Commitments and Contingencies (Tables)

12 Months Ended

Dec. 31, 2022

Summary of undiscounted expected payments for PPA


(in millions)	Total
2023	$	3,106
2024		2,596
2025		2,409
2026		2,401
2027		2,221
Thereafter		18,000
Total future commitments¹	$	30,733

Certain power purchase agreements are treated as operating leases. For further discussion, see Note 13.

Summary of Certain Future Other Commitments

The following summarizes the estimated minimum future commitments for SCE's other commitments:


(in millions)	2023		2024		2025		2026		2027		Thereafter		Total
Other contractual obligations	$	46	$	52	$	50	$	46	$	35	$	203	$	432

2017/2018 Wildfire/Mudslide Events

Commitments and Contingencies

Schedule of Contingency Accruals and Changes


(in millions)
Balance at December 31, 2021¹	$	1,734
Increase in accrued estimated losses		1,296
Amounts paid		(1,911)
Balance at December 31, 2022²	$	1,119

At December 31, 2021, $131 million in current liabilities, wildfire-related claims, on Edison International's and SCE's consolidated balance sheets consists of settlements executed in connection with the 2017/2018 Wildfire/Mudslide Events. At December 31, 2021, the $1,733 million included in deferred credits and other liabilities, wildfire-related claims, on Edison International's and SCE's consolidated balance sheets includes Edison International's and SCE's best estimate of expected losses for the 2017/2018 Wildfire/Mudslide Events of $1,603 million and other wildfire-related claims estimates of $130 million.

At December 31, 2022, $121 million in current liabilities, wildfire-related claims, on Edison International's and SCE's consolidated balance sheets consists of $65 million of settlements executed and $56 million of a short term payables under the SED Agreement in connection with the 2017/2018 Wildfire/Mudslide Events. At December 31, 2022, the $1,687 million included in deferred credits and other liabilities, wildfire-related claims, on Edison International's and SCE's consolidated balance sheets includes Edison International's and SCE's best estimate of expected losses for remaining alleged and potential claims related to the 2017/2018 Wildfire/Mudslide Events of $934 million, $64 million of a long term payables under the SED Agreement and other wildfire-related claims estimates of $689 million.

For the years-ended December 31, 2022 and 2021, Edison International’s and SCE’s income statements include charges for the estimated losses, net of expected recoveries from insurance and FERC customers, related to the 2017/2018 Wildfire/Mudslide Events as follows:


	Years ended December 31,
(in millions)	2022		2021
Charge for wildfire-related claims	$	1,296	$	1,265
Expected revenue from FERC customers		(76)		(67)
Total pre-tax charge		1,220		1,198
Income tax benefit		(341)		(304)
Total after-tax charge	$	879	$	894

Post-2018 Wildfires

Commitments and Contingencies

Schedule of Contingency Accruals and Changes

The following table presents changes in estimated losses since December 31, 2021:


(in millions)
Balance at December 31, 2021	$	123
Increase in accrued estimated losses		572
Amounts paid		(13)
Balance at December 31, 2022	$	682

For the years-ended December 31, 2022 and 2021, Edison International's and SCE's income statements include charges for the estimated losses, net of expected recoveries from insurance and customers, related to the Post-2018 Wildfires as follows, respectively:


	Years ended December 31,
(in millions)	2022		2021
Edison International:
Charge for wildfire-related claims¹	$	572	$	7
Expected insurance recoveries²		(390)		—
Expected revenue from CPUC and FERC customers		(162)		—
Total pre-tax charge		20		7
Income tax benefit		(6)		(2)
Total after-tax charge	$	14	$	5


	Years ended December 31,
(in millions)	2022		2021
SCE:
Charge for wildfire-related claims¹	$	572	$	7
Expected insurance recoveries		(399)		—
Expected revenue from CPUC and FERC customers		(162)		—
Total pre-tax charge		11		7
Income tax benefit		(3)		(2)
Total after-tax charge	$	8	$	5

1	Includes estimated co-insurance payments recorded as operations and maintenance expense.

2	In the third quarter of 2022. Edison Insurance Services, Inc. ("EIS"), a wholly-owned subsidiary of Edison International, paid $9 million insurance, which was included in the insurance recovery of SCE but was excluded in Edison International.