☒ | ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
☐ | TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
001-3034
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(Commission File Number) |
Xcel Energy Inc.
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||||||||
(Exact name of registrant as specified in its charter) | ||||||||
Minnesota
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41-0448030 | |||||||||||||
(State or Other Jurisdiction of Incorporation or Organization) | (IRS Employer Identification No.) | |||||||||||||
414 Nicollet Mall
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Minneapolis
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Minnesota
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55401
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(Address of Principal Executive Offices)
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(Zip Code) |
612
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330-5500
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(Registrant’s Telephone Number, Including Area Code) |
Title of each class | Trading Symbol | Name of each exchange on which registered | ||||||||||||
Common Stock, $2.50 par value
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XEL
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Nasdaq Stock Market LLC
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PART I | ||||||||
Item 1 — | ||||||||
Item 1A — | ||||||||
Item 1B — | ||||||||
Item 2 — | ||||||||
Item 3 — | ||||||||
Item 4 — | ||||||||
PART II | ||||||||
Item 5 — | ||||||||
Item 6 — | ||||||||
Item 7 — | ||||||||
Item 7A — | ||||||||
Item 8 — | ||||||||
Item 9 — | ||||||||
Item 9A — | ||||||||
Item 9B — | ||||||||
PART III | ||||||||
Item 10 — | ||||||||
Item 11 — | ||||||||
Item 12 — | ||||||||
Item 13 — | ||||||||
Item 14 — | ||||||||
PART IV | ||||||||
Item 15 — | ||||||||
Item 16 — | ||||||||
ITEM 1 — BUSINESS
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Xcel Energy Inc.’s Subsidiaries and Affiliates (current and former) | |||||
Capital Services | Capital Services, LLC | ||||
Eloigne | Eloigne Company | ||||
e prime | e prime inc. | ||||
NSP-Minnesota | Northern States Power Company, a Minnesota corporation | ||||
NSP System | The electric production and transmission system of NSP-Minnesota and NSP-Wisconsin operated on an integrated basis and managed by NSP-Minnesota | ||||
NSP-Wisconsin | Northern States Power Company, a Wisconsin corporation | ||||
Operating companies | NSP-Minnesota, NSP-Wisconsin, PSCo and SPS | ||||
PSCo | Public Service Company of Colorado | ||||
SPS | Southwestern Public Service Co. | ||||
Utility subsidiaries | NSP-Minnesota, NSP-Wisconsin, PSCo and SPS | ||||
WGI | WestGas InterState, Inc. | ||||
WYCO | WYCO Development, LLC | ||||
Xcel Energy | Xcel Energy Inc. and its subsidiaries |
PCRF | Power cost recovery factor | ||||
PGA | Purchased gas adjustment | ||||
PSIA | Pipeline system integrity adjustment | ||||
RDF | Renewable development fund | ||||
RER | Renewable energy rider | ||||
RES | Renewable energy standard | ||||
RESA | RES adjustment | ||||
SCA | Steam cost adjustment | ||||
SEP | State energy policy rider | ||||
TCA | Transmission cost adjustment | ||||
TCR | Transmission cost recovery adjustment | ||||
TCRF | Transmission cost recovery factor | ||||
WCA | Wind cost adjustment |
Other | |||||
ADIT | Accumulated deferred income taxes | ||||
AFUDC | Allowance for funds used during construction | ||||
ALLETE | ALLETE, Inc. | ||||
ARO | Asset retirement obligation | ||||
ASC | FASB Accounting Standards Codification | ||||
ASU | FASB Accounting Standards Update | ||||
BART | Best available retrofit technology | ||||
Boulder | City of Boulder, CO | ||||
C&I | Commercial and Industrial | ||||
CAGR | Compound annual growth rate | ||||
CACJA | Clean Air Clean Jobs Act | ||||
CapX2020 | Alliance of electric cooperatives, municipals and investor-owned utilities in the upper Midwest involved in a joint transmission line planning and construction effort | ||||
CCR | Coal combustion residuals | ||||
CCR Rule | Final rule (40 CFR 257.50 - 257.107) published by the EPA regulating the management, storage and disposal of CCRs as a nonhazardous waste | ||||
CDD | Cooling degree-days | ||||
CEO | Chief executive officer | ||||
CFO | Chief financial officer | ||||
CIG | Colorado Interstate Gas Company, LLC | ||||
COVID-19 | Novel coronavirus | ||||
CWA | Clean Water Act | ||||
CWIP | Construction work in progress | ||||
DECON | Decommissioning method where radioactive contamination is removed and safely disposed of at a requisite facility or decontaminated to a permitted level | ||||
DRIP | Dividend Reinvestment Program | ||||
EEI | Edison Electric Institute | ||||
ELG | Effluent limitations guidelines | ||||
EMANI | European Mutual Association for Nuclear Insurance | ||||
EPS | Earnings per share | ||||
ETR | Effective tax rate | ||||
FASB | Financial Accounting Standards Board | ||||
FTR | Financial transmission right | ||||
GAAP | Generally accepted accounting principles | ||||
GE | General Electric | ||||
GHG | Greenhouse gas | ||||
HDD | Heating degree-days | ||||
IM | Integrated market | ||||
INPO | Institute of Nuclear Power Operations |
IPP | Independent power producing entity | ||||
IRP | Integrated Resource Plan | ||||
ITC | Investment Tax Credit | ||||
JOA | Joint operating agreement | ||||
LSP Transmission | LSP Transmission Holdings, LLC | ||||
MDL | Multi-district litigation | ||||
MEC | Mankato Energy Center | ||||
MGP | Manufactured gas plant | ||||
MISO | Midcontinent Independent System Operator, Inc. | ||||
Moody’s | Moody’s Investor Services | ||||
NAAQS | National Ambient Air Quality Standard | ||||
Native load | Demand of retail and wholesale customers that a utility has an obligation to serve under statute or contract | ||||
NAV | Net asset value | ||||
NEIL | Nuclear Electric Insurance Ltd. | ||||
NOL | Net operating loss | ||||
O&M | Operating and maintenance | ||||
OATT | Open Access Transmission Tariff | ||||
PI | Prairie Island nuclear generating plant | ||||
Post-65 | Post-Medicare | ||||
PPA | Purchased power agreement | ||||
Pre-65 | Pre-Medicare | ||||
PTC | Production tax credit | ||||
REC | Renewable energy credit | ||||
ROE | Return on equity | ||||
ROFR | Right-of-first-refusal | ||||
ROU | Right-of-use | ||||
RPS | Renewable portfolio standards | ||||
RTO | Regional Transmission Organization | ||||
S&P | Standard & Poor’s Global Ratings | ||||
