SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables)

3 Months Ended

Mar. 31, 2023

Summary of Revenues Disaggregated by Type of Customer

The following table presents the Utility’s revenues disaggregated by type of customer:


	Three Months Ended March 31,
(in millions)	2023		2022
Electric
Revenue from contracts with customers
Residential	$	1,289	$	1,494
Commercial	1,144		1,173
Industrial	353		350
Agricultural	155		216
Public street and highway lighting	19		18
Other, net (1)	43		(14)
Total revenue from contracts with customers - electric	3,003		3,237
Regulatory balancing accounts (2)	1,116		921
Total electric operating revenue	$	4,119	$	4,158

Natural gas
Revenue from contracts with customers
Residential	$	1,883	$	1,464
Commercial	513		344
Transportation service only	444		399
Other, net (1)	(153)		(180)
Total revenue from contracts with customers - gas	2,687		2,027
Regulatory balancing accounts (2)	(597)		(387)
Total natural gas operating revenue	2,090		1,640
Total operating revenues	$	6,209	$	5,798

(1) This activity is primarily related to the change in unbilled revenue and amounts subject to refund, partially offset by other miscellaneous revenue items.

(2) These amounts represent revenues authorized to be billed or refunded to customers.

Schedule of Net Benefit Costs

The net periodic benefit costs reflected in PG&E Corporation’s Condensed Consolidated Financial Statements for the three months ended March 31, 2023 and 2022 were as follows:


	Pension Benefits				Other Benefits
	Three Months Ended March 31,
(in millions)	2023		2022		2023		2022
Service cost for benefits earned (1)	$	95	$	144	$	10	$	15
Interest cost	228		173		18		13
Expected return on plan assets	(245)		(297)		(33)		(32)
Amortization of prior service cost	(1)		(1)		1		2
Amortization of net actuarial (gain) loss	—		—		(5)		(10)
Net periodic benefit cost	77		19		(9)		(12)
Regulatory account transfer (2)	6		64		—		—
Total	$	83	$	83	$	(9)	$	(12)

(1) A portion of service costs is capitalized pursuant to GAAP.

(2) The Utility recorded these amounts to a regulatory account since they are probable of recovery from, or refund to, customers in future rates.

Reporting of Amounts Reclassified Out of Accumulated Other Comprehensive Income

The changes, net of income tax, in PG&E Corporation’s accumulated other comprehensive income (loss) consisted of the following:


	Pension Benefits		Other Benefits		Customer Credit Trust		Total
(in millions, net of income tax)	Three Months Ended March 31, 2023
Beginning balance	$	(12)	$	18	$	(6)	$	—
Other comprehensive income before reclassification
Gain on investments (net of taxes of $0, $0 and $2, respectively)	—		—		5		5
Amounts reclassified from other comprehensive income: (1)
Amortization of prior service cost (net of taxes of $0, $0 and $0, respectively)	(1)		1		—		—
Amortization of net actuarial gain (net of taxes of $0, $1 and $0, respectively)	—		(4)		—		(4)
Regulatory account transfer (net of taxes of $0, $1 and $0, respectively)	1		3		—		4
Net current period other comprehensive gain	—		—		5		5
Ending balance	$	(12)	$	18	$	(1)	$	5

(1) These components are included in the computation of net periodic pension and other post-retirement benefit costs. See the “Pension and Other Post-Retirement Benefits” table above for additional details.


	Pension Benefits		Other Benefits		Total
(in millions, net of income tax)	Three Months Ended March 31, 2022
Beginning balance	$	(33)	$	18	$	(15)
Amounts reclassified from other comprehensive income: (1)
Amortization of prior service cost (net of taxes of $0 and $1, respectively)	(1)		1		—
Amortization of net actuarial gain (net of taxes of $0 and $3, respectively)	—		(7)		(7)
Regulatory account transfer (net of taxes of $0 and $2, respectively)	1		6		7
Net current period other comprehensive gain (loss)	—		—		—
Ending balance	$	(33)	$	18	$	(15)