OPERATING REVENUES

9 Months Ended

Sep. 30, 2021

Revenue from Contract with Customer [Abstract]

OPERATING REVENUES

OPERATING REVENUES

For more information about our operating revenues, see Note 1(d), Operating Revenues, in our 2020 Annual Report on Form 10-K.

Disaggregation of Operating Revenues

The following tables present our operating revenues disaggregated by revenue source. We do not have any revenues associated with our electric transmission segment, which includes investments accounted for using the equity method. We disaggregate revenues into categories that depict how the nature, amount, timing, and uncertainty of revenues and cash flows are affected by economic factors. For our segments, revenues are further disaggregated by electric and natural gas operations and then by customer class. Each customer class within our electric and natural gas operations have different expectations of service, energy and demand requirements, and can be impacted differently by regulatory activities within their jurisdictions.

(in millions)	Wisconsin		Illinois		Other States		Total Utility Operations		Non-Utility Energy Infrastructure		Corporate and Other		Reconciling Eliminations			WEC Energy Group Consolidated
Three Months Ended September 30, 2021
Electric	$	1,284.6	$	—	$	—	$	1,284.6	$	—	$	—	$	—		$	1,284.6
Natural gas	169.0		208.3		48.1		425.4		9.7		—		(9.1)			426.0
Total regulated revenues	1,453.6		208.3		48.1		1,710.0		9.7		—		(9.1)			1,710.6
Other non-utility revenues	—		—		4.3		4.3		19.7		—		(1.6)			22.4
Total revenues from contracts with customers	1,453.6		208.3		52.4		1,714.3		29.4		—		(10.7)			1,733.0
Other operating revenues	5.0		7.9		0.4		13.3		100.1		0.2		(100.1)		(1)	13.5
Total operating revenues	$	1,458.6	$	216.2	$	52.8	$	1,727.6	$	129.5	$	0.2	$	(110.8)		$	1,746.5

(in millions)	Wisconsin		Illinois		Other States		Total Utility Operations		Non-Utility Energy Infrastructure		Corporate and Other		Reconciling Eliminations			WEC Energy Group Consolidated
Three Months Ended September 30, 2020
Electric	$	1,212.9	$	—	$	—	$	1,212.9	$	—	$	—	$	—		$	1,212.9
Natural gas	150.5		213.4		43.1		407.0		9.1		—		(8.3)			407.8
Total regulated revenues	1,363.4		213.4		43.1		1,619.9		9.1		—		(8.3)			1,620.7
Other non-utility revenues	—		0.1		4.2		4.3		14.7		0.5		(1.6)			17.9
Total revenues from contracts with customers	1,363.4		213.5		47.3		1,624.2		23.8		0.5		(9.9)			1,638.6
Other operating revenues	2.9		8.4		1.0		12.3		99.7		0.1		(99.7)		(1)	12.4
Total operating revenues	$	1,366.3	$	221.9	$	48.3	$	1,636.5	$	123.5	$	0.6	$	(109.6)		$	1,651.0

(in millions)	Wisconsin		Illinois		Other States		Total Utility Operations		Non-Utility Energy Infrastructure		Corporate and Other		Reconciling Eliminations			WEC Energy Group Consolidated
Nine Months Ended September 30, 2021
Electric	$	3,462.8	$	—	$	—	$	3,462.8	$	—	$	—	$	—		$	3,462.8
Natural gas	1,009.0		1,167.9		340.6		2,517.5		33.7		—		(31.1)			2,520.1
Total regulated revenues	4,471.8		1,167.9		340.6		5,980.3		33.7		—		(31.1)			5,982.9
Other non-utility revenues	—		—		13.4		13.4		67.1		—		(7.1)			73.4
Total revenues from contracts with customers	4,471.8		1,167.9		354.0		5,993.7		100.8		—		(38.2)			6,056.3
Other operating revenues	26.0		27.2		4.2		57.4		299.8		0.4		(299.8)		(1)	57.8
Total operating revenues	$	4,497.8	$	1,195.1	$	358.2	$	6,051.1	$	400.6	$	0.4	$	(338.0)		$	6,114.1

(in millions)	Wisconsin		Illinois		Other States		Total Utility Operations		Non-Utility Energy Infrastructure		Corporate and Other		Reconciling Eliminations			WEC Energy Group Consolidated
Nine Months Ended September 30, 2020
Electric	$	3,247.1	$	—	$	—	$	3,247.1	$	—	$	—	$	—		$	3,247.1
Natural gas	817.2		901.5		245.3		1,964.0		32.3		—		(30.6)			1,965.7
Total regulated revenues	4,064.3		901.5		245.3		5,211.1		32.3		—		(30.6)			5,212.8
Other non-utility revenues	—		0.1		12.8		12.9		48.2		1.7		(7.1)			55.7
Total revenues from contracts with customers	4,064.3		901.6		258.1		5,224.0		80.5		1.7		(37.7)			5,268.5
Other operating revenues	7.1		29.1		3.3		39.5		297.9		0.3		(297.9)		(1)	39.8
Total operating revenues	$	4,071.4	$	930.7	$	261.4	$	5,263.5	$	378.4	$	2.0	$	(335.6)		$	5,308.3

(1)Amounts eliminated represent lease revenues related to certain plants that We Power leases to WE to supply electricity to its customers. Lease payments are billed from We Power to WE and then recovered in WE's rates as authorized by the PSCW and the FERC. WE operates the plants and is authorized by the PSCW and Wisconsin state law to fully recover prudently incurred operating and maintenance costs in electric rates.

