REVENUES

3 Months Ended

Mar. 31, 2020

Revenue from Contract with Customer [Abstract]

REVENUES

REVENUES

REVENUE FROM CONTRACTS WITH CUSTOMERS

Major Products and Services

	Liquids Pipelines		Gas Transmission and Midstream	Gas Distribution and Storage		Renewable Power Generation	Energy Services		Eliminations and Other		Consolidated
Three months ended March 31, 2020
(millions of Canadian dollars)
Transportation revenues	2,440		1,255	215		—	—		—		3,910
Storage and other revenues	26		79	47		—	—		—		152
Gas gathering and processing revenues	—		7	—		—	—		—		7
Gas distribution revenue	—		—	1,417		—	—		—		1,417
Electricity and transmission revenues	—		—	—		50	—		—		50
Total revenue from contracts with customers	2,466		1,341	1,679		50	—		—		5,536
Commodity sales	—		—	—		—	7,389		—		7,389
Other revenues1,2	(1,017	)	16	(1	)	103	(7	)	(6	)	(912	)
Intersegment revenues	85		—	4		—	16		(105	)	—
Total revenues	1,534		1,357	1,682		153	7,398		(111	)	12,013

	Liquids Pipelines	Gas Transmission and Midstream	Gas Distribution and Storage	Renewable Power Generation	Energy Services	Eliminations and Other		Consolidated
Three months ended March 31, 2019
(millions of Canadian dollars)
Transportation revenues	2,214	1,137	249	—	—	—		3,600
Storage and other revenues	27	53	54	—	—	—		134
Gas gathering and processing revenues	—	116	—	—	—	—		116
Gas distribution revenues	—	—	1,856	—	—	—		1,856
Electricity and transmission revenues	—	—	—	50	—	—		50
Total revenue from contracts with customers	2,241	1,306	2,159	50	—	—		5,756
Commodity sales	—	—	—	—	6,632	—		6,632
Other revenues1, 2	340	10	29	102	6	(19	)	468
Intersegment revenues	77	2	3	—	35	(117	)	—
Total revenues	2,658	1,318	2,191	152	6,673	(136	)	12,856

1 Includes mark-to-market gains/(losses) from our hedging program for the three months ended March 31, 2020 and 2019 of $1,106 million loss and $258 million gain, respectively.

2 Includes revenues from lease contracts for the three months ended March 31, 2020 and 2019 of $158 million and $164 million, respectively.

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, 2019	2,099	216	1,424
Balance as at March 31, 2020	2,287	224	1,500

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 months ended March 31, 2020 included in contract liabilities at the beginning of the period was $86 million. Increases in contract liabilities from cash received, net of amounts recognized as revenues during the three months ended March 31, 2020 were $76 million.

Performance Obligations

There were no material revenues recognized in the three months ended March 31, 2020 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 $68.0 billion, of which $5.5 billion and $6.4 billion is expected to be recognized during the nine months ending December 31, 2020, and the year ending December 31, 2021, 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 and Storage	Renewable Power Generation	Energy Services	Consolidated
Three months ended March 31, 2020
(millions of Canadian dollars)
Revenues from products transferred at a point in time	—	—	15	—	—	15
Revenues from products and services transferred over time1	2,466	1,341	1,664	50	—	5,521
Total revenue from contracts with customers	2,466	1,341	1,679	50	—	5,536

	Liquids Pipelines	Gas Transmission and Midstream	Gas Distribution and Storage	Renewable Power Generation	Energy Services	Consolidated
Three months ended March 31, 2019
(millions of Canadian dollars)
Revenues from products transferred at a point in time	—	—	17	—	—	17
Revenues from products and services transferred over time1	2,241	1,306	2,142	50	—	5,739
Total revenue from contracts with customers	2,241	1,306	2,159	50	—	5,756

1  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.