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Fair Value (Tables)
 3 Months Ended
Mar. 31, 2017
Fair Value Disclosures [Abstract]  
Assets and liabilities measured and recorded at fair value on a recurring basis
The following table presents assets and liabilities for DTE Energy measured and recorded at fair value on a recurring basis:
 
March 31, 2017
 
December 31, 2016
 
Level
1
 
Level
2
 
Level
3
 
Netting(a)
 
Net Balance
 
Level
1
 
Level
2
 
Level
3
 
Netting(a)
 
Net Balance
 
(In millions)
Assets:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Cash equivalents(b)
$
14

 
$
3

 
$
—

 
$
—

 
$
17

 
$
14

 
$
3

 
$
—

 
$
—

 
$
17

Nuclear decommissioning trusts(c)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Equity securities
890

 
—

 
—

 
—

 
890

 
887

 
—

 
—

 
—

 
887

Fixed income securities
11

 
460

 
—

 
—

 
471

 
11

 
414

 
—

 
—

 
425

Cash equivalents
3

 
—

 
—

 
—

 
3

 
8

 
—

 
—

 
—

 
8

Other investments(d)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Equity securities
110

 
—

 
—

 
—

 
110

 
104

 
—

 
—

 
—

 
104

Fixed income securities
63

 
—

 
—

 
—

 
63

 
61

 
—

 
—

 
—

 
61

Derivative assets
 

 
 

 
 

 
 

 
 
 
 

 
 

 
 

 
 

 
 
Commodity Contracts
 

 
 

 
 

 
 

 
 
 
 
 
 
 
 
 
 
 
 
Natural Gas
82

 
151

 
71

 
(206
)
 
98

 
216

 
79

 
53

 
(306
)
 
42

Electricity
—

 
152

 
34

 
(146
)
 
40

 
—

 
154

 
39

 
(157
)
 
36

Other
—

 
—

 
1

 
—

 
1

 
—

 
—

 
2

 
—

 
2

Foreign currency exchange contracts
—

 
5

 
—

 
(3
)
 
2

 
—

 
6

 
—

 
(5
)
 
1

Total derivative assets
82

 
308

 
106


(355
)
 
141

 
216

 
239

 
94

 
(468
)
 
81

Total
$
1,173

 
$
771

 
$
106


$
(355
)
 
$
1,695

 
$
1,301

 
$
656

 
$
94

 
$
(468
)
 
$
1,583

Liabilities:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Derivative liabilities
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Commodity Contracts
 

 
 

 
 

 
 

 
 
 
 

 
 

 
 

 
 

 
 
Natural Gas
$
(82
)
 
$
(121
)
 
$
(86
)
 
$
202

 
$
(87
)
 
$
(226
)
 
$
(86
)
 
$
(149
)
 
$
321

 
$
(140
)
Electricity
—

 
(157
)
 
(40
)
 
158

 
(39
)
 
—

 
(159
)
 
(30
)
 
163

 
(26
)
Other
—

 
—

 
(3
)
 
3

 
—

 
—

 
—

 
(3
)
 
2

 
(1
)
Foreign currency exchange contracts
—

 
(2
)
 
—

 
2

 
—

 
—

 
(3
)
 
—

 
3

 
—

Total derivative liabilities
(82
)
 
(280
)
 
(129
)
 
365

 
(126
)
 
(226
)
 
(248
)
 
(182
)
 
489

 
(167
)
Total
$
(82
)
 
$
(280
)
 
$
(129
)
 
$
365

 
$
(126
)
 
$
(226
)
 
$
(248
)
 
$
(182
)
 
$
489

 
$
(167
)
Net Assets (Liabilities) at end of period
$
1,091

 
$
491

 
$
(23
)
 
$
10

 
$
1,569

 
$
1,075

 
$
408

 
$
(88
)
 
$
21

 
$
1,416

Assets:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Current
$
78

 
$
228

 
$
60

 
$
(281
)
 
$
85

 
$
205

 
$
199

 
$
60

 
$
(400
)
 
$
64

Noncurrent
1,095

 
543

 
46

 
(74
)
 
1,610

 
1,096

 
457

 
34

 
(68
)
 
1,519

Total Assets
$
1,173

 
$
771

 
$
106

 
$
(355
)
 
