Southern Company did not receive any proceeds from the remarketing, which were used to purchase a portfolio of treasury securities maturing on July 28, 2022. On August 1, 2022, the proceeds from this portfolio were used to settle the purchase contracts entered into as part of the Equity Units and Southern Company issued approximately 25.2 million shares of common stock and received proceeds of $1.725 billion. At September 30, 2022 and December 31, 2021, the 2019A RSNs and the 2019B RSNs are included in long-term debt on Southern Company's consolidated balance sheets.

Earnings per Share

For Southern Company, the only differences in computing basic and diluted earnings per share are attributable to awards outstanding under stock-based compensation plans and the Equity Units until they were settled in August 2022. Earnings per share dilution resulting from stock-based compensation plans and the Equity Units issuance is determined using the treasury stock method. See Note 8 to the financial statements under "Equity Units" in Item 8 of the Form 10-K and "Equity Units" herein for information on the Equity Units and Note 12 to the financial statements in Item 8 of the Form 10-K for information on stock-based compensation plans. Shares used to compute diluted earnings per share were as follows:

	Three Months Ended September 30,		Nine Months Ended September 30,
	2022	2021	2022	2021
	(in millions)
As reported shares	1,082	1,061	1,070	1,060
Effect of stock-based compensation	6	7	6	7
Diluted shares	1,088	1,068	1,076	1,067

For all periods presented, an immaterial number of stock-based compensation awards was not included in the diluted earnings per share calculation because the awards were anti-dilutive.

Southern Company Leveraged Lease

See Note 9 to the financial statements in Item 8 of the Form 10-K for information on a leveraged lease agreement related to energy generation. On June 30, 2022, the Southern Holdings subsidiary operating the generating plant for the lessee provided notice to the lessee to terminate the related operating and maintenance agreement effective June 30, 2023. The parties to the lease agreement are currently negotiating a potential restructuring, which could result in rescission of the termination notice. The ultimate outcome of this matter cannot be determined at this time but is not expected to have a material impact on Southern Company's financial statements.

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(UNAUDITED)

Georgia Power Lease Modification

See Note 9 to the financial statements in Item 8 of the Form 10-K for information on Georgia Power's leases. In July 2022, Georgia Power recognized a lease modification related to an existing non-affiliate PPA which converted from an operating lease to a finance lease upon its approval in the 2022 IRP. As a result, Georgia Power removed from its balance sheet operating lease right-of-use assets, net of amortization of $17 million and lease obligations of $18 million maturing through 2024 and recorded finance lease right-of-use assets of $112 million and lease obligations of $113 million maturing through 2039.

(G) INCOME TAXES

See Note 10 to the financial statements in Item 8 of the Form 10-K for additional tax information.

Current and Deferred Income Taxes

Tax Credit and Net Operating Loss Carryforwards

Southern Company had federal ITC and PTC carryforwards (primarily related to Southern Power) totaling $1.0 billion at September 30, 2022 compared to $1.2 billion at December 31, 2021.

The federal PTC and ITC carryforwards begin expiring in 2032, but are expected to be fully utilized by 2025. The utilization of each Registrant's estimated tax credit and state net operating loss carryforwards and related valuation allowances could be impacted by numerous factors, including the acquisition of additional renewable projects, the purchase of rights to additional PTCs of Plant Vogtle Units 3 and 4 pursuant to certain joint ownership agreements, an increase in Georgia Power's ownership interest percentage in Plant Vogtle Units 3 and 4, changes in taxable income projections, and potential income tax rate changes. See Note (B) and Note 2 to the financial statements in Item 8 of the Form 10-K under "Georgia Power – Nuclear Construction" for additional information on Plant Vogtle Units 3 and 4.

Effective Tax Rate

Southern Company's effective tax rate is typically lower than the statutory rate due to employee stock plans' dividend deduction, non-taxable AFUDC equity at the traditional electric operating companies, flowback of excess deferred income taxes at the regulated utilities, and federal income tax benefits from ITCs and PTCs primarily at Southern Power.

Details of significant changes in the effective tax rate for the applicable Registrants are provided herein.

Southern Company

Southern Company's effective tax rate was 20.0% for the nine months ended September 30, 2022 compared to 17.5% for the corresponding period in 2021. The effective tax rate increase was primarily due to higher pre-tax earnings and an adjustment related to a prior year state tax credit carryforward at Georgia Power in 2022, partially offset by additional tax expense in 2021 as a result of the sale of Sequent. See Note 15 to the financial statements under "Southern Company Gas" in Item 8 of the Form 10-K for additional information.

Georgia Power

Georgia Power's effective tax rate was 18.5% for the nine months ended September 30, 2022 compared to 7.3% for the corresponding period in 2021. The effective tax rate increase was primarily due to higher pre-tax earnings and an adjustment related to a prior year state tax credit carryforward in 2022.

Mississippi Power

Mississippi Power's effective tax rate was 20.1% for the nine months ended September 30, 2022 compared to 14.3% for the corresponding period in 2021. The effective tax rate increase was primarily due to a decrease in the flowback of excess deferred income taxes in 2022.

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Southern Power

Southern Power's effective tax rate was 18.8% for the nine months ended September 30, 2022 compared to a tax benefit rate of (1.6)% for the corresponding period in 2021. The effective tax rate increase was primarily due to higher pre-tax earnings in 2022 and a change in state apportionment methodology resulting from tax legislation enacted by the State of Alabama in the first quarter 2021, partially offset by higher wind PTCs in 2022.

Southern Company Gas

Southern Company Gas' effective tax rate was 23.7% for the nine months ended September 30, 2022 compared to 36.6% for the corresponding period in 2021. The effective tax rate decrease was primarily due to additional tax expense in 2021 as a result of the sale of Sequent. See Note 15 to the financial statements under "Southern Company Gas" in Item 8 of the Form 10-K for additional information.

Unrecognized Tax Benefits

Southern Company's and Southern Company Gas' unrecognized tax positions balances at September 30, 2022 were $79 million and $32 million, respectively, compared to $47 million for Southern Company at December 31, 2021. The increases from prior periods are related to the amendment of certain 2018 state tax filing positions related to Southern Company Gas dispositions. If accepted by the states, these positions would decrease Southern Company's and Southern Company Gas' annual effective tax rates. The ultimate outcome of these unrecognized tax benefits is dependent on acceptance by each state and is not expected to be resolved in the next 12 months.

(H) RETIREMENT BENEFITS

The Southern Company system has a qualified defined benefit, trusteed, pension plan covering substantially all employees, with the exception of employees at PowerSecure. The qualified pension plan is funded in accordance with requirements of the Employee Retirement Income Security Act of 1974, as amended (ERISA). No mandatory contributions to the qualified pension plan are anticipated for the year ending December 31, 2022. The Southern Company system also provides certain non-qualified defined benefits for a select group of management and highly compensated employees, which are funded on a cash basis. In addition, the Southern Company system provides certain medical care and life insurance benefits for retired employees through other postretirement benefit plans. The traditional electric operating companies fund other postretirement trusts to the extent required by their respective regulatory commissions. Southern Company Gas has a separate unfunded supplemental retirement health care plan that provides medical care and life insurance benefits to employees of discontinued businesses.

During 2022, the qualified pension plan achieved the predetermined funding threshold whereby the asset allocation was adjusted to invest a larger portion of the portfolio in fixed rate debt securities.

See Note 11 to the financial statements in Item 8 of the Form 10-K for additional information.

On each Registrant's condensed statements of income, the service cost component of net periodic benefit costs is included in other operations and maintenance expenses and all other components of net periodic benefit costs are included in other income (expense), net. Components of the net periodic benefit costs for the three and nine months ended September 30, 2022 and 2021 are presented in the following tables.

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(UNAUDITED)

	Southern Company		Alabama Power		Georgia Power		Mississippi Power		Southern Power		Southern Company Gas
	(in millions)
Three Months Ended September 30, 2022
Pension Plans
Service cost	$	103	$	25	$	26	$	5	$	2	$	9
Interest cost	102		24		31		5		2		7
Expected return on plan assets	(316)		(77)		(99)		(15)		(4)		(22)
Amortization:
Prior service costs	—		—		—		—		—		(1)
Regulatory asset	—		—		—		—		—		3
Net loss	60		16		18		2		1		2
Net periodic pension cost (income)	$	(51)	$	(12)	$	(24)	$	(3)	$	1	$	(2)
Postretirement Benefits
Service cost	$	6	$	2	$	2	$	1	$	1	$	—
Interest cost	10		3		4		—		—		1
Expected return on plan assets	(20)		(9)		(8)		—		—		(2)
Amortization:
Prior service costs	(1)		—		—		—		—		—
Regulatory asset	—		—		—		—		—		2
Net (gain)/loss	1		—		—		—		—		(1)
Net periodic postretirement benefit cost (income)	$	(4)	$	(4)	$	(2)	$	1	$	1	$	—
Nine Months Ended September 30, 2022
Pension Plans
Service cost	$	309	$	74	$	78	$	13	$	7	$	26
Interest cost	306		72		92		14		5		21
Expected return on plan assets	(949)		(229)		(298)		(44)		(12)		(68)
Amortization:
Prior service costs	—		—		1		—		—		(2)
Regulatory asset	—		—		—		—		—		11
Net loss	180		47		55		9		2		5
Net periodic pension cost (income)	$	(154)	$	(36)	$	(72)	$	(8)	$	2	$	(7)
Postretirement Benefits
Service cost	$	17	$	5	$	5	$	1	$	1	$	1
Interest cost	31		8		11		1		—		4
Expected return on plan assets	(60)		(25)		(21)		(1)		—		(6)
Amortization:
Prior service costs	(1)		—		—		—		—		—
Regulatory asset	—		—		—		—		—		5
Net (gain)/loss	1		—		1		—		—		(2)
Net periodic postretirement benefit cost (income)	$	(12)	$	(12)	$	(4)	$	1	$	1	$	2

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(UNAUDITED)

	Southern Company		Alabama Power		Georgia Power		Mississippi Power		Southern Power		Southern Company Gas
	(in millions)
Three Months Ended September 30, 2021
Pension Plans
Service cost	$	109	$	26	$	28	$	4	$	2	$	10
Interest cost	87		20		26		4		2		6
Expected return on plan assets	(298)		(72)		(94)		(14)		(4)		(21)
Amortization:
Prior service costs	—		—		—		—		—		(1)
Regulatory asset	—		—		—		—		—		3
Net loss	78		21		25		4		1		3
Net periodic pension cost (income)	$	(24)	$	(5)	$	(15)	$	(2)	$	1	$	—
Postretirement Benefits
Service cost	$	6	$	2	$	2	$	1	$	1	$	—
Interest cost	9		2		3		—		—		1
Expected return on plan assets	(19)		(8)		(7)		(1)		—		(2)
Amortization:
Regulatory asset	—		—		—		—		—		2
Net (gain)/loss	1		—		1		—		—		(1)
Net periodic postretirement benefit cost (income)	$	(3)	$	(4)	$	(1)	$	—	$	1	$	—
Nine Months Ended September 30, 2021
Pension Plans
Service cost	$	326	$	77	$	84	$	13	$	7	$	28
Interest cost	260		61		78		12		4		18
Expected return on plan assets	(893)		(215)		(282)		(41)		(11)		(64)
Amortization:
Prior service costs	—		—		1		—		—		(2)
Regulatory asset	—		—		—		—		—		11
Net loss	235		62		75		11		3		9
Net periodic pension cost (income)	$	(72)	$	(15)	$	(44)	$	(5)	$	3	$	—
Postretirement Benefits
Service cost	$	18	$	5	$	5	$	1	$	1	$	1
Interest cost	26		6		9		1		—		3
Expected return on plan assets	(57)		(22)		(20)		(2)		—		(6)
Amortization:
Prior service costs	(1)		—		—		—		—		—
Regulatory asset	—		—		—		—		—		5
Net (gain)/loss	3		—		2		—		—		(2)
Net periodic postretirement benefit cost (income)	$	(11)	$	(11)	$	(4)	$	—	$	1	$	1

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(UNAUDITED)

(I) FAIR VALUE MEASUREMENTS

At September 30, 2022, assets and liabilities measured at fair value on a recurring basis during the period, together with their associated level of the fair value hierarchy, were as follows:

	Fair Value Measurements Using:
At September 30, 2022	Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Net Asset Value as a Practical Expedient (NAV)		Total
	(in millions)
Southern Company
Assets:
Energy-related derivatives(a)	$	49	$	454	$	—	$	—	$	503
Investments in trusts:(b)(c)
Domestic equity	610		161		—		—		771
Foreign equity	111		129		—		—		240
U.S. Treasury and government agency securities	—		265		—		—		265
Municipal bonds	—		52		—		—		52
Pooled funds – fixed income	—		7		—		—		7
Corporate bonds	—		438		—		—		438
Mortgage and asset backed securities	—		87		—		—		87
Private equity	—		—		—		156		156
Cash and cash equivalents	4		—		—		—		4
Other	17		13		—		—		30
Cash equivalents	1,402		18		—		—		1,420
Other investments	9		26		—		—		35
Total	$	2,202	$	1,650	$	—	$	156	$	4,008
Liabilities:
Energy-related derivatives(a)	$	20	$	141	$	—	$	—	$	161
Interest rate derivatives	—		311		—		—		311
Foreign currency derivatives	—		323		—		—		323
Contingent consideration	—		—		14		—		14
Other	—		13		—		—		13
Total	$	20	$	788	$	14	$	—	$	822

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(UNAUDITED)

	Fair Value Measurements Using:
At September 30, 2022	Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Net Asset Value as a Practical Expedient (NAV)		Total
	(in millions)
Alabama Power
Assets:
Energy-related derivatives	$	—	$	147	$	—	$	—	$	147
Nuclear decommissioning trusts:(b)
Domestic equity	370		152		—		—		522
Foreign equity	111		—		—		—		111
U.S. Treasury and government agency securities	—		15		—		—		15
Municipal bonds	—		2		—		—		2
Corporate bonds	—		230		—		—		230
Mortgage and asset backed securities	—		20		—		—		20
Private equity	—		—		—		156		156
Other	10		—		—		—		10
Cash equivalents	1,225		18		—		—		1,243
Other investments	—		26		—		—		26
Total	$	1,716	$	610	$	—	$	156	$	2,482
Liabilities:
Energy-related derivatives	$	—	$	35	$	—	$	—	$	35
Georgia Power
Assets:
Energy-related derivatives	$	—	$	145	$	—	$	—	$	145
Nuclear decommissioning trusts:(b)(c)
Domestic equity	240		1		—		—		241
Foreign equity	—		128		—		—		128
U.S. Treasury and government agency securities	—		250		—		—		250
Municipal bonds	—		50		—		—		50
Corporate bonds	—		208		—		—		208
Mortgage and asset backed securities	—		67		—		—		67
Other	7		13		—		—		20
Total	$	247	$	862	$	—	$	—	$	1,109
Liabilities:
Energy-related derivatives	$	—	$	51	$	—	$	—	$	51

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(UNAUDITED)

	Fair Value Measurements Using:
At September 30, 2022	Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Net Asset Value as a Practical Expedient (NAV)		Total
	(in millions)
Mississippi Power
Assets:
Energy-related derivatives	$	—	$	133	$	—	$	—	$	133
Cash equivalents	30		—		—		—		30
Total	$	30	$	133	$	—	$	—	$	163
Liabilities:
Energy-related derivatives	$	—	$	24	$	—	$	—	$	24
Southern Power
Assets:
Energy-related derivatives	$	—	$	7	$	—	$	—	$	7
Liabilities:
Energy-related derivatives	$	—	$	13	$	—	$	—	$	13
Foreign currency derivatives	—		80		—		—		80
Contingent consideration	—		—		14		—		14
Other	—		13		—		—		13
Total	$	—	$	106	$	14	$	—	$	120
Southern Company Gas
Assets:
Energy-related derivatives(a)	$	49	$	22	$	—	$	—	$	71
Non-qualified deferred compensation trusts:
Domestic equity	—		8		—		—		8
Foreign equity	—		1		—		—		1
Pooled funds – fixed income	—		7		—		—		7
Cash equivalents	4		—		—		—		4
Total	$	53	$	38	$	—	$	—	$	91
Liabilities:
Energy-related derivatives(a)	$	20	$	17	$	—	$	—	$	37
Interest rate derivatives	—		87		—		—		87
Total	$	20	$	104	$	—	$	—	$	124

(a)Excludes cash collateral of $15 million.

(b)Excludes receivables related to investment income, pending investment sales, payables related to pending investment purchases, and currencies. See Note 6 to the financial statements in Item 8 of the Form 10-K for additional information.

(c)Includes investment securities pledged to creditors and collateral received and excludes payables related to the securities lending program. At September 30, 2022, approximately $46 million of the fair market value of Georgia Power's nuclear decommissioning trust funds' securities were on loan to creditors under the funds' managers' securities lending program. See Note 6 to the financial statements in Item 8 of the Form 10-K for additional information.

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(UNAUDITED)

Southern Company, Alabama Power, and Georgia Power continue to elect the option to fair value investment securities held in the nuclear decommissioning trust funds. The fair value of the funds, including reinvested interest and dividends and excluding the funds' expenses, increased (decreased) by the amounts shown in the table below for the three and nine months ended September 30, 2022 and 2021. The changes were recorded as a change to the regulatory assets and liabilities related to AROs for Georgia Power and Alabama Power, respectively.

Fair value increases (decreases)	Three Months Ended September 30, 2022		Three Months Ended September 30, 2021		Nine Months Ended September 30, 2022		Nine Months Ended September 30, 2021
	(in millions)
Southern Company	$	(106)	$	9	$	(486)	$	173
Alabama Power	(53)		15		(245)		133
Georgia Power	(53)		(6)		(241)		40

Valuation Methodologies

The energy-related derivatives primarily consist of exchange-traded and over-the-counter financial products for natural gas and physical power products, including, from time to time, basis swaps. These are standard products used within the energy industry and are valued using the market approach. The inputs used are mainly from observable market sources, such as forward natural gas prices, power prices, implied volatility, and overnight index swap interest rates. Interest rate derivatives are also standard over-the-counter products that are valued using observable market data and assumptions commonly used by market participants. The fair value of interest rate derivatives reflects the net present value of expected payments and receipts under the swap agreement based on the market's expectation of future interest rates. Additional inputs to the net present value calculation may include the contract terms, counterparty credit risk, and occasionally, implied volatility of interest rate options. The fair value of cross-currency swaps reflects the net present value of expected payments and receipts under the swap agreement based on the market's expectation of future foreign currency exchange rates. Additional inputs to the net present value calculation may include the contract terms, counterparty credit risk, and discount rates. The interest rate derivatives and cross-currency swaps are categorized as Level 2 under Fair Value Measurements as these inputs are based on observable data and valuations of similar instruments. See Note (J) for additional information on how these derivatives are used.

For fair value measurements of the investments within the nuclear decommissioning trusts and the non-qualified deferred compensation trusts, external pricing vendors are designated for each asset class with each security specifically assigned a primary pricing source. For investments held within commingled funds, fair value is determined at the end of each business day through the net asset value, which is established by obtaining the underlying securities' individual prices from the primary pricing source. A market price secured from the primary source vendor is then evaluated by management in its valuation of the assets within the trusts. As a general approach, fixed income market pricing vendors gather market data (including indices and market research reports) and integrate relative credit information, observed market movements, and sector news into proprietary pricing models, pricing systems, and mathematical tools. Dealer quotes and other market information, including live trading levels and pricing analysts' judgments, are also obtained when available.

The NRC requires licensees of commissioned nuclear power reactors to establish a plan for providing reasonable assurance of funds for future decommissioning. See Note 6 to the financial statements under "Nuclear Decommissioning" in Item 8 of the Form 10-K for additional information.

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(UNAUDITED)

Southern Power has contingent payment obligations related to certain acquisitions whereby it is primarily obligated to make generation-based payments to the seller, which commenced at the commercial operation of the respective facility and continue through 2026. The obligations are categorized as Level 3 under Fair Value Measurements as the fair value is determined using significant unobservable inputs for the forecasted facility generation in MW-hours, as well as other inputs such as a fixed dollar amount per MW-hour, and a discount rate. The fair value of contingent consideration reflects the net present value of expected payments and any periodic change arising from forecasted generation is expected to be immaterial.

Southern Power also has payment obligations through 2040 whereby it must reimburse the transmission owners for interconnection facilities and network upgrades constructed to support connection of a Southern Power generating facility to the transmission system. The obligations are categorized as Level 2 under Fair Value Measurements as the fair value is determined using observable inputs for the contracted amounts and reimbursement period, as well as a discount rate. The fair value of the obligations reflects the net present value of expected payments.

"Other investments" include investments traded in the open market that have maturities greater than 90 days, which are categorized as Level 2 under Fair Value Measurements and are comprised of corporate bonds, bank certificates of deposit, treasury bonds, and/or agency bonds.

At September 30, 2022, the fair value measurements of private equity investments held in Alabama Power's nuclear decommissioning trusts that are calculated at net asset value per share (or its equivalent) as a practical expedient totaled $156 million and unfunded commitments related to the private equity investments totaled $84 million. Private equity investments include high-quality private equity funds across several market sectors and funds that invest in real estate assets. Private equity funds do not have redemption rights. Distributions from these funds will be received as the underlying investments in the funds are liquidated.

At September 30, 2022, other financial instruments for which the carrying amount did not equal fair value were as follows:

	Southern Company		Alabama Power		Georgia Power		Mississippi Power		Southern Power		Southern Company Gas(*)
	(in billions)
Long-term debt, including securities due within one year:
Carrying amount	$	53.4	$	10.8	$	14.5	$	1.5	$	2.9	$	7.4
Fair value	46.4		9.3		12.6		1.2		2.7		6.3

(*)The long-term debt of Southern Company Gas is recorded at amortized cost, including the fair value adjustments at the effective date of the 2016 merger with Southern Company. Southern Company Gas amortizes the fair value adjustments over the remaining lives of the respective bonds, the latest being through 2043.

The fair values are determined using Level 2 measurements and are based on quoted market prices for the same or similar issues or on the current rates available to the Registrants.

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(UNAUDITED)

(J) DERIVATIVES

The Registrants are exposed to market risks, including commodity price risk, interest rate risk, weather risk, and occasionally foreign currency exchange rate risk. To manage the volatility attributable to these exposures, each company nets its exposures, where possible, to take advantage of natural offsets and enters into various derivative transactions for the remaining exposures pursuant to each company's policies in areas such as counterparty exposure and risk management practices. Prior to the sale of Sequent on July 1, 2021, Southern Company Gas' wholesale gas operations used various contracts in its commercial activities that generally met the definition of derivatives. For the traditional electric operating companies, Southern Power, and Southern Company Gas' other businesses, each company's policy is that derivatives are to be used primarily for hedging purposes and mandates strict adherence to all applicable risk management policies. Derivative positions are monitored using techniques including, but not limited to, market valuation, value at risk, stress testing, and sensitivity analysis. Derivative instruments are recognized at fair value in the balance sheets as either assets or liabilities and are presented on a net basis. See Note (I) for additional fair value information. In the statements of cash flows, any cash impacts of settled energy-related and interest rate derivatives are recorded as operating activities. Any cash impacts of settled foreign currency derivatives are classified as operating or financing activities to correspond with the classification of the hedged interest or principal, respectively. See Note 1 to the financial statements under "Financial Instruments" in Item 8 of the Form 10-K for additional information. See Note 15 to the financial statements under "Southern Company Gas" in Item 8 of the Form 10-K for additional information regarding the sale of Sequent.

Energy-Related Derivatives

The Subsidiary Registrants enter into energy-related derivatives to hedge exposures to electricity, natural gas, and other fuel price changes. However, due to cost-based rate regulations and other various cost recovery mechanisms, the traditional electric operating companies and the natural gas distribution utilities have limited exposure to market volatility in energy-related commodity prices. Each of the traditional electric operating companies and certain of the natural gas distribution utilities of Southern Company Gas manage fuel-hedging programs, implemented per the guidelines of their respective state PSCs or other applicable state regulatory agencies, through the use of financial derivative contracts, which are expected to continue to mitigate price volatility. The traditional electric operating companies (with respect to wholesale generating capacity) and Southern Power have limited exposure to market volatility in energy-related commodity prices because their long-term sales contracts shift substantially all fuel cost responsibility to the purchaser. However, the traditional electric operating companies and Southern Power may be exposed to market volatility in energy-related commodity prices to the extent any uncontracted capacity is used to sell electricity. Southern Company Gas retains exposure to price changes that can, in a volatile energy market, be material and can adversely affect its results of operations.

Southern Company Gas also enters into weather derivative contracts as economic hedges in the event of warmer-than-normal weather. Exchange-traded options are carried at fair value, with changes reflected in operating revenues. Non-exchange-traded options are accounted for using the intrinsic value method. Changes in the intrinsic value for non-exchange-traded contracts are reflected in operating revenues.

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(UNAUDITED)

Energy-related derivative contracts are accounted for under one of three methods:

•Regulatory Hedges – Energy-related derivative contracts designated as regulatory hedges relate primarily to the traditional electric operating companies' and the natural gas distribution utilities' fuel-hedging programs, where gains and losses are initially recorded as regulatory liabilities and assets, respectively, and then are included in fuel expense as the underlying fuel is used in operations and ultimately recovered through an approved cost recovery mechanism.

•Cash Flow Hedges – Gains and losses on energy-related derivatives designated as cash flow hedges (which are mainly used to hedge anticipated purchases and sales) are initially deferred in accumulated OCI before being recognized in the statements of income in the same period and in the same income statement line item as the earnings effect of the hedged transactions.

•Not Designated – Gains and losses on energy-related derivative contracts that are not designated or fail to qualify as hedges are recognized in the statements of income as incurred.

Some energy-related derivative contracts require physical delivery as opposed to financial settlement, and this type of derivative is both common and prevalent within the electric and natural gas industries. When an energy-related derivative contract is settled physically, any cumulative unrealized gain or loss is reversed and the contract price is recognized in the respective line item representing the actual price of the underlying goods being delivered.

At September 30, 2022, the net volume of energy-related derivative contracts for natural gas positions, together with the longest hedge date over which the respective entity is hedging its exposure to the variability in future cash flows for forecasted transactions and the longest non-hedge date for derivatives not designated as hedges, were as follows:

	Net Purchased mmBtu	Longest Hedge Date	Longest Non-Hedge Date
	(in millions)
Southern Company(*)	399	2030	2025
Alabama Power	105	2026	—
Georgia Power	116	2025	—
Mississippi Power	82	2027	—
Southern Power	11	2030	2023
Southern Company Gas(*)	85	2025	2025

(*)Southern Company Gas' derivative instruments include both long and short natural gas positions. A long position is a contract to purchase natural gas and a short position is a contract to sell natural gas. Southern Company Gas' volume represents the net of long natural gas positions of 95.7 million mmBtu and short natural gas positions of 10.6 million mmBtu at September 30, 2022, which is also included in Southern Company's total volume.

In addition to the volumes discussed above, the traditional electric operating companies and Southern Power enter into physical natural gas supply contracts that provide the option to sell back excess natural gas due to operational constraints. The maximum expected volume of natural gas subject to such a feature is 15 million mmBtu for Southern Company, which includes 4 million mmBtu for Alabama Power, 5 million mmBtu for Georgia Power, 2 million mmBtu for Mississippi Power, and 4 million mmBtu for Southern Power.

For cash flow hedges of energy-related derivatives, the estimated pre-tax gains (losses) expected to be reclassified from accumulated OCI to earnings for the 12-month period ending September 30, 2023 are $17 million for Southern Company, $26 million for Southern Company Gas, and immaterial for the other Registrants.

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(UNAUDITED)

Interest Rate Derivatives

Southern Company and certain subsidiaries may enter into interest rate derivatives to hedge exposure to changes in interest rates. Derivatives related to existing variable rate securities or forecasted transactions are accounted for as cash flow hedges where the derivatives' fair value gains or losses are recorded in OCI and are reclassified into earnings at the same time and presented on the same income statement line item as the earnings effect of the hedged transactions. Derivatives related to existing fixed rate securities are accounted for as fair value hedges, where the derivatives' fair value gains or losses and hedged items' fair value gains or losses are both recorded directly to earnings on the same income statement line item. Fair value gains or losses on derivatives that are not designated or fail to qualify as hedges are recognized in the statements of income as incurred.

At September 30, 2022, the following interest rate derivatives were outstanding:

	Notional Amount		Interest Rate Received	Weighted Average Interest Rate Paid	Hedge Maturity Date	Fair Value Gain (Loss) at September 30, 2022
	(in millions)					(in millions)
Cash Flow Hedges of Existing Debt
Southern Company parent	$	175	—	4.25%	September 2025	$	—
Southern Company parent	175		—	3.83%	August 2032	—
Fair Value Hedges of Existing Debt
Southern Company parent	400		1.75%	1-month LIBOR + 0.68%	March 2028	(57)
Southern Company parent	1,000		3.70%	1-month LIBOR + 2.36%	April 2030	(167)
Southern Company Gas	500		1.75%	1-month LIBOR + 0.38%	January 2031	(87)
Southern Company	$	2,250				$	(311)

For cash flow hedges of interest rate derivatives, the estimated pre-tax gains (losses) expected to be reclassified from accumulated OCI to interest expense for the 12-month period ending September 30, 2023 are $(17) million for Southern Company and immaterial for the other Registrants. Deferred gains and losses related to interest rate derivatives are expected to be amortized into earnings through 2052 for Southern Company, Alabama Power, and Georgia Power, 2028 for Mississippi Power, and 2046 for Southern Company Gas.

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(UNAUDITED)

Foreign Currency Derivatives

Southern Company and certain subsidiaries, including Southern Power, may enter into foreign currency derivatives to hedge exposure to changes in foreign currency exchange rates, such as that arising from the issuance of debt denominated in a currency other than U.S. dollars. Derivatives related to forecasted transactions are accounted for as cash flow hedges where the derivatives' fair value gains or losses are recorded in OCI and are reclassified into earnings at the same time and on the same income statement line as the earnings effect of the hedged transactions, including foreign currency gains or losses arising from changes in the U.S. currency exchange rates. Derivatives related to existing fixed rate securities are accounted for as fair value hedges, where the derivatives' fair value gains or losses and hedged items' fair value gains or losses are both recorded directly to earnings on the same income statement line item, including foreign currency gains or losses arising from changes in the U.S. currency exchange rates. Southern Company has elected to exclude the cross-currency basis spread from the assessment of effectiveness in the fair value hedges of its foreign currency risk and record any difference between the change in the fair value of the excluded components and the amounts recognized in earnings as a component of OCI.

At September 30, 2022, the following foreign currency derivatives were outstanding:

	Pay Notional		Pay Rate	Receive Notional		Receive Rate	Hedge Maturity Date	Fair Value Gain (Loss) at September 30, 2022
	(in millions)			(in millions)				(in millions)
Cash Flow Hedges of Existing Debt
Southern Power	$	564	3.78%	€	500	1.85%	June 2026	$	(80)
Fair Value Hedges of Existing Debt
Southern Company parent	1,476		3.39%	1,250		1.88%	September 2027	(243)
Southern Company	$	2,040		€	1,750			$	(323)

For cash flow hedges of foreign currency derivatives, the estimated pre-tax losses expected to be reclassified from accumulated OCI to earnings for the 12-month period ending September 30, 2023 are $12 million for Southern Power.

Derivative Financial Statement Presentation and Amounts

The Registrants enter into derivative contracts that may contain certain provisions that permit intra-contract netting of derivative receivables and payables for routine billing and offsets related to events of default and settlements. Southern Company and certain subsidiaries also utilize master netting agreements to mitigate exposure to counterparty credit risk. These agreements may contain provisions that permit netting across product lines and against cash collateral. The fair value amounts of derivative assets and liabilities on the balance sheets are presented net to the extent that there are netting arrangements or similar agreements with the counterparties.

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(UNAUDITED)

The fair value of energy-related derivatives, interest rate derivatives, and foreign currency derivatives was reflected in the balance sheets as follows:

	At September 30, 2022				At December 31, 2021
Derivative Category and Balance Sheet Location	Assets		Liabilities		Assets		Liabilities
	(in millions)				(in millions)
Southern Company
Energy-related derivatives designated as hedging instruments for regulatory purposes
Assets from risk management activities/Other current liabilities	$	299	$	70	$	129	$	30
Other deferred charges and assets/Other deferred credits and liabilities	150		59		72		6
Total derivatives designated as hedging instruments for regulatory purposes	449		129		201		36
Derivatives designated as hedging instruments in cash flow and fair value hedges
Energy-related derivatives:
Assets from risk management activities/Other current liabilities	27		13		7		5
Other deferred charges and assets/Other deferred credits and liabilities	7		1		1		—
Interest rate derivatives:
Assets from risk management activities/Other current liabilities	—		44		19		—
Other deferred charges and assets/Other deferred credits and liabilities	—		266		—		29
Foreign currency derivatives:
Assets from risk management activities/Other current liabilities	—		37		—		39
Other deferred charges and assets/Other deferred credits and liabilities	—		285		—		40
Total derivatives designated as hedging instruments in cash flow and fair value hedges	34		646		27		113
Energy-related derivatives not designated as hedging instruments
Assets from risk management activities/Other current liabilities	19		18		9		4
Other deferred charges and assets/Other deferred credits and liabilities	2		1		1		—
Total derivatives not designated as hedging instruments	21		19		10		4
Gross amounts recognized	504		794		238		153
Gross amounts offset(a)	(113)		(128)		(25)		(28)
Net amounts recognized in the Balance Sheets(b)	$	391	$	666	$	213	$	125

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(UNAUDITED)

	At September 30, 2022				At December 31, 2021
Derivative Category and Balance Sheet Location	Assets		Liabilities		Assets		Liabilities
	(in millions)				(in millions)
Alabama Power
Energy-related derivatives designated as hedging instruments for regulatory purposes
Other current assets/Other current liabilities	$	90	$	12	$	30	$	9
Other deferred charges and assets/Other deferred credits and liabilities	57		23		25		2
Total derivatives designated as hedging instruments for regulatory purposes	147		35		55		11
Gross amounts offset	(31)		(31)		(5)		(5)
Net amounts recognized in the Balance Sheets	$	116	$	4	$	50	$	6
Georgia Power
Energy-related derivatives designated as hedging instruments for regulatory purposes
Assets from risk management activities/Other current liabilities	$	107	$	28	$	54	$	6
Other deferred charges and assets/Other deferred credits and liabilities	38		23		21		2
Total derivatives designated as hedging instruments for regulatory purposes	145		51		75		8
Energy-related derivatives not designated as hedging instruments
Other current assets/Other current liabilities	1		—		—		—
Gross amounts recognized	146		51		75		8
Gross amounts offset	(41)		(41)		(8)		(8)
Net amounts recognized in the Balance Sheets	$	105	$	10	$	67	$	—
Mississippi Power
Energy-related derivatives designated as hedging instruments for regulatory purposes
Assets from risk management activities/Other current liabilities	$	78	$	12	$	30	$	3
Other deferred charges and assets/Other deferred credits and liabilities	55		12		26		2
Total derivatives designated as hedging instruments for regulatory purposes	133		24		56		5
Gross amounts offset	(20)		(20)		(4)		(4)
Net amounts recognized in the Balance Sheets	$	113	$	4	$	52	$	1

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(UNAUDITED)

	At September 30, 2022				At December 31, 2021
Derivative Category and Balance Sheet Location	Assets		Liabilities		Assets		Liabilities
	(in millions)				(in millions)
Southern Power
Derivatives designated as hedging instruments in cash flow and fair value hedges
Energy-related derivatives:
Other current assets/Other current liabilities	$	—	$	10	$	2	$	—
Other deferred charges and assets/Other deferred credits and liabilities	5		1		1		—
Foreign currency derivatives:
Other current assets/Other current liabilities	—		12		—		16
Other deferred charges and assets/Other deferred credits and liabilities	—		68		—		—
Total derivatives designated as hedging instruments in cash flow and fair value hedges	5		91		3		16
Energy-related derivatives not designated as hedging instruments
Other current assets/Other current liabilities	2		2		1		—
Gross amounts recognized	7		93		4		16
Gross amounts offset	(3)		(3)		—		—
Net amounts recognized in the Balance Sheets	$	4	$	90	$	4	$	16
Southern Company Gas
Energy-related derivatives designated as hedging instruments for regulatory purposes
Other current assets/Other current liabilities	$	24	$	17	$	15	$	12
Derivatives designated as hedging instruments in cash flow and fair value hedges
Energy-related derivatives:
Other current assets/Other current liabilities	26		3		5		5
Other deferred charges and assets/Other deferred credits and liabilities	3		—		—		—
Interest rate derivatives:
Other current assets/Other current liabilities	—		13		6		—
Other deferred charges and assets/Other deferred credits and liabilities	—		74		—		6
Total derivatives designated as hedging instruments in cash flow and fair value hedges	29		90		11		11
Energy-related derivatives not designated as hedging instruments
Other current assets/Other current liabilities	16		16		8		4
Other deferred charges and assets/Other deferred credits and liabilities	2		1		1		—
Total derivatives not designated as hedging instruments	18		17		9		4
Gross amounts recognized	71		124		35		27
Gross amounts offset(a)	(18)		(33)		(8)		(11)
Net amounts recognized in the Balance Sheets(b)	$	53	$	91	$	27	$	16

(a)Gross amounts offset includes cash collateral held on deposit in broker margin accounts of $15 million and $3 million at September 30, 2022 and December 31, 2021, respectively.

(b)Net amounts of derivative instruments outstanding exclude immaterial premium and intrinsic value associated with weather derivatives for all periods presented.

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(UNAUDITED)

Energy-related derivatives not designated as hedging instruments were immaterial for Alabama Power and Mississippi Power at September 30, 2022. There were no such instruments for the traditional electric operating companies at December 31, 2021.

At September 30, 2022 and December 31, 2021, the pre-tax effects of unrealized derivative gains (losses) arising from energy-related derivative instruments designated as regulatory hedging instruments and deferred were as follows:

Regulatory Hedge Unrealized Gain (Loss) Recognized in the Balance Sheet
Derivative Category and Balance Sheet Location	Southern Company		Alabama Power		Georgia Power		Mississippi Power		Southern Company Gas
	(in millions)
At September 30, 2022:
Energy-related derivatives:
Other regulatory assets, current	$	(17)	$	(2)	$	(8)	$	(3)	$	(4)
Other regulatory assets, deferred	(6)		(2)		(3)		(1)		—
Other regulatory liabilities, current	246		80		87		69		10
Other regulatory liabilities, deferred	98		36		18		44		—
Total energy-related derivative gains (losses)	$	321	$	112	$	94	$	109	$	6
At December 31, 2021:
Energy-related derivatives:
Other regulatory assets, current	$	(17)	$	(6)	$	—	$	—	$	(11)
Other regulatory liabilities, current	107		28		48		27		4
Other regulatory liabilities, deferred	65		22		19		24		—
Total energy-related derivative gains (losses)	$	155	$	44	$	67	$	51	$	(7)

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(UNAUDITED)

For the three and nine months ended September 30, 2022 and 2021, the pre-tax effects of cash flow and fair value hedge accounting on accumulated OCI were as follows:

Gain (Loss) Recognized in OCI on Derivative	For the Three Months Ended September 30,				For the Nine Months Ended September 30,
	2022		2021		2022		2021
	(in millions)				(in millions)
Southern Company
Cash flow hedges:
Energy-related derivatives	$	11	$	38	$	51	$	59
Interest rate derivatives	6		5		36		7
Foreign currency derivatives	(35)		(36)		(137)		(79)
Fair value hedges(*):
Foreign currency derivatives	20		(4)		18		(4)
Total	$	2	$	3	$	(32)	$	(17)
Georgia Power
Interest rate derivatives	$	—	$	—	$	31	$	—
Southern Power
Cash flow hedges:
Energy-related derivatives	$	(11)	$	8	$	(4)	$	16
Foreign currency derivatives	(35)		(36)		(137)		(79)
Total	$	(46)	$	(28)	$	(141)	$	(63)
Southern Company Gas
Cash flow hedges:
Energy-related derivatives	$	22	$	30	$	55	$	43
Interest rate derivatives	5		—		—		—
Total	$	27	$	30	$	55	$	43

(*)Represents amounts excluded from the assessment of effectiveness for which the difference between changes in fair value and periodic amortization is recorded in OCI.

For the three and nine months ended September 30, 2022 and 2021, the pre-tax effects of interest rate derivatives designated as cash flow hedging instruments on accumulated OCI were immaterial for the other Registrants.

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(UNAUDITED)

For the three and nine months ended September 30, 2022 and 2021, the pre-tax effects of cash flow and fair value hedge accounting on income were as follows:

Location and Amount of Gain (Loss) Recognized in Income on Cash Flow and Fair Value Hedging Relationships	For the Three Months Ended September 30,				For the Nine Months Ended September 30,
	2022		2021		2022		2021
	(in millions)				(in millions)
Southern Company
Total cost of natural gas	$	294	$	129	$	1,840	$	943
Gain (loss) on energy-related cash flow hedges(a)	9		2		28		—
Total depreciation and amortization	922		896		2,728		2,658
Gain (loss) on energy-related cash flow hedges(a)	(1)		3		5		6
Total interest expense, net of amounts capitalized	(511)		(451)		(1,461)		(1,352)
Gain (loss) on interest rate cash flow hedges(a)	(7)		(7)		(19)		(20)
Gain (loss) on foreign currency cash flow hedges(a)	(3)		(6)		(16)		(18)
Gain (loss) on interest rate fair value hedges(b)	(102)		(4)		(300)		(16)
Total other income (expense), net	132		131		414		290
Gain (loss) on foreign currency cash flow hedges(a)(c)	(32)		(34)		(129)		(76)
Gain (loss) on foreign currency fair value hedges	(59)		(32)		(180)		(32)
Amount excluded from effectiveness testing recognized in earnings	(21)		4		(17)		4
Southern Power
Total depreciation and amortization	$	133	$	132	$	384	$	383
Gain (loss) on energy-related cash flow hedges(a)	(1)		3		5		6
Total interest expense, net of amounts capitalized	(32)		(36)		(105)		(111)
Gain (loss) on foreign currency cash flow hedges(a)	(3)		(6)		(16)		(18)
Total other income (expense), net	3		2		5		10
Gain (loss) on foreign currency cash flow hedges(a)(c)	(32)		(34)		(129)		(76)
Southern Company Gas
Total cost of natural gas	$	294	$	129	$	1,840	$	943
Gain (loss) on energy-related cash flow hedges(a)	9		2		28		—
Total interest expense, net of amounts capitalized	(65)		(57)		(187)		(175)
Gain (loss) on interest rate cash flow hedges(a)	(2)		(1)		(3)		(2)
Gain (loss) on interest rate fair value hedges(b)	(30)		—		(87)		2

(a)Reclassified from accumulated OCI into earnings.

(b)For fair value hedges, changes in the fair value of the derivative contracts are generally equal to changes in the fair value of the underlying debt and have no material impact on income.

(c)The reclassification from accumulated OCI into other income (expense), net completely offsets currency gains and losses arising from changes in the U.S. currency exchange rates used to record the euro-denominated notes.

For the three and nine months ended September 30, 2022 and 2021, the pre-tax effects of cash flow hedge accounting on income for interest rate derivatives were immaterial for Alabama Power, Georgia Power, and Mississippi Power.

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(UNAUDITED)

At September 30, 2022 and December 31, 2021, the following amounts were recorded on the balance sheets related to cumulative basis adjustments for fair value hedges:

	Carrying Amount of the Hedged Item				Cumulative Amount of Fair Value Hedging Adjustment included in Carrying Amount of the Hedged Item
Balance Sheet Location of Hedged Items	At September 30, 2022		At December 31, 2021		At September 30, 2022		At December 31, 2021
	(in millions)				(in millions)
Southern Company
Long-term debt	$	(2,788)	$	(3,280)	$	306	$	9
Southern Company Gas
Long-term debt	$	(411)	$	(493)	$	86	$	2

For the three and nine months ended September 30, 2022 and 2021, the pre-tax effects of energy-related derivatives not designated as hedging instruments on the statements of income of Southern Company and Southern Company Gas were as follows:

		Gain (Loss)
		Three Months Ended September 30,				Nine Months Ended September 30,
Derivatives in Non-Designated Hedging Relationships	Statements of Income Location	2022		2021		2022		2021
		(in millions)				(in millions)
Energy-related derivatives:	Natural gas revenues(*)	$	3	$	(2)	$	(10)	$	(122)
	Cost of natural gas	(2)		20		(7)		36
Total derivatives in non-designated hedging relationships		$	1	$	18	$	(17)	$	(86)

(*)Excludes immaterial gains (losses) recorded in natural gas revenues associated with weather derivatives for all periods presented.

For the three and nine months ended September 30, 2022 and 2021, the pre-tax effects of energy-related derivatives not designated as hedging instruments were immaterial for the other Registrants.

Contingent Features

The Registrants do not have any credit arrangements that would require material changes in payment schedules or terminations as a result of a credit rating downgrade. There are certain derivatives that could require collateral, but not accelerated payment, in the event of various credit rating changes of certain Southern Company subsidiaries. Generally, collateral may be provided by a Southern Company guaranty, letter of credit, or cash. At September 30, 2022, the Registrants had no collateral posted with derivative counterparties to satisfy these arrangements.

For Southern Company and Southern Power, the fair value of interest rate derivative liabilities with contingent features and the maximum potential collateral requirements arising from the credit-risk-related contingent features, at a rating below BBB- and/or Baa3, were $156 million and $38 million, respectively at September 30, 2022. For the traditional electric operating companies and Southern Power, energy-related derivative liabilities with contingent features and the maximum potential collateral requirements arising from the credit-risk-related contingent features, at a rating below BBB- and/or Baa3, were immaterial at September 30, 2022. The maximum potential collateral requirements arising from the credit-risk-related contingent features for the traditional electric operating companies and Southern Power include certain agreements that could require collateral in the event that one or more Southern Company power pool participants has a credit rating change to below investment grade. Following the sale of Gulf Power to NextEra Energy, Inc., Gulf Power continued participating in the Southern Company power pool through July 13, 2022.

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(UNAUDITED)

Alabama Power and Southern Power maintain accounts with certain regional transmission organizations to facilitate financial derivative transactions and they may be required to post collateral based on the value of the positions in these accounts and the associated margin requirements. At September 30, 2022, cash collateral posted in these accounts was immaterial. Southern Company Gas maintains accounts with brokers or the clearing houses of certain exchanges to facilitate financial derivative transactions. Based on the value of the positions in these accounts and the associated margin requirements, Southern Company Gas may be required to deposit cash into these accounts. At September 30, 2022, cash collateral held on deposit in broker margin accounts was $15 million.

The Registrants are exposed to losses related to financial instruments in the event of counterparties' nonperformance. The Registrants only enter into agreements and material transactions with counterparties that have investment grade credit ratings by Moody's and S&P or with counterparties who have posted collateral to cover potential credit exposure. The Registrants have also established risk management policies and controls to determine and monitor the creditworthiness of counterparties in order to mitigate their exposure to counterparty credit risk.

Southern Company Gas uses established credit policies to determine and monitor the creditworthiness of counterparties, including requirements to post collateral or other credit security, as well as the quality of pledged collateral. Collateral or credit security is most often in the form of cash or letters of credit from an investment-grade financial institution, but may also include cash or U.S. government securities held by a trustee. Prior to entering a physical transaction, Southern Company Gas assigns its counterparties an internal credit rating and credit limit based on the counterparties' Moody's, S&P, and Fitch ratings, commercially available credit reports, and audited financial statements. Southern Company Gas may require counterparties to pledge additional collateral when deemed necessary.

Southern Company Gas utilizes netting agreements whenever possible to mitigate exposure to counterparty credit risk. Netting agreements enable Southern Company Gas to net certain assets and liabilities by counterparty across product lines and against cash collateral, provided the netting and cash collateral agreements include such provisions. While the amounts due from, or owed to, counterparties are settled net, they are recorded on a gross basis on the balance sheet as energy marketing receivables and energy marketing payables.

The Registrants do not anticipate a material adverse effect on their respective financial statements as a result of counterparty nonperformance.

(K) ACQUISITIONS AND DISPOSITIONS

See Note 15 to the financial statements in Item 8 of the Form 10-K for additional information.

Alabama Power

On September 30, 2022, Alabama Power completed its acquisition of the Calhoun Generating Station, which was accounted for as an asset acquisition. The total purchase price was $179 million, of which $171 million was related to net assets recorded within property, plant, and equipment on the balance sheet and the remainder primarily related to fossil fuel stock and materials and supplies. See Note (B) and Note 15 to the financial statements in Item 8 of the Form 10-K under "Alabama Power" for additional information.

Southern Power

Construction Projects

During the nine months ended September 30, 2022, Southern Power completed construction of and placed in service the remaining 40 MWs of the Tranquillity battery energy storage facility and the remaining 15 MWs of the Garland battery energy storage facility.

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(UNAUDITED)

Project Facility	Resource	Approximate Nameplate Capacity (MW)	Location	COD	PPA Contract Period
Projects Completed During the Nine Months Ended September 30, 2022
Garland Solar Storage(a)	Battery energy storage system	88	Kern County, CA	September 2021 through February 2022(b)	20 years
Tranquillity Solar Storage(a)	Battery energy storage system	72	Fresno County, CA	November 2021 through March 2022(c)	20 years

(a)Southern Power consolidates each project's operating results in its financial statements and the tax equity partner and two other partners each own a noncontrolling interest.

(b)The facility has a total capacity of 88 MWs, of which 73 MWs were placed in service in 2021 and 15 MWs were placed in service in February 2022.

(c)The facility has a total capacity of 72 MWs, of which 32 MWs were placed in service in 2021 and 40 MWs were placed in service in March 2022.

Southern Company Gas

Sale of Natural Gas Storage Facilities

On September 7, 2022, certain affiliates of Southern Company Gas entered into agreements to sell two natural gas storage facilities located in California and Texas for an aggregate purchase price of $186 million, plus working capital and certain other adjustments. Completion of the sales is subject to material closing conditions, including, among others, release of a Southern Company Gas parent guarantee, approval from the California Public Utility Commission without a material burdensome condition, and the expiration or termination of any applicable waiting period under the Hart-Scott-Rodino Antitrust Improvements Act of 1976. The parent guarantee release was executed on October 20, 2022, which resolved a material closing condition. As a result, Southern Company Gas expects to record pre-tax impairment charges totaling approximately $125 million ($95 million after tax) in the fourth quarter 2022. The sale of the Texas facility is expected to be completed later in the fourth quarter 2022, and the sale of the California facility is expected to be completed during 2023; however, the ultimate outcome of these matters cannot be determined at this time.

Sale of Pivotal LNG

On May 20, 2022, Southern Company Gas received the final $5 million contingent payment from Dominion Modular LNG Holdings, Inc. in connection with its 2020 sale of Pivotal LNG, Inc.

(L) SEGMENT AND RELATED INFORMATION

Southern Company

The primary businesses of the Southern Company system are electricity sales by the traditional electric operating companies and Southern Power and the distribution of natural gas by Southern Company Gas. The traditional electric operating companies are vertically integrated utilities providing electric service in three Southeastern states. Southern Power develops, constructs, acquires, owns, and manages power generation assets, including renewable energy and battery energy storage projects, and sells electricity at market-based rates in the wholesale market. Southern Company Gas distributes natural gas through its natural gas distribution utilities and is involved in several other complementary businesses including gas pipeline investments and gas marketing services. Prior to the sale of Sequent on July 1, 2021, Southern Company Gas' other businesses also included wholesale gas services.

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(UNAUDITED)

Southern Company's reportable business segments are the sale of electricity by the traditional electric operating companies, the sale of electricity in the competitive wholesale market by Southern Power, and the sale of natural gas and other complementary products and services by Southern Company Gas. Revenues from sales by Southern Power to the traditional electric operating companies were $336 million and $673 million for the three and nine months ended September 30, 2022, respectively, and $167 million and $361 million for the three and nine months ended September 30, 2021, respectively. Revenues from sales of natural gas from Southern Company Gas to the traditional electric operating companies were immaterial for all periods presented. Revenues from sales of natural gas from Southern Company Gas (prior to its sale of Sequent) to Southern Power were $18 million for the nine months ended September 30, 2021. The "All Other" column includes the Southern Company parent entity, which does not allocate operating expenses to business segments. Also, this category includes segments below the quantitative threshold for separate disclosure. These segments include providing distributed energy and resilience solutions and deploying microgrids for commercial, industrial, governmental, and utility customers, as well as investments in telecommunications and, for the three and nine months ended September 30, 2021, leveraged lease projects. All other inter-segment revenues are not material.

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(UNAUDITED)

Financial data for business segments and products and services for the three and nine months ended September 30, 2022 and 2021 was as follows:

	Electric Utilities
	Traditional Electric Operating Companies		Southern Power		Eliminations		Total		Southern Company Gas		All Other		Eliminations		Consolidated
	(in millions)
Three Months Ended September 30, 2022
Operating revenues	$	6,938	$	1,180	$	(691)	$	7,427	$	857	$	135	$	(41)	$	8,378
Segment net income (loss)(a)(b)	1,445		95		—		1,540		83		(152)		1		1,472
Nine Months Ended September 30, 2022
Operating revenues	$	16,716	$	2,618	$	(1,391)	$	17,943	$	3,998	$	418	$	(127)	$	22,232
Segment net income (loss)(a)(b)	3,256		265		—		3,521		516		(415)		(11)		3,611
At September 30, 2022
Goodwill	$	—	$	2	$	—	$	2	$	5,015	$	263	$	—	$	5,280
Total assets	95,659		13,283		(748)		108,194		24,097		2,372		(658)		134,005
Three Months Ended September 30, 2021
Operating revenues	$	5,018	$	679	$	(170)	$	5,527	$	623	$	124	$	(36)	$	6,238
Segment net income (loss)(a)(b)(c)	1,085		78		—		1,163		56		(121)		3		1,101
Nine Months Ended September 30, 2021
Operating revenues	$	12,813	$	1,610	$	(372)	$	14,051	$	2,994	$	412	$	(111)	$	17,346
Segment net income (loss)(a)(b)(c)(d)(e)	2,352		211		—		2,563		389		(338)		(6)		2,608
At December 31, 2021
Goodwill	$	—	$	2	$	—	$	2	$	5,015	$	263	$	—	$	5,280
Total assets	89,051		13,390		(667)		101,774		23,560		2,975		(775)		127,534

(a)Attributable to Southern Company.

(b)For the traditional electric operating companies, includes pre-tax charges (credits) to income at Georgia Power for the estimated probable loss associated with the construction of Plant Vogtle Units 3 and 4 of $(70) million ($(52) million after tax) and $(18) million ($(13) million after tax) for the three and nine months ended September 30, 2022, respectively, and $264 million ($197 million after tax) and $772 million ($576 million after tax) for the three and nine months ended September 30, 2021, respectively. See Note (B) and Note 2 to the financial statements in Item 8 of the Form 10-K under "Georgia Power – Nuclear Construction" for additional information.

(c)For Southern Company Gas, includes a pre-tax gain of $121 million ($93 million after tax) related to its sale of Sequent, as well as the resulting $85 million of additional tax expense as a result of the sale. See Note 15 to the financial statements under "Southern Company Gas" in Item 8 of the Form 10-K for additional information.

(d)For Southern Power, includes gains on wind turbine equipment contributed to various equity method investments totaling approximately $37 million pre-tax ($28 million after tax). See Note 15 to the financial statements under "Southern Power – Development Projects" in Item 8 of the Form 10-K for additional information.

(e)For Southern Company Gas, includes pre-tax impairment charges totaling $84 million ($67 million after tax) related to its equity method investment in the PennEast Pipeline project. See Note 7 to the financial statements under "Southern Company Gas" in Item 8 of the Form 10-K for additional information.

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(UNAUDITED)

Products and Services

	Electric Utilities' Revenues
	Retail		Wholesale		Other		Total
	(in millions)
Three Months Ended September 30, 2022	$	5,961	$	1,197	$	269	$	7,427
Three Months Ended September 30, 2021	4,551		731		245		5,527
Nine Months Ended September 30, 2022	$	14,363	$	2,798	$	782	$	17,943
Nine Months Ended September 30, 2021	11,492		1,822		737		14,051

	Southern Company Gas' Revenues
	Gas Distribution Operations		Wholesale Gas Services(*)		Gas Marketing Services		Other		Total
	(in millions)
Three Months Ended September 30, 2022	$	748	$	—	$	85	$	24	$	857
Three Months Ended September 30, 2021	553		—		52		18		623
Nine Months Ended September 30, 2022	$	3,513	$	—	$	420	$	65	$	3,998
Nine Months Ended September 30, 2021	2,451		188		311		44		2,994

(*)Prior to the sale of Sequent, the revenues for wholesale gas services were netted with costs associated with its energy and risk management activities. See "Southern Company Gas" herein and Note 15 to the financial statements under "Southern Company Gas" in Item 8 of the Form 10-K for additional information.

Southern Company Gas

Southern Company Gas manages its business through three reportable segments – gas distribution operations, gas pipeline investments, and gas marketing services. Prior to the sale of Sequent on July 1, 2021, Southern Company Gas' reportable segments also included wholesale gas services. The non-reportable segments are combined and presented as all other. See Note 15 to the financial statements under "Southern Company Gas" in Item 8 of the Form 10-K for additional information on the sale of Sequent.

Gas distribution operations is the largest component of Southern Company Gas' business and includes natural gas local distribution utilities that construct, manage, and maintain intrastate natural gas pipelines and gas distribution facilities in four states.

Gas pipeline investments consists of joint ventures in natural gas pipeline investments including a 50% interest in SNG and a 50% joint ownership interest in the Dalton Pipeline. These natural gas pipelines enable the provision of diverse sources of natural gas supplies to the customers of Southern Company Gas. Gas pipeline investments also includes a 20% ownership interest in the PennEast Pipeline project, which was cancelled in September 2021. See Note 7 to the financial statements under "Southern Company Gas" in Item 8 of the Form 10-K for additional information.

Through July 1, 2021, wholesale gas services provided natural gas asset management and/or related logistics services for each of Southern Company Gas' utilities except Nicor Gas as well as for non-affiliated companies. Additionally, wholesale gas services engaged in natural gas storage and gas pipeline arbitrage and related activities.

Gas marketing services provides natural gas marketing to end-use customers primarily in Georgia and Illinois through SouthStar.

The all other column includes segments and subsidiaries that fall below the quantitative threshold for separate disclosure, including storage and fuels operations. See Note (K) under "Southern Company Gas" for information regarding agreements by certain affiliates of Southern Company Gas to sell two natural gas storage facilities.

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NOTES TO THE CONDENSED FINANCIAL STATEMENTS (Continued)

(UNAUDITED)

Business segment financial data for the three and nine months ended September 30, 2022 and 2021 was as follows:

	Gas Distribution Operations		Gas Pipeline Investments		Wholesale Gas Services(a)		Gas Marketing Services		Total		All Other		Eliminations		Consolidated
	(in millions)
Three Months Ended September 30, 2022
Operating revenues	$	751	$	8	$	—	$	85	$	844	$	16	$	(3)	$	857
Segment net income (loss)	59		24		—		(2)		81		2		—		83
Nine Months Ended September 30, 2022
Operating revenues	$	3,533	$	24	$	—	$	420	$	3,977	$	43	$	(22)	$	3,998
Segment net income (loss)	365		76		—		65		506		10		—		516
Total assets at September 30, 2022	21,605		1,425		—		1,595		24,625		9,100		(9,628)		24,097
Three Months Ended September 30, 2021
Operating revenues	$	556	$	8	$	—	$	52	$	616	$	11	$	(4)	$	623
Segment net income (loss)(b)(c)	45		10		94		(2)		147		(91)		—		56
Nine Months Ended September 30, 2021
Operating revenues	$	2,466	$	24	$	188	$	311	$	2,989	$	29	$	(24)	$	2,994
Segment net income (loss)(b)(c)(d)	308		3		108		60		479		(90)		—		389
Total assets at December 31, 2021	20,917		1,467		31		1,556		23,971		12,114		(12,525)		23,560

(a)As a result of the sale of Sequent, wholesale gas services is no longer a reportable segment for the three and nine months ended September 30, 2022. Prior to the sale of Sequent, the revenues for wholesale gas services were netted with costs associated with its energy and risk management activities. A reconciliation of operating revenues and intercompany revenues is shown in the following table.

	Third Party Gross Revenues		Intercompany Revenues		Total Gross Revenues		Less Gross Gas Costs		Operating Revenues
	(in millions)
Nine Months Ended September 30, 2021	$	3,881	$	90	$	3,971	$	3,783	$	188

(b)For wholesale gas services, includes a pre-tax gain of $121 million ($93 million after tax) related to the sale of Sequent. See Note 15 to the financial statements under "Southern Company Gas" in Item 8 of the Form 10-K for additional information.

(c)For the "All Other" column, includes $85 million of additional tax expense as a result of the sale. See Note 15 to the financial statements under "Southern Company Gas" in Item 8 of the Form 10-K for additional information.

(d)For gas pipeline investments, includes pre-tax impairment charges totaling $84 million ($67 million after tax) related to the equity method investment in the PennEast Pipeline project. See Note 7 to the financial statements under "Southern Company Gas" in Item 8 of the Form 10-K for additional information.

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Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations.

	Page
Combined Management's Discussion and Analysis of Financial Condition and Results of Operations
Overview	101
Results of Operations	105
Southern Company	105
Alabama Power	114
Georgia Power	119
Mississippi Power	125
Southern Power	129
Southern Company Gas	133
Future Earnings Potential	141
Accounting Policies	145
Financial Condition and Liquidity	146

The following Management's Discussion and Analysis of Financial Condition and Results of Operations is a combined presentation; however, information contained herein relating to any individual Registrant is filed by such Registrant on its own behalf and each Registrant makes no representation as to information related to the other Registrants.

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MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION

AND RESULTS OF OPERATIONS

OVERVIEW

Southern Company is a holding company that owns all of the common stock of three traditional electric operating companies (Alabama Power, Georgia Power, and Mississippi Power), Southern Power, and Southern Company Gas and owns other direct and indirect subsidiaries. The primary businesses of the Southern Company system are electricity sales by the traditional electric operating companies and Southern Power and the distribution of natural gas by Southern Company Gas. Southern Company's reportable segments are the sale of electricity by the traditional electric operating companies, the sale of electricity in the competitive wholesale market by Southern Power, and the sale of natural gas and other complementary products and services by Southern Company Gas. Southern Company Gas' reportable segments are gas distribution operations, gas pipeline investments, and gas marketing services. Prior to the sale of Sequent on July 1, 2021, Southern Company Gas' reportable segments also included wholesale gas services. See Note (L) to the Condensed Financial Statements herein for additional information on segment reporting. For additional information on the Registrants' primary business activities and the sale of Sequent, see BUSINESS – "The Southern Company System" in Item 1 of the Form 10-K and Note 15 to the financial statements under "Southern Company Gas" in Item 8 of the Form 10-K, respectively.

The Registrants continue to focus on several key performance indicators. For the traditional electric operating companies and Southern Company Gas, these indicators include, but are not limited to, customer satisfaction, plant availability, electric and natural gas system reliability, and execution of major construction projects. For Southern Power, these indicators include, but are not limited to, the equivalent forced outage rate and contract availability to evaluate operating results and help ensure its ability to meet its contractual commitments to customers. In addition, Southern Company and the Subsidiary Registrants focus on earnings per share and net income, respectively, as a key performance indicator.

Recent Developments

Alabama Power

On July 12, 2022, the Alabama PSC approved the following items:

•Alabama Power's petition for a certificate of convenience and necessity authorizing Alabama Power to complete the acquisition of the Calhoun Generating Station. The transaction closed on September 30, 2022 and, on October 3, 2022, Alabama Power filed Rate CNP New Plant with the Alabama PSC to recover the related costs. The filing reflected an increase in annual revenues of $34 million, or 0.6%, effective with the billing month of November 2022.

•An increase to Rate ECR effective with August 2022 billings, which is expected to result in an increase of approximately $310 million annually. The approved increase in the Rate ECR factor has no significant effect on Alabama Power's net income, but does increase operating cash flows related to fuel cost recovery.

•Modifications to Rate NDR.

•An accounting order authorizing Alabama Power to create a reliability reserve separate from the NDR and transition the previous Rate NDR authority related to reliability expenditures to the reliability reserve. Alabama Power may make accruals to the reliability reserve if the NDR balance exceeds $35 million.

See Note (B) to the Condensed Financial Statements under "Alabama Power" herein for additional information.

On September 23, 2022, the FERC authorized Alabama Power to use updated depreciation rates from its 2021 depreciation study effective January 1, 2023. The study was also provided to the Alabama PSC, and the new depreciation rates will be reflected in Alabama Power's future rate filings. See FUTURE EARNINGS POTENTIAL – "Regulatory Matters – Alabama Power" herein for additional information.

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MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION

AND RESULTS OF OPERATIONS (Continued)

Georgia Power

Plant Vogtle Units 3 and 4 Construction and Start-Up Status

Construction continues on Plant Vogtle Units 3 and 4 (with electric generating capacity of approximately 1,100 MWs each), in which Georgia Power currently holds a 45.7% ownership interest. Georgia Power's share of the total project capital cost forecast to complete Plant Vogtle Units 3 and 4, including contingency, through the end of the first quarter 2023 and the fourth quarter 2023, respectively, is $10.4 billion.

On July 29, 2022, Southern Nuclear announced that all Unit 3 ITAACs had been submitted to the NRC. On August 3, 2022, the NRC published its 103(g) finding that the acceptance criteria in the combined license for Unit 3 had been met, which allowed nuclear fuel to be loaded and allows start-up testing to begin. Fuel load for Unit 3 was completed on October 17, 2022, and the unit is projected to be placed in service by the end of the first quarter 2023. The projected schedule for Unit 3 primarily depends on the pace of system and area transitions to operations, including the completion of closure documentation necessary to support start-up testing, and the progression of start-up, final component, and pre-operational testing, which may be impacted by equipment or other operational failures. Unit 4 is projected to be placed in service by the end of the fourth quarter 2023. The projected schedule for Unit 4 primarily depends on Unit 3 progress through start-up and testing; overall construction productivity and production levels improving, particularly in electrical installation, including terminations; and appropriate levels of craft laborers, particularly electricians, being added and maintained. Any further delays could result in later in-service dates and cost increases.

During the first nine months of 2022, established construction contingency totaling $170 million was assigned to the base capital cost forecast for costs primarily associated with construction productivity, the pace of system turnovers, additional craft and support resources, and procurement for Units 3 and 4. Georgia Power also increased its total project capital cost forecast by adding $36 million and $32 million to replenish construction contingency in the second quarter 2022 and the third quarter 2022, respectively. After considering the significant level of uncertainty that exists regarding the future recoverability of these costs since the ultimate outcome of these matters is subject to the outcome of future assessments by management, as well as Georgia PSC decisions in future regulatory proceedings, Georgia Power recorded pre-tax charges to income in the second quarter 2022 and the third quarter 2022 of $36 million ($27 million after tax) and $32 million ($24 million after tax), respectively, for the increases in the total project capital cost forecast. Georgia Power may request the Georgia PSC to evaluate those expenditures for rate recovery during the prudence review following the Unit 4 fuel load pursuant to the twenty-fourth VCM stipulation described in Note (B) to the Condensed Financial Statements under "Georgia Power – Nuclear Construction – Regulatory Matters" herein.

Georgia Power and the other Vogtle Owners do not agree on the starting dollar amount for the determination of cost increases subject to the cost-sharing and tender provisions of the Global Amendments (as defined in Note (B) to the Condensed Financial Statements under "Georgia Power – Nuclear Construction – Joint Owner Contracts" herein). The other Vogtle Owners have notified Georgia Power that they believe the current capital cost expenditures have already exceeded the cost-sharing thresholds and the current project capital cost forecast triggers the tender provisions under the Global Amendments.

On June 17, 2022 and July 26, 2022, OPC and Dalton, respectively, notified Georgia Power of their purported exercises of their tender options. On June 18, 2022, OPC and MEAG Power each filed a separate lawsuit against Georgia Power in the Superior Court of Fulton County, Georgia seeking a declaratory judgment that the starting dollar amount is $17.1 billion and that the cost-sharing and tender provisions have been triggered. On July 25, 2022 and July 28, 2022, Georgia Power filed its answers in the lawsuits filed by MEAG Power and OPC, respectively, and included counterclaims seeking a declaratory judgment that the starting dollar amount is $18.38 billion and that costs related to force majeure events are excluded prior to calculating the cost-sharing and tender provisions and when calculating Georgia Power's related financial obligations. On September 26, 2022, Dalton filed complaints in each of these lawsuits.

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MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION

AND RESULTS OF OPERATIONS (Continued)

On September 29, 2022, Georgia Power and MEAG Power reached an agreement to resolve their dispute regarding the proper interpretation of the cost-sharing and tender provisions of the Global Amendments. Under the terms of the agreement, among other items, (i) MEAG Power will not exercise its tender option and will retain its full ownership interest in Plant Vogtle Units 3 and 4; (ii) Georgia Power will pay a portion of MEAG Power's costs of construction for Plant Vogtle Units 3 and 4 as such costs are incurred and with no further adjustment for force majeure costs, which payments will total approximately $79 million based on the current project capital cost forecast; and (iii) Georgia Power will pay 20% of MEAG Power's costs of construction with respect to any amounts over the current project capital cost forecast, with no further adjustment for force majeure costs. On October 4, 2022, MEAG Power and Georgia Power filed a notice of settlement and voluntary dismissal of the pending litigation described above, including Georgia Power's counterclaim, and, on October 6, 2022, Dalton dismissed its related complaint. Georgia Power recorded pre-tax charges (credits) to income in the fourth quarter 2021, the second quarter 2022, and the third quarter 2022 of approximately $440 million ($328 million after tax), $16 million ($12 million after tax), and $(102) million ($(76) million after tax), respectively, associated with the cost-sharing and tender provisions of the Global Amendments, including the settlement with MEAG Power, which are included in the total project capital cost forecast. The settlement with MEAG Power does not resolve the separate pending litigation with OPC, including Dalton's associated complaint. Georgia Power may be required to record further pre-tax charges to income of up to approximately $300 million associated with the cost-sharing and tender provisions of the Global Amendments for OPC and Dalton based on the current project capital cost forecast.

The ultimate impact of these matters on the construction schedule and project capital cost forecast for Plant Vogtle Units 3 and 4 cannot be determined at this time. See Note (B) to the Condensed Financial Statements under "Georgia Power – Nuclear Construction" herein for additional information.

2022 Base Rate Case

On June 24, 2022, Georgia Power filed a base rate case (Georgia Power 2022 Base Rate Case) with the Georgia PSC. The filing, as modified on August 22, 2022, proposes a three-year alternate rate plan with requested rate increases totaling $889 million, $107 million, and $45 million effective January 1, 2023, January 1, 2024, and January 1, 2025, respectively. Georgia Power expects the Georgia PSC to render a final decision in this matter on December 20, 2022. The ultimate outcome of this matter cannot be determined at this time. See Note (B) to the Condensed Financial Statements under "Georgia Power – Rate Plans – 2022 Base Rate Case" herein for additional information.

Integrated Resource Plan

On July 21, 2022, the Georgia PSC approved Georgia Power's triennial IRP (2022 IRP), as modified by a stipulated agreement among Georgia Power, the staff of the Georgia PSC, and certain intervenors and as further modified by the Georgia PSC. In the 2022 IRP decision, the Georgia PSC approved several requests, including the following:

•Decertification and retirement of Plant Wansley Units 1 and 2 (926 MWs based on 53.5% ownership), which occurred on August 31, 2022, and Plant Scherer Unit 3 (614 MWs based on 75% ownership) by December 31, 2028, as well as the reclassification to regulatory asset accounts of the remaining net book values of these units and any remaining unusable materials and supplies inventories upon retirement.

•Decertification and retirement of Plant Gaston Units 1 through 4 (500 MWs based on 50% ownership through SEGCO) by December 31, 2028. See Note 7 to the financial statements under "SEGCO" in Item 8 of the Form 10-K for additional information.

•Georgia Power's environmental compliance strategy, including approval of Georgia Power's plans to address CCR at its ash ponds and landfills.

The Georgia PSC deferred a decision on the requested decertification and retirement of Plant Bowen Units 1 and 2 (1,400 MWs) to the 2025 IRP.

See Note (B) to the Condensed Financial Statements under "Georgia Power – Integrated Resource Plans" herein for additional information.

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MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION

AND RESULTS OF OPERATIONS (Continued)

Mississippi Power

On June 7, 2022, the Mississippi PSC approved Mississippi Power's annual retail PEP filing for 2022, resulting in an annual increase in revenues of approximately $18 million, or 1.9%. The rate increase became effective with the first billing cycle of April 2022 in accordance with the PEP rate schedule.

On August 26, 2022, the FERC accepted an amended shared service agreement (SSA) between Mississippi Power and Cooperative Energy, effective July 1, 2022, under which Cooperative Energy will continue to decrease its use of Mississippi Power's generation services under the MRA tariff up to 2.5% annually through 2035. At September 30, 2022, Mississippi Power is serving approximately 400 MWs of Cooperative Energy's annual demand. Beginning in 2036, Cooperative Energy will provide 100% of its electricity requirements at the MRA delivery points under the tariff. Neither party has the option to cancel the amended SSA. Mississippi Power expects to remarket this capacity, including the potential development of future arrangements with Cooperative Energy.

On July 15, 2022, Mississippi Power filed a request with the FERC for a $23 million increase in annual wholesale base revenues under the MRA tariff and requested an effective date of July 15, 2022. Cooperative Energy has filed a complaint with FERC challenging the new rates. On September 13, 2022, the FERC issued an order accepting Mississippi Power's request effective September 14, 2022, subject to refund, and establishing hearing and settlement judge procedures. The ultimate outcome of this matter cannot be determined at this time.

See Note (B) to the Condensed Financial Statements under "Mississippi Power" herein for additional information.

Southern Power

During the nine months ended September 30, 2022, Southern Power completed construction of and placed in service the remaining 40 MWs of the Tranquillity battery energy storage facility and the remaining 15 MWs of the Garland battery energy storage facility. See Note (K) to the Condensed Financial Statements under "Southern Power" herein for additional information.

At September 30, 2022, Southern Power's average investment coverage ratio for its generating assets, including those owned with various partners, based on the ratio of investment under contract to total investment using the respective facilities' net book value (or expected in-service value for facilities under construction) as the investment amount was 95% through 2026 and 92% through 2031, with an average remaining contract duration of approximately 13 years.

Southern Company Gas

On July 1, 2022, Atlanta Gas Light filed its annual GRAM update with the Georgia PSC. The filing requests an annual base rate increase of $53 million based on the projected 12-month period beginning January 1, 2023. Resolution of the GRAM filing is expected by December 28, 2022, with the new rates effective January 1, 2023.

On August 1, 2022, Virginia Natural Gas filed a general base rate case with the Virginia Commission seeking an increase in annual base rate revenues of $69 million, including $15 million related to the recovery of investments under the SAVE program, primarily to recover investments and increased costs associated with infrastructure, technology, and workforce development. The requested increase is based on a projected 12-month period beginning January 1, 2023, a ROE of 10.35%, and an equity ratio of 53.2%. Rate adjustments are expected to be effective January 1, 2023, subject to refund. The Virginia Commission is expected to rule on the requested increase in the third quarter 2023.

On September 7, 2022, certain affiliates of Southern Company Gas entered into agreements to sell two natural gas storage facilities located in California and Texas for an aggregate purchase price of $186 million, plus working capital and certain other adjustments. On October 20, 2022, the release of a Southern Company Gas parent guarantee was executed, which resolved a material closing condition. As a result, Southern Company Gas expects to record pre-tax impairment charges totaling approximately $125 million ($95 million after tax) in the fourth quarter

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MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION

AND RESULTS OF OPERATIONS (Continued)

2022. See Note (K) to the Condensed Financial Statements under "Southern Company Gas" herein for additional information.

The ultimate outcome of these matters cannot be determined at this time.

RESULTS OF OPERATIONS

Southern Company

Net Income

Third Quarter 2022 vs. Third Quarter 2021		Year-To-Date 2022 vs. Year-To-Date 2021
(change in millions)	(% change)	(change in millions)	(% change)
$371	33.7	$1,003	38.5

Consolidated net income attributable to Southern Company was $1.5 billion ($1.36 per share) in the third quarter 2022 compared to $1.1 billion ($1.04 per share) for the corresponding period in 2021. Consolidated net income attributable to Southern Company was $3.6 billion ($3.38 per share) for year-to-date 2022 compared to $2.6 billion ($2.46 per share) for the corresponding period in 2021. The increases were primarily due to decreases of $249 million and $589 million in the third quarter and year-to-date 2022, respectively, in after-tax charges related to the construction of Plant Vogtle Units 3 and 4, increases in retail electric revenues associated with rates and pricing, warmer weather, and sales growth, and increases in natural gas revenues from base rate increases and continued infrastructure replacement, partially offset by higher non-fuel operations and maintenance costs. The increase for year-to-date 2022 also reflects after-tax charges totaling $67 million in 2021 related to the PennEast Pipeline project at Southern Company Gas.

See Note (B) to the Condensed Financial Statements herein and Note 2 to the financial statements in Item 8 of the Form 10-K under "Georgia Power – Nuclear Construction" for additional information regarding Plant Vogtle Units 3 and 4 and Note 7 to the financial statements under "Southern Company Gas" in Item 8 of the Form 10-K for additional information on the PennEast Pipeline project.

Retail Electric Revenues

Third Quarter 2022 vs. Third Quarter 2021		Year-To-Date 2022 vs. Year-To-Date 2021
(change in millions)	(% change)	(change in millions)	(% change)
$1,410	31.0	$2,871	25.0

In the third quarter 2022, retail electric revenues were $6.0 billion compared to $4.6 billion for the corresponding period in 2021. For year-to-date 2022, retail electric revenues were $14.4 billion compared to $11.5 billion for the corresponding period in 2021.

Details of the changes in retail electric revenues were as follows:

	Third Quarter 2022				Year-To-Date 2022
	(in millions)		(% change)		(in millions)		(% change)
Retail electric – prior year	$	4,551			$	11,492
Estimated change resulting from –
Rates and pricing	165		3.6	%	458		4.0	%
Sales growth	73		1.6		158		1.4
Weather	26		0.6		188		1.6
Fuel and other cost recovery	1,146		25.2		2,067		18.0
Retail electric – current year	$	5,961	31.0	%	$	14,363	25.0	%

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MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION

AND RESULTS OF OPERATIONS (Continued)

Revenues associated with changes in rates and pricing increased in the third quarter and year-to-date 2022 when compared to the corresponding periods in 2021. The increases were primarily due to higher contributions from commercial and industrial customers with variable demand-driven pricing, base tariff increases in accordance with Georgia Power's 2019 ARP, and pricing effects associated with customer usage. See Note 2 to the financial statements under "Georgia Power – Rate Plans" in Item 8 of the Form 10-K for additional information.

Revenues attributable to changes in sales increased in the third quarter and year-to-date 2022 when compared to the corresponding periods in 2021. Weather-adjusted residential KWH sales increased 1.3% and 0.4% in the third quarter and year-to-date 2022, respectively, and weather-adjusted commercial KWH sales increased 2.0% in both the third quarter and year-to-date 2022 when compared to the corresponding periods in 2021 primarily due to customer growth. In addition, commercial customer usage increased in the third quarter and year-to-date 2022 and residential customer usage decreased for year-to-date 2022 when compared to the corresponding periods in 2021 as customers return to pre-pandemic levels of activity outside the home. Industrial KWH sales increased 2.2% and 2.6% in the third quarter and year-to-date 2022, respectively, when compared to the corresponding periods in 2021 primarily due to increases in the pipeline and paper sectors, partially offset by a decrease in the chemicals sector.

Fuel and other cost recovery revenues increased $1.1 billion and $2.1 billion in the third quarter and year-to-date 2022, respectively, compared to the corresponding periods in 2021 primarily due to higher fuel and purchased power costs and an increase in the volume of KWHs generated. Electric rates for the traditional electric operating companies include provisions to adjust billings for fluctuations in fuel costs, including the energy component of purchased power costs. Under these provisions, fuel revenues generally equal fuel expenses, including the energy component of PPA costs, and do not affect net income. The traditional electric operating companies each have one or more regulatory mechanisms to recover other costs such as environmental and other compliance costs, storm damage, new plants, and PPA capacity costs. See Note 2 to the financial statements in Item 8 of the Form 10-K and Note (B) to the Condensed Financial Statements herein for additional information.

Wholesale Electric Revenues

Third Quarter 2022 vs. Third Quarter 2021		Year-To-Date 2022 vs. Year-To-Date 2021
(change in millions)	(% change)	(change in millions)	(% change)
$466	63.7	$976	53.6

In the third quarter 2022, wholesale electric revenues were $1.2 billion compared to $731 million for the corresponding period in 2021. For year-to-date 2022, wholesale electric revenues were $2.8 billion compared to $1.8 billion for the corresponding period in 2021. The increases were primarily due to increases of $437 million and $930 million in the third quarter and year-to-date 2022, respectively, in energy revenues as a result of fuel and purchased power price increases when compared to the corresponding periods in 2021, an increase in the volume of KWHs sold primarily associated with natural gas PPAs at Southern Power, and increased opportunity sales at Alabama Power due to warmer weather.

Wholesale electric revenues consist of revenues from PPAs and short-term opportunity sales. Wholesale electric revenues from PPAs (other than solar and wind PPAs) have both capacity and energy components. Capacity revenues generally represent the greatest contribution to net income and are designed to provide recovery of fixed costs plus a return on investment. Energy revenues will vary depending on fuel prices, the market prices of wholesale energy compared to the Southern Company system's generation, demand for energy within the Southern Company system's electric service territory, and the availability of the Southern Company system's generation. Increases and decreases in energy revenues that are driven by fuel prices are accompanied by an increase or decrease in fuel costs and do not have a significant impact on net income. Energy sales from solar and wind PPAs do not have a capacity charge and customers either purchase the energy output of a dedicated renewable facility through an energy charge or through a fixed price related to the energy. As a result, the ability to recover fixed and variable operations and maintenance expenses is dependent upon the level of energy generated from these facilities, which can be impacted by weather conditions, equipment performance, transmission constraints, and other factors. Wholesale electric revenues at Mississippi Power include FERC-regulated municipal and rural association sales

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MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION

AND RESULTS OF OPERATIONS (Continued)

under cost-based tariffs as well as market-based sales. Short-term opportunity sales are made at market-based rates that generally provide a margin above the Southern Company system's variable cost to produce the energy.

Other Electric Revenues

Third Quarter 2022 vs. Third Quarter 2021		Year-To-Date 2022 vs. Year-To-Date 2021
(change in millions)	(% change)	(change in millions)	(% change)
$6	3.4	$29	5.5

In the third quarter 2022, other electric revenues were $185 million compared to $179 million for the corresponding period in 2021. The increase was primarily due to increases of $14 million in transmission revenues primarily associated with open access transmission tariff sales and $7 million in cogeneration steam revenues associated with higher natural gas prices at Alabama Power, partially offset by a $14 million increase in realized losses associated with price stability products for retail customers on variable demand-driven pricing tariffs at Georgia Power.

For year-to-date 2022, other electric revenues were $554 million compared to $525 million for the corresponding period in 2021. The increase was primarily due to increases of $41 million in transmission revenues primarily associated with open access transmission tariff sales, $15 million in cogeneration steam revenues associated with higher natural gas prices at Alabama Power, and $13 million in outdoor lighting sales at Georgia Power, partially offset by a decrease of $26 million resulting from the termination of a transmission service contract and an increase of $21 million in realized losses associated with price stability products for retail customers on variable demand-driven pricing tariffs, both at Georgia Power.

Natural Gas Revenues

Third Quarter 2022 vs. Third Quarter 2021		Year-To-Date 2022 vs. Year-To-Date 2021
(change in millions)	(% change)	(change in millions)	(% change)
$234	37.6	$1,004	33.5

In the third quarter 2022, natural gas revenues were $857 million compared to $623 million for the corresponding period in 2021. For year-to-date 2022, natural gas revenues were $4.0 billion compared to $3.0 billion for the corresponding period in 2021.

Details of the changes in natural gas revenues were as follows:

	Third Quarter 2022				Year-To-Date 2022
	(in millions)		(% change)		(in millions)		(% change)
Natural gas revenues – prior year	$	623			$	2,994
Estimated change resulting from –
Infrastructure replacement programs and base rate changes	54		8.7	%	186		6.2	%
Gas costs and other cost recovery	172		27.6		955		31.9
Gas marketing services	1		0.2		14		0.5
Wholesale gas services	—		—		(187)		(6.2)
Other	7		1.1		36		1.1
Natural gas revenues – current year	$	857	37.6	%	$	3,998	33.5	%

Revenues from infrastructure replacement programs and base rate changes at the natural gas distribution utilities increased in the third quarter and year-to-date 2022 compared to the corresponding periods in 2021 primarily due to rate increases at Nicor Gas, Atlanta Gas Light, and Chattanooga Gas and continued investment in infrastructure replacement. See Note 2 to the financial statements under "Southern Company Gas – Rate Proceedings" in Item 8 of the Form 10-K for additional information.

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MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION

AND RESULTS OF OPERATIONS (Continued)

Revenues associated with gas costs and other cost recovery increased in the third quarter and year-to-date 2022 compared to the corresponding periods in 2021 primarily due to higher natural gas cost recovery. Natural gas distribution rates include provisions to adjust billings for fluctuations in natural gas costs. Therefore, gas costs recovered through natural gas revenues generally equal the amount expensed in cost of natural gas and do not affect net income from the natural gas distribution utilities.

Revenues from gas marketing services increased for year-to-date 2022 compared to the corresponding period in 2021 due to higher commodity prices and higher sales to commercial customers.

The changes in year-to-date 2022 revenues related to Southern Company Gas' wholesale gas services were due to the sale of Sequent on July 1, 2021. See Note 15 to the financial statements under "Southern Company Gas" in Item 8 of the Form 10-K for additional information.

Other Revenues

Third Quarter 2022 vs. Third Quarter 2021		Year-To-Date 2022 vs. Year-To-Date 2021
(change in millions)	(% change)	(change in millions)	(% change)
$24	15.6	$6	1.2

In the third quarter 2022, other revenues were $178 million compared to $154 million for the corresponding period in 2021. The increase was primarily due to a $15 million increase in unregulated sales at the traditional electric operating companies primarily associated with power delivery construction and maintenance projects, energy conservation projects, and lighting. Also contributing to the increase was a $9 million increase primarily related to distributed infrastructure projects at PowerSecure.

For year-to-date 2022, other revenues were $519 million compared to $513 million for the corresponding period in 2021. The increase was primarily due to increases of $10 million in unregulated sales associated with power delivery construction and maintenance projects at Mississippi Power, $9 million in unregulated energy conservation projects at Georgia Power, $8 million in unregulated lighting sales at Alabama Power, and $5 million primarily related to distribution infrastructure projects at PowerSecure, partially offset by a $28 million decrease associated with the timing of revenue recognition for a large, ongoing power delivery construction and maintenance contract at Georgia Power.

Fuel and Purchased Power Expenses

	Third Quarter 2022 vs. Third Quarter 2021			Year-To-Date 2022 vs. Year-To-Date 2021
	(change in millions)		(% change)	(change in millions)		(% change)
Fuel	$	1,189	96.4	$	2,319	79.1
Purchased power	357		124.0	573		80.5
Total fuel and purchased power expenses	$	1,546		$	2,892

In the third quarter 2022, total fuel and purchased power expenses were $3.1 billion compared to $1.5 billion for the corresponding period in 2021. The increase was primarily the result of a $1.2 billion increase in the average cost of fuel and purchased power and a $310 million increase in the volume of KWHs generated and purchased.

For year-to-date 2022, total fuel and purchased power expenses were $6.5 billion compared to $3.6 billion for the corresponding period in 2021. The increase was primarily the result of a $2.4 billion increase in the average cost of fuel and purchased power and a $523 million increase in the volume of KWHs generated and purchased.

Fuel and purchased power energy transactions at the traditional electric operating companies are generally offset by fuel revenues and do not have a significant impact on net income. See Note 2 to the financial statements in Item 8 of the Form 10-K for additional information. Fuel expenses incurred under Southern Power's PPAs are generally the responsibility of the counterparties and do not significantly impact net income.

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AND RESULTS OF OPERATIONS (Continued)

Details of the Southern Company system's generation and purchased power were as follows:

	Third Quarter 2022	Third Quarter 2021	Year-To-Date 2022	Year-To-Date 2021
Total generation (in billions of KWHs)(a)	50	50	141	136
Total purchased power (in billions of KWHs)	9	5	20	13
Sources of generation (percent)(a) —
Gas	54	48	50	47
Coal	21	26	22	24
Nuclear	16	16	16	17
Hydro	2	3	4	4
Wind, Solar, and Other	7	7	8	8
Cost of fuel, generated (in cents per net KWH)—
Gas(a)	6.75	3.38	5.42	2.87
Coal	4.12	2.82	3.58	2.84
Nuclear	0.71	0.78	0.72	0.76
Average cost of fuel, generated (in cents per net KWH)(a)	5.05	2.75	4.07	2.45
Average cost of purchased power (in cents per net KWH)(b)	8.94	6.45	7.84	5.77

(a)Excludes Central Alabama Generating Station KWHs and associated cost of fuel through July 12, 2022 as its fuel was previously provided by the purchaser under a power sales agreement. See Note 15 to the financial statements under "Alabama Power" in Item 8 of the Form 10-K for additional information.

(b)Average cost of purchased power includes fuel purchased by the Southern Company system for tolling agreements where power is generated by the provider.

Fuel

In the third quarter 2022, fuel expense was $2.4 billion compared to $1.2 billion for the corresponding period in 2021. The increase was primarily due to a 99.7% increase in the average cost of natural gas per KWH generated, a 52.7% decrease in the volume of KWHs generated by hydro, a 46.1% increase in the average cost of coal per KWH generated, and a 13.0% increase in the volume of KWHs generated by natural gas, partially offset by a 19.0% decrease in the volume of KWHs generated by coal.

For year-to-date 2022, fuel expense was $5.2 billion compared to $2.9 billion for the corresponding period in 2021. The increase was primarily due to an 88.9% increase in the average cost of natural gas per KWH generated, a 26.1% increase in the average cost of coal per KWH generated, a 9.6% increase in the volume of KWHs generated by natural gas, and an 8.7% decrease in the volume of KWHs generated by hydro, partially offset by a 4.1% decrease in the volume of KWHs generated by coal.

Purchased Power

In the third quarter 2022, purchased power expense was $645 million compared to $288 million for the corresponding period in 2021. The increase was primarily due to a 38.6% increase in the average cost per KWH purchased primarily due to higher natural gas and coal prices and an 87.2% increase in the volume of KWHs purchased.

For year-to-date 2022, purchased power expense was $1.3 billion compared to $712 million for the corresponding period in 2021. The increase was primarily due to a 35.9% increase in the average cost per KWH purchased primarily due to higher natural gas and coal prices and a 50.9% increase in the volume of KWHs purchased.

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Energy purchases will vary depending on demand for energy within the Southern Company system's electric service territory, the market prices of wholesale energy as compared to the cost of the Southern Company system's generation, and the availability of the Southern Company system's generation.

Cost of Natural Gas

Third Quarter 2022 vs. Third Quarter 2021		Year-To-Date 2022 vs. Year-To-Date 2021
(change in millions)	(% change)	(change in millions)	(% change)
$165	N/M	$897	95.1

Excluding Atlanta Gas Light, which does not sell natural gas to end-use customers, natural gas distribution rates include provisions to adjust billings for fluctuations in natural gas costs. Therefore, gas costs recovered through natural gas revenues generally equal the amount expensed in cost of natural gas and do not affect net income from the natural gas distribution utilities. Cost of natural gas at the natural gas distribution utilities represented 78% and 87% of the total cost of natural gas in the third quarter and year-to-date 2022, respectively.

In the third quarter 2022, cost of natural gas was $294 million compared to $129 million for the corresponding period in 2021. For year-to-date 2022, cost of natural gas was $1.8 billion compared to $943 million for the corresponding period in 2021. The increases reflect higher gas cost recovery as a result of increases of 104% and 113% in natural gas prices in the third quarter and year-to-date 2022, respectively, compared to the corresponding periods in 2021.

Cost of Other Sales

Third Quarter 2022 vs. Third Quarter 2021		Year-To-Date 2022 vs. Year-To-Date 2021
(change in millions)	(% change)	(change in millions)	(% change)
$21	29.6	$20	7.8

In the third quarter 2022, cost of other sales was $92 million compared to $71 million for the corresponding period in 2021. The increase was primarily related to distributed infrastructure projects at PowerSecure.

For year-to-date 2022, cost of other sales was $275 million compared to $255 million for the corresponding period in 2021. The increase was primarily due to increases of $32 million related to distributed infrastructure projects at PowerSecure, $9 million related to unregulated power delivery construction and maintenance projects at Mississippi Power, and $9 million primarily associated with unregulated merchandising and energy services expenses at Alabama Power, partially offset by a decrease of $32 million associated with unregulated power delivery construction and maintenance projects at Georgia Power.

Other Operations and Maintenance Expenses

Third Quarter 2022 vs. Third Quarter 2021		Year-To-Date 2022 vs. Year-To-Date 2021
(change in millions)	(% change)	(change in millions)	(% change)
$101	7.0	$364	8.6

In the third quarter 2022, other operations and maintenance expenses were $1.5 billion compared to $1.4 billion for the corresponding period in 2021. The increase was primarily due to increases of $49 million in transmission and distribution expenses primarily related to line maintenance, $18 million in customer accounts, customer service, and sales expenses primarily related to bad debt expenses, payment convenience fees, and labor, $12 million in compensation and benefit expenses, and $10 million in generation expenses primarily related to scheduled outage and maintenance costs.

For year-to-date 2022, other operations and maintenance expenses were $4.6 billion compared to $4.3 billion for the corresponding period in 2021. Excluding $53 million of expenses related to Sequent in 2021, other operations and

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maintenance expenses increased $417 million. The increase was primarily due to increases of $135 million in transmission and distribution expenses primarily related to line maintenance, $90 million in generation expenses primarily related to scheduled outage and maintenance costs, $38 million in compensation and benefit expenses, $30 million in expenses at Southern Company Gas passed through directly to customers primarily related to bad debt, and $21 million in customer accounts, customer service, and sales expenses primarily related to bad debt expenses, payment convenience fees, and labor.

Depreciation and Amortization

Third Quarter 2022 vs. Third Quarter 2021		Year-To-Date 2022 vs. Year-To-Date 2021
(change in millions)	(% change)	(change in millions)	(% change)
$26	2.9	$70	2.6

In the third quarter 2022, depreciation and amortization was $922 million compared to $896 million for the corresponding period in 2021. For year-to-date 2022, depreciation and amortization was $2.73 billion compared to $2.66 billion for the corresponding period in 2021. The increases were primarily due to additional plant in service, including continued infrastructure investments at the natural gas distribution utilities.

Taxes Other Than Income Taxes

Third Quarter 2022 vs. Third Quarter 2021		Year-To-Date 2022 vs. Year-To-Date 2021
(change in millions)	(% change)	(change in millions)	(% change)
$40	12.8	$104	10.7

In the third quarter 2022, taxes other than income taxes were $352 million compared to $312 million for the corresponding period in 2021. For year-to-date 2022, taxes other than income taxes were $1.1 billion compared to $969 million for the corresponding period in 2021. The increases primarily reflect an increase in municipal franchise fees at Georgia Power and an increase in revenue tax expenses at Southern Company Gas.

Estimated Loss on Plant Vogtle Units 3 and 4

Third Quarter 2022 vs. Third Quarter 2021		Year-To-Date 2022 vs. Year-To-Date 2021
(change in millions)	(% change)	(change in millions)	(% change)
$(334)	N/M	$(790)	N/M

Georgia Power recorded pre-tax charges (credits) to income for the estimated probable loss on Plant Vogtle Units 3 and 4 totaling $(70) million and $264 million in the third quarter 2022 and 2021, respectively, and $(18) million and $772 million for year-to-date 2022 and 2021, respectively. The charges (credits) reflect revisions to the total project capital cost forecast to complete construction and start-up of Plant Vogtle Units 3 and 4. See Note (B) to the Condensed Financial Statements herein and Note 2 to the financial statements in Item 8 of the Form 10-K under "Georgia Power – Nuclear Construction" for additional information.

Gain on Dispositions, Net

Third Quarter 2022 vs. Third Quarter 2021		Year-To-Date 2022 vs. Year-To-Date 2021
(change in millions)	(% change)	(change in millions)	(% change)
$(105)	(84.0)	$(126)	(70.4)

In the third quarter 2022, gain on dispositions, net was $20 million compared to $125 million for the corresponding period in 2021. For year-to-date 2022, gain on dispositions, net was $53 million compared to $179 million for the corresponding period in 2021. The decreases primarily reflect a $121 million gain at Southern Company Gas related to the sale of Sequent in the third quarter 2021, partially offset by a $14 million gain recorded in the third quarter

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2022 as a result of the early termination of the transition services agreement related to the 2019 sale of Gulf Power. The year-to-date 2022 decrease also reflects a $39 million gain at Southern Power primarily from contributions of wind turbine equipment to various equity method investments in 2021, partially offset by a $17 million gain from sales of integrated transmission system assets at Georgia Power in 2022. See Note 15 to the financial statements under "Southern Power – Development Projects" and "Southern Company Gas – Sale of Sequent" in Item 8 of the Form 10-K for additional information.

Allowance for Equity Funds Used During Construction

Third Quarter 2022 vs. Third Quarter 2021		Year-To-Date 2022 vs. Year-To-Date 2021
(change in millions)	(% change)	(change in millions)	(% change)
$10	20.4	$23	16.4

In the third quarter 2022, allowance for equity funds used during construction was $59 million compared to $49 million for the corresponding period in 2021. For year-to-date 2022, allowance for equity funds used during construction was $163 million compared to $140 million for the corresponding period in 2021. The increases were primarily associated with an increase in capital expenditures related to Plant Barry Unit 8 construction at Alabama Power and transmission and distribution projects related to grid modernization at Georgia Power.

Earnings from Equity Method Investments

Third Quarter 2022 vs. Third Quarter 2021		Year-To-Date 2022 vs. Year-To-Date 2021
(change in millions)	(% change)	(change in millions)	(% change)
$(2)	(6.7)	$74	N/M

For year-to-date 2022, earnings from equity method investments were $109 million compared to $35 million for the corresponding period in 2021. The increase was primarily due to pre-tax impairment charges in 2021 totaling $84 million related to the PennEast Pipeline project at Southern Company Gas, partially offset by a $16 million decrease at Southern Holdings primarily due to a decrease in investment income. See Note 7 to the financial statements under "Southern Company Gas" in Item 8 of the Form 10-K and Note (E) to the Condensed Financial Statements herein under "Southern Company Gas" for additional information.

