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NEW ACCOUNTING STANDARDS NEW ACCOUNTING STANDARDS (Tables)
 12 Months Ended
Dec. 31, 2017
Accounting Changes and Error Corrections [Abstract]  
New Accounting Pronouncement, Early Adoption
Upon adoption of ASU 2016-15 and ASU 2016-18, the Sempra Energy and SDG&E Consolidated Statements of Cash Flows for the years ended December 31, 2016 and 2015 were impacted as follows:

IMPACT FROM ADOPTION OF ASU 2016-15 AND ASU 2016-18
(Dollars in millions)
 
Years ended December 31,
 
 
2016
 
2015
 
 
As previously reported
 
Effect of adoption
 
As adjusted
 
As previously reported
 
Effect of adoption
 
As adjusted
 
Sempra Energy Consolidated Statements of Cash Flows:
 
Cash flows from operating activities:
 
 
 
 
 
 
 
 
 
 
 
 
Adjustments to reconcile net income to net cash provided by
operating activities – other
$
63

 
$
(1
)
 
$
62

 
$
66

 
$
—

 
$
66

 
Changes in other assets
56

 
(7
)
 
49

 
(162
)
 
(7
)
 
(169
)
 
Net cash provided by operating activities
2,319

 
(8
)
 
2,311

 
2,905

 
(7
)
 
2,898

 
 
 
 
 
 
 
 
 
 
 
 
 
 
Cash flows from investing activities:
 
 
 
 
 
 
 
 
 
 
 
 
Expenditures for investments and acquisition of businesses, net of
    cash and cash equivalents acquired
(1,582
)
 
1,582

 
—

 
(200
)
 
200

 
—

 
Expenditures for investments and acquisitions, net of
    cash, cash equivalents and restricted cash acquired
—

 
(1,504
)
 
(1,504
)
 
—

 
(198
)
 
(198
)
 
Increases in restricted cash
(139
)
 
139

 
—

 
(100
)
 
100

 
—

 
Decreases in restricted cash
175

 
(175
)
 
—

 
93

 
(93
)
 
—

 
Other
—

 
9

 
9

 
1

 
8

 
9

 
Net cash used in investing activities
(4,886
)
 
51

 
(4,835
)
 
(2,885
)
 
17

 
(2,868
)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Cash flows from financing activities:
 
 
 
 
 
 
 
 
 
 
 
 
Other
(10
)
 
(11
)
 
(21
)
 
(17
)
 
(3
)
 
(20
)
 
Net cash provided by (used in) financing activities
2,513

 
(11
)
 
2,502

 
(173
)
 
(3
)
 
(176
)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Effect of exchange rate changes on cash and cash equivalents
—

 
—

 
—

 
(14
)
 
14

 
—

 
Effect of exchange rate changes on cash, cash equivalents and
   restricted cash
—

 
(3
)
 
(3
)
 
—

 
(14
)
 
(14
)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Decrease in cash and cash equivalents
(54
)
 
54

 
—

 
(167
)
 
167

 
—

 
Decrease in cash, cash equivalents, and restricted cash
—

 
(25
)
 
(25
)
 
—

 
(160
)
 
(160
)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Cash and cash equivalents, January 1
403

 
(403
)
 
—

 
570

 
(570
)
 
—

 
Cash, cash equivalents and restricted cash, January 1
—

 
450

 
450

 
—

 
610

 
610

 
Cash and cash equivalents, December 31
349

 
(349
)
 
—

 
403

 
(403
)
 
—

 
Cash, cash equivalents and restricted cash, December 31
—

 
425

 
425

 
—

 
450

 
450

 
SDG&E Consolidated Statements of Cash Flows:
 
 
 
 
 
 
 
 
 
 
 
 
Cash flows from operating activities:
 
 
 
 
 
 
 
 
 
 
 
 
Changes in other assets
$
(16
)
 
$
(4
)
 
$
(20
)
 
$
(122
)
 
$
(3
)
 
$
(125
)
 
Net cash provided by operating activities
1,327

 
(4
)
 
1,323

 
1,664

 
(3
)
 
1,661

 
 
 
 
 
 
 
 
 
 
 
 
 
 
Cash flows from investing activities:
 
 
 
 
 
 
 
 
 
 
 
 
Increases in restricted cash
(49
)
 
49

 
—

 
(39
)
 
39

 
—

 
Decreases in restricted cash
60

 
(60
)
 
—

 
35

 
(35
)
 
