Leases (Tables)

3 Months Ended

Mar. 31, 2023

Leases [Abstract]

Lease cost and additional information

The following tables provide information related to our lease costs (dollars in thousands):

	Three Months Ended March 31,
	2023		2022
Operating Lease Cost - Purchased Power Lease Contracts	$	—	$	—
Operating Lease Cost - Land, Property, and Other Equipment	4,600		4,572
Total Operating Lease Cost	4,600		4,572
Variable lease cost (a)	16,721		18,695
Short-term lease cost	1,402		1,302
Total lease cost	$	22,723	$	24,569

(a) Primarily relates to purchased power lease contracts.

The following tables provide other additional information related to operating lease liabilities (dollars in thousands):

	Three Months Ended March 31, 2023			Three Months Ended March 31, 2022
Cash paid for amounts included in the measurement of lease liabilities — operating cash flows:	$	3,851		$	3,358
Right-of-use operating lease assets obtained in exchange for operating lease liabilities	551,239		(a)	4,889

	March 31, 2023		December 31, 2022
Weighted average remaining lease term	10 years		7 years
Weighted average discount rate (b)	4.44	%	2.21	%

(a) Primarily relates to the two purchased power operating lease agreements that were modified in January 2023.

(b) Most of our lease agreements do not contain an implicit rate that is readily determinable. For these agreements we use our incremental borrowing rate to measure the present value of lease liabilities.  We determine our incremental borrowing rate at lease commencement based on the rate of interest that we would have to pay to borrow, on a collateralized basis over a similar term, an amount equal to the lease payments in a similar economic environment. We use the implicit rate when it is readily determinable.

Schedule of future minimum payments

The following table provides information related to the maturity of our operating lease liabilities (dollars in thousands):

	March 31, 2023
Year	Purchased Power Lease Contracts		Land, Property & Equipment Leases		Total
2023 (remaining nine months of 2023)	$	106,152	$	11,981	$	118,133
2024	104,315		13,098		117,413
2025	121,082		10,422		131,504
2026	134,806		8,308		143,114
2027	160,727		6,395		167,122
2028	164,524		4,338		168,862
Thereafter	779,792		68,372		848,164
Total lease commitments	1,571,398		122,914		1,694,312
Less imputed interest	342,694		45,904		388,598
Total lease liabilities	$	1,228,704	$	77,010	$	1,305,714