Interest Expense, Net of Amounts Capitalized

Third Quarter 2022 vs. Third Quarter 2021		Year-To-Date 2022 vs. Year-To-Date 2021
(change in millions)	(% change)	(change in millions)	(% change)
$60	13.3	$109	8.1

In the third quarter 2022, interest expense, net of amounts capitalized was $511 million compared to $451 million for the corresponding period in 2021. The increase was primarily due to increases of approximately $28 million due to higher average outstanding borrowings and $28 million due to higher interest rates.

For year-to-date 2022, interest expense, net of amounts capitalized was $1.5 billion compared to $1.4 billion for the corresponding period in 2021. The increase was primarily due to higher average outstanding borrowings.

See FINANCIAL CONDITION AND LIQUIDITY – "Sources of Capital" and "Financing Activities" herein for additional information on borrowings.

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Other Income (Expense), Net

Third Quarter 2022 vs. Third Quarter 2021		Year-To-Date 2022 vs. Year-To-Date 2021
(change in millions)	(% change)	(change in millions)	(% change)
$1	0.8	$124	42.8

For year-to-date 2022, other income (expense), net was $414 million compared to $290 million for the corresponding period in 2021. The increase was primarily due to charitable contributions of $101 million at Southern Company Gas during the first and second quarters of 2021 and a $44 million increase in non-service cost-related retirement benefits income. See Note (H) to the Condensed Financial Statements herein for additional information.

Income Taxes

Third Quarter 2022 vs. Third Quarter 2021		Year-To-Date 2022 vs. Year-To-Date 2021
(change in millions)	(% change)	(change in millions)	(% change)
$42	11.3	$341	62.0

In the third quarter 2022, income taxes were $414 million compared to $372 million for the corresponding period in 2021. For year-to-date 2022, income taxes were $891 million compared to $550 million for the corresponding period in 2021. The increases were primarily due to higher pre-tax earnings, partially offset by $113 million of additional tax expense in 2021 resulting from Southern Company Gas' sale of Sequent in the third quarter 2021. The year-to-date 2022 increase was also due to an adjustment in the second quarter 2022 related to a prior year state tax credit carryforward at Georgia Power. See Note (G) to the Condensed Financial Statements herein for additional information.

Net Income (Loss) Attributable to Noncontrolling Interests

Third Quarter 2022 vs. Third Quarter 2021		Year-To-Date 2022 vs. Year-To-Date 2021
(change in millions)	(% change)	(change in millions)	(% change)
$7	N/M	$(28)	N/M

Substantially all noncontrolling interests relate to renewable projects at Southern Power. In the third quarter 2022, net income attributable to noncontrolling interests was $12 million compared to $5 million for the corresponding period in 2021. The increase was primarily due to lower HLBV loss allocations to Southern Power's tax equity partners, including loss allocation impacts associated with the Garland battery energy storage facility being placed in service in the third quarter 2021, and higher income allocations to Southern Power's equity partners.

For year-to-date 2022, net loss attributable to noncontrolling interests was $55 million compared to $27 million for the corresponding period in 2021. The increased loss was primarily due to higher HLBV loss allocations to Southern Power's tax equity partners, partially offset by loss allocation impacts associated with the Garland battery energy storage facility being placed in service in the third quarter 2021 and higher income allocations to Southern Power's equity partners.

See Notes 9 and 15 to the financial statements under "Lessor" and "Southern Power," respectively, in Item 8 of the Form 10-K for additional information.

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AND RESULTS OF OPERATIONS (Continued)

Alabama Power

Net Income

Third Quarter 2022 vs. Third Quarter 2021		Year-To-Date 2022 vs. Year-To-Date 2021
(change in millions)	(% change)	(change in millions)	(% change)
$26	5.2	$67	5.6

Alabama Power's net income after dividends on preferred stock in the third quarter 2022 was $525 million compared to $499 million for the corresponding period in 2021. Alabama Power's net income after dividends on preferred stock for year-to-date 2022 was $1.26 billion compared to $1.19 billion for the corresponding period in 2021. These increases were primarily due to an increase in retail revenues associated with warmer weather in Alabama Power's service territory in 2022 compared to the corresponding periods in 2021 and sales growth, partially offset by higher non-fuel operations and maintenance costs.

Retail Revenues

Third Quarter 2022 vs. Third Quarter 2021		Year-To-Date 2022 vs. Year-To-Date 2021
(change in millions)	(% change)	(change in millions)	(% change)
$357	21.6	$658	15.1

In the third quarter 2022, retail revenues were $2.01 billion compared to $1.65 billion for the corresponding period in 2021. For year-to-date 2022, retail revenues were $5.02 billion compared to $4.36 billion for the corresponding period in 2021.

Details of the changes in retail revenues were as follows:

	Third Quarter 2022				Year-To-Date 2022
	(in millions)		(% change)		(in millions)		(% change)
Retail – prior year	$	1,651			$	4,357
Estimated change resulting from –
Rates and pricing	3		0.2	%	7		0.2	%
Sales growth	20		1.2		53		1.2
Weather	25		1.5		88		2.0
Fuel and other cost recovery	309		18.7		510		11.7
Retail – current year	$	2,008	21.6	%	$	5,015	15.1	%

Revenues attributable to changes in sales increased in the third quarter and year-to-date 2022 when compared to the corresponding periods in 2021. Weather-adjusted residential KWH sales decreased 0.4% and 0.3% in the third quarter and year-to-date 2022, respectively, when compared to the corresponding periods in 2021 primarily due to decreased customer usage. Weather-adjusted commercial KWH sales decreased 0.7% in the third quarter 2022 when compared to the corresponding period in 2021 primarily due to decreased customer usage. Weather-adjusted commercial KWH sales were flat for year-to-date 2022 when compared to the corresponding period in 2021. Industrial KWH sales increased 2.9% and 2.3% in the third quarter and year-to-date 2022, respectively, when compared to the corresponding periods in 2021 primarily due to increases in the forest product and pipeline sectors, partially offset by decreases in the chemicals sector.

Fuel and other cost recovery revenues increased in the third quarter and year-to-date 2022 when compared to the corresponding periods in 2021 primarily due to increases in the volume of KWHs generated and the average cost of fuel.

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Electric rates include provisions to recognize the recovery of fuel costs, purchased power costs, PPAs certificated by the Alabama PSC, and costs associated with the NDR. Under these provisions, fuel and other cost recovery revenues generally equal fuel and other cost recovery expenses and do not affect net income. See Note 2 to the financial statements under "Alabama Power" in Item 8 of the Form 10-K for additional information.

Wholesale Revenues – Non-Affiliates

Third Quarter 2022 vs. Third Quarter 2021		Year-To-Date 2022 vs. Year-To-Date 2021
(change in millions)	(% change)	(change in millions)	(% change)
$143	N/M	$237	83.2

In the third quarter 2022, wholesale revenues from sales to non-affiliates were $250 million compared to $107 million for the corresponding period in 2021. For year-to-date 2022, wholesale revenues from sales to non-affiliates were $522 million compared to $285 million for the corresponding period in 2021. The increases for the third quarter and year-to-date 2022 were primarily due to increases of 75.9% and 41.8%, respectively, in the price of energy due to higher natural gas prices, as well as increases of 32.3% and 29.3%, respectively, in KWH sales as a result of increased opportunity sales due to warmer weather in the third quarter and year-to-date 2022 compared to the corresponding periods in 2021.

Wholesale revenues from sales to non-affiliates will vary depending on fuel prices, the market prices of wholesale energy compared to the cost of Alabama Power's and the Southern Company system's generation, demand for energy within the Southern Company system's electric service territory, and the availability of the Southern Company system's generation. Increases and decreases in energy revenues that are driven by fuel prices are accompanied by an increase or decrease in fuel costs and do not affect net income. Short-term opportunity energy sales are also included in wholesale energy sales to non-affiliates. These opportunity sales are made at market-based rates that generally provide a margin above Alabama Power's variable cost to produce the energy.

Wholesale Revenues – Affiliates

Third Quarter 2022 vs. Third Quarter 2021		Year-To-Date 2022 vs. Year-To-Date 2021
(change in millions)	(% change)	(change in millions)	(% change)
$17	32.1	$61	56.0

In the third quarter 2022, wholesale revenues from sales to affiliates were $70 million compared to $53 million for the corresponding period in 2021. The increase was primarily due to a 142.2% increase in the price of energy due to higher natural gas prices, partially offset by a 45.7% decrease in KWH sales due to the availability of lower cost Southern Company system resources compared to Alabama Power's generation.

For year-to-date 2022, wholesale revenues from sales to affiliates were $170 million compared to $109 million for the corresponding period in 2021. The increase was primarily due to an 84.7% increase in the price of energy due to higher natural gas prices, partially offset by a 15.3% decrease in KWH sales due to the availability of lower cost Southern Company system resources compared to Alabama Power's generation.

Wholesale revenues from sales to affiliated companies will vary depending on demand and the availability and cost of generating resources at each company. These affiliate sales are made in accordance with the IIC, as approved by the FERC. These transactions do not have a significant impact on earnings since this energy is generally sold at marginal cost and energy purchases are generally offset by energy revenues through Alabama Power's energy cost recovery clause.

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Other Revenues

Third Quarter 2022 vs. Third Quarter 2021		Year-To-Date 2022 vs. Year-To-Date 2021
(change in millions)	(% change)	(change in millions)	(% change)
$23	24.7	$48	17.9

In the third quarter 2022, other revenues were $116 million compared to $93 million for the corresponding period in 2021. For year-to-date 2022, other revenues were $316 million compared to $268 million for the corresponding period in 2021. The third quarter and year-to-date 2022 increases were primarily due to increases of $7 million and $15 million, respectively, in cogeneration steam revenue associated with higher natural gas prices, $6 million and $13 million, respectively, in transmission revenues primarily due to open access transmission tariff sales, and $3 million and $8 million, respectively, in unregulated lighting sales. The year-to-date 2022 increase also included a $5 million increase in energy services revenue.

Fuel and Purchased Power Expenses

	Third Quarter 2022 vs. Third Quarter 2021			Year-To-Date 2022 vs. Year-To-Date 2021
	(change in millions)		(% change)	(change in millions)		(% change)
Fuel	$	293	78.6	$	472	50.9
Purchased power – non-affiliates	109		143.4	174		100.6
Purchased power – affiliates	68		151.1	146		128.1
Total fuel and purchased power expenses	$	470		$	792

In the third quarter 2022, total fuel and purchased power expenses were $964 million compared to $494 million for the corresponding period in 2021. The increase was primarily due to a $257 million increase in the cost of fuel and purchased power and a $213 million increase related to the volume of KWHs generated and purchased.

For year-to-date 2022, total fuel and purchased power expenses were $2.01 billion compared to $1.21 billion for the corresponding period in 2021. The increase was primarily due to a $518 million increase in the cost of fuel and purchased power and a $274 million increase related to the volume of KWHs generated and purchased.

Fuel and purchased power energy transactions do not have a significant impact on earnings, since energy expenses are generally offset by energy revenues through Alabama Power's energy cost recovery clause. See Note 2 to the financial statements under "Alabama Power – Rate ECR" in Item 8 of the Form 10-K for additional information.

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AND RESULTS OF OPERATIONS (Continued)

Details of Alabama Power's generation and purchased power were as follows:

	Third Quarter 2022	Third Quarter 2021	Year-To-Date 2022	Year-To-Date 2021
Total generation (in billions of KWHs)(a)	16	16	45	45
Total purchased power (in billions of KWHs)	4	2	9	5
Sources of generation (percent)(a) —
Coal	47	50	45	47
Nuclear	22	24	24	25
Gas	28	18	23	19
Hydro	3	8	8	9
Cost of fuel, generated (in cents per net KWH) —
Coal	3.89	2.85	3.40	2.78
Nuclear	0.67	0.73	0.67	0.71
Gas(a)	6.55	3.03	5.20	2.68
Average cost of fuel, generated (in cents per net KWH)(a)	3.91	2.33	3.13	2.20
Average cost of purchased power (in cents per net KWH)(b)	8.55	7.96	8.33	6.70

(a)Excludes Central Alabama Generating Station KWHs and associated cost of fuel through July 12, 2022 as its fuel was previously provided by the purchaser under a power sales agreement. See Note 15 to the financial statements under "Alabama Power" in Item 8 of the Form 10-K for additional information.

(b)Average cost of purchased power includes fuel, energy, and transmission purchased by Alabama Power for tolling agreements where power is generated by the provider.

Fuel

In the third quarter 2022, fuel expense was $666 million compared to $373 million for the corresponding period in 2021. The increase was primarily due to a 116.2% increase in the average cost of natural gas per KWH generated, which excludes tolling agreements, a 36.5% increase in the average cost of coal per KWH generated, a 56.8% decrease in the volume of KWHs generated by hydro facilities as a result of less rainfall in the third quarter 2022 compared to the corresponding period in 2021, and a 46.9% increase in the volume of KWHs generated by natural gas.

For year-to-date 2022, fuel expense was $1.4 billion compared to $0.9 billion for the corresponding period in 2021. The increase was primarily due to a 94.0% increase in the average cost of natural gas per KWH generated, which excludes tolling agreements, a 22.3% increase in the average cost of coal per KWH generated, an 18.3% increase in the volume of KWHs generated by natural gas, and an 8.5% decrease in the volume of KWHs generated by hydro facilities as a result of less rainfall for year-to-date 2022 compared to the corresponding period in 2021.

Purchased Power – Non-Affiliates

In the third quarter 2022, purchased power expense from non-affiliates was $185 million compared to $76 million for the corresponding period in 2021. The increase was primarily due to a 193.7% increase in the volume of KWHs purchased as a result of warmer weather in the third quarter 2022 compared to the corresponding period in 2021, partially offset by an 11.2% decrease in the average cost per KWH purchased due to fixed capacity costs allocated across a higher level of generation.

For year-to-date 2022, purchased power expense from non-affiliates was $347 million compared to $173 million for the corresponding period in 2021. The increase was primarily due to a 100.5% increase in the volume of KWHs purchased as a result of warmer weather for year-to-date 2022 compared to the corresponding period in 2021, as well as an 8.2% increase in the average cost per KWH purchased due to higher natural gas and coal prices.

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Energy purchases from non-affiliates will vary depending on the market prices of wholesale energy as compared to the cost of the Southern Company system's generation, demand for energy within the Southern Company system's electric service territory, and the availability of the Southern Company system's generation.

Purchased Power – Affiliates

In the third quarter 2022, purchased power expense from affiliates was $113 million compared to $45 million for the corresponding period in 2021. The increase was primarily due to an 84.5% increase in the average cost per KWH purchased due to higher natural gas and coal prices and a 36.4% increase in the volume of KWHs purchased as a result of warmer weather in the third quarter 2022 compared to the corresponding period in 2021.

For year-to-date 2022, purchased power expense from affiliates was $260 million compared to $114 million for the corresponding period in 2021. The increase was primarily due to a 71.0% increase in the average cost per KWH purchased due to higher natural gas and coal prices and a 33.6% increase in the volume of KWHs purchased as a result of warmer weather for year-to-date 2022 compared to the corresponding period in 2021.

Energy purchases from affiliates will vary depending on demand for energy and the availability and cost of generating resources at each company within the Southern Company system. These purchases are made in accordance with the IIC or other contractual agreements, as approved by the FERC.

Other Operations and Maintenance Expenses

Third Quarter 2022 vs. Third Quarter 2021		Year-To-Date 2022 vs. Year-To-Date 2021
(change in millions)	(% change)	(change in millions)	(% change)
$17	4.2	$95	8.1

In the third quarter 2022, other operations and maintenance expenses were $418 million compared to $401 million for the corresponding period in 2021. For year-to-date 2022, other operations and maintenance expenses were $1.27 billion compared to $1.18 billion for the corresponding period in 2021. The increases for the third quarter and year-to-date 2022 were primarily due to increases of $18 million and $41 million, respectively, in transmission and distribution expenses primarily associated with line maintenance and $6 million and $12 million, respectively, in customer accounts, customer service, and sales expenses primarily associated with labor and bad debt expense. The increase for the third quarter 2022 was partially offset by a $15 million decrease in generation expenses primarily associated with scheduled outages and maintenance. The year-to-date 2022 increase also included a $24 million increase in generation expenses primarily associated with scheduled outages and maintenance and Rate CNP Compliance-related expenses. See Note 2 to the financial statements under "Alabama Power – Rate CNP Compliance" in Item 8 of the Form 10-K for additional information.

Allowance for Equity Funds Used During Construction

Third Quarter 2022 vs. Third Quarter 2021		Year-To-Date 2022 vs. Year-To-Date 2021
(change in millions)	(% change)	(change in millions)	(% change)
$4	28.6	$13	34.2

For year-to-date 2022, allowance for equity funds used during construction was $51 million compared to $38 million for the corresponding period in 2021. The increase for year-to-date 2022 was primarily due to an increase in capital expenditures related to Plant Barry Unit 8 construction.

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Interest Expense, Net of Amounts Capitalized

Third Quarter 2022 vs. Third Quarter 2021		Year-To-Date 2022 vs. Year-To-Date 2021
(change in millions)	(% change)	(change in millions)	(% change)
$14	16.7	$26	10.3

In the third quarter 2022, interest expense, net of amounts capitalized was $98 million compared to $84 million for the corresponding period in 2021. For year-to-date 2022, interest expense, net of amounts capitalized was $278 million compared to $252 million for the corresponding period in 2021. The increases were primarily due to higher average outstanding borrowings. See FINANCIAL CONDITION AND LIQUIDITY – "Sources of Capital" and "Financing Activities" herein for additional information on borrowings.

Income Taxes

Third Quarter 2022 vs. Third Quarter 2021		Year-To-Date 2022 vs. Year-To-Date 2021
(change in millions)	(% change)	(change in millions)	(% change)
$14	9.2	$28	7.7

In the third quarter 2022, income taxes were $166 million compared to $152 million for the corresponding period in 2021. For year-to-date 2022, income taxes were $394 million compared to $366 million for the corresponding period in 2021. The increases were primarily due to higher pre-tax earnings.

Georgia Power

Net Income

Third Quarter 2022 vs. Third Quarter 2021		Year-To-Date 2022 vs. Year-To-Date 2021
(change in millions)	(% change)	(change in millions)	(% change)
$322	60.1	$821	79.7

Georgia Power's net income in the third quarter 2022 was $858 million compared to $536 million for the corresponding period in 2021. For year-to-date 2022 net income was $1.85 billion compared to $1.03 billion for the corresponding period in 2021. The increases were primarily due to decreases of $249 million and $589 million in the third quarter and year-to-date 2022, respectively, in after-tax charges related to the construction of Plant Vogtle Units 3 and 4 and increases in retail revenues associated with rates and pricing and sales growth, partially offset by higher non-fuel operations and maintenance costs. The increase for year-to-date 2022 was also due to warmer weather in Georgia Power's service territory compared to the corresponding period in 2021.

See Note (B) to the Condensed Financial Statements herein and Note 2 to the financial statements in Item 8 of the Form 10-K under "Georgia Power – Nuclear Construction" for additional information regarding Plant Vogtle Units 3 and 4.

Retail Revenues

Third Quarter 2022 vs. Third Quarter 2021		Year-To-Date 2022 vs. Year-To-Date 2021
(change in millions)	(% change)	(change in millions)	(% change)
$1,051	39.6	$2,164	33.5

In the third quarter 2022, retail revenues were $3.70 billion compared to $2.65 billion for the corresponding period in 2021. For year-to-date 2022, retail revenues were $8.63 billion compared to $6.47 billion for the corresponding period in 2021.

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Details of the changes in retail revenues were as follows:

	Third Quarter 2022				Year-To-Date 2022
	(in millions)		(% change)		(in millions)		(% change)
Retail – prior year	$	2,652			$	6,465
Estimated change resulting from –
Rates and pricing	157		5.9	%	442		6.8	%
Sales growth	54		2.0		101		1.6
Weather	(1)		—		89		1.4
Fuel cost recovery	841		31.7		1,532		23.7
Retail – current year	$	3,703	39.6	%	$	8,629	33.5	%

Revenues associated with changes in rates and pricing increased in the third quarter and year-to-date 2022 when compared to the corresponding periods in 2021. The increases were primarily due to higher contributions from commercial and industrial customers with variable demand-driven pricing, base tariff increases in accordance with the 2019 ARP, and pricing effects associated with customer usage. See Note 2 to the financial statements under "Georgia Power – Rate Plans" in Item 8 of the Form 10-K for additional information.

Revenues attributable to changes in sales increased in the third quarter and year-to-date 2022 when compared to the corresponding periods in 2021. Weather-adjusted residential KWH sales increased 2.7% and 1.0% in the third quarter and year-to-date 2022, respectively, when compared to the corresponding periods in 2021 primarily due to customer growth. The increase for the third quarter 2022 also reflects increased customer usage. Weather-adjusted commercial KWH sales increased 3.2% and 2.9% in the third quarter and year-to-date 2022, respectively, when compared to the corresponding periods in 2021 primarily due to impacts on customer usage from increased activity outside the home as customers return to pre-pandemic levels of activity, as well as customer growth. Weather-adjusted industrial KWH sales increased 1.8% and 2.8% in the third quarter and year-to-date 2022, respectively, when compared to the corresponding periods in 2021 primarily due to increases in the pipeline, electronic, and paper sectors, partially offset by decreases in the chemicals and textiles sectors.

Fuel revenues and costs are allocated between retail and wholesale jurisdictions. Retail fuel cost recovery revenues increased in the third quarter and year-to-date 2022 when compared to the corresponding periods in 2021 due to higher fuel and purchased power costs. Electric rates include provisions to adjust billings for fluctuations in fuel costs, including the energy component of purchased power costs. Under these fuel cost recovery provisions, fuel revenues generally equal fuel expenses and do not affect net income. See Note 2 to the financial statements under "Georgia Power – Fuel Cost Recovery" in Item 8 of the Form 10-K for additional information.

Wholesale Revenues

Third Quarter 2022 vs. Third Quarter 2021		Year-To-Date 2022 vs. Year-To-Date 2021
(change in millions)	(% change)	(change in millions)	(% change)
$(7)	(11.1)	$43	30.1

In the third quarter 2022, wholesale revenues were $56 million compared to $63 million for the corresponding period in 2021. The decrease was primarily due to a $22 million decrease in KWH sales associated with lower market demand and a $3 million decrease in capacity revenues due to the expiration of a non-affiliate PPA in 2021, largely offset by an increase of $20 million related to the average cost of fuel primarily due to higher natural gas and coal prices.

For year-to-date 2022, wholesale revenues were $186 million compared to $143 million for the corresponding period in 2021. The increase was primarily due to an increase of $60 million related to the average cost of fuel primarily due to higher natural gas and coal prices, partially offset by a $10 million decrease in KWH sales

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associated with lower market demand and an $8 million decrease in capacity revenues due to the expiration of a non-affiliate PPA in 2021.

Wholesale revenues from sales to non-affiliates consist of PPAs and short-term opportunity sales. Wholesale revenues from PPAs have both capacity and energy components. Wholesale capacity revenues from PPAs are recognized in amounts billable under the contract terms and provide for recovery of fixed costs and a return on investment. Wholesale revenues from sales to non-affiliates will vary depending on fuel prices, the market prices of wholesale energy compared to the cost of Georgia Power's and the Southern Company system's generation, demand for energy within the Southern Company system's electric service territory, and the availability of the Southern Company system's generation. Increases and decreases in energy revenues that are driven by fuel prices are accompanied by an increase or decrease in fuel costs and do not have a significant impact on net income. Short-term opportunity sales are made at market-based rates that generally provide a margin above Georgia Power's variable cost of energy.

Wholesale revenues from sales to affiliated companies will vary depending on demand and the availability and cost of generating resources at each company. These affiliate sales are made in accordance with the IIC, as approved by the FERC. These transactions do not have a significant impact on earnings since this energy is generally sold at marginal cost.

Other Revenues

Third Quarter 2022 vs. Third Quarter 2021		Year-To-Date 2022 vs. Year-To-Date 2021
(change in millions)	(% change)	(change in millions)	(% change)
$(11)	(7.8)	$(39)	(8.8)

In the third quarter 2022, other revenues were $130 million compared to $141 million for the corresponding period in 2021. For year-to-date 2022, other revenues were $403 million compared to $442 million for the corresponding period in 2021. The decreases for the third quarter and year-to-date 2022 were primarily due to increases of $14 million and $21 million, respectively, in realized losses associated with price stability products for retail customers on variable demand-driven pricing tariffs, decreases of $9 million and $12 million, respectively, from retail solar programs as a result of higher avoided cost credits to customers, and $6 million and $26 million, respectively, resulting from the termination of a transmission service contract. These reductions were partially offset by increases of $8 million and $22 million, respectively, associated with unregulated outdoor lighting sales and energy conservation projects and $6 million and $16 million, respectively, in open access transmission tariff sales. Also contributing to the decrease for year-to-date 2022 was a decrease of $28 million associated with the timing of revenue recognition for a large, ongoing power delivery construction and maintenance contract.

Fuel and Purchased Power Expenses

	Third Quarter 2022 vs. Third Quarter 2021			Year-to-Date 2022 vs. Year-to-Date 2021
	(change in millions)		(% change)	(change in millions)		(% change)
Fuel	$	409	94.7	$	799	73.4
Purchased power – non-affiliates	131		75.7	239		51.8
Purchased power – affiliates	283		98.3	527		92.0
Total fuel and purchased power expenses	$	823		$	1,565

In the third quarter 2022, total fuel and purchased power expenses were $1.7 billion compared to $0.9 billion for the corresponding period in 2021. For year-to-date 2022, total fuel and purchased power expenses were $3.7 billion compared to $2.1 billion for the corresponding period in 2021. The increases for the third quarter and year-to-date 2022 were primarily due to increases of $0.8 billion and $1.4 billion, respectively, related to the average cost of fuel

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and purchased power and net increases of $30 million and $158 million, respectively, related to the volume of KWHs generated and purchased.

Fuel and purchased power energy transactions do not have a significant impact on earnings since these fuel expenses are generally offset by fuel revenues through Georgia Power's fuel cost recovery mechanism. See Note 2 to the financial statements under "Georgia Power – Fuel Cost Recovery" in Item 8 of the Form 10-K for additional information.

Details of Georgia Power's generation and purchased power were as follows:

	Third Quarter 2022	Third Quarter 2021	Year-To-Date 2022	Year-To-Date 2021
Total generation (in billions of KWHs)	15	16	45	46
Total purchased power (in billions of KWHs)	11	10	27	23
Sources of generation (percent) —
Gas	53	45	48	46
Nuclear	28	24	26	26
Coal	16	28	22	24
Hydro and other	3	3	4	4
Cost of fuel, generated (in cents per net KWH) —
Gas	6.10	3.28	4.99	2.84
Coal	4.73	2.73	3.84	2.89
Nuclear	0.75	0.83	0.76	0.80
Average cost of fuel, generated (in cents per net KWH)	4.32	2.51	3.56	2.30
Average cost of purchased power (in cents per net KWH)(*)	10.14	5.24	8.00	4.80

(*)Average cost of purchased power includes fuel purchased by Georgia Power for tolling agreements where power is generated by the provider.

Fuel

In the third quarter 2022, fuel expense was $841 million compared to $432 million for the corresponding period in 2021. The increase was primarily due to increases of 86.0% and 73.3% in the average cost per KWH generated by natural gas and coal, respectively, and an 11.1% increase in the volume of KWHs generated by natural gas, partially offset by a 44.2% decrease in the volume of KWHs generated by coal.

For year-to-date 2022, fuel expense was $1.89 billion compared to $1.09 billion for the corresponding period in 2021. The increase was primarily due to increases of 75.7% and 32.9% in the average cost per KWH generated by natural gas and coal, respectively, partially offset by a 9.1% decrease in the volume of KWHs generated by coal.

Purchased Power – Non-Affiliates

In the third quarter 2022, purchased power expense from non-affiliates was $304 million compared to $173 million for the corresponding period in 2021. For year-to-date 2022, purchased power expense from non-affiliates was $700 million compared to $461 million for the corresponding period in 2021. The increases for the third quarter and year-to-date 2022 were primarily due to increases of 50.5% and 39.4%, respectively, in the volume of KWHs purchased primarily due to less available Georgia Power-owned coal generation and increases of 53.1% and 31.6%, respectively, in the average cost per KWH purchased primarily due to higher natural gas and coal prices.

Energy purchases from non-affiliates will vary depending on the market prices of wholesale energy as compared to the cost of the Southern Company system's generation, demand for energy within the Southern Company system's electric service territory, and the availability of the Southern Company system's generation.

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Purchased Power – Affiliates

In the third quarter 2022, purchased power expense from affiliates was $571 million compared to $288 million for the corresponding period in 2021. For year-to-date 2022, purchased power expense from affiliates was $1.1 billion compared to $573 million for the corresponding period in 2021. The increases for the third quarter and year-to-date 2022 were primarily due to increases of 120.3% and 93.3%, respectively, in the average cost per KWH purchased primarily due to higher natural gas and coal prices.

Energy purchases from affiliates will vary depending on the demand and the availability and cost of generating resources at each company within the Southern Company system. These purchases are made in accordance with the IIC or other contractual agreements, all as approved by the FERC.

Other Operations and Maintenance Expenses

Third Quarter 2022 vs. Third Quarter 2021		Year-To-Date 2022 vs. Year-To-Date 2021
(change in millions)	(% change)	(change in millions)	(% change)
$51	9.4	$128	8.2

In the third quarter 2022, other operations and maintenance expenses were $595 million compared to $544 million for the corresponding period in 2021. The increase was primarily due to increases of $35 million in distribution expenses primarily associated with line maintenance, $10 million in generation expenses primarily related to non-outage maintenance costs, and $9 million in certain compensation and benefit expenses, partially offset by a decrease of $6 million related to unregulated power delivery construction and maintenance projects.

For year-to-date 2022, other operations and maintenance expenses were $1.69 billion compared to $1.56 billion for the corresponding period in 2021. The increase was primarily due to increases of $80 million in distribution expenses primarily associated with line maintenance, $37 million in generation expenses primarily related to non-outage maintenance costs, $20 million in certain compensation and benefit expenses, $11 million in legal and regulatory expenses, and $8 million in amortization of cloud software, partially offset by a net decrease of $19 million related to unregulated products and services and $17 million in gains from sales of integrated transmission system assets.

Depreciation and Amortization

Third Quarter 2022 vs. Third Quarter 2021		Year-To-Date 2022 vs. Year-To-Date 2021
(change in millions)	(% change)	(change in millions)	(% change)
$14	4.1	$41	4.0

In the third quarter 2022, depreciation and amortization was $359 million compared to $345 million for the corresponding period in 2021. For year-to-date 2022, depreciation and amortization was $1.07 billion compared to $1.03 billion for the corresponding period in 2021. The increases for the third quarter and year-to-date 2022 were primarily due to additional plant in service and increases of $3 million and $9 million, respectively, in amortization of regulatory assets related to CCR AROs under the terms of the 2019 ARP. See Note 2 to the financial statements in Item 8 of the Form 10-K under "Georgia Power – Rate Plans – 2019 ARP" for additional information on recovery of CCR AROs.

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Taxes Other Than Income Taxes

Third Quarter 2022 vs. Third Quarter 2021		Year-To-Date 2022 vs. Year-To-Date 2021
(change in millions)	(% change)	(change in millions)	(% change)
$25	19.2	$55	15.1

In the third quarter 2022, taxes other than income taxes were $155 million compared to $130 million for the corresponding period in 2021. For year-to-date 2022, taxes other than income taxes were $420 million compared to $365 million for the corresponding period in 2021. The increases were primarily due to increases in municipal franchise fees resulting from higher retail revenues.

Estimated Loss on Plant Vogtle Units 3 and 4

Third Quarter 2022 vs. Third Quarter 2021		Year-To-Date 2022 vs. Year-To-Date 2021
(change in millions)	(% change)	(change in millions)	(% change)
$(334)	N/M	$(790)	N/M

Georgia Power recorded pre-tax charges (credits) to income for the estimated probable loss on Plant Vogtle Units 3 and 4 totaling $(70) million and $264 million in the third quarter 2022 and 2021, respectively, and $(18) million and $772 million for year-to-date 2022 and 2021, respectively. The charges (credits) reflect revisions to the total project capital cost forecast to complete construction and start-up of Plant Vogtle Units 3 and 4. See Note (B) to the Condensed Financial Statements herein and Note 2 to the financial statements in Item 8 of the Form 10-K under "Georgia Power – Nuclear Construction" for additional information.

Interest Expense, Net of Amounts Capitalized

Third Quarter 2022 vs. Third Quarter 2021		Year-To-Date 2022 vs. Year-To-Date 2021
(change in millions)	(% change)	(change in millions)	(% change)
$17	16.0	$32	10.2

In the third quarter 2022, interest expense, net of amounts capitalized was $123 million compared to $106 million for the corresponding period in 2021. For year-to-date 2022, interest expense, net of amounts capitalized was $347 million compared to $315 million for the corresponding period in 2021. The increases for the third quarter and year-to-date 2022 were primarily associated with increases of approximately $11 million and $23 million, respectively, related to higher average outstanding borrowings and $10 million and $12 million, respectively, related to higher interest rates. See FINANCIAL CONDITION AND LIQUIDITY – "Sources of Capital" and "Financing Activities" herein for additional information on borrowings.

Other Income (Expense), Net

Third Quarter 2022 vs. Third Quarter 2021		Year-To-Date 2022 vs. Year-To-Date 2021
(change in millions)	(% change)	(change in millions)	(% change)
$(6)	(14.3)	$16	12.9

For year-to-date 2022, other income (expense), net was $140 million compared to $124 million for the corresponding period in 2021. The increase was primarily due to an increase of $11 million in non-service cost-related retirement benefits income. See Note (H) to the Condensed Financial Statements herein for additional information on retirement benefits.

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Income Taxes

Third Quarter 2022 vs. Third Quarter 2021		Year-To-Date 2022 vs. Year-To-Date 2021
(change in millions)	(% change)	(change in millions)	(% change)
$113	100.0	$340	N/M

In the third quarter 2022, income taxes were $226 million compared to $113 million for the corresponding period in 2021. For year-to-date 2022, income taxes were $421 million compared to $81 million for the corresponding period in 2021. The increases were primarily due to higher pre-tax earnings largely resulting from lower charges associated with the construction of Plant Vogtle Units 3 and 4. The year-to-date increase also reflects an adjustment in the second quarter 2022 related to a prior year state tax credit carryforward. See Note (B) to the Condensed Financial Statements herein and Note 2 to the financial statements in Item 8 of the Form 10-K under "Georgia Power – Nuclear Construction" and Note (G) to the Condensed Financial Statements herein for additional information.

Mississippi Power

Net Income

Third Quarter 2022 vs. Third Quarter 2021		Year-To-Date 2022 vs. Year-To-Date 2021
(change in millions)	(% change)	(change in millions)	(% change)
$12	24.0	$17	12.8

Mississippi Power's net income in the third quarter 2022 was $62 million compared to $50 million for the corresponding period in 2021. For year-to-date 2022, net income was $150 million compared to $133 million for the corresponding period in 2021. The increases were primarily due to an increase in revenues, partially offset by an increase in income taxes. The year-to-date 2022 increase was also partially offset by higher non-fuel operations and maintenance costs.

Retail Revenues

Third Quarter 2022 vs. Third Quarter 2021		Year-To-Date 2022 vs. Year-To-Date 2021
(change in millions)	(% change)	(change in millions)	(% change)
$2	0.8	$48	7.2

In the third quarter 2022, retail revenues were $250 million compared to $248 million for the corresponding period in 2021. For year-to-date 2022, retail revenues were $718 million compared to $670 million for the corresponding period in 2021.

Details of the changes in retail revenues were as follows:

	Third Quarter 2022				Year-To-Date 2022
	(in millions)		(% change)		(in millions)		(% change)
Retail – prior year	$	248			$	670
Estimated change resulting from –
Rates and pricing	4		1.6	%	9		1.3	%
Sales growth (decline)	—		—		3		0.5
Weather	3		1.2		10		1.5
Fuel and other cost recovery	(5)		(2.0)		26		3.9
Retail – current year	$	250	0.8	%	$	718	7.2	%

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Revenues associated with changes in rates and pricing increased in the third quarter and year-to-date 2022 when compared to the corresponding periods in 2021 primarily due to new PEP rates that became effective for the first billing cycle of April 2022, partially offset by a decrease in revenues associated with a tolling arrangement. See Note (B) to the Condensed Financial Statements under "Mississippi Power – Performance Evaluation Plan" herein for additional information.

Revenues attributable to changes in sales decreased in the third quarter 2022 when compared to the corresponding period in 2021. Revenues attributable to changes in sales increased for year-to-date 2022 when compared to the corresponding period in 2021. Weather-adjusted residential KWH sales decreased 3.3% and 1.2% in the third quarter and year-to-date 2022, respectively, when compared to the corresponding periods in 2021 due to a decrease in customer usage resulting from increased activity outside the home as customers return to pre-pandemic levels of activity. Weather-adjusted commercial KWH sales increased 0.3% and 1.3% in the third quarter and year-to-date 2022, respectively, when compared to the corresponding periods in 2021 due to customer growth. Industrial KWH sales increased 1.9% and 1.8% in the third quarter and year-to-date 2022, respectively, when compared to the corresponding periods in 2021 primarily due to increases in the petroleum, pipeline, and transportation sectors.

Fuel and other cost recovery revenues decreased in the third quarter 2022 when compared to the corresponding period in 2021 primarily as a result of lower recoverable fuel costs. Fuel and other cost recovery revenues increased for year-to-date 2022 when compared to the corresponding period in 2021 primarily as a result of higher recoverable fuel costs. Recoverable fuel costs include fuel and purchased power expenses reduced by the fuel portion of wholesale revenues from energy sold to customers outside Mississippi Power's service territory. Electric rates include provisions to adjust billings for fluctuations in fuel costs, including the energy component of purchased power costs. Under these provisions, fuel revenues generally equal fuel expenses, including the energy component of purchased power costs, and do not affect net income. See Note 2 to the financial statements in Item 8 of the Form 10-K and Note (B) to the Condensed Financial Statements herein under "Mississippi Power" for additional information.

Wholesale Revenues – Non-Affiliates

Third Quarter 2022 vs. Third Quarter 2021		Year-To-Date 2022 vs. Year-To-Date 2021
(change in millions)	(% change)	(change in millions)	(% change)
$—	—	$13	7.3

For year-to-date 2022, wholesale revenues from sales to non-affiliates were $191 million compared to $178 million for the corresponding period in 2021. The increase was primarily due to higher fuel costs and an increase in base revenue from MRA customers primarily due to increased demand as a result of weather impacts in 2022.

Wholesale revenues from sales to non-affiliates will vary depending on fuel prices, the market prices of wholesale energy compared to the cost of Mississippi Power's and the Southern Company system's generation, demand for energy within the Southern Company system's electric service territory, and the availability of the Southern Company system's generation. Increases and decreases in energy revenues that are driven by fuel prices are accompanied by an increase or decrease in fuel costs and do not have a significant impact on net income. In addition, Mississippi Power provides service under long-term contracts with rural electric cooperative associations and municipalities located in southeastern Mississippi under cost-based electric tariffs which are subject to regulation by the FERC. See Note 2 to the financial statements under "Mississippi Power" in Item 8 of the Form 10-K for additional information. See Note (B) to the Condensed Financial Statements under "Mississippi Power – Municipal and Rural Associations Tariff" herein for additional information.

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Wholesale Revenues – Affiliates

Third Quarter 2022 vs. Third Quarter 2021		Year-To-Date 2022 vs. Year-To-Date 2021
(change in millions)	(% change)	(change in millions)	(% change)
$125	N/M	$216	N/M

In the third quarter 2022, wholesale revenues from sales to affiliates were $187 million compared to $62 million for the corresponding period in 2021. For year-to-date 2022, wholesale revenues from sales to affiliates were $336 million compared to $120 million for the corresponding period in 2021. The increases were primarily due to increases of $111 million and $197 million, respectively, associated with higher fuel prices, primarily for natural gas, and $14 million and $19 million, respectively, associated with higher KWH sales due to lower cost available Mississippi Power resources as compared to the available affiliate company generation.

Wholesale revenues from sales to affiliated companies will vary depending on demand and the availability and cost of generating resources at each company. These affiliate sales are made in accordance with the IIC, as approved by the FERC. These transactions do not have a significant impact on earnings since this energy is generally sold at marginal cost.

Other Revenues

Third Quarter 2022 vs. Third Quarter 2021		Year-To-Date 2022 vs. Year-To-Date 2021
(change in millions)	(% change)	(change in millions)	(% change)
$5	62.5	$14	70.0

In the third quarter 2022, other revenues were $13 million compared to $8 million for the corresponding period in 2021. For year-to-date 2022, other revenues were $34 million compared to $20 million for the corresponding period in 2021. The increases for the third quarter and year-to-date 2022 were primarily due to increases of $5 million and $10 million, respectively, in unregulated sales associated with power delivery construction and maintenance projects.

Fuel and Purchased Power Expenses

	Third Quarter 2022 vs. Third Quarter 2021			Year-to-Date 2022 vs. Year-to-Date 2021
	(change in millions)		(% change)	(change in millions)		(% change)
Fuel	$	103	74.2	$	235	71.1
Purchased power	14		250.0	15		70.6
Total fuel and purchased power expenses	$	117		$	250

In the third quarter 2022, total fuel and purchased power expenses were $262 million compared to $145 million for the corresponding period in 2021. The increase was due to a $106 million increase related to the average cost of fuel and purchased power and an $11 million increase related to the volume of KWHs generated and purchased.

For year-to-date 2022, total fuel and purchased power expenses were $601 million compared to $351 million for the corresponding period in 2021. The increase was primarily due to a $233 million increase related to the average cost of fuel and purchased power and a $17 million increase related to the volume of KWHs generated.

Fuel and purchased power energy transactions do not have a significant impact on earnings since energy expenses are generally offset by energy revenues through Mississippi Power's fuel cost recovery clause.

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Details of Mississippi Power's generation and purchased power were as follows:

	Third Quarter 2022	Third Quarter 2021	Year-To-Date 2022	Year-To-Date 2021
Total generation (in millions of KWHs)	5,093	4,878	13,650	13,016
Total purchased power (in millions of KWHs)	241	124	527	562
Sources of generation (percent) –
Gas	89	93	89	91
Coal	11	7	11	9
Cost of fuel, generated (in cents per net KWH) –
Gas	5.10	2.99	4.43	2.66
Coal	4.50	3.16	4.12	3.13
Average cost of fuel, generated (in cents per net KWH)	5.02	3.00	4.40	2.70
Average cost of purchased power (in cents per net KWH)	8.15	4.51	6.83	3.78

Fuel

In the third quarter 2022, fuel expense was $242 million compared to $139 million for the corresponding period in 2021. The increase was due to a 70.6% increase in the average cost of natural gas per KWH generated, a 42.4% increase in the average cost of coal per KWHs generated, and a 61.3% increase in the volume of KWHs generated by coal.

For year-to-date 2022, fuel expense was $565 million compared to $330 million for the corresponding period in 2021. The increase was due to a 66.5% increase in the average cost of natural gas per KWH generated, a 31.6% increase in the average cost of coal per KWHs generated, a 30.2% increase in the volume of KWHs generated by coal, and a 2.4% increase in the volume of KWHs generated by natural gas.

Purchased Power

In the third quarter 2022, purchased power expense was $20 million compared to $6 million for the corresponding period in 2021. The increase was due to a 93.6% increase in the volume of KWHs purchased and an 80.7% increase in the average cost per KWH purchased.

For year-to-date 2022, purchased power expense was $36 million compared to $21 million for the corresponding period in 2021. The increase was primarily due to an 80.6% increase in the average cost per KWH purchased, partially offset by a 6.3% decrease in the volume of KWHs purchased.

Energy purchases will vary depending on the market prices of wholesale energy as compared to the cost of the Southern Company system's generation, demand for energy within the Southern Company system's electric service territory, and the availability of the Southern Company system's generation. These purchases are made in accordance with the IIC or other contractual agreements, as approved by the FERC.

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Other Operations and Maintenance Expenses

Third Quarter 2022 vs. Third Quarter 2021		Year-To-Date 2022 vs. Year-To-Date 2021
(change in millions)	(% change)	(change in millions)	(% change)
$1	1.2	$22	9.6

For year-to-date 2022, other operations and maintenance expenses were $252 million compared to $230 million for the corresponding period in 2021. The increase was primarily due to increases of $9 million related to unregulated power delivery construction and maintenance projects, $6 million associated with storm reserve accruals, $4 million in transmission and distribution line maintenance, and $4 million in sales and use taxes associated with the Kemper County energy facility. See Note 2 to the financial statements under "Mississippi Power – System Restoration Rider" in Item 8 of the Form 10-K and Note (C) to the Condensed Financial Statements under "Other Matters – Mississippi Power" herein for additional information.

Income Taxes

Third Quarter 2022 vs. Third Quarter 2021		Year-To-Date 2022 vs. Year-To-Date 2021
(change in millions)	(% change)	(change in millions)	(% change)
$7	70.0	$16	72.7

In the third quarter 2022, income taxes were $17 million compared to $10 million for the corresponding period in 2021. For year-to-date 2022, income taxes were $38 million compared to $22 million for the corresponding period in 2021. The third quarter and year-to-date 2022 increases primarily relate to a reduction of $3 million and $8 million, respectively, in the flowback of excess deferred income taxes associated with new PEP rates that became effective in April 2022, as well as increases of $4 million and $8 million, respectively, due to higher pre-tax earnings. See Note (G) to the Condensed Financial Statements herein for additional information.

Southern Power

Net Income Attributable to Southern Power

Third Quarter 2022 vs. Third Quarter 2021		Year-To-Date 2022 vs. Year-To-Date 2021
(change in millions)	(% change)	(change in millions)	(% change)
$17	21.8	$54	25.6

Net income attributable to Southern Power in the third quarter 2022 was $95 million compared to $78 million for the corresponding period in 2021. Net income attributable to Southern Power for year-to-date 2022 was $265 million compared to $211 million for the corresponding period in 2021. The increases were primarily due to higher revenues driven by higher market prices of energy, partially offset by higher other operations and maintenance expenses. Also contributing to the year-to-date 2022 increase were higher revenues from new natural gas PPAs and higher income associated with tax equity partnerships. The year-to-date 2022 increase was partially offset by gains from contributions of wind turbine equipment to various equity method investments in the first quarter 2021 and a tax benefit due to a change in state apportionment methodology resulting from tax legislation enacted by the State of Alabama in the first quarter 2021.

See Note 15 to the financial statements under "Southern Power – Development Projects" in Item 8 of the Form 10-K for additional information.

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Operating Revenues

Third Quarter 2022 vs. Third Quarter 2021		Year-To-Date 2022 vs. Year-To-Date 2021
(change in millions)	(% change)	(change in millions)	(% change)
$501	73.8	$1,008	62.6

Total operating revenues include PPA capacity revenues, which are derived primarily from long-term contracts involving natural gas facilities, and PPA energy revenues from Southern Power's generation facilities. To the extent Southern Power has capacity not contracted under a PPA, it may sell power into an accessible wholesale market, or, to the extent those generation assets are part of the FERC-approved IIC, it may sell power into the Southern Company power pool.

Natural Gas Capacity and Energy Revenue

Capacity revenues generally represent the greatest contribution to operating income and are designed to provide recovery of fixed costs plus a return on investment.

Energy is generally sold at variable cost or is indexed to published natural gas indices. Energy revenues will vary depending on the energy demand of Southern Power's customers and their generation capacity, as well as the market prices of wholesale energy compared to the cost of Southern Power's energy. Energy revenues also include fees for support services, fuel storage, and unit start charges. Increases and decreases in energy revenues under PPAs that are driven by fuel or purchased power prices are accompanied by an increase or decrease in fuel and purchased power costs and do not have a significant impact on net income.

Solar and Wind Energy Revenue

Southern Power's energy sales from solar and wind generating facilities are predominantly through long-term PPAs that do not have capacity revenue. Customers either purchase the energy output of a dedicated renewable facility through an energy charge or pay a fixed price related to the energy generated from the respective facility and sold to the grid. As a result, Southern Power's ability to recover fixed and variable operations and maintenance expenses is dependent upon the level of energy generated from these facilities, which can be impacted by weather conditions, equipment performance, transmission constraints, and other factors.

See FUTURE EARNINGS POTENTIAL – "Southern Power's Power Sales Agreements" in Item 7 of the Form 10-K for additional information regarding Southern Power's PPAs.

Operating Revenues Details

Details of Southern Power's operating revenues were as follows:

	Third Quarter 2022		Third Quarter 2021		Year-To-Date 2022		Year-To-Date 2021
	(in millions)
PPA capacity revenues	$	131	$	118	$	344	$	311
PPA energy revenues	736		413		1,657		954
Total PPA revenues	867		531		2,001		1,265
Non-PPA revenues	304		139		590		327
Other revenues	9		9		27		18
Total operating revenues	$	1,180	$	679	$	2,618	$	1,610

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In the third quarter 2022, total operating revenues were $1.2 billion, reflecting a $501 million, or 74%, increase from the corresponding period in 2021. The increase in operating revenues was primarily due to the following:

•PPA capacity revenues increased $13 million, or 11%, primarily due to increased capacity sales under existing natural gas PPAs.

•PPA energy revenues increased $323 million, or 78%, primarily due to a $333 million increase in sales under existing natural gas PPAs resulting from a $287 million increase in the price of fuel and purchased power and a $45 million increase in the volume of KWHs sold.

•Non-PPA revenues increased $165 million, or 119%, due to a $172 million increase in the market price of energy, partially offset by a $7 million decrease in the volume of KWHs sold through short-term sales.

For year-to-date 2022, total operating revenues were $2.6 billion, reflecting a $1.0 billion, or 63%, increase from the corresponding period in 2021. The increase in operating revenues was primarily due to the following:

•PPA capacity revenues increased $33 million, or 11%, primarily due to new natural gas PPAs and increased capacity sales under existing natural gas PPAs, partially offset by the contractual expiration of natural gas PPAs.

•PPA energy revenues increased $703 million, or 74%, primarily due to a $540 million increase in sales under existing natural gas PPAs resulting from a $442 million increase in the price of fuel and purchased power and a $98 million increase in the volume of KWHs sold. Also contributing to the increase was a $186 million increase in sales associated with new natural gas PPAs, partially offset by a $17 million decrease due to the contractual expiration of natural gas PPAs.

•Non-PPA revenues increased $263 million, or 80%, due to a $299 million increase in the market price of energy, partially offset by a $35 million decrease in the volume of KWHs sold through short-term sales.

Fuel and Purchased Power Expenses

Details of Southern Power's generation and purchased power were as follows:

	Third Quarter 2022	Third Quarter 2021	Year-To-Date 2022	Year-To-Date 2021
	(in billions of KWHs)
Generation	12.8	12.1	36.7	31.8
Purchased power	1.2	0.8	2.3	2.0
Total generation and purchased power	14.0	12.9	39.0	33.8
Total generation and purchased power (excluding solar, wind, fuel cells, and tolling agreements)	8.8	7.7	23.2	20.2

Southern Power's PPAs for natural gas generation generally provide that the purchasers are responsible for either procuring the fuel (tolling agreements) or reimbursing Southern Power for substantially all of the cost of fuel relating to the energy delivered under such PPAs. Consequently, changes in such fuel costs are generally accompanied by a corresponding change in related fuel revenues and do not have a significant impact on net income. Southern Power is responsible for the cost of fuel for generating units that are not covered under PPAs. Power from these generating units is sold into the wholesale market or into the Southern Company power pool for capacity owned directly by Southern Power.

Purchased power expenses will vary depending on demand, availability, and the cost of generating resources throughout the Southern Company system and other contract resources. Load requirements are submitted to the Southern Company power pool on an hourly basis and are fulfilled with the lowest cost alternative, whether that is generation owned by Southern Power, an affiliate company, or external parties. Such purchased power costs are generally recovered through PPA revenues.

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Details of Southern Power's fuel and purchased power expenses were as follows:

	Third Quarter 2022 vs. Third Quarter 2021			Year-to-Date 2022 vs. Year-to-Date 2021
	(change in millions)		(% change)	(change in millions)		(% change)
Fuel	$	346	133.6	$	734	135.9
Purchased power	103		251.2	147		170.9
Total fuel and purchased power expenses	$	449		$	881

In the third quarter 2022, total fuel and purchased power expenses increased $449 million, or 150%, compared to the corresponding period in 2021. Fuel expense increased $346 million due to a $323 million increase associated with the average cost of fuel and a $23 million increase associated with the volume of KWHs generated. Purchased power expense increased $103 million due to a $79 million increase associated with the average cost of purchased power and a $24 million increase associated with the volume of KWHs purchased.

For year-to-date 2022, total fuel and purchased power expenses increased $881 million, or 141%, compared to the corresponding period in 2021. Fuel expense increased $734 million due to a $651 million increase associated with the average cost of fuel and an $83 million increase associated with the volume of KWHs generated. Purchased power expense increased $147 million due to a $134 million increase associated with the average cost of purchased power and a $13 million increase associated with the volume of KWHs purchased.

Other Operations and Maintenance Expenses

Third Quarter 2022 vs. Third Quarter 2021		Year-To-Date 2022 vs. Year-To-Date 2021
(change in millions)	(% change)	(change in millions)	(% change)
$19	20.1	$23	7.4

In the third quarter 2022, other operations and maintenance expenses were $113 million compared to $94 million for the corresponding period in 2021. For year-to-date 2022, other operations and maintenance expenses were $331 million compared to $308 million for the corresponding period in 2021. The increases for the third quarter and year-to-date 2022 were primarily due to increases of $11 million and $13 million, respectively, related to the timing of non-outage generation maintenance expenses. Also contributing to the year-to-date 2022 increase was an increase of $11 million in transmission expenses to serve new natural gas PPAs, partially offset by $6 million related to the allocation in 2021 of uncollected settlements by the Energy Reliability Council of Texas market as a result of Winter Storm Uri.

Loss on Sales-Type Lease

Third Quarter 2022 vs. Third Quarter 2021		Year-To-Date 2022 vs. Year-To-Date 2021
(change in millions)	(% change)	(change in millions)	(% change)
$(15)	(100.0)	$(14)	(93.4)

In the third quarter 2021, a $15 million loss on sales-type lease was recorded upon commencement of the Garland battery energy storage facility PPA, $10 million of which was allocated through noncontrolling interests to Southern Power's partners in the project. See Notes 9 and 15 to the financial statements under "Lessor" and "Southern Power," respectively, in Item 8 of the Form 10-K for additional information.

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Gain on Dispositions, Net

Third Quarter 2022 vs. Third Quarter 2021		Year-To-Date 2022 vs. Year-To-Date 2021
(change in millions)	(% change)	(change in millions)	(% change)
$—	N/M	$(37)	(94.9)

For year-to-date 2022, gain on dispositions, net was $2 million compared to $39 million for the corresponding period in 2021. The decrease primarily resulted from gains associated with contributions of wind turbine equipment to various equity method investments in the first quarter 2021. See Note 15 to the financial statements under "Southern Power – Development Projects" in Item 8 of the Form 10-K and Note (E) to the Condensed Financial Statements under "Southern Power" herein for additional information.

Income Taxes (Benefit)

Third Quarter 2022 vs. Third Quarter 2021		Year-To-Date 2022 vs. Year-To-Date 2021
(change in millions)	(% change)	(change in millions)	(% change)
$27	N/M	$52	N/M

In the third quarter 2022, income tax expense was $36 million compared to $9 million for the corresponding period in 2021. The change was primarily due to higher pre-tax earnings, partially offset by higher wind PTCs.

For year-to-date 2022, income tax expense was $49 million compared to a benefit of $3 million for the corresponding period in 2021. The change was primarily due to higher pre-tax earnings for year-to-date 2022 and a change in state apportionment methodology resulting from tax legislation enacted by the State of Alabama in the first quarter 2021, partially offset by higher wind PTCs for year-to-date 2022.

Net Income (Loss) Attributable to Noncontrolling Interests

Third Quarter 2022 vs. Third Quarter 2021		Year-To-Date 2022 vs. Year-To-Date 2021
(change in millions)	(% change)	(change in millions)	(% change)
$7	N/M	$(28)	N/M

In the third quarter 2022, net income attributable to noncontrolling interests was $12 million compared to $5 million for the corresponding period in 2021. The increase was primarily due to lower HLBV loss allocations to tax equity partners, including loss allocation impacts associated with the Garland battery energy storage facility being placed in service in the third quarter 2021, and higher income allocations to equity partners.

For year-to-date 2022, net loss attributable to noncontrolling interests was $55 million compared to $27 million for the corresponding period in 2021. The increased loss was primarily due to higher HLBV loss allocations to tax equity partners, partially offset by loss allocation impacts associated with the Garland battery energy storage facility being placed in service in the third quarter 2021 and higher income allocations to equity partners.

See Notes 9 and 15 to the financial statements under "Lessor" and "Southern Power," respectively, in Item 8 of the Form 10-K for additional information.

Southern Company Gas

Operating Metrics

Southern Company Gas continues to focus on several operating metrics, including Heating Degree Days, customer count, and volumes of natural gas sold.

Southern Company Gas measures weather and the effect on its business using Heating Degree Days. Generally, increased Heating Degree Days result in higher demand for natural gas on Southern Company Gas' distribution system. Southern Company Gas has various regulatory mechanisms, such as weather and revenue normalization and straight-fixed-variable rate design, which limit its exposure to weather changes within typical ranges in each of its

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utility's respective service territory. Southern Company Gas also utilizes weather hedges to limit the negative income impacts in the event of warmer-than-normal weather.

The number of customers served by gas distribution operations and gas marketing services can be impacted by natural gas prices, economic conditions, and competition from alternative fuels. Gas distribution operations and gas marketing services' customers are primarily located in Georgia and Illinois.

Southern Company Gas' natural gas volume metrics for gas distribution operations and gas marketing services illustrate the effects of weather and customer demand for natural gas.

Seasonality of Results

During the Heating Season, natural gas usage and operating revenues are generally higher as more customers are connected to the gas distribution systems and natural gas usage is higher in periods of colder weather. Southern Company Gas' base operating expenses, excluding cost of natural gas, bad debt expense, and certain incentive compensation costs, are incurred relatively evenly throughout the year. Seasonality also affects the comparison of certain balance sheet items across quarters, including receivables, unbilled revenues, natural gas for sale, and notes payable. However, these items are comparable when reviewing Southern Company Gas' annual results. Thus, Southern Company Gas' operating results for the interim periods presented are not necessarily indicative of annual results and can vary significantly from quarter to quarter.

Net Income

Third Quarter 2022 vs. Third Quarter 2021		Year-To-Date 2022 vs. Year-To-Date 2021
(change in millions)	(% change)	(change in millions)	(% change)
$27	48.2	$127	32.6

In the third quarter 2022, net income was $83 million compared to $56 million for the corresponding period in 2021. Net income increased $14 million at gas distribution operations primarily due to base rate increases and continued investment in infrastructure replacement and $14 million at gas pipeline investments primarily as a result of higher earnings at SNG and lower income taxes related to the PennEast Pipeline project. The third quarter 2021 results also included a $93 million after-tax gain and $85 million of additional tax expense as a result of the July 1, 2021 sale of Sequent.

For year-to-date 2022, net income was $516 million compared to $389 million for the corresponding period in 2021. Net income increased $73 million at gas pipeline investments primarily as a result of a 2021 impairment charge related to the PennEast Pipeline project and $57 million at gas distribution operations primarily due to base rate increases and continued investment in infrastructure replacement. The year-to-date 2021 results also included $108 million of net income from Sequent, including the $93 million after-tax gain, and $85 million of additional tax expense as a result of the July 1, 2021 sale of Sequent.

See Notes 2, 7, and 15 to the financial statements under "Southern Company Gas" in Item 8 of the Form 10-K for additional information.

Natural Gas Revenues, including Alternative Revenue Programs

Third Quarter 2022 vs. Third Quarter 2021		Year-To-Date 2022 vs. Year-To-Date 2021
(change in millions)	(% change)	(change in millions)	(% change)
$234	37.6	$1,004	33.5

In the third quarter 2022, natural gas revenues, including alternative revenue programs, were $857 million compared to $623 million for the corresponding period in 2021. For year-to-date 2022, natural gas revenues, including alternative revenue programs, were $4.0 billion compared to $3.0 billion for the corresponding period in 2021.

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Details of the changes in natural gas revenues, including alternative revenue programs, were as follows:

	Third Quarter 2022				Year-To-Date 2022
	(in millions)		(% change)		(in millions)		(% change)
Natural gas revenues – prior year	$	623			$	2,994
Estimated change resulting from –
Infrastructure replacement programs and base rate changes	54		8.7	%	186		6.2	%
Gas costs and other cost recovery	172		27.6		955		31.9
Gas marketing services	1		0.2		14		0.5
Wholesale gas services	—		—		(187)		(6.2)
Other	7		1.1		36		1.1
Natural gas revenues – current year	$	857	37.6	%	$	3,998	33.5	%

Revenues from infrastructure replacement programs and base rate changes increased in the third quarter and year-to-date 2022 compared to the corresponding periods in 2021 primarily due to rate increases at Nicor Gas, Atlanta Gas Light, and Chattanooga Gas and continued investment in infrastructure replacement. See Note 2 to the financial statements under "Southern Company Gas – Rate Proceedings" in Item 8 of the Form 10-K for additional information.

Revenues associated with gas costs and other cost recovery increased in the third quarter and year-to-date 2022 compared to the corresponding periods in 2021 primarily due to higher natural gas cost recovery. See "Cost of Natural Gas" herein for additional information. Revenue impacts from weather and customer growth are described further below.

Revenues from gas marketing services increased for year-to-date 2022 compared to the corresponding period in 2021 due to higher commodity prices and higher sales to commercial customers.

The changes in year-to-date 2022 revenues related to wholesale gas services were due to the sale of Sequent on July 1, 2021. See Note 15 to the financial statements under "Southern Company Gas" in Item 8 of the Form 10-K for additional information.

Southern Company Gas' natural gas distribution utilities have various regulatory mechanisms that limit their exposure to weather changes. Southern Company Gas also uses hedges for the majority of any remaining exposure to warmer-than-normal weather in Illinois for gas distribution operations and in Illinois and Georgia for gas marketing services; therefore, weather typically does not have a significant net income impact. The following table presents Heating Degree Days information for Illinois and Georgia, the primary locations where Southern Company Gas' operations are impacted by weather.

	Third Quarter			2022 vs. normal		2022 vs. 2021		Year-to-Date			2022 vs. normal		2022 vs. 2021
	Normal(*)	2022	2021	colder (warmer)		colder (warmer)		Normal(*)	2022	2021	colder (warmer)		colder (warmer)
	(in thousands)							(in thousands)
Illinois	42	56	14	33.3	%	300.0	%	3,686	3,683	3,594	(0.1)	%	2.5	%
Georgia	3	—	3	—	%	—	%	1,431	1,361	1,396	(4.9)	%	(2.5)	%

(*)Normal represents the 10-year average from January 1, 2012 through September 30, 2021 for Illinois at Chicago Midway International Airport and for Georgia at Atlanta Hartsfield-Jackson International Airport, based on information obtained from the National Oceanic and Atmospheric Administration, National Climatic Data Center.

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The following table provides the number of customers served by Southern Company Gas at September 30, 2022 and 2021:

	September 30,
	2022		2021		2022 vs. 2021
	(in thousands, except market share %)				(% change)
Gas distribution operations	4,300		4,283		0.4	%
Gas marketing services
Energy customers(*)	598		603		(0.8)	%
Market share of energy customers in Georgia	28.3	%	28.9	%

(*)Gas marketing services' customers are primarily located in Georgia and Illinois.

Southern Company Gas anticipates customer growth and uses a variety of targeted marketing programs to attract new customers and to retain existing customers.

Cost of Natural Gas

Third Quarter 2022 vs. Third Quarter 2021		Year-To-Date 2022 vs. Year-To-Date 2021
(change in millions)	(% change)	(change in millions)	(% change)
$165	N/M	$897	95.1

Excluding Atlanta Gas Light, which does not sell natural gas to end-use customers, natural gas distribution rates include provisions to adjust billings for fluctuations in natural gas costs. Therefore, gas costs recovered through natural gas revenues generally equal the amount expensed in cost of natural gas and do not affect net income from gas distribution operations. Cost of natural gas at gas distribution operations represented 78% and 87% of the total cost of natural gas in the third quarter and year-to-date 2022, respectively. See MANAGEMENT'S DISCUSSION AND ANALYSIS – RESULTS OF OPERATIONS – "Southern Company Gas – Cost of Natural Gas" in Item 7 of the Form 10-K and "Natural Gas Revenues, including Alternative Revenue Programs" herein for additional information.

In the third quarter 2022, cost of natural gas was $294 million compared to $129 million for the corresponding period in 2021. For year-to-date 2022, cost of natural gas was $1.8 billion compared to $943 million for the corresponding period in 2021. The increases reflect higher gas cost recovery as a result of increases of 104% and 113% in natural gas prices in the third quarter and year-to-date 2022, respectively, compared to the corresponding periods in 2021.

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The following table details the volumes of natural gas sold during all periods presented.

	Third Quarter		2022 vs. 2021		Year-to-Date		2022 vs. 2021
	2022	2021			2022	2021
Gas distribution operations (mmBtu in millions)
Firm	70	74	(5.4)	%	485	465	4.3	%
Interruptible	22	23	(4.3)		69	73	(5.5)
Total	92	97	(5.2)	%	554	538	3.0	%
Gas marketing services (mmBtu in millions)
Firm:
Georgia	3	3	—	%	24	26	(7.7)	%
Illinois	—	—	—		4	5	(20.0)
Other	2	2	—		8	10	(20.0)
Interruptible large commercial and industrial	3	3	—		11	10	10.0
Total	8	8	—	%	47	51	(7.8)	%

Other Operations and Maintenance Expenses

Third Quarter 2022 vs. Third Quarter 2021		Year-To-Date 2022 vs. Year-To-Date 2021
(change in millions)	(% change)	(change in millions)	(% change)
$14	5.9	$53	6.8

In the third quarter 2022, other operations and maintenance expenses were $252 million compared to $238 million for the corresponding period in 2021. The increase was primarily due to higher compensation and benefit expenses and higher expenses passed through directly to customers primarily related to bad debt at gas distribution operations.

For year-to-date 2022, other operations and maintenance expenses were $829 million compared to $776 million for the corresponding period in 2021. Excluding $53 million of expenses related to Sequent for year-to-date 2021, other operations and maintenance expenses increased approximately $106 million. The increase was primarily due to increases of $47 million in compensation and benefit expenses, $30 million in expenses passed through directly to customers primarily related to bad debt at gas distribution operations, $18 million in customer accounts expenses, and $15 million in technology-related costs.

Depreciation and Amortization

Third Quarter 2022 vs. Third Quarter 2021		Year-To-Date 2022 vs. Year-To-Date 2021
(change in millions)	(% change)	(change in millions)	(% change)
$7	5.3	$18	4.5

In the third quarter 2022, depreciation and amortization was $140 million compared to $133 million for the corresponding period in 2021. For year-to-date 2022, depreciation and amortization was $414 million compared to $396 million for the corresponding period in 2021. The increases were primarily due to continued infrastructure investments at the natural gas distribution utilities.

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Taxes Other Than Income Taxes

Third Quarter 2022 vs. Third Quarter 2021		Year-To-Date 2022 vs. Year-To-Date 2021
(change in millions)	(% change)	(change in millions)	(% change)
$9	25.0	$42	25.3

In the third quarter 2022, taxes other than income taxes were $45 million compared to $36 million for the corresponding period in 2021. For year-to-date 2022, taxes other than income taxes were $208 million compared to $166 million for the corresponding period in 2021. The increases primarily reflect an increase in revenue tax expenses as a result of higher natural gas revenues and an increase in invested capital tax expense at Nicor Gas. Revenue tax expenses are passed through directly to customers and have no impact on net income.

Gain on Dispositions, Net

Third Quarter 2022 vs. Third Quarter 2021		Year-To-Date 2022 vs. Year-To-Date 2021
(change in millions)	(% change)	(change in millions)	(% change)
$(121)	(100.0)	$(122)	(96.1)

The sale of Sequent in the third quarter 2021 resulted in a gain on dispositions, net of $121 million. See Note 15 to the financial statements under "Southern Company Gas" in Item 8 of the Form 10-K for additional information.

Earnings from Equity Method Investments

Third Quarter 2022 vs. Third Quarter 2021		Year-To-Date 2022 vs. Year-To-Date 2021
(change in millions)	(% change)	(change in millions)	(% change)
$9	36.0	$91	N/M

In the third quarter 2022, earnings from equity method investments were $34 million compared to $25 million for the corresponding period in 2021. The increase was primarily due to higher earnings at SNG resulting from higher revenues primarily due to increased demand.

For year-to-date 2022, earnings from equity method investments were $105 million compared to $14 million for the corresponding period in 2021. The increase was primarily due to pre-tax impairment charges totaling $84 million in 2021 related to the PennEast Pipeline project and higher earnings at SNG resulting from higher revenues primarily due to increased demand.

See Note 7 to the financial statements under "Southern Company Gas" in Item 8 of the Form 10-K and Note (E) to the Condensed Financial Statements herein under "Southern Company Gas" for additional information.

Other Income (Expense), Net

Third Quarter 2022 vs. Third Quarter 2021		Year-To-Date 2022 vs. Year-To-Date 2021
(change in millions)	(% change)	(change in millions)	(% change)
$2	15.4	$113	N/M

For year-to-date 2022, other income (expense), net was $47 million of income compared to $66 million of expense for the corresponding period in 2021. The change was largely due to charitable contributions totaling $101 million during the first and second quarters of 2021 and an increase of $12 million at gas distribution operations primarily related to an increase in non-service cost-related retirement benefits income. See Note (H) to the Condensed Financial Statements herein for additional information.

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Income Taxes

Third Quarter 2022 vs. Third Quarter 2021		Year-To-Date 2022 vs. Year-To-Date 2021
(change in millions)	(% change)	(change in millions)	(% change)
$(106)	(79.7)	$(63)	(28.1)

In the third quarter 2022, income taxes were $27 million compared to $133 million for the corresponding period in 2021. For year-to-date 2022, income taxes were $161 million compared to $224 million for the corresponding period in 2021. The decreases were primarily the result of $113 million in additional tax expense in the third quarter 2021 as a result of the sale of Sequent. Partially offsetting the third quarter 2022 decrease was an increase of $9 million in income tax expense at gas distribution operations primarily as a result of higher pre-tax earnings. The year-to-date 2022 decrease was partially offset by increases in income tax expense of $25 million at gas distribution operations primarily as a result of higher pre-tax earnings and $20 million at gas pipeline investments primarily from $18 million of tax benefits resulting from the impairment charge in the second quarter 2021 related to the PennEast Pipeline project. See Notes 7 and 15 to the financial statements under "Southern Company Gas" in Item 8 of the Form 10-K for additional information.

Segment Information

Operating revenues, operating expenses, and net income (loss) for each segment are provided in the table below. See Note (L) to the Condensed Financial Statements under "Southern Company Gas" herein for additional information.

	2022						2021
	Operating Revenues		Operating Expenses		Net Income (Loss)		Operating Revenues		Operating Expenses		Net Income (Loss)
	(in millions)						(in millions)
Third Quarter
Gas distribution operations	$	751	$	629	$	59	$	556	$	459	$	45
Gas pipeline investments	8		3		24		8		3		10
Wholesale gas services(*)	—		—		—		—		(120)		94
Gas marketing services	85		87		(2)		52		52		(2)
All other	16		12		2		11		25		(91)
Intercompany eliminations	(3)		—		—		(4)		(4)		—
Consolidated	$	857	$	731	$	83	$	623	$	415	$	56
Year-to-Date
Gas distribution operations	$	3,533	$	2,922	$	365	$	2,466	$	1,936	$	308
Gas pipeline investments	24		8		76		24		9		3
Wholesale gas services(*)	—		—		—		188		(53)		108
Gas marketing services	420		327		65		311		226		60
All other	43		48		10		29		60		(90)
Intercompany eliminations	(22)		(19)		—		(24)		(24)		—
Consolidated	$	3,998	$	3,286	$	516	$	2,994	$	2,154	$	389

(*)As a result of the sale of Sequent, wholesale gas services is no longer a reportable segment for the third quarter and year-to-date 2022. See Note 15 to the financial statements under "Southern Company Gas" in Item 8 of the Form 10-K for additional information.

Gas Distribution Operations

Gas distribution operations is the largest component of Southern Company Gas' business and is subject to regulation and oversight by regulatory agencies in each of the states it serves. These agencies approve natural gas rates designed to provide Southern Company Gas with the opportunity to generate revenues to recover the cost of natural

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gas delivered to its customers and its fixed and variable costs, including depreciation, interest expense, operations and maintenance, taxes, and overhead costs, and to earn a reasonable return on its investments.

With the exception of Atlanta Gas Light, Southern Company Gas' second largest utility that operates in a deregulated natural gas market and has a straight-fixed-variable rate design that minimizes the variability of its revenues based on consumption, the earnings of the natural gas distribution utilities can be affected by customer consumption patterns that are a function of weather conditions, price levels for natural gas, and general economic conditions that may impact customers' ability to pay for natural gas consumed. Southern Company Gas has various regulatory and other mechanisms, such as weather and revenue normalization mechanisms and weather derivative instruments, that limit its exposure to changes in customer consumption, including weather changes within typical ranges in its natural gas distribution utilities' service territories. See Note 2 to the financial statements under "Southern Company Gas" in Item 8 of the Form 10-K for additional information.

In the third quarter and year-to-date 2022, net income increased $14 million, or 31.1%, and $57 million, or 18.5%, respectively, when compared to the corresponding periods in 2021, as described further below:

•Operating revenues increased $195 million and $1.07 billion, respectively, when compared to the corresponding periods in 2021 primarily due to higher gas cost recovery, rate increases, and continued investment in infrastructure replacement. Gas costs recovered through natural gas revenues generally equal the amount expensed in cost of natural gas.

•Operating expenses increased $170 million and $986 million, respectively, when compared to the corresponding periods in 2021 primarily due to increases of $129 million and $802 million, respectively, in the cost of gas as a result of higher natural gas prices compared to 2021, higher compensation and benefit expenses, and higher depreciation resulting from additional assets placed in service. The increase in operating expenses also includes higher costs passed through directly to customers, primarily related to bad debt expenses and revenue taxes.

•Other income and (expense) increased $3 million and $12 million, respectively, when compared to the corresponding periods in 2021, primarily due to an increase in non-service cost-related retirement benefits income. See Note (H) to the Condensed Financial Statements herein for additional information.

•Interest expense, net of amounts capitalized increased $5 million and $11 million, respectively, when compared to the corresponding periods in 2021 primarily due to additional debt issued to finance continued investments. See FINANCIAL CONDITION AND LIQUIDITY – "Sources of Capital" and "Financing Activities" herein for additional information on borrowings.

•Income taxes increased $9 million and $25 million, respectively, when compared to the corresponding periods in 2021 primarily due to higher pre-tax earnings.

Gas Pipeline Investments

Gas pipeline investments consists primarily of joint ventures in natural gas pipeline investments including SNG, Dalton Pipeline, and PennEast Pipeline. See Note (E) to the Condensed Financial Statements under "Southern Company Gas" herein for additional information.

In the third quarter 2022, net income increased $14 million when compared to the corresponding period in 2021 primarily due to higher earnings at SNG resulting from higher revenues primarily due to increased demand and lower income taxes related to the PennEast Pipeline project.

For year-to-date 2022, net income increased $73 million when compared to the corresponding period in 2021 primarily due to pre-tax impairment charges totaling $84 million ($67 million after tax) in 2021 related to the equity method investment in the PennEast Pipeline project and higher earnings at SNG resulting from higher revenues primarily due to increased demand. See Note 7 to the financial statements under "Southern Company Gas" in Item 8 of the Form 10-K for additional information.

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Gas Marketing Services

Gas marketing services provides energy-related products and services to natural gas markets and participants in customer choice programs that were approved in various states to increase competition. These programs allow customers to choose their natural gas supplier while the local distribution utility continues to provide distribution and transportation services. Gas marketing services is weather sensitive and uses a variety of hedging strategies, such as weather derivative instruments and other risk management tools, to partially mitigate potential weather impacts.

In the third quarter 2022, net income was flat when compared to the corresponding period in 2021 primarily due to an increase of $35 million in operating expenses primarily due to higher cost of gas, largely offset by a related increase of $33 million in operating revenues.

For year-to-date 2022, net income increased $5 million, or 8.3%, when compared to the corresponding period in 2021 primarily due to a $109 million increase in operating revenues as a result of higher commodity prices and higher sales to commercial customers, partially offset by a $101 million increase in operating expenses primarily due to $95 million in higher cost of natural gas and an increase of $4 million in income taxes as a result of higher pre-tax earnings.

All Other

All other includes natural gas storage businesses, a renewable natural gas business, AGL Services Company, and Southern Company Gas Capital, as well as various corporate operating expenses that are not allocated to the reportable segments and interest income (expense) associated with affiliate financing arrangements. See Note (K) to the Condensed Financial Statements under "Southern Company Gas" herein for information regarding agreements by certain affiliates of Southern Company Gas to sell two natural gas storage facilities.

In the third quarter 2022, net income increased $93 million when compared to the corresponding period in 2021. The change primarily relates to additional tax expense as a result of the sale of Sequent in 2021 and a decrease of $13 million in operating expenses related to lower depreciation in 2022 and transaction costs in 2021 related to the sale of Sequent.

For year-to-date 2022, net income increased $100 million when compared to the corresponding period in 2021. The change primarily relates to additional tax expense as a result of the sale of Sequent in 2021 and an increase in operating revenues of $14 million primarily related to higher demand fees and favorable hedge gains at the natural gas storage businesses, higher sales from the renewable natural gas business, and lower depreciation in 2022.

FUTURE EARNINGS POTENTIAL

Each Registrant's results of operations are not necessarily indicative of its future earnings potential. The level of the Registrants' future earnings depends on numerous factors that affect the opportunities, challenges, and risks of the Registrants' primary businesses of selling electricity and/or distributing natural gas, as described further herein.

For the traditional electric operating companies, these factors include the ability to maintain constructive regulatory environments that allow for the timely recovery of prudently-incurred costs during a time of increasing costs, including those related to projected long-term demand growth, stringent environmental standards, including CCR rules, safety, system reliability and resiliency, fuel, restoration following major storms, and capital expenditures, including constructing new electric generating plants and expanding and improving the transmission and distribution systems; continued customer growth; and the trends of higher inflation and reduced electricity usage per customer, especially in residential and commercial markets. For Georgia Power, completing construction of Plant Vogtle Units 3 and 4 and the related cost recovery proceedings is another major factor.

Earnings in the electricity business will also depend upon maintaining and growing sales, considering, among other things, the adoption and/or penetration rates of increasingly energy-efficient technologies and increasing volumes of electronic commerce transactions, which could contribute to a net reduction in customer usage.

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Global and U.S. economic conditions have been significantly affected by a series of demand and supply shocks that caused a global and national economic recession in 2020. The drivers, speed, and depth of the 2020 economic contraction were unprecedented and continue to reduce energy demand across the Southern Company system's service territory, primarily in the commercial class. Retail electric revenues attributable to changes in sales increased in the first nine months of 2022 when compared to the corresponding period in 2021 primarily due to the normalization of economic activity; however, total retail electric sales for the Southern Company system continued to be negatively impacted by the COVID-19 pandemic when compared to pre-pandemic trends. Most prominently, the COVID-19 pandemic has negatively impacted global supply chains and business operations as suppliers continue to experience difficulties keeping up with strong demand for factory goods, which is being driven by low business inventories. In addition, rising inflation in 2021 and 2022 has resulted in increasing costs for many goods and services. As a result of persistently high inflation, interest rates have been on the rise and are expected to continue rising in the near term, which has impacted, and may continue to impact, the Registrants' borrowing costs. Based on these factors, the probability of the U.S. economy falling into a recession has heightened. The impacts of new COVID-19 variants, responses to the COVID-19 pandemic by both customers and governments, ongoing geopolitical threats, such as the escalation of the Russia-Ukraine war, and the potential of future COVID-19-related lockdowns in Asia or elsewhere could further disrupt global supply chains and increase the severity of a possible economic downturn in the Southern Company system's service territory. See RESULTS OF OPERATIONS herein for information on COVID-19-related impacts on energy demand in the Southern Company system's service territory during the first nine months of 2022.

The level of future earnings for Southern Power's competitive wholesale electric business depends on numerous factors including the parameters of the wholesale market and the efficient operation of its wholesale generating assets; Southern Power's ability to execute its growth strategy through the development or acquisition of renewable facilities and other energy projects while containing costs; regulatory matters; customer creditworthiness; total electric generating capacity available in Southern Power's market areas; Southern Power's ability to successfully remarket capacity as current contracts expire; renewable portfolio standards; availability of federal and state ITCs and PTCs, which could be impacted by future tax legislation; transmission constraints; cost of generation from units within the Southern Company power pool; and operational limitations. See "Income Tax Matters" herein for additional information on recent tax legislation expanding the availability of federal ITCs and PTCs.

The level of future earnings for Southern Company Gas' primary business of distributing natural gas and its complementary businesses in the gas pipeline investments and gas marketing services sectors depends on numerous factors. These factors include the natural gas distribution utilities' ability to maintain constructive regulatory environments that allow for the timely recovery of prudently-incurred costs, including those related to projected long-term demand growth, safety, system reliability and resiliency, natural gas, and capital expenditures, including expanding and improving the natural gas distribution systems; the completion and subsequent operation of ongoing infrastructure and other construction projects; customer creditworthiness; and certain policies to limit the use of natural gas, such as the potential across certain parts of the U.S. for state or municipal bans on the use of natural gas. The volatility of natural gas prices has an impact on Southern Company Gas' customer rates, its long-term competitive position against other energy sources, and the ability of Southern Company Gas' gas marketing services business to capture value from locational and seasonal spreads. Additionally, changes in commodity prices, primarily driven by tight gas supplies, geopolitical events, and diminished gas production, subject a portion of Southern Company Gas' operations to earnings variability and have recently resulted in higher natural gas prices. Additional economic factors may contribute to this environment. The demand for natural gas may increase, which may cause natural gas prices to rise and drive higher volatility in the natural gas markets on a longer-term basis. Alternatively, a significant drop in oil and natural gas prices could lead to a consolidation of natural gas producers or reduced levels of natural gas production.

Earnings for both the electricity and natural gas businesses are subject to a variety of other factors. These factors include weather; competition; developing new and maintaining existing energy contracts and associated load requirements with wholesale customers; energy conservation practiced by customers; the use of alternative energy sources by customers; government incentives to reduce overall energy usage; the prices of electricity and natural

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gas; costs and availability of labor and materials in a time of rising costs, impacted by heightened inflation caused by unprecedented shocks to the broader economy, and supply chain disruptions; and the price elasticity of demand. Demand for electricity and natural gas in the Registrants' service territories is primarily driven by the pace of economic growth or decline that may be affected by changes in regional and global economic conditions, which may impact future earnings.

As part of its ongoing effort to adapt to changing market conditions, Southern Company continues to evaluate and consider a wide array of potential business strategies. These strategies may include business combinations, partnerships, and acquisitions involving other utility or non-utility businesses or properties, disposition of, or the sale of interests in, certain assets or businesses, internal restructuring, or some combination thereof. Furthermore, Southern Company may engage in new business ventures that arise from competitive and regulatory changes in the utility industry. Pursuit of any of the above strategies, or any combination thereof, may significantly affect the business operations, risks, and financial condition of Southern Company. In addition, Southern Power and Southern Company Gas regularly consider and evaluate joint development arrangements as well as acquisitions and dispositions of businesses and assets as part of their business strategies. See Note 15 to the financial statements in Item 8 of the Form 10-K and Note (K) to the Condensed Financial Statements herein for additional information.

For additional information relating to these issues, see RISK FACTORS in Item 1A and MANAGEMENT'S DISCUSSION AND ANALYSIS – FUTURE EARNINGS POTENTIAL in Item 7 of the Form 10-K.

Environmental Matters

See MANAGEMENT'S DISCUSSION AND ANALYSIS – FUTURE EARNINGS POTENTIAL – "Environmental Matters" in Item 7 and Note 3 to the financial statements under "Environmental Remediation" in Item 8 of the Form 10-K, as well as Note (C) to the Condensed Financial Statements under "General Litigation Matters" and "Environmental Remediation" herein, for additional information.

Environmental Laws and Regulations

Air Quality

On August 30, 2022, the EPA found that 15 states, including Alabama and Mississippi, failed to submit regional haze state implementation plans for the second 10-year planning period (2018 through 2028) by July 31, 2021. The finding of failure to submit establishes a two-year deadline for the EPA to promulgate a Federal Implementation Plan (FIP) to address these requirements for each applicable state unless, before the EPA promulgates a FIP, the state submits, and the EPA approves, a state implementation plan that meets the requirements. The ultimate outcome of this matter, including any potential impacts to Alabama Power, Mississippi Power, and Southern Power, cannot be determined at this time.

Global Climate Issues

On June 30, 2022, the U.S. Supreme Court issued an opinion limiting the EPA's authority to regulate greenhouse gas emissions under the Clean Air Act. The Court's review in the case focused on whether the EPA's authority under the Clean Air Act allows the EPA to regulate the electric industry in a manner as broad as the Clean Power Plan (CPP), which was repealed and replaced by the Affordable Clean Energy rule (ACE Rule). The Court held that the generation shifting to lower carbon emitting sources approach in the CPP is not authorized by the Clean Air Act. However, the Court did not decide whether the EPA may adopt measures only applied at the individual electric generating source, which is the basis for the ACE Rule. The EPA has announced its intent to propose a rule for existing power plants pursuant to the Clean Air Act by March 2023. The ultimate impact of the Court's decision cannot be determined at this time.

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Regulatory Matters

See Note 2 to the financial statements in Item 8 of the Form 10-K, OVERVIEW – "Recent Developments" herein, and Note (B) to the Condensed Financial Statements herein for a discussion of regulatory matters related to Alabama Power, Georgia Power, Mississippi Power, and Southern Company Gas, including items that could impact the applicable Registrants' future earnings, cash flows, and/or financial condition.

Alabama Power

On September 23, 2022, the FERC authorized Alabama Power to use updated depreciation rates from its 2021 depreciation study effective January 1, 2023. The study was also provided to the Alabama PSC, and the new depreciation rates will be reflected in Alabama Power's future rate filings. The updated depreciation rates are expected to result in an approximately $500 million increase in annual depreciation expense. See Notes 2 and 5 to the financial statements under "Alabama Power" and "Depreciation and Amortization," respectively, in Item 8 of the Form 10-K for additional information.

Construction Programs

The Subsidiary Registrants are engaged in continuous construction programs to accommodate existing and estimated future loads on their respective systems. The Southern Company system strategy continues to include developing and constructing new electric generating facilities, expanding and improving the electric transmission and electric and natural gas distribution systems, and undertaking projects to comply with environmental laws and regulations.

For the traditional electric operating companies, major generation construction projects are subject to state PSC approval in order to be included in retail rates. The largest construction project currently underway in the Southern Company system is Plant Vogtle Units 3 and 4. See Note (B) to the Condensed Financial Statements under "Georgia Power – Nuclear Construction" herein for additional information. Also see Note 2 to the financial statements under "Alabama Power – Certificates of Convenience and Necessity" in Item 8 of the Form 10-K for information regarding Alabama Power's construction of Plant Barry Unit 8.

See Note 15 to the financial statements in Item 8 of the Form 10-K and Note (K) to the Condensed Financial Statements herein under "Southern Power" for information about costs relating to Southern Power's construction of renewable energy facilities.

Southern Company Gas is engaged in various infrastructure improvement programs designed to update or expand the natural gas distribution systems of the natural gas distribution utilities to improve reliability, reduce emissions, and meet operational flexibility and growth. The natural gas distribution utilities recover their investment and a return associated with these infrastructure programs through their regulated rates. See Note 2 to the financial statements in Item 8 of the Form 10-K and Note (B) to the Condensed Financial Statements herein under "Southern Company Gas" for additional information on Southern Company Gas' construction program.

See FINANCIAL CONDITION AND LIQUIDITY – "Cash Requirements" herein for additional information regarding the Registrants' capital requirements for their construction programs.

Income Tax Matters

See MANAGEMENT'S DISCUSSION AND ANALYSIS – FUTURE EARNINGS POTENTIAL – "Income Tax Matters" in Item 7 of the Form 10-K for additional information.

On August 16, 2022, the Inflation Reduction Act (IRA) was signed into law. The IRA extends, expands, and increases ITCs and PTCs for clean energy projects, allows PTCs for solar projects, adds ITCs for stand-alone energy storage projects with an option to elect out of the tax normalization requirement, and allows for the transferability of the tax credits. The IRA extends and increases the tax credits for carbon capture and sequestration projects and adds tax credits for clean hydrogen and nuclear projects. Additional ITC and PTC amounts are available if the projects meet domestic content requirements or are located in low-income or energy communities.

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The IRA also enacted a 15% corporate minimum tax on book income, with some adjustments including adjustments for pension and tax depreciation. The 15% corporate minimum tax on book income can be reduced by energy tax credits.

For solar projects placed in service in 2022 through 2032, the IRA provides for a 30% ITC and an option to claim a PTC instead of an ITC. Starting in 2023 and through 2032, the IRA provides for a 30% ITC for stand-alone energy storage projects. For wind projects placed in service in 2022 through 2032, the IRA provides for a 100% PTC. The PTC rate for 2022 is 2.6 cents per KWH and will be adjusted for inflation annually. The same PTC rate applies for solar projects for which the PTC option has been elected. To realize the full value of ITCs and PTCs, the IRA requires satisfaction of prevailing wage and apprenticeship requirements.

Implementation of the IRA provisions is subject to the issuance of additional guidance by the U.S. Treasury Department, and the ultimate impacts cannot be determined at this time; however, the IRA is not expected to have a material impact on the Registrants' financial statements for the year ending December 31, 2022.

General Litigation and Other Matters

The Registrants are involved in various matters being litigated and/or regulatory and other matters that could affect future earnings, cash flows, and/or financial condition. The ultimate outcome of such pending or potential litigation against each Registrant and any subsidiaries or regulatory and other matters cannot be determined at this time; however, for current proceedings and/or matters not specifically reported herein or in Notes (B) and (C) to the Condensed Financial Statements herein, management does not anticipate that the ultimate liabilities, if any, arising from such current proceedings and/or matters would have a material effect on such Registrant's financial statements. See Notes (B) and (C) to the Condensed Financial Statements for a discussion of various contingencies, including matters being litigated, regulatory matters, and other matters which may affect future earnings potential.

ACCOUNTING POLICIES

See MANAGEMENT'S DISCUSSION AND ANALYSIS – ACCOUNTING POLICIES in Item 7 of the Form 10-K for a complete discussion of the Registrants' critical accounting policies and estimates, as well as recently issued accounting standards.

Application of Critical Accounting Policies and Estimates

The Registrants prepare their financial statements in accordance with GAAP. Significant accounting policies are described in the notes to the financial statements in Item 8 of the Form 10-K. In the application of these policies, certain estimates are made that may have a material impact on the Registrants' results of operations and related disclosures. Different assumptions and measurements could produce estimates that are significantly different from those recorded in the financial statements.

Estimated Cost, Schedule, and Rate Recovery for the Construction of Plant Vogtle Units 3 and 4

(Southern Company and Georgia Power)

As of September 30, 2022, Georgia Power revised its total project capital cost forecast to $10.4 billion (net of $1.7 billion received under the Guarantee Settlement Agreement and approximately $188 million in related customer refunds). This forecast includes construction contingency of $49 million and is based on projected in-service dates at the end of the first quarter 2023 and the fourth quarter 2023 for Units 3 and 4, respectively.

The projected schedule for Unit 3 primarily depends on the pace of system and area transitions to operations, including the completion of closure documentation necessary to support start-up testing, and the progression of start-up, final component, and pre-operational testing, which may be impacted by equipment or other operational failures. The projected schedule for Unit 4 primarily depends on Unit 3 progress through start-up and testing; overall construction productivity and production levels improving, particularly in electrical installation, including terminations; and appropriate levels of craft laborers, particularly electricians, being added and maintained. Any further delays could result in later in-service dates and cost increases.

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AND RESULTS OF OPERATIONS (Continued)

During the first nine months of 2022, established construction contingency totaling $170 million was assigned to the base capital cost forecast for costs primarily associated with construction productivity, the pace of system turnovers, additional craft and support resources, and procurement for Units 3 and 4. Georgia Power also increased its total project capital cost forecast and recorded pre-tax charges of $36 million ($27 million after tax) and $32 million ($24 million after tax) to replenish construction contingency in the second quarter 2022 and the third quarter 2022, respectively.

Georgia Power and the other Vogtle Owners do not agree on either the starting dollar amount for the determination of cost increases subject to the cost-sharing and tender provisions of the Global Amendments (as defined in Note (B) to the Condensed Financial Statements under "Georgia Power – Nuclear Construction – Joint Owner Contracts" herein) or the extent to which COVID-19-related costs impact those provisions. In October 2021, Georgia Power and the other Vogtle Owners entered into an agreement, which was modified on June 3, 2022, to clarify the process for the tender provisions of the Global Amendments to provide for a decision between 120 and 194 days after the tender option is triggered, which the other Vogtle Owners assert occurred on February 14, 2022. On June 17, 2022 and July 26, 2022, OPC and Dalton, respectively, notified Georgia Power of their purported exercises of their tender options. On September 29, 2022, Georgia Power and MEAG Power reached an agreement to resolve their dispute regarding the proper interpretation of the cost-sharing and tender provisions of the Global Amendments. Under the terms of the agreement, among other items, (i) MEAG Power will not exercise its tender option and will retain its full ownership interest in Plant Vogtle Units 3 and 4; (ii) Georgia Power will pay a portion of MEAG Power's costs of construction for Plant Vogtle Units 3 and 4 as such costs are incurred and with no further adjustment for force majeure costs, which payments will total approximately $79 million based on the current project capital cost forecast; and (iii) Georgia Power will pay 20% of MEAG Power's costs of construction with respect to any amounts over the current project capital cost forecast, with no further adjustment for force majeure costs.

Georgia Power recorded additional pre-tax charges (credits) to income in the second quarter 2022 and the third quarter 2022 of approximately $16 million ($12 million after tax) and $(102) million ($(76) million after tax), respectively, associated with the cost-sharing and tender provisions of the Global Amendments, including the settlement with MEAG Power, which are included in the total project capital cost forecast. The settlement with MEAG Power does not resolve the separate pending litigation with OPC, including Dalton's associated complaint, regarding the cost-sharing and tender provisions of the Global Amendments described in Note (B) to the Condensed Financial Statements under "Georgia Power – Nuclear Construction – Joint Owner Contracts" herein. Georgia Power may be required to record further pre-tax charges to income of up to approximately $300 million associated with these provisions for OPC and Dalton based on the current project capital cost forecast.

The ultimate outcome of these matters cannot be determined at this time. However, any extension of the in-service date beyond the first quarter 2023 for Unit 3 or the fourth quarter 2023 for Unit 4, including the current level of cost sharing described in Note (B) to the Condensed Financial Statements under "Georgia Power – Nuclear Construction" herein, is estimated to result in additional base capital costs for Georgia Power of up to $15 million per month for Unit 3 and $35 million per month for Unit 4, as well as the related AFUDC and any additional related construction, support resources, or testing costs. See Note 2 to the financial statements in Item 8 of the Form 10-K and Note (B) to the Condensed Financial Statements herein under "Georgia Power – Nuclear Construction" for additional information.

FINANCIAL CONDITION AND LIQUIDITY

Overview

See MANAGEMENT'S DISCUSSION AND ANALYSIS – FINANCIAL CONDITION AND LIQUIDITY – "Overview" in Item 7 of the Form 10-K for additional information. The financial condition of each Registrant remained stable at September 30, 2022. The Registrants intend to continue to monitor their access to short-term and long-term capital markets as well as their bank credit arrangements to meet future capital and liquidity needs. See "Cash Requirements," "Sources of Capital," and "Financing Activities" herein for additional information.

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At the end of the third quarter 2022, the market price of Southern Company's common stock was $68.00 per share (based on the closing price as reported on the NYSE) and the book value was $28.69 per share, representing a market-to-book ratio of 237%, compared to $68.58, $26.30, and 261%, respectively, at the end of 2021. Southern Company's common stock dividend for the third quarter 2022 was $0.68 per share compared to $0.66 per share in the third quarter 2021.

Cash Requirements

See MANAGEMENT'S DISCUSSION AND ANALYSIS – FINANCIAL CONDITION AND LIQUIDITY – "Cash Requirements" in Item 7 of the Form 10-K for a description of the Registrants' significant cash requirements.

The Registrants' significant cash requirements include estimated capital expenditures associated with their construction programs and, for the traditional electric operating companies, operating cash flows related to fuel cost under recovery. The fuel cost under recovery balances are primarily the result of higher than forecasted prices for natural gas and purchased power.

The construction programs are subject to periodic review and revision, and actual construction costs may vary from these estimates because of numerous factors. These factors include: changes in business conditions; changes in load projections; changes in environmental laws and regulations; the outcome of any legal challenges to environmental rules; changes in electric generating plants, including unit retirements and replacements and adding or changing fuel sources at existing electric generating units, to meet regulatory requirements; changes in FERC rules and regulations; state regulatory agency approvals; changes in the expected environmental compliance program; changes in legislation and/or regulation; the cost, availability, and efficiency of construction labor, equipment, and materials; project scope and design changes; abnormal weather; delays in construction due to judicial or regulatory action; storm impacts; and the cost of capital. The continued impacts of the COVID-19 pandemic could also impair the ability to develop, construct, and operate facilities, as discussed further in Item 1A of the Form 10-K. In addition, there can be no assurance that costs related to capital expenditures and AROs will be fully recovered. Additionally, expenditures associated with Southern Power's planned acquisitions may vary due to market opportunities and the execution of its growth strategy. See Note 15 to the financial statements in Item 8 of the Form 10-K and Note (K) to the Condensed Financial Statements herein under "Southern Power" for additional information regarding Southern Power's plant acquisitions and construction projects.

The construction program of Georgia Power includes Plant Vogtle Units 3 and 4, which includes components based on new technology that only within the last few years began initial operation in the global nuclear industry at this scale and which may be subject to additional revised cost estimates during construction. See Note 2 to the financial statements in Item 8 of the Form 10-K and Note (B) to the Condensed Financial Statements herein under "Georgia Power – Nuclear Construction" for information regarding Plant Vogtle Units 3 and 4 and additional factors that may impact construction expenditures.