—

 
Other
—

 
6

 
6

 
—

 
5

 
5

 
Net cash used in investing activities
(1,319
)
 
(5
)
 
(1,324
)
 
(1,086
)
 
9

 
(1,077
)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Cash flows from financing activities:
 
 
 
 
 
 
 
 
 
 
 
 
Other(1)
(4
)
 
(2
)
 
(6
)
 
(2
)
 
(2
)
 
(4
)
 
Net cash used in financing activities
(20
)
 
(2
)
 
(22
)
 
(566
)
 
(2
)
 
(568
)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
(Decrease) increase in cash and cash equivalents
(12
)
 
12

 
—

 
12

 
(12
)
 
—

 
(Decrease) increase in cash, cash equivalents, and restricted cash
—

 
(23
)
 
(23
)
 
—

 
16

 
16

 
 
 
 
 
 
 
 
 
 
 
 
 
 
Cash and cash equivalents, January 1
20

 
(20
)
 
—

 
8

 
(8
)
 
—

 
Cash, cash equivalents and restricted cash, January 1
—

 
43

 
43

 
—

 
27

 
27

 
Cash and cash equivalents, December 31
8

 
(8
)
 
—

 
20

 
(20
)
 
—

 
Cash, cash equivalents and restricted cash, December 31
—

 
20

 
20

 
—

 
43

 
43

 
(1) Previously labeled “Debt issuance costs.”
Schedule of New Accounting Pronouncements and Changes in Accounting Principles
In 2018, we expect the adoption of ASU 2017-07 to have the following impact on our Consolidated Statements of Operations for the years ended December 31, 2017 and 2016:
EXPECTED IMPACT FROM ADOPTION OF ASU 2017-07
(Dollars in millions)
 
Years ended December 31,
 
2017
 
2016
 
As reported
Recast
 
As reported
Recast
Sempra Energy Consolidated Statements of Operations:
 
 
 
 
 
Operation and maintenance
$
3,117

$
3,096

 
$
2,970

$
2,976

Other income, net
254

233

 
132

138

SDG&E Consolidated Statements of Operations:
 
 
 
 
 
Operation and maintenance
$
1,020

$
1,024

 
$
1,048

$
1,062

Operating income
713

709

 
990

976

Other income, net
66

70

 
50

64

SoCalGas Statements of Operations:
 
 
 
 
 
Operation and maintenance
$
1,479

$
1,474

 
$
1,385

$
1,391

Operating income
622

627

 
557

551

Other income, net
36

31

 
32

38

The standard must be adopted retrospectively. We early adopted ASU 2016-15 in the fourth quarter of 2017. Upon adoption of ASU 2016-15, our Condensed Statements of Cash Flows for the years ended December 31, 2016 and 2015 were impacted as follows:
IMPACT FROM ADOPTION OF ASU 2016-15
(Dollars in millions)
 
Years ended December 31,
 
2016
 
2015
 
As previously reported
 
Effect of adoption
 
As adjusted
 
As previously reported
 
Effect of adoption
 
As adjusted
Sempra Energy Condensed Statements of Cash Flows:
 
Cash flows from operating activities:
 
 
 
 
 
 
 
 
 
 
 
Net cash (used in) provided by operating activities
$
(178
)
 
$
175

 
$
(3
)
 
$
(255
)
 
$
350

 
$
95

 
 
 
 
 
 
 
 
 
 
 
 
Cash flows from investing activities:
 
 
 
 
 
 
 
 
 
 
 
Dividends received from subsidiaries(1)
175

 
(175
)
 
—

 
350

 
(350
)
 
—

Net cash provided by (used in) investing activities
627

 
(175
)
 
452

 
(155
)
 
(350
)
 
(505
)
(1) 
Prior to adoption of ASU 2016-15, because of its nature as a holding company, Sempra Energy Parent classified dividends received from subsidiaries as an investing cash flow.
In 2018, we expect the adoption of ASU 2017-07 to have the following impact on our Condensed Statements of Operations for the years ended December 31, 2017 and 2016:
EXPECTED IMPACT FROM ADOPTION OF ASU 2017-07
(Dollars in millions)
 
Years ended December 31,
 
2017
 
2016
 
As reported
Recast
 
As reported
Recast
Sempra Energy Condensed Statements of Operations:
 
 
 
 
 
Operation and maintenance
$
(87
)
$
(80
)
 
$
(81
)
$
(76
)
Other income (expense), net
107

100

 
(2
)
(7
)