SERP | Supplemental executive retirement plan | ||||
SMMPA | Southern Minnesota Municipal Power Agency | ||||
SO2
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Sulfur dioxide | ||||
SPP | Southwest Power Pool, Inc. | ||||
TCEH | Texas Competitive Energy Holdings | ||||
TCJA | 2017 federal tax reform enacted as Public Law No: 115-97, commonly referred to as the Tax Cuts and Jobs Act | ||||
THI | Temperature-humidity index | ||||
TOs | Transmission owners | ||||
TSR | Total shareholder return | ||||
VaR | Value at Risk | ||||
VIE | Variable interest entity | ||||
WOTUS | Waters of the U.S. |
Measurements | |||||
Bcf | Billion cubic feet | ||||
KV | Kilovolts | ||||
KWh | Kilowatt hours | ||||
MMBtu | Million British thermal units | ||||
MW | Megawatts | ||||
MWh | Megawatt hours |
Where to Find More Information
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Forward-Looking Statements
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Overview
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Utility Subsidiaries’ Service Territory | |||||||||||
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Electric customers | 3.7 million | ||||||||||
Natural gas customers | 2.1 million | ||||||||||
Total assets | $54 billion | ||||||||||
Electric generating capacity | 20,140 MW | ||||||||||
Natural gas storage capacity | 53.4 Bcf | ||||||||||
Electric transmission lines (conductor miles) | 110,353 miles | ||||||||||
Electric distribution lines (conductor miles) | 208,586 miles | ||||||||||
Natural gas transmission lines | 2,172 miles | ||||||||||
Natural gas distribution lines | 35,936 miles | ||||||||||
Vision, Mission and Values
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Strategy
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Employees Covered by Collective Bargaining Agreements | Total Full-Time Employees | |||||||
NSP-Minnesota | 2,033 | 3,144 | ||||||
NSP-Wisconsin | 394 | 540 | ||||||
PSCo | 1,882 | 2,378 | ||||||
SPS | 769 | 1,141 | ||||||
XES | — | 4,164 | ||||||
Total | 5,078 | 11,367 |
Female | Ethnically Diverse | |||||||
Board of Directors | 20% | 20% | ||||||
CEO direct reports | 38% | 13% | ||||||
Management | 22% | 10% | ||||||
Employees | 23% | 16% | ||||||
New hires | 33% | 22% | ||||||
Interns (hired throughout 2020) | 33% | 28% |
NSP-Minnesota
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Electric customers | 1.5 million | NSP-Minnesota conducts business in Minnesota, North Dakota and South Dakota and has electric operations in all three states including the generation, purchase, transmission, distribution and sale of electricity. NSP-Minnesota and NSP-Wisconsin electric operations are managed on the NSP System. NSP-Minnesota also purchases, transports, distributes and sells natural gas to retail customers and transports customer-owned natural gas in Minnesota and North Dakota. | |||||||||||||||
Natural gas customers | 0.6 million | ||||||||||||||||
Consolidated earnings contribution | 35% to 45% | ||||||||||||||||
Total assets | $21.1 billion | ||||||||||||||||
Rate Base (estimated) | $12.4 billion | ||||||||||||||||
ROE (net income / average stockholder's equity) | 9.20% | ||||||||||||||||
Electric generating capacity | 8,137 MW | ||||||||||||||||
Gas storage capacity | 17.1 Bcf | ||||||||||||||||
Electric transmission lines (conductor miles) | 33,660 miles | ||||||||||||||||
Electric distribution lines (conductor miles) | 80,508 miles | ||||||||||||||||
Natural gas transmission lines | 80 miles | ||||||||||||||||
Natural gas distribution lines | 10,629 miles | ||||||||||||||||
NSP-Wisconsin
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Electric customers | 0.3 million |
NSP-Wisconsin conducts business in Wisconsin and Michigan and generates, transmits, distributes and sells electricity. NSP-Minnesota and NSP-Wisconsin electric operations are managed on the NSP System. NSP-Wisconsin also purchases, transports, distributes and sells natural gas to retail customers and transports customer-owned natural gas.
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Natural gas customers | 0.1 million | ||||||||||||||||
Consolidated earnings contribution | 5% to 10% | ||||||||||||||||
Total assets | $2.9 billion | ||||||||||||||||
Rate Base (estimated) | $1.8 billion | ||||||||||||||||
ROE (net income / average stockholder's equity) | 10.52% | ||||||||||||||||
Electric generating capacity | 548 MW | ||||||||||||||||
Gas storage capacity | 3.8 Bcf | ||||||||||||||||
Electric transmission lines (conductor miles) | 12,288 miles | ||||||||||||||||
Electric distribution lines (conductor miles) | 27,611 miles | ||||||||||||||||
Natural gas transmission lines | 3 miles | ||||||||||||||||
Natural gas distribution lines | 2,492 miles | ||||||||||||||||
PSCo
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Electric customers | 1.5 million | PSCo conducts business in Colorado and generates, purchases, transmits, distributes and sells electricity. PSCo also purchases, transports, distributes and sells natural gas to retail customers and transports customer-owned natural gas. | |||||||||||||||
Natural gas customers | 1.4 million | ||||||||||||||||
Consolidated earnings contribution | 35% to 45% | ||||||||||||||||
Total assets | $20.4 billion | ||||||||||||||||
Rate Base (estimated) | $13.3 billion | ||||||||||||||||
ROE (net income / average stockholder's equity) | 8.06% | ||||||||||||||||
Electric generating capacity | 6,223 MW | ||||||||||||||||
Gas storage capacity | 32.5 Bcf | ||||||||||||||||
Electric transmission lines (conductor miles) | 24,386 miles | ||||||||||||||||
Electric distribution lines (conductor miles) | 78,483 miles | ||||||||||||||||
Natural gas transmission lines | 2,058 miles | ||||||||||||||||
Natural gas distribution lines | 22,815 miles | ||||||||||||||||
SPS | |||||||||||||||||
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Electric customers | 0.4 million |
SPS conducts business in Texas and New Mexico and generates, purchases, transmits, distributes and sells electricity.
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Consolidated earnings contribution | 15% to 20% | ||||||||||||||||
Total assets | $8.9 billion | ||||||||||||||||
Rate Base (estimated) | $5.4 billion | ||||||||||||||||
ROE (net income / average stockholder's equity) | 9.54% | ||||||||||||||||
Electric generating capacity | 5,232 MW | ||||||||||||||||
Electric transmission lines (conductor miles) | 40,019 miles | ||||||||||||||||