Long-term debt maturities and the interest payable on long-term debt each represent a significant cash requirement for the Registrants. See "Financing Activities" herein for information on changes in the Registrants' long-term debt balances since December 31, 2021.

Sources of Capital

See MANAGEMENT'S DISCUSSION AND ANALYSIS – FINANCIAL CONDITION AND LIQUIDITY – "Sources of Capital" in Item 7 of the Form 10-K for additional information. Southern Company intends to meet its future capital needs through operating cash flows, borrowings from financial institutions, and debt and equity issuances. Equity capital can be provided from any combination of Southern Company's stock plans, private placements, or public offerings. Southern Company does not expect to issue any equity in the capital markets through 2026, but may issue equity through its stock plans during this time.

The Subsidiary Registrants plan to obtain the funds to meet their future capital needs from sources similar to those they used in the past, which were primarily from operating cash flows, external securities issuances, borrowings from financial institutions, and equity contributions from Southern Company. Operating cash flows provide a

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substantial portion of the Registrants' cash needs. During the nine months ended September 30, 2022, Southern Power utilized tax credits, which provided $218 million in operating cash flows. In addition, Southern Power plans to utilize tax equity partnership contributions (as discussed further herein). Georgia Power intends to utilize short-term floating rate bank loans and commercial paper issuances to fund operating cash flows related to fuel cost under recovery. Subsequent to September 30, 2022, Georgia Power borrowed $250 million pursuant to a short-term uncommitted bank credit arrangement and intends to borrow up to an additional $1.2 billion pursuant to a short-term floating rate bank loan in November 2022.

The amount, type, and timing of any financings in 2022, as well as in subsequent years, will be contingent on investment opportunities and the Registrants' capital requirements and will depend upon prevailing market conditions, regulatory approvals (for certain of the Subsidiary Registrants), and other factors. See "Cash Requirements" and "Financing Activities" herein for additional information.

Southern Power utilizes tax equity partnerships as one of its financing sources, where the tax partner takes significantly all of the federal tax benefits. These tax equity partnerships are consolidated in Southern Power's financial statements and are accounted for using HLBV methodology to allocate partnership gains and losses. During the nine months ended September 30, 2022, Southern Power obtained tax equity funding for existing tax equity partnerships totaling $51 million. See Note 1 to the financial statements under "General" in Item 8 of the Form 10-K and Note (K) to the Condensed Financial Statements under "Southern Power" herein for additional information.

By regulation, Nicor Gas is restricted, to the extent of its retained earnings balance, in the amount it can dividend or loan to affiliates and is not permitted to make money pool loans to affiliates. At September 30, 2022, the amount of subsidiary retained earnings restricted to dividend totaled $1.4 billion. This restriction did not impact Southern Company Gas' ability to meet its cash obligations, nor does management expect such restriction to materially impact Southern Company Gas' ability to meet its currently anticipated cash obligations.

Certain Registrants' current liabilities frequently exceed their current assets because of long-term debt maturities and the periodic use of short-term debt as a funding source, as well as significant seasonal fluctuations in cash needs. The Registrants generally plan to refinance long-term debt as it matures. The following table shows the amount by which current liabilities exceeded current assets at September 30, 2022 for the applicable Registrants:

At September 30, 2022	Southern Company		Georgia Power		Mississippi Power		Southern Power
	(in millions)
Current liabilities in excess of current assets	$	2,438	$	2,442	$	18	$	325

The Registrants believe the need for working capital can be adequately met by utilizing operating cash flows, as well as commercial paper, lines of credit, and short-term bank notes, as market conditions permit. In addition, under certain circumstances, the Subsidiary Registrants may utilize equity contributions and/or loans from Southern Company.

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Bank Credit Arrangements

At September 30, 2022, the Registrants' unused committed credit arrangements with banks were as follows:

At September 30, 2022	Southern Company parent		Alabama Power		Georgia Power		Mississippi Power		Southern  Power(a)		Southern Company Gas(b)		SEGCO		Southern Company
	(in millions)
Unused committed credit	$	1,998	$	1,250	$	1,726	$	275	$	569	$	1,748	$	30	$	7,596

(a)At September 30, 2022, Southern Power also had two continuing letters of credit facilities for standby letters of credit, of which $16 million was unused. Southern Power's subsidiaries are not parties to its bank credit arrangements or letter of credit facilities.

(b)Includes $798 million and $950 million at Southern Company Gas Capital and Nicor Gas, respectively.

Subject to applicable market conditions, the Registrants, Nicor Gas, and SEGCO expect to renew or replace their bank credit arrangements as needed, prior to expiration. In connection therewith, the Registrants, Nicor Gas, and SEGCO may extend the maturity dates and/or increase or decrease the lending commitments thereunder.

A portion of the unused credit with banks is allocated to provide liquidity support to the revenue bonds of the traditional electric operating companies and the commercial paper programs of the Registrants, Nicor Gas, and SEGCO. The amount of variable rate revenue bonds of the traditional electric operating companies outstanding requiring liquidity support at September 30, 2022 was approximately $1.4 billion (comprised of approximately $789 million at Alabama Power, $619 million at Georgia Power, and $34 million at Mississippi Power). In addition, at September 30, 2022, Georgia Power had approximately $288 million of fixed rate revenue bonds outstanding that are required to be remarketed within the next 12 months.

See Note 8 to the financial statements in Item 8 of the Form 10-K and Note (F) to the Condensed Financial Statements herein under "Bank Credit Arrangements" for additional information.

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Short-term Borrowings

The Registrants, Nicor Gas, and SEGCO make short-term borrowings primarily through commercial paper programs that have the liquidity support of the committed bank credit arrangements described above. Southern Power's subsidiaries are not issuers or obligors under its commercial paper program. Commercial paper and short-term bank term loans are included in notes payable in the balance sheets. Details of the Registrants' short-term borrowings were as follows:

	Short-term Debt at September 30, 2022				Short-term Debt During the Period(*)
	Amount Outstanding		Weighted Average Interest Rate		Average Amount Outstanding		Weighted Average Interest Rate		Maximum Amount Outstanding
	(in millions)				(in millions)				(in millions)
Southern Company	$	1,398	3.5	%	$	1,859	2.5	%	$	2,809
Alabama Power	—		—		—		—		—
Georgia Power	814		3.4		443		2.7		815
Mississippi Power	—		—		3		2.1		23
Southern Power	208		3.6		199		2.5		306
Southern Company Gas:
Southern Company Gas Capital	$	35	3.4	%	$	347	2.5	%	$	547
Nicor Gas	325		3.5		218		2.7		330
Southern Company Gas Total	$	360	3.5	%	$	565	2.6	%

(*)Average and maximum amounts are based upon daily balances during the three-month period ended September 30, 2022.

Analysis of Cash Flows

Net cash flows provided from (used for) operating, investing, and financing activities for the nine months ended September 30, 2022 and 2021 are presented in the following table:

Net cash provided from (used for):	Southern Company		Alabama Power		Georgia Power		Mississippi Power		Southern Power		Southern Company Gas
	(in millions)
Nine Months Ended September 30, 2022
Operating activities	$	5,017	$	1,072	$	1,482	$	279	$	827	$	1,532
Investing activities	(5,952)		(1,641)		(2,653)		(219)		(128)		(1,239)
Financing activities	1,119		967		1,171		(72)		(603)		(313)
Nine Months Ended September 30, 2021
Operating activities	$	5,081	$	1,419	$	2,350	$	159	$	750	$	757
Investing activities	(5,850)		(1,335)		(2,572)		(182)		(753)		(966)
Financing activities	1,802		56		505		130		33		222

Fluctuations in cash flows from financing activities vary from year to year based on capital needs and the maturity or redemption of securities.

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Southern Company

Net cash provided from operating activities decreased $64 million for the nine months ended September 30, 2022 as compared to the corresponding period in 2021 primarily due to decreased fuel cost recovery at the traditional electric operating companies and the timing of customer receivable collections, largely offset by the timing of vendor payments and increased natural gas cost recovery at the natural gas distribution utilities.

The net cash used for investing activities for the nine months ended September 30, 2022 was primarily related to the Subsidiary Registrants' construction programs.

The net cash provided from financing activities for the nine months ended September 30, 2022 was primarily related to net issuances of long-term debt and the issuance of common stock to settle the purchase contracts entered into as part of the 2019 Series A Equity Units (Equity Units) (as discussed in Note (F) to the Condensed Financial Statements under "Equity Units" herein), partially offset by common stock dividend payments.

Alabama Power

Net cash provided from operating activities decreased $347 million for the nine months ended September 30, 2022 as compared to the corresponding period in 2021 primarily due to decreased fuel cost recovery, the timing of customer receivable collections, and fossil fuel stock purchases, partially offset by the timing of vendor payments.

The net cash used for investing activities for the nine months ended September 30, 2022 was primarily related to gross property additions, including approximately $182 million related to the construction of Plant Barry Unit 8 and $171 million related to the acquisition of the Calhoun Generating Station. See Notes (B) and (K) to the Condensed Financial Statements under "Alabama Power" herein for additional information.

The net cash provided from financing activities for the nine months ended September 30, 2022 was primarily related to the net issuance of long-term debt and capital contributions from Southern Company, partially offset by common stock dividend payments.

Georgia Power

Net cash provided from operating activities decreased $868 million for the nine months ended September 30, 2022 as compared to the corresponding period in 2021 primarily due to decreased fuel cost recovery and the timing of customer receivable collections and fossil fuel stock purchases, partially offset by the timing of vendor payments.

The net cash used for investing activities for the nine months ended September 30, 2022 was primarily related to gross property additions, including a total of approximately $820 million related to the construction of Plant Vogtle Units 3 and 4. See Note (B) to the Condensed Financial Statements under "Georgia Power – Nuclear Construction" herein for additional information on construction of Plant Vogtle Units 3 and 4.

The net cash provided from financing activities for the nine months ended September 30, 2022 was primarily related to net issuances of senior notes, a net increase in short-term borrowings, and capital contributions from Southern Company, partially offset by common stock dividend payments.

Mississippi Power

Net cash provided from operating activities increased $120 million for the nine months ended September 30, 2022 as compared to the corresponding period in 2021 primarily due to the timing of vendor payments, partially offset by the timing of customer receivable collections.

The net cash used for investing activities for the nine months ended September 30, 2022 was primarily related to gross property additions.

The net cash used for financing activities for the nine months ended September 30, 2022 was primarily related to common stock dividend payments, partially offset by capital contributions from Southern Company.

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Southern Power

Net cash provided from operating activities increased $77 million for the nine months ended September 30, 2022 as compared to the corresponding period in 2021 primarily due to an increase in wholesale revenues driven by higher market prices of energy and the timing of vendor payments, partially offset by the timing of customer receivable collections.

The net cash used for investing activities for the nine months ended September 30, 2022 was primarily related to construction payments. See Note (K) to the Condensed Financial Statements under "Southern Power" herein for additional information.

The net cash used for financing activities for the nine months ended September 30, 2022 was primarily related to the repayment of senior notes at maturity, common stock dividend payments, net capital distributions to noncontrolling interests, and a decrease in commercial paper borrowings, partially offset by a capital contribution from Southern Company.

Southern Company Gas

Net cash provided from operating activities increased $775 million for the nine months ended September 30, 2022 as compared to the corresponding period in 2021 primarily due to increased natural gas cost recovery and the timing of vendor payments, partially offset by an increase in natural gas for sale as a result of higher prices for natural gas purchases.

The net cash used for investing activities for the nine months ended September 30, 2022 was primarily related to construction of transportation and distribution assets recovered through base rates and infrastructure investment recovered through replacement programs at gas distribution operations.

The net cash used for financing activities for the nine months ended September 30, 2022 was primarily related to common stock dividend payments and net repayments of short-term debt, partially offset by net issuances of long-term debt and capital contributions from Southern Company.

Significant Balance Sheet Changes

Southern Company

Significant balance sheet changes for the nine months ended September 30, 2022 included:

•an increase of $3.2 billion in total stockholders' equity primarily related to net income and the issuance of common stock to settle the purchase contracts entered into as part of the Equity Units (as discussed in Note (F) to the Condensed Financial Statements under "Equity Units" herein), partially offset by common stock dividend payments;

•an increase of $2.4 billion in total property, plant, and equipment primarily related to the Subsidiary Registrants' construction programs, net of the reclassification of $0.6 billion to other regulatory assets and $0.4 billion to regulatory assets associated with AROs upon Georgia Power's retirement of Plant Wansley Units 1 and 2;

•an increase of $1.4 billion in long-term debt (including securities due within one year) related to new issuances;

•an increase of $1.3 billion in deferred under recovered fuel clause revenues due to higher fuel and purchased power costs at Georgia Power;

•an increase of $1.1 billion in accumulated deferred income taxes primarily related to the expected utilization of ITCs in 2022 and the increase in under recovered fuel clause revenues;

•an increase of $0.9 billion in accounts payable primarily related to the timing of vendor payments;

•an increase of $0.7 billion in regulatory assets associated with AROs, net of the reclassification from property, plant, and equipment discussed above, primarily due to a decrease of $0.5 billion in the fair value of the investments held in Alabama Power's and Georgia Power's nuclear decommissioning trusts; and

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•an increase of $0.6 billion in other deferred credits and liabilities primarily due to changes in the fair value of interest rate and foreign currency derivatives.

See "Financing Activities" herein and Notes (B), (F), (G), (I), and (J) to the Condensed Financial Statements herein for additional information.

Alabama Power

Significant balance sheet changes for the nine months ended September 30, 2022 included:

•an increase of $1.2 billion in common stockholder's equity primarily due to capital contributions from Southern Company, partially offset by dividends paid to Southern Company;

•an increase of $1.1 billion in long-term debt (including securities due within one year) primarily due to net issuances of senior notes;

•an increase of $0.8 billion in total property, plant, and equipment primarily related to the construction of Plant Barry Unit 8, the acquisition of the Calhoun Generating Station, and construction of distribution and transmission facilities;

•an increase of $0.4 billion in cash and cash equivalents, as discussed further under "Analysis of Cash Flows – Alabama Power" herein; and

•an increase of $0.4 billion in regulatory assets associated with AROs primarily due to a decrease of $0.3 billion in the fair value of the investments held in Alabama Power's nuclear decommissioning trust.

See "Financing Activities – Alabama Power" herein and Notes (I) and (K) to the Condensed Financial Statements herein for additional information.

Georgia Power

Significant balance sheet changes for the nine months ended September 30, 2022 included:

•an increase of $1.4 billion in common stockholder's equity primarily due to net income and capital contributions from Southern Company, partially offset by dividends paid to Southern Company;

•an increase of $1.3 billion in deferred under recovered fuel clause revenues due to higher fuel and purchased power costs;

•an increase of $1.1 billion in total property, plant, and equipment primarily related to the construction of generation, transmission, and distribution facilities, including $956 million for Plant Vogtle Units 3 and 4, net of $0.6 billion reclassified to other regulatory assets and $0.4 billion reclassified to regulatory assets associated with AROs due to the retirement of Plant Wansley Units 1 and 2 as approved in Georgia Power's 2022 IRP;

•an increase of $0.9 billion in long-term debt (including securities due within one year) primarily due to net issuances of senior notes;

•an increase of $0.8 billion in notes payable due to an increase in commercial paper and short-term bank debt;

•an increase of $0.6 billion in accumulated deferred income taxes primarily due to the increase in under recovered fuel clause revenues and the expected reduction in federal and state credit carryforward balances in 2022;

•an increase of $0.3 billion in regulatory assets associated with AROs, net of the reclassification from property, plant, and equipment discussed above, primarily due to a decrease in the fair value of the investments held in Georgia Power's nuclear decommissioning trust;

•an increase of $0.3 billion in other accounts payable due to the timing of vendor payments; and

•an increase of $0.3 billion in customer accounts receivable primarily due to higher customer usage and the timing of collections.

See "Financing Activities – Georgia Power" herein and Note (B) under "Georgia Power – Nuclear Construction" and " – Integrated Resource Plans" and Note (I) to the Condensed Financial Statements herein for additional information.

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Mississippi Power

Significant balance sheet changes for the nine months ended September 30, 2022 included:

•an increase of $79 million in common stockholder's equity related to net income and capital contributions from Southern Company, partially offset by dividends paid to Southern Company and

•an increase of $66 million in total property, plant, and equipment primarily related to the construction of transmission and distribution facilities.

Southern Power

Significant balance sheet changes for the nine months ended September 30, 2022 included:

•a decrease of $756 million in long-term debt (including securities due within one year) primarily due to the redemption of senior notes;

•a decrease of $289 million in total property, plant, and equipment primarily due to continued depreciation of assets;

•an increase of $282 million in common stockholder's equity primarily due to capital contributions from Southern Company and net income, partially offset by dividends paid to Southern Company and distributions to noncontrolling interests; and

•increases of $194 million in accrued taxes and $100 million in accumulated deferred income tax liabilities primarily related to the expected utilization of ITCs in 2022.

See "Financing Activities – Southern Power" herein and Note (G) to the Condensed Financial Statements herein for additional information.

Southern Company Gas

Significant balance sheet changes for the nine months ended September 30, 2022 included:

•a decrease of $849 million in notes payable due to repayments of short-term debt and commercial paper borrowings;

•an increase of $760 million in total property, plant, and equipment primarily related to the construction of transportation and distribution assets and additional infrastructure investment;

•an increase of $522 million in common stockholder's equity related to net income and capital contributions from Southern Company, partially offset by dividends paid to Southern Company;

•an increase of $459 million in long-term debt (including securities due with one year) due to issuances of senior notes and first mortgage bonds, partially offset by the repayment of medium-term notes and adjustments related to fair value hedges;

•a decrease of $313 million in total accounts receivable primarily relating to decreases of $166 million in customer accounts receivable and $156 million in unbilled revenues as a result of seasonality;

•an increase of $231 million in other accounts payable due to seasonality and the timing of vendor payments; and

•a decrease of $221 million in other regulatory assets, deferred primarily due to a $207 million reduction in natural gas cost under recovery.

See "Financing Activities – Southern Company Gas" herein and Note (B) to the Condensed Financial Statements herein for additional information.

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Financing Activities

The following table outlines the Registrants' long-term debt financing activities for the first nine months of 2022:

	Issuances				Maturities and Redemptions
Company	Senior Notes		Other Long-Term Debt		Senior Notes		Revenue Bonds		Other Long-Term Debt(a)
	(in millions)
Alabama Power	$	1,700	$	—	$	550	$	—	$	1
Georgia Power	1,500		—		400		53		201
Southern Power	—		—		677		—		—
Southern Company Gas	500		100		—		—		46
Other	—		—		—		—		8
Elimination(b)	—		—		—		—		(4)
Southern Company	$	3,700	$	100	$	1,627	$	53	$	252

(a)Includes reductions in finance lease obligations resulting from cash payments under finance leases and, for Georgia Power, principal amortization payments totaling $66 million for FFB borrowings. See Note 8 to the financial statements under "Long-term Debt – DOE Loan Guarantee Borrowings" in Item 8 of the Form 10-K for additional information.

(b)Represents reductions in affiliate finance lease obligations at Georgia Power, which are eliminated in Southern Company's consolidated financial statements.

Except as otherwise described herein, the Registrants used the proceeds of debt issuances for their redemptions and maturities shown in the table above, to repay short-term indebtedness, and for general corporate purposes, including working capital. The Subsidiary Registrants also used the proceeds for their construction programs.

In addition to any financings that may be necessary to meet capital requirements and contractual obligations, the Registrants plan to continue, when economically feasible, a program to retire higher-cost securities and replace these obligations with lower-cost capital if market conditions permit.

Southern Company

During the first nine months of 2022, Southern Company issued approximately 3.5 million shares of common stock primarily through employee equity compensation plans and received proceeds of approximately $78 million.

In May 2022, Southern Company remarketed its Series 2019A and Series 2019B Remarketable Junior Subordinated Notes pursuant to the terms of its 2019 Series A Equity Units (Equity Units). Southern Company did not receive any proceeds from the remarketing, which were used to purchase a portfolio of treasury securities maturing on July 28, 2022. On August 1, 2022, the proceeds from this portfolio were used to settle the purchase contracts entered into as part of the Equity Units and Southern Company issued approximately 25.2 million shares of common stock and received proceeds of $1.725 billion. See Note (F) to the Condensed Financial Statements herein under "Equity Units" for additional information.

In March 2022, Southern Company entered into a $400 million short-term floating rate bank loan bearing interest based on term SOFR, which it repaid in August 2022.

In May 2022, Southern Company borrowed $100 million pursuant to a short-term uncommitted bank credit arrangement bearing interest at a mutually agreed upon rate, which it repaid in August 2022.

Subsequent to September 30, 2022, Southern Company issued $500 million aggregate principal amount of Series 2022A 5.15% Senior Notes due October 6, 2025 and $500 million aggregate principal amount of Series 2022B 5.70% Senior Notes due October 15, 2032.

Alabama Power

In February 2022, Alabama Power redeemed all $550 million aggregate principal amount of its Series 2017A 2.45% Senior Notes due March 30, 2022.

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AND RESULTS OF OPERATIONS (Continued)

In March 2022, Alabama Power issued $700 million aggregate principal amount of Series 2022A 3.05% Senior Notes due March 15, 2032.

In June 2022, Alabama Power redeemed the following series of preferred stock: 4.20% Preferred Stock, Par Value $100 Per Share, 4.60% Preferred Stock, Par Value $100 Per Share, 4.92% Preferred Stock, Par Value $100 Per Share, 4.52% Preferred Stock, Par Value $100 Per Share, 4.64% Preferred Stock, Par Value $100 Per Share, and 4.72% Preferred Stock, Par Value $100 Per Share. The redemption price per share for each series of preferred stock equaled the redemption price per share provided in Note 8 to the financial statements under "Outstanding Classes of Capital Stock – Alabama Power" in Item 8 of the Form 10-K, plus accrued and unpaid dividends to the redemption date.

In August 2022, Alabama Power issued $550 million aggregate principal amount of Series 2022B 3.75% Senior Notes due September 1, 2027 and $450 million aggregate principal amount of Series 2022C 3.94% Senior Notes due September 1, 2032. An amount equal to the net proceeds of the Series 2022C Senior Notes will be allocated to finance or refinance, in whole or in part, one or more renewable energy projects and/or expenditures and programs related to enabling opportunities for diverse and small businesses/suppliers.

Subsequent to September 30, 2022, Alabama Power redeemed all of its 5.00% Class A Preferred Stock, Par Value $1 Per Share (Stated Capital $25 Per Share) at a redemption price of $25.00 per share plus accrued and unpaid dividends to the redemption date.

Georgia Power

In January 2022, Georgia Power redeemed all $400 million aggregate principal amount of its Series 2012B 2.85% Senior Notes due May 15, 2022.

In February 2022, Georgia Power borrowed $250 million pursuant to a short-term uncommitted bank credit arrangement, which it repaid in May 2022.

In each of March and April 2022, Georgia Power entered into a $200 million short-term floating rate bank loan bearing interest based on term SOFR.

In May 2022, Georgia Power issued $700 million aggregate principal amount of Series 2022A 4.70% Senior Notes due May 15, 2032 and $800 million aggregate principal amount of Series 2022B 5.125% Senior Notes due May 15, 2052. An amount equal to the net proceeds of the Series 2022B Senior Notes will be allocated to finance or refinance, in whole or in part, one or more renewable energy projects and/or expenditures and programs related to enabling opportunities for diverse and small businesses/suppliers.

In May 2022, Georgia Power repaid its $125 million long-term bank loan that was scheduled to mature in June 2022.

In July 2022, Georgia Power repaid at maturity $53 million aggregate principal amount of Development Authority of Floyd County (Georgia) Pollution Control Revenue Bonds (Georgia Power Company Plant Hammond Project), First Series 2010.

Subsequent to September 30, 2022, Georgia Power borrowed $250 million pursuant to a short-term uncommitted bank credit arrangement bearing interest at a mutually agreed upon rate and payable on demand.

Mississippi Power

In June 2022, Mississippi Power repaid $20 million, which was borrowed in March 2022 under its $125 million revolving credit arrangement.

Southern Power

In June 2022, Southern Power repaid at maturity €600 million (approximately $677 million) aggregate principal amount of Series 2016A 1.00% Senior Notes.

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MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION

AND RESULTS OF OPERATIONS (Continued)

Subsequent to September 30, 2022, Southern Power borrowed $100 million pursuant to a short-term uncommitted bank credit arrangement bearing interest at a mutually agreed upon rate and payable on demand.

Southern Company Gas

During the first quarter 2022, Nicor Gas repaid one of its three $100 million short-term floating rate bank loans entered into in March 2021. Nicor Gas also repaid $50 million of one of the other loans and increased the borrowing amount under the other loan to $150 million. In addition, both loans were renewed and amended to extend the maturity dates and change the interest rate provisions so the loans bear interest based on term SOFR.

During the second quarter 2022, Atlanta Gas Light repaid at maturity $46 million aggregate principal amount of medium-term notes with a weighted average interest rate of 8.63%.

In August 2022, Nicor Gas issued in a private placement $100 million aggregate principal amount of 2.21% Series First Mortgage Bonds due August 31, 2032.

In September 2022, Southern Company Gas Capital issued $500 million aggregate principal amount of Series 2022A 5.15% Senior Notes due September 15, 2032, guaranteed by Southern Company Gas.

Credit Rating Risk

At September 30, 2022, the Registrants did not have any credit arrangements that would require material changes in payment schedules or terminations as a result of a credit rating downgrade.

There are certain contracts that could require collateral, but not accelerated payment, in the event of a credit rating change of certain Registrants to BBB and/or Baa2 or below. These contracts are primarily for physical electricity and natural gas purchases and sales, fuel purchases, fuel transportation and storage, energy price risk management, transmission, interest rate management, and, for Georgia Power, construction of new generation at Plant Vogtle Units 3 and 4.

The maximum potential collateral requirements under these contracts at September 30, 2022 were as follows:

Credit Ratings	Southern Company(*)		Alabama Power		Georgia Power		Mississippi Power		Southern Power(*)		Southern Company Gas
	(in millions)
At BBB and/or Baa2	$	33	$	1	$	—	$	—	$	32	$	—
At BBB- and/or Baa3	395		2		61		1		333		—
At BB+ and/or Ba1 or below	2,042		409		907		306		1,205		5

(*)Southern Power has PPAs that could require collateral, but not accelerated payment, in the event of a downgrade of Southern Power's credit. The PPAs require credit assurances without stating a specific credit rating. The amount of collateral required would depend upon actual losses resulting from a credit downgrade. Southern Power had $106 million of cash collateral posted related to PPA requirements at September 30, 2022.

The amounts in the previous table for the traditional electric operating companies and Southern Power include certain agreements that could require collateral if either Alabama Power or Georgia Power has a credit rating change to below investment grade. Generally, collateral may be provided by a Southern Company guaranty, letter of credit, or cash. Additionally, a credit rating downgrade could impact the ability of the Registrants to access capital markets and would be likely to impact the cost at which they do so.

On February 22, 2022, Fitch downgraded the senior unsecured long-term debt rating of Georgia Power to BBB+ from A- with a stable outlook.

Also on February 22, 2022, Fitch revised the ratings outlook of Southern Company, Alabama Power, Southern Power, Nicor Gas, and SEGCO to negative from stable.

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Item 3. Quantitative and Qualitative Disclosures About Market Risk.

During the nine months ended September 30, 2022, there were no material changes to Southern Company's, Alabama Power's, Georgia Power's, Mississippi Power's, Southern Power's, or Southern Company Gas' disclosures about market risk. For an in-depth discussion of each Registrant's market risks, see MANAGEMENT'S DISCUSSION AND ANALYSIS – FINANCIAL CONDITION AND LIQUIDITY – "Market Price Risk" in Item 7 of the Form 10-K and Note 1 to the financial statements under "Financial Instruments" and Notes 13 and 14 to the financial statements in Item 8 of the Form 10-K, as well as Notes (I) and (J) to the Condensed Financial Statements herein.

Item 4. Controls and Procedures.

(a)Evaluation of disclosure controls and procedures.

As of the end of the period covered by this Quarterly Report on Form 10-Q, Southern Company, Alabama Power, Georgia Power, Mississippi Power, Southern Power, and Southern Company Gas conducted separate evaluations under the supervision and with the participation of each company's management, including the Chief Executive Officer and the Chief Financial Officer, of the effectiveness of the design and operation of the disclosure controls and procedures (as defined in Sections 13a-15(e) and 15d-15(e) of the Securities Exchange Act of 1934, as amended). Based upon these evaluations, the Chief Executive Officer and the Chief Financial Officer, in each case, concluded that the disclosure controls and procedures are effective.

(b)    Changes in internal controls over financial reporting.

In July 2022, Southern Company, Alabama Power, Georgia Power, Mississippi Power, Southern Power, and Southern Company Gas implemented a new human resources and payroll application. In August 2022, Southern Company Gas implemented new financial accounting and reporting applications. As a result of these implementations, there were certain changes to processes and procedures, which resulted in changes to Southern Company's, Alabama Power's, Georgia Power's, Mississippi Power's, Southern Power's, and Southern Company Gas' internal control over financial reporting (as such term is defined in Rules 13a-15(f) and 15d-15(f) under the Securities Exchange Act of 1934, as amended). These changes included automation of certain previously manual controls. These changes in internal controls were not made in response to any identified internal control deficiency.

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PART II — OTHER INFORMATION

Item 1. Legal Proceedings.

See the Notes to the Condensed Financial Statements herein for information regarding certain legal and administrative proceedings in which the Registrants are involved. The Registrants' threshold for disclosing material environmental legal proceedings involving a governmental authority where potential monetary sanctions are involved is $1 million.

Item 1A. Risk Factors.

See RISK FACTORS in Item 1A of the Form 10-K for a discussion of the risk factors of the Registrants. There have been no material changes to these risk factors from those previously disclosed in the Form 10-K.

Item 6. Exhibits.

The exhibits below with an asterisk (*) preceding the exhibit number are filed herewith. The remaining exhibits have previously been filed with the SEC and are incorporated herein by reference. The exhibits marked with a pound sign (#) are management contracts or compensatory plans or arrangements.

	(4) Instruments Describing Rights of Security Holders, Including Indentures
	Southern Company
	(a)1	-	Twenty-Fifth Supplemental Indenture to Senior Note Indenture dated as of October 6, 2022, providing for the issuance of the Series 2022A 5.15% Senior Notes due October 6, 2025. (Designated in Form 8-K dated October 3, 2022, File No. 1-3526, as Exhibit 4.4(a).)
	(a)2	-	Twenty-Sixth Supplemental Indenture to Senior Note Indenture dated as of October 6, 2022, providing for the issuance of the Series 2022B 5.70% Senior Notes due October 15, 2032. (Designated in Form 8-K dated October 3, 2022, File No. 1-3526, as Exhibit 4.4(b).)
	Alabama Power
	(b)1	-	Sixty-Fourth Supplemental Indenture to Senior Note Indenture dated as of August 12, 2022 providing for the issuance of the Series 2022B 3.75% Senior Notes due September 1, 2027. (Designated in Form 8-K dated August 9, 2022, File No. 1-3164, as Exhibit 4.6(a).)
	(b)2	-	Sixty-Fifth Supplemental Indenture to Senior Note Indenture dated as of August 12, 2022 providing for the issuance of the Series 2022C 3.94% Senior Notes due September 1, 2032. (Designated in Form 8-K dated August 9, 2022, File No. 1-3164, as Exhibit 4.6(b).)
	Southern Company Gas
	(f)1	-	Southern Company Gas Capital Corporation's Series 2022A 5.15% Senior Notes due September 30, 2032, Form of Note. (Designated in Form 8-K dated September 6, 2022, File No. 1-14174, as Exhibit 4.1.)
	(f)2	-	Southern Company Gas' Guarantee related to the Series 2022A 5.15% Senior Notes due September 30, 2032, Form of Guarantee. (Designated in Form 8-K dated September 6, 2022, File No. 1-14174, as Exhibit 4.3.)
	(10) Material Contracts
	Southern Company
#	(a)1	-	Amended and Restated Southern Company Change In Control Benefits Protection Plan, effective August 15, 2022. (Designated in Form 8-K dated August 15, 2022, File No. 1-3526, as Exhibit 10.1.)
#	(a)2	-	Southern Company Senior Executive Change in Control Severance Plan, Amended and Restated effective August 15, 2022. (Designated in Form 8-K dated August 15, 2022, File No. 1-3526, as Exhibit 10.2.)

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#	*	(a)3	-	Southern Company Executive Change In Control Severance Plan, Amended and Restated effective August 15, 2022.
#	*	(a)4	-	Deferred Compensation Agreement between Southern Company, SCS, Georgia Power, and Christopher C. Womack, effective December 10, 2008.
		Alabama Power
#		(b)1	-	Amended and Restated Southern Company Change In Control Benefits Protection Plan, effective August 15, 2022. See Exhibit 10(a)1 herein.
#		(b)2	-	Southern Company Senior Executive Change in Control Severance Plan, Amended and Restated effective August 15, 2022. See Exhibit 10(a)2 herein.
#		(b)3	-	Southern Company Executive Change In Control Severance Plan, Amended and Restated effective August 15, 2022. See Exhibit 10(a)3 herein.
		(24) Power of Attorney and Resolutions
		Southern Company
		(a)	-	Power of Attorney and resolution. (Designated in the Form 10-K for the year ended December 31, 2021, File No. 1-3526 as Exhibit 24(a)1.)
		Alabama Power
		(b)	-	Power of Attorney and resolution. (Designated in the Form 10-K for the year ended December 31, 2021, File No. 1-3164 as Exhibit 24(b)1.)
		Georgia Power
		(c)	-	Power of Attorney and resolution. (Designated in the Form 10-K for the year ended December 31, 2021, File No. 1-6468 as Exhibit 24(c)1.)
		Mississippi Power
		(d)	-	Power of Attorney and resolution. (Designated in the Form 10-K for the year ended December 31, 2021, File No. 001-11229 as Exhibit 24(d)1.)
		Southern Power
		(e)1	-	Power of Attorney and resolution. (Designated in the Form 10-K for the year ended December 31, 2021, File No. 001-37803 as Exhibit 24(e)1.)
		(e)2	-	Power of Attorney of Gary Kerr. (Designated in the Form 10-Q for the quarter ended June 30, 2022, File No. 001-37803 as Exhibit 24(e)2.)
		Southern Company Gas
		(f)	-	Power of Attorney and resolution. (Designated in the Form 10-K for the year ended December 31, 2021, File No. 1-14174 as Exhibit 24(f)1.)
		(31) Section 302 Certifications
		Southern Company
	*	(a)1	-	Certificate of Southern Company's Chief Executive Officer required by Section 302 of the Sarbanes-Oxley Act of 2002.
	*	(a)2	-	Certificate of Southern Company's Chief Financial Officer required by Section 302 of the Sarbanes-Oxley Act of 2002.
		Alabama Power
	*	(b)1	-	Certificate of Alabama Power's Chief Executive Officer required by Section 302 of the Sarbanes-Oxley Act of 2002.
	*	(b)2	-	Certificate of Alabama Power's Chief Financial Officer required by Section 302 of the Sarbanes-Oxley Act of 2002.

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	Georgia Power
*	(c)1	-	Certificate of Georgia Power's Chief Executive Officer required by Section 302 of the Sarbanes-Oxley Act of 2002.
*	(c)2	-	Certificate of Georgia Power's Chief Financial Officer required by Section 302 of the Sarbanes-Oxley Act of 2002.
	Mississippi Power
*	(d)1	-	Certificate of Mississippi Power's Chief Executive Officer required by Section 302 of the Sarbanes-Oxley Act of 2002.
*	(d)2	-	Certificate of Mississippi Power's Chief Financial Officer required by Section 302 of the Sarbanes-Oxley Act of 2002.
	Southern Power
*	(e)1	-	Certificate of Southern Power Company's Chief Executive Officer required by Section 302 of the Sarbanes-Oxley Act of 2002.
*	(e)2	-	Certificate of Southern Power Company's Chief Financial Officer required by Section 302 of the Sarbanes-Oxley Act of 2002.
	Southern Company Gas
*	(f)1	-	Certificate of Southern Company Gas' Chief Executive Officer required by Section 302 of the Sarbanes-Oxley Act of 2002.
*	(f)2	-	Certificate of Southern Company Gas' Chief Financial Officer required by Section 302 of the Sarbanes-Oxley Act of 2002.
	(32) Section 906 Certifications
	Southern Company
*	(a)	-	Certificate of Southern Company's Chief Executive Officer and Chief Financial Officer required by Section 906 of the Sarbanes-Oxley Act of 2002.
	Alabama Power
*	(b)	-	Certificate of Alabama Power's Chief Executive Officer and Chief Financial Officer required by Section 906 of the Sarbanes-Oxley Act of 2002.
	Georgia Power
*	(c)	-	Certificate of Georgia Power's Chief Executive Officer and Chief Financial Officer required by Section 906 of the Sarbanes-Oxley Act of 2002.
	Mississippi Power
*	(d)	-	Certificate of Mississippi Power's Chief Executive Officer and Chief Financial Officer required by Section 906 of the Sarbanes-Oxley Act of 2002.
	Southern Power
*	(e)	-	Certificate of Southern Power Company's Chief Executive Officer and Chief Financial Officer required by Section 906 of the Sarbanes-Oxley Act of 2002.
	Southern Company Gas
*	(f)	-	Certificate of Southern Company Gas' Chief Executive Officer and Chief Financial Officer required by Section 906 of the Sarbanes-Oxley Act of 2002.

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	(101) Interactive Data Files
*	INS	-	XBRL Instance Document – The instance document does not appear in the interactive data file because its XBRL tags are embedded within the inline XBRL document.
*	SCH	-	XBRL Taxonomy Extension Schema Document
*	CAL	-	XBRL Taxonomy Calculation Linkbase Document
*	DEF	-	XBRL Definition Linkbase Document
*	LAB	-	XBRL Taxonomy Label Linkbase Document
*	PRE	-	XBRL Taxonomy Presentation Linkbase Document
	(104) Cover Page Interactive Data File
*			Formatted as inline XBRL with applicable taxonomy extension information contained in Exhibits 101.

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THE SOUTHERN COMPANY

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized. The signature of the undersigned company shall be deemed to relate only to matters having reference to such company and any subsidiaries thereof included in such company's report.

	THE SOUTHERN COMPANY
By	Thomas A. Fanning
	Chairman, President, and Chief Executive Officer
	(Principal Executive Officer)
By	Daniel S. Tucker
	Executive Vice President and Chief Financial Officer
	(Principal Financial Officer)
By	/s/ Melissa K. Caen
	(Melissa K. Caen, Attorney-in-fact)

Date: October 26, 2022

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ALABAMA POWER COMPANY

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized. The signature of the undersigned company shall be deemed to relate only to matters having reference to such company and any subsidiaries thereof included in such company's report.

	ALABAMA POWER COMPANY
By	Mark A. Crosswhite
	Chairman, President, and Chief Executive Officer
	(Principal Executive Officer)
By	Philip C. Raymond
	Executive Vice President, Chief Financial Officer, and Treasurer
	(Principal Financial Officer)
By	/s/ Melissa K. Caen
	(Melissa K. Caen, Attorney-in-fact)

Date: October 26, 2022

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GEORGIA POWER COMPANY

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized. The signature of the undersigned company shall be deemed to relate only to matters having reference to such company and any subsidiaries thereof included in such company's report.

	GEORGIA POWER COMPANY
By	Christopher C. Womack
	Chairman, President, and Chief Executive Officer
	(Principal Executive Officer)
By	Aaron P. Abramovitz
	Executive Vice President, Chief Financial Officer, and Treasurer
	(Principal Financial Officer)
By	/s/ Melissa K. Caen
	(Melissa K. Caen, Attorney-in-fact)

Date: October 26, 2022

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MISSISSIPPI POWER COMPANY

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized. The signature of the undersigned company shall be deemed to relate only to matters having reference to such company and any subsidiaries thereof included in such company's report.

	MISSISSIPPI POWER COMPANY
By	Anthony L. Wilson
	Chairman, President, and Chief Executive Officer
	(Principal Executive Officer)
By	Moses H. Feagin
	Senior Vice President, Chief Financial Officer, and Treasurer
	(Principal Financial Officer)
By	/s/ Melissa K. Caen
	(Melissa K. Caen, Attorney-in-fact)

Date: October 26, 2022

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SOUTHERN POWER COMPANY

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized. The signature of the undersigned company shall be deemed to relate only to matters having reference to such company and any subsidiaries thereof included in such company's report.

	SOUTHERN POWER COMPANY
By	Christopher Cummiskey
	Chairman and Chief Executive Officer
	(Principal Executive Officer)
By	Gary Kerr
	Senior Vice President, Chief Financial Officer, and Treasurer
	(Principal Financial Officer)
By	/s/ Melissa K. Caen
	(Melissa K. Caen, Attorney-in-fact)

Date: October 26, 2022

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SOUTHERN COMPANY GAS

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized. The signature of the undersigned company shall be deemed to relate only to matters having reference to such company and any subsidiaries thereof included in such company's report.

	SOUTHERN COMPANY GAS
By	Kimberly S. Greene
	Chairman, President, and Chief Executive Officer
	(Principal Executive Officer)
By	David P. Poroch
	Executive Vice President, Chief Financial Officer, and Treasurer
	(Principal Financial Officer)
By	/s/ Melissa K. Caen
	(Melissa K. Caen, Attorney-in-fact)

Date: October 26, 2022

168

EX-10.A3

Exhibit 10(a)3

SOUTHERN COMPANY

EXECUTIVE CHANGE IN

CONTROL SEVERANCE PLAN

AMENDED AND RESTATED

SOUTHERN COMPANY

EXECUTIVE CHANGE IN

CONTROL SEVERANCE PLAN

AMENDED AND RESTATED

ARTICLE I- PURPOSE AND ADOPTION OF PLAN

1.1Adoption of Plan. Southern Company Services, Inc. hereby adopts this Amended and Restated Southern Company Executive Change in Control Severance Plan effective as of the date of execution. The Plan was originally effective December 7, 1998. It was amended by a First Amendment also effective December 7, 1998, subsequently amended and restated effective July 10, 2000, May 9, 2002, May 1, 2003, January 1, 2007 and December 31, 2008, and amended effective January 1, 2010. The Plan is an unfunded “top hat” plan designed to provide certain severance benefits to a select group of management or highly compensated employees, to be paid solely from the general assets of the respective Employers.

1.2Purpose. The Plan is primarily designed to provide benefits to certain key employees of the Employers, whose employment is terminated subsequent to a change in control of Southern or their respective Participating Subsidiary.

ARTICLE II - DEFINITIONS

2.1“280G Regulations” shall have the meaning set forth in Section 3.8 hereof.

2.2“Acquiring Company” shall have the meaning set forth in Section 2.26 hereof.

2.3“Administrator” shall mean the Compensation Committee or any other committee consisting of members of the Southern Board and/or officers of Southern as may be designated by the Compensation Committee from time to time.

2.4“Annual Compensation” shall mean the sum of a Participant’s Base Salary plus the Participant’s Severance Bonus Amount.

2.5“Average Actual Payout Percentage” shall mean the average of the Short Term Bonus Plan payout percentages, as determined by the Compensation Committee (but excluding any individual performance adjustments), for the Participant’s applicable Participating Subsidiary or business unit of the Participating Subsidiary, as applicable under the Short Term Bonus Plan, in the three fiscal years ending immediately prior to the fiscal year in which occurs the Separation Date; provided, however, that in the event the applicable Participating Subsidiary was not a participant in such Short Term Bonus Plan for any one or more of such three fiscal years involved in such calculation of Average Actual Payout Percentage, such fiscal year or years, as applicable, will not be included in such Average Actual Payout Percentage calculation; and provided, further, that in the event the applicable Participant transferred employment among Participating Subsidiaries during such three fiscal years involved in such calculation of the Average Actual Payout Percentage, the calculation for such Participant or Participating Subsidiary shall be based on the three-year performance of the company that is his Participating Subsidiary immediately prior to the Separation Date.

2.6“Base Salary” shall mean a Participant’s highest annual base salary rate during the twelve (12) month period immediately preceding the date the Change in Control is Consummated.

2.7“Beneficial Ownership” shall mean beneficial ownership within the meaning of Rule 13d-3 promulgated under the Exchange Act.

2.8“Benefit Index” shall mean the Aon plc Benefit Index®, or if such index is no longer available, cannot be used, or if pursuant to Section 2.9 hereof another Benefits Consultant has been chosen by the Administrator, such other comparable index utilized by the Benefits Consultant.

2.9“Benefits Consultant” shall mean Aon plc or such other nationally recognized employee benefits consulting firm as shall be designated in writing by the Administrator upon the occurrence of a Preliminary Change in Control that would result in a Subsidiary Change in Control.

2.10“Board of Directors” shall mean the board of directors of the Company.

2.11“BPP” shall have the meaning set forth in Section 3.2(h) hereof.

2.12“Business Combination” shall mean a reorganization, merger or consolidation of Southern with another corporation or an entity treated as a corporation for United States federal income tax purposes.

2.13“Change in Control” shall mean,

(a)with respect to Southern, the occurrence of any of the following:

(i)The Consummation of an acquisition by any Person of Beneficial Ownership of 20% or more of Southern’s Voting Securities; provided, however, that for purposes of this Section 2.13(a)(i), the following acquisitions of Southern’s Voting Securities shall not constitute a Change in Control:

(A)any acquisition directly from Southern;

(B)any acquisition by Southern;

(C)any acquisition by any employee benefit plan (or related trust) sponsored or maintained by Southern or any corporation Controlled by Southern;

(D)any acquisition by a qualified pension plan or publicly held mutual fund;

(E)any acquisition by an employee of Southern or its subsidiary or affiliate, or Group composed exclusively of such employees; or

(F)any Business Combination which would not otherwise constitute a Change in Control because of the application of clauses (A), (B) and (C) of Section 2.13(a)(iii);

(ii)A change in the composition of the Southern Board whereby individuals who constitute the Incumbent Board cease for any reason to constitute at least a majority of the Southern Board; or

(iii)Consummation of a Business Combination or sale or other disposition of all or substantially all of the assets of Southern, unless, in each case, following such transaction, all of the following three conditions are met:

(A)all or substantially all of the individuals and entities who held Beneficial Ownership, respectively, of Southern’s Voting Securities immediately prior to such transaction hold Beneficial Ownership, directly or indirectly, of 65% or more of the combined voting power of the Voting Securities of the corporation surviving or resulting from such transaction, (including, without limitation, a corporation which as a result of such transaction holds Beneficial Ownership of all or substantially all of Southern’s Voting Securities or all or substantially all of Southern’s assets) (such surviving or resulting corporation to be referred to as “Surviving Company”), in substantially the same proportions as their Beneficial Ownership, immediately prior to such transaction, of Southern’s Voting Securities;

(B)no Person (excluding any corporation resulting from such transaction, any qualified pension plan, publicly held mutual fund, Group composed exclusively of Employees or employee benefit plan (or related trust) of Southern, any Southern Subsidiary

3

or Surviving Company) holds Beneficial Ownership, directly or indirectly, of 20% or more of the combined voting power of the then outstanding Voting Securities of Surviving Company except to the extent that such Beneficial Ownership existed prior to the transaction; and

(C)at least a majority of the members of the board of directors of Surviving Company were members of the Incumbent Board on the date of the execution of the initial agreement, or of the action of the Southern Board, providing for such transaction; or

(iv)Approval by the stockholders of Southern of a complete liquidation or dissolution of Southern.

(b)with respect to a Participating Subsidiary, the occurrence of any of the following, to the extent that such event does not occur (x) as part of a transaction or series of transactions that constitute a Change in Control of Southern as described in Section 2.13(a), or (y) solely as a result of a capital transaction affecting Southern’s Voting Securities (in each case, a “Subsidiary Change in Control”):

(i)The Consummation of an acquisition by any Person of Beneficial Ownership of 50% or more of the combined voting power of the then outstanding Voting Securities of a Participating Subsidiary; provided, however, that for purposes of this Section 2.13(b)(i), any acquisition by an employee of Southern or its subsidiary or affiliate, or Group composed entirely of such employees, any qualified pension plan, any publicly held mutual fund or any employee benefit plan (or related trust) sponsored or maintained by Southern or any corporation Controlled by Southern shall not constitute a Change in Control;

(ii)The Consummation of a reorganization, merger or consolidation of a Participating Subsidiary with another corporation or an entity treated as a corporation for United States federal income tax purposes (an “Participating Subsidiary Business Combination”), in each case, unless following such Participating Subsidiary Business Combination, Southern Controls the corporation surviving or resulting from such Participating Subsidiary Business Combination; or

(iii)The Consummation of the sale or other disposition of all or substantially all of the assets of a Participating Subsidiary to an entity which Southern does not Control.

2.14“COBRA Coverage” shall mean any continuation coverage to which a Participant or his dependents may be entitled pursuant to Code Section 4980B.

2.15“Code” shall mean the United States Internal Revenue Code of 1986, as amended.

2.16“Company” shall mean Southern Company Services, Inc., its successors and assigns.

2.17“Compensation Committee” shall mean the Compensation and Talent Development Committee of the Southern Board, or any successor thereto.

2.18“Consummation” shall mean the completion of the final act necessary to complete a transaction as a matter of law, including, but not limited to, any required approvals by the corporation’s shareholders and board of directors, the transfer of legal and beneficial title to securities or assets and the final approval of the transaction by any applicable domestic or foreign governments or governmental agencies.

2.19“Control” shall mean, in the case of a corporation, directly or indirectly, Beneficial Ownership of more than 50% of the combined voting power of the corporation’s Voting Securities, or in the case of any other entity, directly or indirectly, Beneficial Ownership of more than 50% of such entity’s voting equity interests.

2.20“Effective Date” shall mean the date of execution hereof.

2.21“Employee” shall mean each regular full-time or regular part-time employee of Southern or a Southern Subsidiary of Grade Levels 11 and above not covered by a collective bargaining agreement between such employee’s Participating Subsidiary (or an Employer Controlled by such Participating Subsidiary) and a union or

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other employee representative who is an employee of Southern or a Southern Subsidiary on the date the Change in Control is Consummated. The Administrator may deem one or more Employees of Southern or a particular Southern Subsidiary to be employed by another Employer for purposes of this Plan. Such action shall be in writing and shall cause such an Employee to be entitled to benefits under this Plan in the event of a Change in Control of his deemed Employer, not his Employer. Notwithstanding the above, no Employee shall participate in the Plan if, prior to a Change in Control, the Employee is entitled to, and elects to receive, benefits under any other change in control severance plan, agreement or arrangement.

2.22“Employee Outplacement Program” shall mean the program established by an Employer from time to time for the purpose of assisting Participants covered by the Plan in finding employment outside of the Employer which provides for the following services:

(a)self-assessment, career decision and goal setting;

(b)job market research and job sources;

(c)networking and interviewing skills;

(d)planning and implementation strategy;

(e)resume writing, job hunting methods and salary negotiation; and

(f)office support and job search resources.

2.23“Employer” shall mean the entity, from among Southern, the Participating Subsidiaries, and the entities Controlled by the Participating Subsidiaries, that employs the Employee.

2.24“Equity Based Bonus Plan” shall mean a plan or arrangement that provides for the grant to participants of stock options, restricted stock, stock appreciation rights, phantom stock, phantom stock appreciation rights or any other similar rights the terms of which provide a participant with the potential to receive the benefit of any increase in value of the underlying equity or notional amount (e.g., number of phantom shares) from the date of grant through a subsequent date.

2.25“Exchange Act” shall mean the Securities Exchange Act of 1934, as amended.

2.26“Good Reason” shall mean, without an Employee’s express written consent, after written notice to his Employer within ninety (90) days of the initial occurrence of the condition giving rise to Good Reason as provided herein, and after a thirty (30) day opportunity for the Employee’s Employer to cure, the continuing occurrence of any of the events described in Section 2.26 (a), (b), (c), (d) or (e), subject to Section 2.26(f). This definition of “Good Reason” is intended to constitute an involuntary separation from service as contemplated by Treasury Regulation section 1.409A-1(n)(2).

(a)Inconsistent Duties. A material and detrimental diminution in the Employee’s job title, duties and status as compared to those in effect immediately prior to the Change in Control.

(b)Reduced Compensation. A reduction of more than five percent (5%) to the aggregate amount of the following, as in effect on the day immediately preceding the day the Change in Control is Consummated: (i) the Employee’s Base Salary; (ii) the Employee’s Target Bonus under his Short Term Bonus Plan; (iii) the Employee’s Target Bonus under his Long Term Bonus Plan; and (iv) the Employee’s Target Bonus under his Equity Based Bonus Plan.

(c)Relocation. A change in the Employee’s work location to a location more than fifty (50) miles from the Employee’s work location on the day immediately preceding the day the Change in Control is Consummated; provided, however, that the acceptance, if any, by an Employee of employment at a work location which is outside the fifty mile radius set forth in this Section 2.26(c) shall not be a waiver of the Employee’s right to refuse subsequent transfer by an Employer to a location which is more than fifty (50) miles from the Employee’s principal place of residence on the day immediately preceding the day the Change in Control is Consummated, and

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such subsequent nonconsensual transfer shall be “Good Reason” under this Agreement, subject to the notice and cure provisions set forth in this Section 2.26.

(d)Retirement and Welfare Benefits. The taking of any action or the failure to take any action by the Employer that would directly or indirectly cause a Material Reduction in the Retirement and Welfare Benefits to which an Employee is entitled, as compared to the Employee’s Retirement and Welfare Benefits to which the Employee was entitled on the day immediately preceding the day the Change in Control is Consummated.

(e)Continuation of Severance Plan. Any successor to the Employer fails or refuses to assume or replace with a materially equivalent substitute the Employer’s obligations under this Plan.

(f)Subsidiary Change in Control. In the case of an Employee claiming benefits under this Plan upon a Subsidiary Change in Control, the notice and opportunity to cure described in this Section 2.26 will be deemed satisfied if (x) the Employee provides to the Administrator a copy of his written offer of employment by the acquiring company (the “Acquiring Company”) within thirty (30) days of such offer along with a written explanation describing how the terms of such offer satisfy the requirements of Section 2.26 (a), (b), (c), (d) or (e), (y) the Administrator determines that such written offer of employment satisfies the requirements of Sections 2.26 (a), (b), (c), (d) or (e) hereof upon consultation with the Benefits Consultant, and (z) the Acquiring Company does not provide an offer of employment to the Employee that cures the elements of the employment offer that satisfy the requirements of Sections 2.26 (a), (b), (c), (d) or (e) hereof within thirty (30) days following the Administrator’s determination; provided, that for purposes of Section 2.26 (a), (b), (c) and (d), the terms of the offer shall be compared to the terms of the Employee’s employment on the day the offer of employment is received from the Acquiring Company. The Administrator shall notify the Participant of its decision in accordance with the immediately preceding sentence within thirty (30) days of the Administrator’s receipt of the Participant’s written offer of employment. An Employee’s acceptance of an offer of employment with the Acquiring Company shall operate as a waiver such Employee’s “Good Reason” rights with respect to the terms of such offer, but not with respect to subsequent changes to the terms and conditions of the Employee’s employment with the Acquiring Company.

2.27“Group” shall have the meaning set forth in Section 14(d) of the Exchange Act.

2.28“Group Health Plan” shall mean the Southern Company Services, Inc. Healthcare Plan for Retirees, or any successor plan, as such plan may be amended from time to time.

2.29“Group Life Insurance Plan” shall mean the Retiree Group Life Insurance Plan for Southern Company Services, Inc., or any successor plan, as such plan may be amended from time to time.

2.30“Incumbent Board” shall mean those individuals who constitute the Southern Board as of the Effective Date, plus any individual who shall become a director subsequent to such date whose election or nomination for election by Southern’s stockholders was approved by a vote of at least 75% of the directors then comprising the Incumbent Board. Notwithstanding the foregoing, no individual who shall become a director of the Southern Board subsequent to the Effective Date whose initial assumption of office occurs as a result of an actual or threatened election contest (within the meaning of Rule 14a-11 of the regulations promulgated under the Exchange Act) with respect to the election or removal of directors or other actual or threatened solicitation of proxies or consents by or on behalf of a Person other than the Southern Board shall be a member of the Incumbent Board.

2.31“Long Term Bonus Plan” shall mean any bonus type plan or arrangement designed to provide incentive based compensation to participants upon the achievement of objective or subjective goals that measure performance over a period of more than twelve months.

2.32“Material Reduction” shall mean a reduction of more than ten percent (10%) to the employer-provided value that the Employee is expected to derive from his Retirement and Welfare Benefits, as reasonably determined by the Administrator; provided, however, that with respect to an Employee who provides notice of Good Reason pursuant to Section 2.26(f), whether such ten percent (10%) reduction is expected to occur shall be determined by the Benefits Consultant using the most recently available Benefits Index and shall be set forth in a written opinion of the Benefits Consultant, and the following guidelines shall be followed by the Company, the Acquiring Company and the Benefits Consultant in the performance of the Benefit Index calculations:

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(a)Upon a Preliminary Change in Control that if Consummated would result in a Change in Control, the Employer and the Acquiring Company shall provide to the Benefits Consultant the applicable benefit plan provisions for the plan year in which the Change in Control is anticipated to occur. Plan provisions for the immediately preceding plan year may be provided if the Benefits Consultant determines that there have been no changes to such plans that would materially affect the determination of whether there is a Material Reduction. In the event of a Subsidiary Change in Control, if the Acquiring Company’s relevant plan provisions have not previously been included in the Benefits Consultant’s Benefit Index database, the Acquiring Company shall provide to the Benefits Consultant such plan information as the Benefits Consultant shall request in writing as soon as practicable following such request. The Administrator shall take such action as is reasonably required to facilitate the transfer of such information from the Acquiring Company to the Benefits Consultant.

(b)The standard Benefit Index assumptions for the plan year from which the plan provisions are taken shall be used.

(c)The Benefit Consultant will use its standard aggregated Benefit Index employee information unless the Employer provides alternative data.

(d)The determination of whether or not the Acquiring Company’s Retirement and Welfare Benefits represent a Material Reduction to the Retirement and Welfare Benefits provided to the Employee by his Employer shall be determined on an aggregate basis. All assessments shall consider all benefits in total and no individual-by-individual, plan-by-plan determination of Material Reductions shall be made.

2.33“Month of Service” shall mean any calendar month during which a Participant has worked at least one (1) hour or was on approved leave of absence while in the employ of an Employer or any Southern Subsidiary.

2.34“Omnibus Plan” shall mean the Southern Company Omnibus Incentive Compensation Plan and The Southern Company 2021 Equity and Incentive Compensation Plan, in each case as amended from time to time, and any successor plan(s).

2.35“Participant” shall mean an Employee or Support Employee who meets the eligibility requirements of Section 3.1 of this Plan.

2.36“Participating Subsidiary” shall mean, unless otherwise determined by the Compensation Committee, (a) the Company, (b) each other wholly-owned direct Southern Subsidiary from time to time, (c) any other corporation or other entity Controlled by Southern which the Compensation Committee has authorized to be a Participating Subsidiary under the Plan and which has thereafter adopted the Plan, and (d) any successor of any entity described in Section 2.36 (a), (b) or (c) that is Controlled by Southern.

2.37“Participating Subsidiary Business Combination” shall have the meaning set forth in Section 2.13(b)(ii) hereof.

2.38“Pension Plan” shall mean The Southern Company Pension Plan or any successor thereto, as in effect on the date a Change in Control is Consummated.

2.39“Performance Pay Program” or “PPP” shall mean the Performance Pay Program under the Omnibus Plan or any replacement thereto, as in effect on the date a Change in Control is Consummated.

2.40“Performance Unit” shall have the meaning set forth in the Omnibus Plan.

2.41“Person” shall mean any individual, entity or group within the meaning of Section 13(d)(3) or 14(d)(2) of Exchange Act.

2.42“Plan” shall mean the Southern Company Executive Change in Control Severance Plan, as amended from time to time.

2.43“Preliminary Change in Control” shall mean the occurrence of any of the following as administratively determined by the Administrator:

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(a)Southern or a Participating Subsidiary has entered into a written agreement, such as, but not limited to, a letter of intent, which, if Consummated, would result in a Change in Control;

(b)Southern or a Participating Subsidiary publicly announces an intention to take or to consider taking actions which, if Consummated, would result in a Change in Control under circumstances where the Consummation of the announced action or intended action is legally and financially feasible (as reasonably determined by the Administrator); or

(c)A Person other than Southern or a Participating Subsidiary publicly announces an intention to take or to consider taking actions which, if Consummated, would result in a Change in Control under circumstances where the Consummation of the announced action or intended action is legally and financially feasible (as reasonably determined by the Administrator);

provided, however, that if a Change in Control occurs without the prior occurrence of a Preliminary Change in Control, the date of such Change in Control shall be deemed to be the date of a Preliminary Change in Control for purposes of this Plan.

2.44“Retirement and Welfare Benefits” shall mean benefits provided by the Employer or the Acquiring Company, as applicable, under the following types of plans and arrangements: pension plans, defined contribution plans (matched savings, profit sharing, money purchase, ESOP, and similar plans and arrangements), plans providing for death benefits while employed or retired (life insurance, survivor income, and similar plans and arrangements), plans providing for short-term disability benefits (including accident and sick time), plans providing for long-term disability benefits and plans providing health-care benefits (including reimbursements during active employment or retirement related to expenses for medical, vision, hearing, dental, and similar plans and arrangements).

2.45“Separation Date” shall mean the date on which a Participant’s employment with his Employer is terminated; provided, however, that solely for purposes of Section 3.2(c) hereof, the Separation Date of Participants who are deemed to be retired pursuant to the provisions of Section 3.3 hereof, shall be the effective date of their retirement pursuant to the terms of the Pension Plan.

2.46“Severance Bonus Amount” shall mean an amount in cash equal to the greater of (a) the Participant’s Target Bonus under the Participant’s Employer’s Short Term Bonus Plan for the year in which the Separation Date occurs, and (b) the product of the Participant’s Target Bonus under the Participant’s Employer’s Short Term Bonus Plan for the year in which the Separation Date occurs multiplied by the Average Actual Payout Percentage.

2.47“Short Term Bonus Plan” shall mean any bonus type plan or arrangement designed to provide incentive based compensation to participants upon the achievement of objective or subjective goals that measure performance over a period of twelve months or less.

2.48“Southern” shall mean The Southern Company, its successors and assigns.

2.49“Southern Board” shall mean the board of directors of Southern.

2.50“Southern Subsidiary” shall mean any corporation or other entity Controlled by Southern.

2.51“Stock-Based Award” shall mean any stock-based award granted under the Omnibus Plan, including but not limited to stock options, stock appreciation rights, restricted stock, restricted stock units, and performance shares.

2.52“Subsidiary Change in Control” shall have the meaning set forth in Section 2.13(b) hereof.

2.53“Support Employee” shall mean an Employee of the Company (which shall continue to be such Employee’s Participating Subsidiary for all other purposes of this Plan) whose employment with the Company:

(a)Is involuntarily terminated without Cause within two years after the Change in Control of a Participating Subsidiary (other than the Company) and either (i) spent at least 40% of his working time performing services for such Participating Subsidiary as of the day immediately preceding the day the Change in Control is Consummated and for one-hundred eighty (180) days prior thereto, or since commencement of

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employment by the Company, if shorter, or (ii) is determined by the Administrator to be involuntarily terminated without Cause as a result of such Change in Control; or

(b)Is voluntarily terminated by Employee for Good Reason within two years after the Change in Control of a Participating Subsidiary (other than the Company) and spent at least 40% of his working time performing services for such Participating Subsidiary as of the day immediately preceding the day the Change in Control is Consummated and for one-hundred eighty (180) days prior thereto, or since commencement of employment by the Company, if shorter. For purposes of this Section 2.53(b) only, Good Reason shall not include the provisions of Section 2.26(a), entitled “Inconsistent Duties.”

2.54“Surviving Company” shall have the meaning set forth in Section 2.13(a)(iii)(A) hereof.

2.55“Target Bonus” shall mean the amount of incentive compensation expressed as either a percent of salary or pay, an expected dollar amount, the number of awards granted or such other quantifiable measure to determine the amount to be paid or granted under the terms of the respective Short Term Bonus Plan, Long Term Bonus Plan or Equity Based Bonus Plan, as used by the Employer or respective Acquiring Company to measure the market competitiveness of its employee compensation programs.

2.56“Termination for Cause” or “Cause” shall mean the termination of an Employee’s employment with his Employer upon the occurrence of any of the following:

(a)The willful and continued failure by the Employee to substantially perform his duties with his Employer (other than any such failure resulting from the Employee’s death or Total Disability or from the Employee’s retirement or any such actual or anticipated failure resulting from termination of employment by the Employee for Good Reason) after a written demand for substantial performance is delivered to him by the Administrator, which demand specifically identifies the manner in which the Administrator believes the Employee has not substantially performed his duties; or

(b)The willful engaging by the Employee in conduct that is demonstrably and materially injurious to his Employer, monetarily or otherwise, including but not limited to any of the following:

(i)any act by the Employee involving fraud or dishonesty in the course of the Employee’s employment by his Employing Company;

(ii)the carrying out of any activity or the making of any statement by an Employee which would materially prejudice or impair the good name and standing of his Employer, Southern or any other Southern Subsidiary or would bring his Employer, Southern or any other Southern Subsidiary into contempt, ridicule or would reasonably shock or offend any community in which his Employer, Southern or such other Southern Subsidiary is located;

(iii)attendance by the Employee at work in a state of intoxication from, or otherwise being found in possession at his workplace of, any prohibited drug or substance, possession of which would amount to a criminal offense;

(iv)violation of his Employer’s policies on drug and alcohol usage, fitness for duty requirements or similar policies as may exist from time to time;

(v)assault or other act of violence by the Employee against any person during the course of employment; or

(vi)the Employee’s indictment for any felony or any misdemeanor involving moral turpitude.

No act or failure to act by an Employee shall be deemed “willful” unless done, or omitted to be done, by the Employee not in good faith and without reasonable belief that his action or omission was in the best interest of his Employer.

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Notwithstanding the foregoing, an Employee shall not be deemed to have been terminated for Cause unless and until there shall have been delivered to him a copy of a resolution duly adopted by the affirmative vote of the majority of the Administrator at a meeting called and held for such purpose (after reasonable notice to the Employee and an opportunity for him, together with counsel, to be heard before the Administrator), finding that, in the good faith opinion of the Administrator, the Employee was guilty of conduct set forth in Section 2.56 (a) or (b) hereof and specifying the particulars thereof in detail.

2.57“Total Disability” shall have the meaning given to such term (or to a substantially equivalent term) under the Pension Plan.

2.58“Voting Securities” shall mean the outstanding voting securities of a corporation entitling the holder thereof to vote generally in the election of such corporation’s directors.

2.59“Waiver and Release” shall mean a Waiver and Release in a form reasonably acceptable to and provided by the Company.

2.60“Years of Service” shall mean an Employee’s Months of Service divided by twelve (12) rounded to the nearest whole year, rounding up if the remaining number of months is seven (7) or greater and rounding down if the remaining number of months is less than seven (7). If an Employee has a break in his service with his Employer, he will receive credit under this Plan for the service prior to the break in service only if the break in service was less than five years and his service prior to the break exceeds the length of the break in service.

ARTICLE III - SEVERANCE BENEFITS

3.1Eligibility.

(a)Employees. Except as otherwise provided herein, any Employee whose employment is involuntarily terminated by his Employer at any time during the two-year period following a Change in Control of Southern or his Participating Subsidiary (or the Participating Subsidiary that Controls his Employer) for reasons other than Cause or who shall voluntarily terminate his employment with his Employer for Good Reason at any time during the two-year period following a Change in Control of Southern or his Participating Subsidiary (or the Participating Subsidiary that Controls his Employer) shall be entitled to participate in this Plan and receive the benefits described in Section 3.2 hereof, subject to the terms and conditions described in this Article III. Notwithstanding the foregoing, if an Employee (i) accepts the transfer of his employment to Southern, any Southern Subsidiary or any employer that acquires all or substantially all of the assets of Southern, or (ii) accepts the transfer of his employment to any employer (or its affiliate) that acquires all or substantially all of the assets of a Southern Subsidiary or his Participating Subsidiary (or the Participating Subsidiary that Controls his Employer) and becomes an employee of any such employer (or its affiliate) following such acquisition, such transfer of employment shall not be an involuntary termination without Cause or a voluntary termination for Good Reason for purposes of this Plan.

(b)Deemed Employees. An Employee who is deemed to be employed by a Participating Subsidiary other than his actual Employer under Section 2.21 hereof shall be entitled to participate in this Plan and receive the benefits described in Section 3.2 hereof in the same manner as other Employees of the deemed Participating Subsidiary undergoing a Change in Control under Section 3.1(a) hereof; provided, however, that such deemed Employee will be considered to be an Employee of the deemed Participating Subsidiary solely for purposes of determining whether he is entitled to benefits under this Plan as a result of a Change in Control of such deemed Participating Subsidiary. For all other purposes under this Plan, such deemed Employee’s actual Employer shall be considered.

(c)Support Employees. A Support Employee shall be entitled to participate in this Plan and receive the benefits described in Section 3.2 hereof, subject to the terms and conditions described in this Article III.

(d)Limits on Eligibility. Notwithstanding anything to the contrary herein, an Employee shall not be eligible to receive benefits under this Plan if the Employee:

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(i)is not actively at work on his Separation Date, unless such Employee is capable of returning to work within twelve (12) weeks of the beginning of any leave of absence from work;

(ii)voluntarily terminates his employment with his Employer for other than Good Reason;

(iii)is terminated from his employment with the Employer due to his death or Total Disability, or has his employment terminated by his Employer for Cause;

(iv)is involuntarily separated from service with his Employer after refusing an offer of employment by Southern or a Southern Subsidiary, under circumstances where the terms of such offer would not have amounted to Good Reason for voluntary termination of employment from his Employer by comparing each item of compensation and benefits of such offer of employment as set forth in Section 2.26 (a), (b), (c) and (d) above, with such items of compensation and benefits to which he is entitled at his Employer as of the day immediately preceding the day of such offer of employment;

(v)refuses an offer of employment by an Acquiring Company in a Subsidiary Change in Control under circumstances where such offer does not provide Good Reason under the requirements of Sections 2.26 (a), (b), (c), (d) or (e) hereof;

(vi)elects to receive the benefits of any other voluntary or involuntary severance, separation or outplacement program, plan or agreement maintained by his Employer in lieu of benefits under this Plan; provided, however, that the receipt of benefits under any retention plan or agreement shall not be deemed to be the receipt of benefits under any severance, separation or outplacement program for purposes of this Plan; or

(vii)fails to execute and submit a Waiver and Release no earlier than the Separation Date and no later than the end of the applicable time period for consideration set forth in the Waiver and Release (which shall be no longer than 45 days following the Separation Date), or revokes such Waiver and Release during any applicable revocation period.

3.2Benefits. Subject to the Employer’s receipt of an effective Waiver and Release, Participants shall be entitled to receive the following benefits:

(a)Employee Outplacement Services. Each Participant shall be eligible to participate in the Employee Outplacement Program, which program shall not be less than six (6) months in duration measured from the Participant’s Separation Date.

(b)Severance Benefit. Participants shall be paid in cash an amount equal to one and one-half (1.5) times the Participant’s Annual Compensation.

(c)Welfare Benefit.

(i)Except as provided in Section 3.3 hereof, each Participant shall be eligible to participate in the Employer’s Group Health Plan for a period of six (6) months for each of the Participant’s Years of Service, not to exceed a period of five (5) years, beginning on the first day of the first month following the Participant’s Separation Date unless otherwise specifically provided under such plan, upon the Participant’s payment of both the Employer’s and the Participant’s premium under such plan. A Participant who receives this extended medical coverage shall also be entitled to elect coverage under the Group Health Plan for his dependents who are participating in the Group Health Plan on the Participant’s Separation Date (and for such other dependents as may be entitled to coverage under the provisions of the Health Insurance Portability and Accountability Act of 1996) for the duration of the Participant’s extended medical coverage under this Section 3.2(c) to the extent such dependents remain eligible for dependent coverage under the terms of the Group Health Plan.

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(ii)The extended medical coverage afforded to a Participant pursuant to this Section 3.2(c) as well as the premiums to be paid by the Participant in connection with such coverage shall be determined in accordance with the terms of the Group Health Plan and shall be subject to any changes in the terms and conditions of the Group Health Plan as well as any future increases in premiums under the Group Health Plan. The premiums to be paid by the Participant in connection with this extended coverage shall be due on the first day of each month; provided, however, that if a Participant fails to pay his premium within thirty (30) days of its due date, such Participant’s extended coverage shall be terminated.

(iii)Any Group Health Plan coverage provided under this Section 3.2(c) shall be a part of and not in addition to any COBRA Coverage which a Participant or his dependent may elect. In the event that a Participant or his dependent becomes eligible to be covered, by virtue of re-employment or otherwise, by any employer-sponsored group health plan or is eligible for coverage under any government-sponsored health plan during the above period, coverage under the Employer’s Group Health Plan available to the Participant or his dependent by virtue of the provisions of this Article III shall terminate, except as may otherwise be required by law, and shall not be renewed. It shall be the duty of a Participant to inform the Employer of his eligibility to participate in any such health plan.

(iv)Except as otherwise provided in Section 3.3 hereof, regardless of whether a Participant elects the extended coverage described in Section 3.2(c) hereof, the Employer shall pay to each Participant a cash amount equal to the Employer’s and the Participant’s cost of premiums for two (2) years of coverage under the Group Health Plan and Group Life Insurance Plan, as such Plans were in effect as of the date of the Change in Control.

(d)Stock-Based Award and Performance Unit Vesting. The provisions of this Section 3.2(d) shall apply to any Participant who, as of the date of the Change in Control, was a participant in the Omnibus Plan. Any Stock-Based Awards and Performance Unit awards held by the Participant that are outstanding and unvested as of the Separation Date shall fully vest and (to the extent applicable) become exercisable; provided, however, that any such award that is subject to the achievement of performance goals shall vest at the greater of (i) the “target” level and (ii) the projected actual level of performance for the full performance period as of the Separation Date (as reasonably determined by the Compensation Committee); and provided, further, that any award of stock options or stock appreciation rights held by such Participant that is outstanding and vested as of the Separation Date shall remain exercisable until the earlier of (x) the date that is 90 days after the Separation Date and (y) the date on which such award would have expired had the Participant remained continuously employed with Southern or a Southern Subsidiary.

(e)Performance Pay Program. The provisions of this Section 3.2(e) shall apply to any Participant who, as of the date of the Change in Control, was a participant in the Performance Pay Program. Provided the Participant is not entitled to a cash-based award under the PPP, if the PPP is in place as of the Participant’s Separation Date and to the extent the Participant is entitled to participate therein, the Participant shall be entitled to receive cash in an amount equal to a pro-rated payout of his cash-based award under the PPP for the performance period in which the Separation Date shall have occurred, at the Participant’s Severance Bonus Amount and pro-rated by the number of months which have passed since the beginning of the performance period until the Separation Date.

(f)Other Short-Term Incentive Plans. The provisions of this Section 3.2(f) shall apply to any Participant who, as of the date of the Change in Control, is a participant in any “short term incentive compensation plan” other than (or in addition to) the PPP. Provided the Participant is not otherwise entitled to a plan payout under any change in control provisions of such plans, if the “short term incentive compensation plan” is in place through the Participant’s Separation Date and to the extent the Participant is entitled to participate therein, the Participant shall be entitled to receive cash in an amount equal to his award under his respective Employer’s “short term incentive compensation plan” for the annual performance period in which the Separation Date shall have occurred, at the Participant’s Severance Bonus Amount and pro-rated by the number of months which have passed since the beginning of the annual performance period until the Separation Date. For purposes of this Section 3.2(f), the term “short term incentive compensation plan” shall mean any incentive compensation plan or arrangement adopted in writing by an Employer which

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provides for annual, recurring compensatory bonuses to participants based upon articulated performance criteria.

(g)Pro rata Calculation. For purposes of calculating any pro rata cash-based awards under Section 3.2 (e) and (f) hereof, a month shall not be considered if the determining event occurs on or before the 14th day of the month, and a month shall be considered if the determining event occurs on or after the 15th day of the month.

(h)No Duplicate Benefits. Notwithstanding anything in this Section 3.2 to the contrary:

(i)in the event that a Participant has received or is entitled to receive a cash-based award under the PPP as determined under the provisions of the Amended and Restated Southern Company Change in Control Benefits Protection Plan, in each case as may be amended or amended and restated from time to time (the “BPP”), for the performance period which includes a Participant’s Separation Date, then the amount of any such cash-based award under this Plan shall be reduced dollar for dollar by any such amount received or to be received under the BPP; and

(ii)in the event that a Participant is entitled to vest in any Stock-Based Awards pursuant to the provisions of the BPP in circumstances where Section 3.2(d) hereof would otherwise apply, such provisions of the BPP shall control, and such Participant shall not be entitled to any vesting with respect to such Stock-Based Awards pursuant to Section 3.2(d) hereof.

3.3Coordination with Retiree Medical and Life Insurance Coverage. Notwithstanding anything to the contrary above, any Participant who is otherwise eligible to retire pursuant to the terms of the Pension Plan shall be deemed to have retired for purposes of all employee benefit plans sponsored by the Employer of which the Participant is a participant. A Participant who is deemed to have retired in accordance with the preceding sentence shall not be eligible to receive the benefits described in Section 3.2(c) hereof if, upon his Separation Date, such Participant becomes eligible to receive the retiree medical and life insurance coverage provided to certain retirees pursuant to the terms of the Pension Plan, the Group Health Plan and the Group Life Insurance Plan.

3.4Payment of Benefits.

(a)Except as otherwise provided in Section 3.4(b) hereof, the total amount payable under this Article III shall be paid to a Participant in one (1) lump sum payment within 10 days after the expiration of any applicable revocation period for the Participant’s Waiver and Release without the Participant revoking such Waiver and Release. In the case of a Separation Date occurring in November or December, payment under this Article III will be made no earlier than January 1 of the following year and no later than 62 days after the Separation Date, provided all other requirements of the Plan are met, including the receipt of an effective Waiver and Release. The foregoing time of payment requirement is intended to satisfy the requirements of the so-called “short term deferral exception” as described in Treasury Regulation section 1.409A-1(b)(4) promulgated under Code Section 409A and to ensure that a Participant cannot directly or indirectly designate the taxable year of the receipt of benefits under the Plan as described in Treasury Regulation section 1.409A-3(a). In the event payment under this Article III is delayed as a result of a bona fide legal dispute with respect to liability or amount of any benefit due under the Plan, an effective Waiver and Release shall be tendered at the time of final resolution of any such dispute on the date payment, if any, is tendered by the Employer.

(b)Notwithstanding anything to the contrary in Section 3.4(a) above, if the Administrator determines that it is necessary to delay any payment, or portion thereof, under this Article III in order to avoid any tax liability pursuant to Code Section 409A(a)(2)(B)(i), such payment, or portion thereof, shall be paid on the first day of the seventh month following the Separation Date, and such delayed payment, or portion thereof, shall bear a reasonable rate of interest as determined by the Administrator.

3.5Benefits in the Event of Death. In the event of the Participant’s death after the Participant becomes eligible for benefits under this Article III but prior to the payment of all benefits due under this Article III, the Participant’s estate shall be entitled to receive any amounts not yet paid under this Article III within 62 days after the Participant’s Separation Date.

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3.6Legal Fees. In the event of a bona fide legal dispute between a Participant and his Employer with regard to any amounts due hereunder, if any material issue in such dispute is finally resolved in the Participant’s favor, his Employer shall reimburse the Participant’s legal fees incurred with respect to all issues in such dispute in an amount not to exceed thirty thousand dollars ($30,000).

3.7No Mitigation. A Participant who receives benefits under Section 3.2 of this Plan shall have no duty or obligation to seek other employment following his Separation Date and, except as otherwise provided in Section 3.1(d) hereof, the amounts due a Participant hereunder shall not be reduced or suspended if such Participant accepts such subsequent employment.

3.8Adjustment of Certain Payments and Benefits. Notwithstanding any provision of this Plan to the contrary, if any payment or benefit to be paid or provided hereunder or under any other plan or agreement would be an “Excess Parachute Payment,” within the meaning of Code Section 280G, or any successor provision thereto, but for the application of this sentence, then the payments and benefits to be paid or provided hereunder shall be reduced to the minimum extent necessary (but in no event to less than zero) so that no portion of any such payment or benefit, as so reduced, constitutes an Excess Parachute Payment; provided, however, that the foregoing reduction shall be made only if and to the extent that such reduction would result in an increase in the aggregate payments and benefits to be provided, determined on an after-tax basis (taking into account the excise tax imposed pursuant to Code Section 4999, or any successor provision thereto, any tax imposed by any comparable provision of state law, and any applicable federal, state and local income taxes). The determination of whether any reduction in such payments or benefits to be provided hereunder is required pursuant to the preceding sentence shall be made at the expense of the Participant’s Employer, if requested by the Participant or the Employer, by Southern’s independent accountants or a nationally recognized law firm chosen by the Employer. The fact that the Participant’s right to payments or benefits may be reduced by reason of the limitations contained in this Section 3.8 shall not of itself limit or otherwise affect any other rights of the Participant under this Plan. In the event that any payment or benefit intended to be provided is required to be reduced pursuant to this Section 3.8, then the reduction will be made in accordance with Code Section 409A and will occur in the following order: (a) first, by reducing any cash payments with the last scheduled payment reduced first; (b) second, by reducing any equity-based benefits that are included at full value under Q&A-24(a) of the Treasury Regulations promulgated under Code Section 280G (the “280G Regulations”), with the highest value reduced first; (c) third, by reducing any equity-based benefits included on an acceleration value under Q&A-24(b) or 24(c) of the 280G Regulations, with the highest value reduced first; and (d) fourth, by reducing any non-cash, non-equity based benefits, with the latest scheduled benefit reduced first. Such payments or benefits shall be reduced in a manner that maximizes the Participant’s economic position. In applying this principle, the reduction shall be made in a manner consistent with the requirements of Code Section 409A, and where two economically equivalent amounts are subject to reduction but payable at different times, such amounts shall be reduced on a pro rata basis but not below zero.

ARTICLE IV - ADMINISTRATION

4.1Administrator.

(a)The Administrator shall be responsible for the general administration of the Plan and may appoint other persons or entities to perform or assist in the performance of any of its duties, subject to its review and approval. The Administrator shall have the right to remove any such appointee from his position without cause upon notice.

(b)The Administrator shall maintain permanent records and accounts of Participants and of their rights under the Plan and of all receipts, disbursements, transfers, and other transactions concerning the Plan. Such accounts, books, and records relating thereto shall be open at all reasonable times to inspection and audit by the Company and any persons designated thereby.

(c)The Administrator shall take all steps necessary to ensure that the Plan complies with the law at all times, including the preparation and filing of all documents and forms required by any governmental agency; maintenance of adequate Participant records; recording and transmission of all notices required to be given to Participants and their beneficiaries; receipt and dissemination, if required, of all reports and information received from the Employers; securing of such fidelity bonds as may be required by law; and doing such other acts necessary for the proper administration of the Plan. The Administrator shall keep a

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record of all of its proceedings and acts, and shall keep all such books of accounts, records, and other data as may be necessary for proper administration of the Plan. The Administrator shall notify the Employers upon their request of any action taken by it, and when required, shall notify any other interested person or persons.

4.2Powers. The Administrator shall administer the Plan in accordance with its terms and shall have all powers necessary to carry out the provisions of the Plan as more particularly set forth herein. The Administrator shall have the discretionary authority to interpret the Plan (including any ambiguities herein) and to determine all questions arising in the administration, interpretation, and application of the Plan. The Administrator shall adopt such procedures and regulations necessary or desirable for the discharge of its duties hereunder and may appoint such accountants, counsel, actuaries, specialists, and other agents as it deems necessary or desirable in connection with the administration of this Plan. The Administrator shall be the legal appointed agent for the service of process.

4.3Compensation of the Administrator. The Administrator shall not receive any compensation from the Plan for its services.

4.4Payment of Expenses. The Administrator shall be reimbursed by the Employers for its reasonable expenses incurred in the discharge of its duties. Such expenses shall include any expenses incident to its duties, including, but not limited to, fees of accountants, counsel, actuaries, and other specialists, and other costs of administering the Plan.

4.5Indemnification. Each Employer shall indemnify the Administrator against any and all claims, losses, damages, expenses, and liability arising from its actions or omissions, except when the same is finally adjudicated to be the result of gross negligence or willful misconduct. The Employers may purchase at their own expense sufficient liability insurance for the Administrator to cover any and all claims, losses, damages, and expenses arising from any action or omission in connection with the execution of the duties as the Administrator.

ARTICLE V - CLAIMS PROCEDURES

5.1For purposes of this Article V, “Administrator” shall mean the Compensation Committee or, to the extent permitted by applicable law and stock exchange requirements, its delegate. The Administrator has the exclusive right to determine eligibility for benefits under the Plan and to deny or grant a claim, in whole or in part. All claim determinations shall be made by the Administrator in a uniform and nondiscriminatory manner in accordance with the Plan provisions. The Administrator’s decision on a claim for benefits is final and binding on all persons.

5.2Any participating Employee or his authorized representative who believes he may be eligible for benefits under this Plan may file a claim for benefits to which the claimant believes he is entitled. Claims under this Plan must be made in writing and delivered to the Administrator, in person or by mail, postage prepaid. When a claim has been properly filed, the Administrator shall, within 90 days after receipt of such claim, send to the claimant notice of the grant or denial, in whole or in part, of such claim unless special circumstances require an extension of time for processing the claim. In no event may the extension exceed 90 days from the end of the initial period. If such extension is necessary, the claimant will be given notice to this effect prior to the expiration of the initial 90-day period. Any notice of extension shall set forth the special circumstances requiring the extension of time and the date by which the Administrator expects to render its decision on the application for benefits.

5.3The Administrator will provide the claimant with written notice in which the claimant shall be advised as to whether the claim is granted or denied, in whole or in part. If a claim is denied, in whole or in part, the notice shall contain: (a) the specific reasons for the denial; (b) references to pertinent Plan provisions on which the denial is based; (c) a description of any additional material or information necessary to perfect the claim and an explanation of why such material or information is necessary; and (d) an explanation of the Plan’s claim review procedure, the time limits applicable under the procedures, and a statement regarding the claimant’s right to bring a civil action under Section 502(a) of the Employee Retirement Income Security Act of 1974, as amended (if applicable) following an adverse benefit determination on appeal.

5.4If a claim is denied, in whole or in part, the claimant shall have the right to request that the Administrator review the denial, provided that the claimant files a written request for review with the Administrator no later than 60 days after the date on which the claimant received written notification of the denial. The request for a review shall be in writing and shall be addressed to the Administrator at the Company’s principal office. The request

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for review shall set forth all of the grounds on which it is based, all facts in support of the request and any other matters which the claimant deems pertinent. The Administrator may require the claimant to submit such additional facts, documents or other material as it may deem necessary or appropriate in making its review. The claimant may submit written comments, documents, records and other information related to the benefit claim on appeal. The claimant must be provided, upon request and free of charge, reasonable access to and copies of any and all records, documents or information on which the Administrator based its determination.

5.5The Administrator will provide the claimant with written notification of the benefit determination on review within 60 days after a request for review is received, unless special circumstances require an extension of time for processing the review, in which case the Administrator shall give the claimant written notification within the initial 60-day period specifying the reasons for the extension and when such review shall be completed (provided that such review shall be completed within 120 days after the date on which the request for review was filed). If the Administrator denies the claim on review, in whole or in part, the notification will set forth, in a manner calculated to be understood by the claimant: (a) the specific reason or reasons for the denial; (b) specific references to the Plan provisions on which the denial is based; (c) a statement that the claimant is entitled to receive, upon request and free of charge, reasonable access to and copies of any and all records, documents or information on which the Administrator based its determination; and (d) a description of the claimant’s right to obtain information about such procedures and a statement regarding the claimant’s right to bring a civil action under section 502(a) of the Employee Retirement Income Security Act of 1974, as amended (if applicable) following the denial on appeal.

ARTICLE VI - MISCELLANEOUS

6.1Funding of Benefits. Unless the Board of Directors in its discretion determines otherwise, the benefits payable to a Participant under the Plan shall not be funded in any manner and shall be paid by the Employers out of their general assets, which assets are subject to the claims of the Employers’ creditors.

6.2Withholding. There shall be deducted from the payment of any benefit due under the Plan the amount of any tax required by any governmental authority to be withheld and paid over by the Employers to such governmental authority for the account of the Participant entitled to such payment.

6.3Assignment. No Participant or beneficiary shall have any rights to sell, assign, transfer, encumber, or otherwise convey the right to receive the payment of any benefit due hereunder, which payment and the rights thereto are expressly declared to be nonassignable and nontransferable. Any attempt to do so shall be null and void and of no effect.

6.4Code Section 409A. It is intended that this Plan and any benefits hereunder be exempt from or, to the extent applicable, comply with the provisions of Code Section 409A and the Treasury Regulations promulgated thereunder in order to avoid any additional tax under Code Section 409A(a)(1). In the event it is necessary to interpret the provisions of this Plan for purposes of its operation, such interpretation shall, to the extent possible, be consistent with such intent. For purposes of this Plan, references to an Employee’s “termination of employment” or substantially similar references shall be deemed to refer the Employee’s “separation from service” within the meaning of Code Section 409A.

6.5Amendment and Termination. The Plan may be amended or terminated at any time by the Board of Directors, provided, however, that no such amendment or termination of the Plan shall be effective if such amendment or termination is made or is effective within a period that is (a) (i) at any time after a Preliminary Change in Control or (ii) solely with respect to a Preliminary Change in Control described in Section 2.43(a) or 2.43(b), within six (6) months before such Preliminary Change in Control, and (b) prior to the earlier of (x) such time as the Board of Directors shall have determined that the event that gave rise to such Preliminary Change in Control will not be Consummated or (y) two years following the respective Change in Control unless such amendment or termination during such period has the effect of increasing benefits to Participants under the Plan, is determined by the Board of Directors to be immaterial, or applies solely to individuals who, in the case of a Subsidiary Change in Control, were not employees of the Participating Subsidiary undergoing the Subsidiary Change in Control (or a Subsidiary of such Participating Subsidiary) on the date of the respective Preliminary Change in Control, or, in the case of a Change in Control described in Section 2.13(a), are not Employees on the date of the respective Change in Control. Following a Change in Control, nothing in this Section 6.5 shall prevent the Board of Directors from amending or terminating the Plan as to any subsequent Change in Control provided that no such amendment or termination shall impair any

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rights or reduce any benefits previously accrued under the Plan as a result of a previous Change in Control.

6.6Interpretation. All personal pronouns used in this Plan, whether used in the masculine, feminine or neuter gender, shall include all other genders, and the singular shall include the plural and vice versa.

IN WITNESS WHEREOF, this Amended and Restated Southern Company Executive Change in Control Severance Plan has been executed by the Company through its duly authorized officers, this 15th day of August, 2022, to be effective as provided herein.

SOUTHERN COMPANY SERVICES, INC.

By:	/s/James M. Garvie
Name:	James M. Garvie
Title:	SVP HR, Total Rewards & HRIS

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EX-10.A4

Exhibit 10(a)4

AMENDED DEFERRED COMPENSATION AGREEMENT

THIS DEFERRED COMPENSATION AGREEMENT (“Agreement”) is made and entered into by THE SOUTHERN COMPANY (“Southern”), SOUTHERN COMPANY SERVICES, INC. (“SCS”), GEORGIA POWER COMPANY (the “Company”) (collectively the “Southern Parties”) and CHRISTOPHER C. WOMACK (“Employee”), this 10th day of December, 2008 (“Effective Date”).

WITNESSETH

WHEREAS, Employee is a highly compensated employee of the Company and is a member of its management;

WHEREAS, although Employee’s career with the Southern Company system began on January 4, 1988, his prior acquired knowledge and experience provide a value to Southern and its affiliated subsidiaries;

WHEREAS, the Southern Parties desire to set forth the manner in which Employee will be recognized for his prior valuable service; and

WHEREAS, the parties desire to restate all earlier agreements, including that certain Deferred Compensation Agreement entered into May 31, 2002, and to provide for the assignment of this Agreement to any successor employer in the Southern affiliated group in the event Employee hereafter transfers his employment to any such successor employer.

NOW, THEREFORE, in consideration of the premises, and the agreements of the parties set forth herein, and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties hereto, intending to be legally bound, hereby covenant and agree as follows:

1.Eligibility for Supplemental Retirement Benefits.

(a)Subject to the terms of this Agreement, the Southern Parties shall pay to Employee (or if Payment continues, to Employee’s designated beneficiary, as the case may be, in the event of Employee’s death as described in Section 1(c) hereof) the supplemental retirement payment (the “Payment”) described in Section 1(b) hereof (to be shared among the Southern Parties in such pro rata portions as set forth in Sections 2 or 3 hereof).

(b)In the event Employee satisfies the requirements of this Agreement, the Payment shall be an amount equal to the difference between:

(i)    the amounts payable to Employee under the Southern Company Pension Plan (“Pension Plan”), the Southern Company Supplemental Benefit Plan (“SBP”) and the Southern Company Supplemental Executive Retirement Plan (“SERP”) (collectively, the “Retirement Plans”) as each shall then be in effect, determined as if Employee had an additional eight (8) years of Accredited Service under the Pension Plan; and

(ii)    the amounts Employee is actually entitled to receive under the Retirement Plans at Employee’s retirement, as each shall then be in effect, as further determined and payable in accordance with Section 1(d) hereof.

(c)Payment in the Event of Death. In the event Employee dies and Payment continues to Employee’s designated beneficiary (the “Death Benefit”), such Payment shall be made in accordance with Section 1(d) hereof.

(d)Calculation, Form and Timing of Payment. The calculation (including actuarial assumptions), form and timing of the Payment or Death Benefit upon the occurrence of a “separation from service” as defined in Section 409A of the Code and the regulations promulgated thereunder (“Separation from Service”) shall be the same as the calculation (including actuarial assumptions), form and timing of similar payments to Employee or designated beneficiary as the case may be, under the terms of the SERP and the SBP (but, as to the SBP, only concerning the “Pension Benefit” provided thereunder) as each may be amended from time to time.

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2.Sharing of Expense. In the event that the Employee is employed at more than one subsidiary or affiliate of Southern, the liability for amounts paid under this Agreement shall be apportioned so that each such company is obligated in accordance with this Section 2 to cover their percentage of the total liability as determined below. Each company’s share of the liability shall be calculated by multiplying the Payment by a fraction where the numerator of such fraction is the base rate of pay received by the Employee at the respective company on his date of termination of employment or transfer, as applicable, multiplied by the Accredited Service as defined in the Pension Plan earned by the Employee at the respective company and where the denominator of such fraction is the sum of all numerators calculated for each respective company by which the Employee has been employed.

3.Transfer of Employment to a Southern Subsidiary or Affiliate. In the event that Employee’s employment by the Company is terminated and Employee shall become immediately re-employed by a subsidiary or an affiliate of Southern, the Company shall assign this Agreement pursuant to an Assignment Agreement substantially in the form of Exhibit 1 attached hereto, and such assignee shall become the “Company” for all purposes hereunder. Such subsidiary or affiliate shall accept such assignment, but if for any reason this does not occur, Southern shall accept such assignment. In the event of such assignment, liability for any amounts to be paid under this Agreement shall be shared pro rata by the Southern Entities and any such assignee (collectively “Contract Obligors”) based upon the allocation methodology set forth in Section 2.

4.Business Protection Provisions.

(a)    Preamble. As a material inducement to the Southern Parties to enter into this Agreement, and the recognition of the valuable experience, knowledge and proprietary information Employee gained from his employment with the Company, Employee warrants and agrees he will abide by and adhere to the following business protection provisions in this Section 4.

(b)    Definitions. For purposes of this Section 4, the following terms shall have the following meanings:

(i)    “Competitive Position” shall mean any employment, consulting, advisory, directorship, agency, promotional or independent contractor arrangement between Employee and any Entity (as defined below) engaged wholly or in material part in the business that the Company is engaged in whereby

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Employee is required to or does perform services on behalf of or for the benefit of such Entity which are substantially similar to the services Employee participated in or directed while employed by the Company or any other Southern Entity.

(ii)    “Confidential Information” shall mean the proprietary or confidential data, information, documents or materials (whether oral, written, electronic or otherwise) belonging to or pertaining to the Company or any of the other Southern Entities, other than “Trade Secrets” (as defined below), which is of tangible or intangible value to any of the Southern Entities and the details of which are not generally known to the competitors of the Southern Entities. Confidential Information shall also include: (A) any items that any of the Southern Entities have marked “CONFIDENTIAL” or some similar designation or are otherwise identified as being confidential; (B) all non-public information known by or in the possession of Employee related to or regarding any proceedings involving or related to the Southern Entities before any federal or state regulatory agencies; and (C) all communications, research, analysis, reports, opinions, recommendations and presentations prepared, reviewed, edited or possessed by Employee at any time during his employment, whether marked Confidential or not, which relate to electric utilities, electric generation or transmission in the United States, or the building, acquisition or ownership of electric utility assets in the United States.

(iii)    “Entity” or “Entities” shall mean any person, business, individual, partnership, joint venture, agency, governmental agency, body or subdivision, association, firm, corporation, limited liability company or other entity of any kind.

(iv)    “Territory” shall mean the service territory of the Southern Entities and those states contiguous to such service territory or otherwise connected through regional electric markets.

(v)    “Trade Secrets” shall mean information or data of or about any of the Southern Entities, including, but not limited to, technical or non-technical data, formulas, patterns, compilations, programs, devices, methods, techniques, drawings, processes, financial data, financial plans, product plans or lists of actual or potential customers or suppliers that: (A) derives economic value, actual or

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potential, from not being generally known to, and not being readily ascertainable by proper means by, other persons who can obtain economic value from its disclosure or use; and (B) is the subject of efforts that are reasonable under the circumstances to maintain its secrecy. Employee agrees that trade secrets include non-public information related to the rate making process of the Southern Entities and any other information which is defined as a “trade secret” under applicable law, regardless of the process through which Employee would have become aware of or possessed such information.

(vi)    “Work Product” shall mean all tangible work product, memoranda, working papers, property, data, documentation, concepts or plans, inventions, improvements, techniques and processes (and drafts thereof) relating to the Southern Entities that were conceived, discovered, created, written, revised or developed by Employee during the term of his employment with SCS and the Company.

(c)    Nondisclosure: Ownership of Proprietary Property.