$
1,695

 
$
1,301

 
$
656

 
$
94

 
$
(468
)
 
$
1,583

Liabilities:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Current
$
(63
)
 
$
(213
)
 
$
(36
)
 
$
279

 
$
(33
)
 
$
(203
)
 
$
(211
)
 
$
(79
)
 
$
424

 
$
(69
)
Noncurrent
(19
)
 
(67
)
 
(93
)
 
86

 
(93
)
 
(23
)
 
(37
)
 
(103
)
 
65

 
(98
)
Total Liabilities
$
(82
)
 
$
(280
)
 
$
(129
)
 
$
365

 
$
(126
)
 
$
(226
)
 
$
(248
)
 
$
(182
)
 
$
489

 
$
(167
)
Net Assets (Liabilities) at end of period
$
1,091

 
$
491

 
$
(23
)
 
$
10

 
$
1,569

 
$
1,075

 
$
408

 
$
(88
)
 
$
21

 
$
1,416


_______________________________________
(a)
Amounts represent the impact of master netting agreements that allow DTE Energy to net gain and loss positions and cash collateral held or placed with the same counterparties.
(b)
At March 31, 2017 and December 31, 2016, available-for-sale securities of $17 million, included $7 million and $10 million of cash equivalents included in Restricted cash and Other investments on DTE Energy's Consolidated Statements of Financial Position, respectively.
(c)
At March 31, 2017, the Nuclear Decommissioning Master Trust had outstanding commitments to invest in private equity investments of approximately $15 million. These commitments will be funded by existing nuclear decommissioning trust funds.
(d)
Excludes cash surrender value of life insurance investments.
The following table presents assets for DTE Electric measured and recorded at fair value on a recurring basis as of:
 
March 31, 2017
 
December 31, 2016
 
Level 1
 
Level 2
 
Level 3
 
Net Balance
 
Level 1
 
Level 2
 
Level 3
 
Net Balance
 
(In millions)
Assets:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Cash equivalents(a)
$
8

 
$
3

 
$
—

 
$
11

 
$
8

 
$
3

 
$
—

 
$
11

Nuclear decommissioning trusts(b)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Equity securities
890

 
—

 
—

 
890

 
887

 
—

 
—

 
887

Fixed income securities
11

 
460

 
—

 
471

 
11

 
414

 
—

 
425

Cash equivalents
3

 
—

 
—

 
3

 
8

 
—

 
—

 
8

Other investments
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Equity securities
9

 
—

 
—

 
9

 
9

 
—

 
—

 
9

Derivative assets — FTRs
—

 
—

 
1

 
1

 
—

 
—

 
2

 
2

Total
$
921

 
$
463

 
$
1

 
$
1,385

 
$
923

 
$
417

 
$
2

 
$
1,342

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Assets:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Current
$
8

 
$
3

 
$
1

 
$
12

 
$
8

 
$
3

 
$
2

 
$
13

Noncurrent
913

 
460

 
—

 
1,373

 
915

 
414

 
—

 
1,329

Total Assets
$
921

 
$
463

 
$
1

 
$
1,385

 
$
923

 
$
417

 
$
2

 
$
1,342

_______________________________________
(a)
At March 31, 2017 and December 31, 2016, available-for-sale securities of $11 million consisted of cash equivalents included in Other investments on DTE Electric's Consolidated Statements of Financial Position, respectively.
(b)
At March 31, 2017, the Nuclear Decommissioning Master Trust had outstanding commitments to invest in private equity investments of approximately $15 million. These commitments will be funded by existing nuclear decommissioning trust funds.
Fair value reconciliation of level 3 assets and liabilities measured at fair value on a recurring basis
The following table presents the fair value reconciliation of Level 3 assets and liabilities measured at fair value on a recurring basis for DTE Energy:
 
Three Months Ended March 31, 2017
 
Three Months Ended March 31, 2016
 
Natural Gas
 
Electricity
 
Other
 
Total
 
Natural Gas
 
Electricity
 
Other
 
Total
 
(In millions)
Net Assets (Liabilities) as of January 1
$
(96
)
 
$
9

 
$
(1
)
 
$
(88
)
 
$
(5
)
 
$
6

 
$
(5
)
 
