Derivative Instruments and Hedging Activities (Tables)

9 Months Ended

Jun. 30, 2024

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Schedule of Notional Amounts Related to Open Derivative Contracts

The following table summarizes by derivative type the gross notional amounts related to open derivative contracts at June 30, 2024, September 30, 2023 and June 30, 2023, and the final settlement dates of the Company's open derivative contracts as of June 30, 2024, but excluding those derivatives that qualified for the NPNS exception:

			Notional Amounts (in millions)
Type	Units	Settlements Extending Through	June 30, 2024		September 30, 2023		June 30, 2023
Commodity Price Risk:
Regulated Utility Operations
PA Gas Utility NYMEX natural gas futures and option contracts	Dekatherms	February 2025	14		38		24
Non-utility Operations
LPG swaps	Gallons	December 2026	416		727		734
Natural gas futures, forward, basis swap, options and pipeline contracts (a)	Dekatherms	March 2028	320		338		357
Electricity forward and futures contracts	Kilowatt hours	December 2027	651		1,260		1,586
Interest Rate Risk:
Interest rate swaps	Euro	March 2026	€	300	€	300	€	300
Interest rate swaps	USD	September 2026	$	1,260	$	1,270	$	1,274
Foreign Currency Exchange Rate Risk:
Forward foreign currency exchange contracts	USD	September 2027	$	367	$	425	$	434
Net investment hedge forward foreign exchange contracts	Euro	December 2026	€	181	€	256	€	256

(a)Amounts at September 30, 2023 and June 30, 2023 include contracts associated with certain UGI International energy marketing business transactions that qualified for held for sale accounting treatment (see Note 5).

Schedule of Derivative Assets, Liabilities and Effects of Offsetting

The following table presents the Company’s derivative assets and liabilities by type, as well as the effects of offsetting:

	June 30, 2024		September 30, 2023		June 30, 2023
Derivative assets:
Derivatives designated as hedging instruments:
Foreign currency contracts	$	12	$	14	$	6
Interest rate contracts	7		28		30
	19		42		36
Derivatives subject to PGC and DS mechanisms:
Commodity contracts	4		6		11
Derivatives not designated as hedging instruments:
Commodity contracts (a)	133		226		246
Foreign currency contracts	6		24		12
	139		250		258
Total derivative assets — gross	162		298		305
Gross amounts offset in the balance sheet	(94)		(124)		(134)
Cash collateral received	(12)		(40)		(36)
Total derivative assets — net	$	56	$	134	$	135
Derivative liabilities:
Derivatives designated as hedging instruments:
Interest rate contracts	$	—	$	—	$	(4)
Derivatives subject to PGC and DS mechanisms:
Commodity contracts	(5)		(8)		(18)
Derivatives not designated as hedging instruments:
Commodity contracts (a) (b)	(169)		(266)		(448)
Foreign currency contracts	(2)		(2)		(4)
	(171)		(268)		(452)
Total derivative liabilities — gross	(176)		(276)		(474)
Gross amounts offset in the balance sheet	94		124		134
Cash collateral pledged	32		53		137
Total derivative liabilities — net	$	(50)	$	(99)	$	(203)

(a)Amounts at September 30, 2023 and June 30, 2023 include derivative contracts associated with certain UGI International energy marketing business transactions (see Note 5). The related derivative assets and liabilities qualify for held for sale accounting treatment and are included in “Prepaid expenses and other current assets” and “Other current liabilities,” respectively, on the Condensed Consolidated Balance Sheets at September 30, 2023 and June 30, 2023.

Schedule of Effects of Derivative Instruments on Condensed Consolidated Statements of Income and Changes in AOCI

The following tables provide information on the effects of derivative instruments on the Condensed Consolidated Statements of Income and changes in AOCI:

Three Months Ended June 30,:
	Gain (Loss) Recognized in AOCI				Gain Reclassified from AOCI into Income				Location of Gain Reclassified from AOCI into Income
Cash Flow Hedges:	2024		2023		2024		2023
Interest rate contracts	$	7	$	32	$	13	$	14	Interest expense
Net Investment Hedges:
Foreign currency contracts	$	2	$	(5)
	Gain (Loss) Recognized in Income
Derivatives Not Designated as Hedging Instruments:	2024		2023		Location of Gain (Loss) Recognized in Income
Commodity contracts	$	—	$	1	Revenues
Commodity contracts	77		(224)		Cost of sales
Commodity contracts	—		(10)		Other operating income, net
Foreign currency contracts	1		(2)		Other non-operating income (expense), net
Total	$	78	$	(235)
Nine Months Ended June 30,:
	Loss Recognized in AOCI				Gain Reclassified from AOCI into Income				Location of Gain Reclassified from AOCI into Income
Cash Flow Hedges:	2024		2023		2024		2023
Interest rate contracts	$	2	$	15	$	40	$	28	Interest expense
Net Investment Hedges:
Foreign currency contracts	$	—	$	(28)
	Gain (Loss) Recognized in Income
Derivatives Not Designated as Hedging Instruments:	2024		2023		Location of Gain (Loss) Recognized in Income
Commodity contracts	$	1	$	11	Revenues
Commodity contracts	(52)		(1,893)		Cost of sales
Commodity contracts	2		(5)		Other operating income, net
Foreign currency contracts	(7)		(36)		Other non-operating income (expense), net
Total	$	(56)	$	(1,923)