(i)    In recognition of the need of the Company to protect its legitimate business interests, Confidential Information and Trade Secrets, Employee hereby covenants and agrees that Employee shall regard and treat Trade Secrets and all Confidential Information as strictly confidential and wholly-owned by the Company and shall not, for any reason, in any fashion, either directly or indirectly, use, sell, lend, lease, distribute, license, give, transfer, assign, show, disclose, disseminate, reproduce, copy, misappropriate or otherwise communicate any such item or information to any third party Entity for any purpose other than in accordance with this Agreement or as required by applicable law: (A) with regard to each item constituting a Trade Secret, at all times such information remains a “trade secret” under applicable law, and (B) with regard to any Confidential Information, for a period of three (3) years following the Employee’s date of Separation from Service (hereafter the “Restricted Period”).

(ii)    Employee shall exercise best efforts to ensure the continued confidentiality of all Trade Secrets and Confidential Information, and he shall immediately notify the Company of any unauthorized disclosure or use of any Trade Secrets or Confidential Information of which Employee becomes aware.

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Employee shall assist the Company, to the extent necessary, in the protection of or procurement of any intellectual property protection or other rights in any of the Trade Secrets or Confidential Information.

(iii)    All Work Product shall be owned exclusively by the Company. To the greatest extent possible, any Work Product shall be deemed to be “work made for hire” (as defined in the Copyright Aet, 17 U.S.C.A. §101 et seq., as amended), and Employee hereby unconditionally and irrevocably transfers and assigns to the Company all right, title and interest Employee currently has or may have by operation of law or otherwise in or to any Work Product, including, without limitation, all patents, copyrights, trademarks (and the goodwill associated therewith), trade secrets, service marks (and the goodwill associated therewith) and other intellectual property rights. Employee agrees to execute and deliver to the Company any transfers, assignments, documents or other instruments which the Company may deem necessary or appropriate, from time to time, to protect the rights granted herein or to vest complete title and ownership of any and all Work Product, and all associated intellectual property and other rights therein, exclusively in the Company.

(d)    Non-Interference with Employees. Employee covenants and agrees that during the Restricted Period he will not, either directly or indirectly, alone or in conjunction with any Entity: (i) actively recruit, solicit, attempt to solicit, or induce any person who, during such Restricted Period, or within one year prior to his date of Separation from Service, was an exempt employee of the Company or any of its subsidiaries, or was an officer of any of the other Southern Entities to leave or cease such employment for any reason whatsoever; or (ii) hire or engage the services of any such person described in Section 4(d)(i) in any business substantially similar or competitive with that in which the Southern Entities were engaged during his employment.

(e)    Non-Interference with Customers.

(i)    Employee acknowledges that in the course of employment, he has learned about the Company’s business, services, materials, programs, plans, processes, and products and the manner in which they are developed, marketed, serviced and provided. Employee knows and acknowledges that the Company has invested considerable time and money in developing its business, services,

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materials, programs, plans, processes, products and marketing techniques and that they are unique and original. Employee further acknowledges that the Company must keep secret all pertinent information divulged to Employee regarding the Company’s business concepts, services, materials, ideas, programs, plans and processes, products and marketing techniques, so as not to aid the Company’s competitors. Accordingly, the parties agree that the Company is entitled to the following protection, which Employee agrees is reasonable:

(ii)    Employee covenants and agrees that for a period of two (2) years following his date of Separation from Service, he will not, on his own behalf or on behalf of any Entity, solicit, direct, appropriate, call upon, or initiate communication or contact with any Entity or any representative of any Entity, with whom Employee had contact during his employment, with a view toward the sale or the providing of any product, equipment or service sold or provided or under development by the Company during the period of two (2) years immediately preceding the date of Employee’s date of Separation from Service. The restrictions set forth in this Section shall apply only to Entities with whom Employee had actual contact during the two (2) years prior to Employee’s date of Separation from Service with a view toward the sale or providing of any product, equipment or service sold, provided, or under development by the Company.

(f)    Non-Interference with Business.

(i)    Employee and the Company expressly covenant and agree that the scope, territorial, time and other restrictions contained in this entire Agreement constitute the most reasonable and equitable restrictions possible to protect the business interests of the Company given: (A) the business of the Company; (B) the competitive nature of the Company’s industry; and (C) that Employee’s skills are such that he could easily find alternative, commensurate employment or consulting work in his field which would not violate any of the provisions of this Agreement.

(ii)    Employee covenants and agrees to not obtain or work in a Competitive Position within the Territory for a period of two (2) years from the date of Separation from Service, except as expressly approved by the Chief Executive Officer of the Company.

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5.    Publicity; No Disparaging Statement. Except as otherwise provided in Section 9 hereof, Employee and the Company covenant and agree that they shall not engage in any communications which shall disparage one another or interfere with their existing or prospective business relationships. Such communications include, but are not necessarily limited to, remarks, comments, observations, analysis, opinions, statements, whether solicited or unsolicited, written or verbal, which reflect in any manner on the market, operating, financial, communications, people or other business strategies or actions of the Southern Entities, and their officers, directors, employees and agents.

6.    No Employment. Employee agrees that he shall not unilaterally seek re- employment as an employee, temporary employee, leased employee or independent contractor with any of the Southern Entities, for a period of two (2) years following the Employee’s date of Separation from Service. Further, neither the Company nor any of the other Southern Entities shall rehire Employee as an employee, temporary employee, leased employee or independent contractor for a period of two (2) years following Employee’s date of Separation from Service, unless a necessary business reason exists for rehiring Employee and a committee, comprised of (a) an officer from the business unit of the Southern Entity seeking to rehire Employee and (b) the Chief Executive Officer of the Company, approves of such rehiring.

7.    Return of Materials. By no later than the Employee’s date of Separation from Service, Employee agrees to return to the Company all property of the Company and other Southern Entities, including but not limited to data, lists, information, memoranda, documents, identification cards, parking cards, keys, computers, fax machines, beepers, phones, files and any and all written or descriptive materials of any kind belonging or relating to the Company or any other Southern Entity, including, without limitation, any originals, copies and abstracts containing any Work Product, intellectual property, Confidential Information and Trade Secrets in Employee’s possession or control.

8.    Cooperation. The parties agree that as a result of Employee’s duties and activities during his employment, Employee’s reasonable availability may be necessary for the Company to meaningfully respond to or address actual or threatened litigation, or government inquiries or investigations, or required filings with state, federal or foreign agencies (hereinafter “Company Matters”). Upon request of the Company, and at any point following Employee’s date of Separation from Service, Employee will make himself available to the Company for reasonable periods not inconsistent with his future employment, if any, by other Entities and will cooperate

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with the Company’s agents and attorneys as reasonably required by such Company Matters. The Company will reimburse Employee for any reasonable out-of-pocket expenses associated with providing such cooperation.

9.    Confidentiality and Legal Process. Employee represents and agrees that he will keep the terms, amount and fact of this Agreement confidential and that he will not hereafter disclose any information concerning this Agreement to anyone other than his personal agents, including, but not limited to, any past, present, or prospective employee or applicant for employment with the Company. Notwithstanding the foregoing, nothing in this Agreement is intended to prohibit Employee from performing any duty or obligation that shall arise as a matter of law. Specifically, Employee shall continue to be under a duty to truthfully respond to any legal and valid subpoena or other legal process. This Agreement is not intended in any way to proscribe Employee’s right and ability to provide information to any federal, state or local government in the lawful exercise of such governments’ governmental functions.

10.    Successors and Assigns; Applicable Law. This Agreement shall be binding upon and inure to the benefit of Employee and his heirs, administrators, representatives, executors, successors and assigns, and shall be binding upon and inure to the benefit of the Contract Obligors and their officers, directors, employees, agents, shareholders, parent corporation, and affiliates, and their respective predecessors, successors, assigns, heirs, executors and administrators and each of them, and to their heirs, administrators, representatives, executors, successors, and assigns. This Agreement shall be construed and interpreted in accordance with the laws of the State of Georgia (without giving effect to principles of conflicts of laws), to the extent such laws are not otherwise superseded by the laws of the United States.

11.    Complete Agreement. This Agreement shall constitute the full and complete agreement between the parties concerning its subject matter and fully supersedes any and all other prior agreements or understandings between the parties concerning the subject matter hereof, including but not limited to that certain Deferred Compensation Agreement entered into in 2002. This Agreement shall not be modified or amended except by a written instrument signed by both Employee and an authorized representative of the Company and Southern.

12.    Severability. The unenforceability or invalidity of any particular provision of this Agreement shall not affect its other provisions, and to the extent necessary to give such other provisions effect, they shall be deemed severable. If any of the provisions of this Agreement are determined by any court of law or equity with jurisdiction over this matter to be unreasonable or

9

unenforceable, in whole or in part, as written, the parties hereby consent to and affirmatively request that said court reform the provision so as to be reasonable and enforceable and that said court enforce the provision as reformed. Employee acknowledges and agrees that the covenants and agreements contained in this Agreement, including, without limitation, the covenants and agreements contained in Sections 4, 5, 6, 7 and 8 shall be construed as covenants and agreements independent of each other or any other contract between the parties hereto and that the existence of any claim or cause of action by Employee, whether predicated upon this Agreement or any other contract, shall not constitute a defense to the enforcement by the Southern Parties of said covenants and agreements.

13.    Waiver of Breach; Specific Performance. The waiver of a breach of any provision of this Agreement shall not operate or be construed as a waiver of any other breach. Each of the parties to this Agreement will be entitled to enforce its or his rights under this Agreement, specifically, to recover damages by reason of any breach of any provision of this Agreement and to exercise all other rights existing in its or his favor. The parties hereto agree and acknowledge that money damages may not be an adequate remedy for any breach of the provisions of this Agreement and that any party may in its or his sole discretion apply to any court of law or equity of competent jurisdiction for specific performance or injunctive relief in order to enforce or prevent any violations of the provisions of this Agreement.

14.    Unsecured General Creditor. The Contract Obligors shall neither reserve nor specifically set aside funds for the payment of its obligations under this Agreement, and such obligations shall be paid solely from the general assets of the Contract Obligors. Notwithstanding that Employee may be entitled to receive the value of his benefit under the terms and conditions of this Agreement, the assets from which such amount may be paid shall at all times be subject to the claims of the Contract Obligors’ creditors.

15.    No Effect on other Arrangements. It is expressly understood and agreed that the

payments made in accordance with this Agreement are in addition to any other benefits or compensation to which Employee may be entitled or for which he may be eligible, whether funded or unfunded, by reason of his employment with the Contract Obligors.

16.    Tax Withholding and Implications. There shall be deducted from the Payment described in Section 1 of this Agreement the amount of any tax required by any governmental authority to be withheld and paid over by the Company to such governmental authority for the

10

account of Employee at the same time and in the same manner as such taxes are deducted from pension benefits provided under the SBP and SERP.

17.    Notices. All notices required, necessary or desired to be given pursuant to this Agreement shall be in writing and shall be effective when delivered or on the third day following the date upon which such notice is deposited, postage prepaid, in the United States mail, certified

return receipt requested, and addressed to the party at the address set forth below:

If to Employee:	If to the Company:
Christopher C. Womack 4966 Powers Ferry Road Atlanta, GA 30327	Thomas P. Bishop Senior Vice President and General Counsel Georgia Power Company 241 Ralph McGill Blvd. Atlanta, GA 30308

18.    Compensation and/or Earnings. Any compensation paid on behalf of Employee under this Agreement shall not be considered “compensation,” as such term is defined in The Southern Company Employee Savings Plan or “earnings” as such term is defined in the Pension Plan. Payments under this Agreement shall not be considered wages, salaries or compensation under any other employee benefit plan of the Company or any other Southern Entity.

19.    No Guarantee of Employment. No provision of this Agreement shall be construed to affect in any manner the existing rights of the Company to suspend, end, alter, or modify, whether or not for cause, the employment relationship of Employee and the Company.

20.    Interpretation. The judicial body interpreting this Agreement shall not more strictly construe the terms of this Agreement against one party, it being agreed that both parties and/or their attorneys or agents have negotiated and participated in the preparation hereof.

21.    Accredited Investor. Employee understands that the Company’s obligations under this Agreement have not been registered under the Securities Exchange Act of 1933, as amended (the “Securities Act”), or any state securities laws. Employee is an “accredited investor” as defined in Regulation D under the Securities Act, and has such knowledge and experience in financial and business matters that he is able to evaluate the risks and benefits of this Agreement. There has been direct communication and negotiation between the Company and Employee with respect to this Agreement. The Company has made available to Employee information regarding the business of the Company and the risks inherent therein, and Employee has had the

11

opportunity to ask questions of, and receive responses from, the Company regarding such matters and the terms and conditions of this Agreement.

IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the date first above written.

“SOUTHERN”
THE SOUTHERN COMPANY
By:	/s/Patricia L. Roberts
Its:	Assistant Secretary
“SCS”
SOUTHERN COMPANY SERVICES, INC.
By:	/s/Patricia L. Roberts
Its:	Assistant Secretary
“COMPANY”
GEORGIA POWER COMPANY
By:	/s/Thomas P. Bishop
Its:	SVP & General Counsel
“EMPLOYEE”
Christopher C. Womack
/s/Christopher C. Womack

12

EX-31.A1

Exhibit 31(a)1

THE SOUTHERN COMPANY

CERTIFICATION OF CHIEF EXECUTIVE OFFICER

I, Thomas A. Fanning, certify that:

1.I have reviewed this quarterly report on Form 10-Q of The Southern Company;

2.Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3.Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4.The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

(a)Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

(b)Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

(c)Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

(d)Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

5.The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

(a)All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

(b)Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

Date:  October 26, 2022

/s/Thomas A. Fanning

Thomas A. Fanning

Chairman, President and
Chief Executive Officer

EX-31.A2

Exhibit 31(a)2

THE SOUTHERN COMPANY

CERTIFICATION OF CHIEF FINANCIAL OFFICER

I, Daniel S. Tucker, certify that:

1.I have reviewed this quarterly report on Form 10-Q of The Southern Company;

2.Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3.Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4.The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

(a)Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

(b)Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

(c)Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

(d)Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

5.The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

(a)All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

(b)Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

Date: October 26, 2022

/s/Daniel S. Tucker

Daniel S. Tucker

Executive Vice President and Chief Financial Officer

EX-31.B1

Exhibit 31(b)1

ALABAMA POWER COMPANY

CERTIFICATION OF CHIEF EXECUTIVE OFFICER

I, Mark A. Crosswhite, certify that:

1.I have reviewed this quarterly report on Form 10-Q of Alabama Power Company;

2.Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3.Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4.The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

(a)Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

(b)Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

(c)Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

(d)Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

5.The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

(a)All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

(b)Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

Date:  October 26, 2022

/s/Mark A. Crosswhite

Mark A. Crosswhite

Chairman, President and Chief Executive Officer

EX-31.B2

Exhibit 31(b)2

ALABAMA POWER COMPANY

CERTIFICATION OF CHIEF FINANCIAL OFFICER

I, Philip C. Raymond, certify that:

1.I have reviewed this quarterly report on Form 10-Q of Alabama Power Company;

2.Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3.Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4.The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

(a)Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

(b)Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

(c)Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

(d)Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

5.The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

(a)All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

(b)Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

Date:  October 26, 2022

/s/Philip C. Raymond

Philip C. Raymond

Executive Vice President, Chief Financial Officer
and Treasurer

EX-31.C1

Exhibit 31(c)1

GEORGIA POWER COMPANY

CERTIFICATION OF CHIEF EXECUTIVE OFFICER

I, Christopher C. Womack, certify that:

1.I have reviewed this quarterly report on Form 10-Q of Georgia Power Company;

2.Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3.Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4.The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

(a)Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

(b)Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

(c)Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

(d)Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

5.The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

(a)All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

(b)Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

Date:  October 26, 2022

/s/Christopher C. Womack

Christopher C. Womack

Chairman, President and Chief Executive Officer

EX-31.C2

Exhibit 31(c)2

GEORGIA POWER COMPANY

CERTIFICATION OF CHIEF FINANCIAL OFFICER

I, Aaron P. Abramovitz, certify that:

1.I have reviewed this quarterly report on Form 10-Q of Georgia Power Company;

2.Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3.Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4.The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

(a)Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

(b)Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

(c)Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

(d)Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

5.The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

(a)All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

(b)Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

Date:  October 26, 2022

/s/Aaron P. Abramovitz

Aaron P. Abramovitz

Executive Vice President, Chief Financial Officer and Treasurer

EX-31.D1

Exhibit 31(d)1

MISSISSIPPI POWER COMPANY

CERTIFICATION OF CHIEF EXECUTIVE OFFICER

I, Anthony L. Wilson, certify that:

1.I have reviewed this quarterly report on Form 10-Q of Mississippi Power Company;

2.Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3.Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4.The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

(a)Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

(b)Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

(c)Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

(d)Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

5.The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

(a)All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

(b)Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

Date:  October 26, 2022

/s/Anthony L. Wilson

Anthony L. Wilson

Chairman, President and
 Chief Executive Officer

EX-31.D2

Exhibit 31(d)2

MISSISSIPPI POWER COMPANY

CERTIFICATION OF CHIEF FINANCIAL OFFICER

I, Moses H. Feagin, certify that:

1.I have reviewed this quarterly report on Form 10-Q of Mississippi Power Company;

2.Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3.Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4.The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

(a)Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

(b)Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

(c)Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

(d)Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

5.The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

(a)All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

(b)Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

Date:  October 26, 2022

/s/Moses H. Feagin

Moses H. Feagin

Senior Vice President, Treasurer and
Chief Financial Officer

EX-31.E1

Exhibit 31(e)1

SOUTHERN POWER COMPANY

CERTIFICATION OF CHIEF EXECUTIVE OFFICER

I, Christopher Cummiskey, certify that:

1.I have reviewed this quarterly report on Form 10-Q of Southern Power Company;

2.Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3.Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4.The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

(a)Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

(b)Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

(c)Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

(d)Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

5.The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

(a)All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

(b)Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

Date:   October 26, 2022

/s/Christopher Cummiskey

Christopher Cummiskey

Chairman and Chief Executive Officer

EX-31.E2

Exhibit 31(e)2

SOUTHERN POWER COMPANY

CERTIFICATION OF CHIEF FINANCIAL OFFICER

I, Gary Kerr, certify that:

1.I have reviewed this quarterly report on Form 10-Q of Southern Power Company;

2.Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3.Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4.The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

(a)Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

(b)Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

(c)Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

(d)Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

5.The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

(a)All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

(b)Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

Date:  October 26, 2022

/s/Gary Kerr

Gary Kerr

Senior Vice President, Chief
Financial Officer and Treasurer

EX-31.F1

Exhibit 31(f)1

SOUTHERN COMPANY GAS

CERTIFICATION OF CHIEF EXECUTIVE OFFICER

I, Kimberly S. Greene, certify that:

1.I have reviewed this quarterly report on Form 10-Q of Southern Company Gas;

2.Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3.Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4.The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

(a)Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

(b)Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

(c)Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

(d)Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

5.The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

(a)All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

(b)Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

Date:  October 26, 2022

/s/Kimberly S. Greene

Kimberly S. Greene

Chairman, President and Chief

 Executive Officer

EX-31.F2

Exhibit 31(f)2

SOUTHERN COMPANY GAS

CERTIFICATION OF CHIEF FINANCIAL OFFICER

I, David P. Poroch, certify that:

1.I have reviewed this quarterly report on Form 10-Q of Southern Company Gas;

2.Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3.Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4.The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

(a)Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

(b)Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

(c)Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

(d)Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

5.The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

(a)All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

(b)Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

Date:  October 26, 2022

/s/David P. Poroch

David P. Poroch

Executive Vice President, Chief Financial
Officer and Treasurer

EX-32.A

Exhibit 32(a)

CERTIFICATION

18 U.S.C. SECTION 1350

AS ADOPTED PURSUANT TO SECTION 906 OF THE

SARBANES-OXLEY ACT OF 2002

In connection with the accompanying Quarterly Report on Form 10-Q of The Southern Company for the quarter ended September 30, 2022, we, the undersigned, hereby certify pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, to the best of our individual knowledge and belief, that:

(1)such Quarterly Report on Form 10-Q of The Southern Company for the quarter ended September 30, 2022, which this statement accompanies, fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934; and

(2)the information contained in such Quarterly Report on Form 10-Q of The Southern Company for the quarter ended September 30, 2022, fairly presents, in all material respects, the financial condition and results of operations of The Southern Company.

/s/Thomas A. Fanning

Thomas A. Fanning

Chairman, President and
Chief Executive Officer

/s/Daniel S. Tucker

Daniel S. Tucker

Executive Vice President and
Chief Financial Officer

October 26, 2022

EX-32.B

Exhibit 32(b)

CERTIFICATION

18 U.S.C. SECTION 1350

AS ADOPTED PURSUANT TO SECTION 906 OF THE

SARBANES-OXLEY ACT OF 2002

In connection with the accompanying Quarterly Report on Form 10-Q of Alabama Power Company for the quarter ended September 30, 2022, we, the undersigned, hereby certify pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, to the best of our individual knowledge and belief, that:

(1)such Quarterly Report on Form 10-Q of Alabama Power Company for the quarter ended September 30, 2022, which this statement accompanies, fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934; and

(2)the information contained in such Quarterly Report on Form 10-Q of Alabama Power Company for the quarter ended September 30, 2022, fairly presents, in all material respects, the financial condition and results of operations of Alabama Power Company.

/s/Mark A. Crosswhite

Mark A. Crosswhite

Chairman, President and Chief Executive Officer

/s/Philip C. Raymond

Philip C. Raymond

Executive Vice President,
Chief Financial Officer and Treasurer

October 26, 2022

EX-32.C

Exhibit 32(c)

CERTIFICATION

18 U.S.C. SECTION 1350

AS ADOPTED PURSUANT TO SECTION 906 OF THE

SARBANES-OXLEY ACT OF 2002

In connection with the accompanying Quarterly Report on Form 10-Q of Georgia Power Company for the quarter ended September 30, 2022, we, the undersigned, hereby certify pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, to the best of our individual knowledge and belief, that:

(1)such Quarterly Report on Form 10-Q of Georgia Power Company for the quarter ended September 30, 2022, which this statement accompanies, fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934; and

(2)the information contained in such Quarterly Report on Form 10-Q of Georgia Power Company for the quarter ended September 30, 2022, fairly presents, in all material respects, the financial condition and results of operations of Georgia Power Company.

/s/Christopher C. Womack

Christopher C. Womack

Chairman, President and Chief Executive Officer

/s/Aaron P. Abramovitz

Aaron P. Abramovitz

Executive Vice President, Chief Financial Officer and Treasurer

October 26, 2022

EX-32.D

Exhibit 32(d)

CERTIFICATION

18 U.S.C. SECTION 1350

AS ADOPTED PURSUANT TO SECTION 906 OF THE

SARBANES-OXLEY ACT OF 2002

In connection with the accompanying Quarterly Report on Form 10-Q of Mississippi Power Company for the quarter ended September 30, 2022, we, the undersigned, hereby certify pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, to the best of our individual knowledge and belief, that:

(1)such Quarterly Report on Form 10-Q of Mississippi Power Company for the quarter ended September 30, 2022, which this statement accompanies, fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934; and

(2)the information contained in such Quarterly Report on Form 10-Q of Mississippi Power Company for the quarter ended September 30, 2022, fairly presents, in all material respects, the financial condition and results of operations of Mississippi Power Company.

/s/Anthony L. Wilson

Anthony L. Wilson

Chairman, President and Chief Executive Officer

/s/Moses H. Feagin

Moses H. Feagin

Senior Vice President, Treasurer and
Chief Financial Officer

October 26, 2022

EX-32.E

Exhibit 32(e)

CERTIFICATION

18 U.S.C. SECTION 1350

AS ADOPTED PURSUANT TO SECTION 906 OF THE

SARBANES-OXLEY ACT OF 2002

In connection with the accompanying Quarterly Report on Form 10-Q of Southern Power Company for the quarter ended September 30, 2022, we, the undersigned, hereby certify pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, to the best of our individual knowledge and belief, that:

(1)such Quarterly Report on Form 10-Q of Southern Power Company for the quarter ended September 30, 2022, which this statement accompanies, fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934; and

(2)the information contained in such Quarterly Report on Form 10-Q of Southern Power Company for the quarter ended September 30, 2022, fairly presents, in all material respects, the financial condition and results of operations of Southern Power Company.

/s/Christopher Cummiskey

Christopher Cummiskey

Chairman and Chief Executive Officer

/s/Gary Kerr

Gary Kerr

Senior Vice President, Chief Financial Officer and Treasurer

October 26, 2022

EX-32.F

Exhibit 32(f)

CERTIFICATION

18 U.S.C. SECTION 1350

AS ADOPTED PURSUANT TO SECTION 906 OF THE

SARBANES-OXLEY ACT OF 2002

In connection with the accompanying Quarterly Report on Form 10-Q of Southern Company Gas for the quarter ended September 30, 2022, we, the undersigned, hereby certify pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, to the best of our individual knowledge and belief, that:

(1)such Quarterly Report on Form 10-Q of Southern Company Gas for the quarter ended September 30, 2022, which this statement accompanies, fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934; and

(2)the information contained in such Quarterly Report on Form 10-Q of Southern Company Gas for the quarter ended September 30, 2022, fairly presents, in all material respects, the financial condition and results of operations of Southern Company Gas.

/s/Kimberly S. Greene

Kimberly S. Greene

Chairman, President and Chief Executive Officer

/s/David P. Poroch

David P. Poroch

Executive Vice President, Chief Financial

Officer and Treasurer

October 26, 2022

XML

Cover Page	9 Months Ended
	Sep. 30, 2022 shares
Document Information [Line Items]
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Sep. 30, 2022
Document Transition Report	false
Entity File Number	1-3526
Entity Registrant Name	The Southern Company
Entity Tax Identification Number	58-0690070
Entity Incorporation, State or Country Code	DE
Entity Address, Address Line One	30 Ivan Allen Jr. Boulevard, N.W.
Entity Address, City or Town	Atlanta
Entity Address, State or Province	GA
Entity Address, Postal Zip Code	30308
City Area Code	404
Local Phone Number	506-5000
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 Stock, Shares Outstanding (in shares)	1,088,672,828
Entity Central Index Key	0000092122
Amendment Flag	false
Document Fiscal Year Focus	2022
Document Fiscal Period Focus	Q3
Current Fiscal Year End Date	--12-31
Common Stock, par value $5 per share
Document Information [Line Items]
Title of 12(b) Security	Common Stock, par value $5 per share
Trading Symbol	SO
Security Exchange Name	NYSE
Series 2017B 5.25% Junior Subordinated Notes due 2077
Document Information [Line Items]
Title of 12(b) Security	Series 2017B 5.25% Junior Subordinated Notes due 2077
Trading Symbol	SOJC
Security Exchange Name	NYSE
2019 Series A Corporate Units
Document Information [Line Items]
Title of 12(b) Security	2019 Series A Corporate Units
Trading Symbol	SOLN
Security Exchange Name	NYSE
Series 2020A 4.95% Junior Subordinated Notes due 2080
Document Information [Line Items]
Title of 12(b) Security	Series 2020A 4.95% Junior Subordinated Notes due 2080
Trading Symbol	SOJD
Security Exchange Name	NYSE
Series 2020C 4.20% Junior Subordinated Notes due 2060
Document Information [Line Items]
Title of 12(b) Security	Series 2020C 4.20% Junior Subordinated Notes due 2060
Trading Symbol	SOJE
Security Exchange Name	NYSE
Series 2021B 1.875% Fixed-to-Fixed Reset Rate Junior Subordinated Notes due 2081
Document Information [Line Items]
Title of 12(b) Security	Series 2021B 1.875% Fixed-to-Fixed Reset Rate Junior Subordinated Notes due 2081
Trading Symbol	SO 81
Security Exchange Name	NYSE
ALABAMA POWER CO
Document Information [Line Items]
Entity File Number	1-3164
Entity Registrant Name	Alabama Power Company
Entity Tax Identification Number	63-0004250
Entity Incorporation, State or Country Code	AL
Entity Address, Address Line One	600 North 18th Street
Entity Address, City or Town	Birmingham
Entity Address, State or Province	AL
Entity Address, Postal Zip Code	35203
City Area Code	205
Local Phone Number	257-1000
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 Common Stock, Shares Outstanding (in shares)	30,537,500
Entity Central Index Key	0000003153
ALABAMA POWER CO | 5.00% Series Class A Preferred Stock
Document Information [Line Items]
Title of 12(b) Security	5.00% Series Class A Preferred Stock
Trading Symbol	ALP PR Q
Security Exchange Name	NYSE
GEORGIA POWER CO
Document Information [Line Items]
Entity File Number	1-6468
Entity Registrant Name	Georgia Power Company
Entity Tax Identification Number	58-0257110
Entity Incorporation, State or Country Code	GA
Entity Address, Address Line One	241 Ralph McGill Boulevard, N.E.
Entity Address, City or Town	Atlanta
Entity Address, State or Province	GA
Entity Address, Postal Zip Code	30308
City Area Code	404
Local Phone Number	506-6526
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 Common Stock, Shares Outstanding (in shares)	9,261,500
Entity Central Index Key	0000041091
GEORGIA POWER CO | Series 2017A 5.00% Junior Subordinated Notes due 2077
Document Information [Line Items]
Title of 12(b) Security	Series 2017A 5.00% Junior Subordinated Notes due 2077
Trading Symbol	GPJA
Security Exchange Name	NYSE
MISSISSIPPI POWER CO
Document Information [Line Items]
Entity File Number	001-11229
Entity Registrant Name	Mississippi Power Company
Entity Tax Identification Number	64-0205820
Entity Incorporation, State or Country Code	MS
Entity Address, Address Line One	2992 West Beach Boulevard
Entity Address, City or Town	Gulfport
Entity Address, State or Province	MS
Entity Address, Postal Zip Code	39501
City Area Code	228
Local Phone Number	864-1211
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 Common Stock, Shares Outstanding (in shares)	1,121,000
Entity Central Index Key	0000066904
SOUTHERN POWER CO
Document Information [Line Items]
Entity File Number	001-37803
Entity Registrant Name	Southern Power Company
Entity Tax Identification Number	58-2598670
Entity Incorporation, State or Country Code	DE
Entity Address, Address Line One	30 Ivan Allen Jr. Boulevard, N.W.
Entity Address, City or Town	Atlanta
Entity Address, State or Province	GA
Entity Address, Postal Zip Code	30308
City Area Code	404
Local Phone Number	506-5000
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 Common Stock, Shares Outstanding (in shares)	1,000
Entity Central Index Key	0001160661
SOUTHERN POWER CO | Series 2016B 1.850% Senior Notes due 2026
Document Information [Line Items]
Title of 12(b) Security	Series 2016B 1.850% Senior Notes due 2026
Trading Symbol	SO/26A
Security Exchange Name	NYSE
SOUTHERN Co GAS
Document Information [Line Items]
Entity File Number	1-14174
Entity Registrant Name	Southern Company Gas
Entity Tax Identification Number	58-2210952
Entity Incorporation, State or Country Code	GA
Entity Address, Address Line One	Ten Peachtree Place, N.E.
Entity Address, City or Town	Atlanta
Entity Address, State or Province	GA
Entity Address, Postal Zip Code	30309
City Area Code	404
Local Phone Number	584-4000
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 Common Stock, Shares Outstanding (in shares)	100
Entity Central Index Key	0001004155

XML

Condensed Consolidated Statements of Income (Unaudited) - Southern - USD ($) shares in Millions, $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2022	Sep. 30, 2021
Operating Revenues:
Total operating revenues	$ 8,378	$ 6,238	$ 22,232	$ 17,346
Operating Expenses:
Other operations and maintenance	1,547	1,446	4,621	4,257
Depreciation and amortization	922	896	2,728	2,658
Taxes other than income taxes	352	312	1,073	969
Estimated loss on Plant Vogtle Units 3 and 4	(70)	264	(18)	772
Gain on dispositions, net	(20)	(125)	(53)	(179)
Total operating expenses	6,185	4,515	17,000	13,317
Operating Income	2,193	1,723	5,232	4,029
Other Income and (Expense):
Allowance for equity funds used during construction	59	49	163	140
Earnings from equity method investments	28	30	109	35
Interest expense, net of amounts capitalized	(511)	(451)	(1,461)	(1,352)
Other income (expense), net	132	131	414	290
Total other income and (expense)	(292)	(241)	(775)	(887)
Earnings Before Income Taxes	1,901	1,482	4,457	3,142
Income taxes (benefit)	414	372	891	550
Consolidated Net Income	1,487	1,110	3,566	2,592
Dividends on preferred stock of subsidiaries	3	4	10	11
Net income (loss) attributable to noncontrolling interests	12	5	(55)	(27)
Net Income	$ 1,472	$ 1,101	$ 3,611	$ 2,608
Earnings per share -
Basic (in dollars per share)	$ 1.36	$ 1.04	$ 3.38	$ 2.46
Diluted (in dollars per share)	$ 1.35	$ 1.03	$ 3.36	$ 2.44
Average number of shares of common stock outstanding — (in millions)
Basic (in shares)	1,082	1,061	1,070	1,060
Diluted (in shares)	1,088	1,068	1,076	1,067
Retail electric revenues
Operating Revenues:
Total operating revenues	$ 5,961	$ 4,551	$ 14,363	$ 11,492
Wholesale Electric
Operating Revenues:
Total operating revenues	1,197	731	2,798	1,822
Other electric revenues
Operating Revenues:
Total operating revenues	185	179	554	525
Natural Gas
Operating Revenues:
Total operating revenues	857	623	3,998	2,994
Natural gas
Operating Expenses:
Less Gross Gas Costs	294	129	1,840	943
Alternative revenue programs
Operating Revenues:
Total operating revenues	(1)	(1)	0	3
Other revenues
Operating Revenues:
Total operating revenues	178	154	519	513
Operating Expenses:
Less Gross Gas Costs	92	71	275	255
Fuel
Operating Expenses:
Less Gross Gas Costs	2,423	1,234	5,249	2,930
Purchased power
Operating Expenses:
Less Gross Gas Costs	$ 645	$ 288	$ 1,285	$ 712

XML

Condensed Consolidated Statements of Income (Unaudited) - Southern (Parenthetical) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2022	Sep. 30, 2021
Total operating revenues	$ 8,378	$ 6,238	$ 22,232	$ 17,346
Natural Gas
Total operating revenues	857	623	3,998	2,994
Alternative revenue programs
Total operating revenues	$ (1)	$ (1)	$ 0	$ 3

XML

Condensed Consolidated Statements of Comprehensive Income (Unaudited) - Southern - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2022	Sep. 30, 2021
Statement of Comprehensive Income [Abstract]
Net income	$ 1,487	$ 1,110	$ 3,566	$ 2,592
Qualifying hedges:
Changes in fair value, net of tax	0	1	(27)	(15)
Reclassification adjustment for amounts included in net income, net of tax	26	31	100	81
Pension and other postretirement benefit plans:
Reclassification adjustment for amounts included in net income, net of tax	2	4	8	10
Total other comprehensive income	28	36	81	76
Comprehensive Income	1,515	1,146	3,647	2,668
Dividends on preferred stock of subsidiaries	3	4	10	11
Comprehensive income (loss) attributable to noncontrolling interests	12	5	(55)	(27)
Comprehensive Income	$ 1,500	$ 1,137	$ 3,692	$ 2,684

XML

Condensed Consolidated Statements of Comprehensive Income (Unaudited) - Southern (Parenthetical) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2022	Sep. 30, 2021
Statement of Comprehensive Income [Abstract]
Changes in fair value, tax	$ 2	$ 1	$ (5)	$ (4)
Qualifying hedges, reclassification adjustment, tax	8	10	32	27
Reclassification adjustment for amounts included in net income, tax	$ 1	$ 1	$ 3	$ 4

XML

Condensed Consolidated Statements of Cash Flows (Unaudited) - Southern - USD ($) $ in Millions	9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021
Operating Activities:
Net income (loss)	$ 3,566	$ 2,592
Adjustments to reconcile net income to net cash provided from operating activities —
Depreciation and amortization, total	3,084	2,944
Deferred income taxes	608	89
Utilization of federal investment tax credits	266	256
Allowance for equity funds used during construction	(163)	(140)
Mark-to-market adjustments	(33)	147
Pension, postretirement, and other employee benefits	(322)	(218)
Settlement of asset retirement obligations	(314)	(341)
Stock based compensation expense	116	134
Estimated loss on Plant Vogtle Units 3 and 4	(18)	772
Storm damage accruals	160	166
Gain on dispositions, net	(41)	(171)
Natural gas cost under recovery – long-term	207	(79)
Retail fuel cost under recovery – long-term	(1,701)	(209)
Other, net	(45)	156
Changes in certain current assets and liabilities —
Receivables	(327)	2
Materials and supplies	(138)	(91)
Natural gas for sale, net of temporary LIFO liquidation	(136)	20
Natural gas cost under recovery	(124)	(432)
Other current assets	(343)	(180)
Accounts payable	805	(45)
Accrued taxes	167	288
Accrued compensation	(123)	(93)
Accrued interest	(101)	(110)
Retail fuel cost over recovery	(1)	(150)
Other current liabilities	(32)	(226)
Net cash provided from operating activities	5,017	5,081
Investing Activities:
Business acquisitions, net of cash acquired	0	(345)
Property additions	(5,502)	(5,222)
Nuclear decommissioning trust fund purchases	(858)	(1,301)
Nuclear decommissioning trust fund sales	854	1,297
Proceeds from dispositions	120	160
Cost of removal, net of salvage	(518)	(282)
Payments pursuant to LTSAs	(121)	(145)
Other investing activities	73	(12)
Net cash used for investing activities	(5,952)	(5,850)
Financing Activities:
Decrease in notes payable, net	(349)	(203)
Proceeds —
Long-term debt	3,800	6,793
Short-term borrowings	1,200	325
Common stock	1,803	62
Redemptions and repurchases —
Long-term debt	(1,932)	(3,060)
Short-term borrowings	(900)	(25)
Capital contributions from noncontrolling interests	73	415
Distributions to noncontrolling interests	(175)	(204)
Payment of common stock dividends	(2,166)	(2,077)
Other financing activities	(235)	(224)
Net cash provided from financing activities	1,119	1,802
Net Change in Cash, Cash Equivalents, and Restricted Cash	184	1,033
Cash, Cash Equivalents, and Restricted Cash at Beginning of Period	1,829	1,068
Cash, Cash Equivalents, and Restricted Cash at End of Period	2,013	2,101
Supplemental Cash Flow Information:
Interest, net of amounts capitalized	1,425	1,417
Income taxes, net	160	92
Noncash transactions —
Accrued property additions at year-end	872	915
Contributions from noncontrolling interests	0	89
Contributions of wind turbine equipment	0	82
Right-of-use assets obtained under leases	141	92
Reassessment of right-of-use assets under operating leases	$ 40	$ 0

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Condensed Consolidated Statements of Cash Flows (Unaudited) - Southern (Parenthetical) - USD ($) $ in Millions	9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021
Statement of Cash Flows [Abstract]
Net cash paid for capitalized interest	$ 74	$ 68

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Condensed Consolidated Balance Sheets (Unaudited) - Southern - USD ($) $ in Millions	Sep. 30, 2022	Dec. 31, 2021
Current Assets:
Cash and cash equivalents	$ 2,009	$ 1,798
Receivables —
Customer accounts	2,223	1,806
Unbilled revenues	593	711
Other accounts and notes	533	523
Accumulated provision for uncollectible accounts	(80)	(78)
Materials and supplies	1,657	1,543
Fossil fuel for generation	526	450
Natural gas for sale	498	362
Prepaid expenses	373	330
Assets from risk management activities, net of collateral	289	151
Regulatory assets – asset retirement obligations	284	219
Natural gas cost under recovery	390	266
Other regulatory assets	746	653
Other current assets	322	231
Total current assets	10,363	8,965
Property, Plant, and Equipment:
In service	116,236	115,592
Less: Accumulated depreciation	34,922	34,079
Plant in service, net of depreciation	81,314	81,513
Other utility plant, net	602	0
Nuclear fuel, at amortized cost	840	824
Construction work in progress	10,773	8,771
Total property, plant, and equipment	93,529	91,108
Other Property and Investments:
Goodwill	5,280	5,280
Nuclear decommissioning trusts, at fair value	2,031	2,542
Equity investments in unconsolidated subsidiaries	1,292	1,282
Other intangible assets, net of amortization	415	445
Miscellaneous property and investments	590	653
Total other property and investments	9,608	10,202
Deferred Charges and Other Assets:
Operating lease right-of-use assets, net of amortization	1,560	1,701
Deferred charges related to income taxes	854	824
Prepaid pension costs	2,019	1,657
Unamortized loss on reacquired debt	243	258
Deferred under recovered fuel clause revenues	1,697	410
Regulatory assets – asset retirement obligations, deferred	6,519	5,466
Other regulatory assets, deferred	6,121	5,577
Other deferred charges and assets	1,492	1,366
Total deferred charges and other assets	20,505	17,259
Total Assets	134,005	127,534
Current Liabilities:
Securities due within one year	3,241	2,157
Notes payable	1,398	1,440
Accounts payable	3,079	2,169
Customer deposits	516	479
Accrued taxes —
Accrued income taxes	129	50
Other accrued taxes	882	641
Accrued interest	431	533
Accrued compensation	961	1,070
Asset retirement obligations	689	697
Operating lease obligations	191	250
Other regulatory liabilities	440	563
Other current liabilities	844	872
Total current liabilities	12,801	10,921
Long-term Debt	50,427	50,120
Deferred Credits and Other Liabilities:
Accumulated deferred income taxes	9,916	8,862
Deferred credits related to income taxes	5,271	5,401
Accumulated deferred ITCs	2,154	2,216
Employee benefit obligations	1,466	1,550
Operating lease obligations, deferred	1,393	1,503
Asset retirement obligations, deferred	11,007	10,990
Other cost of removal obligations	1,950	2,103
Other regulatory liabilities, deferred	536	485
Other deferred credits and liabilities	1,366	816
Total deferred credits and other liabilities	35,059	33,926
Total Liabilities	98,287	94,967
Redeemable preferred stock	242	291
Total Stockholders' Equity	35,476	32,276
Total Liabilities and Stockholders' Equity	$ 134,005	$ 127,534

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Condensed Consolidated Balance Sheets (Unaudited) - Southern (Parenthetical) - USD ($) $ in Millions	Sep. 30, 2022	Dec. 31, 2021
Statement of Financial Position [Abstract]
Other intangible assets, amortization	$ 331	$ 307

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Condensed Consolidated Statements of Stockholders' Equity (Unaudited) - Southern - USD ($) shares in Millions, $ in Millions	Total	Common Stock	Treasury	Paid-In Capital	Retained Earnings (Accumulated Deficit)	Accumulated Other Comprehensive Income (Loss)	Noncontrolling Interests
Beginning balance (in shares) at Dec. 31, 2020		1,058
Beginning balance (in shares) at Dec. 31, 2020			(1)
Beginning balance at Dec. 31, 2020	$ 32,234	$ 5,268	$ (46)	$ 11,834	$ 11,311	$ (395)	$ 4,262
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Consolidated net income (loss)	1,103				1,135		(32)
Other comprehensive income (loss)	28					28
Stock issued (in shares)		2
Stock issued	14	$ 5		9
Stock-based compensation	9			9
Cash dividends on common stock	(678)				(678)
Capital contributions from noncontrolling interests	403						403
Distributions to noncontrolling interests	(46)						(46)
Other	1			2			(1)
Ending balance (in shares) at Mar. 31, 2021		1,060
Ending balance (in shares) at Mar. 31, 2021			(1)
Ending balance at Mar. 31, 2021	33,068	$ 5,273	$ (46)	11,854	11,768	(367)	4,586
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Consolidated net income (loss)	372				372		0
Other comprehensive income (loss)	12					12
Stock issued	10	$ 1		9
Stock-based compensation	22			22
Cash dividends on common stock	(699)				(699)
Capital contributions from noncontrolling interests	29						29
Distributions to noncontrolling interests	(68)						(68)
Other	0		$ (2)	1	1
Ending balance (in shares) at Jun. 30, 2021		1,060
Ending balance (in shares) at Jun. 30, 2021			(1)
Ending balance at Jun. 30, 2021	32,746	$ 5,274	$ (48)	11,886	11,442	(355)	4,547
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Consolidated net income (loss)	1,106				1,101		5
Other comprehensive income (loss)	36					36
Stock issued (in shares)		1
Stock issued	38	$ 4		34
Stock-based compensation	22			22
Cash dividends on common stock	(700)				(700)
Capital contributions from noncontrolling interests	72						72
Distributions to noncontrolling interests	(94)						(94)
Other	(7)		$ 2	(10)	1
Ending balance (in shares) at Sep. 30, 2021		1,061
Ending balance (in shares) at Sep. 30, 2021			(1)
Ending balance at Sep. 30, 2021	33,219	$ 5,278	$ (46)	11,932	11,844	(319)	4,530
Beginning balance (in shares) at Dec. 31, 2021		1,061
Beginning balance (in shares) at Dec. 31, 2021			(1)
Beginning balance at Dec. 31, 2021	32,276	$ 5,279	$ (47)	11,950	10,929	(237)	4,402
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Consolidated net income (loss)	987				1,032		(45)
Other comprehensive income (loss)	42					42
Stock issued (in shares)		3
Stock issued	38	$ 7		31
Stock-based compensation	6			6
Cash dividends on common stock	(702)				(702)
Capital contributions from noncontrolling interests	73						73
Distributions to noncontrolling interests	(98)						(98)
Other	7		$ (2)	7	2
Ending balance (in shares) at Mar. 31, 2022		1,064
Ending balance (in shares) at Mar. 31, 2022			(1)
Ending balance at Mar. 31, 2022	32,629	$ 5,286	$ (49)	11,994	11,261	(195)	4,332
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Consolidated net income (loss)	1,085				1,107		(22)
Other comprehensive income (loss)	11					11
Stock issued	23	$ 2		21
Stock-based compensation	14			14
Cash dividends on common stock	(723)				(723)
Distributions to noncontrolling interests	(28)						(28)
Other	2		$ (2)	4
Ending balance (in shares) at Jun. 30, 2022		1,064
Ending balance (in shares) at Jun. 30, 2022			(1)
Ending balance at Jun. 30, 2022	33,013	$ 5,288	$ (51)	12,033	11,645	(184)	4,282
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Consolidated net income (loss)	1,484				1,472		12
Other comprehensive income (loss)	28					28
Stock issued (in shares)		26
Stock issued	1,742	$ 129		1,613
Stock-based compensation	15			15
Cash dividends on common stock	(741)				(741)
Distributions to noncontrolling interests	(57)						(57)
Other	(8)		$ (1)	(4)	(2)	(1)
Ending balance (in shares) at Sep. 30, 2022		1,090
Ending balance (in shares) at Sep. 30, 2022			(1)
Ending balance at Sep. 30, 2022	$ 35,476	$ 5,417	$ (52)	$ 13,657	$ 12,374	$ (157)	$ 4,237

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Condensed Consolidated Statements of Stockholders' Equity (Unaudited) - Southern (Parenthetical) - $ / shares	3 Months Ended
	Sep. 30, 2022	Jun. 30, 2022	Mar. 31, 2022	Sep. 30, 2021	Jun. 30, 2021	Mar. 31, 2021
Statement of Stockholders' Equity [Abstract]
Cash dividends (in dollars per share)	$ 0.68	$ 0.68	$ 0.66	$ 0.66	$ 0.66	$ 0.64

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Condensed Statements of Income (Unaudited) - APC - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2022	Sep. 30, 2021
Operating Revenues:
Total operating revenues	$ 8,378	$ 6,238	$ 22,232	$ 17,346
Operating Expenses:
Other operations and maintenance	1,547	1,446	4,621	4,257
Depreciation and amortization	922	896	2,728	2,658
Taxes other than income taxes	352	312	1,073	969
Total operating expenses	6,185	4,515	17,000	13,317
Operating Income	2,193	1,723	5,232	4,029
Other Income and (Expense):
Allowance for equity funds used during construction	59	49	163	140
Interest expense, net of amounts capitalized	(511)	(451)	(1,461)	(1,352)
Total other income (expense), net	132	131	414	290
Total other income and (expense)	(292)	(241)	(775)	(887)
Earnings Before Income Taxes	1,901	1,482	4,457	3,142
Income taxes (benefit)	414	372	891	550
Net income	1,487	1,110	3,566	2,592
Dividends on preferred stock of subsidiaries	3	4	10	11
Net Income	1,472	1,101	3,611	2,608
Retail electric revenues
Operating Revenues:
Total operating revenues	5,961	4,551	14,363	11,492
Wholesale Electric
Operating Revenues:
Total operating revenues	1,197	731	2,798	1,822
Other electric revenues
Operating Revenues:
Total operating revenues	185	179	554	525
Natural Gas
Operating Revenues:
Total operating revenues	857	623	3,998	2,994
Other revenues
Operating Revenues:
Total operating revenues	178	154	519	513
Operating Expenses:
Total cost of sales	92	71	275	255
Fuel
Operating Expenses:
Total cost of sales	2,423	1,234	5,249	2,930
Purchased power
Operating Expenses:
Total cost of sales	645	288	1,285	712
Alabama Power
Operating Revenues:
Total operating revenues	2,444	1,904	6,023	5,019
Operating Expenses:
Other operations and maintenance	418	401	1,270	1,175
Depreciation and amortization	220	214	652	640
Taxes other than income taxes	106	99	309	303
Total operating expenses	1,708	1,208	4,237	3,332
Operating Income	736	696	1,786	1,687
Other Income and (Expense):
Allowance for equity funds used during construction	18	14	51	38
Interest expense, net of amounts capitalized	(98)	(84)	(278)	(252)
Total other income (expense), net	38	29	101	93
Total other income and (expense)	(42)	(41)	(126)	(121)
Earnings Before Income Taxes	694	655	1,660	1,566
Income taxes (benefit)	166	152	394	366
Net income	528	503	1,266	1,200
Dividends on preferred stock of subsidiaries	3	4	10	11
Net Income	525	499	1,256	1,189
Alabama Power | Retail electric revenues
Operating Revenues:
Total operating revenues	2,008	1,651	5,015	4,357
Alabama Power | Wholesale revenues, non-affiliates
Operating Revenues:
Total operating revenues	250	107	522	285
Alabama Power | Wholesale revenues, affiliates
Operating Revenues:
Total operating revenues	70	53	170	109
Alabama Power | Other revenues
Operating Revenues:
Total operating revenues	116	93	316	268
Alabama Power | Fuel
Operating Expenses:
Total cost of sales	666	373	1,399	927
Alabama Power | Purchased power
Operating Expenses:
Total cost of sales	185	76	347	173
Alabama Power | Purchased power, affiliates
Operating Expenses:
Total cost of sales	$ 113	$ 45	$ 260	$ 114

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Condensed Statements of Comprehensive Income (Unaudited) - APC - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2022	Sep. 30, 2021
Net income	$ 1,487	$ 1,110	$ 3,566	$ 2,592
Qualifying hedges:
Changes in fair value, net of tax	0	1	(27)	(15)
Reclassification adjustment for amounts included in net income, net of tax	26	31	100	81
Total other comprehensive income	28	36	81	76
Comprehensive Income	1,515	1,146	3,647	2,668
Alabama Power
Net income	528	503	1,266	1,200
Qualifying hedges:
Changes in fair value, net of tax	1	4	(1)	3
Reclassification adjustment for amounts included in net income, net of tax	1	1	3	3
Total other comprehensive income	2	5	2	6
Comprehensive Income	$ 530	$ 508	$ 1,268	$ 1,206

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Condensed Statements of Comprehensive Income (Unaudited) - APC (Parenthetical) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2022	Sep. 30, 2021
Changes in fair value, tax	$ 2	$ 1	$ (5)	$ (4)
Qualifying hedges, reclassification adjustment, tax	8	10	32	27
Alabama Power
Changes in fair value, tax	0	1	0	1
Qualifying hedges, reclassification adjustment, tax	$ 0	$ 0	$ 1	$ 1

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Condensed Statements of Cash Flows (Unaudited) - APC - USD ($) $ in Millions	9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021
Operating Activities:
Net income (loss)	$ 3,566	$ 2,592
Adjustments to reconcile net income to net cash provided from operating activities —
Depreciation and amortization, total	3,084	2,944
Deferred income taxes	608	89
Pension, postretirement, and other employee benefits	(322)	(218)
Settlement of asset retirement obligations	(314)	(341)
Other, net	(45)	156
Changes in certain current assets and liabilities —
Receivables	(327)	2
Retail fuel cost over recovery	(1)	(150)
Other current assets	(343)	(180)
Accounts payable	805	(45)
Accrued taxes	167	288
Other current liabilities	(32)	(226)
Net cash provided from operating activities	5,017	5,081
Investing Activities:
Property additions	(5,502)	(5,222)
Nuclear decommissioning trust fund purchases	(858)	(1,301)
Nuclear decommissioning trust fund sales	854	1,297
Cost of removal, net of salvage	(518)	(282)
Other investing activities	73	(12)
Net cash used for investing activities	(5,952)	(5,850)
Redemptions and repurchases —
Payment of common stock dividends	(2,166)	(2,077)
Other financing activities	(235)	(224)
Net cash provided from financing activities	1,119	1,802
Net Change in Cash, Cash Equivalents, and Restricted Cash	184	1,033
Cash, Cash Equivalents, and Restricted Cash at Beginning of Period	1,829	1,068
Cash, Cash Equivalents, and Restricted Cash at End of Period	2,013	2,101
Supplemental Cash Flow Information:
Interest, net of amounts capitalized	1,425	1,417
Income taxes, net	160	92
Noncash transactions —
Accrued property additions at year-end	872	915
Right-of-use assets obtained under leases	141	92
Alabama Power
Operating Activities:
Net income (loss)	1,266	1,200
Adjustments to reconcile net income to net cash provided from operating activities —
Depreciation and amortization, total	817	748
Deferred income taxes	210	104
Pension, postretirement, and other employee benefits	(85)	(74)
Settlement of asset retirement obligations	(139)	(152)
Retail fuel cost under recovery – long-term	(413)	0
Other, net	(98)	(51)
Changes in certain current assets and liabilities —
Receivables	(296)	(128)
Fossil fuel stock	(40)	91
Prepayments	(34)	(24)
Retail fuel cost over recovery	(93)	(79)
Other current assets	(41)	(32)
Accounts payable	(22)	(230)
Accrued taxes	110	178
Other current liabilities	(70)	(132)
Net cash provided from operating activities	1,072	1,419
Investing Activities:
Property additions	(1,483)	(1,235)
Nuclear decommissioning trust fund purchases	(273)	(536)
Nuclear decommissioning trust fund sales	273	536
Cost of removal, net of salvage	(163)	(93)
Other investing activities	5	(7)
Net cash used for investing activities	(1,641)	(1,335)
Proceeds —
Proceeds — Senior notes	1,700	600
Redemptions and repurchases —
Senior notes	(550)	(200)
Other long-term debt	0	(206)
Capital contributions from parent company	660	630
Payment of common stock dividends	(762)	(738)
Other financing activities	(81)	(30)
Net cash provided from financing activities	967	56
Net Change in Cash, Cash Equivalents, and Restricted Cash	398	140
Cash, Cash Equivalents, and Restricted Cash at Beginning of Period	1,060	530
Cash, Cash Equivalents, and Restricted Cash at End of Period	1,458	670
Supplemental Cash Flow Information:
Interest, net of amounts capitalized	278	246
Income taxes, net	178	183
Noncash transactions —
Accrued property additions at year-end	186	178
Right-of-use assets obtained under leases	$ 9	$ 2

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Condensed Statements of Cash Flows (Unaudited) - APC (Parenthetical) - USD ($) $ in Millions	9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021
Net cash paid for capitalized interest	$ 74	$ 68
Alabama Power
Net cash paid for capitalized interest	$ 14	$ 11

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Condensed Balance Sheets (Unaudited) - APC - USD ($) $ in Millions	Sep. 30, 2022	Dec. 31, 2021
Current Assets:
Cash and cash equivalents	$ 2,009	$ 1,798
Receivables —
Customer accounts	2,223	1,806
Unbilled revenues	593	711
Other accounts and notes	533	523
Accumulated provision for uncollectible accounts	(80)	(78)
Fossil fuel for generation	526	450
Materials and supplies	1,657	1,543
Prepaid expenses	373	330
Other regulatory assets	746	653
Other current assets	322	231
Total current assets	10,363	8,965
Property, Plant, and Equipment:
In service	116,236	115,592
Less: Accumulated depreciation	34,922	34,079
Plant in service, net of depreciation	81,314	81,513
Other utility plant, net	602	0
Nuclear fuel, at amortized cost	840	824
Construction work in progress	10,773	8,771
Total property, plant, and equipment	93,529	91,108
Other Property and Investments:
Nuclear decommissioning trusts, at fair value	2,031	2,542
Equity investments in unconsolidated subsidiaries	1,292	1,282
Miscellaneous property and investments	590	653
Total other property and investments	9,608	10,202
Deferred Charges and Other Assets:
Operating lease right-of-use assets, net of amortization	1,560	1,701
Deferred charges related to income taxes	854	824
Regulatory assets – asset retirement obligations, deferred	6,519	5,466
Other regulatory assets, deferred	6,121	5,577
Other deferred charges and assets	1,492	1,366
Total deferred charges and other assets	20,505	17,259
Total Assets	134,005	127,534
Current Liabilities:
Securities due within one year	3,241	2,157
Accounts payable —
Customer deposits	516	479
Accrued interest	431	533
Accrued compensation	961	1,070
Asset retirement obligations	689	697
Other regulatory liabilities	440	563
Other current liabilities	844	872
Total current liabilities	12,801	10,921
Long-term Debt	50,427	50,120
Deferred Credits and Other Liabilities:
Accumulated deferred income taxes	9,916	8,862
Deferred credits related to income taxes	5,271	5,401
Accumulated deferred ITCs	2,154	2,216
Employee benefit obligations	1,466	1,550
Operating lease obligations, deferred	1,393	1,503
Asset retirement obligations, deferred	11,007	10,990
Other cost of removal obligations	1,950	2,103
Other regulatory liabilities, deferred	536	485
Other deferred credits and liabilities	1,366	816
Total deferred credits and other liabilities	35,059	33,926
Total Liabilities	98,287	94,967
Redeemable preferred stock	242	291
Total Stockholders' Equity	35,476	32,276
Total Liabilities and Stockholders' Equity	134,005	127,534
Alabama Power
Current Assets:
Cash and cash equivalents	1,458	1,060
Receivables —
Customer accounts	573	410
Unbilled revenues	146	138
Affiliated	84	37
Other accounts and notes	131	55
Accumulated provision for uncollectible accounts	(13)	(14)
Fossil fuel for generation	199	159
Materials and supplies	568	548
Prepaid expenses	67	41
Other regulatory assets	298	208
Other current assets	129	67
Total current assets	3,640	2,709
Property, Plant, and Equipment:
In service	33,042	33,135
Less: Accumulated depreciation	10,393	10,313
Plant in service, net of depreciation	22,649	22,822
Other utility plant, net	602	0
Nuclear fuel, at amortized cost	242	247
Construction work in progress	1,524	1,147
Total property, plant, and equipment	25,017	24,216
Other Property and Investments:
Nuclear decommissioning trusts, at fair value	1,067	1,325
Equity investments in unconsolidated subsidiaries	58	57
Miscellaneous property and investments	128	126
Total other property and investments	1,253	1,508
Deferred Charges and Other Assets:
Operating lease right-of-use assets, net of amortization	70	108
Deferred charges related to income taxes	248	240
Prepaid pension and other postretirement benefit costs	605	513
Regulatory assets – asset retirement obligations, deferred	1,952	1,547
Other regulatory assets, deferred	2,048	1,807
Other deferred charges and assets	413	334
Total deferred charges and other assets	5,336	4,549
Total Assets	35,246	32,982
Current Liabilities:
Securities due within one year	202	751
Accounts payable —
Affiliated	401	309
Other	376	459
Customer deposits	106	106
Accrued taxes	209	98
Accrued interest	86	100
Accrued compensation	200	219
Asset retirement obligations	327	320
Other regulatory liabilities	89	215
Other current liabilities	97	125
Total current liabilities	2,093	2,702
Long-term Debt	10,628	8,936
Deferred Credits and Other Liabilities:
Accumulated deferred income taxes	3,829	3,573
Deferred credits related to income taxes	1,930	1,968
Accumulated deferred ITCs	82	88
Employee benefit obligations	171	171
Operating lease obligations, deferred	65	66
Asset retirement obligations, deferred	3,987	4,014
Other cost of removal obligations	57	192
Other regulatory liabilities, deferred	226	210
Other deferred credits and liabilities	62	58
Total deferred credits and other liabilities	10,409	10,340
Total Liabilities	23,130	21,978
Redeemable preferred stock	242	291
Total Stockholders' Equity	11,874	10,713
Total Liabilities and Stockholders' Equity	$ 35,246	$ 32,982

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Condensed Statements of Common Stockholders' Equity (Unaudited) - APC - USD ($) shares in Millions, $ in Millions	Total	Common Stock	Paid-In Capital	Retained Earnings (Accumulated Deficit)	Accumulated Other Comprehensive Income (Loss)	Alabama Power	Alabama Power Common Stock	Alabama Power Paid-In Capital	Alabama Power Retained Earnings (Accumulated Deficit)	Alabama Power Accumulated Other Comprehensive Income (Loss)
Beginning balance (in shares) at Dec. 31, 2020							31
Beginning balance at Dec. 31, 2020	$ 32,234	$ 5,268	$ 11,834	$ 11,311	$ (395)	$ 9,810	$ 1,222	$ 5,413	$ 3,194	$ (19)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income after dividends on preferred stock						359			359
Capital contributions from parent company						602		602
Other comprehensive income (loss)	28				28	1				1
Cash dividends on common stock	(678)			(678)		(246)			(246)
Other	1		2
Ending balance (in shares) at Mar. 31, 2021							31
Ending balance at Mar. 31, 2021	33,068	5,273	11,854	11,768	(367)	10,526	$ 1,222	6,015	3,307	(18)
Beginning balance (in shares) at Dec. 31, 2020							31
Beginning balance at Dec. 31, 2020	32,234	5,268	11,834	11,311	(395)	9,810	$ 1,222	5,413	3,194	(19)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income after dividends on preferred stock	2,608					1,189
Ending balance (in shares) at Sep. 30, 2021							31
Ending balance at Sep. 30, 2021	33,219	5,278	11,932	11,844	(319)	10,903	$ 1,222	6,050	3,644	(13)
Beginning balance (in shares) at Mar. 31, 2021							31
Beginning balance at Mar. 31, 2021	33,068	5,273	11,854	11,768	(367)	10,526	$ 1,222	6,015	3,307	(18)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income after dividends on preferred stock						331			331
Capital contributions from parent company						26		26
Other comprehensive income (loss)	12				12	1				1
Cash dividends on common stock	(699)			(699)		(246)			(246)
Other	0		1	1		(1)			(1)
Ending balance (in shares) at Jun. 30, 2021							31
Ending balance at Jun. 30, 2021	32,746	5,274	11,886	11,442	(355)	10,637	$ 1,222	6,041	3,391	(17)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income after dividends on preferred stock	1,101					499			499
Capital contributions from parent company						9		9
Other comprehensive income (loss)	36				36	5				5
Cash dividends on common stock	(700)			(700)		(246)			(246)
Other	(7)		(10)	1		(1)				(1)
Ending balance (in shares) at Sep. 30, 2021							31
Ending balance at Sep. 30, 2021	33,219	5,278	11,932	11,844	(319)	10,903	$ 1,222	6,050	3,644	(13)
Beginning balance (in shares) at Dec. 31, 2021							31
Beginning balance at Dec. 31, 2021	32,276	5,279	11,950	10,929	(237)	10,713	$ 1,222	6,056	3,448	(13)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income after dividends on preferred stock						347			347
Capital contributions from parent company						626		626
Other comprehensive income (loss)	42				42
Cash dividends on common stock	(702)			(702)		(254)			(254)
Other	7		7	2
Ending balance (in shares) at Mar. 31, 2022							31
Ending balance at Mar. 31, 2022	32,629	5,286	11,994	11,261	(195)	11,432	$ 1,222	6,682	3,541	(13)
Beginning balance (in shares) at Dec. 31, 2021							31
Beginning balance at Dec. 31, 2021	32,276	5,279	11,950	10,929	(237)	10,713	$ 1,222	6,056	3,448	(13)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income after dividends on preferred stock	3,611					1,256
Ending balance (in shares) at Sep. 30, 2022							31
Ending balance at Sep. 30, 2022	35,476	5,417	13,657	12,374	(157)	11,874	$ 1,222	6,721	3,941	(10)
Beginning balance (in shares) at Mar. 31, 2022							31
Beginning balance at Mar. 31, 2022	32,629	5,286	11,994	11,261	(195)	11,432	$ 1,222	6,682	3,541	(13)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income after dividends on preferred stock						383			383
Capital contributions from parent company						32		32
Other comprehensive income (loss)	11				11	1				1
Cash dividends on common stock	(723)			(723)		(254)			(254)
Other	2		4
Ending balance (in shares) at Jun. 30, 2022							31
Ending balance at Jun. 30, 2022	33,013	5,288	12,033	11,645	(184)	11,594	$ 1,222	6,714	3,670	(12)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income after dividends on preferred stock	1,472					525			525
Capital contributions from parent company						7		7
Other comprehensive income (loss)	28				28	2				2
Cash dividends on common stock	(741)			(741)		(254)			(254)
Other	(8)		(4)	(2)	(1)
Ending balance (in shares) at Sep. 30, 2022							31
Ending balance at Sep. 30, 2022	$ 35,476	$ 5,417	$ 13,657	$ 12,374	$ (157)	$ 11,874	$ 1,222	$ 6,721	$ 3,941	$ (10)

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Condensed Statements of Income (Unaudited) - GPC - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2022	Sep. 30, 2021
Operating Revenues:
Total operating revenues	$ 8,378	$ 6,238	$ 22,232	$ 17,346
Operating Expenses:
Other operations and maintenance	1,547	1,446	4,621	4,257
Depreciation and amortization	922	896	2,728	2,658
Taxes other than income taxes	352	312	1,073	969
Estimated loss on Plant Vogtle Units 3 and 4	(70)	264	(18)	772
Total operating expenses	6,185	4,515	17,000	13,317
Operating Income	2,193	1,723	5,232	4,029
Other Income and (Expense):
Allowance for equity funds used during construction	59	49	163	140
Interest expense, net of amounts capitalized	(511)	(451)	(1,461)	(1,352)
Other income (expense), net	132	131	414	290
Total other income and (expense)	(292)	(241)	(775)	(887)
Earnings Before Income Taxes	1,901	1,482	4,457	3,142
Income taxes (benefit)	414	372	891	550
Consolidated Net Income	1,487	1,110	3,566	2,592
Retail electric revenues
Operating Revenues:
Total operating revenues	5,961	4,551	14,363	11,492
Wholesale Electric
Operating Revenues:
Total operating revenues	1,197	731	2,798	1,822
Other electric revenues
Operating Revenues:
Total operating revenues	185	179	554	525
Natural Gas
Operating Revenues:
Total operating revenues	857	623	3,998	2,994
Other revenues
Operating Revenues:
Total operating revenues	178	154	519	513
Operating Expenses:
Less Gross Gas Costs	92	71	275	255
Fuel
Operating Expenses:
Less Gross Gas Costs	2,423	1,234	5,249	2,930
Purchased power
Operating Expenses:
Less Gross Gas Costs	645	288	1,285	712
GEORGIA POWER CO
Operating Revenues:
Total operating revenues	3,889	2,856	9,218	7,050
Operating Expenses:
Other operations and maintenance	595	544	1,686	1,558
Depreciation and amortization	359	345	1,066	1,025
Taxes other than income taxes	155	130	420	365
Estimated loss on Plant Vogtle Units 3 and 4	(70)	264	(18)	772
Total operating expenses	2,755	2,176	6,841	5,842
Operating Income	1,134	680	2,377	1,208
Other Income and (Expense):
Allowance for equity funds used during construction	37	33	102	94
Interest expense, net of amounts capitalized	(123)	(106)	(347)	(315)
Other income (expense), net	36	42	140	124
Total other income and (expense)	(50)	(31)	(105)	(97)
Earnings Before Income Taxes	1,084	649	2,272	1,111
Income taxes (benefit)	226	113	421	81
Consolidated Net Income	858	536	1,851	1,030
GEORGIA POWER CO | Retail electric revenues
Operating Revenues:
Total operating revenues	3,703	2,652	8,629	6,465
GEORGIA POWER CO | Wholesale Electric
Operating Revenues:
Total operating revenues	56	63	186	143
GEORGIA POWER CO | Other revenues
Operating Revenues:
Total operating revenues	130	141	403	442
GEORGIA POWER CO | Fuel
Operating Expenses:
Less Gross Gas Costs	841	432	1,887	1,088
GEORGIA POWER CO | Purchased power
Operating Expenses:
Less Gross Gas Costs	304	173	700	461
GEORGIA POWER CO | Purchased power, affiliates
Operating Expenses:
Less Gross Gas Costs	$ 571	$ 288	$ 1,100	$ 573

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Condensed Statements of Comprehensive Income (Unaudited) - GPC - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2022	Sep. 30, 2021
Net income	$ 1,487	$ 1,110	$ 3,566	$ 2,592
Qualifying hedges:
Changes in fair value, net of tax	0	1	(27)	(15)
Reclassification adjustment for amounts included in net income, net of tax	26	31	100	81
Total other comprehensive income	28	36	81	76
Comprehensive Income	1,515	1,146	3,647	2,668
GEORGIA POWER CO
Net income	858	536	1,851	1,030
Qualifying hedges:
Changes in fair value, net of tax	0	0	23	0
Reclassification adjustment for amounts included in net income, net of tax	1	2	4	5
Total other comprehensive income	1	2	27	5
Comprehensive Income	$ 859	$ 538	$ 1,878	$ 1,035

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Condensed Statements of Comprehensive Income (Unaudited) - GPC (Parenthetical) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2022	Sep. 30, 2021
Changes in fair value, tax	$ 2	$ 1	$ (5)	$ (4)
Qualifying hedges, reclassification adjustment, tax	8	10	32	27
GEORGIA POWER CO
Changes in fair value, tax	0	0	8	0
Qualifying hedges, reclassification adjustment, tax	$ 0	$ 1	$ 1	$ 2

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Condensed Statements of Cash Flows (Unaudited) - GPC - USD ($) $ in Millions	9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021
Operating Activities:
Net income (loss)	$ 3,566	$ 2,592
Adjustments to reconcile net income to net cash provided from operating activities —
Depreciation and amortization, total	3,084	2,944
Deferred income taxes	608	89
Utilization of federal investment tax credits	266	256
Allowance for equity funds used during construction	(163)	(140)
Pension, postretirement, and other employee benefits	(322)	(218)
Settlement of asset retirement obligations	(314)	(341)
Storm damage accruals	160	166
Retail fuel cost under recovery – long-term	(1,701)	(209)
Estimated loss on Plant Vogtle Units 3 and 4	(18)	772
Other, net	(45)	156
Changes in certain current assets and liabilities —
Receivables	(327)	2
Materials and supplies	(138)	(91)
Other current assets	(343)	(180)
Accounts payable	805	(45)
Accrued taxes	167	288
Retail fuel cost over recovery	(1)	(150)
Other current liabilities	(32)	(226)
Net cash provided from operating activities	5,017	5,081
Investing Activities:
Property additions	(5,502)	(5,222)
Nuclear decommissioning trust fund purchases	(858)	(1,301)
Nuclear decommissioning trust fund sales	854	1,297
Cost of removal, net of salvage	(518)	(282)
Proceeds from dispositions	120	160
Other investing activities	73	(12)
Net cash used for investing activities	(5,952)	(5,850)
Financing Activities:
Decrease in notes payable, net	(349)	(203)
Proceeds —
Short-term borrowings	1,200	325
Redemptions and repurchases —
Short-term borrowings	(900)	(25)
Payment of common stock dividends	(2,166)	(2,077)
Other financing activities	(235)	(224)
Net cash provided from financing activities	1,119	1,802
Net Change in Cash, Cash Equivalents, and Restricted Cash	184	1,033
Cash, Cash Equivalents, and Restricted Cash at Beginning of Period	1,829	1,068
Cash, Cash Equivalents, and Restricted Cash at End of Period	2,013	2,101
Supplemental Cash Flow Information:
Interest, net of amounts capitalized	1,425	1,417
Income taxes, net	160	92
Noncash transactions —
Accrued property additions at year-end	872	915
GEORGIA POWER CO
Operating Activities:
Net income (loss)	1,851	1,030
Adjustments to reconcile net income to net cash provided from operating activities —
Depreciation and amortization, total	1,211	1,164
Deferred income taxes	266	(299)
Utilization of federal investment tax credits	49	19
Allowance for equity funds used during construction	(102)	(94)
Pension, postretirement, and other employee benefits	(178)	(112)
Settlement of asset retirement obligations	(149)	(154)
Storm damage accruals	160	160
Retail fuel cost under recovery – long-term	(1,287)	(203)
Estimated loss on Plant Vogtle Units 3 and 4	(18)	772
Other, net	(71)	70
Changes in certain current assets and liabilities —
Receivables	(321)	(85)
Fossil fuel stock	(23)	77
Materials and supplies	(67)	(60)
Contract assets	(51)	(32)
Other current assets	(72)	(20)
Accounts payable	211	164
Accrued taxes	151	154
Retail fuel cost over recovery	0	(113)
Other current liabilities	(78)	(88)
Net cash provided from operating activities	1,482	2,350
Investing Activities:
Property additions	(2,658)	(2,411)
Nuclear decommissioning trust fund purchases	(585)	(766)
Nuclear decommissioning trust fund sales	581	761
Cost of removal, net of salvage	(250)	(99)
Change in construction payables, net of joint owner portion	148	(68)
Contributions in aid of construction	102	71
Proceeds from dispositions	56	4
Other investing activities	(47)	(64)
Net cash used for investing activities	(2,653)	(2,572)
Financing Activities:
Decrease in notes payable, net		(60)
Increase in notes payable, net	415
Proceeds —
Proceeds — Senior notes	1,500	750
Pollution control revenue bonds	0	122
FFB loan	0	371
Short-term borrowings	650	0
Redemptions and repurchases —
Senior notes	(400)	(325)
Pollution control revenue bonds	(53)	(69)
FFB loan	(66)	(75)
Short-term borrowings	(250)	0
Other long-term debt	(125)	0
Capital contributions from parent company	813	1,054
Payment of common stock dividends	(1,268)	(1,237)
Other financing activities	(45)	(26)
Net cash provided from financing activities	1,171	505
Net Change in Cash, Cash Equivalents, and Restricted Cash	0	283
Cash, Cash Equivalents, and Restricted Cash at Beginning of Period	33	9
Cash, Cash Equivalents, and Restricted Cash at End of Period	33	292
Supplemental Cash Flow Information:
Interest, net of amounts capitalized	332	325
Income taxes, net	151	237
Noncash transactions —
Accrued property additions at year-end	609	477
Right-of-use assets obtained under operating leases	7	(3)
Right-of-use assets obtained under leases	$ 112	$ 0

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Condensed Statements of Cash Flows (Unaudited) - GPC (Parenthetical) - USD ($) $ in Millions	9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021
Net cash paid for capitalized interest	$ 74	$ 68
GEORGIA POWER CO
Net cash paid for capitalized interest	$ 52	$ 47

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Condensed Balance Sheets (Unaudited) - GPC - USD ($) $ in Millions	Sep. 30, 2022	Dec. 31, 2021
Current Assets:
Cash and cash equivalents	$ 2,009	$ 1,798
Receivables —
Customer accounts	2,223	1,806
Unbilled revenues	593	711
Other accounts and notes	533	523
Fossil fuel for generation	526	450
Materials and supplies	1,657	1,543
Regulatory assets – asset retirement obligations	284	219
Assets from risk management activities	289	151
Other regulatory assets	746	653
Other current assets	322	231
Total current assets	10,363	8,965
Property, Plant, and Equipment:
In service	116,236	115,592
Less: Accumulated depreciation	34,922	34,079
Plant in service, net of depreciation	81,314	81,513
Nuclear fuel, at amortized cost	840	824
Construction work in progress	10,773	8,771
Total property, plant, and equipment	93,529	91,108
Other Property and Investments:
Nuclear decommissioning trusts, at fair value	2,031	2,542
Equity investments in unconsolidated subsidiaries	1,292	1,282
Miscellaneous property and investments	590	653
Total other property and investments	9,608	10,202
Deferred Charges and Other Assets:
Operating lease right-of-use assets, net of amortization	1,560	1,701
Deferred charges related to income taxes	854	824
Prepaid pension costs	2,019	1,657
Deferred under recovered fuel clause revenues	1,697	410
Regulatory assets – asset retirement obligations, deferred	6,519	5,466
Other regulatory assets, deferred	6,121	5,577
Other deferred charges and assets	1,492	1,366
Total deferred charges and other assets	20,505	17,259
Total Assets	134,005	127,534
Current Liabilities:
Securities due within one year	3,241	2,157
Notes payable	1,398	1,440
Accounts payable —
Customer deposits	516	479
Accrued interest	431	533
Accrued compensation	961	1,070
Operating lease obligations	191	250
Asset retirement obligations	689	697
Other regulatory liabilities	440	563
Other current liabilities	844	872
Total current liabilities	12,801	10,921
Long-term Debt	50,427	50,120
Deferred Credits and Other Liabilities:
Accumulated deferred income taxes	9,916	8,862
Deferred credits related to income taxes	5,271	5,401
Accumulated deferred ITCs	2,154	2,216
Employee benefit obligations	1,466	1,550
Operating lease obligations, deferred	1,393	1,503
Asset retirement obligations, deferred	11,007	10,990
Other deferred credits and liabilities	1,366	816
Total deferred credits and other liabilities	35,059	33,926
Total Liabilities	98,287	94,967
Total Stockholders' Equity	35,476	32,276
Total Liabilities and Stockholders' Equity	134,005	127,534
GEORGIA POWER CO
Current Assets:
Cash and cash equivalents	33	33
Receivables —
Customer accounts	866	547
Unbilled revenues	267	231
Joint owner accounts	64	116
Affiliated	66	25
Other accounts and notes	30	44
Fossil fuel for generation	272	248
Materials and supplies	713	670
Regulatory assets – asset retirement obligations	244	178
Assets from risk management activities	88	48
Other regulatory assets	299	289
Other current assets	212	130
Total current assets	3,154	2,559
Property, Plant, and Equipment:
In service	41,159	41,332
Less: Accumulated depreciation	12,942	12,854
Plant in service, net of depreciation	28,217	28,478
Nuclear fuel, at amortized cost	598	577
Construction work in progress	8,053	6,688
Total property, plant, and equipment	36,868	35,743
Other Property and Investments:
Nuclear decommissioning trusts, at fair value	964	1,217
Equity investments in unconsolidated subsidiaries	51	50
Miscellaneous property and investments	87	69
Total other property and investments	1,102	1,336
Deferred Charges and Other Assets:
Operating lease right-of-use assets, net of amortization	1,034	1,157
Deferred charges related to income taxes	573	550
Prepaid pension costs	697	563
Deferred under recovered fuel clause revenues	1,697	410
Regulatory assets – asset retirement obligations, deferred	4,323	3,688
Other regulatory assets, deferred	2,579	1,964
Other deferred charges and assets	519	491
Total deferred charges and other assets	11,422	8,823
Total Assets	52,546	48,461
Current Liabilities:
Securities due within one year	900	675
Notes payable	814	0
Accounts payable —
Affiliated	880	757
Other	1,025	702
Customer deposits	254	259
Accrued taxes	486	335
Accrued interest	127	136
Accrued compensation	213	232
Operating lease obligations	148	156
Asset retirement obligations	309	317
Other regulatory liabilities	197	280
Other current liabilities	243	254
Total current liabilities	5,596	4,103
Long-term Debt	13,831	13,109
Deferred Credits and Other Liabilities:
Accumulated deferred income taxes	3,588	3,019
Deferred credits related to income taxes	2,264	2,321
Accumulated deferred ITCs	321	328
Employee benefit obligations	370	402
Operating lease obligations, deferred	854	999
Asset retirement obligations, deferred	6,547	6,507
Other deferred credits and liabilities	518	439
Total deferred credits and other liabilities	14,462	14,015
Total Liabilities	33,889	31,227
Total Stockholders' Equity	18,657	17,234
Total Liabilities and Stockholders' Equity	$ 52,546	$ 48,461

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Condensed Statements of Common Stockholders' Equity (Unaudited) - GPC - USD ($) shares in Millions, $ in Millions	Total	Common Stock	Paid-In Capital	Retained Earnings (Accumulated Deficit)	Accumulated Other Comprehensive Income (Loss)	GEORGIA POWER CO	GEORGIA POWER CO Common Stock	GEORGIA POWER CO Paid-In Capital	GEORGIA POWER CO Retained Earnings (Accumulated Deficit)	GEORGIA POWER CO Accumulated Other Comprehensive Income (Loss)
Beginning balance (in shares) at Dec. 31, 2020							9
Beginning balance at Dec. 31, 2020	$ 32,234	$ 5,268	$ 11,834	$ 11,311	$ (395)	$ 16,501	$ 398	$ 12,361	$ 3,789	$ (47)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income						351			351
Capital contributions from parent company						332		332
Other comprehensive income (loss)	28				28	2				2
Cash dividends on common stock	(678)			(678)		(412)			(412)
Ending balance (in shares) at Mar. 31, 2021							9
Ending balance at Mar. 31, 2021	33,068	5,273	11,854	11,768	(367)	16,774	$ 398	12,693	3,728	(45)
Beginning balance (in shares) at Dec. 31, 2020							9
Beginning balance at Dec. 31, 2020	32,234	5,268	11,834	11,311	(395)	16,501	$ 398	12,361	3,789	(47)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income	2,592					1,030
Ending balance (in shares) at Sep. 30, 2021							9
Ending balance at Sep. 30, 2021	33,219	5,278	11,932	11,844	(319)	17,361	$ 398	13,423	3,582	(42)
Beginning balance (in shares) at Mar. 31, 2021							9
Beginning balance at Mar. 31, 2021	33,068	5,273	11,854	11,768	(367)	16,774	$ 398	12,693	3,728	(45)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income						143			143
Capital contributions from parent company						40		40
Other comprehensive income (loss)	12				12	1				1
Cash dividends on common stock	(699)			(699)		(412)			(412)
Ending balance (in shares) at Jun. 30, 2021							9
Ending balance at Jun. 30, 2021	32,746	5,274	11,886	11,442	(355)	16,546	$ 398	12,733	3,459	(44)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income	1,110					536			536
Capital contributions from parent company						690		690
Other comprehensive income (loss)	36				36	2				2
Cash dividends on common stock	(700)			(700)		(413)			(413)
Ending balance (in shares) at Sep. 30, 2021							9
Ending balance at Sep. 30, 2021	33,219	5,278	11,932	11,844	(319)	17,361	$ 398	13,423	3,582	(42)
Beginning balance (in shares) at Dec. 31, 2021							9
Beginning balance at Dec. 31, 2021	32,276	5,279	11,950	10,929	(237)	17,234	$ 398	14,153	2,724	(41)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income						385			385
Capital contributions from parent company						443		443
Other comprehensive income (loss)	42				42	10				10
Cash dividends on common stock	(702)			(702)		(423)			(423)
Ending balance (in shares) at Mar. 31, 2022							9
Ending balance at Mar. 31, 2022	32,629	5,286	11,994	11,261	(195)	17,649	$ 398	14,596	2,686	(31)
Beginning balance (in shares) at Dec. 31, 2021							9
Beginning balance at Dec. 31, 2021	32,276	5,279	11,950	10,929	(237)	17,234	$ 398	14,153	2,724	(41)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income	3,566					1,851
Ending balance (in shares) at Sep. 30, 2022							9
Ending balance at Sep. 30, 2022	35,476	5,417	13,657	12,374	(157)	18,657	$ 398	14,966	3,307	(14)
Beginning balance (in shares) at Mar. 31, 2022							9
Beginning balance at Mar. 31, 2022	32,629	5,286	11,994	11,261	(195)	17,649	$ 398	14,596	2,686	(31)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income						608			608
Capital contributions from parent company						46		46
Other comprehensive income (loss)	11				11	16				16
Cash dividends on common stock	(723)			(723)		(422)			(422)
Ending balance (in shares) at Jun. 30, 2022							9
Ending balance at Jun. 30, 2022	33,013	5,288	12,033	11,645	(184)	17,897	$ 398	14,642	2,872	(15)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income	1,487					858			858
Capital contributions from parent company						324		324
Other comprehensive income (loss)	28				28	1				1
Cash dividends on common stock	(741)			(741)		(423)			(423)
Ending balance (in shares) at Sep. 30, 2022							9
Ending balance at Sep. 30, 2022	$ 35,476	$ 5,417	$ 13,657	$ 12,374	$ (157)	$ 18,657	$ 398	$ 14,966	$ 3,307	$ (14)

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Condensed Statements of Common Stockholders' Equity (Unaudited) - GPC (Parenthetical) - $ / shares	3 Months Ended
	Sep. 30, 2022	Jun. 30, 2022	Mar. 31, 2022	Sep. 30, 2021	Jun. 30, 2021	Mar. 31, 2021
Statement of Stockholders' Equity [Abstract]
Cash dividends (in dollars per share)	$ 0.68	$ 0.68	$ 0.66	$ 0.66	$ 0.66	$ 0.64

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Condensed Statements of Income (Unaudited) - MPC - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2022	Sep. 30, 2021
Operating Revenues:
Total operating revenues	$ 8,378	$ 6,238	$ 22,232	$ 17,346
Operating Expenses:
Other operations and maintenance	1,547	1,446	4,621	4,257
Depreciation and amortization	922	896	2,728	2,658
Taxes other than income taxes	352	312	1,073	969
Total operating expenses	6,185	4,515	17,000	13,317
Operating Income	2,193	1,723	5,232	4,029
Other Income and (Expense):
Interest expense, net of amounts capitalized	(511)	(451)	(1,461)	(1,352)
Other income (expense), net	132	131	414	290
Total other income and (expense)	(292)	(241)	(775)	(887)
Earnings Before Income Taxes	1,901	1,482	4,457	3,142
Income taxes (benefit)	414	372	891	550
Consolidated Net Income	1,487	1,110	3,566	2,592
Retail electric revenues
Operating Revenues:
Total operating revenues	5,961	4,551	14,363	11,492
Wholesale Electric
Operating Revenues:
Total operating revenues	1,197	731	2,798	1,822
Other electric revenues
Operating Revenues:
Total operating revenues	185	179	554	525
Natural Gas
Operating Revenues:
Total operating revenues	857	623	3,998	2,994
Other revenues
Operating Revenues:
Total operating revenues	178	154	519	513
Operating Expenses:
Total cost of sales	92	71	275	255
Mississippi Power
Operating Revenues:
Total operating revenues	510	378	1,279	988
Operating Expenses:
Other operations and maintenance	86	85	252	230
Depreciation and amortization	45	46	135	138
Taxes other than income taxes	32	33	93	96
Total operating expenses	425	309	1,081	815
Operating Income	85	69	198	173
Other Income and (Expense):
Interest expense, net of amounts capitalized	(15)	(16)	(42)	(45)
Other income (expense), net	9	7	32	27
Total other income and (expense)	(6)	(9)	(10)	(18)
Earnings Before Income Taxes	79	60	188	155
Income taxes (benefit)	17	10	38	22
Consolidated Net Income	62	50	150	133
Mississippi Power | Retail electric revenues
Operating Revenues:
Total operating revenues	250	248	718	670
Mississippi Power | Wholesale revenues, non-affiliates
Operating Revenues:
Total operating revenues	60	60	191	178
Mississippi Power | Wholesale revenues, affiliates
Operating Revenues:
Total operating revenues	187	62	336	120
Mississippi Power | Other revenues
Operating Revenues:
Total operating revenues	13	8	34	20
Mississippi Power | Fuel and purchased power
Operating Expenses:
Total cost of sales	$ 262	$ 145	$ 601	$ 351

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Condensed Statements of Comprehensive Income - MPC - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2022	Sep. 30, 2021
Net income	$ 1,487	$ 1,110	$ 3,566	$ 2,592
Qualifying hedges:
Reclassification adjustment for amounts included in net income, net of tax	26	31	100	81
Total other comprehensive income	28	36	81	76
Comprehensive Income	1,515	1,146	3,647	2,668
Mississippi Power
Net income	62	50	150	133
Qualifying hedges:
Reclassification adjustment for amounts included in net income, net of tax	0	0	0	1
Total other comprehensive income	0	0	0	1
Comprehensive Income	$ 62	$ 50	$ 150	$ 134

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Condensed Statements of Comprehensive Income - MPC (Parenthetical) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2022	Sep. 30, 2021
Qualifying hedges, reclassification adjustment, tax	$ 8	$ 10	$ 32	$ 27
Mississippi Power
Qualifying hedges, reclassification adjustment, tax	$ 0	$ 0	$ 0	$ 0

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Condensed Statements of Cash Flows (Unaudited) - MPC - USD ($) $ in Millions	9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021
Operating Activities:
Net income (loss)	$ 3,566	$ 2,592
Adjustments to reconcile net income to net cash provided from operating activities —
Depreciation and amortization, total	3,084	2,944
Settlement of asset retirement obligations	(314)	(341)
Other, net	(45)	156
Changes in certain current assets and liabilities —
Receivables	(327)	2
Other current assets	(343)	(180)
Accounts payable	805	(45)
Accrued taxes	167	288
Retail fuel cost over recovery	(1)	(150)
Other current liabilities	(32)	(226)
Net cash provided from operating activities	5,017	5,081
Investing Activities:
Property additions	(5,502)	(5,222)
Payments pursuant to LTSAs	(121)	(145)
Other investing activities	73	(12)
Net cash used for investing activities	(5,952)	(5,850)
Financing Activities:
Decrease in notes payable, net	(349)	(203)
Redemptions and repurchases —
Payment of common stock dividends	(2,166)	(2,077)
Other financing activities	(235)	(224)
Net cash provided from financing activities	1,119	1,802
Net Change in Cash, Cash Equivalents, and Restricted Cash	184	1,033
Cash, Cash Equivalents, and Restricted Cash at Beginning of Period	1,829	1,068
Cash, Cash Equivalents, and Restricted Cash at End of Period	2,013	2,101
Supplemental Cash Flow Information:
Interest, net of amounts capitalized	1,425	1,417
Income taxes, net	160	92
Noncash transactions —
Accrued property additions at year-end	872	915
Mississippi Power
Operating Activities:
Net income (loss)	150	133
Adjustments to reconcile net income to net cash provided from operating activities —
Depreciation and amortization, total	164	161
Settlement of asset retirement obligations	(15)	(18)
Other, net	20	(20)
Changes in certain current assets and liabilities —
Receivables	(58)	(19)
Other current assets	(17)	(9)
Accounts payable	41	(12)
Accrued taxes	(3)	(20)
Retail fuel cost over recovery	0	(19)
Other current liabilities	(3)	(18)
Net cash provided from operating activities	279	159
Investing Activities:
Property additions	(165)	(135)
Construction payables	(9)	(11)
Payments pursuant to LTSAs	(23)	(21)
Other investing activities	(22)	(15)
Net cash used for investing activities	(219)	(182)
Financing Activities:
Increase in notes payable, net	0
Decrease in notes payable, net		(25)
Proceeds — Senior notes	0	525
Redemptions and repurchases —
Other revenue bonds	0	(270)
Other long-term debt	0	(75)
Capital contributions from parent company	55	103
Payment of common stock dividends	(128)	(118)
Other financing activities	1	(10)
Net cash provided from financing activities	(72)	130
Net Change in Cash, Cash Equivalents, and Restricted Cash	(12)	107
Cash, Cash Equivalents, and Restricted Cash at Beginning of Period	61	39
Cash, Cash Equivalents, and Restricted Cash at End of Period	49	146
Supplemental Cash Flow Information:
Interest, net of amounts capitalized	49	53
Income taxes, net	18	11
Noncash transactions —
Accrued property additions at year-end	$ 16	$ 23

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Condensed Statements of Cash Flows (Unaudited) - MPC (Parenthetical) - USD ($) $ in Millions	9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021
Net cash paid for capitalized interest	$ 74	$ 68

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Condensed Balance Sheets (Unaudited) - MPC - USD ($) $ in Millions	Sep. 30, 2022	Dec. 31, 2021
Current Assets:
Cash and cash equivalents	$ 2,009	$ 1,798
Receivables —
Customer accounts	2,223	1,806
Unbilled revenues	593	711
Other accounts and notes	533	523
Fossil fuel for generation	526	450
Materials and supplies	1,657	1,543
Assets from risk management activities	289	151
Other regulatory assets	746	653
Other current assets	322	231
Total current assets	10,363	8,965
Property, Plant, and Equipment:
In service	116,236	115,592
Less: Accumulated depreciation	34,922	34,079
Plant in service, net of depreciation	81,314	81,513
Construction work in progress	10,773	8,771
Total property, plant, and equipment	93,529	91,108
Other Property and Investments:
Total other property and investments	9,608	10,202
Deferred Charges and Other Assets:
Deferred charges related to income taxes	854	824
Regulatory assets – asset retirement obligations, deferred	6,519	5,466
Other regulatory assets, deferred	6,121	5,577
Other deferred charges and assets	1,492	1,366
Total deferred charges and other assets	20,505	17,259
Total Assets	134,005	127,534
Current Liabilities:
Securities due within one year	3,241	2,157
Accounts payable —
Accrued compensation	961	1,070
Asset retirement obligations	689	697
Other regulatory liabilities	440	563
Other current liabilities	844	872
Total current liabilities	12,801	10,921
Long-term Debt	50,427	50,120
Deferred Credits and Other Liabilities:
Accumulated deferred income taxes	9,916	8,862
Deferred credits related to income taxes	5,271	5,401
Employee benefit obligations	1,466	1,550
Asset retirement obligations, deferred	11,007	10,990
Other cost of removal obligations	1,950	2,103
Other regulatory liabilities, deferred	536	485
Other deferred credits and liabilities	1,366	816
Total deferred credits and other liabilities	35,059	33,926
Total Liabilities	98,287	94,967
Total Liabilities and Stockholders' Equity	134,005	127,534
Mississippi Power
Current Assets:
Cash and cash equivalents	49	61
Receivables —
Customer accounts	71	37
Unbilled revenues	43	34
Affiliated	39	29
Other accounts and notes	34	28
Fossil fuel for generation	37	28
Materials and supplies	80	70
Assets from risk management activities	69	28
Other regulatory assets	60	54
Other current assets	16	13
Total current assets	498	382
Property, Plant, and Equipment:
In service	5,209	5,106
Less: Accumulated depreciation	1,669	1,591
Plant in service, net of depreciation	3,540	3,515
Construction work in progress	168	127
Total property, plant, and equipment	3,708	3,642
Other Property and Investments:
Total other property and investments	171	179
Deferred Charges and Other Assets:
Deferred charges related to income taxes	30	31
Prepaid pension costs	97	79
Regulatory assets – asset retirement obligations, deferred	238	232
Other regulatory assets, deferred	271	317
Accumulated deferred income taxes	108	118
Other deferred charges and assets	130	100
Total deferred charges and other assets	874	877
Total Assets	5,251	5,080
Current Liabilities:
Securities due within one year	1	1
Accounts payable —
Affiliated	96	81
Other	68	47
Accrued taxes	116	120
Accrued compensation	33	36
Asset retirement obligations	20	30
Other regulatory liabilities	102	59
Other current liabilities	80	65
Total current liabilities	516	439
Long-term Debt	1,509	1,510
Deferred Credits and Other Liabilities:
Accumulated deferred income taxes	465	464
Deferred credits related to income taxes	258	269
Employee benefit obligations	86	88
Asset retirement obligations, deferred	162	160
Other cost of removal obligations	197	195
Other regulatory liabilities, deferred	87	64
Other deferred credits and liabilities	25	24
Total deferred credits and other liabilities	1,280	1,264
Total Liabilities	3,305	3,213
Total common stockholders' equity	1,946	1,867
Total Liabilities and Stockholders' Equity	$ 5,251	$ 5,080

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Condensed Statements of Common Stockholders' Equity (Unaudited) - MPC - USD ($) shares in Millions, $ in Millions	Total	Common Stock	Paid-In Capital	Retained Earnings (Accumulated Deficit)	Accumulated Other Comprehensive Income (Loss)	Mississippi Power	Mississippi Power Common Stock	Mississippi Power Paid-In Capital	Mississippi Power Retained Earnings (Accumulated Deficit)	Mississippi Power Accumulated Other Comprehensive Income (Loss)
Beginning balance (in shares) at Dec. 31, 2020							1
Beginning balance at Dec. 31, 2020	$ 32,234	$ 5,268	$ 11,834	$ 11,311	$ (395)	$ 1,742	$ 38	$ 4,460	$ (2,754)	$ (2)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income						45			45
Capital contributions from parent company						100		100
Cash dividends on common stock	(678)			(678)		(39)			(39)
Other	1		2
Ending balance (in shares) at Mar. 31, 2021							1
Ending balance at Mar. 31, 2021	33,068	5,273	11,854	11,768	(367)	1,848	$ 38	4,560	(2,748)	(2)
Beginning balance (in shares) at Dec. 31, 2020							1
Beginning balance at Dec. 31, 2020	32,234	5,268	11,834	11,311	(395)	1,742	$ 38	4,460	(2,754)	(2)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income	2,608
Ending balance (in shares) at Sep. 30, 2021							1
Ending balance at Sep. 30, 2021	33,219	5,278	11,932	11,844	(319)	1,863	$ 38	4,565	(2,739)	(1)
Beginning balance (in shares) at Mar. 31, 2021							1
Beginning balance at Mar. 31, 2021	33,068	5,273	11,854	11,768	(367)	1,848	$ 38	4,560	(2,748)	(2)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income						38			38
Capital contributions from parent company						2		2
Cash dividends on common stock	(699)			(699)		(39)			(39)
Other	0		1	1					(1)	1
Ending balance (in shares) at Jun. 30, 2021							1
Ending balance at Jun. 30, 2021	32,746	5,274	11,886	11,442	(355)	1,849	$ 38	4,562	(2,750)	(1)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income	1,101					50			50
Capital contributions from parent company						3		3
Cash dividends on common stock	(700)			(700)		(39)			(39)
Other	(7)		(10)	1
Ending balance (in shares) at Sep. 30, 2021							1
Ending balance at Sep. 30, 2021	33,219	5,278	11,932	11,844	(319)	1,863	$ 38	4,565	(2,739)	(1)
Beginning balance (in shares) at Dec. 31, 2021							1
Beginning balance at Dec. 31, 2021	32,276	5,279	11,950	10,929	(237)	1,867	$ 38	4,582	(2,753)	0
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income						42			42
Capital contributions from parent company						51		51
Cash dividends on common stock	(702)			(702)		(43)			(43)
Other	7		7	2
Ending balance (in shares) at Mar. 31, 2022							1
Ending balance at Mar. 31, 2022	32,629	5,286	11,994	11,261	(195)	1,917	$ 38	4,633	(2,754)	0
Beginning balance (in shares) at Dec. 31, 2021							1
Beginning balance at Dec. 31, 2021	32,276	5,279	11,950	10,929	(237)	1,867	$ 38	4,582	(2,753)	0
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income	3,611
Ending balance (in shares) at Sep. 30, 2022							1
Ending balance at Sep. 30, 2022	35,476	5,417	13,657	12,374	(157)	1,946	$ 38	4,639	(2,731)	0
Beginning balance (in shares) at Mar. 31, 2022							1
Beginning balance at Mar. 31, 2022	32,629	5,286	11,994	11,261	(195)	1,917	$ 38	4,633	(2,754)	0
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income						45			45
Capital contributions from parent company						1		1
Cash dividends on common stock	(723)			(723)		(42)			(42)
Other	2		4
Ending balance (in shares) at Jun. 30, 2022							1
Ending balance at Jun. 30, 2022	33,013	5,288	12,033	11,645	(184)	1,921	$ 38	4,634	(2,751)	0
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income	1,472					62			62
Capital contributions from parent company						5		5
Cash dividends on common stock	(741)			(741)		(42)			(42)
Other	(8)		(4)	(2)	(1)
Ending balance (in shares) at Sep. 30, 2022							1
Ending balance at Sep. 30, 2022	$ 35,476	$ 5,417	$ 13,657	$ 12,374	$ (157)	$ 1,946	$ 38	$ 4,639	$ (2,731)	$ 0