Electric distribution lines (conductor miles) | 21,984 miles | ||||||||||||||||
Operations Overview
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Electric Operations
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2020 | 2019 | |||||||||||||
KWh sales per retail customer | 23,910 | 24,712 | ||||||||||||
Revenue per retail customer | $ | 2,199 | $ | 2,244 | ||||||||||
Residential revenue per KWh | 12.12 | ¢ | 11.97 | ¢ | ||||||||||
Large C&I revenue per KWh | 5.78 | ¢ | 5.96 | ¢ | ||||||||||
Small C&I revenue per KWh | 9.56 | ¢ | 9.43 | ¢ | ||||||||||
Total retail revenue per KWh | 9.20 | ¢ | 9.08 | ¢ |
2020 | 2019 | |||||||||||||||||||||||||
Utility Subsidiary | Wind Farms |
Capacity (a)
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Wind Farms |
Capacity (b)
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NSP System | 11 | 1,540 MW | 7 | 1,079 MW | ||||||||||||||||||||||
PSCo | 2 | 1,059 MW | 1 | 582 MW | ||||||||||||||||||||||
SPS | 2 | 967 MW | 1 | 460 MW | ||||||||||||||||||||||
Total | 15 | 3,566 MW | 9 | 2,121 MW |
Utility Subsidiary | 2020 | 2019 | ||||||||||||||||||||||||
PPAs | Range | PPAs | Range | |||||||||||||||||||||||
NSP System | 129 | 1 MW — 206 MW | 131 | 1 MW — 206 MW | ||||||||||||||||||||||
PSCo | 17 | 23 MW — 301 MW | 20 | 2 MW — 301 MW | ||||||||||||||||||||||
SPS | 18 | 1 MW — 250MW | 18 | 1 MW — 250 MW |
Utility Subsidiary | 2020 | 2019 | ||||||||||||
NSP System | 3,348 MW | 2,767 MW | ||||||||||||
PSCo | 4,085 MW | 3,145 MW | ||||||||||||
SPS | 2,535 MW | 2,027 MW |
Utility Subsidiary | 2020 | 2019 | ||||||||||||
NSP System | $ | 23 | $ | 35 | ||||||||||
PSCo | 35 | 47 | ||||||||||||
SPS | 17 | — |
Utility Subsidiary | 2020 | 2019 | ||||||||||||
NSP System | $ | 38 | $ | 41 | ||||||||||
PSCo | 40 | 41 | ||||||||||||
SPS | 26 | 25 |
Project | Utility Subsidiary | Capacity | ||||||||||||
Blazing Star 1 | NSP-Minnesota |
200 MW (a)(b)
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Crowned Ridge 2 | NSP-Minnesota |
192 MW (a)(b)
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Community Wind North
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NSP-Minnesota |
26 MW (a)(b)
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Jeffers | NSP-Minnesota |
43 MW (a)(b)
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Cheyenne Ridge | PSCo |
477 MW (a)(b)
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Sagamore | SPS |
507 MW (a)(b)
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Various PPAs | Various |
~700 MW (c)
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Project | Utility Subsidiary | Capacity | Estimated Completion | |||||||||||||||||
Dakota Range | NSP-Minnesota | 300 MW | 2021 | |||||||||||||||||
Freeborn | NSP-Minnesota | 200 MW | 2021 | |||||||||||||||||
Blazing Star 2 | NSP-Minnesota | 200 MW | 2021 | |||||||||||||||||
Nobles | NSP-Minnesota | 200 MW | 2022 | |||||||||||||||||
Pleasant Valley | NSP-Minnesota | 200 MW | 2024 | |||||||||||||||||
Border Winds | NSP-Minnesota | 150 MW | 2024 | |||||||||||||||||
Grand Meadow | NSP-Minnesota | 100 MW | 2023 | |||||||||||||||||
Mower | NSP-Minnesota | 99 MW | 2021 | |||||||||||||||||
Various PPAs | Various | ~450 MW | 2021 |
Type | Utility Subsidiary | Capacity | ||||||||||||
Distributed Generation | NSP System | 899 MW | ||||||||||||
Utility-Scale | NSP System | 268 MW | ||||||||||||
Distributed Generation | PSCo | 643 MW | ||||||||||||
Utility-Scale | PSCo | 306 MW | ||||||||||||
Distributed Generation | SPS | 11 MW | ||||||||||||
Utility-Scale | SPS | 190 MW | ||||||||||||
Total | 2,317 MW |
Utility Subsidiary | 2020 | 2019 | ||||||||||||
NSP System | $ | 90 | $ | 81 | ||||||||||
PSCo | 89 | 89 | ||||||||||||
SPS | 59 | 56 |
Utility Subsidiary | Nuclear | |||||||||||||
NSP System | Cost | Percent | ||||||||||||
2020 | $ | 0.80 | 51 | % | ||||||||||
2019 | 0.81 | 45 |
Approved / Authorized | ||||||||||||||||||||
Year | Utility Subsidiary | Plant Unit | Capacity | |||||||||||||||||
2022 | PSCo | Comanche 1 | 325 MW | |||||||||||||||||
2023 | NSP-Minnesota | Sherco 2 | 682 MW | |||||||||||||||||
2024 | SPS |
Harrington (a)
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1,018 MW | |||||||||||||||||
2025 | PSCo | Comanche 2 | 335 MW | |||||||||||||||||
2025 | PSCo | Craig 1 |
42 MW (b)
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2026 | NSP-Minnesota | Sherco 1 | 680 MW | |||||||||||||||||
2028 | PSCo | Craig 2 |
40 MW (b)
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Proposed | ||||||||||||||||||||
Year | Utility Subsidiary | Plant Unit | Capacity | |||||||||||||||||
2027 | PSCo | Hayden 2 |
98 MW (a)
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2028 | PSCo | Hayden 1 |
135 MW (b)
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2028 | NSP-Minnesota | A.S. King | 511 MW | |||||||||||||||||
2030 | NSP-Minnesota | Sherco 3 |
517 MW (c)
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2032 | SPS | Tolk 1 | 532 MW | |||||||||||||||||
2032 | SPS | Tolk 2 | 535 MW |
Coal (a)
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Utility Subsidiary | Cost | Percent | ||||||||||||
NSP System | ||||||||||||||
2020 | $ | 1.97 | 31 | % | ||||||||||
2019 | 2.02 | 36 | ||||||||||||
PSCo | ||||||||||||||
2020 | 1.41 | 51 | ||||||||||||
2019 | 1.45 | 55 | ||||||||||||
SPS | ||||||||||||||
2020 | 2.28 | 40 | ||||||||||||
2019 | 2.19 | 45 |
Natural Gas | ||||||||||||||
Utility Subsidiary | Cost | Percent | ||||||||||||
NSP System | ||||||||||||||
2020 | $ | 2.67 | 17 | % | ||||||||||
2019 | 3.09 | 19 | ||||||||||||
PSCo | ||||||||||||||
2020 | 3.01 | 49 | ||||||||||||
2019 | 3.27 | 45 | ||||||||||||
SPS | ||||||||||||||
2020 | 1.43 | 60 | ||||||||||||
2019 | 1.14 | 55 |
System Peak Demand (in MW) | ||||||||||||||||||||||||||
2020 | 2019 | |||||||||||||||||||||||||
NSP System
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8,571 | July 8 | 8,774 | July 19 | ||||||||||||||||||||||
PSCo | 6,899 | Aug. 17 | 7,111 | July 19 | ||||||||||||||||||||||
SPS | 4,195 | July 14 | 4,261 | Aug. 5 |
Project | Utility Subsidiary | Miles | Size | |||||||||||||||||
Maple River-Red River | NSP-Minnesota | 4 | 115 KV | |||||||||||||||||
Glenwood Douglas | NSP-Minnesota | 20 | 69 KV | |||||||||||||||||
Prentice to Structure | NSP-Wisconsin | 8 | 115 KV | |||||||||||||||||
Lufkin to Naples | NSP-Wisconsin | 13 | 69 KV | |||||||||||||||||
Belgrade to Ironwood | NSP-Wisconsin | 13 | 35 KV | |||||||||||||||||
Cornucopia to Bayfield Phase 2 | NSP-Wisconsin | 5 | 35 KV | |||||||||||||||||