Revenues from Contracts with Customers

Electric Utility Operating Revenues

The following table disaggregates electric utility operating revenues into customer class:

	Three Months Ended September 30				Nine Months Ended September 30
(in millions)	2021		2020		2021		2020
Residential	$	512.2	$	500.8	$	1,354.9	$	1,324.4
Small commercial and industrial	396.9		373.6		1,074.9		1,004.3
Large commercial and industrial	271.9		244.0		705.9		626.4
Other	7.0		6.9		21.7		21.1
Total retail revenues	1,188.0		1,125.3		3,157.4		2,976.2
Wholesale	41.1		46.5		119.4		129.9
Resale	45.0		33.7		145.1		107.3
Steam	2.7		2.5		21.7		15.0
Other utility revenues	7.8		4.9		19.2		18.7
Total electric utility operating revenues	$	1,284.6	$	1,212.9	$	3,462.8	$	3,247.1

Natural Gas Utility Operating Revenues

The following tables disaggregate natural gas utility operating revenues into customer class:

(in millions)	Wisconsin		Illinois		Other States		Total Natural Gas Utility Operating Revenues
Three Months Ended September 30, 2021
Residential	$	89.4	$	146.5	$	23.7	$	259.6
Commercial and industrial	45.4		40.7		14.6		100.7
Total retail revenues	134.8		187.2		38.3		360.3
Transportation	16.1		43.4		6.0		65.5
Other utility revenues (1)	18.1		(22.3)		3.8		(0.4)
Total natural gas utility operating revenues	$	169.0	$	208.3	$	48.1	$	425.4

(in millions)	Wisconsin		Illinois		Other States		Total Natural Gas Utility Operating Revenues
Three Months Ended September 30, 2020
Residential	$	74.6	$	128.6	$	18.8	$	222.0
Commercial and industrial	28.3		28.6		10.2		67.1
Total retail revenues	102.9		157.2		29.0		289.1
Transportation	15.7		40.0		5.3		61.0
Other utility revenues (1)	31.9		16.2		8.8		56.9
Total natural gas utility operating revenues	$	150.5	$	213.4	$	43.1	$	407.0

(in millions)	Wisconsin		Illinois		Other States		Total Natural Gas Utility Operating Revenues
Nine Months Ended September 30, 2021
Residential	$	625.6	$	679.5	$	149.5	$	1,454.6
Commercial and industrial	312.0		194.9		75.8		582.7
Total retail revenues	937.6		874.4		225.3		2,037.3
Transportation	58.3		166.4		23.6		248.3
Other utility revenues (1)	13.1		127.1		91.7		231.9
Total natural gas utility operating revenues	$	1,009.0	$	1,167.9	$	340.6	$	2,517.5

(in millions)	Wisconsin		Illinois		Other States		Total Natural Gas Utility Operating Revenues
Nine Months Ended September 30, 2020
Residential	$	513.5	$	568.9	$	154.1	$	1,236.5
Commercial and industrial	226.6		156.5		78.5		461.6
Total retail revenues	740.1		725.4		232.6		1,698.1
Transportation	56.8		159.0		22.8		238.6
Other utility revenues (1)	20.3		17.1		(10.1)		27.3
Total natural gas utility operating revenues	$	817.2	$	901.5	$	245.3	$	1,964.0

(1)Includes the revenues subject to the purchased gas recovery mechanisms of our utilities. The amounts for the nine months ended September 30, 2021 reflect the higher natural gas costs that were incurred as a result of the extreme winter weather conditions in February 2021. As these amounts are billed to customers, they are reflected in retail revenues with an offsetting decrease in other utility revenues. See Note 22, Regulatory Environment, for more information. In addition to costs related to the extreme weather event, we incurred higher natural gas costs throughout the nine months ended September 30, 2021, compared with the same period in 2020, as a result of an increase in the price of natural gas.

Other Natural Gas Operating Revenues

We have other natural gas operating revenues from Bluewater, which is in our non-utility energy infrastructure segment. Bluewater has entered into long-term service agreements for natural gas storage services with WE, WPS, and WG, and also provides limited service to unaffiliated customers. All amounts associated with the service agreements with WE, WPS, and WG have been eliminated at the consolidated level.

Other Non-Utility Operating Revenues

Other non-utility operating revenues consist primarily of the following:

	Three Months Ended September 30				Nine Months Ended September 30
(in millions)	2021		2020		2021		2020
Wind generation revenues	$	12.2	$	7.4	$	42.5	$	24.0
We Power revenues (1)	5.9		5.8		17.5		17.1
Appliance service revenues	4.3		4.2		13.4		12.8
Other	—		0.5		—		1.8
Total other non-utility operating revenues	$	22.4	$	17.9	$	73.4	$	55.7

(1)As part of the construction of the We Power electric generating units, we capitalized interest during construction, which is included in property, plant, and equipment. As allowed by the PSCW, we collected these carrying costs from WE's utility customers during construction. The equity portion of these carrying costs was recorded as a contract liability, which is presented as deferred revenue, net on our balance sheets. We continually amortize the deferred carrying costs to revenues over the related lease term that We Power has with WE.

Other Operating Revenues

Other operating revenues consist primarily of the following:

	Three Months Ended September 30				Nine Months Ended September 30
(in millions)	2021		2020		2021		2020
Late payment charges (1)	$	11.9	$	6.0	$	44.2	$	18.1
Alternative revenues	0.9		5.4		10.0		18.2
Other	0.7		1.0		3.6		3.5
Total other operating revenues	$	13.5	$	12.4	$	57.8	$	39.8

(1)The increase in late payment charges during the three and nine months ended September 30, 2021, compared with the same periods in 2020, was a result of the expiration of various regulatory orders from our utility commissions in response to the COVID-19 pandemic, which included the suspension of late payment charges during a designated time period. See Note 22, Regulatory Environment, for more information.