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Condensed Consolidated Statements of Income (Unaudited) - SPC - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2022	Sep. 30, 2021
Operating Revenues:
Total operating revenues	$ 8,378	$ 6,238	$ 22,232	$ 17,346
Operating Expenses:
Other operations and maintenance	1,547	1,446	4,621	4,257
Depreciation and amortization	922	896	2,728	2,658
Taxes other than income taxes	352	312	1,073	969
Gain on dispositions, net	(20)	(125)	(53)	(179)
Total operating expenses	6,185	4,515	17,000	13,317
Operating Income	2,193	1,723	5,232	4,029
Other Income and (Expense):
Interest expense, net of amounts capitalized	(511)	(451)	(1,461)	(1,352)
Other income (expense), net	132	131	414	290
Total other income and (expense)	(292)	(241)	(775)	(887)
Earnings Before Income Taxes	1,901	1,482	4,457	3,142
Income taxes (benefit)	414	372	891	550
Consolidated Net Income	1,487	1,110	3,566	2,592
Net income (loss) attributable to noncontrolling interests	12	5	(55)	(27)
Net Income	1,472	1,101	3,611	2,608
Retail electric revenues
Operating Revenues:
Total operating revenues	5,961	4,551	14,363	11,492
Wholesale Electric
Operating Revenues:
Total operating revenues	1,197	731	2,798	1,822
Other electric revenues
Operating Revenues:
Total operating revenues	185	179	554	525
Natural Gas
Operating Revenues:
Total operating revenues	857	623	3,998	2,994
Other revenues
Operating Revenues:
Total operating revenues	178	154	519	513
Operating Expenses:
Total cost of sales	92	71	275	255
Fuel
Operating Expenses:
Total cost of sales	2,423	1,234	5,249	2,930
Purchased power
Operating Expenses:
Total cost of sales	645	288	1,285	712
SOUTHERN POWER CO
Operating Revenues:
Total operating revenues	1,180	679	2,618	1,610
Operating Expenses:
Other operations and maintenance	113	94	331	308
Depreciation and amortization	133	132	384	383
Taxes other than income taxes	13	12	38	35
Loss on sales-type leases	0	15	1	15
Gain on dispositions, net	0	0	(2)	(39)
Total operating expenses	1,008	553	2,259	1,328
Operating Income	172	126	359	282
Other Income and (Expense):
Interest expense, net of amounts capitalized	(32)	(36)	(105)	(111)
Other income (expense), net	3	2	5	10
Total other income and (expense)	(29)	(34)	(100)	(101)
Earnings Before Income Taxes	143	92	259	181
Income taxes (benefit)	36	9	49	(3)
Consolidated Net Income	107	83	210	184
Net income (loss) attributable to noncontrolling interests	12	5	(55)	(27)
Net Income	95	78	265	211
SOUTHERN POWER CO | Wholesale revenues, non-affiliates
Operating Revenues:
Total operating revenues	835	503	1,918	1,231
SOUTHERN POWER CO | Wholesale revenues, affiliates
Operating Revenues:
Total operating revenues	336	167	673	361
SOUTHERN POWER CO | Other revenues
Operating Revenues:
Total operating revenues	9	9	27	18
SOUTHERN POWER CO | Fuel
Operating Expenses:
Total cost of sales	605	259	1,274	540
SOUTHERN POWER CO | Purchased power
Operating Expenses:
Total cost of sales	$ 144	$ 41	$ 233	$ 86

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Condensed Consolidated Statements of Comprehensive Income (Unaudited) - SPC - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2022	Sep. 30, 2021
Net income	$ 1,487	$ 1,110	$ 3,566	$ 2,592
Qualifying hedges:
Changes in fair value, net of tax	0	1	(27)	(15)
Reclassification adjustment for amounts included in net income, net of tax	26	31	100	81
Pension and other postretirement benefit plans:
Reclassification adjustment for amounts included in net income, net of tax	2	4	8	10
Total other comprehensive income	28	36	81	76
Comprehensive Income	1,515	1,146	3,647	2,668
Comprehensive income (loss) attributable to noncontrolling interests	12	5	(55)	(27)
Comprehensive Income	1,500	1,137	3,692	2,684
SOUTHERN POWER CO
Net income	107	83	210	184
Qualifying hedges:
Changes in fair value, net of tax	(35)	(21)	(106)	(48)
Reclassification adjustment for amounts included in net income, net of tax	28	27	106	66
Pension and other postretirement benefit plans:
Reclassification adjustment for amounts included in net income, net of tax	0	1	1	2
Total other comprehensive income	(7)	7	1	20
Comprehensive Income	100	90	211	204
Comprehensive income (loss) attributable to noncontrolling interests	12	5	(55)	(27)
Comprehensive Income	$ 88	$ 85	$ 266	$ 231

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Condensed Consolidated Statements of Comprehensive Income (Unaudited) - SPC (Parenthetical) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2022	Sep. 30, 2021
Changes in fair value, tax	$ 2	$ 1	$ (5)	$ (4)
Qualifying hedges, reclassification adjustment, tax	8	10	32	27
Reclassification adjustment for amounts included in net income, tax	1	1	3	4
SOUTHERN POWER CO
Changes in fair value, tax	(11)	(7)	(35)	(16)
Qualifying hedges, reclassification adjustment, tax	9	9	35	22
Reclassification adjustment for amounts included in net income, tax	$ 0	$ 0	$ 0	$ 1

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Condensed Consolidated Statements of Cash Flows (Unaudited) - SPC - USD ($) $ in Millions	9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021
Operating Activities:
Net income (loss)	$ 3,566	$ 2,592
Adjustments to reconcile net income to net cash provided from operating activities —
Depreciation and amortization, total	3,084	2,944
Deferred income taxes	608	89
Utilization of federal investment tax credits	266	256
Gain on dispositions, net	(41)	(171)
Other, net	(45)	156
Changes in certain current assets and liabilities —
Receivables	(327)	2
Other current assets	(343)	(180)
Accounts payable	805	(45)
Accrued taxes	167	288
Other current liabilities	(32)	(226)
Net cash provided from operating activities	5,017	5,081
Investing Activities:
Business acquisitions, net of cash acquired	0	(345)
Property additions	(5,502)	(5,222)
Payments pursuant to LTSAs	(121)	(145)
Other investing activities	73	(12)
Net cash used for investing activities	(5,952)	(5,850)
Financing Activities:
Decrease in notes payable, net	(349)	(203)
Capital contributions from noncontrolling interests	73	415
Distributions to noncontrolling interests	(175)	(204)
Payment of common stock dividends	(2,166)	(2,077)
Other financing activities	(235)	(224)
Net cash provided from financing activities	1,119	1,802
Net Change in Cash, Cash Equivalents, and Restricted Cash	184	1,033
Cash, Cash Equivalents, and Restricted Cash at Beginning of Period	1,829	1,068
Cash, Cash Equivalents, and Restricted Cash at End of Period	2,013	2,101
Supplemental Cash Flow Information:
Interest, net of amounts capitalized	1,425	1,417
Income taxes, net	160	92
Noncash transactions —
Contributions from noncontrolling interests	0	89
Contributions of wind turbine equipment	0	82
Accrued property additions at year-end	872	915
Reassessment of right-of-use assets under operating leases	40	0
SOUTHERN POWER CO
Operating Activities:
Net income (loss)	210	184
Adjustments to reconcile net income to net cash provided from operating activities —
Depreciation and amortization, total	404	402
Deferred income taxes	21	(16)
Utilization of federal investment tax credits	218	237
Amortization of investment tax credits	(44)	(44)
Gain on dispositions, net	(2)	(39)
Other, net	1	14
Changes in certain current assets and liabilities —
Receivables	(124)	(117)
Prepaid income taxes	22	63
Other current assets	(15)	(5)
Accounts payable	95	55
Accrued taxes	55	15
Other current liabilities	(14)	1
Net cash provided from operating activities	827	750
Investing Activities:
Business acquisitions, net of cash acquired	0	(345)
Property additions	(64)	(355)
Proceeds from dispositions	48	22
Change in construction payables	(60)	(22)
Payments pursuant to LTSAs	(52)	(61)
Other investing activities	0	8
Net cash used for investing activities	(128)	(753)
Financing Activities:
Decrease in notes payable, net	(5)	(148)
Proceeds — Senior notes	0	400
Redemptions — Senior notes	(677)	0
Capital contributions from parent company	330	4
Return of capital to parent company	0	(271)
Capital contributions from noncontrolling interests	73	415
Distributions to noncontrolling interests	(175)	(204)
Payment of common stock dividends	(148)	(153)
Other financing activities	(1)	(10)
Net cash provided from financing activities	(603)	33
Net Change in Cash, Cash Equivalents, and Restricted Cash	96	30
Cash, Cash Equivalents, and Restricted Cash at Beginning of Period	135	183
Cash, Cash Equivalents, and Restricted Cash at End of Period	231	213
Supplemental Cash Flow Information:
Interest, net of amounts capitalized	120	118
Income taxes, net	(202)	(235)
Noncash transactions —
Contributions from noncontrolling interests	0	89
Contributions of wind turbine equipment	0	82
Accrued property additions at year-end	30	53
Right-of-use assets obtained under operating leases	0	66
Reassessment of right-of-use assets under operating leases	$ 40	$ 0

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Condensed Consolidated Statements of Cash Flows (Unaudited) - SPC (Parenthetical) - USD ($) $ in Millions	9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021
Net cash paid for capitalized interest	$ 74	$ 68
SOUTHERN POWER CO
Net cash paid for capitalized interest	$ 0	$ 5

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Condensed Consolidated Balance Sheets (Unaudited) - SPC - USD ($) $ in Millions	Sep. 30, 2022	Dec. 31, 2021
Current Assets:
Cash and cash equivalents	$ 2,009	$ 1,798
Receivables —
Customer accounts	2,223	1,806
Other accounts and notes	533	523
Materials and supplies	1,657	1,543
Other current assets	322	231
Total current assets	10,363	8,965
Property, Plant, and Equipment:
In service	116,236	115,592
Less: Accumulated depreciation	34,922	34,079
Plant in service, net of depreciation	81,314	81,513
Construction work in progress	10,773	8,771
Total property, plant, and equipment	93,529	91,108
Other Property and Investments:
Equity investments in unconsolidated subsidiaries	1,292	1,282
Total other property and investments	9,608	10,202
Deferred Charges and Other Assets:
Operating lease right-of-use assets, net of amortization	1,560	1,701
Other deferred charges and assets	1,492	1,366
Total deferred charges and other assets	20,505	17,259
Total Assets	134,005	127,534
Current Liabilities:
Securities due within one year	3,241	2,157
Notes payable	1,398	1,440
Accounts payable —
Accrued interest	431	533
Other current liabilities	844	872
Total current liabilities	12,801	10,921
Long-term Debt	50,427	50,120
Deferred Credits and Other Liabilities:
Accumulated deferred income taxes	9,916	8,862
Accumulated deferred ITCs	2,154	2,216
Operating lease obligations, deferred	1,393	1,503
Other deferred credits and liabilities	1,366	816
Total deferred credits and other liabilities	35,059	33,926
Total Liabilities	98,287	94,967
Total Stockholders' Equity (See accompanying statements)	35,476	32,276
Total Liabilities and Stockholders' Equity	134,005	127,534
SOUTHERN POWER CO
Current Assets:
Cash and cash equivalents	229	107
Receivables —
Customer accounts	232	139
Affiliated	95	51
Other accounts and notes	24	29
Materials and supplies	112	106
Prepaid income taxes	5	27
Other current assets	51	46
Total current assets	748	505
Property, Plant, and Equipment:
In service	14,641	14,585
Less: Accumulated depreciation	3,589	3,241
Plant in service, net of depreciation	11,052	11,344
Construction work in progress	48	45
Total property, plant, and equipment	11,100	11,389
Other Property and Investments:
Intangible assets, net of amortization	268	282
Equity investments in unconsolidated subsidiaries	49	86
Net investment in sales-type leases	155	161
Total other property and investments	472	529
Deferred Charges and Other Assets:
Operating lease right-of-use assets, net of amortization	491	479
Prepaid LTSAs	210	210
Other deferred charges and assets	262	278
Total deferred charges and other assets	963	967
Total Assets	13,283	13,390
Current Liabilities:
Securities due within one year	290	679
Notes payable	208	211
Accounts payable —
Affiliated	179	92
Other	70	85
Accrued taxes	208	14
Accrued interest	22	32
Other current liabilities	96	140
Total current liabilities	1,073	1,253
Long-term Debt	2,642	3,009
Deferred Credits and Other Liabilities:
Accumulated deferred income taxes	315	215
Accumulated deferred ITCs	1,571	1,614
Operating lease obligations, deferred	515	497
Other deferred credits and liabilities	287	204
Total deferred credits and other liabilities	2,688	2,530
Total Liabilities	6,403	6,792
Total Stockholders' Equity (See accompanying statements)	6,880	6,598
Total Liabilities and Stockholders' Equity	$ 13,283	$ 13,390

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Condensed Consolidated Balance Sheets (Unaudited) - SPC (Parenthetical) - USD ($) $ in Millions	Sep. 30, 2022	Dec. 31, 2021
Other intangible assets, amortization	$ 331	$ 307
SOUTHERN POWER CO
Other intangible assets, amortization	$ 124	$ 109

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Condensed Consolidated Statements of Stockholders' Equity (Unaudited) - SPC - USD ($) $ in Millions	Total	Paid-In Capital	Retained Earnings (Accumulated Deficit)	Accumulated Other Comprehensive Income (Loss)	Noncontrolling Interests	SOUTHERN POWER CO	SOUTHERN POWER CO Total Common Stockholders' Equity	SOUTHERN POWER CO Paid-In Capital	SOUTHERN POWER CO Retained Earnings (Accumulated Deficit)	SOUTHERN POWER CO Accumulated Other Comprehensive Income (Loss)	SOUTHERN POWER CO Noncontrolling Interests
Beginning balance at Dec. 31, 2020	$ 32,234	$ 11,834	$ 11,311	$ (395)	$ 4,262	$ 6,631	$ 2,369	$ 914	$ 1,522	$ (67)	$ 4,262
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income						65	97		97		(32)
Return of capital to parent company						(271)	(271)	(271)
Other comprehensive income (loss)	28			28		16	16			16
Cash dividends on common stock	(678)		(678)			(51)	(51)		(51)
Capital contributions from noncontrolling interests	403				403	403					403
Distributions to noncontrolling interests	(46)				(46)	(46)					(46)
Other	1	2			(1)	(3)	(2)	(2)	1	(1)	(1)
Ending balance at Mar. 31, 2021	33,068	11,854	11,768	(367)	4,586	6,744	2,158	641	1,569	(52)	4,586
Beginning balance at Dec. 31, 2020	32,234	11,834	11,311	(395)	4,262	6,631	2,369	914	1,522	(67)	4,262
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income	2,592					184
Ending balance at Sep. 30, 2021	33,219	11,932	11,844	(319)	4,530	6,707	2,177	643	1,581	(47)	4,530
Beginning balance at Mar. 31, 2021	33,068	11,854	11,768	(367)	4,586	6,744	2,158	641	1,569	(52)	4,586
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income						36	36		36		0
Other comprehensive income (loss)	12			12		(3)	(3)			(3)
Cash dividends on common stock	(699)		(699)			(51)	(51)		(51)
Capital contributions from noncontrolling interests	29				29	29					29
Distributions to noncontrolling interests	(68)				(68)	(68)					(68)
Other	0	1	1			3	3	2		1
Ending balance at Jun. 30, 2021	32,746	11,886	11,442	(355)	4,547	6,690	2,143	643	1,554	(54)	4,547
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income	1,110					83	78		78		5
Other comprehensive income (loss)	36			36		7	7			7
Cash dividends on common stock	(700)		(700)			(51)	(51)		(51)
Capital contributions from noncontrolling interests	72				72	73					73
Distributions to noncontrolling interests	(94)				(94)	(95)					(95)
Other	(7)	(10)	1
Ending balance at Sep. 30, 2021	33,219	11,932	11,844	(319)	4,530	6,707	2,177	643	1,581	(47)	4,530
Beginning balance at Dec. 31, 2021	32,276	11,950	10,929	(237)	4,402	6,598	2,196	638	1,585	(27)	4,402
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income						27	72		72		(45)
Other comprehensive income (loss)	42			42		5	5			5
Cash dividends on common stock	(702)		(702)			(49)	(49)		(49)
Capital contributions from noncontrolling interests	73				73	73					73
Distributions to noncontrolling interests	(98)				(98)	(98)					(98)
Other	7	7	2
Ending balance at Mar. 31, 2022	32,629	11,994	11,261	(195)	4,332	6,556	2,224	638	1,608	(22)	4,332
Beginning balance at Dec. 31, 2021	32,276	11,950	10,929	(237)	4,402	6,598	2,196	638	1,585	(27)	4,402
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income	3,566					210
Ending balance at Sep. 30, 2022	35,476	13,657	12,374	(157)	4,237	6,880	2,643	969	1,701	(27)	4,237
Beginning balance at Mar. 31, 2022	32,629	11,994	11,261	(195)	4,332	6,556	2,224	638	1,608	(22)	4,332
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income						76	98		98		(22)
Capital contributions from parent company						322	322	322
Other comprehensive income (loss)	11			11		3	3			3
Cash dividends on common stock	(723)		(723)			(50)	(50)		(50)
Distributions to noncontrolling interests	(28)				(28)	(28)					(28)
Other	2	4
Ending balance at Jun. 30, 2022	33,013	12,033	11,645	(184)	4,282	6,879	2,597	960	1,656	(19)	4,282
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income	1,487					107	95		95		12
Capital contributions from parent company						9	9	9
Other comprehensive income (loss)	28			28		(7)	(7)			(7)
Cash dividends on common stock	(741)		(741)			(49)	(49)		(49)
Distributions to noncontrolling interests	(57)				(57)	(57)					(57)
Other	(8)	(4)	(2)	(1)		(2)	(2)		(1)	(1)
Ending balance at Sep. 30, 2022	$ 35,476	$ 13,657	$ 12,374	$ (157)	$ 4,237	$ 6,880	$ 2,643	$ 969	$ 1,701	$ (27)	$ 4,237

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Condensed Consolidated Statements of Income (Unaudited) - GAS - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2022	Sep. 30, 2021
Operating Revenues:
Total operating revenues	$ 8,378	$ 6,238	$ 22,232	$ 17,346
Operating Expenses:
Other operations and maintenance	1,547	1,446	4,621	4,257
Depreciation and amortization	922	896	2,728	2,658
Taxes other than income taxes	352	312	1,073	969
Gain on dispositions, net	(20)	(125)	(53)	(179)
Total operating expenses	6,185	4,515	17,000	13,317
Operating Income	2,193	1,723	5,232	4,029
Other Income and (Expense):
Earnings from equity method investments	28	30	109	35
Interest expense, net of amounts capitalized	(511)	(451)	(1,461)	(1,352)
Other income (expense), net	132	131	414	290
Total other income and (expense)	(292)	(241)	(775)	(887)
Earnings Before Income Taxes	1,901	1,482	4,457	3,142
Income taxes (benefit)	414	372	891	550
Consolidated Net Income	1,487	1,110	3,566	2,592
Retail electric revenues
Operating Revenues:
Total operating revenues	5,961	4,551	14,363	11,492
Wholesale Electric
Operating Revenues:
Total operating revenues	1,197	731	2,798	1,822
Other electric revenues
Operating Revenues:
Total operating revenues	185	179	554	525
Natural Gas
Operating Revenues:
Total operating revenues	857	623	3,998	2,994
Natural gas
Operating Expenses:
Total cost of sales	294	129	1,840	943
Alternative revenue programs
Operating Revenues:
Total operating revenues	(1)	(1)	0	3
Other revenues
Operating Revenues:
Total operating revenues	178	154	519	513
Operating Expenses:
Total cost of sales	92	71	275	255
SOUTHERN Co GAS
Operating Revenues:
Total operating revenues	$ 857	$ 623	$ 3,998	$ 2,994
Operating Expenses:
Cost, Product and Service [Extensible Enumeration]	Natural gas	Natural gas	Natural gas	Natural gas
Other operations and maintenance	$ 252	$ 238	$ 829	$ 776
Depreciation and amortization	140	133	414	396
Taxes other than income taxes	45	36	208	166
Gain on dispositions, net	0	(121)	(5)	(127)
Total operating expenses	731	415	3,286	2,154
Operating Income	126	208	712	840
Other Income and (Expense):
Earnings from equity method investments	34	25	105	14
Interest expense, net of amounts capitalized	(65)	(57)	(187)	(175)
Other income (expense), net	15	13	47	(66)
Total other income and (expense)	(16)	(19)	(35)	(227)
Earnings Before Income Taxes	110	189	677	613
Income taxes (benefit)	27	133	161	224
Consolidated Net Income	83	56	516	389
SOUTHERN Co GAS | Natural gas
Operating Revenues:
Total operating revenues	858	624	3,998	2,991
Operating Expenses:
Total cost of sales	294	129	1,840	943
SOUTHERN Co GAS | Alternative revenue programs
Operating Revenues:
Total operating revenues	$ (1)	$ (1)	$ 0	$ 3

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Condensed Consolidated Statements of Income (Unaudited) - GAS (Parenthetical) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2022	Sep. 30, 2021
SOUTHERN Co GAS
Revenue taxes collected	$ 15	$ 12	$ 118	$ 89

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Condensed Consolidated Statements of Comprehensive Income (Unaudited) - GAS - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2022	Sep. 30, 2021
Net income	$ 1,487	$ 1,110	$ 3,566	$ 2,592
Qualifying hedges:
Changes in fair value, net of tax	0	1	(27)	(15)
Reclassification adjustment for amounts included in net income, net of tax	26	31	100	81
Total other comprehensive income	28	36	81	76
Comprehensive Income	1,515	1,146	3,647	2,668
SOUTHERN Co GAS
Net income	83	56	516	389
Qualifying hedges:
Changes in fair value, net of tax	19	23	39	32
Reclassification adjustment for amounts included in net income, net of tax	(5)	(2)	(17)	1
Total other comprehensive income	14	21	22	33
Comprehensive Income	$ 97	$ 77	$ 538	$ 422

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Condensed Consolidated Statements of Comprehensive Income (Unaudited) - GAS (Parenthetical) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2022	Sep. 30, 2021
Changes in fair value, tax	$ 2	$ 1	$ (5)	$ (4)
Qualifying hedges, reclassification adjustment, tax	8	10	32	27
SOUTHERN Co GAS
Changes in fair value, tax	8	8	16	11
Qualifying hedges, reclassification adjustment, tax	$ (2)	$ 0	$ (7)	$ 1

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Condensed Consolidated Statements of Cash Flows (Unaudited) - GAS - USD ($) $ in Millions	9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021
Operating Activities:
Net income (loss)	$ 3,566	$ 2,592
Adjustments to reconcile net income to net cash provided from operating activities —
Depreciation and amortization, total	3,084	2,944
Deferred income taxes	608	89
Mark-to-market adjustments	(33)	147
Gain on dispositions, net	(41)	(171)
Natural gas cost under recovery – long-term	207	(79)
Other, net	(45)	156
Changes in certain current assets and liabilities —
Receivables	(327)	2
Natural gas for sale, net of temporary LIFO liquidation	(136)	20
Natural gas cost under recovery	(124)	(432)
Other current assets	(343)	(180)
Accounts payable	805	(45)
Other current liabilities	(32)	(226)
Net cash provided from operating activities	5,017	5,081
Investing Activities:
Property additions	(5,502)	(5,222)
Cost of removal, net of salvage	(518)	(282)
Proceeds from dispositions	120	160
Other investing activities	73	(12)
Net cash used for investing activities	(5,952)	(5,850)
Financing Activities:
Decrease in notes payable, net	(349)	(203)
Proceeds —
Short-term borrowings	1,200	325
Redemptions and repurchases —
Short-term borrowings	(900)	(25)
Payment of common stock dividends	(2,166)	(2,077)
Other financing activities	(235)	(224)
Net cash provided from financing activities	1,119	1,802
Net Change in Cash, Cash Equivalents, and Restricted Cash	184	1,033
Cash, Cash Equivalents, and Restricted Cash at Beginning of Period	1,829	1,068
Cash, Cash Equivalents, and Restricted Cash at End of Period	2,013	2,101
Supplemental Cash Flow Information:
Interest, net of amounts capitalized	1,425	1,417
Income taxes, net	160	92
Noncash transactions —
Accrued property additions at year-end	872	915
SOUTHERN Co GAS
Operating Activities:
Net income (loss)	516	389
Adjustments to reconcile net income to net cash provided from operating activities —
Depreciation and amortization, total	414	396
Deferred income taxes	109	289
Mark-to-market adjustments	(34)	147
Impairment of PennEast Pipeline investment	0	84
Gain on dispositions, net	(5)	(127)
Natural gas cost under recovery – long-term	207	(79)
Other, net	27	32
Changes in certain current assets and liabilities —
Receivables	301	311
Natural gas for sale, net of temporary LIFO liquidation	(136)	20
Prepaid income taxes	(77)	(148)
Natural gas cost under recovery	(124)	(432)
Other current assets	7	(98)
Accounts payable	342	30
Other current liabilities	(15)	(57)
Net cash provided from operating activities	1,532	757
Investing Activities:
Property additions	(1,063)	(1,045)
Cost of removal, net of salvage	(84)	(74)
Construction payables	(103)	4
Proceeds from dispositions	0	126
Other investing activities	11	23
Net cash used for investing activities	(1,239)	(966)
Financing Activities:
Decrease in notes payable, net	(749)
Increase in notes payable, net		38
Proceeds —
Short-term borrowings	50	300
First mortgage bonds	100	100
Proceeds — Senior notes	500	450
Redemptions and repurchases —
Short-term borrowings	(150)	0
Senior notes	0	(300)
Medium-term notes	(46)	(30)
Capital contributions from parent company	357	63
Payment of common stock dividends	(389)	(397)
Other financing activities	14	(2)
Net cash provided from financing activities	(313)	222
Net Change in Cash, Cash Equivalents, and Restricted Cash	(20)	13
Cash, Cash Equivalents, and Restricted Cash at Beginning of Period	48	19
Cash, Cash Equivalents, and Restricted Cash at End of Period	28	32
Supplemental Cash Flow Information:
Interest, net of amounts capitalized	186	173
Income taxes, net	193	85
Noncash transactions —
Accrued property additions at year-end	$ 10	$ 146

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Condensed Consolidated Statements of Cash Flows (Unaudited) - GAS (Parenthetical) - USD ($) $ in Millions	9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021
Net cash paid for capitalized interest	$ 74	$ 68
SOUTHERN Co GAS
Net cash paid for capitalized interest	$ 7	$ 6

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Condensed Consolidated Balance Sheets (Unaudited) - GAS - USD ($) $ in Millions	Sep. 30, 2022	Dec. 31, 2021
Current Assets:
Cash and cash equivalents	$ 2,009	$ 1,798
Receivables —
Customer accounts	2,223	1,806
Unbilled revenues	593	711
Other accounts and notes	533	523
Accumulated provision for uncollectible accounts	(80)	(78)
Natural gas for sale	498	362
Prepaid expenses	373	330
Natural gas cost under recovery	390	266
Other regulatory assets	746	653
Other current assets	322	231
Total current assets	10,363	8,965
Property, Plant, and Equipment:
In service	116,236	115,592
Less: Accumulated depreciation	34,922	34,079
Plant in service, net of depreciation	81,314	81,513
Construction work in progress	10,773	8,771
Total property, plant, and equipment	93,529	91,108
Other Property and Investments:
Goodwill	5,280	5,280
Equity investments in unconsolidated subsidiaries	1,292	1,282
Other intangible assets, net of amortization	415	445
Miscellaneous property and investments	590	653
Total other property and investments	9,608	10,202
Deferred Charges and Other Assets:
Operating lease right-of-use assets, net of amortization	1,560	1,701
Prepaid pension costs	2,019	1,657
Other regulatory assets, deferred	6,121	5,577
Other deferred charges and assets	1,492	1,366
Total deferred charges and other assets	20,505	17,259
Total Assets	134,005	127,534
Current Liabilities:
Securities due within one year	3,241	2,157
Notes payable	1,398	1,440
Accounts payable —
Customer deposits	516	479
Accrued interest	431	533
Accrued compensation	961	1,070
Other regulatory liabilities	440	563
Other current liabilities	844	872
Total current liabilities	12,801	10,921
Long-term Debt	50,427	50,120
Deferred Credits and Other Liabilities:
Accumulated deferred income taxes	9,916	8,862
Deferred credits related to income taxes	5,271	5,401
Employee benefit obligations	1,466	1,550
Operating lease obligations, deferred	1,393	1,503
Other cost of removal obligations	1,950	2,103
Other deferred credits and liabilities	1,366	816
Total deferred credits and other liabilities	35,059	33,926
Total Liabilities	98,287	94,967
Total Stockholders' Equity	35,476	32,276
Total Liabilities and Stockholders' Equity	134,005	127,534
SOUTHERN Co GAS
Current Assets:
Cash and cash equivalents	26	45
Receivables —
Customer accounts	296	462
Unbilled revenues	122	278
Other accounts and notes	58	49
Accumulated provision for uncollectible accounts	(41)	(39)
Natural gas for sale	498	362
Prepaid expenses	192	114
Natural gas cost under recovery	390	266
Other regulatory assets	121	136
Other current assets	118	82
Total current assets	1,780	1,755
Property, Plant, and Equipment:
In service	19,656	18,880
Less: Accumulated depreciation	5,270	5,067
Plant in service, net of depreciation	14,386	13,813
Construction work in progress	871	684
Total property, plant, and equipment	15,257	14,497
Other Property and Investments:
Goodwill	5,015	5,015
Equity investments in unconsolidated subsidiaries	1,125	1,173
Other intangible assets, net of amortization	28	37
Miscellaneous property and investments	27	19
Total other property and investments	6,195	6,244
Deferred Charges and Other Assets:
Operating lease right-of-use assets, net of amortization	61	70
Prepaid pension costs	200	175
Other regulatory assets, deferred	468	689
Other deferred charges and assets	136	130
Total deferred charges and other assets	865	1,064
Total Assets	24,097	23,560
Current Liabilities:
Securities due within one year	0	47
Notes payable	360	1,209
Accounts payable —
Affiliated	64	58
Other	592	361
Customer deposits	137	95
Accrued taxes	71	124
Accrued interest	67	59
Accrued compensation	92	110
Other regulatory liabilities	15	8
Other current liabilities	168	155
Total current liabilities	1,566	2,226
Long-term Debt	7,361	6,855
Deferred Credits and Other Liabilities:
Accumulated deferred income taxes	1,662	1,555
Deferred credits related to income taxes	793	816
Employee benefit obligations	158	176
Operating lease obligations, deferred	53	59
Other cost of removal obligations	1,696	1,683
Accrued environmental remediation	217	197
Other deferred credits and liabilities	153	77
Total deferred credits and other liabilities	4,732	4,563
Total Liabilities	13,659	13,644
Total Stockholders' Equity	10,438	9,916
Total Liabilities and Stockholders' Equity	$ 24,097	$ 23,560

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Condensed Consolidated Balance Sheets (Unaudited) - GAS (Parenthetical) - USD ($) $ in Millions	Sep. 30, 2022	Dec. 31, 2021
Other intangible assets, amortization	$ 331	$ 307
SOUTHERN Co GAS
Other intangible assets, amortization	$ 154	$ 145

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Condensed Consolidated Statements of Stockholders' Equity (Unaudited) - GAS - USD ($) $ in Millions	Total	Paid-In Capital	Retained Earnings (Accumulated Deficit)	Accumulated Other Comprehensive Income (Loss)	SOUTHERN Co GAS	SOUTHERN Co GAS Paid-In Capital	SOUTHERN Co GAS Retained Earnings (Accumulated Deficit)	SOUTHERN Co GAS Accumulated Other Comprehensive Income (Loss)
Beginning balance at Dec. 31, 2020	$ 32,234	$ 11,834	$ 11,311	$ (395)	$ 9,767	$ 9,930	$ (141)	$ (22)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income					398		398
Capital contributions from parent company					57	57
Other comprehensive income (loss)	28			28	4			4
Cash dividends on common stock	(678)		(678)		(132)		(132)
Other	1	2
Ending balance at Mar. 31, 2021	33,068	11,854	11,768	(367)	10,094	9,987	125	(18)
Beginning balance at Dec. 31, 2020	32,234	11,834	11,311	(395)	9,767	9,930	(141)	(22)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income	2,592				389
Ending balance at Sep. 30, 2021	33,219	11,932	11,844	(319)	9,876	10,014	(149)	11
Beginning balance at Mar. 31, 2021	33,068	11,854	11,768	(367)	10,094	9,987	125	(18)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income					(65)		(65)
Capital contributions from parent company					25	25
Other comprehensive income (loss)	12			12	8			8
Cash dividends on common stock	(699)		(699)		(133)		(133)
Other	0	1	1
Ending balance at Jun. 30, 2021	32,746	11,886	11,442	(355)	9,929	10,012	(73)	(10)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income	1,110				56		56
Capital contributions from parent company					2	2
Other comprehensive income (loss)	36			36	21			21
Cash dividends on common stock	(700)		(700)		(132)		(132)
Other	(7)	(10)	1
Ending balance at Sep. 30, 2021	33,219	11,932	11,844	(319)	9,876	10,014	(149)	11
Beginning balance at Dec. 31, 2021	32,276	11,950	10,929	(237)	9,916	10,024	(132)	24
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income					319		319
Capital contributions from parent company					50	50
Other comprehensive income (loss)	42			42	20			20
Cash dividends on common stock	(702)		(702)		(130)		(130)
Other	7	7	2
Ending balance at Mar. 31, 2022	32,629	11,994	11,261	(195)	10,175	10,074	57	44
Beginning balance at Dec. 31, 2021	32,276	11,950	10,929	(237)	9,916	10,024	(132)	24
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income	3,566				516
Ending balance at Sep. 30, 2022	35,476	13,657	12,374	(157)	10,438	10,397	(5)	46
Beginning balance at Mar. 31, 2022	32,629	11,994	11,261	(195)	10,175	10,074	57	44
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income					115		115
Capital contributions from parent company					312	312
Other comprehensive income (loss)	11			11	(12)			(12)
Cash dividends on common stock	(723)		(723)		(130)		(130)
Other	2	4
Ending balance at Jun. 30, 2022	33,013	12,033	11,645	(184)	10,460	10,386	42	32
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income	1,487				83		83
Capital contributions from parent company					11	11
Other comprehensive income (loss)	28			28	14			14
Cash dividends on common stock	(741)		(741)		(130)		(130)
Other	(8)	(4)	(2)	(1)
Ending balance at Sep. 30, 2022	$ 35,476	$ 13,657	$ 12,374	$ (157)	$ 10,438	$ 10,397	$ (5)	$ 46

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Introduction

9 Months Ended

Sep. 30, 2022

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Introduction

INTRODUCTION

The condensed quarterly financial statements of each Registrant included herein have been prepared by such Registrant, without audit, pursuant to the rules and regulations of the SEC. The Condensed Balance Sheets at December 31, 2021 have been derived from the audited financial statements of each Registrant. In the opinion of each Registrant's management, the information regarding such Registrant furnished herein reflects all adjustments, which, except as otherwise disclosed, are of a normal recurring nature, necessary to present fairly the results of operations for the periods ended September 30, 2022 and 2021. Certain information and footnote disclosures normally included in annual financial statements prepared in accordance with GAAP have been condensed or omitted pursuant to such rules and regulations, although each Registrant believes that the disclosures regarding such Registrant are adequate to make the information presented not misleading. Disclosures which would substantially duplicate the disclosures in the Form 10-K and details which have not changed significantly in amount or composition since the filing of the Form 10-K are generally omitted from this Quarterly Report on Form 10-Q unless specifically required by GAAP. Therefore, these Condensed Financial Statements should be read in conjunction with the financial statements and the notes thereto included in the Form 10-K. Due to the seasonal variations in the demand for energy and other factors, operating results for the periods presented are not necessarily indicative of the operating results to be expected for the full year.

Certain prior year data presented in the financial statements have been reclassified to conform to the current year presentation. These reclassifications had no impact on the overall results of operations, financial position, or cash flows of any Registrant.

Goodwill and Other Intangible Assets

Goodwill at September 30, 2022 and December 31, 2021 was as follows:

	Goodwill
	(in millions)
Southern Company	$	5,280
Southern Company Gas:
Gas distribution operations	$	4,034
Gas marketing services	981
Southern Company Gas total	$	5,015

Goodwill is not amortized, but is subject to an annual impairment test during the fourth quarter of each year, or more frequently if impairment indicators arise.

Other intangible assets were as follows:

	At September 30, 2022						At December 31, 2021
	Gross Carrying Amount		Accumulated Amortization		Other Intangible Assets, Net		Gross Carrying Amount		Accumulated Amortization		Other Intangible Assets, Net
	(in millions)						(in millions)
Southern Company
Other intangible assets subject to amortization:
Customer relationships	$	212	$	(159)	$	53	$	212	$	(150)	$	62
Trade names	64		(44)		20		64		(38)		26
PPA fair value adjustments	390		(124)		266		390		(109)		281
Other	5		(4)		1		11		(10)		1
Total other intangible assets subject to amortization	$	671	$	(331)	$	340	$	677	$	(307)	$	370
Other intangible assets not subject to amortization:
Federal Communications Commission licenses	75		—		75		75		—		75
Total other intangible assets	$	746	$	(331)	$	415	$	752	$	(307)	$	445
Southern Power
Other intangible assets subject to amortization:
PPA fair value adjustments	$	390	$	(124)	$	266	$	390	$	(109)	$	281
Southern Company Gas
Other intangible assets subject to amortization:
Gas marketing services
Customer relationships	$	156	$	(137)	$	19	$	156	$	(130)	$	26
Trade names	26		(17)		9		26		(15)		11
Total other intangible assets subject to amortization	$	182	$	(154)	$	28	$	182	$	(145)	$	37

Amortization associated with other intangible assets was as follows:

	Three Months Ended		Nine Months Ended
	September 30, 2022
	(in millions)
Southern Company(a)	$	11	$	30
Southern Power(b)	5		15
Southern Company Gas	4		9

(a)Includes $5 million and $15 million for the three and nine months ended September 30, 2022, respectively, recorded as a reduction to operating revenues.

(b)Recorded as a reduction to operating revenues.

Cash, Cash Equivalents, and Restricted Cash

The following table provides a reconciliation of cash, cash equivalents, and restricted cash reported within the condensed balance sheets that total to the amount shown in the condensed statements of cash flows for the applicable Registrants:

	Southern Company				Southern Power				Southern Company Gas
	September 30, 2022		December 31, 2021		September 30, 2022		December 31, 2021		September 30, 2022		December 31, 2021
	(in millions)
Cash and cash equivalents	$	2,009	$	1,798	$	229	$	107	$	26	$	45
Restricted cash(a):
Other current assets	2		2		—		—		2		2
Other deferred charges and assets	3		29		3		29		—		—
Total cash, cash equivalents, and restricted cash(b)	$	2,013	$	1,829	$	231	$	135	$	28	$	48

(a)For Southern Power, reflects $3 million and $10 million at September 30, 2022 and December 31, 2021, respectively, held to fund estimated construction completion costs at the Deuel Harvest wind facility and $19 million at December 31, 2021 related to tax equity contributions restricted until the Garland battery energy storage facility achieved final contracted capacity. For Southern Company Gas, reflects collateral for workers' compensation, life insurance, and long-term disability insurance.

(b)Total may not add due to rounding.

Natural Gas for Sale

With the exception of Nicor Gas, Southern Company Gas records natural gas inventories on a WACOG basis. For any declines in market prices below the WACOG considered to be other than temporary, an adjustment is recorded to reduce the value of natural gas inventories to market value. Nicor Gas' natural gas inventory is carried at cost on a LIFO basis. Inventory decrements occurring during the year that are restored prior to year end are charged to cost of natural gas at the estimated annual replacement cost. Inventory decrements that are not restored prior to year end are charged to cost of natural gas at the actual LIFO cost of the inventory layers liquidated.

Southern Company Gas recorded no material adjustments to natural gas inventories for either period presented. Nicor Gas had no inventory decrement at September 30, 2022.

Depreciation and Amortization

See Note 5 to the financial statements under "Depreciation and Amortization" in Item 8 of the Form 10-K for additional information.

Alabama Power

On September 23, 2022, the FERC authorized Alabama Power to use updated depreciation rates from its 2021 depreciation study effective January 1, 2023. The study was also provided to the Alabama PSC, and the new depreciation rates will be reflected in Alabama Power's future rate filings. See Note 2 to the financial statements under "Alabama Power" in Item 8 of the Form 10-K for additional information.

Southern Power

Effective January 1, 2022, Southern Power revised the depreciable lives of its wind generating facilities from up to 30 years to up to 35 years. This revision resulted in an immaterial decrease in depreciation for the three and nine months ended September 30, 2022.

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Regulatory Matters

9 Months Ended

Sep. 30, 2022

Regulated Operations [Abstract]

Regulatory Matters

REGULATORY MATTERS

See Note 2 to the financial statements in Item 8 of the Form 10-K for additional information relating to regulatory matters.

The recovery balances for certain retail regulatory clauses of the traditional electric operating companies and Southern Company Gas at September 30, 2022 and December 31, 2021 were as follows:

Regulatory Clause	Balance Sheet Line Item	September 30, 2022		December 31, 2021
		(in millions)
Alabama Power
Rate CNP Compliance	Other regulatory liabilities, deferred	$	4	$	—
	Other regulatory assets, deferred	—		16
Rate CNP PPA	Other regulatory assets, deferred	125		84
Retail Energy Cost Recovery(*)	Other regulatory assets, current	93		—
	Other regulatory assets, deferred	413		126
Georgia Power
Fuel Cost Recovery	Deferred under recovered fuel clause revenues	$	1,697	$	410
Mississippi Power
Fuel Cost Recovery	Other customer accounts receivable	$	13	$	4
Ad Valorem Tax	Other regulatory assets, current	12		12
	Other regulatory assets, deferred	22		37
Southern Company Gas
Natural Gas Cost Recovery	Natural gas cost under recovery	$	390	$	266
	Other regulatory assets, deferred	—		207

(*)In accordance with an Alabama PSC order issued on February 1, 2022, Alabama Power applied $126 million of its 2021 Rate RSE refund to reduce the Rate ECR under recovered balance.

Alabama Power

Certificates of Convenience and Necessity

On July 12, 2022, the Alabama PSC approved a certificate of convenience and necessity (CCN) authorizing Alabama Power to complete the acquisition of the Calhoun Generating Station, which was approved by the FERC on March 25, 2022. The transaction closed on September 30, 2022 and, on October 3, 2022, Alabama Power filed Rate CNP New Plant with the Alabama PSC to recover the related costs. The filing reflected an increase in annual revenues of $34 million, or 0.6%, effective with the billing month of November 2022. Alabama Power expects to recover all approved costs associated with the acquisition through existing rate mechanisms as outlined in Note 2 to the financial statements in Item 8 of the Form 10-K. See Note (K) under "Alabama Power" for additional information.

With the completion of the Calhoun Generating Station acquisition, Alabama Power expects to retire Plant Barry Unit 5 as early as 2023. In September 2022, Alabama Power reclassified approximately $600 million for Plant Barry Unit 5 from plant in service, net of depreciation to other utility plant, net and will continue to depreciate the asset according to the original depreciation rates. At retirement, Alabama Power will reclassify the remaining net investment costs of the unit to a regulatory asset to be recovered over the unit's remaining useful life, as established prior to the decision to retire, through Rate CNP Compliance. See Note 2 to the financial statements under "Alabama Power – Environmental Accounting Order" in Item 8 of the Form 10-K for additional information.

In its 2020 order authorizing the CCN for Alabama Power's construction of Plant Barry Unit 8, the Alabama PSC authorized recovery of estimated actual in-service costs of $652 million. At September 30, 2022, project expenditures associated with Plant Barry Unit 8 included in CWIP totaled approximately $484 million and the unit is expected to be placed in service in November 2023. The ultimate outcome of this matter cannot be determined at this time.

Rate ECR

On July 12, 2022, the Alabama PSC approved an adjustment to Rate ECR from 1.960 cents per KWH to 2.557 cents per KWH, or approximately $310 million annually, effective with August 2022 billings. The approved increase in the Rate ECR factor has no significant effect on Alabama Power's net income, but does increase operating cash flows related to fuel cost recovery. The rate will adjust to 5.910 cents per KWH in January 2025 absent a further order from the Alabama PSC.

Rate NDR

On July 12, 2022, the Alabama PSC approved modifications to Rate NDR, which include an adjustment to the charges to establish and maintain the reserve and an adjustment to the recovery period for any existing deferred storm-related operations and maintenance costs and future reserve deficits from 24 months to 48 months. As modified, the maximum total Rate NDR charge to recover a deficit is limited to $5.00 per month per non-residential customer account and $2.50 per month per residential customer account.

Beginning with August 2022 billings, the reserve establishment charge was suspended and the reserve maintenance charge was activated as a result of the NDR balance exceeding $75 million. Alabama Power expects to collect $6 million in the second half of 2022 and approximately $12 million annually beginning in 2023 under Rate NDR unless the NDR balance falls below $50 million. At September 30, 2022, Alabama Power's NDR balance was $103 million. Alabama Power continues to have the authority to accrue additional amounts to the NDR as circumstances warrant.

Reliability Reserve Accounting Order

On July 12, 2022, the Alabama PSC approved an accounting order authorizing Alabama Power to create a reliability reserve separate from the NDR and transition the previous Rate NDR authority related to reliability expenditures to the reliability reserve. Alabama Power may make accruals to the reliability reserve if the NDR balance exceeds $35 million.

Renewable Generation Certificate

Through the issuance of a Renewable Generation Certificate (RGC), Alabama Power is authorized by the Alabama PSC to procure up to 500 MWs of renewable capacity and energy by September 16, 2027 and to market the related energy and environmental attributes to customers and other third parties. In April 2022, one of the existing solar projects which was expected to be served through a PPA commencing in first quarter 2024 was terminated, resulting in the restoration of 80 MWs of capacity under the RGC. On October 4, 2022, the Alabama PSC approved two new solar PPAs totaling 160 MWs. Alabama Power has procured solar capacity totaling approximately 330 MWs under the RGC. The ultimate outcome of this matter cannot be determined at this time.

Georgia Power

Rate Plans

2022 Base Rate Case

On June 24, 2022, Georgia Power filed a base rate case (Georgia Power 2022 Base Rate Case) with the Georgia PSC. The filing, as modified on August 22, 2022, proposes a three-year alternate rate plan with requested rate increases totaling $889 million, $107 million, and $45 million effective January 1, 2023, January 1, 2024, and January 1, 2025, respectively. These increases are based on a proposed retail ROE of 11.00% using the currently approved equity ratio of 56% and reflect levelized revenue requirements during the three-year period, with the exception of incremental compliance costs related to CCR AROs, Demand-Side Management (DSM) programs, and related adjustments to the Municipal Franchise Fee tariff.

Georgia Power has requested recovery of the proposed increases through its existing base rate tariffs as follows:

Tariff	2023		2024		2025
	(in millions)
Traditional base	$	762	$	—	$	—
ECCR
Traditional	5		—		—
CCR ARO(a)	64		78		47
DSM(a)	37		27		(2)
Municipal Franchise Fee	21		2		1
Total(b)	$	889	$	107	$	45

(a)As determined by the Georgia PSC through annual compliance filings.

(b)Totals may not add due to rounding.

Georgia Power's filing primarily reflects requests to (i) recover the costs of recent and future capital investments in the electric grid including the transmission and distribution systems and the continuation of its grid investment plan, all designed to support customer long-term reliability and resiliency needs, (ii) recover the cost of coal-fired generation units proposed for retirement, or made unavailable, as requested in the 2022 IRP, as Georgia Power continues the transition of the generation fleet to more economical and cleaner resources, (iii) make the necessary investments and recover costs to comply with federal and state environmental regulations, including costs

associated with the CCR AROs related to ash pond and landfill closures and post-closure care, and (iv) reduce operating costs despite significant inflationary pressures. In addition, the filing includes the following provisions:

•Continuation of an allowed retail ROE range of 9.50% to 12.00%.

•Continuation of the process whereby 80% of any earnings above the top of the allowed ROE range are shared with Georgia Power's customers and the remaining 20% are retained by Georgia Power.

•Continuation of the option to file an Interim Cost Recovery tariff in the event earnings are projected to fall below the bottom of the allowed ROE range during the three-year term of the plan.

Georgia Power expects the Georgia PSC to render a final decision in this matter on December 20, 2022. The ultimate outcome of this matter cannot be determined at this time.

2019 ARP

In 2020, the Georgia PSC denied a motion for reconsideration filed by Sierra Club regarding the Georgia PSC's decision in the 2019 ARP allowing Georgia Power to recover compliance costs for CCR AROs. The Superior Court of Fulton County subsequently affirmed the Georgia PSC's decision and, in October 2021, the Georgia Court of Appeals affirmed the Superior Court of Fulton County's order. In December 2021, Sierra Club filed a petition for writ of certiorari to the Georgia Supreme Court, which was denied on July 14, 2022. This matter is now concluded. See Note 6 to the financial statements in Item 8 of the Form 10-K for additional information regarding Georgia Power's AROs.

Integrated Resource Plans

In response to supply chain challenges in the solar industry, the Georgia PSC approved Georgia Power's request to amend 970 MWs of utility-scale solar PPAs that were authorized by the Georgia PSC in Georgia Power's 2019 IRP. The amendments extended the required commercial operation dates for the PPAs from 2023 to 2024.

On July 21, 2022, the Georgia PSC approved the 2022 IRP, as modified by a stipulated agreement among Georgia Power, the staff of the Georgia PSC, and certain intervenors and as further modified by the Georgia PSC. In the 2022 IRP decision, the Georgia PSC approved the following requests:

•Decertification and retirement of Plant Wansley Units 1 and 2 (926 MWs based on 53.5% ownership), which occurred on August 31, 2022, and reclassification to regulatory asset accounts of the remaining net book values and any remaining unusable materials and supplies inventories upon retirement. The regulatory asset accounts for the remaining net book values of the units ($299 million and $277 million for Unit 1 and Unit 2, respectively, at September 30, 2022) are being amortized at a rate equal to the unit depreciation rates authorized in the 2019 ARP through December 31, 2022. In the Georgia Power 2022 Base Rate Case, Georgia Power requested recovery of the remaining regulatory asset balances for the net book values of the units through 2030 and requested that the timing of recovery of the regulatory asset account for the unusable materials and supplies inventories be determined in a future base rate case.

•Decertification and retirement of Plant Scherer Unit 3 (614 MWs based on 75% ownership) by December 31, 2028 and reclassification to regulatory asset accounts of the remaining net book value (approximately $608 million at September 30, 2022) and any remaining unusable materials and supplies inventory to regulatory asset accounts upon retirement. The timing of recovery for these regulatory assets is expected to be determined in a future base rate case.

•Decertification and retirement of Plant Gaston Units 1 through 4 (500 MWs based on 50% ownership through SEGCO) by December 31, 2028. See Note 7 to the financial statements under "SEGCO" in Item 8 of the Form 10-K for additional information.

•Georgia Power's environmental compliance strategy, including approval of Georgia Power's plans to address CCR at its ash ponds and landfills. Recovery of the related costs is expected to be determined in future base rate cases. The Georgia PSC's approval included a change in the method of closure for one ash

pond. Georgia Power is currently evaluating the related impact on its cost estimates and AROs; however, it is not expected to be material.

•Installation of environmental controls at Plants Bowen and Scherer for compliance with rules related to effluent limitations guidelines.

•Initiation of a license renewal application with the NRC for Plant Hatch.

•Investments related to the continued hydro operations of Plants Sinclair and Burton.

•Provisional authorization for development of a 265-MW battery energy storage facility with expected commercial operation in 2026.

•Issuance of requests for proposals (RFP) for 2,300 MWs of renewable resources, an additional 500 MWs of energy storage, and up to 140 MWs of biomass generation.

•Related transmission projects necessary to support the generation facilities plan.

•Certification of six PPAs (including five affiliate PPAs with Southern Power that are subject to approval by the FERC) with capacities of 1,567 MWs beginning in 2024, 380 MWs beginning in 2025, and 228 MWs beginning in 2028, procured through RFPs authorized in the 2019 IRP. See Note (F) under "Georgia Power Lease Modification" for additional information.

The Georgia PSC deferred a decision on the requested decertification and retirement of Plant Bowen Units 1 and 2 (1,400 MWs) to the 2025 IRP and rejected Georgia Power's request to certify approximately 88 MWs of wholesale capacity to be placed in retail rate base between January 1, 2024 and January 1, 2025. Georgia Power may offer such capacity in the wholesale market or to the retail jurisdiction in a future regulatory proceeding.

On August 26, 2022, Restore Chattooga Gorge Coalition (RCG) filed a petition in the Superior Court of Fulton County, Georgia against Georgia Power and the Georgia PSC. The petition challenges Georgia Power's plan to expend $115 million to modernize Plant Tugalo, as approved in the 2019 IRP, and seeks judicial review of the Georgia PSC's order in the 2022 IRP proceeding with respect to the denial of RCG's challenge to the modernization plan.

The ultimate outcome of these matters cannot be determined at this time.

Nuclear Construction

In 2009, the Georgia PSC certified construction of Plant Vogtle Units 3 and 4, in which Georgia Power holds a 45.7% ownership interest. In 2012, the NRC issued the related combined construction and operating licenses, which allowed full construction of the two AP1000 nuclear units (with electric generating capacity of approximately 1,100 MWs each) and related facilities to begin. Until March 2017, construction on Plant Vogtle Units 3 and 4 continued under the Vogtle 3 and 4 Agreement, which was a substantially fixed price agreement.

In connection with the EPC Contractor's bankruptcy filing in March 2017, Georgia Power, acting for itself and as agent for the other Vogtle Owners, entered into several transitional arrangements to allow construction to continue. In July 2017, Georgia Power, acting for itself and as agent for the other Vogtle Owners, entered into the Vogtle Services Agreement, whereby Westinghouse provides facility design and engineering services, procurement and technical support, and staff augmentation on a time and materials cost basis. The Vogtle Services Agreement provides that it will continue until the start-up and testing of Plant Vogtle Units 3 and 4 are complete and electricity is generated and sold from both units. The Vogtle Services Agreement is terminable by the Vogtle Owners upon 30 days' written notice.

In October 2017, Georgia Power, acting for itself and as agent for the other Vogtle Owners, executed the Bechtel Agreement, under which Bechtel is reimbursed for actual costs plus a base fee and an at-risk fee, subject to adjustment based on Bechtel's performance against cost and schedule targets. Each Vogtle Owner is severally (not jointly) liable for its proportionate share, based on its ownership interest, of all amounts owed to Bechtel under the Bechtel Agreement. The Vogtle Owners may terminate the Bechtel Agreement at any time for their convenience, provided that the Vogtle Owners will be required to pay amounts related to work performed prior to the termination (including the applicable portion of the base fee), certain termination-related costs, and, at certain stages of the

work, the applicable portion of the at-risk fee. Bechtel may terminate the Bechtel Agreement under certain circumstances, including certain Vogtle Owner suspensions of work, certain breaches of the Bechtel Agreement by the Vogtle Owners, Vogtle Owner insolvency, and certain other events.

See Note 8 to the financial statements under "Long-term Debt – DOE Loan Guarantee Borrowings" in Item 8 of the Form 10-K for information on the Amended and Restated Loan Guarantee Agreement, including applicable covenants, events of default, and mandatory prepayment events.

Cost and Schedule

Georgia Power's approximate proportionate share of the remaining estimated capital cost to complete Plant Vogtle Units 3 and 4, including contingency, through the end of the first quarter 2023 and the fourth quarter 2023, respectively, is as follows:

	(in millions)
Base project capital cost forecast(a)(b)	$	10,334
Construction contingency estimate	49
Total project capital cost forecast(a)(b)	10,383
Net investment at September 30, 2022(b)	(9,280)
Remaining estimate to complete	$	1,103

(a)Includes approximately $590 million of costs that are not shared with the other Vogtle Owners and approximately $353 million of incremental costs under the cost-sharing and tender provisions of the joint ownership agreements described below. Excludes financing costs expected to be capitalized through AFUDC of approximately $385 million, of which $275 million had been accrued through September 30, 2022.

(b)Net of $1.7 billion received from Toshiba under the Guarantee Settlement Agreement and approximately $188 million in related customer refunds.

Georgia Power estimates that its financing costs for construction of Plant Vogtle Units 3 and 4 will total approximately $3.4 billion, of which $3.1 billion had been incurred through September 30, 2022.

As part of its ongoing processes, Southern Nuclear continues to evaluate cost and schedule forecasts on a regular basis to incorporate current information available, particularly in the areas of engineering support, commodity installation, system turnovers and related test results, and workforce statistics. Southern Nuclear establishes aggressive target values for monthly construction production and system turnover activities, which are reflected in the site work plans.

Since March 2020, the number of active COVID-19 cases at the site has fluctuated consistent with the surrounding area and impacted productivity levels and pace of activity completion, with the site experiencing peaks in the number of active cases in January 2021, August 2021, and January 2022. Georgia Power estimates the productivity impacts of the COVID-19 pandemic have consumed approximately three to four months of schedule margin previously embedded in the site work plan for Unit 3 and Unit 4. As of September 30, 2022, Georgia Power's proportionate share of the estimated incremental cost associated with COVID-19 mitigation actions and impacts on construction productivity is estimated to be between $160 million and $200 million and is included in the total project capital cost forecast. The continuing effects of the COVID-19 pandemic could further disrupt or delay construction and testing activities at Plant Vogtle Units 3 and 4.

On July 29, 2022, Southern Nuclear announced that all Unit 3 ITAACs had been submitted to the NRC. On August 3, 2022, the NRC published its 103(g) finding that the acceptance criteria in the combined license for Unit 3 had been met, which allowed nuclear fuel to be loaded and allows start-up testing to begin. Fuel load for Unit 3 was completed on October 17, 2022, and the unit is projected to be placed in service by the end of the first quarter 2023. Unit 4 is projected to be placed in service by the end of the fourth quarter 2023.

During the first nine months of 2022, established construction contingency totaling $170 million was assigned to the base capital cost forecast for costs primarily associated with construction productivity, the pace of system turnovers, additional craft and support resources, and procurement for Units 3 and 4. Georgia Power also increased its total

project capital cost forecast by adding $36 million and $32 million to replenish construction contingency in the second quarter 2022 and the third quarter 2022, respectively.

After considering the significant level of uncertainty that exists regarding the future recoverability of these costs since the ultimate outcome of these matters is subject to the outcome of future assessments by management, as well as Georgia PSC decisions in future regulatory proceedings, Georgia Power recorded pre-tax charges to income in the second quarter 2022 and the third quarter 2022 of $36 million ($27 million after tax) and $32 million ($24 million after tax), respectively, for the increases in the total project capital cost forecast. Georgia Power may request the Georgia PSC to evaluate those expenditures for rate recovery during the prudence review following the Unit 4 fuel load pursuant to the twenty-fourth VCM stipulation described below.

The projected schedule for Unit 3 primarily depends on the pace of system and area transitions to operations, including the completion of closure documentation necessary to support start-up testing, and the progression of start-up, final component, and pre-operational testing, which may be impacted by equipment or other operational failures. The projected schedule for Unit 4 primarily depends on Unit 3 progress through start-up and testing; overall construction productivity and production levels improving, particularly in electrical installation, including terminations; and appropriate levels of craft laborers, particularly electricians, being added and maintained. As Unit 4 progresses through construction and continues to transition into testing, ongoing and potential future challenges include the pace and quality of electrical, mechanical, and instrumentation and controls commodities installation; availability of craft and supervisory resources, including the temporary diversion of such resources to support Unit 3; the pace of work package closures and system turnovers; and the timeframe and duration of hot functional and other testing. Ongoing or future challenges for both units also include management of contractors and vendors; subcontractor performance; supervision of craft labor and related productivity; ability to attract and retain craft labor; and/or related cost escalation. New challenges also may arise, particularly as Units 3 and 4 move into initial testing and start-up, which may result in required engineering changes or remediation related to plant systems, structures, or components (some of which are based on new technology that only within the last few years began initial operation in the global nuclear industry at this scale). These challenges may result in further schedule delays and/or cost increases.

There have been technical and procedural challenges to the construction and licensing of Plant Vogtle Units 3 and 4 at the federal and state level and additional challenges may arise. Processes are in place that are designed to ensure compliance with the requirements specified in the Westinghouse Design Control Document and the combined construction and operating licenses, including inspections by Southern Nuclear and the NRC that occur throughout construction. On March 25, 2022, the NRC completed a follow-up inspection related to the November 2021 final significance report on its special inspection to review the root cause of additional construction remediation work identified in 2021 and Southern Nuclear's corresponding corrective action plans. The NRC closed the two white findings identified in November 2021 and returned Vogtle Unit 3 to the NRC's baseline inspection program.

With the receipt of the NRC's 103(g) finding, Unit 3 is now under the NRC's operating reactor oversight process and must meet applicable technical and operational requirements contained within Unit 3's operating license. Various design and other licensing-based compliance matters, including the timely submittal by Southern Nuclear of the ITAAC documentation and the related reviews and approvals by the NRC necessary to support NRC authorization to load fuel for Unit 4, may arise, which may result in additional license amendment requests or require other resolution. If any license amendment requests or other licensing-based compliance issues, including inspections and ITAACs for Unit 4, are not resolved in a timely manner, there may be delays in the project schedule that could result in increased costs.

The ultimate outcome of these matters cannot be determined at this time. However, any extension of the in-service date beyond the first quarter 2023 for Unit 3 or the fourth quarter 2023 for Unit 4, including the current level of cost sharing described below, is estimated to result in additional base capital costs for Georgia Power of up to $15 million per month for Unit 3 and $35 million per month for Unit 4, as well as the related AFUDC and any additional related construction, support resources, or testing costs. While Georgia Power is not precluded from seeking retail recovery of any future capital cost forecast increase other than the amounts related to the cost-sharing

and tender provisions of the joint ownership agreements described below, management will ultimately determine whether or not to seek recovery. Any further changes to the capital cost forecast that are not expected to be recoverable through regulated rates will be required to be charged to income and such charges could be material.

Joint Owner Contracts

In November 2017, the Vogtle Owners entered into an amendment to their joint ownership agreements for Plant Vogtle Units 3 and 4 to provide for, among other conditions, additional Vogtle Owner approval requirements. Effective in August 2018, the Vogtle Owners further amended the joint ownership agreements to clarify and provide procedures for certain provisions of the joint ownership agreements related to adverse events that require the vote of the holders of at least 90% of the ownership interests in Plant Vogtle Units 3 and 4 to continue construction (as amended, and together with the November 2017 amendment, the Vogtle Joint Ownership Agreements). The Vogtle Joint Ownership Agreements also confirm that the Vogtle Owners' sole recourse against Georgia Power or Southern Nuclear for any action or inaction in connection with their performance as agent for the Vogtle Owners is limited to removal of Georgia Power and/or Southern Nuclear as agent, except in cases of willful misconduct.

Amendments to the Vogtle Joint Ownership Agreements

In connection with a September 2018 vote by the Vogtle Owners to continue construction, Georgia Power entered into (i) a binding term sheet (Vogtle Owner Term Sheet) with the other Vogtle Owners and MEAG Power's wholly-owned subsidiaries MEAG Power SPVJ, LLC (MEAG SPVJ), MEAG Power SPVM, LLC (MEAG SPVM), and MEAG Power SPVP, LLC (MEAG SPVP) to take certain actions which partially mitigate potential financial exposure for the other Vogtle Owners, including additional amendments to the Vogtle Joint Ownership Agreements and the purchase of PTCs from the other Vogtle Owners at pre-established prices, and (ii) a term sheet (MEAG Term Sheet) with MEAG Power and MEAG SPVJ to provide up to $300 million of funding with respect to MEAG SPVJ's ownership interest in Plant Vogtle Units 3 and 4 under certain circumstances. In January 2019, Georgia Power, MEAG Power, and MEAG SPVJ entered into an agreement to implement the provisions of the MEAG Term Sheet. In February 2019, Georgia Power, the other Vogtle Owners, and MEAG Power's wholly-owned subsidiaries MEAG SPVJ, MEAG SPVM, and MEAG SPVP entered into certain amendments to the Vogtle Joint Ownership Agreements to implement the provisions of the Vogtle Owner Term Sheet (Global Amendments).

Pursuant to the Global Amendments: (i) each Vogtle Owner must pay its proportionate share of qualifying construction costs for Plant Vogtle Units 3 and 4 based on its ownership percentage up to the estimated cost at completion (EAC) for Plant Vogtle Units 3 and 4 which formed the basis of Georgia Power's forecast of $8.4 billion in the nineteenth VCM plus $800 million; (ii) Georgia Power will be responsible for 55.7% of actual qualifying construction costs between $800 million and $1.6 billion over the EAC in the nineteenth VCM (resulting in $80 million of potential additional costs to Georgia Power), with the remaining Vogtle Owners responsible for 44.3% of such costs pro rata in accordance with their respective ownership interests; and (iii) Georgia Power will be responsible for 65.7% of qualifying construction costs between $1.6 billion and $2.1 billion over the EAC in the nineteenth VCM (resulting in a further $100 million of potential additional costs to Georgia Power), with the remaining Vogtle Owners responsible for 34.3% of such costs pro rata in accordance with their respective ownership interests. The Global Amendments provide that if the EAC is revised and exceeds the EAC in the nineteenth VCM by more than $2.1 billion, each of the other Vogtle Owners will have a one-time option at the time the project budget cost forecast is so revised to tender a portion of its ownership interest to Georgia Power in exchange for Georgia Power's agreement to pay 100% of such Vogtle Owner's remaining share of total construction costs in excess of the EAC in the nineteenth VCM plus $2.1 billion.

For purposes of the foregoing provisions, qualifying construction costs will not include costs (i) resulting from force majeure events, including epidemics and quarantines, governmental actions or inactions (or significant delays associated with issuance of such actions) that affect the licensing, completion, start-up, operations, or financing of Plant Vogtle Units 3 and 4, administrative proceedings or litigation regarding ITAAC or other regulatory challenges to commencement of operation of Plant Vogtle Units 3 and 4, and changes in laws or regulations governing Plant Vogtle Units 3 and 4, (ii) legal fees and legal expenses incurred due to litigation with contractors or subcontractors

that are not subsidiaries or affiliates of Southern Company, and (iii) additional costs caused by requests from the Vogtle Owners other than Georgia Power, except for the exercise of a right to vote granted under the Vogtle Joint Ownership Agreements, that increase costs by $100,000 or more.

In addition, pursuant to the Global Amendments, the holders of at least 90% of the ownership interests in Plant Vogtle Units 3 and 4 must vote to continue construction if certain adverse events (Project Adverse Events) occur, including, among other events: (i) the bankruptcy of Toshiba; (ii) the termination or rejection in bankruptcy of certain agreements, including the Vogtle Services Agreement, the Bechtel Agreement, or the agency agreement with Southern Nuclear; (iii) Georgia Power's public announcement of its intention not to submit for rate recovery any portion of its investment in Plant Vogtle Units 3 and 4 or the Georgia PSC determines that any of Georgia Power's costs relating to the construction of Plant Vogtle Units 3 and 4 will not be recovered in retail rates, excluding any additional amounts paid by Georgia Power on behalf of the other Vogtle Owners pursuant to the Global Amendments described above and the first 6% of costs during any six-month VCM reporting period that are disallowed by the Georgia PSC for recovery, or for which Georgia Power elects not to seek cost recovery, through retail rates; and (iv) an incremental extension of one year or more from the seventeenth VCM report estimated in-service dates of November 2021 and November 2022 for Units 3 and 4, respectively. The schedule extension announced in February 2022 triggered the requirement for a vote to continue construction. Effective February 25, 2022, all of the Vogtle Owners had voted to continue construction.

Georgia Power and the other Vogtle Owners do not agree on either the starting dollar amount for the determination of cost increases subject to the cost-sharing and tender provisions of the Global Amendments or the extent to which COVID-19-related costs impact those provisions. Based on the definition in the Global Amendments, Georgia Power believes the starting dollar amount is $18.38 billion and the current project capital cost forecast exceeds the cost-sharing provision threshold, but not the tender provision threshold. The other Vogtle Owners have notified Georgia Power that they believe the current capital cost expenditures have already exceeded the cost-sharing thresholds and the current project capital cost forecast triggers the tender provisions under the Global Amendments. In October 2021, Georgia Power and the other Vogtle Owners entered into an agreement, which was modified on June 3, 2022, to clarify the process for the tender provisions of the Global Amendments to provide for a decision between 120 and 194 days after the tender option is triggered, which the other Vogtle Owners assert occurred on February 14, 2022. On June 17, 2022 and July 26, 2022, OPC and Dalton, respectively, notified Georgia Power of their purported exercises of their tender options.

On June 18, 2022, OPC and MEAG Power each filed a separate lawsuit against Georgia Power in the Superior Court of Fulton County, Georgia seeking a declaratory judgment that the starting dollar amount is $17.1 billion and that the cost-sharing and tender provisions have been triggered. The lawsuits also assert other claims, including breach of contract allegations, and seek, among other remedies, damages and injunctive relief requiring Georgia Power to track and allocate construction costs consistent with MEAG Power's and OPC's interpretations of the Global Amendments. On July 25, 2022 and July 28, 2022, Georgia Power filed its answers in the lawsuits filed by MEAG Power and OPC, respectively, and included counterclaims seeking a declaratory judgment that the starting dollar amount is $18.38 billion and that costs related to force majeure events are excluded prior to calculating the cost-sharing and tender provisions and when calculating Georgia Power's related financial obligations. On September 26, 2022, Dalton filed complaints in each of these lawsuits. On September 29, 2022, Georgia Power and MEAG Power reached an agreement to resolve their dispute regarding the proper interpretation of the cost-sharing and tender provisions of the Global Amendments. Under the terms of the agreement, among other items, (i) MEAG Power will not exercise its tender option and will retain its full ownership interest in Plant Vogtle Units 3 and 4; (ii) Georgia Power will pay a portion of MEAG Power's costs of construction for Plant Vogtle Units 3 and 4 as such costs are incurred and with no further adjustment for force majeure costs, which payments will total approximately $79 million based on the current project capital cost forecast; and (iii) Georgia Power will pay 20% of MEAG Power's costs of construction with respect to any amounts over the current project capital cost forecast, with no further adjustment for force majeure costs. In addition, MEAG Power agreed to vote to continue construction upon occurrence of a Project Adverse Event unless the commercial operation date of either of Plant Vogtle Unit 3 or Unit 4 is not projected to occur by December 31, 2025. On October 4, 2022, MEAG Power and Georgia Power filed a

notice of settlement and voluntary dismissal of their pending litigation, including Georgia Power's counterclaim, and, on October 6, 2022, Dalton dismissed its related complaint.

Georgia Power recorded pre-tax charges (credits) to income in the fourth quarter 2021, the second quarter 2022, and the third quarter 2022 of approximately $440 million ($328 million after tax), $16 million ($12 million after tax), and $(102) million ($(76) million after tax), respectively, associated with the cost-sharing and tender provisions of the Global Amendments, including the settlement with MEAG Power, which are included in the total project capital cost forecast and will not be recovered from retail customers. The settlement with MEAG Power does not resolve the separate pending litigation with OPC, including Dalton's associated complaint, described above. Georgia Power may be required to record further pre-tax charges to income of up to approximately $300 million associated with the cost-sharing and tender provisions of the Global Amendments for OPC and Dalton based on the current project capital cost forecast.

Georgia Power's ownership interest in Plant Vogtle Units 3 and 4 continues to be 45.7%; however, it could increase if OPC or Dalton effectively exercises the option to tender a portion of their ownership interest to Georgia Power and require Georgia Power to pay 100% of the remaining share of the costs necessary to complete Plant Vogtle Units 3 and 4. Georgia Power's incremental ownership interest would be calculated and conveyed to Georgia Power after Plant Vogtle Units 3 and 4 are placed in service.

The ultimate outcome of these matters cannot be determined at this time.

Regulatory Matters

In 2009, the Georgia PSC voted to certify construction of Plant Vogtle Units 3 and 4 with a certified capital cost of $4.418 billion. In addition, in 2009 the Georgia PSC approved inclusion of the Plant Vogtle Units 3 and 4 related CWIP accounts in rate base, and the State of Georgia enacted the Georgia Nuclear Energy Financing Act, which allows Georgia Power to recover financing costs for Plant Vogtle Units 3 and 4. Financing costs are recovered on all applicable certified costs through annual adjustments to the NCCR tariff up to the certified capital cost of $4.418 billion. At September 30, 2022, Georgia Power had recovered approximately $2.8 billion of financing costs. Financing costs related to capital costs above $4.418 billion are being recognized through AFUDC and are expected to be recovered through retail rates over the life of Plant Vogtle Units 3 and 4; however, Georgia Power is not recording AFUDC related to any capital costs in excess of the total deemed reasonable by the Georgia PSC (currently $7.3 billion) and not requested for rate recovery. In November 2021, the Georgia PSC approved Georgia Power's request to decrease the NCCR tariff by $78 million annually, effective January 1, 2022.

Georgia Power is required to file semi-annual VCM reports with the Georgia PSC by February 28 and August 31 of each year. In 2013, in connection with the eighth VCM report, the Georgia PSC approved a stipulation between Georgia Power and the staff of the Georgia PSC to waive the requirement to amend the Plant Vogtle Units 3 and 4 certificate in accordance with the 2009 certification order until the completion of Plant Vogtle Unit 3, or earlier if deemed appropriate by the Georgia PSC and Georgia Power.

In 2016, the Georgia PSC voted to approve a settlement agreement (Vogtle Cost Settlement Agreement) resolving certain prudency matters in connection with the fifteenth VCM report. In December 2017, the Georgia PSC voted to approve (and issued its related order on January 11, 2018) Georgia Power's seventeenth VCM report and modified the Vogtle Cost Settlement Agreement. The Vogtle Cost Settlement Agreement, as modified by the January 11, 2018 order, resolved the following regulatory matters related to Plant Vogtle Units 3 and 4: (i) none of the $3.3 billion of costs incurred through December 31, 2015 and reflected in the fourteenth VCM report should be disallowed from rate base on the basis of imprudence; (ii) the Contractor Settlement Agreement was reasonable and prudent and none of the $0.3 billion paid pursuant to the Contractor Settlement Agreement should be disallowed from rate base on the basis of imprudence; (iii) (a) capital costs incurred up to $5.68 billion would be presumed to be reasonable and prudent with the burden of proof on any party challenging such costs, (b) Georgia Power would have the burden to show that any capital costs above $5.68 billion were prudent, and (c) a revised capital cost forecast of $7.3 billion (after reflecting the impact of payments received under the Guarantee Settlement Agreement and related customer refunds) was found reasonable; (iv) construction of Plant Vogtle Units 3 and 4 should be

completed, with Southern Nuclear serving as project manager and Bechtel as primary contractor; (v) approved and deemed reasonable Georgia Power's revised schedule placing Plant Vogtle Units 3 and 4 in service in November 2021 and November 2022, respectively; (vi) confirmed that the revised cost forecast does not represent a cost cap and that a prudence proceeding on cost recovery will occur following Unit 4 fuel load, consistent with applicable Georgia law; (vii) reduced the ROE used to calculate the NCCR tariff (a) from 10.95% (the ROE rate setting point authorized by the Georgia PSC in the 2013 alternate rate plan) to 10.00% effective January 1, 2016, (b) from 10.00% to 8.30%, effective January 1, 2020, and (c) from 8.30% to 5.30%, effective January 1, 2021 (provided that the ROE in no case will be less than Georgia Power's average cost of long-term debt); (viii) reduced the ROE used for AFUDC equity for Plant Vogtle Units 3 and 4 from 10.00% to Georgia Power's average cost of long-term debt, effective January 1, 2018; and (ix) agreed that effective the first month after Unit 3 reaches commercial operation, retail base rates would be adjusted to include the costs related to Unit 3 and common facilities deemed prudent in the Vogtle Cost Settlement Agreement (see Note 2 to the financial statements under "Georgia Power – Plant Vogtle Unit 3 and Common Facilities Rate Proceeding" in Item 8 of the Form 10-K for additional information). The January 11, 2018 order also stated that if Plant Vogtle Units 3 and 4 are not commercially operational by June 1, 2021 and June 1, 2022, respectively, the ROE used to calculate the NCCR tariff will be further reduced by 10 basis points each month (but not lower than Georgia Power's average cost of long-term debt) until the respective Unit is commercially operational. The ROE reductions negatively impacted earnings by approximately $270 million in 2021 and are estimated to have negative earnings impacts of approximately $300 million and $250 million in 2022 and 2023, respectively. In its January 11, 2018 order, the Georgia PSC also stated if other conditions change and assumptions upon which Georgia Power's seventeenth VCM report are based do not materialize, the Georgia PSC reserved the right to reconsider the decision to continue construction.

In the August 2021 order approving the twenty-fourth VCM report, the Georgia PSC approved a stipulation addressing the following matters: (i) beginning with its twenty-fifth VCM report, Georgia Power will continue to report to the Georgia PSC all costs incurred during the period for review and will request for approval costs up to the $7.3 billion determined to be reasonable in the Georgia PSC's seventeenth VCM order and (ii) Georgia Power will not seek rate recovery of the $0.7 billion increase to the base capital cost forecast included in the nineteenth VCM report and charged to income by Georgia Power in the second quarter 2018. In addition, the stipulation confirms Georgia Power may request verification and approval of costs above $7.3 billion for inclusion in rate base at a later time, but no earlier than the prudence review contemplated by the seventeenth VCM order described previously.

The Georgia PSC has approved 25 VCM reports covering periods through June 30, 2021. These reports reflect total construction capital costs incurred of $7.9 billion (net of $1.7 billion of payments received under the Guarantee Settlement Agreement and approximately $188 million in related customer refunds), of which the Georgia PSC has verified and approved $7.3 billion as described above. The Georgia PSC also has reviewed the twenty-sixth VCM report, which reflects $584 million of additional construction capital costs incurred through December 31, 2021. Georgia Power filed its twenty-seventh VCM report with the Georgia PSC on August 31, 2022, which reflects the revised capital cost forecast as of June 30, 2022 of $10.5 billion and $522 million of construction capital costs incurred from January 1, 2022 through June 30, 2022.

The ultimate outcome of these matters cannot be determined at this time.

Mississippi Power

Performance Evaluation Plan

On June 7, 2022, the Mississippi PSC approved Mississippi Power's annual retail PEP filing for 2022, resulting in an annual increase in revenues of approximately $18 million, or 1.9%, primarily due to increases in rate base, operations and maintenance expenses, and depreciation and amortization. The rate increase became effective with the first billing cycle of April 2022 in accordance with the PEP rate schedule.

Ad Valorem Tax Adjustment

On June 7, 2022, the Mississippi PSC approved Mississippi Power's annual ad valorem tax adjustment filing for 2022, resulting in an annual increase in revenues of $5 million, effective with the first billing cycle of July 2022.

Municipal and Rural Associations Tariff

On August 26, 2022, the FERC accepted an amended shared service agreement (SSA) between Mississippi Power and Cooperative Energy, effective July 1, 2022, under which Cooperative Energy will continue to decrease its use of Mississippi Power's generation services under the MRA tariff up to 2.5% annually through 2035. At September 30, 2022, Mississippi Power is serving approximately 400 MWs of Cooperative Energy's annual demand. Beginning in 2036, Cooperative Energy will provide 100% of its electricity requirements at the MRA delivery points under the tariff. Neither party has the option to cancel the amended SSA.

On July 15, 2022, Mississippi Power filed a request with the FERC for a $23 million increase in annual wholesale base revenues under the MRA tariff and requested an effective date of July 15, 2022. Cooperative Energy has filed a complaint with the FERC challenging the new rates. On September 13, 2022, the FERC issued an order accepting Mississippi Power's request effective September 14, 2022, subject to refund, and establishing hearing and settlement judge procedures. The ultimate outcome of this matter cannot be determined at this time.

Southern Company Gas

Infrastructure Replacement Programs and Capital Projects

Capital expenditures incurred under specific infrastructure replacement programs and capital projects during the first nine months of 2022 were as follows:

Utility	Program	Nine Months Ended September 30, 2022
		(in millions)
Nicor Gas	Investing in Illinois	$	311
Virginia Natural Gas	SAVE	52
Atlanta Gas Light	System Reinforcement Rider	51
Chattanooga Gas	Pipeline Replacement Program	2
Total		$	416

Rate Proceedings

Atlanta Gas Light

On July 1, 2022, Atlanta Gas Light filed its annual GRAM update with the Georgia PSC. The filing requests an annual base rate increase of $53 million based on the projected 12-month period beginning January 1, 2023. Resolution of the GRAM filing is expected by December 28, 2022, with the new rates effective January 1, 2023. The ultimate outcome of this matter cannot be determined at this time.

Virginia Natural Gas

On August 1, 2022, Virginia Natural Gas filed a general base rate case with the Virginia Commission seeking an increase in annual base rate revenues of $69 million, including $15 million related to the recovery of investments under the SAVE program, primarily to recover investments and increased costs associated with infrastructure, technology, and workforce development. The requested increase is based on a projected 12-month period beginning January 1, 2023, a ROE of 10.35%, and an equity ratio of 53.2%. Rate adjustments are expected to be effective January 1, 2023, subject to refund. The Virginia Commission is expected to rule on the requested increase in the third quarter 2023. The ultimate outcome of this matter cannot be determined at this time.

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Contingencies

9 Months Ended

Sep. 30, 2022

Commitments and Contingencies Disclosure [Abstract]

Contingencies

CONTINGENCIESSee Note 3 to the financial statements in Item 8 of the Form 10-K for information relating to various lawsuits and other contingencies.

General Litigation Matters

The Registrants are involved in various matters being litigated and regulatory matters. The ultimate outcome of such pending or potential litigation or regulatory matters against each Registrant and any subsidiaries cannot be determined at this time; however, for current proceedings not specifically reported herein, management does not anticipate that the ultimate liabilities, if any, arising from such current proceedings would have a material effect on such Registrant's financial statements.

The Registrants believe the pending legal challenges discussed below have no merit; however, the ultimate outcome of these matters cannot be determined at this time.

Southern Company

In February 2017, Jean Vineyard and Judy Mesirov each filed a shareholder derivative lawsuit in the U.S. District Court for the Northern District of Georgia. Each of these lawsuits named as defendants Southern Company, certain of its directors, certain of its current and former officers, and certain former Mississippi Power officers. In 2017, these two shareholder derivative lawsuits were consolidated in the U.S. District Court for the Northern District of Georgia. The complaints alleged that the defendants caused Southern Company to make false or misleading statements regarding the Kemper County energy facility cost and schedule. Further, the complaints alleged that the defendants were unjustly enriched and caused the waste of corporate assets and also alleged that the individual defendants violated their fiduciary duties.

In May 2017, Helen E. Piper Survivor's Trust filed a shareholder derivative lawsuit in the Superior Court of Gwinnett County, Georgia that named as defendants Southern Company, certain of its directors, certain of its current and former officers, and certain former Mississippi Power officers. The complaint alleged that the individual defendants, among other things, breached their fiduciary duties in connection with schedule delays and cost overruns associated with the construction of the Kemper County energy facility. The complaint further alleged that the individual defendants authorized or failed to correct false and misleading statements regarding the Kemper County energy facility schedule and cost and failed to implement necessary internal controls to prevent harm to Southern Company. In August 2019, the court granted a motion filed by the plaintiff in July 2019 to substitute a new named plaintiff, Martin J. Kobuck, in place of Helen E. Piper Survivor's Trust.

The plaintiffs in each of these cases sought to recover, on behalf of Southern Company, unspecified actual damages and, on each plaintiff's own behalf, attorneys' fees and costs in bringing the lawsuit. The plaintiffs also sought certain changes to Southern Company's corporate governance and internal processes. On January 21, 2022, the plaintiffs in the federal court action filed a motion for preliminary approval of settlement, together with an executed stipulation of settlement, which applied to both actions. On June 9, 2022, the U.S. District Court for the Northern District of Georgia granted final approval of the settlement and, on June 16, 2022, the Superior Court of Gwinnett County, Georgia entered an order awarding attorneys' fees and expenses related to the Martin J. Kobuck lawsuit. The settlement consisted of an aggregate payment by Southern Company's insurers of approximately $4.5 million for attorneys' fees and expenses, as well as adoption of various corporate governance reforms by Southern Company. These matters are now concluded.

Alabama Power

On September 26, 2022, Mobile Baykeeper, through its counsel Southern Environmental Law Center, filed a citizen suit in the U.S. District Court for the Southern District of Alabama alleging that Alabama Power's plan to close the Plant Barry ash pond utilizing a closure-in-place methodology violates the Resource Conservation and Recovery Act (RCRA) and regulations governing CCR. Among other relief requested, Mobile Baykeeper seeks a declaratory judgment that the RCRA and regulations governing CCR are being violated, preliminary and injunctive relief to

prevent implementation of Alabama Power's closure plan and the development of a closure plan that satisfies regulations governing CCR requirements. See Note 6 to the financial statements in Item 8 of the Form 10-K for a discussion of Alabama Power's ARO liabilities related to facilities that are subject to the CCR Rule and the related state rule. The ultimate outcome of this matter cannot be determined at this time.

Georgia Power

In 2011, plaintiffs filed a putative class action against Georgia Power in the Superior Court of Fulton County, Georgia alleging that Georgia Power's collection in rates of amounts for municipal franchise fees (which fees are paid to municipalities) exceeded the amounts allowed in orders of the Georgia PSC and alleging certain state law claims. This case has been ruled upon and appealed numerous times over the last several years. In 2019, the Georgia PSC issued an order that found Georgia Power has appropriately implemented the municipal franchise fee schedule. In March 2021, the Superior Court of Fulton County granted class certification and Georgia Power's motion for summary judgment and the plaintiffs filed a notice of appeal. In April 2021, Georgia Power filed a notice of cross appeal on the issue of class certification. In December 2021, the Georgia Court of Appeals affirmed the Superior Court's ruling that granted summary judgment to Georgia Power and dismissed Georgia Power's cross appeal on the issue of class certification as moot. Also in December 2021, the plaintiffs filed a petition for writ of certiorari to the Georgia Supreme Court. The amount of any possible losses cannot be estimated at this time because, among other factors, it is unknown whether any losses would be subject to recovery from any municipalities.

In July 2020, a group of individual plaintiffs filed a complaint in the Superior Court of Fulton County, Georgia against Georgia Power alleging that releases from Plant Scherer have impacted groundwater, surface water, and air, resulting in alleged personal injuries and property damage. The plaintiffs seek an unspecified amount of monetary damages including punitive damages, a medical monitoring fund, and injunctive relief. Georgia Power has filed multiple motions to dismiss the complaint. In October 2021, three additional complaints were filed in the Superior Court of Monroe County, Georgia against Georgia Power alleging that releases from Plant Scherer have impacted groundwater and air, resulting in alleged personal injuries and property damage. The plaintiffs seek an unspecified amount of monetary damages including punitive damages. In November 2021, Georgia Power filed a notice to remove the three cases pending in the Superior Court of Monroe County, Georgia to the U.S. District Court for the Middle District of Georgia. On February 7, 2022, four additional complaints were filed in the Superior Court of Monroe County, Georgia against Georgia Power seeking damages for alleged personal injuries or property damage. On March 9, 2022, Georgia Power filed a notice to remove the four cases pending in the Superior Court of Monroe County, Georgia to the U.S. District Court for the Middle District of Georgia. The amount of any possible losses from these matters cannot be estimated at this time.

Mississippi Power

In 2018, Ray C. Turnage and 10 other individual plaintiffs filed a putative class action complaint against Mississippi Power and the three then-serving members of the Mississippi PSC in the U.S. District Court for the Southern District of Mississippi, which was amended in March 2019 to include four additional plaintiffs. Mississippi Power received Mississippi PSC approval in 2013 to charge a mirror CWIP rate premised upon including in its rate base pre-construction and construction costs for the Kemper IGCC prior to placing the Kemper IGCC into service. The Mississippi Supreme Court reversed that approval and ordered Mississippi Power to refund the amounts paid by customers under the previously-approved mirror CWIP rate. The plaintiffs allege that the initial approval process, and the amount approved, were improper and make claims for gross negligence, reckless conduct, and intentional wrongdoing. They also allege that Mississippi Power underpaid customers by up to $23.5 million in the refund process by applying an incorrect interest rate. The plaintiffs seek to recover, on behalf of themselves and their putative class, actual damages, punitive damages, pre-judgment interest, post-judgment interest, attorney's fees, and costs. The district court dismissed the amended complaint; however, in March 2020, the plaintiffs filed a motion seeking to name the new members of the Mississippi PSC, the Mississippi Development Authority, and Southern Company as additional defendants and add a cause of action against all defendants based on a dormant commerce clause theory under the U.S. Constitution. In July 2020, the plaintiffs filed a motion for leave to file a third amended complaint, which included the same federal claims as the proposed second amended complaint, as well as several

additional state law claims based on the allegation that Mississippi Power failed to disclose the annual percentage rate of interest applicable to refunds. In November 2020, the district court denied each of the plaintiffs' pending motions and entered final judgment in favor of Mississippi Power. In January 2021, the district court denied further motions by the plaintiffs to vacate the judgment and to file a revised second amended complaint. In February 2021, the plaintiffs filed a notice of appeal with the U.S. Court of Appeals for the Fifth Circuit. On March 21, 2022, the U.S. Court of Appeals for the Fifth Circuit issued an opinion affirming the dismissal of the claims against the Mississippi PSC defendants but reversing the dismissal of the claims against Mississippi Power. On May 31, 2022, the U.S. Court of Appeals for the Fifth Circuit denied a petition by Mississippi Power for a rehearing en banc and remanded the case to the U.S. District Court for the Southern District of Mississippi for further proceedings. On June 17, 2022, Mississippi Power filed with the trial court a motion to dismiss the complaint. An adverse outcome in this proceeding could have a material impact on Mississippi Power's financial statements.

Environmental Remediation

The Southern Company system must comply with environmental laws and regulations governing the handling and disposal of waste and releases of hazardous substances. Under these various laws and regulations, the Southern Company system could incur substantial costs to clean up affected sites. The traditional electric operating companies and the natural gas distribution utilities in Illinois and Georgia have each received authority from their respective state PSCs or other applicable state regulatory agencies to recover approved environmental remediation costs through regulatory mechanisms. These regulatory mechanisms are adjusted annually or as necessary within limits approved by the state PSCs or other applicable state regulatory agencies.

Georgia Power's environmental remediation liability was $16 million and $17 million at September 30, 2022 and December 31, 2021, respectively. Georgia Power has been designated or identified as a potentially responsible party at sites governed by the Georgia Hazardous Site Response Act and/or by the federal Comprehensive Environmental Response, Compensation, and Liability Act, and assessment and potential cleanup of such sites is expected.

Southern Company Gas' environmental remediation liability was $270 million and $249 million at September 30, 2022 and December 31, 2021, respectively, based on the estimated cost of environmental investigation and remediation associated with known former manufactured gas plant operating sites.

The ultimate outcome of these matters cannot be determined at this time; however, as a result of the regulatory treatment for environmental remediation expenses described above, the final disposition of these matters is not expected to have a material impact on the financial statements of the applicable Registrants.

Other Matters

Mississippi Power

In conjunction with Southern Company's 2019 sale of Gulf Power, NextEra Energy, Inc. held back $75 million of the purchase price pending Mississippi Power and Gulf Power negotiating a mutually acceptable revised operating agreement for Plant Daniel. On July 12, 2022, the co-owners executed a revised operating agreement and Southern Company subsequently received the remaining $75 million of the purchase price. The revised operating agreement contains dispatch procedures for the two jointly-owned coal units at Plant Daniel such that Mississippi Power will designate one of the two units as primary and the other as secondary in lieu of each company separately owning 100% of a single generating unit. Mississippi Power has the option to purchase its co-owner's ownership interest for $1 on January 15, 2024, provided that Mississippi Power exercises the option no later than 120 days prior to that date. The revised operating agreement is not expected to have a material impact on Mississippi Power's financial statements. See Note 15 to the financial statements under "Southern Company" in Item 8 of the Form 10-K for additional information regarding the sale of Gulf Power.

On August 31, 2022, the Mississippi Department of Revenue (Mississippi DOR) completed an audit of sales and use taxes paid by Mississippi Power from 2016 to 2019 and entered a final assessment, indicating a total amount due of $28 million, including associated penalties and interest. Mississippi Power does not agree with the audit findings and expects to exercise its rights to an administrative appeal with the Mississippi DOR by October 30, 2022. Excluding amounts associated with the gasifier and other abandoned Kemper IGCC assets, Mississippi Power's sales and use taxes are generally authorized for rate recovery; however, the ultimate outcome of this matter cannot be determined at this time.

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Revenue from Contracts with Customers and Lease Income

9 Months Ended

Sep. 30, 2022

Revenue from Contract with Customer [Abstract]

Revenue from Contracts with Customers and Lease Income

REVENUE FROM CONTRACTS WITH CUSTOMERS AND LEASE INCOME

Revenue from Contracts with Customers

The Registrants generate revenues from a variety of sources, some of which are not accounted for as revenue from contracts with customers, such as leases, derivatives, and certain cost recovery mechanisms. See Note 1 to the financial statements under "Revenues" in Item 8 of the Form 10-K for additional information on the revenue policies of the Registrants. See "Lease Income" herein and Note (J) for additional information on revenue accounted for under lease and derivative accounting guidance, respectively.

The following table disaggregates revenue from contracts with customers for the three and nine months ended September 30, 2022 and 2021:

	Southern Company		Alabama Power		Georgia Power		Mississippi Power		Southern Power		Southern Company Gas
	(in millions)
Three Months Ended September 30, 2022
Operating revenues
Retail electric revenues
Residential	$	2,104	$	799	$	1,212	$	93	$	—	$	—
Commercial	1,637		499		1,051		87		—		—
Industrial	1,183		452		642		89		—		—
Other	27		3		22		2		—		—
Total retail electric revenues	4,951		1,753		2,927		271		—		—
Natural gas distribution revenues
Residential	331		—		—		—		—		331
Commercial	93		—		—		—		—		93
Transportation	259		—		—		—		—		259
Industrial	12		—		—		—		—		12
Other	49		—		—		—		—		49
Total natural gas distribution revenues	744		—		—		—		—		744
Wholesale electric revenues
PPA energy revenues	812		187		40		4		591		—
PPA capacity revenues	175		56		12		1		107		—
Non-PPA revenues	58		67		4		242		303		—
Total wholesale electric revenues	1,045		310		56		247		1,001		—
Other natural gas revenues
Gas marketing services	84		—		—		—		—		84
Other natural gas revenues	15		—		—		—		—		15
Total natural gas revenues	99		—		—		—		—		99
Other revenues	277		65		110		13		9		—
Total revenue from contracts with customers	7,116		2,128		3,093		531		1,010		843
Other revenue sources(a)	1,262		316		796		(21)		170		14
Total operating revenues	$	8,378	$	2,444	$	3,889	$	510	$	1,180	$	857

	Southern Company		Alabama Power		Georgia Power		Mississippi Power		Southern Power		Southern Company Gas
	(in millions)
Nine Months Ended September 30, 2022
Operating revenues
Retail electric revenues
Residential	$	5,282	$	2,049	$	2,995	$	238	$	—	$	—
Commercial	4,202		1,285		2,688		229		—		—
Industrial	2,914		1,143		1,529		242		—		—
Other	79		10		62		7		—		—
Total retail electric revenues	12,477		4,487		7,274		716		—		—
Natural gas distribution revenues
Residential	1,821		—		—		—		—		1,821
Commercial	493		—		—		—		—		493
Transportation	872		—		—		—		—		872
Industrial	60		—		—		—		—		60
Other	244		—		—		—		—		244
Total natural gas distribution revenues	3,490		—		—		—		—		3,490
Wholesale electric revenues
PPA energy revenues	1,739		354		112		11		1,285		—
PPA capacity revenues	443		135		35		4		273		—
Non-PPA revenues	182		166		19		511		572		—
Total wholesale electric revenues	2,364		655		166		526		2,130		—
Other natural gas revenues
Gas marketing services	417		—		—		—		—		417
Other natural gas revenues	41		—		—		—		—		41
Total natural gas revenues	458		—		—		—		—		458
Other revenues	810		173		327		34		27		—
Total revenue from contracts with customers	19,599		5,315		7,767		1,276		2,157		3,948
Other revenue sources(a)	2,633		708		1,451		3		461		50
Total operating revenues	$	22,232	$	6,023	$	9,218	$	1,279	$	2,618	$	3,998

	Southern Company		Alabama Power		Georgia Power		Mississippi Power		Southern Power		Southern Company Gas
	(in millions)
Three Months Ended September 30, 2021
Operating revenues
Retail electric revenues
Residential	$	1,974	$	750	$	1,138	$	86	$	—	$	—
Commercial	1,432		471		882		79		—		—
Industrial	902		394		428		80		—		—
Other	24		4		18		2		—		—
Total retail electric revenues	4,332		1,619		2,466		247		—		—
Natural gas distribution revenues
Residential	218		—		—		—		—		218
Commercial	55		—		—		—		—		55
Transportation	239		—		—		—		—		239
Industrial	6		—		—		—		—		6
Other	31		—		—		—		—		31
Total natural gas distribution revenues	549		—		—		—		—		549
Wholesale electric revenues
PPA energy revenues	359		61		41		2		261		—
PPA capacity revenues	125		14		14		1		97		—
Non-PPA revenues	63		54		3		120		134		—
Total wholesale electric revenues	547		129		58		123		492		—
Other natural gas revenues
Gas marketing services	45		—		—		—		—		45
Other natural gas revenues	11		—		—		—		—		11
Total natural gas revenues	56		—		—		—		—		56
Other revenues	248		53		112		8		9		—
Total revenue from contracts with customers	5,732		1,801		2,636		378		501		605
Other revenue sources(a)	506		103		220		—		178		18
Total operating revenues	$	6,238	$	1,904	$	2,856	$	378	$	679	$	623

	Southern Company		Alabama Power		Georgia Power		Mississippi Power		Southern Power		Southern Company Gas
	(in millions)
Nine Months Ended September 30, 2021
Operating revenues
Retail electric revenues
Residential	$	4,910	$	1,931	$	2,765	$	214	$	—	$	—
Commercial	3,727		1,229		2,293		205		—		—
Industrial	2,299		1,048		1,034		217		—		—
Other	70		13		51		6		—		—
Total retail electric revenues	11,006		4,221		6,143		642		—		—
Natural gas distribution revenues
Residential	1,143		—		—		—		—		1,143
Commercial	298		—		—		—		—		298
Transportation	775		—		—		—		—		775
Industrial	29		—		—		—		—		29
Other	187		—		—		—		—		187
Total natural gas distribution revenues	2,432		—		—		—		—		2,432
Wholesale electric revenues
PPA energy revenues	782		143		71		9		575		—
PPA capacity revenues	375		86		41		4		247		—
Non-PPA revenues	181		108		14		283		273		—
Total wholesale electric revenues	1,338		337		126		296		1,095		—
Other natural gas revenues
Wholesale gas services	2,168		—		—		—		—		2,168
Gas marketing services	303		—		—		—		—		303
Other natural gas revenues	27		—		—		—		—		27
Total natural gas revenues	2,498		—		—		—		—		2,498
Other revenues	792		150		362		22		18		—
Total revenue from contracts with customers	18,066		4,708		6,631		960		1,113		4,930
Other revenue sources(a)	2,979		311		419		28		497		1,763
Other adjustments(b)	(3,699)		—		—		—		—		(3,699)
Total operating revenues	$	17,346	$	5,019	$	7,050	$	988	$	1,610	$	2,994

(a)Other revenue sources relate to revenues from customers accounted for as derivatives and leases, alternative revenue programs at Southern Company Gas, and cost recovery mechanisms and revenues that meet other scope exceptions for revenues from contracts with customers at the traditional electric operating companies.