Pawnee-Daniels Park | PSCo | 113 | 345 KV | |||||||||||||||||
Cheyenne Ridge | PSCo | 73 | 345 KV | |||||||||||||||||
TUCO-Yoakum Co. | SPS | 107 | 345 KV | |||||||||||||||||
Eddy Co-Kiowa | SPS | 34 | 345 KV | |||||||||||||||||
Mustang-Seminole | SPS | 20 | 115 KV | |||||||||||||||||
Loving South-Phantom | SPS | 21 | 115 KV |
Project | Utility Subsidiary | Miles | Size | Completion Date | ||||||||||||||||||||||
Hibbing Taconite Relocation | NSP-Minnesota | 3 | 500 KV | 2021 | ||||||||||||||||||||||
Huntley-Wilmarth | NSP-Minnesota | 50 | 345 KV | 2021 | ||||||||||||||||||||||
Helena Scott County | NSP-Minnesota | 16 | 345 KV | 2021 | ||||||||||||||||||||||
Baytown to Long Lake | NSP-Minnesota | 9 | 115 KV | 2022 | ||||||||||||||||||||||
Centerville to Lincoln County | NSP-Minnesota | 14 | 69 KV | 2021 | ||||||||||||||||||||||
Turtle Lake Almena | NSP-Wisconsin | 4 | 69 KV | 2021 | ||||||||||||||||||||||
Bayfield Second Circuit | NSP-Wisconsin | 19 | 35 KV | 2022 | ||||||||||||||||||||||
Roadrunner-China Draw | SPS | 41 | 345 KV | 2021 |
Natural Gas Operations |
2020 | 2019 | |||||||||||||
MMBtu sales per retail customer | 118.13 | 129.31 | ||||||||||||
Revenue per retail customer | $ | 720.42 | $ | 851.94 | ||||||||||
Residential revenue per MMBtu | 6.64 | 7.14 | ||||||||||||
C&I revenue per MMBtu | 5.22 | 5.73 | ||||||||||||
Transportation and other revenue per MMBtu | 0.67 | 0.57 |
2020 | 2019 | |||||||||||||||||||||||||
Utility Subsidiary | MMBtu | Date | MMBtu | Date | ||||||||||||||||||||||
NSP-Minnesota | 871,921 | Jan. 16 | 897,615 | Feb. 25 | ||||||||||||||||||||||
NSP-Wisconsin | 150,320 | Dec. 24 | 166,009 | Jan. 30 | ||||||||||||||||||||||
PSCo | 1,931,888 | Feb. 4 | 2,139,420 | March 3 |
Utility Subsidiary | 2020 | 2019 | ||||||||||||
NSP-Minnesota | $ | 3.32 | $ | 3.71 | ||||||||||
NSP-Wisconsin | 3.08 | 3.49 | ||||||||||||
PSCo | 2.52 | 2.95 |
General |
Public Utility Regulation |
Environmental |
Capital Spending and Financing |
Information about our Executive Officers (a)
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Name |
Age (b)
|
Current and Recent Positions | Time in Position | |||||||||||||||||
Ben Fowke | 62 | Chairman of the Board of Directors, Chief Executive Officer and Director, Xcel Energy Inc. | August 2011 — Present | |||||||||||||||||
Chief Executive Officer, NSP-Minnesota, NSP-Wisconsin, PSCo, and SPS | January 2015 — Present | |||||||||||||||||||
President, Xcel Energy Inc. | August 2011 — March 2020 | |||||||||||||||||||
Robert C. Frenzel | 50 | President and Chief Operating Officer, Xcel Energy Inc. | March 2020 — Present | |||||||||||||||||
Executive Vice President, Chief Financial Officer, Xcel Energy Inc. | May 2016 — March 2020 | |||||||||||||||||||
Senior Vice President and Chief Financial Officer, Luminant, a subsidiary of Energy Future Holdings Corp. (c)
|
February 2012 — April 2016 | |||||||||||||||||||
Brett C. Carter | 54 | Executive Vice President and Chief Customer and Innovation Officer, Xcel Energy Inc. | May 2018 — Present | |||||||||||||||||
Senior Vice President and Shared Services Executive, Bank of America, an institutional investment bank and financial services company | October 2015 — May 2018 | |||||||||||||||||||
Christopher B. Clark | 54 | President and Director, NSP-Minnesota | January 2015 — Present | |||||||||||||||||
Darla Figoli | 58 | Executive Vice President, Human Resources & Employee Services, Chief Human Resources Officer, Xcel Energy Inc. | June 2020 — Present | |||||||||||||||||
Senior Vice President, Human Resources & Employee Services, Chief Human Resources Officer, Xcel Energy Inc. | May 2018 — June 2020 | |||||||||||||||||||
Senior Vice President, Human Resources and Employee Services, Xcel Energy Inc. | May 2015 — May 2018 | |||||||||||||||||||
David T. Hudson | 60 | President and Director, SPS | January 2015 — Present | |||||||||||||||||
Alice Jackson | 42 | President and Director, PSCo | May 2018 — Present | |||||||||||||||||
Area Vice President, Strategic Revenue Initiatives, Xcel Energy Services Inc. | November 2016 — May 2018 | |||||||||||||||||||
Regional Vice President, Rates and Regulatory Affairs, PSCo | November 2013 — November 2016 | |||||||||||||||||||
Timothy O’Connor | 61 | Executive Vice President, Chief Generation Officer, Xcel Energy Inc. | March 2020 — Present | |||||||||||||||||
Senior Vice President, Chief Nuclear Officer, Xcel Energy Services Inc | February 2013 — March 2020 | |||||||||||||||||||
Frank Prager | 58 | Senior Vice President, Strategy, Planning and External Affairs, Xcel Energy Inc. | March 2020 — Present | |||||||||||||||||
Vice President, Policy and Federal Affairs, Xcel Energy Services Inc. | January 2015 — March 2020 | |||||||||||||||||||
Amanda Rome | 40 | Executive Vice President, General Counsel, Xcel Energy Inc. | June 2020 — Present | |||||||||||||||||
Vice President and Deputy General Counsel, Xcel Energy Services Inc. | October 2019 — June 2020 | |||||||||||||||||||
Managing Attorney, Xcel Energy Services Inc. | July 2018 — October 2019 | |||||||||||||||||||
Rotational Position, Xcel Energy Services Inc. | January 2018 — July 2018 | |||||||||||||||||||
Lead Assistant General Counsel, Xcel Energy Services Inc. | July 2015 — January 2018 | |||||||||||||||||||
Jeffrey S. Savage | 49 | Senior Vice President, Controller, Xcel Energy Inc. | January 2015 — Present | |||||||||||||||||
Mark E. Stoering | 60 | President and Director, NSP-Wisconsin | January 2015 — Present | |||||||||||||||||
Brian J. Van Abel | 39 | Executive Vice President, Chief Financial Officer, Xcel Energy Inc. | March 2020 — Present | |||||||||||||||||
Senior Vice President, Finance and Corporate Development, Xcel Energy Services Inc. | September 2018 — March 2020 | |||||||||||||||||||
Vice President, Treasurer, Xcel Energy Services Inc. | July 2015 — September 2018 |
ITEM 1A — RISK FACTORS
|
ITEM 1B — UNRESOLVED STAFF COMMENTS
|
ITEM 2 — PROPERTIES
|
NSP-Minnesota
Station, Location and Unit
|
Fuel | Installed |
MW (a)
|
||||||||||||||||||||
Steam: | |||||||||||||||||||||||
A.S. King-Bayport, MN, 1 Unit (f)
|
Coal | 1968 | 511 | ||||||||||||||||||||
Sherco-Becker, MN (e)
|
|||||||||||||||||||||||
Unit 1 | Coal | 1976 | 680 | ||||||||||||||||||||
Unit 2 | Coal | 1977 | 682 | ||||||||||||||||||||
Unit 3 | Coal | 1987 | 517 |
(b)
|
|||||||||||||||||||
Monticello, MN, 1 Unit | Nuclear | 1971 | 617 | ||||||||||||||||||||
PI-Welch, MN | |||||||||||||||||||||||
Unit 1 | Nuclear | 1973 | 521 | ||||||||||||||||||||
