ASSET RETIREMENT OBLIGATIONS

12 Months Ended

Dec. 31, 2022

Asset Retirement Obligation Disclosure [Abstract]

Our ARO relate mostly to the retirement of pipelines, renewable power generation assets and obligations related to right-of way agreements and contractual leases for land use.

The discount rates used to estimate the present value of the expected future cash flows for the year ended December 31, 2022 ranged from 1.5% to 9.0% (2021 - 0.9% to 9.0%).

A reconciliation of movements in our ARO liabilities is as follows:


December 31,	2022	2021
(millions of Canadian dollars)
Obligations at beginning of year	502	496


Liabilities incurred	30	—
Liabilities settled	(126)	(67)
Change in estimate and other	51	70
Foreign currency translation adjustment	24	(3)
Accretion expense	7	6
Obligations at end of year	488	502
Presented as follows:
Accounts payable and other	83	160
Other long-term liabilities	405	342
	488	502