$
(4
)
Transfers into Level 3 from Level 2
—

 
—

 
—

 
—

 
—

 
—

 
—

 
—

Transfers from Level 3 into Level 2
—

 
—

 
—

 
—

 
(1
)
 
—

 
—

 
(1
)
Total gains (losses)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Included in earnings
52

 
(9
)
 
1

 
44

 
(20
)
 
(58
)
 
(1
)
 
(79
)
Recorded in Regulatory liabilities
—

 
—

 
2

 
2

 
—

 
—

 
(2
)
 
(2
)
Purchases, issuances, and settlements
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Settlements
29

 
(6
)
 
(4
)
 
19

 
(8
)
 
36

 
1

 
29

Net Liabilities as of March 31
$
(15
)
 
$
(6
)
 
$
(2
)
 
$
(23
)
 
$
(34
)
 
$
(16
)
 
$
(7
)
 
$
(57
)
The amount of total gains (losses) included in Net Income attributed to the change in unrealized gains (losses) related to assets and liabilities held at March 31, 2017 and 2016 and reflected in Operating Revenues — Non-utility operations and Fuel, purchased power, and gas — non-utility in DTE Energy's Consolidated Statements of Operations
$
35

 
$
(3
)
 
$
—

 
$
32

 
$
(72
)
 
$
(3
)
 
$
(1
)
 
$
(76
)
The following table presents the fair value reconciliation of Level 3 assets and liabilities measured at fair value on a recurring basis for DTE Electric:
 
Three Months Ended March 31,
 
2017
 
2016
 
(In millions)
Net Assets as of January 1
$
2

 
$
3

Change in fair value recorded in Regulatory liabilities
2

 
(2
)
Purchases, issuances, and settlements
 
 
 
Settlements
(3
)
 
—

Net Assets as of March 31
$
1

 
$
1

The amount of total gains (losses) included in Regulatory liabilities attributed to the change in unrealized gains (losses) related to assets held at March 31, 2017 and 2016 and reflected in DTE Electric's Consolidated Statements of Financial Position
$
—

 
$
—
Unobservable inputs related to Level 3 assets and liabilities
The following tables present the unobservable inputs related to DTE Energy's Level 3 assets and liabilities:
 
 
March 31, 2017
 
 
 
 
 
 
 
 
 
 
 
Commodity Contracts
 
Derivative Assets
 
Derivative Liabilities
 
Valuation Techniques
 
Unobservable Input
 
Range
 
Weighted Average
 
 
(In millions)
 
 
 
 
 
 
 
 
 
 
 
Natural Gas
 
$
71

 
$
(86
)
 
Discounted Cash Flow
 
Forward basis price (per MMBtu)
 
$
(0.87
)
—
 
$
6.25
/MMBtu
 
$
(0.14
)/MMBtu
Electricity
 
$
34

 
$
(40
)
 
Discounted Cash Flow
 
Forward basis price (per MWh)
 
$
(6
)
—
 
$
8
/MWh
 
$
1
/MWh
 
 
December 31, 2016
 
 
 
 
 
 
 
 
 
 
 
Commodity Contracts
 
Derivative Assets
 
Derivative Liabilities
 
Valuation Techniques
 
Unobservable Input
 
Range
 
Weighted Average
 
 
(In millions)
 
 
 
 
 
 
 
 
 
 
 
Natural Gas
 
$
53

 
$
(149
)
 
Discounted Cash Flow
 
Forward basis price (per MMBtu)
 
$
(1.00
)
—
 
$
7.90
/MMBtu
 
$
(0.05
)/MMBtu
Electricity
 
$
39

 
$
(30
)
 
Discounted Cash Flow
 
Forward basis price (per MWh)
 
$
(6
)
—
 
$
12
/MWh
 
$
1
/MWh
Carrying amount of fair value of financial instruments
The following table presents the carrying amount and fair value of financial instruments for DTE Energy:
 