Unit 2 | Nuclear | 1974 | 519 | ||||||||||||||||||||
Various locations, 4 Units | Wood/Refuse | Various | 36 |
(c)
|
|||||||||||||||||||
Combustion Turbine: | |||||||||||||||||||||||
Angus Anson-Sioux Falls, SD, 3 Units | Natural Gas | 1994 - 2005 | 327 | ||||||||||||||||||||
Black Dog-Burnsville, MN, 3 Units | Natural Gas | 1987 - 2018 | 494 | ||||||||||||||||||||
Blue Lake-Shakopee, MN, 6 Units | Natural Gas | 1974 - 2005 | 447 | ||||||||||||||||||||
High Bridge-St. Paul, MN, 3 Units | Natural Gas | 2008 | 530 | ||||||||||||||||||||
Inver Hills-Inver Grove Heights, MN, 6 Units | Natural Gas | 1972 | 252 | ||||||||||||||||||||
Riverside-Minneapolis, MN, 3 Units | Natural Gas | 2009 | 454 | ||||||||||||||||||||
Various locations, 7 Units | Natural Gas | Various | 10 | ||||||||||||||||||||
Wind: | |||||||||||||||||||||||
Border-Rolette County, ND, 75 Units | Wind | 2015 | 148 |
(d)
|
|||||||||||||||||||
Courtenay Wind-Stutsman County, ND, 100 Units | Wind | 2016 | 190 |
(d)
|
|||||||||||||||||||
Foxtail-Dickey County, ND, 75 Units | Wind | 2019 | 150 |
(d)
|
|||||||||||||||||||
Grand Meadow-Mower County, MN, 67 Units | Wind | 2008 | 99 |
(d)
|
|||||||||||||||||||
Lake Benton-Pipestone County, MN, 44 Units | Wind | 2019 | 99 |
(d)
|
|||||||||||||||||||
Nobles-Nobles County, MN, 134 Units | Wind | 2010 | 197 |
(d)
|
|||||||||||||||||||
Pleasant Valley-Mower County, MN, 100 Units | Wind | 2015 | 196 |
(d)
|
|||||||||||||||||||
Blazing Star 1-Lincoln County, MN, 100 Units | Wind | 2020 | 200 |
(d)
|
|||||||||||||||||||
Crowned Ridge 2-Grant County, SD, 88 Units | Wind | 2020 | 192 |
(d)
|
|||||||||||||||||||
Community Wind North-Lincoln County, MN, 12 Units | Wind | 2020 | 26 |
(d)
|
|||||||||||||||||||
Jeffers-Cottonwood County, MN, 20 Units | Wind | 2020 | 43 |
(d)
|
|||||||||||||||||||
Total | 8,137 |
NSP-Wisconsin
Station, Location and Unit
|
Fuel | Installed |
MW (a)
|
||||||||||||||||||||
Steam: | |||||||||||||||||||||||
Bay Front-Ashland, WI, 2 Units | Wood/Natural Gas | 1948 - 1956 | 41 | ||||||||||||||||||||
French Island-La Crosse, WI, 2 Units | Wood/Refuse | 1940 - 1948 | 16 |
(b)
|
|||||||||||||||||||
Combustion Turbine: | |||||||||||||||||||||||
French Island-La Crosse, WI, 2 Units | Oil | 1974 | 122 | ||||||||||||||||||||
Wheaton-Eau Claire, WI, 5 Units | Natural Gas/Oil | 1973 | 234 | ||||||||||||||||||||
Hydro: | |||||||||||||||||||||||
Various locations, 63 Units | Hydro | Various | 135 | ||||||||||||||||||||
Total | 548 |
PSCo
Station, Location and Unit
|
Fuel | Installed |
MW (a)
|
||||||||||||||||||||
Steam: | |||||||||||||||||||||||
Comanche-Pueblo, CO (b)
|
|||||||||||||||||||||||
Unit 1 | Coal | 1973 | 325 | ||||||||||||||||||||
Unit 2 | Coal | 1975 | 335 | ||||||||||||||||||||
Unit 3 | Coal | 2010 | 500 |
(c)
|
|||||||||||||||||||
Craig-Craig, CO, 2 Units (d)
|
Coal | 1979 - 1980 | 82 |
(e)
|
|||||||||||||||||||
Hayden-Hayden, CO, 2 Units (h)
|
Coal | 1965 - 1976 | 233 |
(f)
|
|||||||||||||||||||
Pawnee-Brush, CO, 1 Unit | Coal | 1981 | 505 | ||||||||||||||||||||
Cherokee-Denver, CO, 1 Unit | Natural Gas | 1968 | 310 | ||||||||||||||||||||
Combustion Turbine: | |||||||||||||||||||||||
Blue Spruce-Aurora, CO, 2 Units | Natural Gas | 2003 | 264 | ||||||||||||||||||||
Cherokee-Denver, CO, 3 Units | Natural Gas | 2015 | 576 | ||||||||||||||||||||
Fort St. Vrain-Platteville, CO, 6 Units | Natural Gas | 1972 - 2009 | 968 | ||||||||||||||||||||
Rocky Mountain-Keenesburg, CO, 3 Units | Natural Gas | 2004 | 580 | ||||||||||||||||||||
Various locations, 8 Units | Natural Gas | Various | 251 | ||||||||||||||||||||
Hydro: | |||||||||||||||||||||||
Cabin Creek-Georgetown, CO | |||||||||||||||||||||||
Pumped Storage, 2 Units | Hydro | 1967 | 210 | ||||||||||||||||||||
Various locations, 8 Units | Hydro | Various | 25 | ||||||||||||||||||||
Wind: | |||||||||||||||||||||||
Rush Creek, CO, 300 units | Wind | 2018 | 582 |
(g)
|
|||||||||||||||||||
Cheyenne Ridge, CO, 229 units | Wind | 2020 | 477 |
(g)
|
|||||||||||||||||||
Total | 6,223 |
SPS
Station, Location and Unit
|
Fuel | Installed |
MW (a)
|
||||||||||||||||||||
Steam: | |||||||||||||||||||||||
Cunningham-Hobbs, NM, 2 Units | Natural Gas | 1957 - 1965 | 225 | ||||||||||||||||||||
Harrington-Amarillo, TX, 3 Units (b)
|
Coal | 1976 - 1980 | 1,018 | ||||||||||||||||||||
Jones-Lubbock, TX, 2 Units | Natural Gas | 1971 - 1974 | 486 | ||||||||||||||||||||
Maddox-Hobbs, NM, 1 Unit | Natural Gas | 1967 | 112 | ||||||||||||||||||||
Nichols-Amarillo, TX, 3 Units | Natural Gas | 1960 - 1968 | 457 | ||||||||||||||||||||
Plant X-Earth, TX, 4 Units | Natural Gas | 1952 - 1964 | 298 | ||||||||||||||||||||
Tolk-Muleshoe, TX, 2 Units (d)
|
Coal | 1982 - 1985 | 1,067 | ||||||||||||||||||||
Combustion Turbine: | |||||||||||||||||||||||
Cunningham-Hobbs, NM, 2 Units | Natural Gas | 1997 | 207 | ||||||||||||||||||||
Jones-Lubbock, TX, 2 Units | Natural Gas | 2011 - 2013 | 334 | ||||||||||||||||||||
Maddox-Hobbs, NM, 1 Unit | Natural Gas | 1963 - 1976 | 61 | ||||||||||||||||||||
Wind: | |||||||||||||||||||||||
Hale-Plainview, TX, 239 Units | Wind | 2019 | 460 |
(c)
|
|||||||||||||||||||
Sagamore-Dora, NM, 240 Units | Wind | 2020 | 507 |
(c)
|
|||||||||||||||||||
Total | 5,232 |
Conductor Miles | NSP-Minnesota | NSP-Wisconsin | PSCo | SPS | ||||||||||||||||||||||
Transmission | ||||||||||||||||||||||||||
500 KV | 2,918 | — | — | — | ||||||||||||||||||||||
345 KV | 13,151 | 3,337 | 5,389 | 11,019 | ||||||||||||||||||||||
230 KV | 2,301 | — | 12,131 | 9,795 | ||||||||||||||||||||||
161 KV | 674 | 1,823 | — | — | ||||||||||||||||||||||
138 KV | — | — | 92 | — | ||||||||||||||||||||||
115 KV | 8,060 | 1,822 | 5,092 | 14,830 | ||||||||||||||||||||||
Less than 115 KV | 6,556 | 5,306 | 1,682 | 4,375 | ||||||||||||||||||||||
Total Transmission | 33,660 | 12,288 | 24,386 | 40,019 | ||||||||||||||||||||||
Distribution | ||||||||||||||||||||||||||
Less than 115 KV | 80,508 | 27,611 | 78,483 | 21,984 | ||||||||||||||||||||||
Total | 114,168 | 39,899 | 102,869 | 62,003 |
NSP-Minnesota | NSP-Wisconsin | PSCo | SPS | |||||||||||||||||||||||
Quantity | 352 | 204 | 236 | 457 |
Miles | NSP-Minnesota | NSP-Wisconsin | PSCo | SPS | WGI | |||||||||||||||||||||||||||
Transmission | 80 | 3 | 2,058 | 20 | 11 | |||||||||||||||||||||||||||
Distribution | 10,629 | 2,492 | 22,815 | — | — |
ITEM 3 — LEGAL PROCEEDINGS
|
ITEM 4 — MINE SAFETY DISCLOSURES
|
ITEM 5 — MARKET FOR REGISTRANT’S COMMON EQUITY, RELATED STOCKHOLDER MATTERS AND ISSUER PURCHASES OF EQUITY SECURITIES.
