XML 49 R37.htm IDEA: XBRL DOCUMENT v3.23.1
Fair Value Measurements (Tables)
 3 Months Ended
Mar. 31, 2023
Fair Value Disclosures [Abstract]  
Schedule of Fair value of assets and liabilities that are measured at fair value on a recurring basis
The following table presents the fair value at March 31, 2023, of our assets and liabilities that are measured at fair value on a recurring basis (dollars in thousands):
 
 Level 1Level 2Level 3Other Total
ASSETS      
Cash equivalents$14 $— $— $— $14 
Risk management activities — derivative instruments:
Commodity contracts— 28,483 21,257 (16,697)(a)33,043 
Interest rate swaps— 134 — — 134 
Subtotal risk management activities - derivative instruments— 28,617 21,257 (16,697)33,177 
Nuclear decommissioning trust:
Equity securities9,665 — — (1,135)(b)8,530 
U.S. commingled equity funds— — — 507,706 (c)507,706 
U.S. Treasury debt231,003 — — —  231,003 
Corporate debt— 149,541 — —  149,541 
Mortgage-backed securities— 157,330 — —  157,330 
Municipal bonds— 63,950 — —  63,950 
Other fixed income— 7,557 — —  7,557 
Subtotal nuclear decommissioning trust240,668 378,378 — 506,571 1,125,617 
Other special use funds:
Equity securities27,642 — — 1,041 (b)28,683 
U.S. Treasury debt320,196 — — — 320,196 
Municipal bonds— 3,998 — — 3,998 
Subtotal other special use funds347,838 3,998 — 1,041 352,877 
Total assets$588,520 $410,993 $21,257 $490,915 $1,511,685 
LIABILITIES
Risk management activities — derivative instruments:
Commodity contracts$— $(93,567)$(14,635)$10,643 (a)$(97,559)
Interest rate swaps— (1,698)— — (1,698)
Subtotal risk management activities - derivative instruments— (95,265)(14,635)10,643 (99,257)
Total liabilities$— $(95,265)$(14,635)$10,643 $(99,257)
(a)Represents counterparty netting, margin, and collateral. See Note 7.
(b)Represents net pending securities sales and purchases.
(c)Valued using NAV as a practical expedient and, therefore, are not classified in the fair value hierarchy.

The following table presents the fair value at December 31, 2022, of our assets and liabilities that are measured at fair value on a recurring basis (dollars in thousands):
 
 Level 1Level 2Level 3Other Total
ASSETS
Risk management activities — derivative instruments:
Commodity contracts$— $127,129 $26,132 $(21,163)(a)$132,098 
Interest rate swaps— 131 — — 131 
Subtotal risk management activities - derivative instruments— 127,260 26,132 (21,163)132,229 
Nuclear decommissioning trust:
Equity securities14,658 — — 3,827 (b)18,485 
U.S. commingled equity funds— — — 472,582 (c)472,582 
U.S. Treasury debt211,923 — — — 211,923 
Corporate debt— 149,226 — — 149,226 
Mortgage-backed securities— 147,938 — — 147,938 
Municipal bonds— 64,881 — — 64,881 
Other fixed income— 8,375 — — 8,375 
Subtotal nuclear decommissioning trust226,581 370,420 — 476,409 1,073,410 
Other special use funds:
Equity securities66,974 — — 963 (b)67,937 
U.S. Treasury debt275,267 — — — 275,267 
Municipal bonds— 4,027 — — 4,027 
Subtotal other special use funds342,241 4,027 — 963 347,231 
Total assets$568,822 $501,707 $26,132 $456,209 $1,552,870 
LIABILITIES
Risk management activities — derivative instruments:
Commodity contracts$— $(25,874)$(31,020)$15,357 (a)$(41,537)
Interest rate swaps— (909)— — (909)
Subtotal risk management activities - derivative instruments— (26,783)(31,020)15,357 (42,446)
Total liabilities$— $(26,783)$(31,020)$15,357 $(42,446)

(a)Represents counterparty netting, margin, and collateral. See Note 7.
(b)Represents net pending securities sales and purchases.
(c)Valued using NAV as a practical expedient and, therefore, are not classified in the fair value hierarchy.
The following table shows the changes in fair value for our risk management activities’ assets and liabilities that are measured at fair value on a recurring basis using Level 3 inputs for the three months ended March 31, 2023 and 2022 (dollars in thousands):
 Three Months Ended
March 31,
Commodity Contracts20232022
Net derivative balance at beginning of period$(4,888)$(2,738)
Total net gains (losses) realized/unrealized:
Deferred as a regulatory asset or liability(30,427)16,807 
Settlements41,937 (4,419)
Transfers into Level 3 from Level 2— — 
Transfers from Level 3 into Level 2— — 
Net derivative balance at end of period$6,622 $9,650 
Net unrealized gains included in earnings related to instruments still held at end of period$— $— 
Fair Value Measurement Inputs and Valuation Techniques
The following tables provide information regarding our significant unobservable inputs used to value our risk management derivative Level 3 instruments at March 31, 2023 and December 31, 2022:

March 31, 2023
 Fair Value (thousands)		ValuationSignificantWeighted-Average
Commodity ContractsAssetsLiabilitiesTechniqueUnobservable InputRange (b)
Electricity:
Forward Contracts (a)$21,084 $14,385 Discounted cash flowsElectricity forward price (per MWh)$37.79-$306.34$157.00 
Natural Gas:
Forward Contracts (a)173 250 Discounted cash flowsNatural gas forward price (per MMBtu)$(0.02)-$0.14$0.02 
Total$21,257 $14,635 
(a)Includes swaps and physical and financial contracts.
(b)Unobservable inputs were weighted by the relative fair value of the instrument.

 
December 31, 2022
 Fair Value (thousands)		ValuationSignificantWeighted-Average
Commodity ContractsAssetsLiabilitiesTechniqueUnobservable InputRange(b)
Electricity:
Forward Contracts (a)$26,132 $1,759 Discounted cash flowsElectricity forward price (per MWh)$37.79-$310.69$163.92 
Natural Gas:
Forward Contracts (a)— 29,261 Discounted cash flowsNatural gas forward price (per MMBtu)$(11.81)-$0.00$(5.08)
Total$26,132 $31,020 
(a)Includes swaps and physical and financial contracts.
(b)Unobservable inputs were weighted by the relative fair value of the instrument.