(b)Other adjustments relate to the cost of Southern Company Gas' energy and risk management activities. Wholesale gas services revenues are presented net of the related costs of those activities on the statement of income. See Note 15 to the financial statements under "Southern Company Gas" in Item 8 of the Form 10-K and Note (L) under "Southern Company Gas" for information on the sale of Sequent and components of wholesale gas services' operating revenues, respectively.

Contract Balances

The following table reflects the closing balances of receivables, contract assets, and contract liabilities related to revenues from contracts with customers at September 30, 2022 and December 31, 2021:

	Southern Company		Alabama Power		Georgia Power		Mississippi Power		Southern Power		Southern Company Gas
	(in millions)
Accounts Receivable
At September 30, 2022	$	2,760	$	800	$	1,035	$	98	$	264	$	433
At December 31, 2021	2,504		589		736		73		149		753
Contract Assets
At September 30, 2022	$	178	$	5	$	114	$	—	$	—	$	—
At December 31, 2021	117		2		63		—		1		—
Contract Liabilities
At September 30, 2022	$	56	$	5	$	6	$	7	$	2	$	—
At December 31, 2021	57		4		14		—		1		—

At September 30, 2022 and December 31, 2021, Georgia Power had contract assets primarily related to retail customer fixed bill programs, where the payment is contingent upon Georgia Power's continued performance and the customer's continued participation in the program over a one-year contract term, and unregulated service agreements, where payment is contingent on project completion. Contract liabilities for Georgia Power relate to cash collections recognized in advance of revenue for unregulated service agreements. Southern Company's unregulated distributed generation business had $59 million and $50 million of contract assets and $37 million and $39 million of contract liabilities at September 30, 2022 and December 31, 2021, respectively, for outstanding performance obligations.

Revenues recognized in the three and nine months ended September 30, 2022, which were included in contract liabilities at December 31, 2021, were $13 million and $32 million, respectively, for Southern Company and immaterial for the other Registrants.

Remaining Performance Obligations

The Subsidiary Registrants have long-term contracts with customers in which revenues are recognized as performance obligations are satisfied over the contract term. For the traditional electric operating companies and Southern Power, these contracts primarily relate to PPAs whereby electricity and generation capacity are provided to a customer. The revenue recognized for the delivery of electricity is variable; however, certain PPAs include a fixed payment for fixed generation capacity over the term of the contract. For Southern Company Gas, these contracts involve energy infrastructure enhancement and upgrade projects for certain governmental customers. Southern Company's unregulated distributed generation business also has partially satisfied performance obligations related to certain fixed price contracts. Revenues from contracts with customers related to these performance obligations remaining at September 30, 2022 are expected to be recognized as follows:

	2022 (remaining)		2023		2024		2025		2026		Thereafter
	(in millions)
Southern Company	$	243	$	619	$	434	$	322	$	307	$	2,340
Alabama Power	8		24		7		5		—		—
Georgia Power	20		70		34		22		11		21
Southern Power	80		341		344		294		299		2,334
Southern Company Gas	12		29		29		—		—		—

Revenue expected to be recognized for performance obligations remaining at September 30, 2022 was immaterial for Mississippi Power.

Lease Income

Lease income for the three and nine months ended September 30, 2022 and 2021 is as follows:

	Southern Company		Alabama Power		Georgia Power		Mississippi Power		Southern Power		Southern Company Gas
	(in millions)
For the Three Months Ended September 30, 2022
Lease income - interest income on sales-type leases	$	7	$	—	$	—	$	4	$	3	$	—
Lease income - operating leases	50		19		8		1		21		9
Variable lease income	139		—		—		—		145		—
Total lease income	$	196	$	19	$	8	$	5	$	169	$	9
For the Nine Months Ended September 30, 2022
Lease income - interest income on sales-type leases	$	19	$	—	$	—	$	11	$	8	$	—
Lease income - operating leases	149		58		24		1		64		27
Variable lease income	355		1		—		—		372		—
Total lease income	$	523	$	59	$	24	$	12	$	444	$	27
For the Three Months Ended September 30, 2021
Lease income - interest income on sales-type leases	$	4	$	—	$	—	$	4	$	—	$	—
Lease income - operating leases	56		21		11		—		21		9
Variable lease income	143		—		—		—		151		—
Total lease income	$	203	$	21	$	11	$	4	$	172	$	9
For the Nine Months Ended September 30, 2021
Lease income - interest income on sales-type leases	$	11	$	—	$	—	$	10	$	—	$	—
Lease income - operating leases	168		62		31		1		64		26
Variable lease income	355		—		—		—		379		—
Total lease income	$	534	$	62	$	31	$	11	$	443	$	26

Lease payments received under tolling arrangements and PPAs consist of either scheduled payments or variable payments based on the amount of energy produced by the underlying electric generating units. Lease income for Alabama Power and Southern Power is included in wholesale revenues.

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Consolidated Entities and Equity Method Investments

9 Months Ended

Sep. 30, 2022

Regulated Operations [Abstract]

Consolidated Entities and Equity Method Investments

CONSOLIDATED ENTITIES AND EQUITY METHOD INVESTMENTSSee Note 7 to the financial statements in Item 8 of the Form 10-K for additional information.

Southern Power

Variable Interest Entities

Southern Power has certain subsidiaries that are determined to be VIEs. Southern Power is considered the primary beneficiary of these VIEs because it controls the most significant activities of the VIEs, including operating and maintaining the respective assets, and has the obligation to absorb expected losses of these VIEs to the extent of its equity interests.

SP Solar and SP Wind

At September 30, 2022 and December 31, 2021, SP Solar had total assets of $6.0 billion and $6.1 billion, respectively, total liabilities of $0.4 billion, and noncontrolling interests of $1.1 billion. Cash distributions from SP Solar are allocated 67% to Southern Power and 33% to Global Atlantic in accordance with their partnership interest percentage. Under the terms of the limited partnership agreement, distributions without limited partner consent are limited to available cash and SP Solar is obligated to distribute all such available cash to its partners each quarter. Available cash includes all cash generated in the quarter subject to the maintenance of appropriate operating reserves.

At September 30, 2022 and December 31, 2021, SP Wind had total assets of $2.3 billion, total liabilities of $191 million and $130 million, respectively, and noncontrolling interests of $40 million and $41 million, respectively. Under the terms of the limited liability agreement, distributions without Class A member consent are limited to available cash and SP Wind is obligated to distribute all such available cash to its members each quarter. Available cash includes all cash generated in the quarter subject to the maintenance of appropriate operating reserves. Cash distributions from SP Wind are generally allocated 60% to Southern Power and 40% to the three financial investors in accordance with the limited liability agreement.

Southern Power consolidates both SP Solar and SP Wind, as the primary beneficiary, since it controls the most significant activities of each entity, including operating and maintaining their assets. Certain transfers and sales of the assets in the VIEs are subject to partner consent and the liabilities are non-recourse to the general credit of Southern Power. Liabilities consist of customary working capital items and do not include any long-term debt.

Other Variable Interest Entities

Southern Power has other consolidated VIEs that relate to certain subsidiaries that have either sold noncontrolling interests to tax equity investors or acquired less than a 100% interest from facility developers. These entities are considered VIEs because the arrangements are structured similar to a limited partnership and the noncontrolling members do not have substantive kick-out rights.

At September 30, 2022 and December 31, 2021, the other VIEs had total assets of $1.9 billion, total liabilities of $0.2 billion and $0.3 billion, respectively, and noncontrolling interests of $0.8 billion and $0.9 billion, respectively. Under the terms of the partnership agreements, distributions of all available cash are required each month or quarter and additional distributions require partner consent.

Equity Method Investments

At September 30, 2022 and December 31, 2021, Southern Power had equity method investments in wind and battery energy storage projects totaling $49 million and $86 million, respectively. Earnings (loss) from these investments were immaterial for all periods presented. During the nine months ended September 30, 2022, Southern Power sold equity method investments in wind projects and received proceeds totaling $38 million. The gains associated with the sales were immaterial.

Southern Company Gas

Equity Method Investments

The carrying amounts of Southern Company Gas' equity method investments at September 30, 2022 and December 31, 2021 and related earnings (loss) from those investments for the three and nine months ended September 30, 2022 and 2021 were as follows:

Investment Balance	September 30, 2022		December 31, 2021
	(in millions)
SNG	$	1,091	$	1,129
Other(*)	34		44
Total	$	1,125	$	1,173

(*)Balance at September 30, 2022 reflects an $11 million distribution received in 2022 from PennEast Pipeline.

	Three Months Ended September 30,				Nine Months Ended September 30,
Earnings (Loss) from Equity Method Investments	2022		2021		2022		2021
	(in millions)
SNG	$	34	$	27	$	104	$	93
PennEast Pipeline(*)	—		(2)		—		(81)
Other	—		—		1		2
Total	$	34	$	25	$	105	$	14

(*)Primarily reflects pre-tax impairment charges. See Note 7 to the financial statements under "Southern Company Gas" in Item 8 of the Form 10-K for additional information.

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Financing and Leases

9 Months Ended

Sep. 30, 2022

Debt Disclosure [Abstract]

Financing and Leases

FINANCING AND LEASES

Bank Credit Arrangements

See Note 8 to the financial statements under "Bank Credit Arrangements" in Item 8 of the Form 10-K for additional information.

At September 30, 2022, committed credit arrangements with banks were as follows:

	Expires
Company	2023		2024		2025		2026		Total		Unused		Expires within One Year
	(in millions)
Southern Company parent	$	—	$	—	$	—	$	2,000	$	2,000	$	1,998	$	—
Alabama Power	—		550		—		700		1,250		1,250		—
Georgia Power	—		—		—		1,750		1,750		1,726		—
Mississippi Power	—		150		125		—		275		275		—
Southern Power(a)	—		—		—		600		600		569		—
Southern Company Gas(b)	250		—		—		1,500		1,750		1,748		250
SEGCO	30		—		—		—		30		30		30
Southern Company	$	280	$	700	$	125	$	6,550	$	7,655	$	7,596	$	280

(a)Does not include Southern Power Company's two $75 million continuing letter of credit facilities for standby letters of credit, expiring in 2023 and 2025, respectively, of which $11 million and $5 million, respectively, was unused at September 30, 2022. Southern Power's subsidiaries are not parties to its bank credit arrangements or letter of credit facilities.

(b)Southern Company Gas, as the parent entity, guarantees the obligations of Southern Company Gas Capital, which is the borrower of $800 million of the credit arrangement expiring in 2026. Southern Company Gas' committed credit arrangement expiring in 2026 also includes $700 million for which Nicor Gas is the borrower and which is restricted for working capital needs of Nicor Gas. Pursuant to the multi-year credit arrangement expiring in 2026, the allocations between Southern Company Gas Capital and Nicor Gas may be adjusted. Nicor Gas is also the borrower of a new $250 million credit arrangement expiring in 2023.

As reflected in the table above, in March 2022, Mississippi Power amended and restated its $125 million revolving credit arrangement, which among other things, extended the maturity date from 2023 to 2025 and allows for borrowing based on term SOFR.

Subject to applicable market conditions, Southern Company and its subsidiaries expect to renew or replace their bank credit arrangements as needed, prior to expiration. In connection therewith, Southern Company and its subsidiaries may extend the maturity dates and/or increase or decrease the lending commitments thereunder.

These bank credit arrangements, as well as the term loan arrangements of the Registrants, Nicor Gas, and SEGCO, contain covenants that limit debt levels and contain cross-acceleration or, in the case of Southern Power, cross-default provisions to other indebtedness (including guarantee obligations) that are restricted only to the indebtedness of the individual company. Such cross-default provisions to other indebtedness would trigger an event of default if Southern Power defaulted on indebtedness or guarantee obligations over a specified threshold. Such cross-acceleration provisions to other indebtedness would trigger an event of default if the applicable borrower defaulted on indebtedness, the payment of which was then accelerated. At September 30, 2022, the Registrants, Nicor Gas, and SEGCO were in compliance with all such covenants. None of the bank credit arrangements contain material adverse change clauses at the time of borrowings.

A portion of the unused credit with banks is allocated to provide liquidity support to the revenue bonds of the traditional electric operating companies and the commercial paper programs of the Registrants, Nicor Gas, and SEGCO. The amount of variable rate revenue bonds of the traditional electric operating companies outstanding requiring liquidity support at September 30, 2022 was approximately $1.4 billion (comprised of approximately $789 million at Alabama Power, $619 million at Georgia Power, and $34 million at Mississippi Power). In addition, at September 30, 2022, Georgia Power had approximately $288 million of fixed rate revenue bonds outstanding that are required to be remarketed within the next 12 months.

Equity Units

In May 2022, Southern Company remarketed $862.5 million aggregate principal amount of its Series 2019A Remarketable Junior Subordinated Notes due August 1, 2024 (2019A RSNs) and $862.5 million aggregate principal amount of its Series 2019B Remarketable Junior Subordinated Notes due August 1, 2027 (2019B RSNs), pursuant to the terms of its 2019 Series A Equity Units (Equity Units). In connection with the remarketing, the interest rates on the 2019A RSNs and the 2019B RSNs were reset to 4.475% and 5.113%, respectively, payable on a semi-annual basis, and Southern Company ceased to have the ability to redeem these securities prior to maturity or to defer interest payments. Southern Company did not receive any proceeds from the remarketing, which were used to purchase a portfolio of treasury securities maturing on July 28, 2022. On August 1, 2022, the proceeds from this portfolio were used to settle the purchase contracts entered into as part of the Equity Units and Southern Company issued approximately 25.2 million shares of common stock and received proceeds of $1.725 billion. At September 30, 2022 and December 31, 2021, the 2019A RSNs and the 2019B RSNs are included in long-term debt on Southern Company's consolidated balance sheets.

Earnings per Share

For Southern Company, the only differences in computing basic and diluted earnings per share are attributable to awards outstanding under stock-based compensation plans and the Equity Units until they were settled in August 2022. Earnings per share dilution resulting from stock-based compensation plans and the Equity Units issuance is determined using the treasury stock method. See Note 8 to the financial statements under "Equity Units" in Item 8 of the Form 10-K and "Equity Units" herein for information on the Equity Units and Note 12 to the financial statements in Item 8 of the Form 10-K for information on stock-based compensation plans. Shares used to compute diluted earnings per share were as follows:

	Three Months Ended September 30,		Nine Months Ended September 30,
	2022	2021	2022	2021
	(in millions)
As reported shares	1,082	1,061	1,070	1,060
Effect of stock-based compensation	6	7	6	7
Diluted shares	1,088	1,068	1,076	1,067

For all periods presented, an immaterial number of stock-based compensation awards was not included in the diluted earnings per share calculation because the awards were anti-dilutive.

Southern Company Leveraged Lease

See Note 9 to the financial statements in Item 8 of the Form 10-K for information on a leveraged lease agreement related to energy generation. On June 30, 2022, the Southern Holdings subsidiary operating the generating plant for the lessee provided notice to the lessee to terminate the related operating and maintenance agreement effective June 30, 2023. The parties to the lease agreement are currently negotiating a potential restructuring, which could result in rescission of the termination notice. The ultimate outcome of this matter cannot be determined at this time but is not expected to have a material impact on Southern Company's financial statements.

Georgia Power Lease Modification

See Note 9 to the financial statements in Item 8 of the Form 10-K for information on Georgia Power's leases. In July 2022, Georgia Power recognized a lease modification related to an existing non-affiliate PPA which converted from an operating lease to a finance lease upon its approval in the 2022 IRP. As a result, Georgia Power removed from its balance sheet operating lease right-of-use assets, net of amortization of $17 million and lease obligations of $18 million maturing through 2024 and recorded finance lease right-of-use assets of $112 million and lease obligations of $113 million maturing through 2039.

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Income Taxes

9 Months Ended

Sep. 30, 2022

Income Tax Disclosure [Abstract]

Income Taxes

INCOME TAXES

See Note 10 to the financial statements in Item 8 of the Form 10-K for additional tax information.

Current and Deferred Income Taxes

Tax Credit and Net Operating Loss Carryforwards

Southern Company had federal ITC and PTC carryforwards (primarily related to Southern Power) totaling $1.0 billion at September 30, 2022 compared to $1.2 billion at December 31, 2021.

The federal PTC and ITC carryforwards begin expiring in 2032, but are expected to be fully utilized by 2025. The utilization of each Registrant's estimated tax credit and state net operating loss carryforwards and related valuation allowances could be impacted by numerous factors, including the acquisition of additional renewable projects, the purchase of rights to additional PTCs of Plant Vogtle Units 3 and 4 pursuant to certain joint ownership agreements, an increase in Georgia Power's ownership interest percentage in Plant Vogtle Units 3 and 4, changes in taxable income projections, and potential income tax rate changes. See Note (B) and Note 2 to the financial statements in Item 8 of the Form 10-K under "Georgia Power – Nuclear Construction" for additional information on Plant Vogtle Units 3 and 4.

Effective Tax Rate

Southern Company's effective tax rate is typically lower than the statutory rate due to employee stock plans' dividend deduction, non-taxable AFUDC equity at the traditional electric operating companies, flowback of excess deferred income taxes at the regulated utilities, and federal income tax benefits from ITCs and PTCs primarily at Southern Power.

Details of significant changes in the effective tax rate for the applicable Registrants are provided herein.

Southern Company

Southern Company's effective tax rate was 20.0% for the nine months ended September 30, 2022 compared to 17.5% for the corresponding period in 2021. The effective tax rate increase was primarily due to higher pre-tax earnings and an adjustment related to a prior year state tax credit carryforward at Georgia Power in 2022, partially offset by additional tax expense in 2021 as a result of the sale of Sequent. See Note 15 to the financial statements under "Southern Company Gas" in Item 8 of the Form 10-K for additional information.

Georgia Power

Georgia Power's effective tax rate was 18.5% for the nine months ended September 30, 2022 compared to 7.3% for the corresponding period in 2021. The effective tax rate increase was primarily due to higher pre-tax earnings and an adjustment related to a prior year state tax credit carryforward in 2022.

Mississippi Power

Mississippi Power's effective tax rate was 20.1% for the nine months ended September 30, 2022 compared to 14.3% for the corresponding period in 2021. The effective tax rate increase was primarily due to a decrease in the flowback of excess deferred income taxes in 2022.

Southern Power

Southern Power's effective tax rate was 18.8% for the nine months ended September 30, 2022 compared to a tax benefit rate of (1.6)% for the corresponding period in 2021. The effective tax rate increase was primarily due to higher pre-tax earnings in 2022 and a change in state apportionment methodology resulting from tax legislation enacted by the State of Alabama in the first quarter 2021, partially offset by higher wind PTCs in 2022.

Southern Company Gas

Southern Company Gas' effective tax rate was 23.7% for the nine months ended September 30, 2022 compared to 36.6% for the corresponding period in 2021. The effective tax rate decrease was primarily due to additional tax expense in 2021 as a result of the sale of Sequent. See Note 15 to the financial statements under "Southern Company Gas" in Item 8 of the Form 10-K for additional information.

Unrecognized Tax Benefits

Southern Company's and Southern Company Gas' unrecognized tax positions balances at September 30, 2022 were $79 million and $32 million, respectively, compared to $47 million for Southern Company at December 31, 2021. The increases from prior periods are related to the amendment of certain 2018 state tax filing positions related to Southern Company Gas dispositions. If accepted by the states, these positions would decrease Southern Company's and Southern Company Gas' annual effective tax rates. The ultimate outcome of these unrecognized tax benefits is dependent on acceptance by each state and is not expected to be resolved in the next 12 months.

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Retirement Benefits

9 Months Ended

Sep. 30, 2022

Retirement Benefits [Abstract]

Retirement Benefits

RETIREMENT BENEFITS

The Southern Company system has a qualified defined benefit, trusteed, pension plan covering substantially all employees, with the exception of employees at PowerSecure. The qualified pension plan is funded in accordance with requirements of the Employee Retirement Income Security Act of 1974, as amended (ERISA). No mandatory contributions to the qualified pension plan are anticipated for the year ending December 31, 2022. The Southern Company system also provides certain non-qualified defined benefits for a select group of management and highly compensated employees, which are funded on a cash basis. In addition, the Southern Company system provides certain medical care and life insurance benefits for retired employees through other postretirement benefit plans. The traditional electric operating companies fund other postretirement trusts to the extent required by their respective regulatory commissions. Southern Company Gas has a separate unfunded supplemental retirement health care plan that provides medical care and life insurance benefits to employees of discontinued businesses.

During 2022, the qualified pension plan achieved the predetermined funding threshold whereby the asset allocation was adjusted to invest a larger portion of the portfolio in fixed rate debt securities.

See Note 11 to the financial statements in Item 8 of the Form 10-K for additional information.

On each Registrant's condensed statements of income, the service cost component of net periodic benefit costs is included in other operations and maintenance expenses and all other components of net periodic benefit costs are included in other income (expense), net. Components of the net periodic benefit costs for the three and nine months ended September 30, 2022 and 2021 are presented in the following tables.

	Southern Company		Alabama Power		Georgia Power		Mississippi Power		Southern Power		Southern Company Gas
	(in millions)
Three Months Ended September 30, 2022
Pension Plans
Service cost	$	103	$	25	$	26	$	5	$	2	$	9
Interest cost	102		24		31		5		2		7
Expected return on plan assets	(316)		(77)		(99)		(15)		(4)		(22)
Amortization:
Prior service costs	—		—		—		—		—		(1)
Regulatory asset	—		—		—		—		—		3
Net loss	60		16		18		2		1		2
Net periodic pension cost (income)	$	(51)	$	(12)	$	(24)	$	(3)	$	1	$	(2)
Postretirement Benefits
Service cost	$	6	$	2	$	2	$	1	$	1	$	—
Interest cost	10		3		4		—		—		1
Expected return on plan assets	(20)		(9)		(8)		—		—		(2)
Amortization:
Prior service costs	(1)		—		—		—		—		—
Regulatory asset	—		—		—		—		—		2
Net (gain)/loss	1		—		—		—		—		(1)
Net periodic postretirement benefit cost (income)	$	(4)	$	(4)	$	(2)	$	1	$	1	$	—
Nine Months Ended September 30, 2022
Pension Plans
Service cost	$	309	$	74	$	78	$	13	$	7	$	26
Interest cost	306		72		92		14		5		21
Expected return on plan assets	(949)		(229)		(298)		(44)		(12)		(68)
Amortization:
Prior service costs	—		—		1		—		—		(2)
Regulatory asset	—		—		—		—		—		11
Net loss	180		47		55		9		2		5
Net periodic pension cost (income)	$	(154)	$	(36)	$	(72)	$	(8)	$	2	$	(7)
Postretirement Benefits
Service cost	$	17	$	5	$	5	$	1	$	1	$	1
Interest cost	31		8		11		1		—		4
Expected return on plan assets	(60)		(25)		(21)		(1)		—		(6)
Amortization:
Prior service costs	(1)		—		—		—		—		—
Regulatory asset	—		—		—		—		—		5
Net (gain)/loss	1		—		1		—		—		(2)
Net periodic postretirement benefit cost (income)	$	(12)	$	(12)	$	(4)	$	1	$	1	$	2

	Southern Company		Alabama Power		Georgia Power		Mississippi Power		Southern Power		Southern Company Gas
	(in millions)
Three Months Ended September 30, 2021
Pension Plans
Service cost	$	109	$	26	$	28	$	4	$	2	$	10
Interest cost	87		20		26		4		2		6
Expected return on plan assets	(298)		(72)		(94)		(14)		(4)		(21)
Amortization:
Prior service costs	—		—		—		—		—		(1)
Regulatory asset	—		—		—		—		—		3
Net loss	78		21		25		4		1		3
Net periodic pension cost (income)	$	(24)	$	(5)	$	(15)	$	(2)	$	1	$	—
Postretirement Benefits
Service cost	$	6	$	2	$	2	$	1	$	1	$	—
Interest cost	9		2		3		—		—		1
Expected return on plan assets	(19)		(8)		(7)		(1)		—		(2)
Amortization:
Regulatory asset	—		—		—		—		—		2
Net (gain)/loss	1		—		1		—		—		(1)
Net periodic postretirement benefit cost (income)	$	(3)	$	(4)	$	(1)	$	—	$	1	$	—
Nine Months Ended September 30, 2021
Pension Plans
Service cost	$	326	$	77	$	84	$	13	$	7	$	28
Interest cost	260		61		78		12		4		18
Expected return on plan assets	(893)		(215)		(282)		(41)		(11)		(64)
Amortization:
Prior service costs	—		—		1		—		—		(2)
Regulatory asset	—		—		—		—		—		11
Net loss	235		62		75		11		3		9
Net periodic pension cost (income)	$	(72)	$	(15)	$	(44)	$	(5)	$	3	$	—
Postretirement Benefits
Service cost	$	18	$	5	$	5	$	1	$	1	$	1
Interest cost	26		6		9		1		—		3
Expected return on plan assets	(57)		(22)		(20)		(2)		—		(6)
Amortization:
Prior service costs	(1)		—		—		—		—		—
Regulatory asset	—		—		—		—		—		5
Net (gain)/loss	3		—		2		—		—		(2)
Net periodic postretirement benefit cost (income)	$	(11)	$	(11)	$	(4)	$	—	$	1	$	1

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Fair Value Measurements

9 Months Ended

Sep. 30, 2022

Fair Value Disclosures [Abstract]

Fair Value Measurements

FAIR VALUE MEASUREMENTS

At September 30, 2022, assets and liabilities measured at fair value on a recurring basis during the period, together with their associated level of the fair value hierarchy, were as follows:

	Fair Value Measurements Using:
At September 30, 2022	Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Net Asset Value as a Practical Expedient (NAV)		Total
	(in millions)
Southern Company
Assets:
Energy-related derivatives(a)	$	49	$	454	$	—	$	—	$	503
Investments in trusts:(b)(c)
Domestic equity	610		161		—		—		771
Foreign equity	111		129		—		—		240
U.S. Treasury and government agency securities	—		265		—		—		265
Municipal bonds	—		52		—		—		52
Pooled funds – fixed income	—		7		—		—		7
Corporate bonds	—		438		—		—		438
Mortgage and asset backed securities	—		87		—		—		87
Private equity	—		—		—		156		156
Cash and cash equivalents	4		—		—		—		4
Other	17		13		—		—		30
Cash equivalents	1,402		18		—		—		1,420
Other investments	9		26		—		—		35
Total	$	2,202	$	1,650	$	—	$	156	$	4,008
Liabilities:
Energy-related derivatives(a)	$	20	$	141	$	—	$	—	$	161
Interest rate derivatives	—		311		—		—		311
Foreign currency derivatives	—		323		—		—		323
Contingent consideration	—		—		14		—		14
Other	—		13		—		—		13
Total	$	20	$	788	$	14	$	—	$	822

	Fair Value Measurements Using:
At September 30, 2022	Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Net Asset Value as a Practical Expedient (NAV)		Total
	(in millions)
Alabama Power
Assets:
Energy-related derivatives	$	—	$	147	$	—	$	—	$	147
Nuclear decommissioning trusts:(b)
Domestic equity	370		152		—		—		522
Foreign equity	111		—		—		—		111
U.S. Treasury and government agency securities	—		15		—		—		15
Municipal bonds	—		2		—		—		2
Corporate bonds	—		230		—		—		230
Mortgage and asset backed securities	—		20		—		—		20
Private equity	—		—		—		156		156
Other	10		—		—		—		10
Cash equivalents	1,225		18		—		—		1,243
Other investments	—		26		—		—		26
Total	$	1,716	$	610	$	—	$	156	$	2,482
Liabilities:
Energy-related derivatives	$	—	$	35	$	—	$	—	$	35
Georgia Power
Assets:
Energy-related derivatives	$	—	$	145	$	—	$	—	$	145
Nuclear decommissioning trusts:(b)(c)
Domestic equity	240		1		—		—		241
Foreign equity	—		128		—		—		128
U.S. Treasury and government agency securities	—		250		—		—		250
Municipal bonds	—		50		—		—		50
Corporate bonds	—		208		—		—		208
Mortgage and asset backed securities	—		67		—		—		67
Other	7		13		—		—		20
Total	$	247	$	862	$	—	$	—	$	1,109
Liabilities:
Energy-related derivatives	$	—	$	51	$	—	$	—	$	51

	Fair Value Measurements Using:
At September 30, 2022	Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Net Asset Value as a Practical Expedient (NAV)		Total
	(in millions)
Mississippi Power
Assets:
Energy-related derivatives	$	—	$	133	$	—	$	—	$	133
Cash equivalents	30		—		—		—		30
Total	$	30	$	133	$	—	$	—	$	163
Liabilities:
Energy-related derivatives	$	—	$	24	$	—	$	—	$	24
Southern Power
Assets:
Energy-related derivatives	$	—	$	7	$	—	$	—	$	7
Liabilities:
Energy-related derivatives	$	—	$	13	$	—	$	—	$	13
Foreign currency derivatives	—		80		—		—		80
Contingent consideration	—		—		14		—		14
Other	—		13		—		—		13
Total	$	—	$	106	$	14	$	—	$	120
Southern Company Gas
Assets:
Energy-related derivatives(a)	$	49	$	22	$	—	$	—	$	71
Non-qualified deferred compensation trusts:
Domestic equity	—		8		—		—		8
Foreign equity	—		1		—		—		1
Pooled funds – fixed income	—		7		—		—		7
Cash equivalents	4		—		—		—		4
Total	$	53	$	38	$	—	$	—	$	91
Liabilities:
Energy-related derivatives(a)	$	20	$	17	$	—	$	—	$	37
Interest rate derivatives	—		87		—		—		87
Total	$	20	$	104	$	—	$	—	$	124

(a)Excludes cash collateral of $15 million.

(b)Excludes receivables related to investment income, pending investment sales, payables related to pending investment purchases, and currencies. See Note 6 to the financial statements in Item 8 of the Form 10-K for additional information.

(c)Includes investment securities pledged to creditors and collateral received and excludes payables related to the securities lending program. At September 30, 2022, approximately $46 million of the fair market value of Georgia Power's nuclear decommissioning trust funds' securities were on loan to creditors under the funds' managers' securities lending program. See Note 6 to the financial statements in Item 8 of the Form 10-K for additional information.

Southern Company, Alabama Power, and Georgia Power continue to elect the option to fair value investment securities held in the nuclear decommissioning trust funds. The fair value of the funds, including reinvested interest and dividends and excluding the funds' expenses, increased (decreased) by the amounts shown in the table below for the three and nine months ended September 30, 2022 and 2021. The changes were recorded as a change to the regulatory assets and liabilities related to AROs for Georgia Power and Alabama Power, respectively.

Fair value increases (decreases)	Three Months Ended September 30, 2022		Three Months Ended September 30, 2021		Nine Months Ended September 30, 2022		Nine Months Ended September 30, 2021
	(in millions)
Southern Company	$	(106)	$	9	$	(486)	$	173
Alabama Power	(53)		15		(245)		133
Georgia Power	(53)		(6)		(241)		40

Valuation Methodologies

The energy-related derivatives primarily consist of exchange-traded and over-the-counter financial products for natural gas and physical power products, including, from time to time, basis swaps. These are standard products used within the energy industry and are valued using the market approach. The inputs used are mainly from observable market sources, such as forward natural gas prices, power prices, implied volatility, and overnight index swap interest rates. Interest rate derivatives are also standard over-the-counter products that are valued using observable market data and assumptions commonly used by market participants. The fair value of interest rate derivatives reflects the net present value of expected payments and receipts under the swap agreement based on the market's expectation of future interest rates. Additional inputs to the net present value calculation may include the contract terms, counterparty credit risk, and occasionally, implied volatility of interest rate options. The fair value of cross-currency swaps reflects the net present value of expected payments and receipts under the swap agreement based on the market's expectation of future foreign currency exchange rates. Additional inputs to the net present value calculation may include the contract terms, counterparty credit risk, and discount rates. The interest rate derivatives and cross-currency swaps are categorized as Level 2 under Fair Value Measurements as these inputs are based on observable data and valuations of similar instruments. See Note (J) for additional information on how these derivatives are used.

For fair value measurements of the investments within the nuclear decommissioning trusts and the non-qualified deferred compensation trusts, external pricing vendors are designated for each asset class with each security specifically assigned a primary pricing source. For investments held within commingled funds, fair value is determined at the end of each business day through the net asset value, which is established by obtaining the underlying securities' individual prices from the primary pricing source. A market price secured from the primary source vendor is then evaluated by management in its valuation of the assets within the trusts. As a general approach, fixed income market pricing vendors gather market data (including indices and market research reports) and integrate relative credit information, observed market movements, and sector news into proprietary pricing models, pricing systems, and mathematical tools. Dealer quotes and other market information, including live trading levels and pricing analysts' judgments, are also obtained when available.

The NRC requires licensees of commissioned nuclear power reactors to establish a plan for providing reasonable assurance of funds for future decommissioning. See Note 6 to the financial statements under "Nuclear Decommissioning" in Item 8 of the Form 10-K for additional information.

Southern Power has contingent payment obligations related to certain acquisitions whereby it is primarily obligated to make generation-based payments to the seller, which commenced at the commercial operation of the respective facility and continue through 2026. The obligations are categorized as Level 3 under Fair Value Measurements as the fair value is determined using significant unobservable inputs for the forecasted facility generation in MW-hours, as well as other inputs such as a fixed dollar amount per MW-hour, and a discount rate. The fair value of contingent consideration reflects the net present value of expected payments and any periodic change arising from forecasted generation is expected to be immaterial.

Southern Power also has payment obligations through 2040 whereby it must reimburse the transmission owners for interconnection facilities and network upgrades constructed to support connection of a Southern Power generating facility to the transmission system. The obligations are categorized as Level 2 under Fair Value Measurements as the fair value is determined using observable inputs for the contracted amounts and reimbursement period, as well as a discount rate. The fair value of the obligations reflects the net present value of expected payments.

"Other investments" include investments traded in the open market that have maturities greater than 90 days, which are categorized as Level 2 under Fair Value Measurements and are comprised of corporate bonds, bank certificates of deposit, treasury bonds, and/or agency bonds.

At September 30, 2022, the fair value measurements of private equity investments held in Alabama Power's nuclear decommissioning trusts that are calculated at net asset value per share (or its equivalent) as a practical expedient totaled $156 million and unfunded commitments related to the private equity investments totaled $84 million. Private equity investments include high-quality private equity funds across several market sectors and funds that invest in real estate assets. Private equity funds do not have redemption rights. Distributions from these funds will be received as the underlying investments in the funds are liquidated.

At September 30, 2022, other financial instruments for which the carrying amount did not equal fair value were as follows:

	Southern Company		Alabama Power		Georgia Power		Mississippi Power		Southern Power		Southern Company Gas(*)
	(in billions)
Long-term debt, including securities due within one year:
Carrying amount	$	53.4	$	10.8	$	14.5	$	1.5	$	2.9	$	7.4
Fair value	46.4		9.3		12.6		1.2		2.7		6.3

(*)The long-term debt of Southern Company Gas is recorded at amortized cost, including the fair value adjustments at the effective date of the 2016 merger with Southern Company. Southern Company Gas amortizes the fair value adjustments over the remaining lives of the respective bonds, the latest being through 2043.

The fair values are determined using Level 2 measurements and are based on quoted market prices for the same or similar issues or on the current rates available to the Registrants.

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Derivatives

9 Months Ended

Sep. 30, 2022

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Derivatives

DERIVATIVES

The Registrants are exposed to market risks, including commodity price risk, interest rate risk, weather risk, and occasionally foreign currency exchange rate risk. To manage the volatility attributable to these exposures, each company nets its exposures, where possible, to take advantage of natural offsets and enters into various derivative transactions for the remaining exposures pursuant to each company's policies in areas such as counterparty exposure and risk management practices. Prior to the sale of Sequent on July 1, 2021, Southern Company Gas' wholesale gas operations used various contracts in its commercial activities that generally met the definition of derivatives. For the traditional electric operating companies, Southern Power, and Southern Company Gas' other businesses, each company's policy is that derivatives are to be used primarily for hedging purposes and mandates strict adherence to all applicable risk management policies. Derivative positions are monitored using techniques including, but not limited to, market valuation, value at risk, stress testing, and sensitivity analysis. Derivative instruments are recognized at fair value in the balance sheets as either assets or liabilities and are presented on a net basis. See Note (I) for additional fair value information. In the statements of cash flows, any cash impacts of settled energy-related and interest rate derivatives are recorded as operating activities. Any cash impacts of settled foreign currency derivatives are classified as operating or financing activities to correspond with the classification of the hedged interest or principal, respectively. See Note 1 to the financial statements under "Financial Instruments" in Item 8 of the Form 10-K for additional information. See Note 15 to the financial statements under "Southern Company Gas" in Item 8 of the Form 10-K for additional information regarding the sale of Sequent.

Energy-Related Derivatives

The Subsidiary Registrants enter into energy-related derivatives to hedge exposures to electricity, natural gas, and other fuel price changes. However, due to cost-based rate regulations and other various cost recovery mechanisms, the traditional electric operating companies and the natural gas distribution utilities have limited exposure to market volatility in energy-related commodity prices. Each of the traditional electric operating companies and certain of the natural gas distribution utilities of Southern Company Gas manage fuel-hedging programs, implemented per the guidelines of their respective state PSCs or other applicable state regulatory agencies, through the use of financial derivative contracts, which are expected to continue to mitigate price volatility. The traditional electric operating companies (with respect to wholesale generating capacity) and Southern Power have limited exposure to market volatility in energy-related commodity prices because their long-term sales contracts shift substantially all fuel cost responsibility to the purchaser. However, the traditional electric operating companies and Southern Power may be exposed to market volatility in energy-related commodity prices to the extent any uncontracted capacity is used to sell electricity. Southern Company Gas retains exposure to price changes that can, in a volatile energy market, be material and can adversely affect its results of operations.

Southern Company Gas also enters into weather derivative contracts as economic hedges in the event of warmer-than-normal weather. Exchange-traded options are carried at fair value, with changes reflected in operating revenues. Non-exchange-traded options are accounted for using the intrinsic value method. Changes in the intrinsic value for non-exchange-traded contracts are reflected in operating revenues.

Energy-related derivative contracts are accounted for under one of three methods:

•Regulatory Hedges – Energy-related derivative contracts designated as regulatory hedges relate primarily to the traditional electric operating companies' and the natural gas distribution utilities' fuel-hedging programs, where gains and losses are initially recorded as regulatory liabilities and assets, respectively, and then are included in fuel expense as the underlying fuel is used in operations and ultimately recovered through an approved cost recovery mechanism.

•Cash Flow Hedges – Gains and losses on energy-related derivatives designated as cash flow hedges (which are mainly used to hedge anticipated purchases and sales) are initially deferred in accumulated OCI before being recognized in the statements of income in the same period and in the same income statement line item as the earnings effect of the hedged transactions.

•Not Designated – Gains and losses on energy-related derivative contracts that are not designated or fail to qualify as hedges are recognized in the statements of income as incurred.

Some energy-related derivative contracts require physical delivery as opposed to financial settlement, and this type of derivative is both common and prevalent within the electric and natural gas industries. When an energy-related derivative contract is settled physically, any cumulative unrealized gain or loss is reversed and the contract price is recognized in the respective line item representing the actual price of the underlying goods being delivered.

At September 30, 2022, the net volume of energy-related derivative contracts for natural gas positions, together with the longest hedge date over which the respective entity is hedging its exposure to the variability in future cash flows for forecasted transactions and the longest non-hedge date for derivatives not designated as hedges, were as follows:

	Net Purchased mmBtu	Longest Hedge Date	Longest Non-Hedge Date
	(in millions)
Southern Company(*)	399	2030	2025
Alabama Power	105	2026	—
Georgia Power	116	2025	—
Mississippi Power	82	2027	—
Southern Power	11	2030	2023
Southern Company Gas(*)	85	2025	2025

(*)Southern Company Gas' derivative instruments include both long and short natural gas positions. A long position is a contract to purchase natural gas and a short position is a contract to sell natural gas. Southern Company Gas' volume represents the net of long natural gas positions of 95.7 million mmBtu and short natural gas positions of 10.6 million mmBtu at September 30, 2022, which is also included in Southern Company's total volume.

In addition to the volumes discussed above, the traditional electric operating companies and Southern Power enter into physical natural gas supply contracts that provide the option to sell back excess natural gas due to operational constraints. The maximum expected volume of natural gas subject to such a feature is 15 million mmBtu for Southern Company, which includes 4 million mmBtu for Alabama Power, 5 million mmBtu for Georgia Power, 2 million mmBtu for Mississippi Power, and 4 million mmBtu for Southern Power.

For cash flow hedges of energy-related derivatives, the estimated pre-tax gains (losses) expected to be reclassified from accumulated OCI to earnings for the 12-month period ending September 30, 2023 are $17 million for Southern Company, $26 million for Southern Company Gas, and immaterial for the other Registrants.

Interest Rate Derivatives

Southern Company and certain subsidiaries may enter into interest rate derivatives to hedge exposure to changes in interest rates. Derivatives related to existing variable rate securities or forecasted transactions are accounted for as cash flow hedges where the derivatives' fair value gains or losses are recorded in OCI and are reclassified into earnings at the same time and presented on the same income statement line item as the earnings effect of the hedged transactions. Derivatives related to existing fixed rate securities are accounted for as fair value hedges, where the derivatives' fair value gains or losses and hedged items' fair value gains or losses are both recorded directly to earnings on the same income statement line item. Fair value gains or losses on derivatives that are not designated or fail to qualify as hedges are recognized in the statements of income as incurred.

At September 30, 2022, the following interest rate derivatives were outstanding:

	Notional Amount		Interest Rate Received	Weighted Average Interest Rate Paid	Hedge Maturity Date	Fair Value Gain (Loss) at September 30, 2022
	(in millions)					(in millions)
Cash Flow Hedges of Existing Debt
Southern Company parent	$	175	—	4.25%	September 2025	$	—
Southern Company parent	175		—	3.83%	August 2032	—
Fair Value Hedges of Existing Debt
Southern Company parent	400		1.75%	1-month LIBOR + 0.68%	March 2028	(57)
Southern Company parent	1,000		3.70%	1-month LIBOR + 2.36%	April 2030	(167)
Southern Company Gas	500		1.75%	1-month LIBOR + 0.38%	January 2031	(87)
Southern Company	$	2,250				$	(311)

For cash flow hedges of interest rate derivatives, the estimated pre-tax gains (losses) expected to be reclassified from accumulated OCI to interest expense for the 12-month period ending September 30, 2023 are $(17) million for Southern Company and immaterial for the other Registrants. Deferred gains and losses related to interest rate derivatives are expected to be amortized into earnings through 2052 for Southern Company, Alabama Power, and Georgia Power, 2028 for Mississippi Power, and 2046 for Southern Company Gas.

Foreign Currency Derivatives

Southern Company and certain subsidiaries, including Southern Power, may enter into foreign currency derivatives to hedge exposure to changes in foreign currency exchange rates, such as that arising from the issuance of debt denominated in a currency other than U.S. dollars. Derivatives related to forecasted transactions are accounted for as cash flow hedges where the derivatives' fair value gains or losses are recorded in OCI and are reclassified into earnings at the same time and on the same income statement line as the earnings effect of the hedged transactions, including foreign currency gains or losses arising from changes in the U.S. currency exchange rates. Derivatives related to existing fixed rate securities are accounted for as fair value hedges, where the derivatives' fair value gains or losses and hedged items' fair value gains or losses are both recorded directly to earnings on the same income statement line item, including foreign currency gains or losses arising from changes in the U.S. currency exchange rates. Southern Company has elected to exclude the cross-currency basis spread from the assessment of effectiveness in the fair value hedges of its foreign currency risk and record any difference between the change in the fair value of the excluded components and the amounts recognized in earnings as a component of OCI.

At September 30, 2022, the following foreign currency derivatives were outstanding:

	Pay Notional		Pay Rate	Receive Notional		Receive Rate	Hedge Maturity Date	Fair Value Gain (Loss) at September 30, 2022
	(in millions)			(in millions)				(in millions)
Cash Flow Hedges of Existing Debt
Southern Power	$	564	3.78%	€	500	1.85%	June 2026	$	(80)
Fair Value Hedges of Existing Debt
Southern Company parent	1,476		3.39%	1,250		1.88%	September 2027	(243)
Southern Company	$	2,040		€	1,750			$	(323)

For cash flow hedges of foreign currency derivatives, the estimated pre-tax losses expected to be reclassified from accumulated OCI to earnings for the 12-month period ending September 30, 2023 are $12 million for Southern Power.

Derivative Financial Statement Presentation and Amounts

The Registrants enter into derivative contracts that may contain certain provisions that permit intra-contract netting of derivative receivables and payables for routine billing and offsets related to events of default and settlements. Southern Company and certain subsidiaries also utilize master netting agreements to mitigate exposure to counterparty credit risk. These agreements may contain provisions that permit netting across product lines and against cash collateral. The fair value amounts of derivative assets and liabilities on the balance sheets are presented net to the extent that there are netting arrangements or similar agreements with the counterparties.

The fair value of energy-related derivatives, interest rate derivatives, and foreign currency derivatives was reflected in the balance sheets as follows:

	At September 30, 2022				At December 31, 2021
Derivative Category and Balance Sheet Location	Assets		Liabilities		Assets		Liabilities
	(in millions)				(in millions)
Southern Company
Energy-related derivatives designated as hedging instruments for regulatory purposes
Assets from risk management activities/Other current liabilities	$	299	$	70	$	129	$	30
Other deferred charges and assets/Other deferred credits and liabilities	150		59		72		6
Total derivatives designated as hedging instruments for regulatory purposes	449		129		201		36
Derivatives designated as hedging instruments in cash flow and fair value hedges
Energy-related derivatives:
Assets from risk management activities/Other current liabilities	27		13		7		5
Other deferred charges and assets/Other deferred credits and liabilities	7		1		1		—
Interest rate derivatives:
Assets from risk management activities/Other current liabilities	—		44		19		—
Other deferred charges and assets/Other deferred credits and liabilities	—		266		—		29
Foreign currency derivatives:
Assets from risk management activities/Other current liabilities	—		37		—		39
Other deferred charges and assets/Other deferred credits and liabilities	—		285		—		40
Total derivatives designated as hedging instruments in cash flow and fair value hedges	34		646		27		113
Energy-related derivatives not designated as hedging instruments
Assets from risk management activities/Other current liabilities	19		18		9		4
Other deferred charges and assets/Other deferred credits and liabilities	2		1		1		—
Total derivatives not designated as hedging instruments	21		19		10		4
Gross amounts recognized	504		794		238		153
Gross amounts offset(a)	(113)		(128)		(25)		(28)
Net amounts recognized in the Balance Sheets(b)	$	391	$	666	$	213	$	125

	At September 30, 2022				At December 31, 2021
Derivative Category and Balance Sheet Location	Assets		Liabilities		Assets		Liabilities
	(in millions)				(in millions)
Alabama Power
Energy-related derivatives designated as hedging instruments for regulatory purposes
Other current assets/Other current liabilities	$	90	$	12	$	30	$	9
Other deferred charges and assets/Other deferred credits and liabilities	57		23		25		2
Total derivatives designated as hedging instruments for regulatory purposes	147		35		55		11
Gross amounts offset	(31)		(31)		(5)		(5)
Net amounts recognized in the Balance Sheets	$	116	$	4	$	50	$	6
Georgia Power
Energy-related derivatives designated as hedging instruments for regulatory purposes
Assets from risk management activities/Other current liabilities	$	107	$	28	$	54	$	6
Other deferred charges and assets/Other deferred credits and liabilities	38		23		21		2
Total derivatives designated as hedging instruments for regulatory purposes	145		51		75		8
Energy-related derivatives not designated as hedging instruments
Other current assets/Other current liabilities	1		—		—		—
Gross amounts recognized	146		51		75		8
Gross amounts offset	(41)		(41)		(8)		(8)
Net amounts recognized in the Balance Sheets	$	105	$	10	$	67	$	—
Mississippi Power
Energy-related derivatives designated as hedging instruments for regulatory purposes
Assets from risk management activities/Other current liabilities	$	78	$	12	$	30	$	3
Other deferred charges and assets/Other deferred credits and liabilities	55		12		26		2
Total derivatives designated as hedging instruments for regulatory purposes	133		24		56		5
Gross amounts offset	(20)		(20)		(4)		(4)
Net amounts recognized in the Balance Sheets	$	113	$	4	$	52	$	1

	At September 30, 2022				At December 31, 2021
Derivative Category and Balance Sheet Location	Assets		Liabilities		Assets		Liabilities
	(in millions)				(in millions)
Southern Power
Derivatives designated as hedging instruments in cash flow and fair value hedges
Energy-related derivatives:
Other current assets/Other current liabilities	$	—	$	10	$	2	$	—
Other deferred charges and assets/Other deferred credits and liabilities	5		1		1		—
Foreign currency derivatives:
Other current assets/Other current liabilities	—		12		—		16
Other deferred charges and assets/Other deferred credits and liabilities	—		68		—		—
Total derivatives designated as hedging instruments in cash flow and fair value hedges	5		91		3		16
Energy-related derivatives not designated as hedging instruments
Other current assets/Other current liabilities	2		2		1		—
Gross amounts recognized	7		93		4		16
Gross amounts offset	(3)		(3)		—		—
Net amounts recognized in the Balance Sheets	$	4	$	90	$	4	$	16
Southern Company Gas
Energy-related derivatives designated as hedging instruments for regulatory purposes
Other current assets/Other current liabilities	$	24	$	17	$	15	$	12
Derivatives designated as hedging instruments in cash flow and fair value hedges
Energy-related derivatives:
Other current assets/Other current liabilities	26		3		5		5
Other deferred charges and assets/Other deferred credits and liabilities	3		—		—		—
Interest rate derivatives:
Other current assets/Other current liabilities	—		13		6		—
Other deferred charges and assets/Other deferred credits and liabilities	—		74		—		6
Total derivatives designated as hedging instruments in cash flow and fair value hedges	29		90		11		11
Energy-related derivatives not designated as hedging instruments
Other current assets/Other current liabilities	16		16		8		4
Other deferred charges and assets/Other deferred credits and liabilities	2		1		1		—
Total derivatives not designated as hedging instruments	18		17		9		4
Gross amounts recognized	71		124		35		27
Gross amounts offset(a)	(18)		(33)		(8)		(11)
Net amounts recognized in the Balance Sheets(b)	$	53	$	91	$	27	$	16

(a)Gross amounts offset includes cash collateral held on deposit in broker margin accounts of $15 million and $3 million at September 30, 2022 and December 31, 2021, respectively.

(b)Net amounts of derivative instruments outstanding exclude immaterial premium and intrinsic value associated with weather derivatives for all periods presented.

Energy-related derivatives not designated as hedging instruments were immaterial for Alabama Power and Mississippi Power at September 30, 2022. There were no such instruments for the traditional electric operating companies at December 31, 2021.

At September 30, 2022 and December 31, 2021, the pre-tax effects of unrealized derivative gains (losses) arising from energy-related derivative instruments designated as regulatory hedging instruments and deferred were as follows:

Regulatory Hedge Unrealized Gain (Loss) Recognized in the Balance Sheet
Derivative Category and Balance Sheet Location	Southern Company		Alabama Power		Georgia Power		Mississippi Power		Southern Company Gas
	(in millions)
At September 30, 2022:
Energy-related derivatives:
Other regulatory assets, current	$	(17)	$	(2)	$	(8)	$	(3)	$	(4)
Other regulatory assets, deferred	(6)		(2)		(3)		(1)		—
Other regulatory liabilities, current	246		80		87		69		10
Other regulatory liabilities, deferred	98		36		18		44		—
Total energy-related derivative gains (losses)	$	321	$	112	$	94	$	109	$	6
At December 31, 2021:
Energy-related derivatives:
Other regulatory assets, current	$	(17)	$	(6)	$	—	$	—	$	(11)
Other regulatory liabilities, current	107		28		48		27		4
Other regulatory liabilities, deferred	65		22		19		24		—
Total energy-related derivative gains (losses)	$	155	$	44	$	67	$	51	$	(7)

For the three and nine months ended September 30, 2022 and 2021, the pre-tax effects of cash flow and fair value hedge accounting on accumulated OCI were as follows:

Gain (Loss) Recognized in OCI on Derivative	For the Three Months Ended September 30,				For the Nine Months Ended September 30,
	2022		2021		2022		2021
	(in millions)				(in millions)
Southern Company
Cash flow hedges:
Energy-related derivatives	$	11	$	38	$	51	$	59
Interest rate derivatives	6		5		36		7
Foreign currency derivatives	(35)		(36)		(137)		(79)
Fair value hedges(*):
Foreign currency derivatives	20		(4)		18		(4)
Total	$	2	$	3	$	(32)	$	(17)
Georgia Power
Interest rate derivatives	$	—	$	—	$	31	$	—
Southern Power
Cash flow hedges:
Energy-related derivatives	$	(11)	$	8	$	(4)	$	16
Foreign currency derivatives	(35)		(36)		(137)		(79)
Total	$	(46)	$	(28)	$	(141)	$	(63)
Southern Company Gas
Cash flow hedges:
Energy-related derivatives	$	22	$	30	$	55	$	43
Interest rate derivatives	5		—		—		—
Total	$	27	$	30	$	55	$	43

(*)Represents amounts excluded from the assessment of effectiveness for which the difference between changes in fair value and periodic amortization is recorded in OCI.

For the three and nine months ended September 30, 2022 and 2021, the pre-tax effects of interest rate derivatives designated as cash flow hedging instruments on accumulated OCI were immaterial for the other Registrants.

For the three and nine months ended September 30, 2022 and 2021, the pre-tax effects of cash flow and fair value hedge accounting on income were as follows:

Location and Amount of Gain (Loss) Recognized in Income on Cash Flow and Fair Value Hedging Relationships	For the Three Months Ended September 30,				For the Nine Months Ended September 30,
	2022		2021		2022		2021
	(in millions)				(in millions)
Southern Company
Total cost of natural gas	$	294	$	129	$	1,840	$	943
Gain (loss) on energy-related cash flow hedges(a)	9		2		28		—
Total depreciation and amortization	922		896		2,728		2,658
Gain (loss) on energy-related cash flow hedges(a)	(1)		3		5		6
Total interest expense, net of amounts capitalized	(511)		(451)		(1,461)		(1,352)
Gain (loss) on interest rate cash flow hedges(a)	(7)		(7)		(19)		(20)
Gain (loss) on foreign currency cash flow hedges(a)	(3)		(6)		(16)		(18)
Gain (loss) on interest rate fair value hedges(b)	(102)		(4)		(300)		(16)
Total other income (expense), net	132		131		414		290
Gain (loss) on foreign currency cash flow hedges(a)(c)	(32)		(34)		(129)		(76)
Gain (loss) on foreign currency fair value hedges	(59)		(32)		(180)		(32)
Amount excluded from effectiveness testing recognized in earnings	(21)		4		(17)		4
Southern Power
Total depreciation and amortization	$	133	$	132	$	384	$	383
Gain (loss) on energy-related cash flow hedges(a)	(1)		3		5		6
Total interest expense, net of amounts capitalized	(32)		(36)		(105)		(111)
Gain (loss) on foreign currency cash flow hedges(a)	(3)		(6)		(16)		(18)
Total other income (expense), net	3		2		5		10
Gain (loss) on foreign currency cash flow hedges(a)(c)	(32)		(34)		(129)		(76)
Southern Company Gas
Total cost of natural gas	$	294	$	129	$	1,840	$	943
Gain (loss) on energy-related cash flow hedges(a)	9		2		28		—
Total interest expense, net of amounts capitalized	(65)		(57)		(187)		(175)
Gain (loss) on interest rate cash flow hedges(a)	(2)		(1)		(3)		(2)
Gain (loss) on interest rate fair value hedges(b)	(30)		—		(87)		2

(a)Reclassified from accumulated OCI into earnings.

(b)For fair value hedges, changes in the fair value of the derivative contracts are generally equal to changes in the fair value of the underlying debt and have no material impact on income.

(c)The reclassification from accumulated OCI into other income (expense), net completely offsets currency gains and losses arising from changes in the U.S. currency exchange rates used to record the euro-denominated notes.

For the three and nine months ended September 30, 2022 and 2021, the pre-tax effects of cash flow hedge accounting on income for interest rate derivatives were immaterial for Alabama Power, Georgia Power, and Mississippi Power.

At September 30, 2022 and December 31, 2021, the following amounts were recorded on the balance sheets related to cumulative basis adjustments for fair value hedges:

	Carrying Amount of the Hedged Item				Cumulative Amount of Fair Value Hedging Adjustment included in Carrying Amount of the Hedged Item
Balance Sheet Location of Hedged Items	At September 30, 2022		At December 31, 2021		At September 30, 2022		At December 31, 2021
	(in millions)				(in millions)
Southern Company
Long-term debt	$	(2,788)	$	(3,280)	$	306	$	9
Southern Company Gas
Long-term debt	$	(411)	$	(493)	$	86	$	2

For the three and nine months ended September 30, 2022 and 2021, the pre-tax effects of energy-related derivatives not designated as hedging instruments on the statements of income of Southern Company and Southern Company Gas were as follows:

		Gain (Loss)
		Three Months Ended September 30,				Nine Months Ended September 30,
Derivatives in Non-Designated Hedging Relationships	Statements of Income Location	2022		2021		2022		2021
		(in millions)				(in millions)
Energy-related derivatives:	Natural gas revenues(*)	$	3	$	(2)	$	(10)	$	(122)
	Cost of natural gas	(2)		20		(7)		36
Total derivatives in non-designated hedging relationships		$	1	$	18	$	(17)	$	(86)

(*)Excludes immaterial gains (losses) recorded in natural gas revenues associated with weather derivatives for all periods presented.

For the three and nine months ended September 30, 2022 and 2021, the pre-tax effects of energy-related derivatives not designated as hedging instruments were immaterial for the other Registrants.

Contingent Features

The Registrants do not have any credit arrangements that would require material changes in payment schedules or terminations as a result of a credit rating downgrade. There are certain derivatives that could require collateral, but not accelerated payment, in the event of various credit rating changes of certain Southern Company subsidiaries. Generally, collateral may be provided by a Southern Company guaranty, letter of credit, or cash. At September 30, 2022, the Registrants had no collateral posted with derivative counterparties to satisfy these arrangements.

For Southern Company and Southern Power, the fair value of interest rate derivative liabilities with contingent features and the maximum potential collateral requirements arising from the credit-risk-related contingent features, at a rating below BBB- and/or Baa3, were $156 million and $38 million, respectively at September 30, 2022. For the traditional electric operating companies and Southern Power, energy-related derivative liabilities with contingent features and the maximum potential collateral requirements arising from the credit-risk-related contingent features, at a rating below BBB- and/or Baa3, were immaterial at September 30, 2022. The maximum potential collateral requirements arising from the credit-risk-related contingent features for the traditional electric operating companies and Southern Power include certain agreements that could require collateral in the event that one or more Southern Company power pool participants has a credit rating change to below investment grade. Following the sale of Gulf Power to NextEra Energy, Inc., Gulf Power continued participating in the Southern Company power pool through July 13, 2022.

Alabama Power and Southern Power maintain accounts with certain regional transmission organizations to facilitate financial derivative transactions and they may be required to post collateral based on the value of the positions in these accounts and the associated margin requirements. At September 30, 2022, cash collateral posted in these accounts was immaterial. Southern Company Gas maintains accounts with brokers or the clearing houses of certain exchanges to facilitate financial derivative transactions. Based on the value of the positions in these accounts and the associated margin requirements, Southern Company Gas may be required to deposit cash into these accounts. At September 30, 2022, cash collateral held on deposit in broker margin accounts was $15 million.

The Registrants are exposed to losses related to financial instruments in the event of counterparties' nonperformance. The Registrants only enter into agreements and material transactions with counterparties that have investment grade credit ratings by Moody's and S&P or with counterparties who have posted collateral to cover potential credit exposure. The Registrants have also established risk management policies and controls to determine and monitor the creditworthiness of counterparties in order to mitigate their exposure to counterparty credit risk.

Southern Company Gas uses established credit policies to determine and monitor the creditworthiness of counterparties, including requirements to post collateral or other credit security, as well as the quality of pledged collateral. Collateral or credit security is most often in the form of cash or letters of credit from an investment-grade financial institution, but may also include cash or U.S. government securities held by a trustee. Prior to entering a physical transaction, Southern Company Gas assigns its counterparties an internal credit rating and credit limit based on the counterparties' Moody's, S&P, and Fitch ratings, commercially available credit reports, and audited financial statements. Southern Company Gas may require counterparties to pledge additional collateral when deemed necessary.

Southern Company Gas utilizes netting agreements whenever possible to mitigate exposure to counterparty credit risk. Netting agreements enable Southern Company Gas to net certain assets and liabilities by counterparty across product lines and against cash collateral, provided the netting and cash collateral agreements include such provisions. While the amounts due from, or owed to, counterparties are settled net, they are recorded on a gross basis on the balance sheet as energy marketing receivables and energy marketing payables.

The Registrants do not anticipate a material adverse effect on their respective financial statements as a result of counterparty nonperformance.

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Acquisitions and Dispositions

9 Months Ended

Sep. 30, 2022

Business Combination and Asset Acquisition [Abstract]

Acquisitions and Dispositions

ACQUISITIONS AND DISPOSITIONSSee Note 15 to the financial statements in Item 8 of the Form 10-K for additional information.

Alabama Power

On September 30, 2022, Alabama Power completed its acquisition of the Calhoun Generating Station, which was accounted for as an asset acquisition. The total purchase price was $179 million, of which $171 million was related to net assets recorded within property, plant, and equipment on the balance sheet and the remainder primarily related to fossil fuel stock and materials and supplies. See Note (B) and Note 15 to the financial statements in Item 8 of the Form 10-K under "Alabama Power" for additional information.

Southern Power

Construction Projects

During the nine months ended September 30, 2022, Southern Power completed construction of and placed in service the remaining 40 MWs of the Tranquillity battery energy storage facility and the remaining 15 MWs of the Garland battery energy storage facility.

Project Facility	Resource	Approximate Nameplate Capacity (MW)	Location	COD	PPA Contract Period
Projects Completed During the Nine Months Ended September 30, 2022
Garland Solar Storage(a)	Battery energy storage system	88	Kern County, CA	September 2021 through February 2022(b)	20 years
Tranquillity Solar Storage(a)	Battery energy storage system	72	Fresno County, CA	November 2021 through March 2022(c)	20 years

(a)Southern Power consolidates each project's operating results in its financial statements and the tax equity partner and two other partners each own a noncontrolling interest.

(b)The facility has a total capacity of 88 MWs, of which 73 MWs were placed in service in 2021 and 15 MWs were placed in service in February 2022.

(c)The facility has a total capacity of 72 MWs, of which 32 MWs were placed in service in 2021 and 40 MWs were placed in service in March 2022.

Southern Company Gas

Sale of Natural Gas Storage Facilities

On September 7, 2022, certain affiliates of Southern Company Gas entered into agreements to sell two natural gas storage facilities located in California and Texas for an aggregate purchase price of $186 million, plus working capital and certain other adjustments. Completion of the sales is subject to material closing conditions, including, among others, release of a Southern Company Gas parent guarantee, approval from the California Public Utility Commission without a material burdensome condition, and the expiration or termination of any applicable waiting period under the Hart-Scott-Rodino Antitrust Improvements Act of 1976. The parent guarantee release was executed on October 20, 2022, which resolved a material closing condition. As a result, Southern Company Gas expects to record pre-tax impairment charges totaling approximately $125 million ($95 million after tax) in the fourth quarter 2022. The sale of the Texas facility is expected to be completed later in the fourth quarter 2022, and the sale of the California facility is expected to be completed during 2023; however, the ultimate outcome of these matters cannot be determined at this time.

Sale of Pivotal LNG

On May 20, 2022, Southern Company Gas received the final $5 million contingent payment from Dominion Modular LNG Holdings, Inc. in connection with its 2020 sale of Pivotal LNG, Inc.

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Segment and Related Information

9 Months Ended

Sep. 30, 2022

Segment Reporting [Abstract]

Segment and Related Information

SEGMENT AND RELATED INFORMATION

Southern Company

The primary businesses of the Southern Company system are electricity sales by the traditional electric operating companies and Southern Power and the distribution of natural gas by Southern Company Gas. The traditional electric operating companies are vertically integrated utilities providing electric service in three Southeastern states. Southern Power develops, constructs, acquires, owns, and manages power generation assets, including renewable energy and battery energy storage projects, and sells electricity at market-based rates in the wholesale market. Southern Company Gas distributes natural gas through its natural gas distribution utilities and is involved in several other complementary businesses including gas pipeline investments and gas marketing services. Prior to the sale of Sequent on July 1, 2021, Southern Company Gas' other businesses also included wholesale gas services.

Southern Company's reportable business segments are the sale of electricity by the traditional electric operating companies, the sale of electricity in the competitive wholesale market by Southern Power, and the sale of natural gas and other complementary products and services by Southern Company Gas. Revenues from sales by Southern Power to the traditional electric operating companies were $336 million and $673 million for the three and nine months ended September 30, 2022, respectively, and $167 million and $361 million for the three and nine months ended September 30, 2021, respectively. Revenues from sales of natural gas from Southern Company Gas to the traditional electric operating companies were immaterial for all periods presented. Revenues from sales of natural gas from Southern Company Gas (prior to its sale of Sequent) to Southern Power were $18 million for the nine months ended September 30, 2021. The "All Other" column includes the Southern Company parent entity, which does not allocate operating expenses to business segments. Also, this category includes segments below the quantitative threshold for separate disclosure. These segments include providing distributed energy and resilience solutions and deploying microgrids for commercial, industrial, governmental, and utility customers, as well as investments in telecommunications and, for the three and nine months ended September 30, 2021, leveraged lease projects. All other inter-segment revenues are not material.

Financial data for business segments and products and services for the three and nine months ended September 30, 2022 and 2021 was as follows:

	Electric Utilities
	Traditional Electric Operating Companies		Southern Power		Eliminations		Total		Southern Company Gas		All Other		Eliminations		Consolidated
	(in millions)
Three Months Ended September 30, 2022
Operating revenues	$	6,938	$	1,180	$	(691)	$	7,427	$	857	$	135	$	(41)	$	8,378
Segment net income (loss)(a)(b)	1,445		95		—		1,540		83		(152)		1		1,472
Nine Months Ended September 30, 2022
Operating revenues	$	16,716	$	2,618	$	(1,391)	$	17,943	$	3,998	$	418	$	(127)	$	22,232
Segment net income (loss)(a)(b)	3,256		265		—		3,521		516		(415)		(11)		3,611
At September 30, 2022
Goodwill	$	—	$	2	$	—	$	2	$	5,015	$	263	$	—	$	5,280
Total assets	95,659		13,283		(748)		108,194		24,097		2,372		(658)		134,005
Three Months Ended September 30, 2021
Operating revenues	$	5,018	$	679	$	(170)	$	5,527	$	623	$	124	$	(36)	$	6,238
Segment net income (loss)(a)(b)(c)	1,085		78		—		1,163		56		(121)		3		1,101
Nine Months Ended September 30, 2021
Operating revenues	$	12,813	$	1,610	$	(372)	$	14,051	$	2,994	$	412	$	(111)	$	17,346
Segment net income (loss)(a)(b)(c)(d)(e)	2,352		211		—		2,563		389		(338)		(6)		2,608
At December 31, 2021
Goodwill	$	—	$	2	$	—	$	2	$	5,015	$	263	$	—	$	5,280
Total assets	89,051		13,390		(667)		101,774		23,560		2,975		(775)		127,534

(a)Attributable to Southern Company.

(b)For the traditional electric operating companies, includes pre-tax charges (credits) to income at Georgia Power for the estimated probable loss associated with the construction of Plant Vogtle Units 3 and 4 of $(70) million ($(52) million after tax) and $(18) million ($(13) million after tax) for the three and nine months ended September 30, 2022, respectively, and $264 million ($197 million after tax) and $772 million ($576 million after tax) for the three and nine months ended September 30, 2021, respectively. See Note (B) and Note 2 to the financial statements in Item 8 of the Form 10-K under "Georgia Power – Nuclear Construction" for additional information.

(c)For Southern Company Gas, includes a pre-tax gain of $121 million ($93 million after tax) related to its sale of Sequent, as well as the resulting $85 million of additional tax expense as a result of the sale. See Note 15 to the financial statements under "Southern Company Gas" in Item 8 of the Form 10-K for additional information.

(d)For Southern Power, includes gains on wind turbine equipment contributed to various equity method investments totaling approximately $37 million pre-tax ($28 million after tax). See Note 15 to the financial statements under "Southern Power – Development Projects" in Item 8 of the Form 10-K for additional information.

(e)For Southern Company Gas, includes pre-tax impairment charges totaling $84 million ($67 million after tax) related to its equity method investment in the PennEast Pipeline project. See Note 7 to the financial statements under "Southern Company Gas" in Item 8 of the Form 10-K for additional information.

Products and Services

	Electric Utilities' Revenues
	Retail		Wholesale		Other		Total
	(in millions)
Three Months Ended September 30, 2022	$	5,961	$	1,197	$	269	$	7,427
Three Months Ended September 30, 2021	4,551		731		245		5,527
Nine Months Ended September 30, 2022	$	14,363	$	2,798	$	782	$	17,943
Nine Months Ended September 30, 2021	11,492		1,822		737		14,051

	Southern Company Gas' Revenues
	Gas Distribution Operations		Wholesale Gas Services(*)		Gas Marketing Services		Other		Total
	(in millions)
Three Months Ended September 30, 2022	$	748	$	—	$	85	$	24	$	857
Three Months Ended September 30, 2021	553		—		52		18		623
Nine Months Ended September 30, 2022	$	3,513	$	—	$	420	$	65	$	3,998
Nine Months Ended September 30, 2021	2,451		188		311		44		2,994

(*)Prior to the sale of Sequent, the revenues for wholesale gas services were netted with costs associated with its energy and risk management activities. See "Southern Company Gas" herein and Note 15 to the financial statements under "Southern Company Gas" in Item 8 of the Form 10-K for additional information.

Southern Company Gas

Southern Company Gas manages its business through three reportable segments – gas distribution operations, gas pipeline investments, and gas marketing services. Prior to the sale of Sequent on July 1, 2021, Southern Company Gas' reportable segments also included wholesale gas services. The non-reportable segments are combined and presented as all other. See Note 15 to the financial statements under "Southern Company Gas" in Item 8 of the Form 10-K for additional information on the sale of Sequent.

Gas distribution operations is the largest component of Southern Company Gas' business and includes natural gas local distribution utilities that construct, manage, and maintain intrastate natural gas pipelines and gas distribution facilities in four states.

Gas pipeline investments consists of joint ventures in natural gas pipeline investments including a 50% interest in SNG and a 50% joint ownership interest in the Dalton Pipeline. These natural gas pipelines enable the provision of diverse sources of natural gas supplies to the customers of Southern Company Gas. Gas pipeline investments also includes a 20% ownership interest in the PennEast Pipeline project, which was cancelled in September 2021. See Note 7 to the financial statements under "Southern Company Gas" in Item 8 of the Form 10-K for additional information.

Through July 1, 2021, wholesale gas services provided natural gas asset management and/or related logistics services for each of Southern Company Gas' utilities except Nicor Gas as well as for non-affiliated companies. Additionally, wholesale gas services engaged in natural gas storage and gas pipeline arbitrage and related activities.

Gas marketing services provides natural gas marketing to end-use customers primarily in Georgia and Illinois through SouthStar.

The all other column includes segments and subsidiaries that fall below the quantitative threshold for separate disclosure, including storage and fuels operations. See Note (K) under "Southern Company Gas" for information regarding agreements by certain affiliates of Southern Company Gas to sell two natural gas storage facilities.

Business segment financial data for the three and nine months ended September 30, 2022 and 2021 was as follows:

	Gas Distribution Operations		Gas Pipeline Investments		Wholesale Gas Services(a)		Gas Marketing Services		Total		All Other		Eliminations		Consolidated
	(in millions)
Three Months Ended September 30, 2022
Operating revenues	$	751	$	8	$	—	$	85	$	844	$	16	$	(3)	$	857
Segment net income (loss)	59		24		—		(2)		81		2		—		83
Nine Months Ended September 30, 2022
Operating revenues	$	3,533	$	24	$	—	$	420	$	3,977	$	43	$	(22)	$	3,998
Segment net income (loss)	365		76		—		65		506		10		—		516
Total assets at September 30, 2022	21,605		1,425		—		1,595		24,625		9,100		(9,628)		24,097
Three Months Ended September 30, 2021
Operating revenues	$	556	$	8	$	—	$	52	$	616	$	11	$	(4)	$	623
Segment net income (loss)(b)(c)	45		10		94		(2)		147		(91)		—		56
Nine Months Ended September 30, 2021
Operating revenues	$	2,466	$	24	$	188	$	311	$	2,989	$	29	$	(24)	$	2,994
Segment net income (loss)(b)(c)(d)	308		3		108		60		479		(90)		—		389
Total assets at December 31, 2021	20,917		1,467		31		1,556		23,971		12,114		(12,525)		23,560

(a)As a result of the sale of Sequent, wholesale gas services is no longer a reportable segment for the three and nine months ended September 30, 2022. Prior to the sale of Sequent, the revenues for wholesale gas services were netted with costs associated with its energy and risk management activities. A reconciliation of operating revenues and intercompany revenues is shown in the following table.

	Third Party Gross Revenues		Intercompany Revenues		Total Gross Revenues		Less Gross Gas Costs		Operating Revenues
	(in millions)
Nine Months Ended September 30, 2021	$	3,881	$	90	$	3,971	$	3,783	$	188

(b)For wholesale gas services, includes a pre-tax gain of $121 million ($93 million after tax) related to the sale of Sequent. See Note 15 to the financial statements under "Southern Company Gas" in Item 8 of the Form 10-K for additional information.

(c)For the "All Other" column, includes $85 million of additional tax expense as a result of the sale. See Note 15 to the financial statements under "Southern Company Gas" in Item 8 of the Form 10-K for additional information.

(d)For gas pipeline investments, includes pre-tax impairment charges totaling $84 million ($67 million after tax) related to the equity method investment in the PennEast Pipeline project. See Note 7 to the financial statements under "Southern Company Gas" in Item 8 of the Form 10-K for additional information.

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Introduction (Policies)

9 Months Ended

Sep. 30, 2022

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Basis of Accounting

The condensed quarterly financial statements of each Registrant included herein have been prepared by such Registrant, without audit, pursuant to the rules and regulations of the SEC. The Condensed Balance Sheets at December 31, 2021 have been derived from the audited financial statements of each Registrant. In the opinion of each Registrant's management, the information regarding such Registrant furnished herein reflects all adjustments, which, except as otherwise disclosed, are of a normal recurring nature, necessary to present fairly the results of operations for the periods ended September 30, 2022 and 2021. Certain information and footnote disclosures normally included in annual financial statements prepared in accordance with GAAP have been condensed or omitted pursuant to such rules and regulations, although each Registrant believes that the disclosures regarding such Registrant are adequate to make the information presented not misleading. Disclosures which would substantially duplicate the disclosures in the Form 10-K and details which have not changed significantly in amount or composition since the filing of the Form 10-K are generally omitted from this Quarterly Report on Form 10-Q unless specifically required by GAAP. Therefore, these Condensed Financial Statements should be read in conjunction with the financial statements and the notes thereto included in the Form 10-K. Due to the seasonal variations in the demand for energy and other factors, operating results for the periods presented are not necessarily indicative of the operating results to be expected for the full year.

Reclassifications

Certain prior year data presented in the financial statements have been reclassified to conform to the current year presentation. These reclassifications had no impact on the overall results of operations, financial position, or cash flows of any Registrant.

Goodwill

Goodwill is not amortized, but is subject to an annual impairment test during the fourth quarter of each year, or more frequently if impairment indicators arise.

Natural Gas for Sale

Natural Gas for Sale

With the exception of Nicor Gas, Southern Company Gas records natural gas inventories on a WACOG basis. For any declines in market prices below the WACOG considered to be other than temporary, an adjustment is recorded to reduce the value of natural gas inventories to market value. Nicor Gas' natural gas inventory is carried at cost on a LIFO basis. Inventory decrements occurring during the year that are restored prior to year end are charged to cost of natural gas at the estimated annual replacement cost. Inventory decrements that are not restored prior to year end are charged to cost of natural gas at the actual LIFO cost of the inventory layers liquidated.

Valuation Methodologies

Valuation Methodologies

The energy-related derivatives primarily consist of exchange-traded and over-the-counter financial products for natural gas and physical power products, including, from time to time, basis swaps. These are standard products used within the energy industry and are valued using the market approach. The inputs used are mainly from observable market sources, such as forward natural gas prices, power prices, implied volatility, and overnight index swap interest rates. Interest rate derivatives are also standard over-the-counter products that are valued using observable market data and assumptions commonly used by market participants. The fair value of interest rate derivatives reflects the net present value of expected payments and receipts under the swap agreement based on the market's expectation of future interest rates. Additional inputs to the net present value calculation may include the contract terms, counterparty credit risk, and occasionally, implied volatility of interest rate options. The fair value of cross-currency swaps reflects the net present value of expected payments and receipts under the swap agreement based on the market's expectation of future foreign currency exchange rates. Additional inputs to the net present value calculation may include the contract terms, counterparty credit risk, and discount rates. The interest rate derivatives and cross-currency swaps are categorized as Level 2 under Fair Value Measurements as these inputs are based on observable data and valuations of similar instruments. See Note (J) for additional information on how these derivatives are used.

For fair value measurements of the investments within the nuclear decommissioning trusts and the non-qualified deferred compensation trusts, external pricing vendors are designated for each asset class with each security specifically assigned a primary pricing source. For investments held within commingled funds, fair value is determined at the end of each business day through the net asset value, which is established by obtaining the underlying securities' individual prices from the primary pricing source. A market price secured from the primary source vendor is then evaluated by management in its valuation of the assets within the trusts. As a general approach, fixed income market pricing vendors gather market data (including indices and market research reports) and integrate relative credit information, observed market movements, and sector news into proprietary pricing models, pricing systems, and mathematical tools. Dealer quotes and other market information, including live trading levels and pricing analysts' judgments, are also obtained when available.

The NRC requires licensees of commissioned nuclear power reactors to establish a plan for providing reasonable assurance of funds for future decommissioning. See Note 6 to the financial statements under "Nuclear Decommissioning" in Item 8 of the Form 10-K for additional information.

Southern Power has contingent payment obligations related to certain acquisitions whereby it is primarily obligated to make generation-based payments to the seller, which commenced at the commercial operation of the respective facility and continue through 2026. The obligations are categorized as Level 3 under Fair Value Measurements as the fair value is determined using significant unobservable inputs for the forecasted facility generation in MW-hours, as well as other inputs such as a fixed dollar amount per MW-hour, and a discount rate. The fair value of contingent consideration reflects the net present value of expected payments and any periodic change arising from forecasted generation is expected to be immaterial.

Derivatives

The Registrants are exposed to market risks, including commodity price risk, interest rate risk, weather risk, and occasionally foreign currency exchange rate risk. To manage the volatility attributable to these exposures, each company nets its exposures, where possible, to take advantage of natural offsets and enters into various derivative transactions for the remaining exposures pursuant to each company's policies in areas such as counterparty exposure and risk management practices. Prior to the sale of Sequent on July 1, 2021, Southern Company Gas' wholesale gas operations used various contracts in its commercial activities that generally met the definition of derivatives. For the traditional electric operating companies, Southern Power, and Southern Company Gas' other businesses, each company's policy is that derivatives are to be used primarily for hedging purposes and mandates strict adherence to all applicable risk management policies. Derivative positions are monitored using techniques including, but not limited to, market valuation, value at risk, stress testing, and sensitivity analysis. Derivative instruments are recognized at fair value in the balance sheets as either assets or liabilities and are presented on a net basis. See Note (I) for additional fair value information. In the statements of cash flows, any cash impacts of settled energy-related and interest rate derivatives are recorded as operating activities. Any cash impacts of settled foreign currency derivatives are classified as operating or financing activities to correspond with the classification of the hedged interest or principal, respectively. See Note 1 to the financial statements under "Financial Instruments" in Item 8 of the Form 10-K for additional information. See Note 15 to the financial statements under "Southern Company Gas" in Item 8 of the Form 10-K for additional information regarding the sale of Sequent.

Energy-Related Derivatives

The Subsidiary Registrants enter into energy-related derivatives to hedge exposures to electricity, natural gas, and other fuel price changes. However, due to cost-based rate regulations and other various cost recovery mechanisms, the traditional electric operating companies and the natural gas distribution utilities have limited exposure to market volatility in energy-related commodity prices. Each of the traditional electric operating companies and certain of the natural gas distribution utilities of Southern Company Gas manage fuel-hedging programs, implemented per the guidelines of their respective state PSCs or other applicable state regulatory agencies, through the use of financial derivative contracts, which are expected to continue to mitigate price volatility. The traditional electric operating companies (with respect to wholesale generating capacity) and Southern Power have limited exposure to market volatility in energy-related commodity prices because their long-term sales contracts shift substantially all fuel cost responsibility to the purchaser. However, the traditional electric operating companies and Southern Power may be exposed to market volatility in energy-related commodity prices to the extent any uncontracted capacity is used to sell electricity. Southern Company Gas retains exposure to price changes that can, in a volatile energy market, be material and can adversely affect its results of operations.

Southern Company Gas also enters into weather derivative contracts as economic hedges in the event of warmer-than-normal weather. Exchange-traded options are carried at fair value, with changes reflected in operating revenues. Non-exchange-traded options are accounted for using the intrinsic value method. Changes in the intrinsic value for non-exchange-traded contracts are reflected in operating revenues.

Energy-related derivative contracts are accounted for under one of three methods:

•Regulatory Hedges – Energy-related derivative contracts designated as regulatory hedges relate primarily to the traditional electric operating companies' and the natural gas distribution utilities' fuel-hedging programs, where gains and losses are initially recorded as regulatory liabilities and assets, respectively, and then are included in fuel expense as the underlying fuel is used in operations and ultimately recovered through an approved cost recovery mechanism.

•Cash Flow Hedges – Gains and losses on energy-related derivatives designated as cash flow hedges (which are mainly used to hedge anticipated purchases and sales) are initially deferred in accumulated OCI before being recognized in the statements of income in the same period and in the same income statement line item as the earnings effect of the hedged transactions.

•Not Designated – Gains and losses on energy-related derivative contracts that are not designated or fail to qualify as hedges are recognized in the statements of income as incurred.

Some energy-related derivative contracts require physical delivery as opposed to financial settlement, and this type of derivative is both common and prevalent within the electric and natural gas industries. When an energy-related derivative contract is settled physically, any cumulative unrealized gain or loss is reversed and the contract price is recognized in the respective line item representing the actual price of the underlying goods being delivered.

Interest Rate Derivatives

Southern Company and certain subsidiaries may enter into interest rate derivatives to hedge exposure to changes in interest rates. Derivatives related to existing variable rate securities or forecasted transactions are accounted for as cash flow hedges where the derivatives' fair value gains or losses are recorded in OCI and are reclassified into earnings at the same time and presented on the same income statement line item as the earnings effect of the hedged transactions. Derivatives related to existing fixed rate securities are accounted for as fair value hedges, where the derivatives' fair value gains or losses and hedged items' fair value gains or losses are both recorded directly to earnings on the same income statement line item. Fair value gains or losses on derivatives that are not designated or fail to qualify as hedges are recognized in the statements of income as incurred.

Foreign Currency Derivatives

Southern Company and certain subsidiaries, including Southern Power, may enter into foreign currency derivatives to hedge exposure to changes in foreign currency exchange rates, such as that arising from the issuance of debt denominated in a currency other than U.S. dollars. Derivatives related to forecasted transactions are accounted for as cash flow hedges where the derivatives' fair value gains or losses are recorded in OCI and are reclassified into earnings at the same time and on the same income statement line as the earnings effect of the hedged transactions, including foreign currency gains or losses arising from changes in the U.S. currency exchange rates. Derivatives related to existing fixed rate securities are accounted for as fair value hedges, where the derivatives' fair value gains or losses and hedged items' fair value gains or losses are both recorded directly to earnings on the same income statement line item, including foreign currency gains or losses arising from changes in the U.S. currency exchange rates. Southern Company has elected to exclude the cross-currency basis spread from the assessment of effectiveness in the fair value hedges of its foreign currency risk and record any difference between the change in the fair value of the excluded components and the amounts recognized in earnings as a component of OCI.

Derivative Financial Statement Presentation and Amounts

The Registrants enter into derivative contracts that may contain certain provisions that permit intra-contract netting of derivative receivables and payables for routine billing and offsets related to events of default and settlements. Southern Company and certain subsidiaries also utilize master netting agreements to mitigate exposure to counterparty credit risk. These agreements may contain provisions that permit netting across product lines and against cash collateral. The fair value amounts of derivative assets and liabilities on the balance sheets are presented net to the extent that there are netting arrangements or similar agreements with the counterparties.

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Introduction (Tables)

9 Months Ended

Sep. 30, 2022

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Schedule of Goodwill

Goodwill at September 30, 2022 and December 31, 2021 was as follows:

	Goodwill
	(in millions)
Southern Company	$	5,280
Southern Company Gas:
Gas distribution operations	$	4,034
Gas marketing services	981
Southern Company Gas total	$	5,015

Schedule of Other Intangible Assets, Indefinite-Lived

Other intangible assets were as follows:

	At September 30, 2022						At December 31, 2021
	Gross Carrying Amount		Accumulated Amortization		Other Intangible Assets, Net		Gross Carrying Amount		Accumulated Amortization		Other Intangible Assets, Net
	(in millions)						(in millions)
Southern Company
Other intangible assets subject to amortization:
Customer relationships	$	212	$	(159)	$	53	$	212	$	(150)	$	62
Trade names	64		(44)		20		64		(38)		26
PPA fair value adjustments	390		(124)		266		390		(109)		281
Other	5		(4)		1		11		(10)		1
Total other intangible assets subject to amortization	$	671	$	(331)	$	340	$	677	$	(307)	$	370
Other intangible assets not subject to amortization:
Federal Communications Commission licenses	75		—		75		75		—		75
Total other intangible assets	$	746	$	(331)	$	415	$	752	$	(307)	$	445
Southern Power
Other intangible assets subject to amortization:
PPA fair value adjustments	$	390	$	(124)	$	266	$	390	$	(109)	$	281
Southern Company Gas
Other intangible assets subject to amortization:
Gas marketing services
Customer relationships	$	156	$	(137)	$	19	$	156	$	(130)	$	26
Trade names	26		(17)		9		26		(15)		11
Total other intangible assets subject to amortization	$	182	$	(154)	$	28	$	182	$	(145)	$	37

Schedule of Other Intangible Assets, Finite-Lived

Other intangible assets were as follows:

	At September 30, 2022						At December 31, 2021
	Gross Carrying Amount		Accumulated Amortization		Other Intangible Assets, Net		Gross Carrying Amount		Accumulated Amortization		Other Intangible Assets, Net
	(in millions)						(in millions)
Southern Company
Other intangible assets subject to amortization:
Customer relationships	$	212	$	(159)	$	53	$	212	$	(150)	$	62
Trade names	64		(44)		20		64		(38)		26
PPA fair value adjustments	390		(124)		266		390		(109)		281
Other	5		(4)		1		11		(10)		1
Total other intangible assets subject to amortization	$	671	$	(331)	$	340	$	677	$	(307)	$	370
Other intangible assets not subject to amortization:
Federal Communications Commission licenses	75		—		75		75		—		75
Total other intangible assets	$	746	$	(331)	$	415	$	752	$	(307)	$	445
Southern Power
Other intangible assets subject to amortization:
PPA fair value adjustments	$	390	$	(124)	$	266	$	390	$	(109)	$	281
Southern Company Gas
Other intangible assets subject to amortization:
Gas marketing services
Customer relationships	$	156	$	(137)	$	19	$	156	$	(130)	$	26
Trade names	26		(17)		9		26		(15)		11
Total other intangible assets subject to amortization	$	182	$	(154)	$	28	$	182	$	(145)	$	37

Schedule of Amortization of Other Intangible Assets

Amortization associated with other intangible assets was as follows:

	Three Months Ended		Nine Months Ended
	September 30, 2022
	(in millions)
Southern Company(a)	$	11	$	30
Southern Power(b)	5		15
Southern Company Gas	4		9

(a)Includes $5 million and $15 million for the three and nine months ended September 30, 2022, respectively, recorded as a reduction to operating revenues.

(b)Recorded as a reduction to operating revenues.

Schedule of Restrictions on Cash and Cash Equivalents

The following table provides a reconciliation of cash, cash equivalents, and restricted cash reported within the condensed balance sheets that total to the amount shown in the condensed statements of cash flows for the applicable Registrants:

	Southern Company				Southern Power				Southern Company Gas
	September 30, 2022		December 31, 2021		September 30, 2022		December 31, 2021		September 30, 2022		December 31, 2021
	(in millions)
Cash and cash equivalents	$	2,009	$	1,798	$	229	$	107	$	26	$	45
Restricted cash(a):
Other current assets	2		2		—		—		2		2
Other deferred charges and assets	3		29		3		29		—		—
Total cash, cash equivalents, and restricted cash(b)	$	2,013	$	1,829	$	231	$	135	$	28	$	48

(a)For Southern Power, reflects $3 million and $10 million at September 30, 2022 and December 31, 2021, respectively, held to fund estimated construction completion costs at the Deuel Harvest wind facility and $19 million at December 31, 2021 related to tax equity contributions restricted until the Garland battery energy storage facility achieved final contracted capacity. For Southern Company Gas, reflects collateral for workers' compensation, life insurance, and long-term disability insurance.

(b)Total may not add due to rounding.

Schedule of Cash and Cash Equivalents

The following table provides a reconciliation of cash, cash equivalents, and restricted cash reported within the condensed balance sheets that total to the amount shown in the condensed statements of cash flows for the applicable Registrants:

	Southern Company				Southern Power				Southern Company Gas
	September 30, 2022		December 31, 2021		September 30, 2022		December 31, 2021		September 30, 2022		December 31, 2021
	(in millions)
Cash and cash equivalents	$	2,009	$	1,798	$	229	$	107	$	26	$	45
Restricted cash(a):
Other current assets	2		2		—		—		2		2
Other deferred charges and assets	3		29		3		29		—		—
Total cash, cash equivalents, and restricted cash(b)	$	2,013	$	1,829	$	231	$	135	$	28	$	48

(a)For Southern Power, reflects $3 million and $10 million at September 30, 2022 and December 31, 2021, respectively, held to fund estimated construction completion costs at the Deuel Harvest wind facility and $19 million at December 31, 2021 related to tax equity contributions restricted until the Garland battery energy storage facility achieved final contracted capacity. For Southern Company Gas, reflects collateral for workers' compensation, life insurance, and long-term disability insurance.

(b)Total may not add due to rounding.

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Regulatory Matters (Tables)

9 Months Ended

Sep. 30, 2022

Regulated Operations [Abstract]

Schedule of Cost Recovery Clauses

The recovery balances for certain retail regulatory clauses of the traditional electric operating companies and Southern Company Gas at September 30, 2022 and December 31, 2021 were as follows:

Regulatory Clause	Balance Sheet Line Item	September 30, 2022		December 31, 2021
		(in millions)
Alabama Power
Rate CNP Compliance	Other regulatory liabilities, deferred	$	4	$	—
	Other regulatory assets, deferred	—		16
Rate CNP PPA	Other regulatory assets, deferred	125		84
Retail Energy Cost Recovery(*)	Other regulatory assets, current	93		—
	Other regulatory assets, deferred	413		126
Georgia Power
Fuel Cost Recovery	Deferred under recovered fuel clause revenues	$	1,697	$	410
Mississippi Power
Fuel Cost Recovery	Other customer accounts receivable	$	13	$	4
Ad Valorem Tax	Other regulatory assets, current	12		12
	Other regulatory assets, deferred	22		37
Southern Company Gas
Natural Gas Cost Recovery	Natural gas cost under recovery	$	390	$	266
	Other regulatory assets, deferred	—		207

(*)In accordance with an Alabama PSC order issued on February 1, 2022, Alabama Power applied $126 million of its 2021 Rate RSE refund to reduce the Rate ECR under recovered balance.

Nuclear Construction Cost and Schedule

Georgia Power's approximate proportionate share of the remaining estimated capital cost to complete Plant Vogtle Units 3 and 4, including contingency, through the end of the first quarter 2023 and the fourth quarter 2023, respectively, is as follows:

	(in millions)
Base project capital cost forecast(a)(b)	$	10,334
Construction contingency estimate	49
Total project capital cost forecast(a)(b)	10,383
Net investment at September 30, 2022(b)	(9,280)
Remaining estimate to complete	$	1,103

(a)Includes approximately $590 million of costs that are not shared with the other Vogtle Owners and approximately $353 million of incremental costs under the cost-sharing and tender provisions of the joint ownership agreements described below. Excludes financing costs expected to be capitalized through AFUDC of approximately $385 million, of which $275 million had been accrued through September 30, 2022.

(b)Net of $1.7 billion received from Toshiba under the Guarantee Settlement Agreement and approximately $188 million in related customer refunds.

Schedule of Infrastructure Replacement Programs and Capital Projects

Georgia Power has requested recovery of the proposed increases through its existing base rate tariffs as follows:

Tariff	2023		2024		2025
	(in millions)
Traditional base	$	762	$	—	$	—
ECCR
Traditional	5		—		—
CCR ARO(a)	64		78		47
DSM(a)	37		27		(2)
Municipal Franchise Fee	21		2		1
Total(b)	$	889	$	107	$	45

(a)As determined by the Georgia PSC through annual compliance filings.

(b)Totals may not add due to rounding.