|
ITEM 6 — SELECTED FINANCIAL DATA
|
(Millions of Dollars, Millions of Shares, Except Per Share Data) | 2020 | 2019 | 2018 | 2017 | 2016 | |||||||||||||||||||||||||||
Operating revenues | $ | 11,526 | $ | 11,529 | $ | 11,537 | $ | 11,404 | $ | 11,107 | ||||||||||||||||||||||
Operating expenses (a)
|
9,410 | 9,425 | 9,572 | 9,181 | 8,867 | |||||||||||||||||||||||||||
Net income | 1,473 | 1,372 | 1,261 | 1,148 | 1,123 | |||||||||||||||||||||||||||
Earnings available to common shareholders | 1,473 | 1,372 | 1,261 | 1,148 | 1,123 | |||||||||||||||||||||||||||
Diluted earnings per common share | 2.79 | 2.64 | 2.47 | 2.25 | 2.21 | |||||||||||||||||||||||||||
Financial information | ||||||||||||||||||||||||||||||||
Dividends declared per common share | 1.72 | 1.62 | 1.52 | 1.44 | 1.36 | |||||||||||||||||||||||||||
Total assets | 53,957 | 50,448 | 45,987 | 43,030 | 41,155 | |||||||||||||||||||||||||||
Long-term debt (b)
|
19,645 | 17,407 | 15,803 | 14,520 | 14,195 |
ITEM 7 — MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS |
Results of Operations
|
2020 | 2019 | |||||||||||||
Diluted Earnings (Loss) Per Share | GAAP and Ongoing Diluted EPS | GAAP and Ongoing Diluted EPS | ||||||||||||
NSP-Minnesota | $ | 1.12 | $ | 1.04 | ||||||||||
PSCo | 1.11 | 1.11 | ||||||||||||
SPS | 0.56 | 0.51 | ||||||||||||
NSP-Wisconsin | 0.20 | 0.15 | ||||||||||||
Equity earnings of unconsolidated subsidiaries | 0.05 | 0.05 | ||||||||||||
Regulated utility (a)
|
3.04 | 2.86 | ||||||||||||
Xcel Energy Inc. and Other | (0.25) | (0.22) | ||||||||||||
Total (a)
|
$ | 2.79 | $ | 2.64 |
2020 vs. 2019 | ||||||||
Diluted Earnings (Loss) Per Share | Dec. 31 | |||||||
GAAP and ongoing diluted EPS - 2019 | $ | 2.64 | ||||||
Components of change — 2020 vs. 2019 | ||||||||
Higher electric margins (a)
|
0.32 | |||||||
Lower ETR (b)
|
0.22 | |||||||
Higher AFUDC | 0.08 | |||||||
Changes in O&M | 0.02 | |||||||
Higher depreciation and amortization | (0.26) | |||||||
Higher interest | (0.10) | |||||||
Higher taxes (other than income taxes) | (0.06) | |||||||
Changes in natural gas margins | (0.01) | |||||||
Other (net) | (0.06) | |||||||
GAAP and ongoing diluted EPS — 2020 | $ | 2.79 |
Diluted Earnings (Loss) Per Share | Twelve Months Ended Dec. 31 | |||||||
Electric margin (excluding reductions in sales and demand) | $ | 0.41 | ||||||
Reductions in sales and demand | (0.09) | |||||||
Higher electric margins | $ | 0.32 |
2020 | 2019 | |||||||||||||
ROE | GAAP and Ongoing ROE | GAAP and Ongoing ROE | ||||||||||||
NSP-Minnesota | 9.20 | % | 9.31 | % | ||||||||||
PSCo | 8.06 | 8.69 | ||||||||||||
SPS | 9.54 | 9.71 | ||||||||||||
NSP-Wisconsin | 10.52 | 8.27 | ||||||||||||
Operating Companies | 8.87 | 9.06 | ||||||||||||
Xcel Energy | 10.59 | 10.78 |
2020 vs.
Normal |
2019 vs.
Normal |
2020 vs. 2019 | |||||||||||||||
HDD | (3.1) | % | 10.4 | % | (12.0) | % | |||||||||||
CDD | 22.2 | 5.4 | 24.8 | ||||||||||||||
THI | 6.3 | (8.8) | 18.2 |
2020 vs.
Normal |
2019 vs.