March 31, 2017
 
December 31, 2016
 
Carrying
 
Fair Value
 
Carrying
 
Fair Value
 
Amount
 
Level 1
 
Level 2
 
Level 3
 
Amount
 
Level 1
 
Level 2
 
Level 3
 
(In millions)
Notes receivable, excluding capital leases
$
31

 
$
—

 
$
—

 
$
31

 
$
36

 
$
—

 
$
—

 
$
36

Dividends payable
$
148

 
$
148

 
$
—

 
$
—

 
$
148

 
$
148

 
$
—

 
$
—

Short-term borrowings
$
59

 
$
—

 
$
59

 
$
—

 
$
499

 
$
—

 
$
499

 
$
—

Notes payable — Other(a)
$
18

 
$
—

 
$
—

 
$
18

 
$
17

 
$
—

 
$
—

 
$
17

Long-term debt(b)
$
11,762

 
$
1,505

 
$
9,874

 
$
1,044

 
$
11,270

 
$
1,465

 
$
9,384

 
$
1,056

_______________________________________
(a)
Included in Current Liabilities — Other and Other Liabilities — Other on DTE Energy's Consolidated Statements of Financial Position.
(b)
Includes debt due within one year, unamortized debt discounts, premiums, and issuance costs. Excludes Capital lease obligations.
The following table presents the carrying amount and fair value of financial instruments for DTE Electric:
 
March 31, 2017
 
December 31, 2016
 
Carrying
 
Fair Value
 
Carrying
 
Fair Value
 
Amount
 
Level 1
 
Level 2
 
Level 3
 
Amount
 
Level 1
 
Level 2
 
Level 3
 
(In millions)
Notes receivable, excluding capital leases
$
—

 
$
—

 
$
—

 
$
—

 
$
5

 
$
—

 
$
—

 
$
5

Short-term borrowings — affiliates
$
205

 
$
—

 
$
—

 
$
205

 
$
117

 
$
—

 
$
—

 
$
117

Short-term borrowings — other
$
59

 
$
—

 
$
59

 
$
—

 
$
62

 
$
—

 
$
62

 
$
—

Notes payable — Other(a)
$
6

 
$
—

 
$
—

 
$
6

 
$
6

 
$
—

 
$
—

 
$
6

Long-term debt(b)
$
5,879

 
$
—

 
$
6,016

 
$
262

 
$
5,878

 
$
—

 
$
6,026

 
$
264

_______________________________________
(a)
Included in Current Liabilities — Other and Other Liabilities — Other on DTE Electric's Consolidated Statements of Financial Position.
(b)
Includes debt due within one year, unamortized debt discounts, and issuance costs. Excludes Capital lease obligations.
Fair value of nuclear decommissioning trust fund assets
The following table summarizes DTE Electric's fair value of the nuclear decommissioning trust fund assets:
 
March 31, 2017
 
December 31, 2016
 
(In millions)
Fermi 2
$
1,350

 
$
1,291

Fermi 1
3

 
3

Low-level radioactive waste
11

 
26

Total
$
1,364

 
$
1,320
Schedule of realized gains and losses and proceeds from sale of securities by nuclear decommissioning trust funds
The following table sets forth DTE Electric's gains and losses and proceeds from the sale of securities by the nuclear decommissioning trust funds:
 
Three Months Ended March 31,
 
2017
 
2016
 
(In millions)
Realized gains
$
23

 
$
9

Realized losses
$
(8
)
 
$
(15
)
Proceeds from sale of securities
$
394

 
$
260
Fair value and unrealized gains and losses for nuclear decommissioning trust funds
The following table sets forth DTE Electric's fair value and unrealized gains and losses for the nuclear decommissioning trust funds:
 
March 31, 2017
 
December 31, 2016
 
Fair
Value
 
Unrealized
Gains
 
Unrealized
Losses
 
Fair
Value
 
Unrealized
Gains
 
Unrealized
Losses
 
(In millions)
Equity securities
$
890

 
$
250

 
$
(38
)
 
$
887

 
$
222

 
$
(46
)
Fixed income securities
471

 
12

 
(4
)
 
425

 
11

 
(5
)
Cash equivalents
3

 
—

 
—

 
8

 
—

 
—

 
$
1,364

 
$
262

 
$
(42
)
 
$
1,320

 
$
233

 
$
(51
)
Fair value of the fixed income securities held in nuclear decommissioning trust funds
The following table summarizes the fair value of the fixed income securities held in nuclear decommissioning trust funds by contractual maturity:
 
March 31, 2017
 
(In millions)
Due within one year
$
19

Due after one through five years
109

Due after five through ten years
91

Due after ten years
252

 
$
471