LEASES (Tables)

12 Months Ended

Dec. 31, 2022

Leases [Abstract]

Operating Lease Cost and Other Information

Operating lease cost was as follows:

year ended December 31
(millions of Canadian $)	2022	2021
Operating lease cost1	106	105
Sublease income	(5)	(8)
Net operating lease cost	101	97

1    Includes short-term leases and variable lease costs.

Other information related to operating leases is noted in the following tables:

year ended December 31
(millions of Canadian $)	2022	2021
Cash paid for amounts included in the measurement of operating lease liabilities	67	69
ROU assets obtained in exchange for new operating lease liabilities	49	7

at December 31	2022		2021
Weighted average remaining lease term	8 years		9 years
Weighted average discount rate	3.5	%	3.5	%

The amounts recognized on TC Energy's Consolidated balance sheet for its operating lease liabilities were as follows:

at December 31
(millions of Canadian $)	2022	2021
Accounts payable and other	54	49
Other long-term liabilities (Note 18)	379	380
	433	429

Maturities of Operating Lease Liabilities

Maturities of operating lease liabilities are as follows:

(millions of Canadian $)	2022	2021
Less than one year	68	63
One to two years	65	60
Two to three years	62	58
Three to four years	60	55
Four to five years	54	54
More than five years	187	213
Total operating lease payments	496	503
Imputed interest	(63)	(74)
Operating lease liabilities	433	429

Future Lease Payments to be Received Under Operating Leases

Future lease payments to be received under operating leases are as follows:

(millions of Canadian $)	2022	2021
Less than one year	113	113
One to two years	111	111
Two to three years	94	110
Three to four years	70	94
Four to five years	—	70
	388	498

Sales-type Lease, Lease Income

The following table lists the components of the aggregate Net investment in leases reflected on the Company's Consolidated balance sheet:

(millions of Canadian $)	December 31, 2022
Net Investment in Leases
Minimum lease payments	9,457
Unearned lease income	(7,132)
Lease receivable	2,325
Expected credit loss provision1	(150)
Present value of unguaranteed residual value	11
	2,186
Current portion included in Other current assets (Note 8)	(291)
	1,895

1Includes $1 million of foreign currency translation losses.

Future Lease Payments

Future lease payments to be received under the existing sales-type leases are as follows:

(millions of Canadian $)	December 31, 2022
Less than one year	291
One to two years	291
Two to three years	291
Three to four years	291
Four to five years	291
More than five years	8,002
	9,457