Normal |
2020 vs. 2019 | |||||||||||||||
Retail electric | $ | 0.090 | $ | 0.040 | $ | 0.050 | |||||||||||
Decoupling and sales true-up | (0.041) | — | (0.041) | ||||||||||||||
Total (excluding decoupling) | $ | 0.049 | $ | 0.040 | $ | 0.009 | |||||||||||
Firm natural gas | (0.011) | 0.027 | (0.038) | ||||||||||||||
Total (adjusted for recovery from decoupling) | $ | 0.038 | $ | 0.067 | $ | (0.029) |
2020 vs. 2019 | ||||||||||||||||||||||||||||||||
PSCo | NSP-Minnesota | SPS | NSP-Wisconsin | Xcel Energy | ||||||||||||||||||||||||||||
Actual (a)
|
||||||||||||||||||||||||||||||||
Electric residential | 5.8 | % | 5.0 | % | 3.6 | % | 2.4 | % | 4.9 | % | ||||||||||||||||||||||
Electric C&I | (4.1) | (7.0) | (3.3) | (4.6) | (5.0) | |||||||||||||||||||||||||||
Total retail electric sales | (1.1) | (3.4) | (2.2) | (2.6) | (2.3) | |||||||||||||||||||||||||||
Firm natural gas sales | (6.8) | (8.3) | n/a | (6.4) | (7.2) |
2020 vs. 2019 | ||||||||||||||||||||||||||||||||
PSCo | NSP-Minnesota | SPS | NSP-Wisconsin | Xcel Energy | ||||||||||||||||||||||||||||
Weather-normalized (a)
|
||||||||||||||||||||||||||||||||
Electric residential | 3.8 | % | 3.7 | % | 1.6 | % | 2.6 | % | 3.3 | % | ||||||||||||||||||||||
Electric C&I | (4.5) | (7.0) | (3.4) | (4.8) | (5.2) | |||||||||||||||||||||||||||
Total retail electric sales | (1.9) | (3.8) | (2.6) | (2.7) | (2.8) | |||||||||||||||||||||||||||
Firm natural gas sales | 0.5 | 1.9 | n/a | 5.1 | 1.3 |
2020 vs. 2019 (Leap Year Adjusted) | ||||||||||||||||||||||||||||||||
PSCo | NSP-Minnesota | SPS | NSP-Wisconsin | Xcel Energy | ||||||||||||||||||||||||||||
Weather-normalized (a)
|
||||||||||||||||||||||||||||||||
Electric residential | 3.6 | % | 3.4 | % | 1.3 | % | 2.3 | % | 3.1 | % | ||||||||||||||||||||||
Electric C&I | (4.8) | (7.3) | (3.7) | (5.0) | (5.4) | |||||||||||||||||||||||||||
Total retail electric sales | (2.2) | (4.1) | (2.9) | (2.9) | (3.1) | |||||||||||||||||||||||||||
Firm natural gas sales | 0.1 | 1.4 | n/a | 4.6 | 0.7 |
(Millions of Dollars) | 2020 | 2019 | ||||||||||||
Electric revenues | $ | 9,802 | $ | 9,575 | ||||||||||
Electric fuel and purchased power | (3,512) | (3,510) | ||||||||||||
Electric margin | $ | 6,290 | $ | 6,065 |
(Millions of Dollars) | 2020 vs. 2019 | |||||||
Regulatory rate outcomes (Colorado, Wisconsin, Texas and New Mexico) (a)
|
$ | 209 | ||||||
Non-fuel riders | 74 | |||||||
Wholesale transmission revenue (net) | 59 | |||||||
MEC purchased capacity costs | 35 | |||||||
Conservation incentive | 13 | |||||||
2019 tax reform customer credits - Wisconsin (offset in income tax) | 7 | |||||||
Estimated impact of weather (net of decoupling / sales true-up) | 7 | |||||||
PTCs flowed back to customers (offset by lower ETR) | (119) | |||||||
Sales and demand (b)
|
(66) | |||||||
Other (net) | 6 | |||||||
Total increase in electric margin | $ | 225 |
(Millions of Dollars) | 2020 | 2019 | ||||||||||||
Natural gas revenues | $ | 1,636 | $ | 1,868 | ||||||||||
Cost of natural gas sold and transported | (689) | (918) | ||||||||||||
Natural gas margin | $ | 947 | $ | 950 |
(Millions of Dollars) | 2020 vs. 2019 | |||||||
Estimated impact of weather | $ | (28) | ||||||
Regulatory rate outcomes (Colorado and Wisconsin) | 16 | |||||||
Infrastructure and integrity riders | 8 | |||||||
Retail sales growth | 2 | |||||||
Other (net) | (1) | |||||||
Total decrease in natural gas margin | $ | (3) |
(Millions of Dollars) | 2020 vs. 2019 | |||||||
Distribution | $ | (47) | ||||||
Generation | (12) | |||||||
Transmission | (10) | |||||||
Minnesota payment plan credit program | 18 | |||||||
Information technology | 14 | |||||||
Employee benefits | 12 | |||||||
Texas rate case deferral | 8 | |||||||
Other (net) | 3 | |||||||
Total decrease in O&M expenses | $ | (14) |
Contribution (Millions of Dollars) | ||||||||||||||
2020 | 2019 | |||||||||||||
Xcel Energy Inc. financing costs | $ | (147) | $ | (128) | ||||||||||
MEC (a)
|
15 | — | ||||||||||||
Eloigne (b)
|
1 | 1 | ||||||||||||
Xcel Energy Inc. taxes and other results | (2) | 12 | ||||||||||||
Total Xcel Energy Inc. and other costs | $ | (133) | $ | (115) |
Contribution (Diluted Earnings (Loss) Per Share) | ||||||||||||||
2020 | 2019 | |||||||||||||
Xcel Energy Inc. financing costs | $ | (0.28) | $ | (0.21) | ||||||||||
MEC (a)
|
0.03 | — | ||||||||||||
Eloigne (b)
|
— | — | ||||||||||||
Xcel Energy Inc. taxes and other results | — | (0.01) | ||||||||||||
Total Xcel Energy Inc. and other costs | $ | (0.25) | $ | (0.22) |
Public Utility Regulation |
Regulatory Body / RTO |
Additional Information
|
|||||||
MPUC |
Retail rates, services, security issuances, property transfers, mergers, disposition of assets, affiliate transactions, and other aspects of electric and natural gas operations.
Reviews and approves IRPs for meeting future energy needs.
Certifies the need and siting for generating plants greater than 50 MW and transmission lines greater than 100 KV in Minnesota.
Reviews and approves natural gas supply plans.
Pipeline safety compliance.
|
|||||||
NDPSC |
Retail rates, services and other aspects of electric and natural gas operations.
Regulatory authority over generation and transmission facilities, along with the siting and routing of new generation and transmission facilities in North Dakota.
Pipeline safety compliance.
|
|||||||
SDPUC |
Retail rates, services and other aspects of electric operations.
Regulatory authority over generation and transmission facilities, along with the siting and routing of new generation and transmission facilities in South Dakota.
Pipeline safety compliance.
|
|||||||
FERC |
Wholesale electric operations, hydroelectric licensing, accounting practices, wholesale sales for resale, transmission of electricity in interstate commerce, compliance with NERC electric reliability standards, asset transfers and mergers, and natural gas transactions in interstate commerce.
|
|||||||
MISO |
NSP-Minnesota is a transmission owning member of the MISO RTO and operates within the MISO RTO and wholesale markets. NSP-Minnesota makes wholesale sales in other RTO markets at market-based rates. NSP-Minnesota and NSP-Wisconsin also make wholesale electric sales at market-based prices to customers outside of their balancing authority as jointly authorized by the FERC.
|
|||||||
DOT |
Pipeline safety compliance.
|
|||||||
Minnesota Office of Pipeline Safety |
Pipeline safety compliance.
|
Mechanism |
Additional Information
|
|||||||
CIP Rider (a)
|
Recovers costs of conservation and DSM programs in Minnesota.
|
|||||||
EIR |
Recovers costs of environmental improvement projects in Minnesota.
|
|||||||
RDF |
Allocates money collected from customers to support research and development of emerging renewable energy projects and technologies in Minnesota.
|
|||||||
RES |
Recovers cost of renewable generation in Minnesota.
|
|||||||
RER |
Recovers cost of renewable generation in North Dakota.
|
|||||||
SEP |
Recovers costs related to various energy policies approved by the Minnesota legislature.
|
|||||||
TCR |
Recovers costs for investments in electric transmission and distribution grid modernization.
|
|||||||
Infrastructure Rider |
Recovers costs for investments in generation and incremental property taxes in South Dakota.
|
|||||||
FCA (b)
|
Minnesota, North Dakota and South Dakota include a FCA for monthly billing adjustments to recover changes in prudently incurred costs of fuel related items and purchased energy. Capacity costs are recovered through base rates and are not recovered through the FCA. MISO costs are generally recovered through either the FCA or base rates.
|
|||||||
PGA |
Provides for prospective monthly rate adjustments for costs of purchased natural gas, transportation and storage service. Includes a true-up process for difference between projected and actual costs.
|
|||||||
GUIC Rider |
Recovers costs for transmission and distribution pipeline integrity management programs, including: funding for pipeline assessments, deferred costs for sewer separation and pipeline integrity management programs in Minnesota.
|
|||||||
Sales True-up | In February 2021, NSP-Minnesota filed the 2020 sales true-up compliance report, resulting in a total surcharge of $119 million. An MPUC ruling is anticipated in the second quarter of 2021. The 2021 sales true-up mechanism, extended under the 2020 stay-out petition, will operate similarly to the currently approved sales true-up and apply to all customer classes. Under the stay-out petition, 2021 NSP-Minnesota jurisdictional earnings will be capped at 9.06% ROE. Any excess earnings will be refunded to customers. |
Proceeding |
Amount
(in millions) |
Filing
Date |
Approval | |||||||||||||||||
2020 North Dakota Electric Rate Case | $22 | November 2020 | Pending | |||||||||||||||||
2020 TCR Electric Rider | 82 | November 2019 | Pending | |||||||||||||||||
2020 GUIC Natural Gas Rider | 21 | November 2019 | Pending | |||||||||||||||||
2021 GUIC Natural Gas Rider | 27 | October 2020 | Pending | |||||||||||||||||
2020 RES Electric Rider
|
102 |
November 2019
|
Pending
|
|||||||||||||||||
2021 RES Electric Rider | 189 | November 2020 | Pending |
Regulatory Body / RTO |
Additional Information
|
|||||||
PSCW |
Retail rates, services and other aspects of electric and natural gas operations.
