Derivative Instruments and Hedging Activities (Tables)

9 Months Ended

Sep. 30, 2024

Derivative Instruments and Hedging Activities [Abstract]

Schedule of Derivative Instruments, Effect on Other Comprehensive Income (Loss) [Table Text Block]

The following table provides information on gains or losses recognized in AOCI for the cash flow hedges for the periods indicated:

	Interest Rate Hedges for the Three Months Ended September 30,				Interest Rate Hedges for the Nine Months Ended September 30,
$ in thousands (net of tax)	2024		2023		2024		2023
Beginning accumulated derivative gain	$	36,246	$	24,827	$	29,294	$	22,269
Net gains associated with current period hedging transactions	—		7,482		6,626		7,325
Net (gains) / losses reclassified to interest expense, net of tax	(434)		1,358		(108)		4,073
Ending accumulated derivative gain in AOCI	$	35,812	$	33,667	$	35,812	$	33,667
Net gain expected to be reclassified to earnings in the next twelve months	1,737

Schedule of Derivative Instruments [Table Text Block]

At September 30, 2024, AES Indiana’s outstanding derivative instruments were as follows:

Commodity	Accounting Treatment	Unit	Notional (in thousands)	Sales (in thousands)	Net Notional (in thousands)
FTRs	Not Designated	MWh	6,987	—	6,987

Schedule of Fair Value Hedging Instruments, Statements of Financial Performance and Financial Position, Location

The following table summarizes the fair value, balance sheet classification and hedging designation of IPALCO’s derivative instruments (in thousands):

Commodity	Hedging Designation	Balance sheet classification	September 30, 2024		December 31, 2023
FTRs	Not a Cash Flow Hedge	Derivative assets, current	$	2,817	$	1,388
Interest rate hedges	Cash Flow Hedge	Derivative assets, current	$	—	$	14,294