Capital expenditures incurred under specific infrastructure replacement programs and capital projects during the first nine months of 2022 were as follows:

Utility	Program	Nine Months Ended September 30, 2022
		(in millions)
Nicor Gas	Investing in Illinois	$	311
Virginia Natural Gas	SAVE	52
Atlanta Gas Light	System Reinforcement Rider	51
Chattanooga Gas	Pipeline Replacement Program	2
Total		$	416

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Revenue from Contracts with Customers and Lease Income (Tables)

9 Months Ended

Sep. 30, 2022

Revenue from Contract with Customer [Abstract]

Schedule of Disaggregation of Revenue

The following table disaggregates revenue from contracts with customers for the three and nine months ended September 30, 2022 and 2021:

	Southern Company		Alabama Power		Georgia Power		Mississippi Power		Southern Power		Southern Company Gas
	(in millions)
Three Months Ended September 30, 2022
Operating revenues
Retail electric revenues
Residential	$	2,104	$	799	$	1,212	$	93	$	—	$	—
Commercial	1,637		499		1,051		87		—		—
Industrial	1,183		452		642		89		—		—
Other	27		3		22		2		—		—
Total retail electric revenues	4,951		1,753		2,927		271		—		—
Natural gas distribution revenues
Residential	331		—		—		—		—		331
Commercial	93		—		—		—		—		93
Transportation	259		—		—		—		—		259
Industrial	12		—		—		—		—		12
Other	49		—		—		—		—		49
Total natural gas distribution revenues	744		—		—		—		—		744
Wholesale electric revenues
PPA energy revenues	812		187		40		4		591		—
PPA capacity revenues	175		56		12		1		107		—
Non-PPA revenues	58		67		4		242		303		—
Total wholesale electric revenues	1,045		310		56		247		1,001		—
Other natural gas revenues
Gas marketing services	84		—		—		—		—		84
Other natural gas revenues	15		—		—		—		—		15
Total natural gas revenues	99		—		—		—		—		99
Other revenues	277		65		110		13		9		—
Total revenue from contracts with customers	7,116		2,128		3,093		531		1,010		843
Other revenue sources(a)	1,262		316		796		(21)		170		14
Total operating revenues	$	8,378	$	2,444	$	3,889	$	510	$	1,180	$	857

	Southern Company		Alabama Power		Georgia Power		Mississippi Power		Southern Power		Southern Company Gas
	(in millions)
Nine Months Ended September 30, 2022
Operating revenues
Retail electric revenues
Residential	$	5,282	$	2,049	$	2,995	$	238	$	—	$	—
Commercial	4,202		1,285		2,688		229		—		—
Industrial	2,914		1,143		1,529		242		—		—
Other	79		10		62		7		—		—
Total retail electric revenues	12,477		4,487		7,274		716		—		—
Natural gas distribution revenues
Residential	1,821		—		—		—		—		1,821
Commercial	493		—		—		—		—		493
Transportation	872		—		—		—		—		872
Industrial	60		—		—		—		—		60
Other	244		—		—		—		—		244
Total natural gas distribution revenues	3,490		—		—		—		—		3,490
Wholesale electric revenues
PPA energy revenues	1,739		354		112		11		1,285		—
PPA capacity revenues	443		135		35		4		273		—
Non-PPA revenues	182		166		19		511		572		—
Total wholesale electric revenues	2,364		655		166		526		2,130		—
Other natural gas revenues
Gas marketing services	417		—		—		—		—		417
Other natural gas revenues	41		—		—		—		—		41
Total natural gas revenues	458		—		—		—		—		458
Other revenues	810		173		327		34		27		—
Total revenue from contracts with customers	19,599		5,315		7,767		1,276		2,157		3,948
Other revenue sources(a)	2,633		708		1,451		3		461		50
Total operating revenues	$	22,232	$	6,023	$	9,218	$	1,279	$	2,618	$	3,998

	Southern Company		Alabama Power		Georgia Power		Mississippi Power		Southern Power		Southern Company Gas
	(in millions)
Three Months Ended September 30, 2021
Operating revenues
Retail electric revenues
Residential	$	1,974	$	750	$	1,138	$	86	$	—	$	—
Commercial	1,432		471		882		79		—		—
Industrial	902		394		428		80		—		—
Other	24		4		18		2		—		—
Total retail electric revenues	4,332		1,619		2,466		247		—		—
Natural gas distribution revenues
Residential	218		—		—		—		—		218
Commercial	55		—		—		—		—		55
Transportation	239		—		—		—		—		239
Industrial	6		—		—		—		—		6
Other	31		—		—		—		—		31
Total natural gas distribution revenues	549		—		—		—		—		549
Wholesale electric revenues
PPA energy revenues	359		61		41		2		261		—
PPA capacity revenues	125		14		14		1		97		—
Non-PPA revenues	63		54		3		120		134		—
Total wholesale electric revenues	547		129		58		123		492		—
Other natural gas revenues
Gas marketing services	45		—		—		—		—		45
Other natural gas revenues	11		—		—		—		—		11
Total natural gas revenues	56		—		—		—		—		56
Other revenues	248		53		112		8		9		—
Total revenue from contracts with customers	5,732		1,801		2,636		378		501		605
Other revenue sources(a)	506		103		220		—		178		18
Total operating revenues	$	6,238	$	1,904	$	2,856	$	378	$	679	$	623

	Southern Company		Alabama Power		Georgia Power		Mississippi Power		Southern Power		Southern Company Gas
	(in millions)
Nine Months Ended September 30, 2021
Operating revenues
Retail electric revenues
Residential	$	4,910	$	1,931	$	2,765	$	214	$	—	$	—
Commercial	3,727		1,229		2,293		205		—		—
Industrial	2,299		1,048		1,034		217		—		—
Other	70		13		51		6		—		—
Total retail electric revenues	11,006		4,221		6,143		642		—		—
Natural gas distribution revenues
Residential	1,143		—		—		—		—		1,143
Commercial	298		—		—		—		—		298
Transportation	775		—		—		—		—		775
Industrial	29		—		—		—		—		29
Other	187		—		—		—		—		187
Total natural gas distribution revenues	2,432		—		—		—		—		2,432
Wholesale electric revenues
PPA energy revenues	782		143		71		9		575		—
PPA capacity revenues	375		86		41		4		247		—
Non-PPA revenues	181		108		14		283		273		—
Total wholesale electric revenues	1,338		337		126		296		1,095		—
Other natural gas revenues
Wholesale gas services	2,168		—		—		—		—		2,168
Gas marketing services	303		—		—		—		—		303
Other natural gas revenues	27		—		—		—		—		27
Total natural gas revenues	2,498		—		—		—		—		2,498
Other revenues	792		150		362		22		18		—
Total revenue from contracts with customers	18,066		4,708		6,631		960		1,113		4,930
Other revenue sources(a)	2,979		311		419		28		497		1,763
Other adjustments(b)	(3,699)		—		—		—		—		(3,699)
Total operating revenues	$	17,346	$	5,019	$	7,050	$	988	$	1,610	$	2,994

(a)Other revenue sources relate to revenues from customers accounted for as derivatives and leases, alternative revenue programs at Southern Company Gas, and cost recovery mechanisms and revenues that meet other scope exceptions for revenues from contracts with customers at the traditional electric operating companies.

(b)Other adjustments relate to the cost of Southern Company Gas' energy and risk management activities. Wholesale gas services revenues are presented net of the related costs of those activities on the statement of income. See Note 15 to the financial statements under "Southern Company Gas" in Item 8 of the Form 10-K and Note (L) under "Southern Company Gas" for information on the sale of Sequent and components of wholesale gas services' operating revenues, respectively.

Schedule of Contract Balances

The following table reflects the closing balances of receivables, contract assets, and contract liabilities related to revenues from contracts with customers at September 30, 2022 and December 31, 2021:

	Southern Company		Alabama Power		Georgia Power		Mississippi Power		Southern Power		Southern Company Gas
	(in millions)
Accounts Receivable
At September 30, 2022	$	2,760	$	800	$	1,035	$	98	$	264	$	433
At December 31, 2021	2,504		589		736		73		149		753
Contract Assets
At September 30, 2022	$	178	$	5	$	114	$	—	$	—	$	—
At December 31, 2021	117		2		63		—		1		—
Contract Liabilities
At September 30, 2022	$	56	$	5	$	6	$	7	$	2	$	—
At December 31, 2021	57		4		14		—		1		—

Schedule of Remaining Performance Obligations

Revenues from contracts with customers related to these performance obligations remaining at September 30, 2022 are expected to be recognized as follows:

	2022 (remaining)		2023		2024		2025		2026		Thereafter
	(in millions)
Southern Company	$	243	$	619	$	434	$	322	$	307	$	2,340
Alabama Power	8		24		7		5		—		—
Georgia Power	20		70		34		22		11		21
Southern Power	80		341		344		294		299		2,334
Southern Company Gas	12		29		29		—		—		—

Schedule of Lease Income

Lease income for the three and nine months ended September 30, 2022 and 2021 is as follows:

	Southern Company		Alabama Power		Georgia Power		Mississippi Power		Southern Power		Southern Company Gas
	(in millions)
For the Three Months Ended September 30, 2022
Lease income - interest income on sales-type leases	$	7	$	—	$	—	$	4	$	3	$	—
Lease income - operating leases	50		19		8		1		21		9
Variable lease income	139		—		—		—		145		—
Total lease income	$	196	$	19	$	8	$	5	$	169	$	9
For the Nine Months Ended September 30, 2022
Lease income - interest income on sales-type leases	$	19	$	—	$	—	$	11	$	8	$	—
Lease income - operating leases	149		58		24		1		64		27
Variable lease income	355		1		—		—		372		—
Total lease income	$	523	$	59	$	24	$	12	$	444	$	27
For the Three Months Ended September 30, 2021
Lease income - interest income on sales-type leases	$	4	$	—	$	—	$	4	$	—	$	—
Lease income - operating leases	56		21		11		—		21		9
Variable lease income	143		—		—		—		151		—
Total lease income	$	203	$	21	$	11	$	4	$	172	$	9
For the Nine Months Ended September 30, 2021
Lease income - interest income on sales-type leases	$	11	$	—	$	—	$	10	$	—	$	—
Lease income - operating leases	168		62		31		1		64		26
Variable lease income	355		—		—		—		379		—
Total lease income	$	534	$	62	$	31	$	11	$	443	$	26

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Consolidated Entities and Equity Method Investments (Tables)

9 Months Ended

Sep. 30, 2022

Regulated Operations [Abstract]

Schedule of Equity Method Investments

The carrying amounts of Southern Company Gas' equity method investments at September 30, 2022 and December 31, 2021 and related earnings (loss) from those investments for the three and nine months ended September 30, 2022 and 2021 were as follows:

Investment Balance	September 30, 2022		December 31, 2021
	(in millions)
SNG	$	1,091	$	1,129
Other(*)	34		44
Total	$	1,125	$	1,173

(*)Balance at September 30, 2022 reflects an $11 million distribution received in 2022 from PennEast Pipeline.

Schedule of Earnings (Loss) from Equity Method Investments

	Three Months Ended September 30,				Nine Months Ended September 30,
Earnings (Loss) from Equity Method Investments	2022		2021		2022		2021
	(in millions)
SNG	$	34	$	27	$	104	$	93
PennEast Pipeline(*)	—		(2)		—		(81)
Other	—		—		1		2
Total	$	34	$	25	$	105	$	14

(*)Primarily reflects pre-tax impairment charges. See Note 7 to the financial statements under "Southern Company Gas" in Item 8 of the Form 10-K for additional information.

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Financing and Leases (Tables)

9 Months Ended

Sep. 30, 2022

Debt Disclosure [Abstract]

Schedule of Credit Arrangements

At September 30, 2022, committed credit arrangements with banks were as follows:

	Expires
Company	2023		2024		2025		2026		Total		Unused		Expires within One Year
	(in millions)
Southern Company parent	$	—	$	—	$	—	$	2,000	$	2,000	$	1,998	$	—
Alabama Power	—		550		—		700		1,250		1,250		—
Georgia Power	—		—		—		1,750		1,750		1,726		—
Mississippi Power	—		150		125		—		275		275		—
Southern Power(a)	—		—		—		600		600		569		—
Southern Company Gas(b)	250		—		—		1,500		1,750		1,748		250
SEGCO	30		—		—		—		30		30		30
Southern Company	$	280	$	700	$	125	$	6,550	$	7,655	$	7,596	$	280

(a)Does not include Southern Power Company's two $75 million continuing letter of credit facilities for standby letters of credit, expiring in 2023 and 2025, respectively, of which $11 million and $5 million, respectively, was unused at September 30, 2022. Southern Power's subsidiaries are not parties to its bank credit arrangements or letter of credit facilities.

(b)Southern Company Gas, as the parent entity, guarantees the obligations of Southern Company Gas Capital, which is the borrower of $800 million of the credit arrangement expiring in 2026. Southern Company Gas' committed credit arrangement expiring in 2026 also includes $700 million for which Nicor Gas is the borrower and which is restricted for working capital needs of Nicor Gas. Pursuant to the multi-year credit arrangement expiring in 2026, the allocations between Southern Company Gas Capital and Nicor Gas may be adjusted. Nicor Gas is also the borrower of a new $250 million credit arrangement expiring in 2023.

Schedule of Shares Used to Compute Diluted Earnings Per Share

Shares used to compute diluted earnings per share were as follows:

	Three Months Ended September 30,		Nine Months Ended September 30,
	2022	2021	2022	2021
	(in millions)
As reported shares	1,082	1,061	1,070	1,060
Effect of stock-based compensation	6	7	6	7
Diluted shares	1,088	1,068	1,076	1,067

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Retirement Benefits (Tables)

9 Months Ended

Sep. 30, 2022

Retirement Benefits [Abstract]

Schedule of Pension Plans and Postretirement Plans

Components of the net periodic benefit costs for the three and nine months ended September 30, 2022 and 2021 are presented in the following tables.

	Southern Company		Alabama Power		Georgia Power		Mississippi Power		Southern Power		Southern Company Gas
	(in millions)
Three Months Ended September 30, 2022
Pension Plans
Service cost	$	103	$	25	$	26	$	5	$	2	$	9
Interest cost	102		24		31		5		2		7
Expected return on plan assets	(316)		(77)		(99)		(15)		(4)		(22)
Amortization:
Prior service costs	—		—		—		—		—		(1)
Regulatory asset	—		—		—		—		—		3
Net loss	60		16		18		2		1		2
Net periodic pension cost (income)	$	(51)	$	(12)	$	(24)	$	(3)	$	1	$	(2)
Postretirement Benefits
Service cost	$	6	$	2	$	2	$	1	$	1	$	—
Interest cost	10		3		4		—		—		1
Expected return on plan assets	(20)		(9)		(8)		—		—		(2)
Amortization:
Prior service costs	(1)		—		—		—		—		—
Regulatory asset	—		—		—		—		—		2
Net (gain)/loss	1		—		—		—		—		(1)
Net periodic postretirement benefit cost (income)	$	(4)	$	(4)	$	(2)	$	1	$	1	$	—
Nine Months Ended September 30, 2022
Pension Plans
Service cost	$	309	$	74	$	78	$	13	$	7	$	26
Interest cost	306		72		92		14		5		21
Expected return on plan assets	(949)		(229)		(298)		(44)		(12)		(68)
Amortization:
Prior service costs	—		—		1		—		—		(2)
Regulatory asset	—		—		—		—		—		11
Net loss	180		47		55		9		2		5
Net periodic pension cost (income)	$	(154)	$	(36)	$	(72)	$	(8)	$	2	$	(7)
Postretirement Benefits
Service cost	$	17	$	5	$	5	$	1	$	1	$	1
Interest cost	31		8		11		1		—		4
Expected return on plan assets	(60)		(25)		(21)		(1)		—		(6)
Amortization:
Prior service costs	(1)		—		—		—		—		—
Regulatory asset	—		—		—		—		—		5
Net (gain)/loss	1		—		1		—		—		(2)
Net periodic postretirement benefit cost (income)	$	(12)	$	(12)	$	(4)	$	1	$	1	$	2

	Southern Company		Alabama Power		Georgia Power		Mississippi Power		Southern Power		Southern Company Gas
	(in millions)
Three Months Ended September 30, 2021
Pension Plans
Service cost	$	109	$	26	$	28	$	4	$	2	$	10
Interest cost	87		20		26		4		2		6
Expected return on plan assets	(298)		(72)		(94)		(14)		(4)		(21)
Amortization:
Prior service costs	—		—		—		—		—		(1)
Regulatory asset	—		—		—		—		—		3
Net loss	78		21		25		4		1		3
Net periodic pension cost (income)	$	(24)	$	(5)	$	(15)	$	(2)	$	1	$	—
Postretirement Benefits
Service cost	$	6	$	2	$	2	$	1	$	1	$	—
Interest cost	9		2		3		—		—		1
Expected return on plan assets	(19)		(8)		(7)		(1)		—		(2)
Amortization:
Regulatory asset	—		—		—		—		—		2
Net (gain)/loss	1		—		1		—		—		(1)
Net periodic postretirement benefit cost (income)	$	(3)	$	(4)	$	(1)	$	—	$	1	$	—
Nine Months Ended September 30, 2021
Pension Plans
Service cost	$	326	$	77	$	84	$	13	$	7	$	28
Interest cost	260		61		78		12		4		18
Expected return on plan assets	(893)		(215)		(282)		(41)		(11)		(64)
Amortization:
Prior service costs	—		—		1		—		—		(2)
Regulatory asset	—		—		—		—		—		11
Net loss	235		62		75		11		3		9
Net periodic pension cost (income)	$	(72)	$	(15)	$	(44)	$	(5)	$	3	$	—
Postretirement Benefits
Service cost	$	18	$	5	$	5	$	1	$	1	$	1
Interest cost	26		6		9		1		—		3
Expected return on plan assets	(57)		(22)		(20)		(2)		—		(6)
Amortization:
Prior service costs	(1)		—		—		—		—		—
Regulatory asset	—		—		—		—		—		5
Net (gain)/loss	3		—		2		—		—		(2)
Net periodic postretirement benefit cost (income)	$	(11)	$	(11)	$	(4)	$	—	$	1	$	1

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Fair Value Measurements (Tables)

9 Months Ended

Sep. 30, 2022

Fair Value Disclosures [Abstract]

Schedule of Assets and Liabilities Measured at Fair Value

At September 30, 2022, assets and liabilities measured at fair value on a recurring basis during the period, together with their associated level of the fair value hierarchy, were as follows:

	Fair Value Measurements Using:
At September 30, 2022	Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Net Asset Value as a Practical Expedient (NAV)		Total
	(in millions)
Southern Company
Assets:
Energy-related derivatives(a)	$	49	$	454	$	—	$	—	$	503
Investments in trusts:(b)(c)
Domestic equity	610		161		—		—		771
Foreign equity	111		129		—		—		240
U.S. Treasury and government agency securities	—		265		—		—		265
Municipal bonds	—		52		—		—		52
Pooled funds – fixed income	—		7		—		—		7
Corporate bonds	—		438		—		—		438
Mortgage and asset backed securities	—		87		—		—		87
Private equity	—		—		—		156		156
Cash and cash equivalents	4		—		—		—		4
Other	17		13		—		—		30
Cash equivalents	1,402		18		—		—		1,420
Other investments	9		26		—		—		35
Total	$	2,202	$	1,650	$	—	$	156	$	4,008
Liabilities:
Energy-related derivatives(a)	$	20	$	141	$	—	$	—	$	161
Interest rate derivatives	—		311		—		—		311
Foreign currency derivatives	—		323		—		—		323
Contingent consideration	—		—		14		—		14
Other	—		13		—		—		13
Total	$	20	$	788	$	14	$	—	$	822

	Fair Value Measurements Using:
At September 30, 2022	Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Net Asset Value as a Practical Expedient (NAV)		Total
	(in millions)
Alabama Power
Assets:
Energy-related derivatives	$	—	$	147	$	—	$	—	$	147
Nuclear decommissioning trusts:(b)
Domestic equity	370		152		—		—		522
Foreign equity	111		—		—		—		111
U.S. Treasury and government agency securities	—		15		—		—		15
Municipal bonds	—		2		—		—		2
Corporate bonds	—		230		—		—		230
Mortgage and asset backed securities	—		20		—		—		20
Private equity	—		—		—		156		156
Other	10		—		—		—		10
Cash equivalents	1,225		18		—		—		1,243
Other investments	—		26		—		—		26
Total	$	1,716	$	610	$	—	$	156	$	2,482
Liabilities:
Energy-related derivatives	$	—	$	35	$	—	$	—	$	35
Georgia Power
Assets:
Energy-related derivatives	$	—	$	145	$	—	$	—	$	145
Nuclear decommissioning trusts:(b)(c)
Domestic equity	240		1		—		—		241
Foreign equity	—		128		—		—		128
U.S. Treasury and government agency securities	—		250		—		—		250
Municipal bonds	—		50		—		—		50
Corporate bonds	—		208		—		—		208
Mortgage and asset backed securities	—		67		—		—		67
Other	7		13		—		—		20
Total	$	247	$	862	$	—	$	—	$	1,109
Liabilities:
Energy-related derivatives	$	—	$	51	$	—	$	—	$	51

	Fair Value Measurements Using:
At September 30, 2022	Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Net Asset Value as a Practical Expedient (NAV)		Total
	(in millions)
Mississippi Power
Assets:
Energy-related derivatives	$	—	$	133	$	—	$	—	$	133
Cash equivalents	30		—		—		—		30
Total	$	30	$	133	$	—	$	—	$	163
Liabilities:
Energy-related derivatives	$	—	$	24	$	—	$	—	$	24
Southern Power
Assets:
Energy-related derivatives	$	—	$	7	$	—	$	—	$	7
Liabilities:
Energy-related derivatives	$	—	$	13	$	—	$	—	$	13
Foreign currency derivatives	—		80		—		—		80
Contingent consideration	—		—		14		—		14
Other	—		13		—		—		13
Total	$	—	$	106	$	14	$	—	$	120
Southern Company Gas
Assets:
Energy-related derivatives(a)	$	49	$	22	$	—	$	—	$	71
Non-qualified deferred compensation trusts:
Domestic equity	—		8		—		—		8
Foreign equity	—		1		—		—		1
Pooled funds – fixed income	—		7		—		—		7
Cash equivalents	4		—		—		—		4
Total	$	53	$	38	$	—	$	—	$	91
Liabilities:
Energy-related derivatives(a)	$	20	$	17	$	—	$	—	$	37
Interest rate derivatives	—		87		—		—		87
Total	$	20	$	104	$	—	$	—	$	124

(a)Excludes cash collateral of $15 million.

(b)Excludes receivables related to investment income, pending investment sales, payables related to pending investment purchases, and currencies. See Note 6 to the financial statements in Item 8 of the Form 10-K for additional information.

(c)Includes investment securities pledged to creditors and collateral received and excludes payables related to the securities lending program. At September 30, 2022, approximately $46 million of the fair market value of Georgia Power's nuclear decommissioning trust funds' securities were on loan to creditors under the funds' managers' securities lending program. See Note 6 to the financial statements in Item 8 of the Form 10-K for additional information.

Schedule of Increase (Decrease) In Fair Value Of Funds

The fair value of the funds, including reinvested interest and dividends and excluding the funds' expenses, increased (decreased) by the amounts shown in the table below for the three and nine months ended September 30, 2022 and 2021. The changes were recorded as a change to the regulatory assets and liabilities related to AROs for Georgia Power and Alabama Power, respectively.

Fair value increases (decreases)	Three Months Ended September 30, 2022		Three Months Ended September 30, 2021		Nine Months Ended September 30, 2022		Nine Months Ended September 30, 2021
	(in millions)
Southern Company	$	(106)	$	9	$	(486)	$	173
Alabama Power	(53)		15		(245)		133
Georgia Power	(53)		(6)		(241)		40

Schedule of Financial Instruments for which Carrying Amount Did Not Equal Fair Value

At September 30, 2022, other financial instruments for which the carrying amount did not equal fair value were as follows:

	Southern Company		Alabama Power		Georgia Power		Mississippi Power		Southern Power		Southern Company Gas(*)
	(in billions)
Long-term debt, including securities due within one year:
Carrying amount	$	53.4	$	10.8	$	14.5	$	1.5	$	2.9	$	7.4
Fair value	46.4		9.3		12.6		1.2		2.7		6.3

(*)The long-term debt of Southern Company Gas is recorded at amortized cost, including the fair value adjustments at the effective date of the 2016 merger with Southern Company. Southern Company Gas amortizes the fair value adjustments over the remaining lives of the respective bonds, the latest being through 2043.

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Derivatives (Tables)

9 Months Ended

Sep. 30, 2022

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Schedule of Energy-Related Derivatives

At September 30, 2022, the net volume of energy-related derivative contracts for natural gas positions, together with the longest hedge date over which the respective entity is hedging its exposure to the variability in future cash flows for forecasted transactions and the longest non-hedge date for derivatives not designated as hedges, were as follows:

	Net Purchased mmBtu	Longest Hedge Date	Longest Non-Hedge Date
	(in millions)
Southern Company(*)	399	2030	2025
Alabama Power	105	2026	—
Georgia Power	116	2025	—
Mississippi Power	82	2027	—
Southern Power	11	2030	2023
Southern Company Gas(*)	85	2025	2025

(*)Southern Company Gas' derivative instruments include both long and short natural gas positions. A long position is a contract to purchase natural gas and a short position is a contract to sell natural gas. Southern Company Gas' volume represents the net of long natural gas positions of 95.7 million mmBtu and short natural gas positions of 10.6 million mmBtu at September 30, 2022, which is also included in Southern Company's total volume.

Schedule of Interest Rate Derivatives

At September 30, 2022, the following interest rate derivatives were outstanding:

	Notional Amount		Interest Rate Received	Weighted Average Interest Rate Paid	Hedge Maturity Date	Fair Value Gain (Loss) at September 30, 2022
	(in millions)					(in millions)
Cash Flow Hedges of Existing Debt
Southern Company parent	$	175	—	4.25%	September 2025	$	—
Southern Company parent	175		—	3.83%	August 2032	—
Fair Value Hedges of Existing Debt
Southern Company parent	400		1.75%	1-month LIBOR + 0.68%	March 2028	(57)
Southern Company parent	1,000		3.70%	1-month LIBOR + 2.36%	April 2030	(167)
Southern Company Gas	500		1.75%	1-month LIBOR + 0.38%	January 2031	(87)
Southern Company	$	2,250				$	(311)

Schedule of Foreign Currency Derivatives

At September 30, 2022, the following foreign currency derivatives were outstanding:

	Pay Notional		Pay Rate	Receive Notional		Receive Rate	Hedge Maturity Date	Fair Value Gain (Loss) at September 30, 2022
	(in millions)			(in millions)				(in millions)
Cash Flow Hedges of Existing Debt
Southern Power	$	564	3.78%	€	500	1.85%	June 2026	$	(80)
Fair Value Hedges of Existing Debt
Southern Company parent	1,476		3.39%	1,250		1.88%	September 2027	(243)
Southern Company	$	2,040		€	1,750			$	(323)

Schedule of Derivative Category and Balance Sheet Location

The fair value of energy-related derivatives, interest rate derivatives, and foreign currency derivatives was reflected in the balance sheets as follows:

	At September 30, 2022				At December 31, 2021
Derivative Category and Balance Sheet Location	Assets		Liabilities		Assets		Liabilities
	(in millions)				(in millions)
Southern Company
Energy-related derivatives designated as hedging instruments for regulatory purposes
Assets from risk management activities/Other current liabilities	$	299	$	70	$	129	$	30
Other deferred charges and assets/Other deferred credits and liabilities	150		59		72		6
Total derivatives designated as hedging instruments for regulatory purposes	449		129		201		36
Derivatives designated as hedging instruments in cash flow and fair value hedges
Energy-related derivatives:
Assets from risk management activities/Other current liabilities	27		13		7		5
Other deferred charges and assets/Other deferred credits and liabilities	7		1		1		—
Interest rate derivatives:
Assets from risk management activities/Other current liabilities	—		44		19		—
Other deferred charges and assets/Other deferred credits and liabilities	—		266		—		29
Foreign currency derivatives:
Assets from risk management activities/Other current liabilities	—		37		—		39
Other deferred charges and assets/Other deferred credits and liabilities	—		285		—		40
Total derivatives designated as hedging instruments in cash flow and fair value hedges	34		646		27		113
Energy-related derivatives not designated as hedging instruments
Assets from risk management activities/Other current liabilities	19		18		9		4
Other deferred charges and assets/Other deferred credits and liabilities	2		1		1		—
Total derivatives not designated as hedging instruments	21		19		10		4
Gross amounts recognized	504		794		238		153
Gross amounts offset(a)	(113)		(128)		(25)		(28)
Net amounts recognized in the Balance Sheets(b)	$	391	$	666	$	213	$	125

	At September 30, 2022				At December 31, 2021
Derivative Category and Balance Sheet Location	Assets		Liabilities		Assets		Liabilities
	(in millions)				(in millions)
Alabama Power
Energy-related derivatives designated as hedging instruments for regulatory purposes
Other current assets/Other current liabilities	$	90	$	12	$	30	$	9
Other deferred charges and assets/Other deferred credits and liabilities	57		23		25		2
Total derivatives designated as hedging instruments for regulatory purposes	147		35		55		11
Gross amounts offset	(31)		(31)		(5)		(5)
Net amounts recognized in the Balance Sheets	$	116	$	4	$	50	$	6
Georgia Power
Energy-related derivatives designated as hedging instruments for regulatory purposes
Assets from risk management activities/Other current liabilities	$	107	$	28	$	54	$	6
Other deferred charges and assets/Other deferred credits and liabilities	38		23		21		2
Total derivatives designated as hedging instruments for regulatory purposes	145		51		75		8
Energy-related derivatives not designated as hedging instruments
Other current assets/Other current liabilities	1		—		—		—
Gross amounts recognized	146		51		75		8
Gross amounts offset	(41)		(41)		(8)		(8)
Net amounts recognized in the Balance Sheets	$	105	$	10	$	67	$	—
Mississippi Power
Energy-related derivatives designated as hedging instruments for regulatory purposes
Assets from risk management activities/Other current liabilities	$	78	$	12	$	30	$	3
Other deferred charges and assets/Other deferred credits and liabilities	55		12		26		2
Total derivatives designated as hedging instruments for regulatory purposes	133		24		56		5
Gross amounts offset	(20)		(20)		(4)		(4)
Net amounts recognized in the Balance Sheets	$	113	$	4	$	52	$	1

	At September 30, 2022				At December 31, 2021
Derivative Category and Balance Sheet Location	Assets		Liabilities		Assets		Liabilities
	(in millions)				(in millions)
Southern Power
Derivatives designated as hedging instruments in cash flow and fair value hedges
Energy-related derivatives:
Other current assets/Other current liabilities	$	—	$	10	$	2	$	—
Other deferred charges and assets/Other deferred credits and liabilities	5		1		1		—
Foreign currency derivatives:
Other current assets/Other current liabilities	—		12		—		16
Other deferred charges and assets/Other deferred credits and liabilities	—		68		—		—
Total derivatives designated as hedging instruments in cash flow and fair value hedges	5		91		3		16
Energy-related derivatives not designated as hedging instruments
Other current assets/Other current liabilities	2		2		1		—
Gross amounts recognized	7		93		4		16
Gross amounts offset	(3)		(3)		—		—
Net amounts recognized in the Balance Sheets	$	4	$	90	$	4	$	16
Southern Company Gas
Energy-related derivatives designated as hedging instruments for regulatory purposes
Other current assets/Other current liabilities	$	24	$	17	$	15	$	12
Derivatives designated as hedging instruments in cash flow and fair value hedges
Energy-related derivatives:
Other current assets/Other current liabilities	26		3		5		5
Other deferred charges and assets/Other deferred credits and liabilities	3		—		—		—
Interest rate derivatives:
Other current assets/Other current liabilities	—		13		6		—
Other deferred charges and assets/Other deferred credits and liabilities	—		74		—		6
Total derivatives designated as hedging instruments in cash flow and fair value hedges	29		90		11		11
Energy-related derivatives not designated as hedging instruments
Other current assets/Other current liabilities	16		16		8		4
Other deferred charges and assets/Other deferred credits and liabilities	2		1		1		—
Total derivatives not designated as hedging instruments	18		17		9		4
Gross amounts recognized	71		124		35		27
Gross amounts offset(a)	(18)		(33)		(8)		(11)
Net amounts recognized in the Balance Sheets(b)	$	53	$	91	$	27	$	16

(a)Gross amounts offset includes cash collateral held on deposit in broker margin accounts of $15 million and $3 million at September 30, 2022 and December 31, 2021, respectively.

(b)Net amounts of derivative instruments outstanding exclude immaterial premium and intrinsic value associated with weather derivatives for all periods presented.

Schedule of Pre-tax Effects of Unrealized Derivative Gains (Losses)

At September 30, 2022 and December 31, 2021, the pre-tax effects of unrealized derivative gains (losses) arising from energy-related derivative instruments designated as regulatory hedging instruments and deferred were as follows:

Regulatory Hedge Unrealized Gain (Loss) Recognized in the Balance Sheet
Derivative Category and Balance Sheet Location	Southern Company		Alabama Power		Georgia Power		Mississippi Power		Southern Company Gas
	(in millions)
At September 30, 2022:
Energy-related derivatives:
Other regulatory assets, current	$	(17)	$	(2)	$	(8)	$	(3)	$	(4)
Other regulatory assets, deferred	(6)		(2)		(3)		(1)		—
Other regulatory liabilities, current	246		80		87		69		10
Other regulatory liabilities, deferred	98		36		18		44		—
Total energy-related derivative gains (losses)	$	321	$	112	$	94	$	109	$	6
At December 31, 2021:
Energy-related derivatives:
Other regulatory assets, current	$	(17)	$	(6)	$	—	$	—	$	(11)
Other regulatory liabilities, current	107		28		48		27		4
Other regulatory liabilities, deferred	65		22		19		24		—
Total energy-related derivative gains (losses)	$	155	$	44	$	67	$	51	$	(7)

Schedule of Pre-Tax Effects of Hedging on AOCI

For the three and nine months ended September 30, 2022 and 2021, the pre-tax effects of cash flow and fair value hedge accounting on accumulated OCI were as follows:

Gain (Loss) Recognized in OCI on Derivative	For the Three Months Ended September 30,				For the Nine Months Ended September 30,
	2022		2021		2022		2021
	(in millions)				(in millions)
Southern Company
Cash flow hedges:
Energy-related derivatives	$	11	$	38	$	51	$	59
Interest rate derivatives	6		5		36		7
Foreign currency derivatives	(35)		(36)		(137)		(79)
Fair value hedges(*):
Foreign currency derivatives	20		(4)		18		(4)
Total	$	2	$	3	$	(32)	$	(17)
Georgia Power
Interest rate derivatives	$	—	$	—	$	31	$	—
Southern Power
Cash flow hedges:
Energy-related derivatives	$	(11)	$	8	$	(4)	$	16
Foreign currency derivatives	(35)		(36)		(137)		(79)
Total	$	(46)	$	(28)	$	(141)	$	(63)
Southern Company Gas
Cash flow hedges:
Energy-related derivatives	$	22	$	30	$	55	$	43
Interest rate derivatives	5		—		—		—
Total	$	27	$	30	$	55	$	43

(*)Represents amounts excluded from the assessment of effectiveness for which the difference between changes in fair value and periodic amortization is recorded in OCI.

For the three and nine months ended September 30, 2022 and 2021, the pre-tax effects of interest rate derivatives designated as cash flow hedging instruments on accumulated OCI were immaterial for the other Registrants.

Schedule of Pre-Tax Effects of Cash Flow and Fair Value Hedging on Income

For the three and nine months ended September 30, 2022 and 2021, the pre-tax effects of cash flow and fair value hedge accounting on income were as follows:

Location and Amount of Gain (Loss) Recognized in Income on Cash Flow and Fair Value Hedging Relationships	For the Three Months Ended September 30,				For the Nine Months Ended September 30,
	2022		2021		2022		2021
	(in millions)				(in millions)
Southern Company
Total cost of natural gas	$	294	$	129	$	1,840	$	943
Gain (loss) on energy-related cash flow hedges(a)	9		2		28		—
Total depreciation and amortization	922		896		2,728		2,658
Gain (loss) on energy-related cash flow hedges(a)	(1)		3		5		6
Total interest expense, net of amounts capitalized	(511)		(451)		(1,461)		(1,352)
Gain (loss) on interest rate cash flow hedges(a)	(7)		(7)		(19)		(20)
Gain (loss) on foreign currency cash flow hedges(a)	(3)		(6)		(16)		(18)
Gain (loss) on interest rate fair value hedges(b)	(102)		(4)		(300)		(16)
Total other income (expense), net	132		131		414		290
Gain (loss) on foreign currency cash flow hedges(a)(c)	(32)		(34)		(129)		(76)
Gain (loss) on foreign currency fair value hedges	(59)		(32)		(180)		(32)
Amount excluded from effectiveness testing recognized in earnings	(21)		4		(17)		4
Southern Power
Total depreciation and amortization	$	133	$	132	$	384	$	383
Gain (loss) on energy-related cash flow hedges(a)	(1)		3		5		6
Total interest expense, net of amounts capitalized	(32)		(36)		(105)		(111)
Gain (loss) on foreign currency cash flow hedges(a)	(3)		(6)		(16)		(18)
Total other income (expense), net	3		2		5		10
Gain (loss) on foreign currency cash flow hedges(a)(c)	(32)		(34)		(129)		(76)
Southern Company Gas
Total cost of natural gas	$	294	$	129	$	1,840	$	943
Gain (loss) on energy-related cash flow hedges(a)	9		2		28		—
Total interest expense, net of amounts capitalized	(65)		(57)		(187)		(175)
Gain (loss) on interest rate cash flow hedges(a)	(2)		(1)		(3)		(2)
Gain (loss) on interest rate fair value hedges(b)	(30)		—		(87)		2

(a)Reclassified from accumulated OCI into earnings.

(b)For fair value hedges, changes in the fair value of the derivative contracts are generally equal to changes in the fair value of the underlying debt and have no material impact on income.

(c)The reclassification from accumulated OCI into other income (expense), net completely offsets currency gains and losses arising from changes in the U.S. currency exchange rates used to record the euro-denominated notes.

Schedule of Cumulative Basis Adjustments for Fair Value Hedges

At September 30, 2022 and December 31, 2021, the following amounts were recorded on the balance sheets related to cumulative basis adjustments for fair value hedges:

	Carrying Amount of the Hedged Item				Cumulative Amount of Fair Value Hedging Adjustment included in Carrying Amount of the Hedged Item
Balance Sheet Location of Hedged Items	At September 30, 2022		At December 31, 2021		At September 30, 2022		At December 31, 2021
	(in millions)				(in millions)
Southern Company
Long-term debt	$	(2,788)	$	(3,280)	$	306	$	9
Southern Company Gas
Long-term debt	$	(411)	$	(493)	$	86	$	2

Schedule of Pre-tax Effect of Interest Rate and Energy Related Derivatives on Income

For the three and nine months ended September 30, 2022 and 2021, the pre-tax effects of energy-related derivatives not designated as hedging instruments on the statements of income of Southern Company and Southern Company Gas were as follows:

		Gain (Loss)
		Three Months Ended September 30,				Nine Months Ended September 30,
Derivatives in Non-Designated Hedging Relationships	Statements of Income Location	2022		2021		2022		2021
		(in millions)				(in millions)
Energy-related derivatives:	Natural gas revenues(*)	$	3	$	(2)	$	(10)	$	(122)
	Cost of natural gas	(2)		20		(7)		36
Total derivatives in non-designated hedging relationships		$	1	$	18	$	(17)	$	(86)

(*)Excludes immaterial gains (losses) recorded in natural gas revenues associated with weather derivatives for all periods presented.

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Acquisitions and Dispositions (Tables)

9 Months Ended

Sep. 30, 2022

Business Combination and Asset Acquisition [Abstract]

Schedule of Construction Projects

Project Facility	Resource	Approximate Nameplate Capacity (MW)	Location	COD	PPA Contract Period
Projects Completed During the Nine Months Ended September 30, 2022
Garland Solar Storage(a)	Battery energy storage system	88	Kern County, CA	September 2021 through February 2022(b)	20 years
Tranquillity Solar Storage(a)	Battery energy storage system	72	Fresno County, CA	November 2021 through March 2022(c)	20 years

(a)Southern Power consolidates each project's operating results in its financial statements and the tax equity partner and two other partners each own a noncontrolling interest.

(b)The facility has a total capacity of 88 MWs, of which 73 MWs were placed in service in 2021 and 15 MWs were placed in service in February 2022.

(c)The facility has a total capacity of 72 MWs, of which 32 MWs were placed in service in 2021 and 40 MWs were placed in service in March 2022.

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Segment and Related Information (Tables)

9 Months Ended

Sep. 30, 2022

Segment Reporting [Abstract]

Schedule of Financial Data for Business Segments

Financial data for business segments and products and services for the three and nine months ended September 30, 2022 and 2021 was as follows:

	Electric Utilities
	Traditional Electric Operating Companies		Southern Power		Eliminations		Total		Southern Company Gas		All Other		Eliminations		Consolidated
	(in millions)
Three Months Ended September 30, 2022
Operating revenues	$	6,938	$	1,180	$	(691)	$	7,427	$	857	$	135	$	(41)	$	8,378
Segment net income (loss)(a)(b)	1,445		95		—		1,540		83		(152)		1		1,472
Nine Months Ended September 30, 2022
Operating revenues	$	16,716	$	2,618	$	(1,391)	$	17,943	$	3,998	$	418	$	(127)	$	22,232
Segment net income (loss)(a)(b)	3,256		265		—		3,521		516		(415)		(11)		3,611
At September 30, 2022
Goodwill	$	—	$	2	$	—	$	2	$	5,015	$	263	$	—	$	5,280
Total assets	95,659		13,283		(748)		108,194		24,097		2,372		(658)		134,005
Three Months Ended September 30, 2021
Operating revenues	$	5,018	$	679	$	(170)	$	5,527	$	623	$	124	$	(36)	$	6,238
Segment net income (loss)(a)(b)(c)	1,085		78		—		1,163		56		(121)		3		1,101
Nine Months Ended September 30, 2021
Operating revenues	$	12,813	$	1,610	$	(372)	$	14,051	$	2,994	$	412	$	(111)	$	17,346
Segment net income (loss)(a)(b)(c)(d)(e)	2,352		211		—		2,563		389		(338)		(6)		2,608
At December 31, 2021
Goodwill	$	—	$	2	$	—	$	2	$	5,015	$	263	$	—	$	5,280
Total assets	89,051		13,390		(667)		101,774		23,560		2,975		(775)		127,534

(a)Attributable to Southern Company.

(b)For the traditional electric operating companies, includes pre-tax charges (credits) to income at Georgia Power for the estimated probable loss associated with the construction of Plant Vogtle Units 3 and 4 of $(70) million ($(52) million after tax) and $(18) million ($(13) million after tax) for the three and nine months ended September 30, 2022, respectively, and $264 million ($197 million after tax) and $772 million ($576 million after tax) for the three and nine months ended September 30, 2021, respectively. See Note (B) and Note 2 to the financial statements in Item 8 of the Form 10-K under "Georgia Power – Nuclear Construction" for additional information.

(c)For Southern Company Gas, includes a pre-tax gain of $121 million ($93 million after tax) related to its sale of Sequent, as well as the resulting $85 million of additional tax expense as a result of the sale. See Note 15 to the financial statements under "Southern Company Gas" in Item 8 of the Form 10-K for additional information.

(d)For Southern Power, includes gains on wind turbine equipment contributed to various equity method investments totaling approximately $37 million pre-tax ($28 million after tax). See Note 15 to the financial statements under "Southern Power – Development Projects" in Item 8 of the Form 10-K for additional information.

(e)For Southern Company Gas, includes pre-tax impairment charges totaling $84 million ($67 million after tax) related to its equity method investment in the PennEast Pipeline project. See Note 7 to the financial statements under "Southern Company Gas" in Item 8 of the Form 10-K for additional information.

Business segment financial data for the three and nine months ended September 30, 2022 and 2021 was as follows:

	Gas Distribution Operations		Gas Pipeline Investments		Wholesale Gas Services(a)		Gas Marketing Services		Total		All Other		Eliminations		Consolidated
	(in millions)
Three Months Ended September 30, 2022
Operating revenues	$	751	$	8	$	—	$	85	$	844	$	16	$	(3)	$	857
Segment net income (loss)	59		24		—		(2)		81		2		—		83
Nine Months Ended September 30, 2022
Operating revenues	$	3,533	$	24	$	—	$	420	$	3,977	$	43	$	(22)	$	3,998
Segment net income (loss)	365		76		—		65		506		10		—		516
Total assets at September 30, 2022	21,605		1,425		—		1,595		24,625		9,100		(9,628)		24,097
Three Months Ended September 30, 2021
Operating revenues	$	556	$	8	$	—	$	52	$	616	$	11	$	(4)	$	623
Segment net income (loss)(b)(c)	45		10		94		(2)		147		(91)		—		56
Nine Months Ended September 30, 2021
Operating revenues	$	2,466	$	24	$	188	$	311	$	2,989	$	29	$	(24)	$	2,994
Segment net income (loss)(b)(c)(d)	308		3		108		60		479		(90)		—		389
Total assets at December 31, 2021	20,917		1,467		31		1,556		23,971		12,114		(12,525)		23,560

(a)As a result of the sale of Sequent, wholesale gas services is no longer a reportable segment for the three and nine months ended September 30, 2022. Prior to the sale of Sequent, the revenues for wholesale gas services were netted with costs associated with its energy and risk management activities. A reconciliation of operating revenues and intercompany revenues is shown in the following table.

	Third Party Gross Revenues		Intercompany Revenues		Total Gross Revenues		Less Gross Gas Costs		Operating Revenues
	(in millions)
Nine Months Ended September 30, 2021	$	3,881	$	90	$	3,971	$	3,783	$	188

(b)For wholesale gas services, includes a pre-tax gain of $121 million ($93 million after tax) related to the sale of Sequent. See Note 15 to the financial statements under "Southern Company Gas" in Item 8 of the Form 10-K for additional information.

(c)For the "All Other" column, includes $85 million of additional tax expense as a result of the sale. See Note 15 to the financial statements under "Southern Company Gas" in Item 8 of the Form 10-K for additional information.

(d)For gas pipeline investments, includes pre-tax impairment charges totaling $84 million ($67 million after tax) related to the equity method investment in the PennEast Pipeline project. See Note 7 to the financial statements under "Southern Company Gas" in Item 8 of the Form 10-K for additional information.

Schedule of Financial Data for Products and Services

	Electric Utilities' Revenues
	Retail		Wholesale		Other		Total
	(in millions)
Three Months Ended September 30, 2022	$	5,961	$	1,197	$	269	$	7,427
Three Months Ended September 30, 2021	4,551		731		245		5,527
Nine Months Ended September 30, 2022	$	14,363	$	2,798	$	782	$	17,943
Nine Months Ended September 30, 2021	11,492		1,822		737		14,051

	Southern Company Gas' Revenues
	Gas Distribution Operations		Wholesale Gas Services(*)		Gas Marketing Services		Other		Total
	(in millions)
Three Months Ended September 30, 2022	$	748	$	—	$	85	$	24	$	857
Three Months Ended September 30, 2021	553		—		52		18		623
Nine Months Ended September 30, 2022	$	3,513	$	—	$	420	$	65	$	3,998
Nine Months Ended September 30, 2021	2,451		188		311		44		2,994

(*)Prior to the sale of Sequent, the revenues for wholesale gas services were netted with costs associated with its energy and risk management activities. See "Southern Company Gas" herein and Note 15 to the financial statements under "Southern Company Gas" in Item 8 of the Form 10-K for additional information.

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Introduction - Schedule of Goodwill (Details) - USD ($) $ in Millions	Sep. 30, 2022	Dec. 31, 2021
Goodwill [Line Items]
Goodwill	$ 5,280	$ 5,280
SOUTHERN Co GAS
Goodwill [Line Items]
Goodwill	5,015	5,015
SOUTHERN Co GAS | Gas distribution operations
Goodwill [Line Items]
Goodwill	4,034	4,034
SOUTHERN Co GAS | Gas marketing services
Goodwill [Line Items]
Goodwill	$ 981	$ 981

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Introduction - Schedule of Other Intangible Assets (Details) - USD ($) $ in Millions	Sep. 30, 2022	Dec. 31, 2021
Other intangible assets subject to amortization:
Gross Carrying Amount	$ 671	$ 677
Accumulated Amortization	(331)	(307)
Other Intangible Assets, Net	340	370
Other intangible assets not subject to amortization:
Federal Communications Commission licenses	75	75
Total other intangible assets
Gross Carrying Amount	746	752
Accumulated Amortization	(331)	(307)
Other Intangible Assets, Net	415	445
Customer relationships
Other intangible assets subject to amortization:
Gross Carrying Amount	212	212
Accumulated Amortization	(159)	(150)
Other Intangible Assets, Net	53	62
Total other intangible assets
Accumulated Amortization	(159)	(150)
Trade names
Other intangible assets subject to amortization:
Gross Carrying Amount	64	64
Accumulated Amortization	(44)	(38)
Other Intangible Assets, Net	20	26
Total other intangible assets
Accumulated Amortization	(44)	(38)
PPA fair value adjustments
Other intangible assets subject to amortization:
Gross Carrying Amount	390	390
Accumulated Amortization	(124)	(109)
Other Intangible Assets, Net	266	281
Total other intangible assets
Accumulated Amortization	(124)	(109)
Other
Other intangible assets subject to amortization:
Gross Carrying Amount	5	11
Accumulated Amortization	(4)	(10)
Other Intangible Assets, Net	1	1
Total other intangible assets
Accumulated Amortization	(4)	(10)
SOUTHERN POWER CO
Other intangible assets subject to amortization:
Accumulated Amortization	(124)	(109)
Total other intangible assets
Accumulated Amortization	(124)	(109)
SOUTHERN POWER CO | PPA fair value adjustments
Other intangible assets subject to amortization:
Gross Carrying Amount	390	390
Accumulated Amortization	(124)	(109)
Other Intangible Assets, Net	266	281
Total other intangible assets
Accumulated Amortization	(124)	(109)
SOUTHERN Co GAS
Other intangible assets subject to amortization:
Gross Carrying Amount	182	182
Accumulated Amortization	(154)	(145)
Other Intangible Assets, Net	28	37
Total other intangible assets
Accumulated Amortization	(154)	(145)
Other Intangible Assets, Net	28	37
SOUTHERN Co GAS | Customer relationships
Other intangible assets subject to amortization:
Gross Carrying Amount	156	156
Accumulated Amortization	(137)	(130)
Other Intangible Assets, Net	19	26
Total other intangible assets
Accumulated Amortization	(137)	(130)
SOUTHERN Co GAS | Trade names
Other intangible assets subject to amortization:
Gross Carrying Amount	26	26
Accumulated Amortization	(17)	(15)
Other Intangible Assets, Net	9	11
Total other intangible assets
Accumulated Amortization	$ (17)	$ (15)

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Introduction - Schedule of Amortization of Other Intangible Assets (Details) - USD ($) $ in Millions	3 Months Ended	9 Months Ended
	Sep. 30, 2022	Sep. 30, 2022
Finite-Lived Intangible Assets [Line Items]
Amortization of intangible assets	$ 11	$ 30
Decrease in operating revenues	5	15
SOUTHERN POWER CO
Finite-Lived Intangible Assets [Line Items]
Amortization of intangible assets	5	15
SOUTHERN Co GAS
Finite-Lived Intangible Assets [Line Items]
Amortization of intangible assets	$ 4	$ 9

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Introduction - Schedule of Cash, Cash Equivalents, and Restricted Cash (Details) - USD ($) $ in Millions	Sep. 30, 2022	Dec. 31, 2021	Sep. 30, 2021	Dec. 31, 2020
Restricted Cash and Cash Equivalents Items [Line Items]
Cash and cash equivalents	$ 2,009	$ 1,798
Restricted cash:
Total cash, cash equivalents, and restricted cash	2,013	1,829	$ 2,101	$ 1,068
Other current assets
Restricted cash:
Restricted cash	2	2
Other deferred charges and assets
Restricted cash:
Restricted cash	3	29
SOUTHERN POWER CO
Restricted Cash and Cash Equivalents Items [Line Items]
Cash and cash equivalents	229	107
Restricted cash:
Total cash, cash equivalents, and restricted cash	231	135	213	183
SOUTHERN POWER CO | Other current assets
Restricted cash:
Restricted cash	0	0
SOUTHERN POWER CO | Other deferred charges and assets
Restricted cash:
Restricted cash	3	29
SOUTHERN POWER CO | Tax Equity Contributions | Garland
Restricted cash:
Restricted cash		19
SOUTHERN POWER CO | Estimated Construction Completion Costs | Deuel Harvest
Restricted cash:
Restricted cash	3	10
SOUTHERN Co GAS
Restricted Cash and Cash Equivalents Items [Line Items]
Cash and cash equivalents	26	45
Restricted cash:
Total cash, cash equivalents, and restricted cash	28	48	$ 32	$ 19
SOUTHERN Co GAS | Other current assets
Restricted cash:
Restricted cash	2	2
SOUTHERN Co GAS | Other deferred charges and assets
Restricted cash:
Restricted cash	$ 0	$ 0

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Introduction - Depreciation and Amortization (Details)		12 Months Ended
	Jan. 01, 2022	Dec. 31, 2021
Maximum | Wind Generating Facility | SOUTHERN POWER CO
Property, Plant and Equipment [Line Items]
Property, plant and equipment, useful life	35 years	30 years

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Regulatory Matters - Schedule of Cost Recovery Clauses (Details) - USD ($) $ in Millions	Sep. 30, 2022	Dec. 31, 2021
Loss Contingencies [Line Items]
Natural gas cost under recovery	$ 390	$ 266
ALABAMA POWER CO | Other regulatory assets, deferred
Loss Contingencies [Line Items]
Rate CNP Compliance	0	16
Rate CNP PPA	125	84
Retail Energy Cost Recovery	413	126
ALABAMA POWER CO | Other regulatory liabilities, deferred
Loss Contingencies [Line Items]
Rate CNP Compliance	4	0
ALABAMA POWER CO | Other regulatory assets, current
Loss Contingencies [Line Items]
Retail Energy Cost Recovery	93	0
GEORGIA POWER CO | Other deferred charges and assets
Loss Contingencies [Line Items]
Fuel Cost Recovery	1,697	410
MISSISSIPPI POWER CO | Other regulatory assets, deferred
Loss Contingencies [Line Items]
Ad Valorem Tax	22	37
MISSISSIPPI POWER CO | Other customer accounts receivable
Loss Contingencies [Line Items]
Fuel Cost Recovery	13	4
MISSISSIPPI POWER CO | Other regulatory assets, current
Loss Contingencies [Line Items]
Ad Valorem Tax	12	12
SOUTHERN Co GAS
Loss Contingencies [Line Items]
Natural gas cost under recovery	390	266
SOUTHERN Co GAS | Other regulatory assets, deferred
Loss Contingencies [Line Items]
Natural gas cost under recovery	0	207
SOUTHERN Co GAS | Other regulatory assets, current
Loss Contingencies [Line Items]
Natural gas cost under recovery	$ 390	$ 266

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Regulatory Matters - APC Certificate of Convenience and Necessity (Details) - USD ($) $ in Millions	Oct. 03, 2022	Sep. 30, 2022	Dec. 31, 2021	Dec. 31, 2020
Public Utilities, General Disclosures [Line Items]
Plant in service, net of depreciation		$ 81,314	$ 81,513
Other utility plant, net		602	0
Construction work in progress		10,773	8,771
Revision of Prior Period, Reclassification, Adjustment
Public Utilities, General Disclosures [Line Items]
Plant in service, net of depreciation		(600)
Other utility plant, net		600
ALABAMA POWER CO
Public Utilities, General Disclosures [Line Items]
Plant in service, net of depreciation		22,649	22,822
Other utility plant, net		602	0
Construction work in progress		1,524	$ 1,147
ALABAMA POWER CO | Plant Barry Unit 8
Public Utilities, General Disclosures [Line Items]
Estimated in-service cost				$ 652
Construction work in progress		$ 484
Subsequent Event | ALABAMA POWER CO
Public Utilities, General Disclosures [Line Items]
Increase to annual revenue requirement	$ 34
Increase to annual revenue requirement, percentage	0.60%

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Regulatory Matters - APC Rate ECR (Details) - Alabama Power $ in Millions			1 Months Ended
	Jul. 12, 2022 USD ($) $ / KWH_Kilowatt_hour	Jul. 11, 2022 $ / KWH_Kilowatt_hour	Jan. 31, 2025 $ / KWH_Kilowatt_hour
Schedule of Regulatory Assets and Liabilities [Line Items]
Current billing rates under rate ECR (usd per KWH)	2.557	1.96
Current billing rates under rate ECR, amount | $	$ 310
Scenario, Forecast
Schedule of Regulatory Assets and Liabilities [Line Items]
Current billing rates under rate ECR (usd per KWH)			5.91

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Regulatory Matters - APC Rate NDR and Reliability Reserve Accounting Order (Details) - Alabama Power - USD ($)		6 Months Ended	12 Months Ended
	Jul. 12, 2022	Dec. 31, 2022	Dec. 31, 2023	Sep. 30, 2022
Public Utilities, General Disclosures [Line Items]
Maximum rate NDR charge per month, monthly nonresidential customer account	$ 5.00
Maximum rate NDR charge per month, monthly residential customer account	2.50
Natural disaster reserve balance				$ 103,000,000
Natural disaster reserve authorized limit	$ 35,000,000			75,000,000
Minimum natural disaster reserve balance, triggering establishment charge				$ 50,000,000
Minimum
Public Utilities, General Disclosures [Line Items]
Maximum period for recovery deferred stock related operations and maintenance costs and any future reserve deficits	24 months
Maximum
Public Utilities, General Disclosures [Line Items]
Maximum period for recovery deferred stock related operations and maintenance costs and any future reserve deficits	48 months
Scenario, Forecast
Public Utilities, General Disclosures [Line Items]
Natural disaster reserve, expected recovery amount		$ 6,000,000	$ 12,000,000

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Regulatory Matters - APC Renewable Generation Certificate (Details) - ALABAMA POWER CO		1 Months Ended
	Oct. 04, 2022 project MW	Apr. 30, 2022 project MW	Sep. 30, 2022 MW
Public Utilities, General Disclosures [Line Items]
Renewable generation certificate, authorized generating capacity (in MWs)			500
Renewable generation certificate, number of projects terminated | project		1
Renewable generation certificate, capacity restored (in MWs)		80
Renewable generation certificate, generating capacity owned by parent			330
Subsequent Event
Public Utilities, General Disclosures [Line Items]
Renewable generation certificate, number of projects approved | project	2
Renewable generation certificate, generating capacity owned by parent	160

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Regulatory Matters - GPC Base Rate Case (Details) $ in Millions	Jun. 24, 2022 USD ($)
Public Utilities, General Disclosures [Line Items]
Proposed alternate rate plan	3 years
GEORGIA POWER CO
Public Utilities, General Disclosures [Line Items]
Requested rate increase (decrease), amount, due in next fiscal year	$ 889
Requested rate increase (decrease), amount, due in 2024	107
Requested rate increase (decrease), amount, due in 2025	$ 45
Base rate case filing, measurement input, return on investment	11.00%
Base rate case filing, measurement input, maximum equity ratio	56.00%
Portion of actual earnings above approved ROE band refunded to customers	80.00%
Portion of actual earnings above approved ROE band retained by subsidiary company	20.00%
GEORGIA POWER CO | Minimum
Public Utilities, General Disclosures [Line Items]
Retail rate of return on common equity	9.50%
GEORGIA POWER CO | Maximum
Public Utilities, General Disclosures [Line Items]
Retail rate of return on common equity	12.00%

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Regulatory Matters - GPC Tariffs (Details) - GEORGIA POWER CO $ in Millions	Jun. 24, 2022 USD ($)
Public Utilities, General Disclosures [Line Items]
Requested rate increase (decrease), amount, due in next fiscal year	$ 889
Requested rate increase (decrease), amount, due in 2024	107
Requested rate increase (decrease), amount, due in 2025	45
Traditional base
Public Utilities, General Disclosures [Line Items]
Requested rate increase (decrease), amount, due in next fiscal year	762
Requested rate increase (decrease), amount, due in 2024	0
Requested rate increase (decrease), amount, due in 2025	0
Traditional
Public Utilities, General Disclosures [Line Items]
Requested rate increase (decrease), amount, due in next fiscal year	5
Requested rate increase (decrease), amount, due in 2024	0
Requested rate increase (decrease), amount, due in 2025	0
CCR ARO
Public Utilities, General Disclosures [Line Items]
Requested rate increase (decrease), amount, due in next fiscal year	64
Requested rate increase (decrease), amount, due in 2024	78
Requested rate increase (decrease), amount, due in 2025	47
DSM
Public Utilities, General Disclosures [Line Items]
Requested rate increase (decrease), amount, due in next fiscal year	37
Requested rate increase (decrease), amount, due in 2024	27
Requested rate increase (decrease), amount, due in 2025	(2)
Municipal Franchise Fee
Public Utilities, General Disclosures [Line Items]
Requested rate increase (decrease), amount, due in next fiscal year	21
Requested rate increase (decrease), amount, due in 2024	2
Requested rate increase (decrease), amount, due in 2025	$ 1

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Regulatory Matters - GPC Integrated Resource Plan (Details) - GEORGIA POWER CO $ in Millions						9 Months Ended	12 Months Ended
	Jan. 01, 2028 MW	Jan. 01, 2025 MW	Jan. 01, 2024 MW	Aug. 26, 2022 USD ($)	Jul. 21, 2022 agreement ashPond MW	Sep. 30, 2022 USD ($) MW	Dec. 31, 2026 MW
Public Utilities, General Disclosures [Line Items]
Approved capacity increase (in MWs)						970
Approved change in closure method, number of ash ponds | ashPond					1
Number of approved Power Purchase Agreements | agreement					6
Number of approved Approved Power Purchase Agreements | agreement					5
Rejected additional generating capacity					88
Renewable Resources
Public Utilities, General Disclosures [Line Items]
Requested additional generating capacity					2,300
Energy Storage
Public Utilities, General Disclosures [Line Items]
Requested additional generating capacity					500
Biomass Generation
Public Utilities, General Disclosures [Line Items]
Requested additional generating capacity					140
Subsequent Event | Scenario, Forecast
Public Utilities, General Disclosures [Line Items]
Approved capacity increase (in MWs)	228	380	1,567				265
Plant Wansley Units 1 and 2
Public Utilities, General Disclosures [Line Items]
Capacity of units approved for decertification and retirement of units					926
Approved amounts for decertification and retirement of units, percentage					53.50%
Plant Wansley Unit 1
Public Utilities, General Disclosures [Line Items]
Remaining net book value | $						$ 299
Plant Wansley Unit 2
Public Utilities, General Disclosures [Line Items]
Remaining net book value | $						277
Plant Scherer Unit 3
Public Utilities, General Disclosures [Line Items]
Capacity of units approved for decertification and retirement of units					614
Approved amounts for decertification and retirement of units, percentage					75.00%
Remaining net book value | $						$ 608
Plant Gaston Units 1 through 4
Public Utilities, General Disclosures [Line Items]
Capacity of units approved for decertification and retirement of units					500
Approved amounts for decertification and retirement of units, percentage					50.00%
Plant Bowen Units 1 and 2
Public Utilities, General Disclosures [Line Items]
Capacity of units included in request for decertification of units					1,400
Plant Tugalo
Public Utilities, General Disclosures [Line Items]
Planned expenses to modernize plant | $				$ 115

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Regulatory Matters - GPC Nuclear Construction (Details) - GEORGIA POWER CO $ in Millions	3 Months Ended		9 Months Ended	12 Months Ended
	Sep. 30, 2022 USD ($)	Jun. 30, 2022 USD ($)	Sep. 30, 2022 USD ($)	Dec. 31, 2012 utility MW	Aug. 31, 2018
Loss Contingencies [Line Items]
Estimated cost to complete, pre-tax charge to income	$ 32	$ 36
Estimated cost to complete, pre-tax charge to income, net of tax	$ 24	27
Plant Vogtle Units 3 And 4
Loss Contingencies [Line Items]
Proportionate ownership share	45.70%		45.70%
Number of construction units approved | utility				2
Electric generating capacity in mega watts under consortium agreement | MW				1,100
Estimated cost to complete, construction contingency estimate, financing costs	$ 3,400		$ 3,400
Estimated cost to complete, construction contingency estimate, financing costs, incurred to date	3,100		3,100
Construction contingency estimate	170		170
Estimated cost to complete, additional construction contingency estimate	32	$ 36	32
Base project capital cost forecast, monthly			15
Monthly AFUDC			$ 35
Percentage of ownership interest required for voting for continuing construction					90.00%
Plant Vogtle Units 3 And 4 | Vogtle Owners
Loss Contingencies [Line Items]
Period of notice required in the event letters of credit are not renewed			30 days
Minimum | Plant Vogtle Units 3 And 4 | COVID-19
Loss Contingencies [Line Items]
Loss contingency, estimate of possible loss, loss of productivity, term			3 months
Estimate of possible loss	160		$ 160
Maximum | Plant Vogtle Units 3 And 4 | COVID-19
Loss Contingencies [Line Items]
Loss contingency, estimate of possible loss, loss of productivity, term			4 months
Estimate of possible loss	$ 200		$ 200

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Regulatory Matters - GPC Nuclear Construction Cost and Schedule (Details) - GEORGIA POWER CO - USD ($) $ in Millions	3 Months Ended			6 Months Ended	9 Months Ended
	Sep. 30, 2022	Jun. 30, 2022	Dec. 31, 2021	Jun. 30, 2021	Sep. 30, 2022
Loss Contingencies [Line Items]
Pre-tax charge to income	$ (102)	$ 16	$ 440		$ 353
Plant Vogtle Units 3 And 4
Loss Contingencies [Line Items]
Base project capital cost forecast	10,334				10,334
Construction contingency estimate	49				49
Total project capital cost forecast	10,383				10,383
Net investment as of end of the period	(9,280)				(9,280)
Remaining estimate to complete	1,103				1,103
Estimated cost to complete, costs not shared with other owners	590				590
Expected capitalized costs					385
Capitalized interest accrued	$ 275				$ 275
Plant Vogtle Units 3 And 4 | Twenty Fifth Vogtle Construction Monitoring Report
Loss Contingencies [Line Items]
Guarantor obligations				$ 1,700
Customer refund				$ 188

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Regulatory Matters - GPC Amendments to the Vogtle Joint Ownership Agreements (Details) - GEORGIA POWER CO - USD ($) $ in Thousands				3 Months Ended			9 Months Ended
	Oct. 04, 2022	Sep. 29, 2022	Jan. 11, 2018	Sep. 30, 2022	Jun. 30, 2022	Dec. 31, 2021	Sep. 30, 2022	Jul. 25, 2022	Jun. 18, 2022	Aug. 31, 2018
Public Utilities, General Disclosures [Line Items]
Pre-tax charge to income				$ (102,000)	$ 16,000	$ 440,000	$ 353,000
After tax charge to income				(76,000)	$ 12,000	$ 328,000
Plant Vogtle Units 3 And 4
Public Utilities, General Disclosures [Line Items]
Production tax credits, aggregate purchase price, maximum							300,000
Preliminary estimated cost to complete				$ 10,383,000			$ 10,383,000
Additional construction capital costs			$ 3,300,000
Remaining share of construction costs, agreement to pay, percentage							100.00%
Percentage of ownership interest required for voting for continuing construction										90.00%
Percentage of costs, disallowed for recovery							6.00%
Costs disallowed for recovery, period							6 months
Public utilities, extension project schedule, term							1 year
Proportionate ownership share				45.70%			45.70%
Plant Vogtle Units 3 And 4 | Subsequent Event
Public Utilities, General Disclosures [Line Items]
Additional construction capital costs	$ 300,000
Plant Vogtle Units 3 And 4 | Vogtle Owners
Public Utilities, General Disclosures [Line Items]
Additional construction capital costs							$ 100
Plant Vogtle Units 3 And 4 | Vogtle Owners | Tender Provision Dispute
Public Utilities, General Disclosures [Line Items]
Estimated cost to complete, starting dollar amount									$ 17,100,000
Plant Vogtle Units 3 And 4 | Vogtle Owners | Counterclaim Seeking Declaratory Judgement
Public Utilities, General Disclosures [Line Items]
Estimated cost to complete, starting dollar amount								$ 18,380,000
Plant Vogtle Units 3 And 4 | MEAG Power
Public Utilities, General Disclosures [Line Items]
Payment of power costs		$ 79,000
Plant Vogtle Units 3 And 4 | Minimum
Public Utilities, General Disclosures [Line Items]
Global amendments, tender provision, decision period after tender option triggered							120 days
Plant Vogtle Units 3 And 4 | Maximum
Public Utilities, General Disclosures [Line Items]
Global amendments, tender provision, decision period after tender option triggered							194 days
Plant Vogtle Units 3 And 4 | Category I
Public Utilities, General Disclosures [Line Items]
Preliminary estimated cost to complete				$ 8,400,000			$ 8,400,000
Additional construction capital costs, threshold							$ 800,000
Plant Vogtle Units 3 And 4 | Category II
Public Utilities, General Disclosures [Line Items]
Percentage of construction costs, responsibility to pay							55.70%
Additional construction capital costs							$ 80,000
Plant Vogtle Units 3 And 4 | Category II | Vogtle Owners
Public Utilities, General Disclosures [Line Items]
Percentage of construction costs, responsibility to pay							44.30%
Plant Vogtle Units 3 And 4 | Category II | Minimum
Public Utilities, General Disclosures [Line Items]
Additional construction capital costs, threshold							$ 800,000
Plant Vogtle Units 3 And 4 | Category II | Maximum
Public Utilities, General Disclosures [Line Items]
Additional construction capital costs, threshold							$ 1,600,000
Plant Vogtle Units 3 And 4 | Category III
Public Utilities, General Disclosures [Line Items]
Percentage of construction costs, responsibility to pay							65.70%
Additional construction capital costs							$ 100,000
Plant Vogtle Units 3 And 4 | Category III | Vogtle Owners
Public Utilities, General Disclosures [Line Items]
Percentage of construction costs, responsibility to pay							34.30%
Plant Vogtle Units 3 And 4 | Category III | Minimum
Public Utilities, General Disclosures [Line Items]
Additional construction capital costs, threshold							$ 1,600,000
Plant Vogtle Units 3 And 4 | Category III | Maximum
Public Utilities, General Disclosures [Line Items]
Additional construction capital costs, threshold							$ 2,100,000

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Regulatory Matters - GPC Nuclear Construction Regulatory Matters (Details) - Plant Vogtle Units 3 And 4 - GEORGIA POWER CO $ in Millions						6 Months Ended		9 Months Ended	12 Months Ended
	Jan. 01, 2022 USD ($)	Jan. 01, 2021	Jan. 01, 2020	Jan. 11, 2018 USD ($)	Jan. 01, 2016	Jun. 30, 2022 USD ($)	Jun. 30, 2021 USD ($) report	Sep. 30, 2022 USD ($)	Dec. 31, 2023 USD ($)	Dec. 31, 2022 USD ($)	Dec. 31, 2021 USD ($)	Dec. 31, 2009 USD ($)	Jun. 30, 2018 USD ($)	Dec. 31, 2013
Public Utilities, General Disclosures [Line Items]
Estimated in-service capital cost												$ 4,418
Financing costs collected, net of tax								$ 2,800
Requested decrease in tariff	$ 78
Additional construction capital costs				$ 3,300
Payments for contractor settlement agreement				300
Amendment to estimated in-service capital cost				$ 5,680
Retail rate of return on common equity														10.95%
Public utilities, approved return on equity percentage		5.30%	8.30%		10.00%
Public utilities, approved return on equity, monthly percentage decrease								0.10%
Return on equity reduction, negative impact on earnings											$ 270
Increase to base capital cost forecast not seeking recovery													$ 700
Twenty Fourth Vogtle Construction Monitoring Report
Public Utilities, General Disclosures [Line Items]
Cost settlement agreement revised forecast, net of payments							$ 7,300	$ 7,300
Twenty Fifth Vogtle Construction Monitoring Report
Public Utilities, General Disclosures [Line Items]
Number of approved construction management reports | report							25
Requested capital construction costs							$ 7,900
Guarantor obligations							1,700
Customer refund							$ 188
Twenty Sixth Vogtle Construction Monitoring Report
Public Utilities, General Disclosures [Line Items]
Requested capital construction costs											$ 584
Twenty Seventh Vogtle Construction Monitoring Report
Public Utilities, General Disclosures [Line Items]
Cost settlement agreement revised forecast, net of payments						$ 10,500
Requested capital construction costs						$ 522
Scenario, Forecast
Public Utilities, General Disclosures [Line Items]
Return on equity reduction, negative impact on earnings									$ 250	$ 300

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Regulatory Matters - MPC (Details) - MISSISSIPPI POWER CO $ in Millions	Jul. 15, 2022 USD ($)	Jun. 07, 2022 USD ($)	Sep. 30, 2022 MW	Aug. 26, 2022
Performance Evaluation Plan
Loss Contingencies [Line Items]
Approved rate increase (decrease)		$ 18
Approved rate increase, percentage		1.90%
Ad Valorem Tax Adjustment
Loss Contingencies [Line Items]
Approved rate increase (decrease)		$ 5
Municipal and Rural Associations Tariff
Loss Contingencies [Line Items]
Requested rate increase (decrease) amount	$ 23
Cooperative Energy
Loss Contingencies [Line Items]
Counterparty's option to decrease services, percentage				2.50%
Power being supplied to counterparty | MW			400
Counterparty's electricity requirement at MRA delivery points				100.00%

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Regulatory Matters - GAS Schedule of Infrastructure Replacement Programs and Capital Projects (Details) - SOUTHERN Co GAS $ in Millions	9 Months Ended
	Sep. 30, 2022 USD ($)
Public Utilities, General Disclosures [Line Items]
Capital expenditures	$ 416
Investing in Illinois
Public Utilities, General Disclosures [Line Items]
Capital expenditures	311
SAVE
Public Utilities, General Disclosures [Line Items]
Capital expenditures	52
System Reinforcement Rider
Public Utilities, General Disclosures [Line Items]
Capital expenditures	51
Pipeline Replacement Program
Public Utilities, General Disclosures [Line Items]
Capital expenditures	$ 2

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Regulatory Matters - GAS Atlanta Gas Light (Details) $ in Millions	Jul. 01, 2022 USD ($)
SOUTHERN Co GAS
Public Utilities, General Disclosures [Line Items]
Requested rate increase (decrease) amount	$ 53

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Regulatory Matters - GAS Virginia Natural Gas (Details) - Virginia Natural Gas $ in Millions	Aug. 01, 2022 USD ($)
Public Utilities, General Disclosures [Line Items]
Requested rate increase (decrease) amount	$ 69
Public utilities, requested rate increase amount recovery of investments	$ 15
Public utilities, approved return on equity percentage	10.35%
Public utilities, approved equity capital structure percentage	53.20%

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Contingencies - General Litigation Matters (Details) $ in Millions			1 Months Ended		12 Months Ended
	Jun. 09, 2022 USD ($)	Feb. 07, 2022 claim	Oct. 31, 2021 claim	Mar. 31, 2019 plaintiff	Dec. 31, 2018 USD ($) plaintiff defendant	Mar. 09, 2022 claim	Dec. 31, 2017 claim
Pending Litigation | Shareholder Derivative Lawsuits
Loss Contingencies [Line Items]
Pending number of claims							2
Settled Litigation | Shareholder Derivative Lawsuits
Loss Contingencies [Line Items]
Settlement expense | $	$ 4.5
GEORGIA POWER CO | Pending Litigation | Class Action Lawsuit
Loss Contingencies [Line Items]
Pending number of claims						4
Complaints filed		4	3
MISSISSIPPI POWER CO | Pending Litigation | Purported Violations of Mississippi Consumer Protection Act
Loss Contingencies [Line Items]
Number of plaintiffs | plaintiff					10
Number of defendants | defendant					3
Number of additional plaintiffs | plaintiff				4
Underpayment of refunds | $					$ 23.5

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Contingencies - Environmental Remediation (Details) - USD ($) $ in Millions	Sep. 30, 2022	Dec. 31, 2021
GEORGIA POWER CO
Loss Contingencies [Line Items]
Environmental remediation liability, current and former sites	$ 16	$ 17
SOUTHERN Co GAS
Loss Contingencies [Line Items]
Environmental remediation liability, current and former sites	$ 270	$ 249

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Contingencies - Other Matters (Details)			12 Months Ended	60 Months Ended
	Aug. 31, 2022 USD ($)	Jul. 12, 2022 USD ($) claim	Dec. 31, 2019 USD ($)	Jan. 15, 2024 USD ($)
MISSISSIPPI POWER CO
Loss Contingencies [Line Items]
Estimate of possible loss	$ 28,000,000
Plant Daniel Unit, Primary | MISSISSIPPI POWER CO
Loss Contingencies [Line Items]
Plant units | claim		1
Plant Daniel Units 1 And 2 | GULF POWER CO
Loss Contingencies [Line Items]
Percent ownership in individual unit		100.00%
Plant Daniel Units 1 And 2 | MISSISSIPPI POWER CO
Loss Contingencies [Line Items]
Plant units | claim		2
Scenario, Forecast | Plant Daniel Units 1 And 2 | MISSISSIPPI POWER CO
Loss Contingencies [Line Items]
Payments to acquire businesses				$ 1
Business combination, option to purchase, period				120 days
Disposal Group, Disposed of by Sale | GULF POWER CO
Loss Contingencies [Line Items]
Proceeds from divestiture of businesses, amount held back		$ 75,000,000	$ 75,000,000

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Revenue from Contracts with Customers and Lease Income - Schedule of Disaggregation of Revenue (Details) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2022	Sep. 30, 2021
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	$ 7,116	$ 5,732	$ 19,599	$ 18,066
Total operating revenues	8,378	6,238	22,232	17,346
Retail electric revenues
Disaggregation of Revenue [Line Items]
Total operating revenues	5,961	4,551	14,363	11,492
Retail electric revenues
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	4,951	4,332	12,477	11,006
Residential
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	2,104	1,974	5,282	4,910
Commercial
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	1,637	1,432	4,202	3,727
Industrial
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	1,183	902	2,914	2,299
Other
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	27	24	79	70
Natural Gas
Disaggregation of Revenue [Line Items]
Total operating revenues	857	623	3,998	2,994
Natural gas distribution revenues
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	744	549	3,490	2,432
Residential
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	331	218	1,821	1,143
Commercial
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	93	55	493	298
Transportation
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	259	239	872	775
Industrial
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	12	6	60	29
Other
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	49	31	244	187
Other natural gas revenues
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	99	56	458	2,498
Wholesale gas services
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers				2,168
Gas marketing services
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	84	45	417	303
Other natural gas revenues
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	15	11	41	27
Other revenue sources
Disaggregation of Revenue [Line Items]
Other revenues	1,262	506	2,633	2,979
Other adjustments
Disaggregation of Revenue [Line Items]
Other revenues				(3,699)
Wholesale Electric
Disaggregation of Revenue [Line Items]
Total operating revenues	1,197	731	2,798	1,822
Wholesale electric revenues
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	1,045	547	2,364	1,338
PPA energy revenues
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	812	359	1,739	782
PPA capacity revenues
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	175	125	443	375
Non-PPA revenues
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	58	63	182	181
Other revenues
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	277	248	810	792
ALABAMA POWER CO
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	2,128	1,801	5,315	4,708
Total operating revenues	2,444	1,904	6,023	5,019
ALABAMA POWER CO | Retail electric revenues
Disaggregation of Revenue [Line Items]
Total operating revenues	2,008	1,651	5,015	4,357
ALABAMA POWER CO | Retail electric revenues
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	1,753	1,619	4,487	4,221
ALABAMA POWER CO | Residential
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	799	750	2,049	1,931
ALABAMA POWER CO | Commercial
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	499	471	1,285	1,229
ALABAMA POWER CO | Industrial
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	452	394	1,143	1,048
ALABAMA POWER CO | Other
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	3	4	10	13
ALABAMA POWER CO | Natural gas distribution revenues
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	0	0	0	0
ALABAMA POWER CO | Residential
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	0	0	0	0
ALABAMA POWER CO | Commercial
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	0	0	0	0
ALABAMA POWER CO | Transportation
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	0	0	0	0
ALABAMA POWER CO | Industrial
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	0	0	0	0
ALABAMA POWER CO | Other
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	0	0	0	0
ALABAMA POWER CO | Other natural gas revenues
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	0	0	0	0
ALABAMA POWER CO | Wholesale gas services
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers				0
ALABAMA POWER CO | Gas marketing services
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	0	0	0	0
ALABAMA POWER CO | Other natural gas revenues
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	0	0	0	0
ALABAMA POWER CO | Other revenue sources
Disaggregation of Revenue [Line Items]
Other revenues	316	103	708	311
ALABAMA POWER CO | Other adjustments
Disaggregation of Revenue [Line Items]
Other revenues				0
ALABAMA POWER CO | Wholesale electric revenues
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	310	129	655	337
ALABAMA POWER CO | PPA energy revenues
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	187	61	354	143
ALABAMA POWER CO | PPA capacity revenues
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	56	14	135	86
ALABAMA POWER CO | Non-PPA revenues
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	67	54	166	108
ALABAMA POWER CO | Other revenues
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	65	53	173	150
GEORGIA POWER CO
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	3,093	2,636	7,767	6,631
Total operating revenues	3,889	2,856	9,218	7,050
GEORGIA POWER CO | Retail electric revenues
Disaggregation of Revenue [Line Items]
Total operating revenues	3,703	2,652	8,629	6,465
GEORGIA POWER CO | Retail electric revenues
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	2,927	2,466	7,274	6,143
GEORGIA POWER CO | Residential
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	1,212	1,138	2,995	2,765
GEORGIA POWER CO | Commercial
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	1,051	882	2,688	2,293
GEORGIA POWER CO | Industrial
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	642	428	1,529	1,034
GEORGIA POWER CO | Other
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	22	18	62	51
GEORGIA POWER CO | Natural gas distribution revenues
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	0	0	0	0
GEORGIA POWER CO | Residential
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	0	0	0	0
GEORGIA POWER CO | Commercial
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	0	0	0	0
GEORGIA POWER CO | Transportation
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	0	0	0	0
GEORGIA POWER CO | Industrial
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	0	0	0	0
GEORGIA POWER CO | Other
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	0	0	0	0
GEORGIA POWER CO | Other natural gas revenues
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	0	0	0	0
GEORGIA POWER CO | Wholesale gas services
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers				0
GEORGIA POWER CO | Gas marketing services
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	0	0	0	0
GEORGIA POWER CO | Other natural gas revenues
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	0	0	0	0
GEORGIA POWER CO | Other revenue sources
Disaggregation of Revenue [Line Items]
Other revenues	796	220	1,451	419
GEORGIA POWER CO | Other adjustments
Disaggregation of Revenue [Line Items]
Other revenues				0
GEORGIA POWER CO | Wholesale Electric
Disaggregation of Revenue [Line Items]
Total operating revenues	56	63	186	143
GEORGIA POWER CO | Wholesale electric revenues
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	56	58	166	126
GEORGIA POWER CO | PPA energy revenues
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	40	41	112	71
GEORGIA POWER CO | PPA capacity revenues
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	12	14	35	41
GEORGIA POWER CO | Non-PPA revenues
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	4	3	19	14
GEORGIA POWER CO | Other revenues
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	110	112	327	362
MISSISSIPPI POWER CO
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	531	378	1,276	960
Total operating revenues	510	378	1,279	988
MISSISSIPPI POWER CO | Retail electric revenues
Disaggregation of Revenue [Line Items]
Total operating revenues	250	248	718	670
MISSISSIPPI POWER CO | Retail electric revenues
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	271	247	716	642
MISSISSIPPI POWER CO | Residential
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	93	86	238	214
MISSISSIPPI POWER CO | Commercial
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	87	79	229	205
MISSISSIPPI POWER CO | Industrial
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	89	80	242	217
MISSISSIPPI POWER CO | Other
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	2	2	7	6
MISSISSIPPI POWER CO | Natural gas distribution revenues
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	0	0	0	0
MISSISSIPPI POWER CO | Residential
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	0	0	0	0
MISSISSIPPI POWER CO | Commercial
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	0	0	0	0
MISSISSIPPI POWER CO | Transportation
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	0	0	0	0
MISSISSIPPI POWER CO | Industrial
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	0	0	0	0
MISSISSIPPI POWER CO | Other
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	0	0	0	0
MISSISSIPPI POWER CO | Other natural gas revenues
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	0	0	0	0
MISSISSIPPI POWER CO | Wholesale gas services
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers				0
MISSISSIPPI POWER CO | Gas marketing services
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	0	0	0	0
MISSISSIPPI POWER CO | Other natural gas revenues
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	0	0	0	0
MISSISSIPPI POWER CO | Other revenue sources
Disaggregation of Revenue [Line Items]
Other revenues	(21)	0	3	28
MISSISSIPPI POWER CO | Other adjustments
Disaggregation of Revenue [Line Items]
Other revenues				0
MISSISSIPPI POWER CO | Wholesale electric revenues
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	247	123	526	296
MISSISSIPPI POWER CO | PPA energy revenues
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	4	2	11	9
MISSISSIPPI POWER CO | PPA capacity revenues
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	1	1	4	4
MISSISSIPPI POWER CO | Non-PPA revenues
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	242	120	511	283
MISSISSIPPI POWER CO | Other revenues
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	13	8	34	22
SOUTHERN POWER CO
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	1,010	501	2,157	1,113
Total operating revenues	1,180	679	2,618	1,610
SOUTHERN POWER CO | Retail electric revenues
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	0	0	0	0
SOUTHERN POWER CO | Residential
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	0	0	0	0
SOUTHERN POWER CO | Commercial
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	0	0	0	0
SOUTHERN POWER CO | Industrial
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	0	0	0	0
SOUTHERN POWER CO | Other
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	0	0	0	0
SOUTHERN POWER CO | Natural gas distribution revenues
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	0	0	0	0
SOUTHERN POWER CO | Residential
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	0	0	0	0
SOUTHERN POWER CO | Commercial
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	0	0	0	0
SOUTHERN POWER CO | Transportation
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	0	0	0	0
SOUTHERN POWER CO | Industrial
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	0	0	0	0
SOUTHERN POWER CO | Other
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	0	0	0	0
SOUTHERN POWER CO | Other natural gas revenues
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	0	0	0	0
SOUTHERN POWER CO | Wholesale gas services
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers				0
SOUTHERN POWER CO | Gas marketing services
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	0	0	0	0
SOUTHERN POWER CO | Other natural gas revenues
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	0	0	0	0
SOUTHERN POWER CO | Other revenue sources
Disaggregation of Revenue [Line Items]
Other revenues	170	178	461	497
SOUTHERN POWER CO | Other adjustments
Disaggregation of Revenue [Line Items]
Other revenues				0
SOUTHERN POWER CO | Wholesale electric revenues
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	1,001	492	2,130	1,095
SOUTHERN POWER CO | PPA energy revenues
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	591	261	1,285	575
SOUTHERN POWER CO | PPA capacity revenues
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	107	97	273	247
SOUTHERN POWER CO | Non-PPA revenues
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	303	134	572	273
SOUTHERN POWER CO | Other revenues
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	9	9	27	18
SOUTHERN Co GAS
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	843	605	3,948	4,930
Total operating revenues	857	623	3,998	2,994
SOUTHERN Co GAS | Retail electric revenues
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	0	0	0	0
SOUTHERN Co GAS | Residential
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	0	0	0	0
SOUTHERN Co GAS | Commercial
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	0	0	0	0
SOUTHERN Co GAS | Industrial
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	0	0	0	0
SOUTHERN Co GAS | Other
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	0	0	0	0
SOUTHERN Co GAS | Natural gas distribution revenues
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	744	549	3,490	2,432
SOUTHERN Co GAS | Residential
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	331	218	1,821	1,143
SOUTHERN Co GAS | Commercial
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	93	55	493	298
SOUTHERN Co GAS | Transportation
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	259	239	872	775
SOUTHERN Co GAS | Industrial
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	12	6	60	29
SOUTHERN Co GAS | Other
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	49	31	244	187
SOUTHERN Co GAS | Other natural gas revenues
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	99	56	458	2,498
SOUTHERN Co GAS | Wholesale gas services
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers				2,168
SOUTHERN Co GAS | Gas marketing services
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	84	45	417	303
SOUTHERN Co GAS | Other natural gas revenues
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	15	11	41	27
SOUTHERN Co GAS | Other revenue sources
Disaggregation of Revenue [Line Items]
Other revenues	14	18	50	1,763
SOUTHERN Co GAS | Other adjustments
Disaggregation of Revenue [Line Items]
Other revenues				(3,699)
SOUTHERN Co GAS | Wholesale electric revenues
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	0	0	0	0
SOUTHERN Co GAS | PPA energy revenues
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	0	0	0	0
SOUTHERN Co GAS | PPA capacity revenues
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	0	0	0	0
SOUTHERN Co GAS | Non-PPA revenues
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	0	0	0	0
SOUTHERN Co GAS | Other revenues
Disaggregation of Revenue [Line Items]
Total revenue from contracts with customers	$ 0	$ 0	$ 0	$ 0

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Revenue from Contracts with Customers and Lease Income - Schedule of Contract Balances (Details) - USD ($) $ in Millions	Sep. 30, 2022	Dec. 31, 2021
Disaggregation of Revenue [Line Items]
Accounts Receivable	$ 2,760	$ 2,504
Contract Assets	178	117
Contract Liabilities	56	57
ALABAMA POWER CO
Disaggregation of Revenue [Line Items]
Accounts Receivable	800	589
Contract Assets	5	2
Contract Liabilities	5	4
GEORGIA POWER CO
Disaggregation of Revenue [Line Items]
Accounts Receivable	1,035	736
Contract Assets	114	63
Contract Liabilities	6	14
MISSISSIPPI POWER CO
Disaggregation of Revenue [Line Items]
Accounts Receivable	98	73
Contract Assets	0	0
Contract Liabilities	7	0
SOUTHERN POWER CO
Disaggregation of Revenue [Line Items]
Accounts Receivable	264	149
Contract Assets	0	1
Contract Liabilities	2	1
SOUTHERN Co GAS
Disaggregation of Revenue [Line Items]
Accounts Receivable	433	753
Contract Assets	0	0
Contract Liabilities	$ 0	$ 0

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Revenue from Contracts with Customers and Lease Income - Narrative (Details) - USD ($) $ in Millions	3 Months Ended	9 Months Ended
	Sep. 30, 2022	Sep. 30, 2022	Dec. 31, 2021
Disaggregation of Revenue [Line Items]
Contract assets	$ 178	$ 178	$ 117
Contract liabilities	56	56	57
Revenue from contracts with customers recognized	13	32
Unregulated Distributed Generation
Disaggregation of Revenue [Line Items]
Contract assets	59	59	50
Contract liabilities	$ 37	$ 37	$ 39

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Revenue from Contracts with Customers and Lease Income - Schedule of Remaining Performance Obligations (Details) $ in Millions	Sep. 30, 2022 USD ($)
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2022-10-01
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Revenue, remaining performance obligation	$ 243
Performance obligation, expected timing of satisfaction	3 months
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2023-01-01
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Revenue, remaining performance obligation	$ 619
Performance obligation, expected timing of satisfaction	1 year
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2024-01-01
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Revenue, remaining performance obligation	$ 434
Performance obligation, expected timing of satisfaction	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]
Revenue, remaining performance obligation	$ 322
Performance obligation, expected timing of satisfaction	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]
Revenue, remaining performance obligation	$ 307
Performance obligation, expected timing of satisfaction	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]
Revenue, remaining performance obligation	$ 2,340
Performance obligation, expected timing of satisfaction
ALABAMA POWER CO | Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2022-10-01
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Revenue, remaining performance obligation	$ 8
Performance obligation, expected timing of satisfaction	3 months
ALABAMA POWER CO | Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2023-01-01
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Revenue, remaining performance obligation	$ 24
Performance obligation, expected timing of satisfaction	1 year
ALABAMA POWER CO | Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2024-01-01
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Revenue, remaining performance obligation	$ 7
Performance obligation, expected timing of satisfaction	1 year
ALABAMA POWER CO | Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2025-01-01
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Revenue, remaining performance obligation	$ 5
Performance obligation, expected timing of satisfaction	1 year
ALABAMA POWER CO | Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2026-01-01
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Revenue, remaining performance obligation	$ 0
Performance obligation, expected timing of satisfaction	1 year
ALABAMA POWER CO | Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2027-01-01
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Revenue, remaining performance obligation	$ 0
Performance obligation, expected timing of satisfaction
GEORGIA POWER CO | Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2022-10-01
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Revenue, remaining performance obligation	$ 20
Performance obligation, expected timing of satisfaction	3 months
GEORGIA POWER CO | Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2023-01-01
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Revenue, remaining performance obligation	$ 70
Performance obligation, expected timing of satisfaction	1 year
GEORGIA POWER CO | Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2024-01-01
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Revenue, remaining performance obligation	$ 34
Performance obligation, expected timing of satisfaction	1 year
GEORGIA POWER CO | Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2025-01-01
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Revenue, remaining performance obligation	$ 22
Performance obligation, expected timing of satisfaction	1 year
GEORGIA POWER CO | Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2026-01-01
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Revenue, remaining performance obligation	$ 11
Performance obligation, expected timing of satisfaction	1 year
GEORGIA POWER CO | Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2027-01-01
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Revenue, remaining performance obligation	$ 21
Performance obligation, expected timing of satisfaction
SOUTHERN POWER CO | Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2022-10-01
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Revenue, remaining performance obligation	$ 80
Performance obligation, expected timing of satisfaction	3 months
SOUTHERN POWER CO | Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2023-01-01
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Revenue, remaining performance obligation	$ 341
Performance obligation, expected timing of satisfaction	1 year
SOUTHERN POWER CO | Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2024-01-01
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Revenue, remaining performance obligation	$ 344
Performance obligation, expected timing of satisfaction	1 year
SOUTHERN POWER CO | Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2025-01-01
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Revenue, remaining performance obligation	$ 294
Performance obligation, expected timing of satisfaction	1 year
SOUTHERN POWER CO | Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2026-01-01
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Revenue, remaining performance obligation	$ 299
Performance obligation, expected timing of satisfaction	1 year
SOUTHERN POWER CO | Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2027-01-01
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Revenue, remaining performance obligation	$ 2,334
Performance obligation, expected timing of satisfaction
SOUTHERN Co GAS | Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2022-10-01
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Revenue, remaining performance obligation	$ 12
Performance obligation, expected timing of satisfaction	3 months
SOUTHERN Co GAS | Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2023-01-01
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Revenue, remaining performance obligation	$ 29
Performance obligation, expected timing of satisfaction	1 year
SOUTHERN Co GAS | Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2024-01-01
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Revenue, remaining performance obligation	$ 29
Performance obligation, expected timing of satisfaction	1 year
SOUTHERN Co GAS | Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2025-01-01
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Revenue, remaining performance obligation	$ 0
Performance obligation, expected timing of satisfaction	1 year
SOUTHERN Co GAS | Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2026-01-01
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Revenue, remaining performance obligation	$ 0
Performance obligation, expected timing of satisfaction	1 year
SOUTHERN Co GAS | Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2027-01-01
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Revenue, remaining performance obligation	$ 0
Performance obligation, expected timing of satisfaction

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Revenue from Contracts with Customers and Lease Income - Schedule of Lease Income (Details) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2022	Sep. 30, 2021
Lessor, Lease, Description [Line Items]
Lease income - interest income on sales-type leases	$ 7	$ 4	$ 19	$ 11
Lease income - operating leases	50	56	149	168
Variable lease income	139	143	355	355
Total lease income	196	203	523	534
ALABAMA POWER CO
Lessor, Lease, Description [Line Items]
Lease income - interest income on sales-type leases	0	0	0	0
Lease income - operating leases	19	21	58	62
Variable lease income	0	0	1	0
Total lease income	19	21	59	62
GEORGIA POWER CO
Lessor, Lease, Description [Line Items]
Lease income - interest income on sales-type leases	0	0	0	0
Lease income - operating leases	8	11	24	31
Variable lease income	0	0	0	0
Total lease income	8	11	24	31
MISSISSIPPI POWER CO
Lessor, Lease, Description [Line Items]
Lease income - interest income on sales-type leases	4	4	11	10
Lease income - operating leases	1	0	1	1
Variable lease income	0	0	0	0
Total lease income	5	4	12	11
SOUTHERN POWER CO
Lessor, Lease, Description [Line Items]
Lease income - interest income on sales-type leases	3	0	8	0
Lease income - operating leases	21	21	64	64
Variable lease income	145	151	372	379
Total lease income	169	172	444	443
SOUTHERN Co GAS
Lessor, Lease, Description [Line Items]
Lease income - interest income on sales-type leases	0	0	0	0
Lease income - operating leases	9	9	27	26
Variable lease income	0	0	0	0
Total lease income	$ 9	$ 9	$ 27	$ 26

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Consolidated Entities and Equity Method Investments - Narrative (Details) $ in Millions	9 Months Ended
	Sep. 30, 2022 USD ($) investor	Dec. 31, 2021 USD ($)
Schedule of Equity Method Investments [Line Items]
Assets	$ 134,005	$ 127,534
Liabilities	98,287	94,967
Equity investments in unconsolidated subsidiaries	1,292	1,282
SOUTHERN POWER CO
Schedule of Equity Method Investments [Line Items]
Assets	13,283	13,390
Liabilities	6,403	6,792
Equity investments in unconsolidated subsidiaries	49	86
Proceeds from sale of equity method investments	$ 38
SP Solar Holdings I, LP | SOUTHERN POWER CO
Schedule of Equity Method Investments [Line Items]
Distribution made to limited partner, cash distributions paid, percentage	67.00%
SP Solar Holdings I, LP | Global Atlantic
Schedule of Equity Method Investments [Line Items]
Distribution made to limited partner, cash distributions paid, percentage	33.00%
Variable Interest Entity, Primary Beneficiary | SP Solar Holdings I, LP | SOUTHERN POWER CO
Schedule of Equity Method Investments [Line Items]
Assets	$ 6,000	6,100
Liabilities	400	400
Noncontrolling interests related to other partners' interests	1,100	1,100
Variable Interest Entity, Primary Beneficiary | SP Wind | SOUTHERN POWER CO
Schedule of Equity Method Investments [Line Items]
Assets	2,300	2,300
Liabilities	191	130
Noncontrolling interests related to other partners' interests	$ 40	41
Distribution made to limited partner, cash distributions paid, percentage	60.00%
Number of financial investors | investor	3
Variable Interest Entity, Primary Beneficiary | SP Wind | Financial Investors
Schedule of Equity Method Investments [Line Items]
Distribution made to limited partner, cash distributions paid, percentage	40.00%
Variable Interest Entity, Primary Beneficiary | Other Variable Interest Entities | SOUTHERN POWER CO
Schedule of Equity Method Investments [Line Items]
Assets	$ 1,900	1,900
Liabilities	200	300
Noncontrolling interests related to other partners' interests	$ 800	$ 900

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Consolidated Entities and Equity Method Investments - Schedule of Equity Method Investments (Details) - USD ($) $ in Millions	9 Months Ended
	Sep. 30, 2022	Dec. 31, 2021
Schedule of Equity Method Investments [Line Items]
Investment Balance	$ 1,292	$ 1,282
SOUTHERN Co GAS
Schedule of Equity Method Investments [Line Items]
Investment Balance	1,125	1,173
SOUTHERN Co GAS | SNG
Schedule of Equity Method Investments [Line Items]
Investment Balance	1,091	1,129
SOUTHERN Co GAS | Other
Schedule of Equity Method Investments [Line Items]
Investment Balance	34	$ 44
SOUTHERN Co GAS | PennEast Pipeline
Schedule of Equity Method Investments [Line Items]
Distribution	$ 11

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Consolidated Entities and Equity Method Investments - Schedule of Earnings (Loss) from Equity Method Investments (Details) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2022	Sep. 30, 2021
Schedule of Equity Method Investments [Line Items]
Earnings (Loss) from Equity Method Investments	$ 28	$ 30	$ 109	$ 35
SOUTHERN Co GAS
Schedule of Equity Method Investments [Line Items]
Earnings (Loss) from Equity Method Investments	34	25	105	14
Impairment of PennEast Pipeline investment			0	84
SOUTHERN Co GAS | SNG
Schedule of Equity Method Investments [Line Items]
Earnings (Loss) from Equity Method Investments	34	27	104	93
SOUTHERN Co GAS | PennEast Pipeline
Schedule of Equity Method Investments [Line Items]
Earnings (Loss) from Equity Method Investments	0	(2)	0	(81)
Impairment of PennEast Pipeline investment		84		84
Asset impairment charges, net of tax		67		67
SOUTHERN Co GAS | Other
Schedule of Equity Method Investments [Line Items]
Earnings (Loss) from Equity Method Investments	$ 0	$ 0	$ 1	$ 2

