REVENUES

9 Months Ended

Sep. 30, 2019

Revenue from Contract with Customer [Abstract]

REVENUES

REVENUES

Effective January 1, 2019, we renamed the Green Power and Transmission segment to Renewable Power Generation and Transmission. The presentation of the prior years' tables has been revised in order to align with the current presentation.

REVENUE FROM CONTRACTS WITH CUSTOMERS

Major Products and Services

	Liquids Pipelines		Gas Transmission and Midstream	Gas Distribution		Renewable Power Generation and Transmission	Energy Services		Eliminations and Other		Consolidated
Three months ended September 30, 2019
(millions of Canadian dollars)
Transportation revenues	2,305		1,073	135		—	—		—		3,513
Storage and other revenues	31		69	48		—	—		—		148
Gas gathering and processing revenues	—		98	—		—	—		—		98
Gas distribution revenue	—		—	470		—	—		—		470
Electricity and transmission revenues	—		—	—		46	—		—		46
Total revenue from contracts with customers	2,336		1,240	653		46	—		—		4,275
Commodity sales	—		—	—		—	7,396		—		7,396
Other revenues1,2	(156	)	23	(21	)	82	(1	)	—		(73	)
Intersegment revenues	88		1	3		—	8		(100	)	—
Total revenues	2,268		1,264	635		128	7,403		(100	)	11,598

	Liquids Pipelines	Gas Transmission and Midstream		Gas Distribution	Renewable Power Generation and Transmission	Energy Services	Eliminations and Other		Consolidated
Three months ended September 30, 2018
(millions of Canadian dollars)
Transportation revenues	2,190	979		97	—	—	—		3,266
Storage and other revenues	31	53		55	—	—	—		139
Gas gathering and processing revenues	—	200		—	—	—	—		200
Gas distribution revenues	—	—		478	—	—	—		478
Electricity and transmission revenues	—	—		—	43	—	—		43
Commodity sales	—	298		—	—	—	—		298
Total revenue from contracts with customers	2,221	1,530		630	43	—	—		4,424
Commodity sales	—	—		—	—	6,621	—		6,621
Other revenues1, 2	222	(6	)	11	74	—	(1	)	300
Intersegment revenues	86	4		4	—	25	(119	)	—
Total revenues	2,529	1,528		645	117	6,646	(120	)	11,345

	Liquids Pipelines	Gas Transmission and Midstream	Gas Distribution	Renewable Power Generation and Transmission	Energy Services		Eliminations and Other		Consolidated
Nine months ended September 30, 2019
(millions of Canadian dollars)
Transportation revenues	6,749	3,323	555	—	—		—		10,627
Storage and other revenues	83	168	154	—	—		—		405
Gas gathering and processing revenues	—	329	—	—	—		—		329
Gas distribution revenue	—	—	3,080	—	—		—		3,080
Electricity and transmission revenues	—	—	—	139	—		—		139
Commodity sales	—	3	—	—	—		—		3
Total revenue from contracts with customers	6,832	3,823	3,789	139	—		—		14,583
Commodity sales	—	—	—	—	22,441		—		22,441
Other revenues1,2	383	43	5	278	(2	)	(14	)	693
Intersegment revenues	280	4	9	—	55		(348	)	—
Total revenues	7,495	3,870	3,803	417	22,494		(362	)	37,717

	Liquids Pipelines		Gas Transmission and Midstream	Gas Distribution	Renewable Power Generation and Transmission	Energy Services	Eliminations and Other		Consolidated
Nine months ended September 30, 2018
(millions of Canadian dollars)
Transportation revenues	6,327		2,889	487	—	—	—		9,703
Storage and other revenues	113		164	173	—	—	—		450
Gas gathering and processing revenues	—		636	—	—	—	—		636
Gas distribution revenues	—		—	3,260	—	—	—		3,260
Electricity and transmission revenues	—		—	—	153	—	—		153
Commodity sales	—		1,630	—	—	—	—		1,630
Total revenue from contracts with customers	6,440		5,319	3,920	153	—	—		15,832
Commodity sales	—		—	—	—	19,008	—		19,008
Other revenues1, 2	(308	)	2	22	270	—	(10	)	(24	)
Intersegment revenues	256		8	10	—	106	(380	)	—
Total revenues	6,388		5,329	3,952	423	19,114	(390	)	34,816

1 Includes mark-to-market gains/(losses) from our hedging program.

2 Includes revenues from lease contracts. Refer to Note 14 Leases.

We disaggregate revenues into categories which represent our principal performance obligations within each business segment because these revenues categories represent the most significant revenue streams in each segment and consequently are considered to be the most relevant revenues information for management to consider in evaluating performance.

