SEGMENT INFORMATION

9 Months Ended

Sep. 30, 2013

Segment Reporting [Abstract]

SEGMENT INFORMATION

SEGMENT INFORMATION

The Utilities operate three regulated business segments, NPC electric, SPPC electric and SPPC natural gas service, which are reported in accordance with Segment Reporting of the FASC.  Electric service is provided to Las Vegas and surrounding Clark County by NPC, and to northern Nevada by SPPC.  Natural gas services are provided by SPPC in the Reno-Sparks area of Nevada.  Other information includes amounts below the quantitative thresholds for separate disclosure.

Operational information of the different business segments is set forth below based on the nature of products and services offered.  NVE evaluates performance based on several factors, of which the primary financial measure is business segment gross margin.  Gross margin, which the Utilities calculate as operating revenues less energy costs, energy efficiency program costs and regulatory disallowances provides a measure of income available to support the other operating expenses of the Utilities.  See Note 1, Summary of Significant Accounting Policies, of the Notes to Financial Statements in the 2012 Form 10-K for further information regarding energy efficiency program costs.  

Operating expenses are provided by segment in order to reconcile to operating income as reported in the consolidated financial statements (dollars in thousands): 

Three Months Ended
September 30, 2013
	NVE Consolidated			NVE Other			NPC Electric			SPPC Total			SPPC Electric			SPPC Gas
Operating Revenues	$	1,013,151		$	3		$	786,142		$	227,006		$	213,463		$	13,543
Energy Costs:
Fuel for power generation	217,954			—			163,127			54,827			54,827			—
Purchased power	205,970			—			172,582			33,388			33,388			—
Gas purchased for resale	7,383			—			—			7,383			—			7,383
Deferred energy	(55,270		)	—			(45,381		)	(9,889		)	(7,925		)	(1,964		)
Energy efficiency program costs	16,042			—			13,998			2,044			2,044			—
Regulatory disallowance	17,335			—			11,866			5,469			5,469			—
Total Costs	$	409,414		$	—		$	316,192		$	93,222		$	87,803		$	5,419
Gross Margin	$	603,737		$	3		$	469,950		$	133,784		$	125,660		$	8,124
Merger-related costs	7,857			229			5,620			2,008
Other operating expenses	106,068			830			70,844			34,394
Maintenance	17,176			—			11,208			5,968
Depreciation and amortization	96,801			—			68,849			27,952
Taxes other than income	14,214			57			8,213			5,944
Operating Income (Loss)	$	361,621		$	(1,113	)	$	305,216		$	57,518

Nine Months Ended
September 30, 2013
	NVE Consolidated			NVE Other			NPC Electric			SPPC Total			SPPC Electric			SPPC Gas
Operating Revenues	$	2,329,011		$	10		$	1,695,129		$	633,872		$	560,392		$	73,480
Energy Costs:
Fuel for power generation	554,181			—			412,904			141,277			141,277			—
Purchased power	498,141			—			383,386			114,755			114,755			—
Gas purchased for resale	62,277			—			—			62,277			—			62,277
Deferred energy	(221,022		)	—			(154,484		)	(66,538		)	(44,223		)	(22,315		)
Energy efficiency program costs	38,486			—			32,807			5,679			5,679			—
Regulatory disallowance	17,335			—			11,866			5,469			5,469			—
Total Costs	$	949,398		$	—		$	686,479		$	262,919		$	222,957		$	39,962
Gross Margin	$	1,379,613		$	10		$	1,008,650		$	370,953		$	337,435		$	33,518
Merger-related costs	21,409			1,394			14,487			5,528
Other operating expenses	317,538			2,747			208,336			106,455
Maintenance	66,128			—			45,172			20,956
Depreciation and amortization	291,687			—			207,915			83,772
Taxes other than income	46,536			318			27,804			18,414
Operating Income (Loss)	$	636,315		$	(4,449	)	$	504,936		$	135,828

Three Months Ended
September 30, 2012
	NVE Consolidated			NVE Other			NPC Electric			SPPC Total			SPPC Electric			SPPC Gas
Operating Revenues	$	1,026,488		$	4		$	802,334		$	224,150		$	212,073		$	12,077
Energy Costs:
Fuel for power generation	171,316			—			123,992			47,324			47,324			—
Purchased power	205,686			—			171,687			33,999			33,999			—
Gas purchased for resale	5,382			—			—			5,382			—			5,382
Deferred energy	(29,036		)	—			(22,685		)	(6,351		)	(5,498		)	(853		)
Energy efficiency program costs	32,584			—			28,492			4,092			4,092			—
Total Costs	$	385,932		$	—		$	301,486		$	84,446		$	79,917		$	4,529
Gross Margin	$	640,556		$	4		$	500,848		$	139,704		$	132,156		$	7,548
Other operating expenses	100,108			608			65,372			34,128
Maintenance	19,014			—			12,533			6,481
Depreciation and amortization	94,512			—			66,975			27,537
Taxes other than income	15,682			45			9,743			5,894
Operating Income (Loss)	$	411,240		$	(649	)	$	346,225		$	65,664

Nine Months Ended
September 30, 2012
	NVE Consolidated			NVE Other			NPC Electric			SPPC Total			SPPC Electric			SPPC Gas
Operating Revenues	$	2,378,606		$	12		$	1,751,165		$	627,429		$	549,886		$	77,543
Energy Costs:
Fuel for power generation	400,936			—			285,799			115,137			115,137			—
Purchased power	486,894			—			388,494			98,400			98,400			—
Gas purchased for resale	46,491			—			—			46,491			—			46,491
Deferred Energy	(30,285		)	—			(15,461		)	(14,824		)	(13,854		)	(970		)
Energy efficiency program costs	76,609			—			65,466			11,143			11,143			—
Total Costs	$	980,645		$	—		$	724,298		$	256,347		$	210,826		$	45,521
Gross Margin	$	1,397,961		$	12		$	1,026,867		$	371,082		$	339,060		$	32,022
Other operating expenses	307,080			2,382			200,484			104,214
Maintenance	76,190			—			52,594			23,596
Depreciation and amortization	281,690			—			201,096			80,594
Taxes other than income	44,457			282			26,793			17,382
Operating Income (Loss)	$	688,544		$	(2,652	)	$	545,900		$	145,296