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Financing and Leases - Schedule of Credit Arrangements (Details)	9 Months Ended
	Sep. 30, 2022 USD ($) letter_of_credit
Line of Credit Facility [Line Items]
Expires, 2023	$ 280,000,000
Expires, 2024	700,000,000
Expires, 2025	125,000,000
Expires, 2026	6,550,000,000
Total	7,655,000,000
Unused	7,596,000,000
Expires within One Year	280,000,000
Southern Company parent
Line of Credit Facility [Line Items]
Expires, 2023	0
Expires, 2024	0
Expires, 2025	0
Expires, 2026	2,000,000,000
Total	2,000,000,000
Unused	1,998,000,000
Expires within One Year	0
ALABAMA POWER CO
Line of Credit Facility [Line Items]
Expires, 2023	0
Expires, 2024	550,000,000
Expires, 2025	0
Expires, 2026	700,000,000
Total	1,250,000,000
Unused	1,250,000,000
Expires within One Year	0
GEORGIA POWER CO
Line of Credit Facility [Line Items]
Expires, 2023	0
Expires, 2024	0
Expires, 2025	0
Expires, 2026	1,750,000,000
Total	1,750,000,000
Unused	1,726,000,000
Expires within One Year	0
MISSISSIPPI POWER CO
Line of Credit Facility [Line Items]
Expires, 2023	0
Expires, 2024	150,000,000
Expires, 2025	125,000,000
Expires, 2026	0
Total	275,000,000
Unused	275,000,000
Expires within One Year	0
SOUTHERN POWER CO
Line of Credit Facility [Line Items]
Expires, 2023	0
Expires, 2024	0
Expires, 2025	0
Expires, 2026	600,000,000
Total	600,000,000
Unused	569,000,000
Expires within One Year	$ 0
Letter of credits not included | letter_of_credit	2
SOUTHERN POWER CO | Continuing Letter of Credit Facility A
Line of Credit Facility [Line Items]
Expires, 2023	$ 75,000,000
Expires, 2025	75,000,000
Unused	11,000,000
SOUTHERN POWER CO | Continuing Letter of Credit Facility B
Line of Credit Facility [Line Items]
Unused	5,000,000
SOUTHERN Co GAS
Line of Credit Facility [Line Items]
Expires, 2023	250,000,000
Expires, 2024	0
Expires, 2025	0
Expires, 2026	1,500,000,000
Total	1,750,000,000
Unused	1,748,000,000
Expires within One Year	250,000,000
SEGCO
Line of Credit Facility [Line Items]
Expires, 2023	30,000,000
Expires, 2024	0
Expires, 2025	0
Expires, 2026	0
Total	30,000,000
Unused	30,000,000
Expires within One Year	30,000,000
Southern Company Gas Capital
Line of Credit Facility [Line Items]
Expires, 2026	800,000,000
Nicor Gas
Line of Credit Facility [Line Items]
Expires, 2026	$ 700,000,000

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Financing and Leases - Narrative (Details) - USD ($)	Sep. 30, 2022	Mar. 31, 2022
Debt Instrument [Line Items]
Line of credit facility, maximum borrowing capacity	$ 7,655,000,000
Variable rate pollution control revenue bonds outstanding	1,400,000,000
MISSISSIPPI POWER CO
Debt Instrument [Line Items]
Line of credit facility, maximum borrowing capacity	275,000,000
Variable rate pollution control revenue bonds outstanding	34,000,000
MISSISSIPPI POWER CO | Line of Credit | Revolving Credit Facility
Debt Instrument [Line Items]
Line of credit facility, maximum borrowing capacity		$ 125,000,000
ALABAMA POWER CO
Debt Instrument [Line Items]
Line of credit facility, maximum borrowing capacity	1,250,000,000
Variable rate pollution control revenue bonds outstanding	789,000,000
GEORGIA POWER CO
Debt Instrument [Line Items]
Line of credit facility, maximum borrowing capacity	1,750,000,000
Variable rate pollution control revenue bonds outstanding	619,000,000
Fixed rate pollution control revenue bonds outstanding	$ 288,000,000

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Financing and Leases - Equity Units (Details) - USD ($) $ in Thousands		9 Months Ended
	Aug. 01, 2022	Sep. 30, 2022	Sep. 30, 2021	May 31, 2022
Debt Instrument [Line Items]
Proceeds from issuance of common stock		$ 1,803,000	$ 62,000
Series 2019A Remarketable Junior Subordinated Notes | Junior Subordinated Debt
Debt Instrument [Line Items]
Remarketed principal amount				$ 862,500
Interest rate				4.475%
Series 2019B Remarketable Junior Subordinated Notes | Junior Subordinated Debt
Debt Instrument [Line Items]
Remarketed principal amount				$ 862,500
Interest rate				5.113%
2019 Series A Equity Units | Junior Subordinated Debt
Debt Instrument [Line Items]
Common stock issued to settle purchase contracts (in shares)	25,200,000
Proceeds from issuance of common stock	$ 1,725,000

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Financing and Leases - Schedule of Shares Used to Compute Diluted Earnings Per Share (Details) - shares shares in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2022	Sep. 30, 2021
Debt Disclosure [Abstract]
As reported shares (in shares)	1,082	1,061	1,070	1,060
Effect of stock-based compensation (in shares)	6	7	6	7
Diluted (in shares)	1,088	1,068	1,076	1,067

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Financing and Leases - Georgia Power Lease Modification (Details) - USD ($) $ in Millions	Sep. 30, 2022	Jul. 31, 2022	Dec. 31, 2021
Lessor, Lease, Description [Line Items]
Operating lease right-of-use assets, net of amortization	$ 1,560		$ 1,701
Revision of Prior Period, Adjustment
Lessor, Lease, Description [Line Items]
Operating lease right-of-use assets, net of amortization		$ (17)
Lease obligations		(18)
Finance lease ROU assets, net		112
Finance lease obligations		$ 113

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Income Taxes - Narrative (Details) - USD ($) $ in Millions	9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Dec. 31, 2021
Income Tax Contingency [Line Items]
Effective tax (benefit) rate	20.00%	17.50%
Unrecognized tax positions	$ 79		$ 47
ITC and PTC carryforwards
Income Tax Contingency [Line Items]
Deferred tax assets	$ 1,000		$ 1,200
GEORGIA POWER CO
Income Tax Contingency [Line Items]
Effective tax (benefit) rate	18.50%	7.30%
MISSISSIPPI POWER CO
Income Tax Contingency [Line Items]
Effective tax (benefit) rate	20.10%	14.30%
SOUTHERN POWER CO
Income Tax Contingency [Line Items]
Effective tax (benefit) rate	18.80%	(1.60%)
SOUTHERN Co GAS
Income Tax Contingency [Line Items]
Effective tax (benefit) rate	23.70%	36.60%
Unrecognized tax positions	$ 32

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Retirement Benefits (Details) - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2022	Sep. 30, 2021
Pension Plans
Defined Benefit Plan Disclosure [Line Items]
Defined benefit plan, expected future employer contributions, remainder of fiscal year	$ 0		$ 0
Pension Plans and Postretirement Plans
Service cost	103,000,000	$ 109,000,000	309,000,000	$ 326,000,000
Interest cost	102,000,000	87,000,000	306,000,000	260,000,000
Expected return on plan assets	(316,000,000)	(298,000,000)	(949,000,000)	(893,000,000)
Amortization:
Prior service costs	0	0	0	0
Regulatory asset	0	0	0	0
Net loss	60,000,000	78,000,000	180,000,000	235,000,000
Net periodic pension cost (income)	(51,000,000)	(24,000,000)	(154,000,000)	(72,000,000)
Pension Plans | ALABAMA POWER CO
Pension Plans and Postretirement Plans
Service cost	25,000,000	26,000,000	74,000,000	77,000,000
Interest cost	24,000,000	20,000,000	72,000,000	61,000,000
Expected return on plan assets	(77,000,000)	(72,000,000)	(229,000,000)	(215,000,000)
Amortization:
Prior service costs	0	0	0	0
Regulatory asset	0	0	0	0
Net loss	16,000,000	21,000,000	47,000,000	62,000,000
Net periodic pension cost (income)	(12,000,000)	(5,000,000)	(36,000,000)	(15,000,000)
Pension Plans | GEORGIA POWER CO
Pension Plans and Postretirement Plans
Service cost	26,000,000	28,000,000	78,000,000	84,000,000
Interest cost	31,000,000	26,000,000	92,000,000	78,000,000
Expected return on plan assets	(99,000,000)	(94,000,000)	(298,000,000)	(282,000,000)
Amortization:
Prior service costs	0	0	1,000,000	1,000,000
Regulatory asset	0	0	0	0
Net loss	18,000,000	25,000,000	55,000,000	75,000,000
Net periodic pension cost (income)	(24,000,000)	(15,000,000)	(72,000,000)	(44,000,000)
Pension Plans | MISSISSIPPI POWER CO
Pension Plans and Postretirement Plans
Service cost	5,000,000	4,000,000	13,000,000	13,000,000
Interest cost	5,000,000	4,000,000	14,000,000	12,000,000
Expected return on plan assets	(15,000,000)	(14,000,000)	(44,000,000)	(41,000,000)
Amortization:
Prior service costs	0	0	0	0
Regulatory asset	0	0	0	0
Net loss	2,000,000	4,000,000	9,000,000	11,000,000
Net periodic pension cost (income)	(3,000,000)	(2,000,000)	(8,000,000)	(5,000,000)
Pension Plans | SOUTHERN POWER CO
Pension Plans and Postretirement Plans
Service cost	2,000,000	2,000,000	7,000,000	7,000,000
Interest cost	2,000,000	2,000,000	5,000,000	4,000,000
Expected return on plan assets	(4,000,000)	(4,000,000)	(12,000,000)	(11,000,000)
Amortization:
Prior service costs	0	0	0	0
Regulatory asset	0	0	0	0
Net loss	1,000,000	1,000,000	2,000,000	3,000,000
Net periodic pension cost (income)	1,000,000	1,000,000	2,000,000	3,000,000
Pension Plans | SOUTHERN Co GAS
Pension Plans and Postretirement Plans
Service cost	9,000,000	10,000,000	26,000,000	28,000,000
Interest cost	7,000,000	6,000,000	21,000,000	18,000,000
Expected return on plan assets	(22,000,000)	(21,000,000)	(68,000,000)	(64,000,000)
Amortization:
Prior service costs	(1,000,000)	(1,000,000)	(2,000,000)	(2,000,000)
Regulatory asset	3,000,000	3,000,000	11,000,000	11,000,000
Net loss	2,000,000	3,000,000	5,000,000	9,000,000
Net periodic pension cost (income)	(2,000,000)	0	(7,000,000)	0
Postretirement Benefits
Pension Plans and Postretirement Plans
Service cost	6,000,000	6,000,000	17,000,000	18,000,000
Interest cost	10,000,000	9,000,000	31,000,000	26,000,000
Expected return on plan assets	(20,000,000)	(19,000,000)	(60,000,000)	(57,000,000)
Amortization:
Prior service costs	(1,000,000)		(1,000,000)	(1,000,000)
Regulatory asset	0	0	0	0
Net loss	1,000,000	1,000,000	1,000,000	3,000,000
Net periodic pension cost (income)	(4,000,000)	(3,000,000)	(12,000,000)	(11,000,000)
Postretirement Benefits | ALABAMA POWER CO
Pension Plans and Postretirement Plans
Service cost	2,000,000	2,000,000	5,000,000	5,000,000
Interest cost	3,000,000	2,000,000	8,000,000	6,000,000
Expected return on plan assets	(9,000,000)	(8,000,000)	(25,000,000)	(22,000,000)
Amortization:
Prior service costs	0		0	0
Regulatory asset	0	0	0	0
Net loss	0	0	0	0
Net periodic pension cost (income)	(4,000,000)	(4,000,000)	(12,000,000)	(11,000,000)
Postretirement Benefits | GEORGIA POWER CO
Pension Plans and Postretirement Plans
Service cost	2,000,000	2,000,000	5,000,000	5,000,000
Interest cost	4,000,000	3,000,000	11,000,000	9,000,000
Expected return on plan assets	(8,000,000)	(7,000,000)	(21,000,000)	(20,000,000)
Amortization:
Prior service costs	0		0	0
Regulatory asset	0	0	0	0
Net loss	0	1,000,000	1,000,000	2,000,000
Net periodic pension cost (income)	(2,000,000)	(1,000,000)	(4,000,000)	(4,000,000)
Postretirement Benefits | MISSISSIPPI POWER CO
Pension Plans and Postretirement Plans
Service cost	1,000,000	1,000,000	1,000,000	1,000,000
Interest cost	0	0	1,000,000	1,000,000
Expected return on plan assets	0	(1,000,000)	(1,000,000)	(2,000,000)
Amortization:
Prior service costs	0		0	0
Regulatory asset	0	0	0	0
Net loss	0	0	0	0
Net periodic pension cost (income)	1,000,000	0	1,000,000	0
Postretirement Benefits | SOUTHERN POWER CO
Pension Plans and Postretirement Plans
Service cost	1,000,000	1,000,000	1,000,000	1,000,000
Interest cost	0	0	0	0
Expected return on plan assets	0	0	0	0
Amortization:
Prior service costs	0		0	0
Regulatory asset	0	0	0	0
Net loss	0	0	0	0
Net periodic pension cost (income)	1,000,000	1,000,000	1,000,000	1,000,000
Postretirement Benefits | SOUTHERN Co GAS
Pension Plans and Postretirement Plans
Service cost	0	0	1,000,000	1,000,000
Interest cost	1,000,000	1,000,000	4,000,000	3,000,000
Expected return on plan assets	(2,000,000)	(2,000,000)	(6,000,000)	(6,000,000)
Amortization:
Prior service costs	0		0	0
Regulatory asset	2,000,000	2,000,000	5,000,000	5,000,000
Net loss	(1,000,000)	(1,000,000)	(2,000,000)	(2,000,000)
Net periodic pension cost (income)	$ 0	$ 0	$ 2,000,000	$ 1,000,000

XML

Fair Value Measurements - Schedule of Assets and Liabilities Measured at Fair Value (Details) - USD ($) $ in Millions	Sep. 30, 2022	Dec. 31, 2021
Assets:
Derivatives	$ 391	$ 213
Liabilities:
Derivatives	666	125
Other	13
Collateral already posted, assets, aggregate fair value	15
Quoted Prices in Active Markets for Identical Assets (Level 1)
Liabilities:
Other	0
Significant Other Observable Inputs (Level 2)
Liabilities:
Other	13
Significant Unobservable Inputs (Level 3)
Liabilities:
Other	0
ALABAMA POWER CO
Assets:
Derivatives	116	50
Liabilities:
Derivatives	4	6
GEORGIA POWER CO
Assets:
Derivatives	105	67
Investments in trusts	46
Liabilities:
Derivatives	10	0
MISSISSIPPI POWER CO
Assets:
Derivatives	113	52
Liabilities:
Derivatives	4	1
SOUTHERN POWER CO
Assets:
Derivatives	4	4
Liabilities:
Derivatives	90	16
Other	13
SOUTHERN POWER CO | Quoted Prices in Active Markets for Identical Assets (Level 1)
Liabilities:
Other	0
SOUTHERN POWER CO | Significant Other Observable Inputs (Level 2)
Liabilities:
Other	13
SOUTHERN POWER CO | Significant Unobservable Inputs (Level 3)
Liabilities:
Other	0
SOUTHERN Co GAS
Assets:
Derivatives	53	27
Liabilities:
Derivatives	91	16
Total
Collateral already posted, assets, aggregate fair value	15	$ 3
Fair Value, Measurements, Recurring
Assets:
Cash equivalents	1,420
Other investments	35
Total	4,008
Liabilities:
Contingent consideration	14
Total	822
Fair Value, Measurements, Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1)
Assets:
Cash equivalents	1,402
Other investments	9
Total	2,202
Liabilities:
Contingent consideration	0
Total	20
Fair Value, Measurements, Recurring | Significant Other Observable Inputs (Level 2)
Assets:
Cash equivalents	18
Other investments	26
Total	1,650
Liabilities:
Contingent consideration	0
Total	788
Fair Value, Measurements, Recurring | Significant Unobservable Inputs (Level 3)
Assets:
Cash equivalents	0
Other investments	0
Total	0
Liabilities:
Contingent consideration	14
Total	14
Fair Value, Measurements, Recurring | Net Asset Value as a Practical Expedient (NAV)
Assets:
Total	156
Fair Value, Measurements, Recurring | Energy-related derivatives
Assets:
Derivatives	503
Liabilities:
Derivatives	161
Fair Value, Measurements, Recurring | Energy-related derivatives | Quoted Prices in Active Markets for Identical Assets (Level 1)
Assets:
Derivatives	49
Liabilities:
Derivatives	20
Fair Value, Measurements, Recurring | Energy-related derivatives | Significant Other Observable Inputs (Level 2)
Assets:
Derivatives	454
Liabilities:
Derivatives	141
Fair Value, Measurements, Recurring | Energy-related derivatives | Significant Unobservable Inputs (Level 3)
Assets:
Derivatives	0
Liabilities:
Derivatives	0
Fair Value, Measurements, Recurring | Interest rate derivatives
Liabilities:
Derivatives	311
Fair Value, Measurements, Recurring | Interest rate derivatives | Quoted Prices in Active Markets for Identical Assets (Level 1)
Liabilities:
Derivatives	0
Fair Value, Measurements, Recurring | Interest rate derivatives | Significant Other Observable Inputs (Level 2)
Liabilities:
Derivatives	311
Fair Value, Measurements, Recurring | Interest rate derivatives | Significant Unobservable Inputs (Level 3)
Liabilities:
Derivatives	0
Fair Value, Measurements, Recurring | Domestic equity
Assets:
Investments in trusts	771
Fair Value, Measurements, Recurring | Domestic equity | Quoted Prices in Active Markets for Identical Assets (Level 1)
Assets:
Investments in trusts	610
Fair Value, Measurements, Recurring | Domestic equity | Significant Other Observable Inputs (Level 2)
Assets:
Investments in trusts	161
Fair Value, Measurements, Recurring | Domestic equity | Significant Unobservable Inputs (Level 3)
Assets:
Investments in trusts	0
Fair Value, Measurements, Recurring | Foreign equity
Assets:
Investments in trusts	240
Fair Value, Measurements, Recurring | Foreign equity | Quoted Prices in Active Markets for Identical Assets (Level 1)
Assets:
Investments in trusts	111
Fair Value, Measurements, Recurring | Foreign equity | Significant Other Observable Inputs (Level 2)
Assets:
Investments in trusts	129
Fair Value, Measurements, Recurring | Foreign equity | Significant Unobservable Inputs (Level 3)
Assets:
Investments in trusts	0
Fair Value, Measurements, Recurring | U.S. Treasury and government agency securities
Assets:
Investments in trusts	265
Fair Value, Measurements, Recurring | U.S. Treasury and government agency securities | Quoted Prices in Active Markets for Identical Assets (Level 1)
Assets:
Investments in trusts	0
Fair Value, Measurements, Recurring | U.S. Treasury and government agency securities | Significant Other Observable Inputs (Level 2)
Assets:
Investments in trusts	265
Fair Value, Measurements, Recurring | U.S. Treasury and government agency securities | Significant Unobservable Inputs (Level 3)
Assets:
Investments in trusts	0
Fair Value, Measurements, Recurring | Municipal bonds
Assets:
Investments in trusts	52
Fair Value, Measurements, Recurring | Municipal bonds | Quoted Prices in Active Markets for Identical Assets (Level 1)
Assets:
Investments in trusts	0
Fair Value, Measurements, Recurring | Municipal bonds | Significant Other Observable Inputs (Level 2)
Assets:
Investments in trusts	52
Fair Value, Measurements, Recurring | Municipal bonds | Significant Unobservable Inputs (Level 3)
Assets:
Investments in trusts	0
Fair Value, Measurements, Recurring | Pooled funds – fixed income
Assets:
Investments in trusts	7
Fair Value, Measurements, Recurring | Pooled funds – fixed income | Quoted Prices in Active Markets for Identical Assets (Level 1)
Assets:
Investments in trusts	0
Fair Value, Measurements, Recurring | Pooled funds – fixed income | Significant Other Observable Inputs (Level 2)
Assets:
Investments in trusts	7
Fair Value, Measurements, Recurring | Pooled funds – fixed income | Significant Unobservable Inputs (Level 3)
Assets:
Investments in trusts	0
Fair Value, Measurements, Recurring | Corporate bonds
Assets:
Investments in trusts	438
Fair Value, Measurements, Recurring | Corporate bonds | Quoted Prices in Active Markets for Identical Assets (Level 1)
Assets:
Investments in trusts	0
Fair Value, Measurements, Recurring | Corporate bonds | Significant Other Observable Inputs (Level 2)
Assets:
Investments in trusts	438
Fair Value, Measurements, Recurring | Corporate bonds | Significant Unobservable Inputs (Level 3)
Assets:
Investments in trusts	0
Fair Value, Measurements, Recurring | Mortgage and asset backed securities
Assets:
Investments in trusts	87
Fair Value, Measurements, Recurring | Mortgage and asset backed securities | Quoted Prices in Active Markets for Identical Assets (Level 1)
Assets:
Investments in trusts	0
Fair Value, Measurements, Recurring | Mortgage and asset backed securities | Significant Other Observable Inputs (Level 2)
Assets:
Investments in trusts	87
Fair Value, Measurements, Recurring | Mortgage and asset backed securities | Significant Unobservable Inputs (Level 3)
Assets:
Investments in trusts	0
Fair Value, Measurements, Recurring | Private equity
Assets:
Investments in trusts	156
Fair Value, Measurements, Recurring | Private equity | Quoted Prices in Active Markets for Identical Assets (Level 1)
Assets:
Investments in trusts	0
Fair Value, Measurements, Recurring | Private equity | Significant Other Observable Inputs (Level 2)
Assets:
Investments in trusts	0
Fair Value, Measurements, Recurring | Private equity | Significant Unobservable Inputs (Level 3)
Assets:
Investments in trusts	0
Fair Value, Measurements, Recurring | Private equity | Net Asset Value as a Practical Expedient (NAV)
Assets:
Investments in trusts	156
Fair Value, Measurements, Recurring | Cash and cash equivalents
Assets:
Investments in trusts	4
Fair Value, Measurements, Recurring | Cash and cash equivalents | Quoted Prices in Active Markets for Identical Assets (Level 1)
Assets:
Investments in trusts	4
Fair Value, Measurements, Recurring | Cash and cash equivalents | Significant Other Observable Inputs (Level 2)
Assets:
Investments in trusts	0
Fair Value, Measurements, Recurring | Cash and cash equivalents | Significant Unobservable Inputs (Level 3)
Assets:
Investments in trusts	0
Fair Value, Measurements, Recurring | Other
Assets:
Investments in trusts	30
Fair Value, Measurements, Recurring | Other | Quoted Prices in Active Markets for Identical Assets (Level 1)
Assets:
Investments in trusts	17
Fair Value, Measurements, Recurring | Other | Significant Other Observable Inputs (Level 2)
Assets:
Investments in trusts	13
Fair Value, Measurements, Recurring | Other | Significant Unobservable Inputs (Level 3)
Assets:
Investments in trusts	0
Fair Value, Measurements, Recurring | Foreign currency derivatives
Liabilities:
Derivatives	323
Fair Value, Measurements, Recurring | Foreign currency derivatives | Quoted Prices in Active Markets for Identical Assets (Level 1)
Liabilities:
Derivatives	0
Fair Value, Measurements, Recurring | Foreign currency derivatives | Significant Other Observable Inputs (Level 2)
Liabilities:
Derivatives	323
Fair Value, Measurements, Recurring | Foreign currency derivatives | Significant Unobservable Inputs (Level 3)
Liabilities:
Derivatives	0
Fair Value, Measurements, Recurring | ALABAMA POWER CO
Assets:
Cash equivalents	1,243
Other investments	26
Total	2,482
Fair Value, Measurements, Recurring | ALABAMA POWER CO | Quoted Prices in Active Markets for Identical Assets (Level 1)
Assets:
Cash equivalents	1,225
Other investments	0
Total	1,716
Fair Value, Measurements, Recurring | ALABAMA POWER CO | Significant Other Observable Inputs (Level 2)
Assets:
Cash equivalents	18
Other investments	26
Total	610
Fair Value, Measurements, Recurring | ALABAMA POWER CO | Significant Unobservable Inputs (Level 3)
Assets:
Cash equivalents	0
Other investments	0
Total	0
Fair Value, Measurements, Recurring | ALABAMA POWER CO | Net Asset Value as a Practical Expedient (NAV)
Assets:
Total	156
Fair Value, Measurements, Recurring | ALABAMA POWER CO | Energy-related derivatives
Assets:
Derivatives	147
Liabilities:
Derivatives	35
Fair Value, Measurements, Recurring | ALABAMA POWER CO | Energy-related derivatives | Quoted Prices in Active Markets for Identical Assets (Level 1)
Assets:
Derivatives	0
Liabilities:
Derivatives	0
Fair Value, Measurements, Recurring | ALABAMA POWER CO | Energy-related derivatives | Significant Other Observable Inputs (Level 2)
Assets:
Derivatives	147
Liabilities:
Derivatives	35
Fair Value, Measurements, Recurring | ALABAMA POWER CO | Energy-related derivatives | Significant Unobservable Inputs (Level 3)
Assets:
Derivatives	0
Liabilities:
Derivatives	0
Fair Value, Measurements, Recurring | ALABAMA POWER CO | Domestic equity
Assets:
Investments in trusts	522
Fair Value, Measurements, Recurring | ALABAMA POWER CO | Domestic equity | Quoted Prices in Active Markets for Identical Assets (Level 1)
Assets:
Investments in trusts	370
Fair Value, Measurements, Recurring | ALABAMA POWER CO | Domestic equity | Significant Other Observable Inputs (Level 2)
Assets:
Investments in trusts	152
Fair Value, Measurements, Recurring | ALABAMA POWER CO | Domestic equity | Significant Unobservable Inputs (Level 3)
Assets:
Investments in trusts	0
Fair Value, Measurements, Recurring | ALABAMA POWER CO | Foreign equity
Assets:
Investments in trusts	111
Fair Value, Measurements, Recurring | ALABAMA POWER CO | Foreign equity | Quoted Prices in Active Markets for Identical Assets (Level 1)
Assets:
Investments in trusts	111
Fair Value, Measurements, Recurring | ALABAMA POWER CO | Foreign equity | Significant Other Observable Inputs (Level 2)
Assets:
Investments in trusts	0
Fair Value, Measurements, Recurring | ALABAMA POWER CO | Foreign equity | Significant Unobservable Inputs (Level 3)
Assets:
Investments in trusts	0
Fair Value, Measurements, Recurring | ALABAMA POWER CO | U.S. Treasury and government agency securities
Assets:
Investments in trusts	15
Fair Value, Measurements, Recurring | ALABAMA POWER CO | U.S. Treasury and government agency securities | Quoted Prices in Active Markets for Identical Assets (Level 1)
Assets:
Investments in trusts	0
Fair Value, Measurements, Recurring | ALABAMA POWER CO | U.S. Treasury and government agency securities | Significant Other Observable Inputs (Level 2)
Assets:
Investments in trusts	15
Fair Value, Measurements, Recurring | ALABAMA POWER CO | U.S. Treasury and government agency securities | Significant Unobservable Inputs (Level 3)
Assets:
Investments in trusts	0
Fair Value, Measurements, Recurring | ALABAMA POWER CO | Municipal bonds
Assets:
Investments in trusts	2
Fair Value, Measurements, Recurring | ALABAMA POWER CO | Municipal bonds | Quoted Prices in Active Markets for Identical Assets (Level 1)
Assets:
Investments in trusts	0
Fair Value, Measurements, Recurring | ALABAMA POWER CO | Municipal bonds | Significant Other Observable Inputs (Level 2)
Assets:
Investments in trusts	2
Fair Value, Measurements, Recurring | ALABAMA POWER CO | Municipal bonds | Significant Unobservable Inputs (Level 3)
Assets:
Investments in trusts	0
Fair Value, Measurements, Recurring | ALABAMA POWER CO | Corporate bonds
Assets:
Investments in trusts	230
Fair Value, Measurements, Recurring | ALABAMA POWER CO | Corporate bonds | Quoted Prices in Active Markets for Identical Assets (Level 1)
Assets:
Investments in trusts	0
Fair Value, Measurements, Recurring | ALABAMA POWER CO | Corporate bonds | Significant Other Observable Inputs (Level 2)
Assets:
Investments in trusts	230
Fair Value, Measurements, Recurring | ALABAMA POWER CO | Corporate bonds | Significant Unobservable Inputs (Level 3)
Assets:
Investments in trusts	0
Fair Value, Measurements, Recurring | ALABAMA POWER CO | Mortgage and asset backed securities
Assets:
Investments in trusts	20
Fair Value, Measurements, Recurring | ALABAMA POWER CO | Mortgage and asset backed securities | Quoted Prices in Active Markets for Identical Assets (Level 1)
Assets:
Investments in trusts	0
Fair Value, Measurements, Recurring | ALABAMA POWER CO | Mortgage and asset backed securities | Significant Other Observable Inputs (Level 2)
Assets:
Investments in trusts	20
Fair Value, Measurements, Recurring | ALABAMA POWER CO | Mortgage and asset backed securities | Significant Unobservable Inputs (Level 3)
Assets:
Investments in trusts	0
Fair Value, Measurements, Recurring | ALABAMA POWER CO | Private equity
Assets:
Investments in trusts	156
Fair Value, Measurements, Recurring | ALABAMA POWER CO | Private equity | Quoted Prices in Active Markets for Identical Assets (Level 1)
Assets:
Investments in trusts	0
Fair Value, Measurements, Recurring | ALABAMA POWER CO | Private equity | Significant Other Observable Inputs (Level 2)
Assets:
Investments in trusts	0
Fair Value, Measurements, Recurring | ALABAMA POWER CO | Private equity | Significant Unobservable Inputs (Level 3)
Assets:
Investments in trusts	0
Fair Value, Measurements, Recurring | ALABAMA POWER CO | Private equity | Net Asset Value as a Practical Expedient (NAV)
Assets:
Investments in trusts	156
Fair Value, Measurements, Recurring | ALABAMA POWER CO | Other
Assets:
Investments in trusts	10
Fair Value, Measurements, Recurring | ALABAMA POWER CO | Other | Quoted Prices in Active Markets for Identical Assets (Level 1)
Assets:
Investments in trusts	10
Fair Value, Measurements, Recurring | ALABAMA POWER CO | Other | Significant Other Observable Inputs (Level 2)
Assets:
Investments in trusts	0
Fair Value, Measurements, Recurring | ALABAMA POWER CO | Other | Significant Unobservable Inputs (Level 3)
Assets:
Investments in trusts	0
Fair Value, Measurements, Recurring | GEORGIA POWER CO
Assets:
Total	1,109
Fair Value, Measurements, Recurring | GEORGIA POWER CO | Quoted Prices in Active Markets for Identical Assets (Level 1)
Assets:
Total	247
Fair Value, Measurements, Recurring | GEORGIA POWER CO | Significant Other Observable Inputs (Level 2)
Assets:
Total	862
Fair Value, Measurements, Recurring | GEORGIA POWER CO | Significant Unobservable Inputs (Level 3)
Assets:
Total	0
Fair Value, Measurements, Recurring | GEORGIA POWER CO | Energy-related derivatives
Assets:
Derivatives	145
Liabilities:
Derivatives	51
Fair Value, Measurements, Recurring | GEORGIA POWER CO | Energy-related derivatives | Quoted Prices in Active Markets for Identical Assets (Level 1)
Assets:
Derivatives	0
Liabilities:
Derivatives	0
Fair Value, Measurements, Recurring | GEORGIA POWER CO | Energy-related derivatives | Significant Other Observable Inputs (Level 2)
Assets:
Derivatives	145
Liabilities:
Derivatives	51
Fair Value, Measurements, Recurring | GEORGIA POWER CO | Energy-related derivatives | Significant Unobservable Inputs (Level 3)
Assets:
Derivatives	0
Liabilities:
Derivatives	0
Fair Value, Measurements, Recurring | GEORGIA POWER CO | Domestic equity
Assets:
Investments in trusts	241
Fair Value, Measurements, Recurring | GEORGIA POWER CO | Domestic equity | Quoted Prices in Active Markets for Identical Assets (Level 1)
Assets:
Investments in trusts	240
Fair Value, Measurements, Recurring | GEORGIA POWER CO | Domestic equity | Significant Other Observable Inputs (Level 2)
Assets:
Investments in trusts	1
Fair Value, Measurements, Recurring | GEORGIA POWER CO | Domestic equity | Significant Unobservable Inputs (Level 3)
Assets:
Investments in trusts	0
Fair Value, Measurements, Recurring | GEORGIA POWER CO | Foreign equity
Assets:
Investments in trusts	128
Fair Value, Measurements, Recurring | GEORGIA POWER CO | Foreign equity | Quoted Prices in Active Markets for Identical Assets (Level 1)
Assets:
Investments in trusts	0
Fair Value, Measurements, Recurring | GEORGIA POWER CO | Foreign equity | Significant Other Observable Inputs (Level 2)
Assets:
Investments in trusts	128
Fair Value, Measurements, Recurring | GEORGIA POWER CO | Foreign equity | Significant Unobservable Inputs (Level 3)
Assets:
Investments in trusts	0
Fair Value, Measurements, Recurring | GEORGIA POWER CO | U.S. Treasury and government agency securities
Assets:
Investments in trusts	250
Fair Value, Measurements, Recurring | GEORGIA POWER CO | U.S. Treasury and government agency securities | Quoted Prices in Active Markets for Identical Assets (Level 1)
Assets:
Investments in trusts	0
Fair Value, Measurements, Recurring | GEORGIA POWER CO | U.S. Treasury and government agency securities | Significant Other Observable Inputs (Level 2)
Assets:
Investments in trusts	250
Fair Value, Measurements, Recurring | GEORGIA POWER CO | U.S. Treasury and government agency securities | Significant Unobservable Inputs (Level 3)
Assets:
Investments in trusts	0
Fair Value, Measurements, Recurring | GEORGIA POWER CO | Municipal bonds
Assets:
Investments in trusts	50
Fair Value, Measurements, Recurring | GEORGIA POWER CO | Municipal bonds | Quoted Prices in Active Markets for Identical Assets (Level 1)
Assets:
Investments in trusts	0
Fair Value, Measurements, Recurring | GEORGIA POWER CO | Municipal bonds | Significant Other Observable Inputs (Level 2)
Assets:
Investments in trusts	50
Fair Value, Measurements, Recurring | GEORGIA POWER CO | Municipal bonds | Significant Unobservable Inputs (Level 3)
Assets:
Investments in trusts	0
Fair Value, Measurements, Recurring | GEORGIA POWER CO | Corporate bonds
Assets:
Investments in trusts	208
Fair Value, Measurements, Recurring | GEORGIA POWER CO | Corporate bonds | Quoted Prices in Active Markets for Identical Assets (Level 1)
Assets:
Investments in trusts	0
Fair Value, Measurements, Recurring | GEORGIA POWER CO | Corporate bonds | Significant Other Observable Inputs (Level 2)
Assets:
Investments in trusts	208
Fair Value, Measurements, Recurring | GEORGIA POWER CO | Corporate bonds | Significant Unobservable Inputs (Level 3)
Assets:
Investments in trusts	0
Fair Value, Measurements, Recurring | GEORGIA POWER CO | Mortgage and asset backed securities
Assets:
Investments in trusts	67
Fair Value, Measurements, Recurring | GEORGIA POWER CO | Mortgage and asset backed securities | Quoted Prices in Active Markets for Identical Assets (Level 1)
Assets:
Investments in trusts	0
Fair Value, Measurements, Recurring | GEORGIA POWER CO | Mortgage and asset backed securities | Significant Other Observable Inputs (Level 2)
Assets:
Investments in trusts	67
Fair Value, Measurements, Recurring | GEORGIA POWER CO | Mortgage and asset backed securities | Significant Unobservable Inputs (Level 3)
Assets:
Investments in trusts	0
Fair Value, Measurements, Recurring | GEORGIA POWER CO | Other
Assets:
Investments in trusts	20
Fair Value, Measurements, Recurring | GEORGIA POWER CO | Other | Quoted Prices in Active Markets for Identical Assets (Level 1)
Assets:
Investments in trusts	7
Fair Value, Measurements, Recurring | GEORGIA POWER CO | Other | Significant Other Observable Inputs (Level 2)
Assets:
Investments in trusts	13
Fair Value, Measurements, Recurring | GEORGIA POWER CO | Other | Significant Unobservable Inputs (Level 3)
Assets:
Investments in trusts	0
Fair Value, Measurements, Recurring | MISSISSIPPI POWER CO
Assets:
Cash equivalents	30
Total	163
Fair Value, Measurements, Recurring | MISSISSIPPI POWER CO | Quoted Prices in Active Markets for Identical Assets (Level 1)
Assets:
Cash equivalents	30
Total	30
Fair Value, Measurements, Recurring | MISSISSIPPI POWER CO | Significant Other Observable Inputs (Level 2)
Assets:
Cash equivalents	0
Total	133
Fair Value, Measurements, Recurring | MISSISSIPPI POWER CO | Significant Unobservable Inputs (Level 3)
Assets:
Cash equivalents	0
Total	0
Fair Value, Measurements, Recurring | MISSISSIPPI POWER CO | Energy-related derivatives
Assets:
Derivatives	133
Liabilities:
Derivatives	24
Fair Value, Measurements, Recurring | MISSISSIPPI POWER CO | Energy-related derivatives | Quoted Prices in Active Markets for Identical Assets (Level 1)
Assets:
Derivatives	0
Liabilities:
Derivatives	0
Fair Value, Measurements, Recurring | MISSISSIPPI POWER CO | Energy-related derivatives | Significant Other Observable Inputs (Level 2)
Assets:
Derivatives	133
Liabilities:
Derivatives	24
Fair Value, Measurements, Recurring | MISSISSIPPI POWER CO | Energy-related derivatives | Significant Unobservable Inputs (Level 3)
Assets:
Derivatives	0
Liabilities:
Derivatives	0
Fair Value, Measurements, Recurring | SOUTHERN POWER CO
Liabilities:
Contingent consideration	14
Total	120
Fair Value, Measurements, Recurring | SOUTHERN POWER CO | Quoted Prices in Active Markets for Identical Assets (Level 1)
Liabilities:
Contingent consideration	0
Total	0
Fair Value, Measurements, Recurring | SOUTHERN POWER CO | Significant Other Observable Inputs (Level 2)
Liabilities:
Contingent consideration	0
Total	106
Fair Value, Measurements, Recurring | SOUTHERN POWER CO | Significant Unobservable Inputs (Level 3)
Liabilities:
Contingent consideration	14
Total	14
Fair Value, Measurements, Recurring | SOUTHERN POWER CO | Energy-related derivatives
Assets:
Derivatives	7
Liabilities:
Derivatives	13
Fair Value, Measurements, Recurring | SOUTHERN POWER CO | Energy-related derivatives | Quoted Prices in Active Markets for Identical Assets (Level 1)
Assets:
Derivatives	0
Liabilities:
Derivatives	0
Fair Value, Measurements, Recurring | SOUTHERN POWER CO | Energy-related derivatives | Significant Other Observable Inputs (Level 2)
Assets:
Derivatives	7
Liabilities:
Derivatives	13
Fair Value, Measurements, Recurring | SOUTHERN POWER CO | Energy-related derivatives | Significant Unobservable Inputs (Level 3)
Assets:
Derivatives	0
Liabilities:
Derivatives	0
Fair Value, Measurements, Recurring | SOUTHERN POWER CO | Foreign currency derivatives
Liabilities:
Derivatives	80
Fair Value, Measurements, Recurring | SOUTHERN POWER CO | Foreign currency derivatives | Quoted Prices in Active Markets for Identical Assets (Level 1)
Liabilities:
Derivatives	0
Fair Value, Measurements, Recurring | SOUTHERN POWER CO | Foreign currency derivatives | Significant Other Observable Inputs (Level 2)
Liabilities:
Derivatives	80
Fair Value, Measurements, Recurring | SOUTHERN POWER CO | Foreign currency derivatives | Significant Unobservable Inputs (Level 3)
Liabilities:
Derivatives	0
Fair Value, Measurements, Recurring | SOUTHERN Co GAS
Assets:
Total	91
Liabilities:
Total	124
Fair Value, Measurements, Recurring | SOUTHERN Co GAS | Quoted Prices in Active Markets for Identical Assets (Level 1)
Assets:
Total	53
Liabilities:
Total	20
Fair Value, Measurements, Recurring | SOUTHERN Co GAS | Significant Other Observable Inputs (Level 2)
Assets:
Total	38
Liabilities:
Total	104
Fair Value, Measurements, Recurring | SOUTHERN Co GAS | Significant Unobservable Inputs (Level 3)
Assets:
Total	0
Liabilities:
Total	0
Fair Value, Measurements, Recurring | SOUTHERN Co GAS | Energy-related derivatives
Assets:
Derivatives	71
Liabilities:
Derivatives	37
Fair Value, Measurements, Recurring | SOUTHERN Co GAS | Energy-related derivatives | Quoted Prices in Active Markets for Identical Assets (Level 1)
Assets:
Derivatives	49
Liabilities:
Derivatives	20
Fair Value, Measurements, Recurring | SOUTHERN Co GAS | Energy-related derivatives | Significant Other Observable Inputs (Level 2)
Assets:
Derivatives	22
Liabilities:
Derivatives	17
Fair Value, Measurements, Recurring | SOUTHERN Co GAS | Energy-related derivatives | Significant Unobservable Inputs (Level 3)
Assets:
Derivatives	0
Liabilities:
Derivatives	0
Fair Value, Measurements, Recurring | SOUTHERN Co GAS | Interest rate derivatives
Liabilities:
Derivatives	87
Fair Value, Measurements, Recurring | SOUTHERN Co GAS | Interest rate derivatives | Quoted Prices in Active Markets for Identical Assets (Level 1)
Liabilities:
Derivatives	0
Fair Value, Measurements, Recurring | SOUTHERN Co GAS | Interest rate derivatives | Significant Other Observable Inputs (Level 2)
Liabilities:
Derivatives	87
Fair Value, Measurements, Recurring | SOUTHERN Co GAS | Interest rate derivatives | Significant Unobservable Inputs (Level 3)
Liabilities:
Derivatives	0
Fair Value, Measurements, Recurring | SOUTHERN Co GAS | Domestic equity
Assets:
Non-qualified deferred compensation trusts	8
Fair Value, Measurements, Recurring | SOUTHERN Co GAS | Domestic equity | Quoted Prices in Active Markets for Identical Assets (Level 1)
Assets:
Non-qualified deferred compensation trusts	0
Fair Value, Measurements, Recurring | SOUTHERN Co GAS | Domestic equity | Significant Other Observable Inputs (Level 2)
Assets:
Non-qualified deferred compensation trusts	8
Fair Value, Measurements, Recurring | SOUTHERN Co GAS | Domestic equity | Significant Unobservable Inputs (Level 3)
Assets:
Non-qualified deferred compensation trusts	0
Fair Value, Measurements, Recurring | SOUTHERN Co GAS | Foreign equity
Assets:
Non-qualified deferred compensation trusts	1
Fair Value, Measurements, Recurring | SOUTHERN Co GAS | Foreign equity | Quoted Prices in Active Markets for Identical Assets (Level 1)
Assets:
Non-qualified deferred compensation trusts	0
Fair Value, Measurements, Recurring | SOUTHERN Co GAS | Foreign equity | Significant Other Observable Inputs (Level 2)
Assets:
Non-qualified deferred compensation trusts	1
Fair Value, Measurements, Recurring | SOUTHERN Co GAS | Foreign equity | Significant Unobservable Inputs (Level 3)
Assets:
Non-qualified deferred compensation trusts	0
Fair Value, Measurements, Recurring | SOUTHERN Co GAS | Pooled funds – fixed income
Assets:
Non-qualified deferred compensation trusts	7
Fair Value, Measurements, Recurring | SOUTHERN Co GAS | Pooled funds – fixed income | Quoted Prices in Active Markets for Identical Assets (Level 1)
Assets:
Non-qualified deferred compensation trusts	0
Fair Value, Measurements, Recurring | SOUTHERN Co GAS | Pooled funds – fixed income | Significant Other Observable Inputs (Level 2)
Assets:
Non-qualified deferred compensation trusts	7
Fair Value, Measurements, Recurring | SOUTHERN Co GAS | Pooled funds – fixed income | Significant Unobservable Inputs (Level 3)
Assets:
Non-qualified deferred compensation trusts	0
Fair Value, Measurements, Recurring | SOUTHERN Co GAS | Cash equivalents
Assets:
Non-qualified deferred compensation trusts	4
Fair Value, Measurements, Recurring | SOUTHERN Co GAS | Cash equivalents | Quoted Prices in Active Markets for Identical Assets (Level 1)
Assets:
Non-qualified deferred compensation trusts	4
Fair Value, Measurements, Recurring | SOUTHERN Co GAS | Cash equivalents | Significant Other Observable Inputs (Level 2)
Assets:
Non-qualified deferred compensation trusts	0
Fair Value, Measurements, Recurring | SOUTHERN Co GAS | Cash equivalents | Significant Unobservable Inputs (Level 3)
Assets:
Non-qualified deferred compensation trusts	$ 0

XML

Fair Value Measurements - Schedule of Increase (Decrease) In Fair Value Of Funds (Details) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2022	Sep. 30, 2021
Fair Value, Option, Quantitative Disclosures [Line Items]
Increase (decrease) in fair value of funds	$ (106)	$ 9	$ (486)	$ 173
ALABAMA POWER CO
Fair Value, Option, Quantitative Disclosures [Line Items]
Increase (decrease) in fair value of funds	(53)	15	(245)	133
GEORGIA POWER CO
Fair Value, Option, Quantitative Disclosures [Line Items]
Increase (decrease) in fair value of funds	$ (53)	$ (6)	$ (241)	$ 40

XML

Fair Value Measurements - Narrative (Details) - ALABAMA POWER CO - Private equity $ in Millions	Sep. 30, 2022 USD ($)
Fair Value, Investments, Entities that Calculate Net Asset Value Per Share [Line Items]
Fair value	$ 156
Unfunded commitments	$ 84

XML

Fair Value Measurements - Schedule of Financial Instruments for which Carrying Amount did not Equal Fair Value (Details) $ in Millions	Sep. 30, 2022 USD ($)
Long-term debt, including securities due within one year:
Carrying amount	$ 53,400.0
Fair value	46,400.0
ALABAMA POWER CO
Long-term debt, including securities due within one year:
Carrying amount	10,800.0
Fair value	9,300.0
GEORGIA POWER CO
Long-term debt, including securities due within one year:
Carrying amount	14,500.0
Fair value	12,600.0
MISSISSIPPI POWER CO
Long-term debt, including securities due within one year:
Carrying amount	1,500.0
Fair value	1,200.0
SOUTHERN POWER CO
Long-term debt, including securities due within one year:
Carrying amount	2,900.0
Fair value	2,700.0
SOUTHERN Co GAS
Long-term debt, including securities due within one year:
Carrying amount	7,400.0
Fair value	$ 6,300.0

XML

Derivatives - Schedule of Energy-Related Derivatives (Details) - Energy-related, Natural Gas MMBTU in Millions	Sep. 30, 2022 MMBTU
Energy-related derivative contracts
Net Purchased mmBtu	399.0
ALABAMA POWER CO
Energy-related derivative contracts
Net Purchased mmBtu	105.0
GEORGIA POWER CO
Energy-related derivative contracts
Net Purchased mmBtu	116.0
MISSISSIPPI POWER CO
Energy-related derivative contracts
Net Purchased mmBtu	82.0
SOUTHERN POWER CO
Energy-related derivative contracts
Net Purchased mmBtu	11.0
SOUTHERN Co GAS
Energy-related derivative contracts
Net Purchased mmBtu	85.0
SOUTHERN Co GAS | Energy-related derivatives not designated as hedging instruments | Long
Energy-related derivative contracts
Derivative nonmonetary notional amount net long short position volume	95.7
SOUTHERN Co GAS | Energy-related derivatives not designated as hedging instruments | Short
Energy-related derivative contracts
Derivative nonmonetary notional amount net long short position volume	10.6

XML

Derivatives - Narrative (Details) MMBTU in Millions	9 Months Ended
	Sep. 30, 2022 USD ($) MMBTU	Dec. 31, 2021 USD ($)
Derivative [Line Items]
Expected volume of natural gas subject to option to sell back excess gas due to operational constraints | MMBTU	15
Energy-related derivative hedge gain (loss) to be reclassified within twelve months	$ 17,000,000
Collateral already posted, assets, aggregate fair value	15,000,000
Derivatives	666,000,000	$ 125,000,000
Interest rate derivatives
Derivative [Line Items]
Cash flow hedge gain (loss) to be reclassified within twelve months	(17,000,000)
Derivatives	$ 156,000,000
ALABAMA POWER CO
Derivative [Line Items]
Expected volume of natural gas subject to option to sell back excess gas due to operational constraints | MMBTU	4
Derivatives	$ 4,000,000	6,000,000
GEORGIA POWER CO
Derivative [Line Items]
Expected volume of natural gas subject to option to sell back excess gas due to operational constraints | MMBTU	5
Derivatives	$ 10,000,000	0
MISSISSIPPI POWER CO
Derivative [Line Items]
Expected volume of natural gas subject to option to sell back excess gas due to operational constraints | MMBTU	2
Derivatives	$ 4,000,000	1,000,000
SOUTHERN POWER CO
Derivative [Line Items]
Expected volume of natural gas subject to option to sell back excess gas due to operational constraints | MMBTU	4
Foreign currency cash flow hedge gain (loss) to be reclassified during next 12 months	$ (12,000,000)
Derivatives	90,000,000	16,000,000
SOUTHERN POWER CO | Interest rate derivatives
Derivative [Line Items]
Derivatives	38,000,000
Registrants | Derivative Counterparties
Derivative [Line Items]
Collateral already posted, assets, aggregate fair value	0
SOUTHERN Co GAS
Derivative [Line Items]
Energy-related derivative hedge gain (loss) to be reclassified within twelve months	26,000,000
Collateral already posted, assets, aggregate fair value	15,000,000	3,000,000
Derivatives	$ 91,000,000	$ 16,000,000

XML

Derivatives - Schedule of Interest Rate Derivatives (Details) - Interest rate derivatives $ in Millions	9 Months Ended
	Sep. 30, 2022 USD ($)
Derivative [Line Items]
Notional Amount	$ 2,250
Fair Value Gain (Loss)	(311)
Southern Company parent | Cash Flow Hedges of Existing Debt
Derivative [Line Items]
Notional Amount	$ 175
Interest Rate Received	0.00%
Fair Value Gain (Loss)	$ 0
Southern Company parent | Cash Flow Hedges of Existing Debt | September 2025
Derivative [Line Items]
Weighted Average Interest Rate Paid	4.25%
Southern Company parent | Cash Flow Hedges of Existing Debt | August 2032
Derivative [Line Items]
Weighted Average Interest Rate Paid	3.83%
Southern Company parent | Fair Value Hedges of Existing Debt | March 2028
Derivative [Line Items]
Notional Amount	$ 400
Interest Rate Received	1.75%
Fair Value Gain (Loss)	$ (57)
Southern Company parent | Fair Value Hedges of Existing Debt | April 2030
Derivative [Line Items]
Notional Amount	$ 1,000
Interest Rate Received	3.70%
Fair Value Gain (Loss)	$ (167)
SOUTHERN Co GAS | Fair Value Hedges of Existing Debt
Derivative [Line Items]
Notional Amount	$ 500
Interest Rate Received	1.75%
Fair Value Gain (Loss)	$ (87)
London Interbank Offered Rate (LIBOR) | Southern Company parent | Fair Value Hedges of Existing Debt | March 2028
Derivative [Line Items]
Weighted Average Interest Rate Paid	0.68%
London Interbank Offered Rate (LIBOR) | Southern Company parent | Fair Value Hedges of Existing Debt | April 2030
Derivative [Line Items]
Weighted Average Interest Rate Paid	2.36%
London Interbank Offered Rate (LIBOR) | SOUTHERN Co GAS | Fair Value Hedges of Existing Debt
Derivative [Line Items]
Weighted Average Interest Rate Paid	0.38%

XML

Derivatives - Schedule of Foreign Currency Derivatives (Details) - 9 months ended Sep. 30, 2022 - Foreign currency derivatives € in Millions, $ in Millions	USD ($)	EUR (€)
Derivative [Line Items]
Pay Notional	$ 2,040
Receive Notional | €		€ 1,750
Fair Value Gain (Loss)	(323)
Cash Flow Hedges of Existing Debt | SOUTHERN POWER CO
Derivative [Line Items]
Pay Notional	$ 564
Pay Rate	3.78%
Receive Notional | €		500
Receive Rate	1.85%
Fair Value Gain (Loss)	$ (80)
Fair Value Hedges of Existing Debt | Southern Company parent | April 2030
Derivative [Line Items]
Pay Notional	$ 1,476
Pay Rate	3.39%
Receive Notional | €		€ 1,250
Receive Rate	1.88%
Fair Value Gain (Loss)	$ (243)

XML

Derivatives - Schedule of Derivative Category and Balance Sheet Location (Details) - USD ($) $ in Millions	Sep. 30, 2022	Dec. 31, 2021
Derivatives, Fair Value [Line Items]
Derivative asset, gross amount recognized	$ 504	$ 238
Derivative asset, Gross amounts offset	(113)	(25)
Derivative asset, net amounts recognized in the balance sheets	391	213
Derivative liability, gross amount recognized	794	153
Derivative liability, Gross amounts offset	(128)	(28)
Derivative liability, net amounts recognized in the balance sheets	666	125
Collateral already posted, assets, aggregate fair value	15
Interest rate derivatives
Derivatives, Fair Value [Line Items]
Derivative liability, net amounts recognized in the balance sheets	156
Energy-related derivatives not designated as hedging instruments
Derivatives, Fair Value [Line Items]
Derivative asset, gross amount recognized	21	10
Derivative liability, gross amount recognized	19	4
Energy-related derivatives not designated as hedging instruments | Energy-related derivatives | Assets from risk management activities
Derivatives, Fair Value [Line Items]
Derivative asset, gross amount recognized	19	9
Energy-related derivatives not designated as hedging instruments | Energy-related derivatives | Other current liabilities
Derivatives, Fair Value [Line Items]
Derivative liability, gross amount recognized	18	4
Energy-related derivatives not designated as hedging instruments | Energy-related derivatives | Other deferred charges and assets
Derivatives, Fair Value [Line Items]
Derivative asset, gross amount recognized	2	1
Energy-related derivatives not designated as hedging instruments | Energy-related derivatives | Other deferred credits and liabilities
Derivatives, Fair Value [Line Items]
Derivative liability, gross amount recognized	1	0
Energy-related derivatives designated as hedging instruments for regulatory purposes | Energy-related derivatives designated as hedging instruments for regulatory purposes
Derivatives, Fair Value [Line Items]
Derivative asset, gross amount recognized	449	201
Derivative liability, gross amount recognized	129	36
Energy-related derivatives designated as hedging instruments for regulatory purposes | Energy-related derivatives designated as hedging instruments for regulatory purposes | Energy-related derivatives | Assets from risk management activities
Derivatives, Fair Value [Line Items]
Derivative asset, gross amount recognized	299	129
Energy-related derivatives designated as hedging instruments for regulatory purposes | Energy-related derivatives designated as hedging instruments for regulatory purposes | Energy-related derivatives | Other current liabilities
Derivatives, Fair Value [Line Items]
Derivative liability, gross amount recognized	70	30
Energy-related derivatives designated as hedging instruments for regulatory purposes | Energy-related derivatives designated as hedging instruments for regulatory purposes | Energy-related derivatives | Other deferred charges and assets
Derivatives, Fair Value [Line Items]
Derivative asset, gross amount recognized	150	72
Energy-related derivatives designated as hedging instruments for regulatory purposes | Energy-related derivatives designated as hedging instruments for regulatory purposes | Energy-related derivatives | Other deferred credits and liabilities
Derivatives, Fair Value [Line Items]
Derivative liability, gross amount recognized	59	6
Derivatives designated as hedging instruments in cash flow and fair value hedges | Energy-related derivatives designated as hedging instruments for regulatory purposes
Derivatives, Fair Value [Line Items]
Derivative asset, gross amount recognized	34	27
Derivative liability, gross amount recognized	646	113
Derivatives designated as hedging instruments in cash flow and fair value hedges | Energy-related derivatives designated as hedging instruments for regulatory purposes | Energy-related derivatives | Assets from risk management activities
Derivatives, Fair Value [Line Items]
Derivative asset, gross amount recognized	27	7
Derivatives designated as hedging instruments in cash flow and fair value hedges | Energy-related derivatives designated as hedging instruments for regulatory purposes | Energy-related derivatives | Other current liabilities
Derivatives, Fair Value [Line Items]
Derivative liability, gross amount recognized	13	5
Derivatives designated as hedging instruments in cash flow and fair value hedges | Energy-related derivatives designated as hedging instruments for regulatory purposes | Energy-related derivatives | Other deferred charges and assets
Derivatives, Fair Value [Line Items]
Derivative asset, gross amount recognized	7	1
Derivatives designated as hedging instruments in cash flow and fair value hedges | Energy-related derivatives designated as hedging instruments for regulatory purposes | Energy-related derivatives | Other deferred credits and liabilities
Derivatives, Fair Value [Line Items]
Derivative liability, gross amount recognized	1	0
Derivatives designated as hedging instruments in cash flow and fair value hedges | Energy-related derivatives designated as hedging instruments for regulatory purposes | Interest rate derivatives | Assets from risk management activities
Derivatives, Fair Value [Line Items]
Derivative asset, gross amount recognized	0	19
Derivatives designated as hedging instruments in cash flow and fair value hedges | Energy-related derivatives designated as hedging instruments for regulatory purposes | Interest rate derivatives | Other current liabilities
Derivatives, Fair Value [Line Items]
Derivative liability, gross amount recognized	44	0
Derivatives designated as hedging instruments in cash flow and fair value hedges | Energy-related derivatives designated as hedging instruments for regulatory purposes | Interest rate derivatives | Other deferred charges and assets
Derivatives, Fair Value [Line Items]
Derivative asset, gross amount recognized	0	0
Derivatives designated as hedging instruments in cash flow and fair value hedges | Energy-related derivatives designated as hedging instruments for regulatory purposes | Interest rate derivatives | Other deferred credits and liabilities
Derivatives, Fair Value [Line Items]
Derivative liability, gross amount recognized	266	29
Derivatives designated as hedging instruments in cash flow and fair value hedges | Energy-related derivatives designated as hedging instruments for regulatory purposes | Foreign currency derivatives | Assets from risk management activities
Derivatives, Fair Value [Line Items]
Derivative asset, gross amount recognized	0	0
Derivatives designated as hedging instruments in cash flow and fair value hedges | Energy-related derivatives designated as hedging instruments for regulatory purposes | Foreign currency derivatives | Other current liabilities
Derivatives, Fair Value [Line Items]
Derivative liability, gross amount recognized	37	39
Derivatives designated as hedging instruments in cash flow and fair value hedges | Energy-related derivatives designated as hedging instruments for regulatory purposes | Foreign currency derivatives | Other deferred charges and assets
Derivatives, Fair Value [Line Items]
Derivative asset, gross amount recognized	0	0
Derivatives designated as hedging instruments in cash flow and fair value hedges | Energy-related derivatives designated as hedging instruments for regulatory purposes | Foreign currency derivatives | Other deferred credits and liabilities
Derivatives, Fair Value [Line Items]
Derivative liability, gross amount recognized	285	40
ALABAMA POWER CO
Derivatives, Fair Value [Line Items]
Derivative asset, Gross amounts offset	(31)	(5)
Derivative asset, net amounts recognized in the balance sheets	116	50
Derivative liability, Gross amounts offset	(31)	(5)
Derivative liability, net amounts recognized in the balance sheets	4	6
ALABAMA POWER CO | Energy-related derivatives designated as hedging instruments for regulatory purposes | Energy-related derivatives designated as hedging instruments for regulatory purposes
Derivatives, Fair Value [Line Items]
Derivative asset, gross amount recognized	147	55
Derivative liability, gross amount recognized	35	11
ALABAMA POWER CO | Energy-related derivatives designated as hedging instruments for regulatory purposes | Energy-related derivatives designated as hedging instruments for regulatory purposes | Energy-related derivatives | Other current assets
Derivatives, Fair Value [Line Items]
Derivative asset, gross amount recognized	90	30
ALABAMA POWER CO | Energy-related derivatives designated as hedging instruments for regulatory purposes | Energy-related derivatives designated as hedging instruments for regulatory purposes | Energy-related derivatives | Other current liabilities
Derivatives, Fair Value [Line Items]
Derivative liability, gross amount recognized	12	9
ALABAMA POWER CO | Energy-related derivatives designated as hedging instruments for regulatory purposes | Energy-related derivatives designated as hedging instruments for regulatory purposes | Energy-related derivatives | Other deferred charges and assets
Derivatives, Fair Value [Line Items]
Derivative asset, gross amount recognized	57	25
ALABAMA POWER CO | Energy-related derivatives designated as hedging instruments for regulatory purposes | Energy-related derivatives designated as hedging instruments for regulatory purposes | Energy-related derivatives | Other deferred credits and liabilities
Derivatives, Fair Value [Line Items]
Derivative liability, gross amount recognized	23	2
GEORGIA POWER CO
Derivatives, Fair Value [Line Items]
Derivative asset, gross amount recognized	146	75
Derivative asset, Gross amounts offset	(41)	(8)
Derivative asset, net amounts recognized in the balance sheets	105	67
Derivative liability, gross amount recognized	51	8
Derivative liability, Gross amounts offset	(41)	(8)
Derivative liability, net amounts recognized in the balance sheets	10	0
GEORGIA POWER CO | Energy-related derivatives not designated as hedging instruments | Energy-related derivatives | Other current assets
Derivatives, Fair Value [Line Items]
Derivative asset, gross amount recognized	1	0
GEORGIA POWER CO | Energy-related derivatives not designated as hedging instruments | Energy-related derivatives | Other current liabilities
Derivatives, Fair Value [Line Items]
Derivative liability, gross amount recognized	0	0
GEORGIA POWER CO | Energy-related derivatives designated as hedging instruments for regulatory purposes | Energy-related derivatives designated as hedging instruments for regulatory purposes
Derivatives, Fair Value [Line Items]
Derivative asset, gross amount recognized	145	75
Derivative liability, gross amount recognized	51	8
GEORGIA POWER CO | Energy-related derivatives designated as hedging instruments for regulatory purposes | Energy-related derivatives designated as hedging instruments for regulatory purposes | Energy-related derivatives | Assets from risk management activities
Derivatives, Fair Value [Line Items]
Derivative asset, gross amount recognized	107	54
GEORGIA POWER CO | Energy-related derivatives designated as hedging instruments for regulatory purposes | Energy-related derivatives designated as hedging instruments for regulatory purposes | Energy-related derivatives | Other current liabilities
Derivatives, Fair Value [Line Items]
Derivative liability, gross amount recognized	28	6
GEORGIA POWER CO | Energy-related derivatives designated as hedging instruments for regulatory purposes | Energy-related derivatives designated as hedging instruments for regulatory purposes | Energy-related derivatives | Other deferred charges and assets
Derivatives, Fair Value [Line Items]
Derivative asset, gross amount recognized	38	21
GEORGIA POWER CO | Energy-related derivatives designated as hedging instruments for regulatory purposes | Energy-related derivatives designated as hedging instruments for regulatory purposes | Energy-related derivatives | Other deferred credits and liabilities
Derivatives, Fair Value [Line Items]
Derivative liability, gross amount recognized	23	2
MISSISSIPPI POWER CO
Derivatives, Fair Value [Line Items]
Derivative asset, Gross amounts offset	(20)	(4)
Derivative asset, net amounts recognized in the balance sheets	113	52
Derivative liability, Gross amounts offset	(20)	(4)
Derivative liability, net amounts recognized in the balance sheets	4	1
MISSISSIPPI POWER CO | Energy-related derivatives designated as hedging instruments for regulatory purposes | Energy-related derivatives designated as hedging instruments for regulatory purposes
Derivatives, Fair Value [Line Items]
Derivative asset, gross amount recognized	133	56
Derivative liability, gross amount recognized	24	5
MISSISSIPPI POWER CO | Energy-related derivatives designated as hedging instruments for regulatory purposes | Energy-related derivatives designated as hedging instruments for regulatory purposes | Energy-related derivatives | Assets from risk management activities
Derivatives, Fair Value [Line Items]
Derivative asset, gross amount recognized	78	30
MISSISSIPPI POWER CO | Energy-related derivatives designated as hedging instruments for regulatory purposes | Energy-related derivatives designated as hedging instruments for regulatory purposes | Energy-related derivatives | Other current liabilities
Derivatives, Fair Value [Line Items]
Derivative liability, gross amount recognized	12	3
MISSISSIPPI POWER CO | Energy-related derivatives designated as hedging instruments for regulatory purposes | Energy-related derivatives designated as hedging instruments for regulatory purposes | Energy-related derivatives | Other deferred charges and assets
Derivatives, Fair Value [Line Items]
Derivative asset, gross amount recognized	55	26
MISSISSIPPI POWER CO | Energy-related derivatives designated as hedging instruments for regulatory purposes | Energy-related derivatives designated as hedging instruments for regulatory purposes | Energy-related derivatives | Other deferred credits and liabilities
Derivatives, Fair Value [Line Items]
Derivative liability, gross amount recognized	12	2
SOUTHERN POWER CO
Derivatives, Fair Value [Line Items]
Derivative asset, gross amount recognized	7	4
Derivative asset, Gross amounts offset	(3)	0
Derivative asset, net amounts recognized in the balance sheets	4	4
Derivative liability, gross amount recognized	93	16
Derivative liability, Gross amounts offset	(3)	0
Derivative liability, net amounts recognized in the balance sheets	90	16
SOUTHERN POWER CO | Interest rate derivatives
Derivatives, Fair Value [Line Items]
Derivative liability, net amounts recognized in the balance sheets	38
SOUTHERN POWER CO | Energy-related derivatives not designated as hedging instruments | Energy-related derivatives | Other current assets
Derivatives, Fair Value [Line Items]
Derivative asset, gross amount recognized	2	1
SOUTHERN POWER CO | Energy-related derivatives not designated as hedging instruments | Energy-related derivatives | Other current liabilities
Derivatives, Fair Value [Line Items]
Derivative liability, gross amount recognized	2	0
SOUTHERN POWER CO | Derivatives designated as hedging instruments in cash flow and fair value hedges | Energy-related derivatives designated as hedging instruments for regulatory purposes
Derivatives, Fair Value [Line Items]
Derivative asset, gross amount recognized	5	3
Derivative liability, gross amount recognized	91	16
SOUTHERN POWER CO | Derivatives designated as hedging instruments in cash flow and fair value hedges | Energy-related derivatives designated as hedging instruments for regulatory purposes | Energy-related derivatives | Other current assets
Derivatives, Fair Value [Line Items]
Derivative asset, gross amount recognized	0	2
SOUTHERN POWER CO | Derivatives designated as hedging instruments in cash flow and fair value hedges | Energy-related derivatives designated as hedging instruments for regulatory purposes | Energy-related derivatives | Other current liabilities
Derivatives, Fair Value [Line Items]
Derivative liability, gross amount recognized	10	0
SOUTHERN POWER CO | Derivatives designated as hedging instruments in cash flow and fair value hedges | Energy-related derivatives designated as hedging instruments for regulatory purposes | Energy-related derivatives | Other deferred charges and assets
Derivatives, Fair Value [Line Items]
Derivative asset, gross amount recognized	5	1
SOUTHERN POWER CO | Derivatives designated as hedging instruments in cash flow and fair value hedges | Energy-related derivatives designated as hedging instruments for regulatory purposes | Energy-related derivatives | Other deferred credits and liabilities
Derivatives, Fair Value [Line Items]
Derivative liability, gross amount recognized	1	0
SOUTHERN POWER CO | Derivatives designated as hedging instruments in cash flow and fair value hedges | Energy-related derivatives designated as hedging instruments for regulatory purposes | Foreign currency derivatives | Other current assets
Derivatives, Fair Value [Line Items]
Derivative asset, gross amount recognized	0	0
SOUTHERN POWER CO | Derivatives designated as hedging instruments in cash flow and fair value hedges | Energy-related derivatives designated as hedging instruments for regulatory purposes | Foreign currency derivatives | Other current liabilities
Derivatives, Fair Value [Line Items]
Derivative liability, gross amount recognized	12	16
SOUTHERN POWER CO | Derivatives designated as hedging instruments in cash flow and fair value hedges | Energy-related derivatives designated as hedging instruments for regulatory purposes | Foreign currency derivatives | Other deferred charges and assets
Derivatives, Fair Value [Line Items]
Derivative asset, gross amount recognized	0	0
SOUTHERN POWER CO | Derivatives designated as hedging instruments in cash flow and fair value hedges | Energy-related derivatives designated as hedging instruments for regulatory purposes | Foreign currency derivatives | Other deferred credits and liabilities
Derivatives, Fair Value [Line Items]
Derivative liability, gross amount recognized	68	0
SOUTHERN Co GAS
Derivatives, Fair Value [Line Items]
Derivative asset, gross amount recognized	71	35
Derivative asset, Gross amounts offset	(18)	(8)
Derivative asset, net amounts recognized in the balance sheets	53	27
Derivative liability, gross amount recognized	124	27
Derivative liability, Gross amounts offset	(33)	(11)
Derivative liability, net amounts recognized in the balance sheets	91	16
Collateral already posted, assets, aggregate fair value	15	3
SOUTHERN Co GAS | Energy-related derivatives not designated as hedging instruments
Derivatives, Fair Value [Line Items]
Derivative asset, gross amount recognized	18	9
Derivative liability, gross amount recognized	17	4
SOUTHERN Co GAS | Energy-related derivatives not designated as hedging instruments | Energy-related derivatives | Other current assets
Derivatives, Fair Value [Line Items]
Derivative asset, gross amount recognized	16	8
SOUTHERN Co GAS | Energy-related derivatives not designated as hedging instruments | Energy-related derivatives | Other current liabilities
Derivatives, Fair Value [Line Items]
Derivative liability, gross amount recognized	16	4
SOUTHERN Co GAS | Energy-related derivatives not designated as hedging instruments | Energy-related derivatives | Other deferred charges and assets
Derivatives, Fair Value [Line Items]
Derivative asset, gross amount recognized	2	1
SOUTHERN Co GAS | Energy-related derivatives not designated as hedging instruments | Energy-related derivatives | Other deferred credits and liabilities
Derivatives, Fair Value [Line Items]
Derivative liability, gross amount recognized	1	0
SOUTHERN Co GAS | Energy-related derivatives designated as hedging instruments for regulatory purposes | Energy-related derivatives designated as hedging instruments for regulatory purposes | Energy-related derivatives | Other current assets
Derivatives, Fair Value [Line Items]
Derivative asset, gross amount recognized	24	15
SOUTHERN Co GAS | Energy-related derivatives designated as hedging instruments for regulatory purposes | Energy-related derivatives designated as hedging instruments for regulatory purposes | Energy-related derivatives | Other current liabilities
Derivatives, Fair Value [Line Items]
Derivative liability, gross amount recognized	17	12
SOUTHERN Co GAS | Derivatives designated as hedging instruments in cash flow and fair value hedges | Energy-related derivatives designated as hedging instruments for regulatory purposes
Derivatives, Fair Value [Line Items]
Derivative asset, gross amount recognized	29	11
Derivative liability, gross amount recognized	90	11
SOUTHERN Co GAS | Derivatives designated as hedging instruments in cash flow and fair value hedges | Energy-related derivatives designated as hedging instruments for regulatory purposes | Energy-related derivatives | Other current assets
Derivatives, Fair Value [Line Items]
Derivative asset, gross amount recognized	26	5
SOUTHERN Co GAS | Derivatives designated as hedging instruments in cash flow and fair value hedges | Energy-related derivatives designated as hedging instruments for regulatory purposes | Energy-related derivatives | Other current liabilities
Derivatives, Fair Value [Line Items]
Derivative liability, gross amount recognized	3	5
SOUTHERN Co GAS | Derivatives designated as hedging instruments in cash flow and fair value hedges | Energy-related derivatives designated as hedging instruments for regulatory purposes | Energy-related derivatives | Other deferred charges and assets
Derivatives, Fair Value [Line Items]
Derivative asset, gross amount recognized	3	0
SOUTHERN Co GAS | Derivatives designated as hedging instruments in cash flow and fair value hedges | Energy-related derivatives designated as hedging instruments for regulatory purposes | Energy-related derivatives | Other deferred credits and liabilities
Derivatives, Fair Value [Line Items]
Derivative liability, gross amount recognized	0	0
SOUTHERN Co GAS | Derivatives designated as hedging instruments in cash flow and fair value hedges | Energy-related derivatives designated as hedging instruments for regulatory purposes | Interest rate derivatives | Other current assets
Derivatives, Fair Value [Line Items]
Derivative asset, gross amount recognized	0	6
SOUTHERN Co GAS | Derivatives designated as hedging instruments in cash flow and fair value hedges | Energy-related derivatives designated as hedging instruments for regulatory purposes | Interest rate derivatives | Other current liabilities
Derivatives, Fair Value [Line Items]
Derivative liability, gross amount recognized	13	0
SOUTHERN Co GAS | Derivatives designated as hedging instruments in cash flow and fair value hedges | Energy-related derivatives designated as hedging instruments for regulatory purposes | Interest rate derivatives | Other deferred charges and assets
Derivatives, Fair Value [Line Items]
Derivative asset, gross amount recognized	0	0
SOUTHERN Co GAS | Derivatives designated as hedging instruments in cash flow and fair value hedges | Energy-related derivatives designated as hedging instruments for regulatory purposes | Interest rate derivatives | Other deferred credits and liabilities
Derivatives, Fair Value [Line Items]
Derivative liability, gross amount recognized	$ 74	$ 6

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Derivatives - Schedule of Pre-tax Effects of Unrealized Derivative Gains (Losses) (Details) - Energy-related derivatives - USD ($) $ in Millions	Sep. 30, 2022	Dec. 31, 2021
Derivative Instruments, Gain (Loss) [Line Items]
Total energy-related derivative gains (losses)	$ 321	$ 155
Other regulatory assets, current
Derivative Instruments, Gain (Loss) [Line Items]
Total energy-related derivative gains (losses)	(17)	(17)
Other regulatory assets, deferred
Derivative Instruments, Gain (Loss) [Line Items]
Total energy-related derivative gains (losses)	(6)
Other regulatory liabilities, current
Derivative Instruments, Gain (Loss) [Line Items]
Total energy-related derivative gains (losses)	246	107
Other regulatory liabilities, deferred
Derivative Instruments, Gain (Loss) [Line Items]
Total energy-related derivative gains (losses)	98	65
ALABAMA POWER CO
Derivative Instruments, Gain (Loss) [Line Items]
Total energy-related derivative gains (losses)	112	44
ALABAMA POWER CO | Other regulatory assets, current
Derivative Instruments, Gain (Loss) [Line Items]
Total energy-related derivative gains (losses)	(2)	(6)
ALABAMA POWER CO | Other regulatory assets, deferred
Derivative Instruments, Gain (Loss) [Line Items]
Total energy-related derivative gains (losses)	(2)
ALABAMA POWER CO | Other regulatory liabilities, current
Derivative Instruments, Gain (Loss) [Line Items]
Total energy-related derivative gains (losses)	80	28
ALABAMA POWER CO | Other regulatory liabilities, deferred
Derivative Instruments, Gain (Loss) [Line Items]
Total energy-related derivative gains (losses)	36	22
GEORGIA POWER CO
Derivative Instruments, Gain (Loss) [Line Items]
Total energy-related derivative gains (losses)	94	67
GEORGIA POWER CO | Other regulatory assets, current
Derivative Instruments, Gain (Loss) [Line Items]
Total energy-related derivative gains (losses)	(8)	0
GEORGIA POWER CO | Other regulatory assets, deferred
Derivative Instruments, Gain (Loss) [Line Items]
Total energy-related derivative gains (losses)	(3)
GEORGIA POWER CO | Other regulatory liabilities, current
Derivative Instruments, Gain (Loss) [Line Items]
Total energy-related derivative gains (losses)	87	48
GEORGIA POWER CO | Other regulatory liabilities, deferred
Derivative Instruments, Gain (Loss) [Line Items]
Total energy-related derivative gains (losses)	18	19
MISSISSIPPI POWER CO
Derivative Instruments, Gain (Loss) [Line Items]
Total energy-related derivative gains (losses)	109	51
MISSISSIPPI POWER CO | Other regulatory assets, current
Derivative Instruments, Gain (Loss) [Line Items]
Total energy-related derivative gains (losses)	(3)	0
MISSISSIPPI POWER CO | Other regulatory assets, deferred
Derivative Instruments, Gain (Loss) [Line Items]
Total energy-related derivative gains (losses)	(1)
MISSISSIPPI POWER CO | Other regulatory liabilities, current
Derivative Instruments, Gain (Loss) [Line Items]
Total energy-related derivative gains (losses)	69	27
MISSISSIPPI POWER CO | Other regulatory liabilities, deferred
Derivative Instruments, Gain (Loss) [Line Items]
Total energy-related derivative gains (losses)	44	24
SOUTHERN Co GAS
Derivative Instruments, Gain (Loss) [Line Items]
Total energy-related derivative gains (losses)	6	(7)
SOUTHERN Co GAS | Other regulatory assets, current
Derivative Instruments, Gain (Loss) [Line Items]
Total energy-related derivative gains (losses)	(4)	(11)
SOUTHERN Co GAS | Other regulatory assets, deferred
Derivative Instruments, Gain (Loss) [Line Items]
Total energy-related derivative gains (losses)	0
SOUTHERN Co GAS | Other regulatory liabilities, current
Derivative Instruments, Gain (Loss) [Line Items]
Total energy-related derivative gains (losses)	10	4
SOUTHERN Co GAS | Other regulatory liabilities, deferred
Derivative Instruments, Gain (Loss) [Line Items]
Total energy-related derivative gains (losses)	$ 0	$ 0

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Derivatives - Schedule of Pre-Tax Effects of Hedging on AOCI (Details) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2022	Sep. 30, 2021
Derivative Instruments, Gain (Loss) [Line Items]
Gain (Loss) Recognized in OCI on Derivative	$ 2	$ 3	$ (32)	$ (17)
Cash Flow Hedging | Energy-related derivatives
Derivative Instruments, Gain (Loss) [Line Items]
Gain (Loss) Recognized in OCI on Derivative	11	38	51	59
Cash Flow Hedging | Interest rate derivatives
Derivative Instruments, Gain (Loss) [Line Items]
Gain (Loss) Recognized in OCI on Derivative	6	5	36	7
Cash Flow Hedging | Foreign currency derivatives
Derivative Instruments, Gain (Loss) [Line Items]
Gain (Loss) Recognized in OCI on Derivative	(35)	(36)	(137)	(79)
Fair Value Hedging | Foreign currency derivatives
Derivative Instruments, Gain (Loss) [Line Items]
Gain (Loss) Recognized in OCI on Derivative	20	(4)	18	(4)
GEORGIA POWER CO | Cash Flow Hedging | Interest rate derivatives
Derivative Instruments, Gain (Loss) [Line Items]
Gain (Loss) Recognized in OCI on Derivative	0	0	31	0
SOUTHERN POWER CO
Derivative Instruments, Gain (Loss) [Line Items]
Gain (Loss) Recognized in OCI on Derivative	(46)	(28)	(141)	(63)
SOUTHERN POWER CO | Cash Flow Hedging | Energy-related derivatives
Derivative Instruments, Gain (Loss) [Line Items]
Gain (Loss) Recognized in OCI on Derivative	(11)	8	(4)	16
SOUTHERN POWER CO | Cash Flow Hedging | Foreign currency derivatives
Derivative Instruments, Gain (Loss) [Line Items]
Gain (Loss) Recognized in OCI on Derivative	(35)	(36)	(137)	(79)
SOUTHERN Co GAS
Derivative Instruments, Gain (Loss) [Line Items]
Gain (Loss) Recognized in OCI on Derivative	27	30	55	43
SOUTHERN Co GAS | Cash Flow Hedging | Energy-related derivatives
Derivative Instruments, Gain (Loss) [Line Items]
Gain (Loss) Recognized in OCI on Derivative	22	30	55	43
SOUTHERN Co GAS | Cash Flow Hedging | Interest rate derivatives
Derivative Instruments, Gain (Loss) [Line Items]
Gain (Loss) Recognized in OCI on Derivative	$ 5	$ 0	$ 0	$ 0

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Derivatives - Schedule of Pre-Tax Effects of Cash Flow and Fair Value Hedging on Income (Details) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2022	Sep. 30, 2021
Derivative [Line Items]
Depreciation and amortization	$ 922	$ 896	$ 2,728	$ 2,658
Total interest expense, net of amounts capitalized	(511)	(451)	(1,461)	(1,352)
Total other income (expense), net	132	131	414	290
Natural gas
Derivative [Line Items]
Total cost of sales	294	129	1,840	943
Other Income (Expense)
Derivative [Line Items]
Amount excluded from effectiveness testing recognized in earnings	(21)	4	(17)	4
Cash Flow Hedging | Energy-related derivatives | Cost of Sales
Derivative [Line Items]
Gain (loss) on hedges	9	2	28	0
Cash Flow Hedging | Energy-related derivatives | Depreciation and Amortization
Derivative [Line Items]
Gain (loss) on hedges	(1)	3	5	6
Cash Flow Hedging | Interest rate derivatives | Interest Expense
Derivative [Line Items]
Gain (loss) on hedges	(7)	(7)	(19)	(20)
Cash Flow Hedging | Foreign currency derivatives | Interest Expense
Derivative [Line Items]
Gain (loss) on hedges	(3)	(6)	(16)	(18)
Cash Flow Hedging | Foreign currency derivatives | Other Income (Expense)
Derivative [Line Items]
Gain (loss) on hedges	(32)	(34)	(129)	(76)
Fair Value Hedging | Interest rate derivatives | Interest Expense
Derivative [Line Items]
Gain (loss) on hedges	(102)	(4)	(300)	(16)
Fair Value Hedging | Foreign currency derivatives | Other Income (Expense)
Derivative [Line Items]
Gain (loss) on hedges	(59)	(32)	(180)	(32)
SOUTHERN POWER CO
Derivative [Line Items]
Depreciation and amortization	133	132	384	383
Total interest expense, net of amounts capitalized	(32)	(36)	(105)	(111)
Total other income (expense), net	3	2	5	10
SOUTHERN POWER CO | Cash Flow Hedging | Energy-related derivatives | Depreciation and Amortization
Derivative [Line Items]
Gain (loss) on hedges	(1)	3	5	6
SOUTHERN POWER CO | Cash Flow Hedging | Foreign currency derivatives | Interest Expense
Derivative [Line Items]
Gain (loss) on hedges	(3)	(6)	(16)	(18)
SOUTHERN POWER CO | Cash Flow Hedging | Foreign currency derivatives | Other Income (Expense)
Derivative [Line Items]
Gain (loss) on hedges	(32)	(34)	(129)	(76)
SOUTHERN Co GAS
Derivative [Line Items]
Depreciation and amortization	140	133	414	396
Total interest expense, net of amounts capitalized	(65)	(57)	(187)	(175)
Total other income (expense), net	15	13	47	(66)
SOUTHERN Co GAS | Natural gas
Derivative [Line Items]
Total cost of sales	294	129	1,840	943
SOUTHERN Co GAS | Cash Flow Hedging | Energy-related derivatives | Cost of Sales
Derivative [Line Items]
Gain (loss) on hedges	9	2	28	0
SOUTHERN Co GAS | Cash Flow Hedging | Interest rate derivatives | Interest Expense
Derivative [Line Items]
Gain (loss) on hedges	(2)	(1)	(3)	(2)
SOUTHERN Co GAS | Fair Value Hedging | Interest rate derivatives | Interest Expense
Derivative [Line Items]
Gain (loss) on hedges	$ (30)	$ 0	$ (87)	$ 2

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Derivatives - Schedule of Cumulative Basis Adjustments for Fair Value Hedges (Details) - Fair Value Hedging - Long-term debt - USD ($) $ in Millions	Sep. 30, 2022	Dec. 31, 2021
Derivative [Line Items]
Carrying Amount of the Hedged Item	$ (2,788)	$ (3,280)
Cumulative Amount of Fair Value Hedging Adjustment included in Carrying Amount of the Hedged Item	306	9
SOUTHERN Co GAS
Derivative [Line Items]
Carrying Amount of the Hedged Item	(411)	(493)
Cumulative Amount of Fair Value Hedging Adjustment included in Carrying Amount of the Hedged Item	$ 86	$ 2

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Derivatives - Schedule of Pre-tax Effect of Interest Rate and Energy Related Derivatives on Income (Details) - Energy-related derivatives not designated as hedging instruments - Energy-related derivatives - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2022	Sep. 30, 2021
Derivative Instruments, Gain (Loss) [Line Items]
Derivative instruments not designated as hedging instruments, gain (loss), net	$ 1	$ 18	$ (17)	$ (86)
Natural gas revenues
Derivative Instruments, Gain (Loss) [Line Items]
Derivative instruments not designated as hedging instruments, gain (loss), net	3	(2)	(10)	(122)
Cost of natural gas
Derivative Instruments, Gain (Loss) [Line Items]
Derivative instruments not designated as hedging instruments, gain (loss), net	$ (2)	$ 20	$ (7)	$ 36

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Acquisitions and Dispositions - Alabama Power Narrative (Details) - USD ($) $ in Millions		9 Months Ended
	Sep. 30, 2022	Sep. 30, 2022	Sep. 30, 2021
Business Acquisition [Line Items]
Net assets recorded within property, plant, and equipment		$ 5,502	$ 5,222
ALABAMA POWER CO
Business Acquisition [Line Items]
Net assets recorded within property, plant, and equipment		$ 1,483	$ 1,235
ALABAMA POWER CO | Calhoun Generating Station
Business Acquisition [Line Items]
Purchase price	$ 179
Net assets recorded within property, plant, and equipment	$ 171

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Acquisitions and Dispositions - Southern Power Narrative (Details) - SOUTHERN POWER CO - MW	1 Months Ended		9 Months Ended	12 Months Ended
	Mar. 31, 2022	Feb. 28, 2022	Sep. 30, 2022	Dec. 31, 2021
Tranquillity Solar Storage
Business Acquisition [Line Items]
Nameplate capacity placed in service (in MWs)	40		40	32
Garland Solar Storage
Business Acquisition [Line Items]
Nameplate capacity placed in service (in MWs)		15	15	73

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Acquisitions and Dispositions - Schedule of Construction Projects (Details) - SOUTHERN POWER CO - MW	1 Months Ended		5 Months Ended	6 Months Ended	9 Months Ended	12 Months Ended
	Mar. 31, 2022	Feb. 28, 2022	Mar. 31, 2022	Feb. 28, 2022	Sep. 30, 2022	Dec. 31, 2021
Garland Solar Storage
Business Acquisition [Line Items]
Approximate Nameplate Capacity (MW)					88
PPA Contract Period				20 years
Nameplate capacity placed in service (in MWs)		15			15	73
Tranquillity Solar Storage
Business Acquisition [Line Items]
Approximate Nameplate Capacity (MW)					72
PPA Contract Period			20 years
Nameplate capacity placed in service (in MWs)	40				40	32

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Acquisitions and Dispositions - Southern Company Gas (Details) $ in Millions		3 Months Ended	9 Months Ended
	May 20, 2022 USD ($)	Dec. 31, 2022 USD ($)	Sep. 30, 2022 USD ($)	Sep. 30, 2021 USD ($)	Sep. 07, 2022 USD ($) storageFacility
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Gain on sale			$ 41	$ 171
SOUTHERN Co GAS
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Gain on sale			$ 5	$ 127
SOUTHERN Co GAS | Natural Gas Storage Facilities | Disposal Group, Disposed of by Sale
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Number of natural gas storage facilities sold | storageFacility					2
Purchase price					$ 186
SOUTHERN Co GAS | Natural Gas Storage Facilities | Disposal Group, Disposed of by Sale | Scenario, Forecast
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Gain on sale		$ (125)
Gain (loss) on dispositions, after tax		$ (95)
SOUTHERN Co GAS | Pivotal LNG | Disposal Group, Disposed of by Sale
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Proceeds from divestiture of businesses, amount held back	$ 5

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Segment and Related Information - Narrative (Details) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2022 USD ($) state	Sep. 30, 2021 USD ($)	Sep. 30, 2022 USD ($) state segment	Sep. 30, 2021 USD ($)
Segment Reporting Information [Line Items]
Number of states in which entity operates | state	3		3
Operating revenues	$ 7,116	$ 5,732	$ 19,599	$ 18,066
SOUTHERN POWER CO
Segment Reporting Information [Line Items]
Operating revenues	$ 1,010	501	$ 2,157	1,113
SOUTHERN Co GAS
Segment Reporting Information [Line Items]
Number of states in which entity operates | state	4		4
Operating revenues	$ 843	605	$ 3,948	4,930
Number of reportable segments | segment			3
SOUTHERN Co GAS | Southern Natural Gas Company, LLC
Segment Reporting Information [Line Items]
Ownership percentage, equity method investment	50.00%		50.00%
SOUTHERN Co GAS | Dalton Pipeline
Segment Reporting Information [Line Items]
Ownership percentage, equity method investment	50.00%		50.00%
SOUTHERN Co GAS | PennEast Pipeline
Segment Reporting Information [Line Items]
Ownership percentage, equity method investment	20.00%		20.00%
Traditional Electric Operating Companies | Wholesale revenues, affiliates | SOUTHERN POWER CO
Segment Reporting Information [Line Items]
Operating revenues	$ 336	$ 167	$ 673	361
SOUTHERN POWER CO | Natural gas | SOUTHERN Co GAS
Segment Reporting Information [Line Items]
Operating revenues				$ 18

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Segment and Related Information - Schedule of Financial Data for Business Segments (Details) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2022	Sep. 30, 2021	Dec. 31, 2021
Segment Reporting Information [Line Items]
Operating revenues	$ 8,378	$ 6,238	$ 22,232	$ 17,346
Segment net income (loss)	1,472	1,101	3,611	2,608
Goodwill	5,280		5,280		$ 5,280
Total assets	134,005		134,005		127,534
Estimated loss on Plant Vogtle Units 3 and 4	(70)	264	(18)	772
Gain on sale			41	171
GEORGIA POWER CO
Segment Reporting Information [Line Items]
Operating revenues	3,889	2,856	9,218	7,050
Total assets	52,546		52,546		48,461
Estimated loss on Plant Vogtle Units 3 and 4	(70)	264	(18)	772
Estimated loss on Plant Vogtle Units 3 and 4, net of tax	(52)	197	(13)	576
SOUTHERN POWER CO
Segment Reporting Information [Line Items]
Operating revenues	1,180	679	2,618	1,610
Segment net income (loss)	95	78	265	211
Total assets	13,283		13,283		13,390
Gain on sale			2	39
SOUTHERN POWER CO | Wind Generating Facility
Segment Reporting Information [Line Items]
Gain on sale				37
Gain on sale, net of tax				28
SOUTHERN Co GAS
Segment Reporting Information [Line Items]
Operating revenues	857	623	3,998	2,994
Segment net income (loss)	83	56	516	389
Goodwill	5,015		5,015		5,015
Total assets	24,097		24,097		23,560
Gain on sale			5	127
Impairment of PennEast Pipeline investment			0	84
SOUTHERN Co GAS | Disposal Group, Disposed of by Sale | Sequent
Segment Reporting Information [Line Items]
Gain on sale			121
Gain (loss) on dispositions, after tax			93
Deferred tax expense, increase from change in appointment rate			85	85
Asset impairment charges, net of tax			93
SOUTHERN Co GAS | PennEast Pipeline
Segment Reporting Information [Line Items]
Impairment of PennEast Pipeline investment		84		84
Asset impairment charges, net of tax		67		67
Electric Utilities
Segment Reporting Information [Line Items]
Operating revenues	7,427	5,527	17,943	14,051
SOUTHERN Co GAS
Segment Reporting Information [Line Items]
Operating revenues	857	623	3,998	2,994
Gas distribution operations | SOUTHERN Co GAS
Segment Reporting Information [Line Items]
Goodwill	4,034		4,034		4,034
Wholesale Gas Services | SOUTHERN Co GAS
Segment Reporting Information [Line Items]
Operating revenues				188
Gas marketing services | SOUTHERN Co GAS
Segment Reporting Information [Line Items]
Goodwill	981		981		981
Operating Segments | SOUTHERN Co GAS
Segment Reporting Information [Line Items]
Operating revenues	844	616	3,977	2,989
Segment net income (loss)	81	147	506	479
Total assets	24,625		24,625		23,971
Operating Segments | Electric Utilities
Segment Reporting Information [Line Items]
Operating revenues	7,427	5,527	17,943	14,051
Segment net income (loss)	1,540	1,163	3,521	2,563
Goodwill	2		2		2
Total assets	108,194		108,194		101,774
Operating Segments | Traditional Electric Operating Companies
Segment Reporting Information [Line Items]
Operating revenues	6,938	5,018	16,716	12,813
Segment net income (loss)	1,445	1,085	3,256	2,352
Goodwill	0		0		0
Total assets	95,659		95,659		89,051
Operating Segments | SOUTHERN POWER CO
Segment Reporting Information [Line Items]
Operating revenues	1,180	679	2,618	1,610
Segment net income (loss)	95	78	265	211
Goodwill	2		2		2
Total assets	13,283		13,283		13,390
Operating Segments | SOUTHERN Co GAS
Segment Reporting Information [Line Items]
Operating revenues	857	623	3,998	2,994
Segment net income (loss)	83	56	516	389
Goodwill	5,015		5,015		5,015
Total assets	24,097		24,097		23,560
Operating Segments | Gas distribution operations | SOUTHERN Co GAS
Segment Reporting Information [Line Items]
Operating revenues	751	556	3,533	2,466
Segment net income (loss)	59	45	365	308
Total assets	21,605		21,605		20,917
Operating Segments | Gas Pipeline Investments | SOUTHERN Co GAS
Segment Reporting Information [Line Items]
Operating revenues	8	8	24	24
Segment net income (loss)	24	10	76	3
Total assets	1,425		1,425		1,467
Operating Segments | Wholesale Gas Services | SOUTHERN Co GAS
Segment Reporting Information [Line Items]
Operating revenues	0	0	0	188
Segment net income (loss)	0	94	0	108
Total assets	0		0		31
Operating Segments | Gas marketing services | SOUTHERN Co GAS
Segment Reporting Information [Line Items]
Operating revenues	85	52	420	311
Segment net income (loss)	(2)	(2)	65	60
Total assets	1,595		1,595		1,556
Operating Segments | All Other
Segment Reporting Information [Line Items]
Operating revenues	135	124	418	412
Segment net income (loss)	(152)	(121)	(415)	(338)
Goodwill	263		263		263
Total assets	2,372		2,372		2,975
Operating Segments | All Other | SOUTHERN Co GAS
Segment Reporting Information [Line Items]
Operating revenues	16	11	43	29
Segment net income (loss)	2	(91)	10	(90)
Total assets	9,100		9,100		12,114
Eliminations
Segment Reporting Information [Line Items]
Operating revenues	(41)	(36)	(127)	(111)
Segment net income (loss)	1	3	(11)	(6)
Goodwill	0		0		0
Total assets	(658)		(658)		(775)
Eliminations | SOUTHERN Co GAS
Segment Reporting Information [Line Items]
Operating revenues	(3)	(4)	(22)	(24)
Segment net income (loss)	0	0	0	0
Total assets	(9,628)		(9,628)		(12,525)
Eliminations | Electric Utilities
Segment Reporting Information [Line Items]
Operating revenues	(691)	(170)	(1,391)	(372)
Segment net income (loss)	0	$ 0	0	$ 0
Goodwill	0		0		0
Total assets	$ (748)		$ (748)		$ (667)

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Segment and Related Information - Schedule of Financial Data for Products and Services (Details) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2022	Sep. 30, 2021
Concentration Risk [Line Items]
Operating revenues	$ 8,378	$ 6,238	$ 22,232	$ 17,346
Gain on sale			41	171
Retail
Concentration Risk [Line Items]
Operating revenues	5,961	4,551	14,363	11,492
Wholesale Electric
Concentration Risk [Line Items]
Operating revenues	1,197	731	2,798	1,822
Natural Gas
Concentration Risk [Line Items]
Operating revenues	857	623	3,998	2,994
Electric Utilities
Concentration Risk [Line Items]
Operating revenues	7,427	5,527	17,943	14,051
Electric Utilities | Retail
Concentration Risk [Line Items]
Operating revenues	5,961	4,551	14,363	11,492
Electric Utilities | Wholesale Electric
Concentration Risk [Line Items]
Operating revenues	1,197	731	2,798	1,822
Electric Utilities | Other Revenue
Concentration Risk [Line Items]
Operating revenues	269	245	782	737
Southern Company Gas' Revenues
Concentration Risk [Line Items]
Operating revenues	857	623	3,998	2,994
Southern Company Gas' Revenues | Gas Distribution Operations
Concentration Risk [Line Items]
Operating revenues	748	553	3,513	2,451
Southern Company Gas' Revenues | Wholesale Gas Services
Concentration Risk [Line Items]
Operating revenues	0	0	0	188
Southern Company Gas' Revenues | Gas marketing services
Concentration Risk [Line Items]
Operating revenues	85	52	420	311
Southern Company Gas' Revenues | Other
Concentration Risk [Line Items]
Operating revenues	24	18	65	44
Southern Company Gas' Revenues
Concentration Risk [Line Items]
Operating revenues	$ 857	623	3,998	2,994
Gain on sale			5	127
Southern Company Gas' Revenues | PennEast Pipeline
Concentration Risk [Line Items]
Asset impairment charges, net of tax		$ 67		67
Southern Company Gas' Revenues | Disposal Group, Disposed of by Sale | Sequent
Concentration Risk [Line Items]
Gain on sale			121
Asset impairment charges, net of tax			93
Deferred tax expense, increase from change in appointment rate			$ 85	85
Southern Company Gas' Revenues | Wholesale Gas Services
Concentration Risk [Line Items]
Operating revenues				188
Less Gross Gas Costs				3,783
Third Party Gross Revenues | Southern Company Gas' Revenues | Wholesale Gas Services
Concentration Risk [Line Items]
Operating revenues				3,881
Intercompany Revenues | Southern Company Gas' Revenues | Wholesale Gas Services
Concentration Risk [Line Items]
Operating revenues				90
Total Gross Revenues | Southern Company Gas' Revenues | Wholesale Gas Services
Concentration Risk [Line Items]
Operating revenues				$ 3,971