Significant Accounting Policies (Tables)

9 Months Ended

Sep. 30, 2021

Accounting Policies [Abstract]

Schedule of Other Income

The following is a summary of DTE Energy's Other income:

	Three Months Ended September 30,				Nine Months Ended September 30,
	2021		2020		2021		2020
	(In millions)
Income from REF entities	$	57	$	43	$	102	$	95
Equity earnings of equity method investees	17		12		31		21
Contract services	6		7		21		20
Allowance for equity funds used during construction	7		6		20		19
Gains from rabbi trust securities(a)	—		2		4		24
Other	3		5		9		9
	$	90	$	75	$	187	$	188

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(a)Losses from rabbi trust securities are recorded separately to Other expenses on the Consolidated Statements of Operations.

The following is a summary of DTE Electric's Other income:

	Three Months Ended September 30,				Nine Months Ended September 30,
	2021		2020		2021		2020
	(In millions)
Contract services	$	6	$	7	$	21	$	20
Allowance for equity funds used during construction	6		6		18		18
Gains from rabbi trust securities allocated from DTE Energy(a)	—		2		4		24
Other	2		3		9		6
	$	14	$	18	$	52	$	68

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(a)Losses from rabbi trust securities are recorded separately to Other expenses on the Consolidated Statements of Operations.

Schedule of Effective Tax Rates

The interim effective tax rates of the Registrants are as follows:

	Effective Tax Rate
	Three Months Ended September 30,				Nine Months Ended September 30,
	2021		2020		2021		2020
DTE Energy	186	%	5	%	(34)	%	2	%
DTE Electric	12	%	13	%	10	%	12	%

Schedule of Financing Receivables Classified by Internal Grade of Credit Risk

The following represents the Registrants' financing receivables by year of origination, classified by internal grade of credit risk. The related credit quality indicators and risk ratings utilized to develop the internal grades have been updated through September 30, 2021.

	DTE Energy								DTE Electric
	Year of Origination
	2021		2020		2019 and Prior		Total		2021 and Prior
	(In millions)
Notes receivable
Internal grade 1	$	—	$	—	$	19	$	19	$	14
Internal grade 2	2		100		21		123		3
Internal grade 3	—		—		—		—		—
Total notes receivable(a)	$	2	$	100	$	40	$	142	$	17
Net investment in leases
Net investment in leases, internal grade 1	$	—	$	2	$	39	$	41	$	—
Net investment in leases, internal grade 2	—		159		1		160		—
Total net investment in leases(a)	$	—	$	161	$	40	$	201	$	—

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(a)For DTE Energy, included in Current Assets — Other and Other Assets — Notes Receivable on the Consolidated Statements of Financial Position. For DTE Electric, included in Current Assets — Other on the Consolidated Statements of Financial Position.

Schedule of Roll-Forward of Activity for Financing Receivables Credit Loss Reserves

The following tables present a roll-forward of the activity for the Registrants' financing receivables credit loss reserves:

	DTE Energy						DTE Electric
	Trade accounts receivable		Other receivables		Total		Trade and other accounts receivable
	(In millions)
Beginning reserve balance, January 1, 2021	$	101	$	3	$	104	$	57
Current period provision	41		1		42		27
Write-offs charged against allowance	(92)		(1)		(93)		(58)
Recoveries of amounts previously written off	49		—		49		29
Ending reserve balance, September 30, 2021	$	99	$	3	$	102	$	55

	DTE Energy						DTE Electric
	Trade accounts receivable		Other receivables		Total		Trade and other accounts receivable
	(In millions)
Beginning reserve balance, January 1, 2020(a)	$	79	$	4	$	83	$	46
Current period provision	102		3		105		61
Write-offs charged against allowance	(130)		(4)		(134)		(80)
Recoveries of amounts previously written off	50		—		50		30
Ending reserve balance, December 31, 2020	$	101	$	3	$	104	$	57

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(a)DTE Energy Trade accounts receivable beginning reserve balance excludes $8 million related to the discontinued operations of DT Midstream. Prospective activity includes only the continuing operations of DTE Energy.

Schedule of Uncollectible Expense

Uncollectible expense for the Registrants is primarily comprised of the current period provision for allowance for doubtful accounts and is summarized as follows:

	Three Months Ended September 30,				Nine Months Ended September 30,
	2021		2020		2021		2020
	(In millions)
DTE Energy	$	7	$	22	$	42	$	72
DTE Electric	10		16		26		42