Contract Balances

	Receivables	Contract Assets	Contract Liabilities
(millions of Canadian dollars)
Balance as at December 31, 2018	1,929	191	1,297
Balance as at September 30, 2019	1,694	191	1,437

Contract receivables represent the amount of receivables derived from contracts with customers. Contract assets represent the amount of revenues which has been recognized in advance of payments received for performance obligations we have fulfilled (or partially fulfilled) and prior to the point in time at which our right to the payment is unconditional. Amounts included in contract assets are transferred to accounts receivable when our right to the consideration becomes unconditional.

Contract liabilities represent payments received for performance obligations which have not been fulfilled. Contract liabilities primarily relate to make-up rights and deferred revenues. Revenue recognized during the three and nine months ended September 30, 2019 included in contract liabilities at the beginning of the period was $19 million and $149 million, respectively. Increases in contract liabilities from cash received, net of amounts recognized as revenues during the three and nine months ended September 30, 2019 were $171 million and $314 million, respectively.

Performance Obligations

There were no material revenues recognized in the three and nine months ended September 30, 2019 from performance obligations satisfied in previous periods.

Revenues to be Recognized from Unfulfilled Performance Obligations

Total revenues from performance obligations expected to be fulfilled in future periods is $64.7 billion, of which $1.8 billion and $6.0 billion is expected to be recognized during the three months ending December 31, 2019, and the year ending December 31, 2020, respectively.

The revenues excluded from the amounts above based on optional exemptions available under ASC 606, as explained below, represent a significant portion of our overall revenues and revenue from contracts with customers. Certain revenues such as flow-through operating costs charged to shippers are recognized at the amount for which we have the right to invoice our customers and are excluded from the amounts for revenues to be recognized in the future from unfulfilled performance obligations above. Variable consideration is excluded from the amounts above due to the uncertainty of the associated consideration, which is generally resolved when actual volumes and prices are determined. For example, we consider interruptible transportation service revenues to be variable revenues since volumes cannot be estimated. Additionally, the effect of escalation on certain tolls which are contractually escalated for inflation has not been reflected in the amounts above as it is not possible to reliably estimate future inflation rates. Revenues for periods extending beyond the current rate settlement term for regulated contracts where the tolls are periodically reset by the regulator are excluded from the amounts above since future tolls remain unknown. Finally, revenue from contracts with customers which have an original expected duration of one year or less are excluded from the amounts above.

Recognition and Measurement of Revenues

	Liquids Pipelines	Gas Transmission and Midstream	Gas Distribution	Renewable Power Generation and Transmission	Energy Services	Consolidated
Three months ended September 30, 2019
(millions of Canadian dollars)
Revenues from products transferred at a point in time1	—	—	17	—	—	17
Revenues from products and services transferred over time2	2,336	1,240	636	46	—	4,258
Total revenue from contracts with customers	2,336	1,240	653	46	—	4,275

	Liquids Pipelines	Gas Transmission and Midstream	Gas Distribution	Renewable Power Generation and Transmission	Energy Services	Consolidated
Three months ended September 30, 2018
(millions of Canadian dollars)
Revenues from products transferred at a point in time1	—	298	20	—	—	318
Revenues from products and services transferred over time2	2,221	1,232	610	43	—	4,106
Total revenue from contracts with customers	2,221	1,530	630	43	—	4,424

	Liquids Pipelines	Gas Transmission and Midstream	Gas Distribution	Renewable Power Generation and Transmission	Energy Services	Consolidated
Nine months ended September 30, 2019
(millions of Canadian dollars)
Revenues from products transferred at a point in time1	—	3	51	—	—	54
Revenues from products and services transferred over time2	6,832	3,820	3,738	139	—	14,529
Total revenue from contracts with customers	6,832	3,823	3,789	139	—	14,583

	Liquids Pipelines	Gas Transmission and Midstream	Gas Distribution	Renewable Power Generation and Transmission	Energy Services	Consolidated
Nine months ended September 30, 2018
(millions of Canadian dollars)
Revenues from products transferred at a point in time1	—	1,630	65	—	—	1,695
Revenues from products and services transferred over time2	6,440	3,689	3,855	153	—	14,137
Total revenue from contracts with customers	6,440	5,319	3,920	153	—	15,832

1  Revenues from sales of crude oil, natural gas and NGLs.

2  Revenues from crude oil and natural gas pipeline transportation, storage, natural gas gathering, compression and treating, natural gas distribution, natural gas storage services and electricity sales.