Certifies the need for new generating plants and electric transmission lines before the facilities may be sited and built.
The PSCW has a biennial base rate filing requirement. By June of each odd numbered year, NSP-Wisconsin must submit a rate filing for the test year beginning the following January.
Pipeline safety compliance.
|
|||||||
MPSC |
Retail rates, services and other aspects of electric and natural gas operations.
Certifies the need for new generating plants and electric transmission lines before the facilities may be sited and built.
Pipeline safety compliance.
|
|||||||
FERC |
Wholesale electric operations, hydroelectric generation licensing, accounting practices, wholesale sales for resale, transmission of electricity in interstate commerce, compliance with NERC electric reliability standards, asset transactions and mergers and natural gas transactions in interstate commerce.
|
|||||||
MISO |
NSP-Wisconsin is a transmission owning member of the MISO RTO that operates within the MISO RTO and wholesale energy market. NSP-Wisconsin and NSP-Minnesota are jointly authorized by the FERC to make wholesale electric sales at market-based prices.
|
|||||||
DOT |
Pipeline safety compliance.
|
Mechanism |
Additional Information
|
|||||||
Annual Fuel Cost Plan |
NSP-Wisconsin does not have an automatic electric fuel adjustment clause. Under Wisconsin rules, utilities submit a forward-looking annual fuel cost plan to the PSCW. Once the PSCW approves the plan, utilities defer the amount of any fuel cost under-recovery or over-recovery in excess of a 2% annual tolerance band, for future rate recovery or refund. Approval of a fuel cost plan and any rate adjustment for refund or recovery of deferred costs is determined by the PSCW. Rate recovery of deferred fuel cost is subject to an earnings test based on the most recently authorized ROE. Under-collections that exceed the 2% annual tolerance band may not be recovered if the utility earnings for that year exceed the authorized ROE.
|
|||||||
Power Supply Cost Recovery Factors |
NSP-Wisconsin’s retail electric rate schedules for Michigan customers include power supply cost recovery factors, based on 12-month projections. After each 12-month period, a reconciliation is submitted whereby over-recoveries are refunded and any under-recoveries are collected from customers.
|
|||||||
Wisconsin Energy Efficiency Program |
The primary energy efficiency program is funded by the utilities, but operated by independent contractors subject to oversight by the PSCW and utilities. NSP-Wisconsin recovers these costs from customers.
|
|||||||
PGA |
A retail cost-recovery mechanism to recover the actual cost of natural gas, transportation, and storage services.
|
|||||||
Natural Gas Cost-Recovery Factor (MI) |
NSP-Wisconsin’s natural gas rates for Michigan customers include a natural gas cost-recovery factor, based on 12-month projections and trued-up to actual amounts on an annual basis.
|
Regulatory Body / RTO |
Additional Information on Regulatory Authority
|
|||||||
CPUC |
Retail rates, accounts, services, issuance of securities and other aspects of electric, natural gas and steam operations.
Pipeline safety compliance.
|
|||||||
FERC |
Wholesale electric operations, accounting practices, hydroelectric licensing, wholesale sales for resale, transmission of electricity in interstate commerce, compliance with the NERC electric reliability standards, asset transactions and mergers and natural gas transactions in interstate commerce.
Wholesale electric sales at cost-based prices to customers inside PSCo’s balancing authority area and at market-based prices to customers outside PSCo’s balancing authority area.
PSCo holds a FERC certificate that allows it to transport natural gas in interstate commerce without PSCo becoming subject to full FERC jurisdiction.
|
|||||||
RTO |
PSCo is not presently a member of an RTO and does not operate within an RTO energy market. However, PSCo does make certain sales to other RTO’s, including SPP and participates in a joint dispatch agreement with neighboring utilities.
|
|||||||
DOT |
Pipeline safety compliance.
|
Mechanism |
Additional Information
|
|||||||
ECA |
Recovers fuel and purchased energy costs. Short-term sales margins are shared with customers through the ECA. The ECA is revised quarterly.
|
|||||||
PCCA |
Recovers purchased capacity payments.
|
|||||||
SCA |
Recovers fuel costs to operate the steam system. The SCA rate is revised quarterly.
|
|||||||
DSMCA |
Recovers electric and gas DSM, interruptible service costs and performance initiatives for achieving energy savings goals.
|
|||||||
RESA |
Recovers the incremental costs of compliance with the RES with a maximum of 1% of the customer’s bill.
|
|||||||
CEPA | Recovers the early retirement costs of Comanche units 1 and 2 to a maximum of 1% of the customer’s bill. | |||||||
WCA |
Recovers costs for customers who choose renewable resources.
|
|||||||
TCA |
Recovers costs for transmission investment between rate cases.
|
|||||||
CACJA |
Recovers costs associated with the CACJA.
|
|||||||
FCA |
PSCo recovers fuel and purchased energy costs from wholesale electric customers through a fuel cost adjustment clause approved by the FERC. Wholesale customers pay production costs through a forecasted formula rate subject to true-up.
|
|||||||
GCA |
Recovers costs of purchased natural gas and transportation and is revised quarterly to allow for changes in natural gas rates.
|
|||||||
PSIA |
Recovers costs for transmission and distribution pipeline integrity management programs.
|
|||||||
Decoupling | Mechanism to true-up revenue to a baseline amount for residential (excluding lighting and demand) and metered non-demand small C&I classes. Represents approximately $51M for differences in sales to the baseline amount. Amounts refunded or surcharged to customers may be limited to a refund cap. |
Proceeding |
Amount
(in millions) |
Filing Date | Approval | |||||||||||||||||
2020 Natural Gas Rate Case | $77 | February 2020 | Received | |||||||||||||||||
2019 Electric Rate Case | 108 | May 2019 | Received | |||||||||||||||||
2019 Natural Gas Rate Case Appeal | N/A | April 2019 | Pending | |||||||||||||||||
Wildfire Protection Rider | 325 | July 2020 | Pending | |||||||||||||||||
Transportation Electrification Plan Rider | 110 - 138 | May 2020 | Received |
(Millions of Dollars) | 2021 | 2022 | 2023 | 2024 | 2025 | |||||||||||||||||||||||||||
Forecasted annual revenue requirement | $ | 17 | $ | 24 | $ | 29 | $ | 32 | $ | 34 |
(Millions of Dollars) | 2021 | 2022 | 2023 | 2024 | 2025 | |||||||||||||||||||||||||||
Forecasted annual revenue requirement | $ | 53 | $ | 69 | $ | 83 | $ | 89 | $ | 99 |
Regulatory Body / RTO |
Additional Information
|
|||||||
PUCT |
Retail electric operations, rates, services, construction of transmission or generation and other aspects of SPS’ electric operations.
The municipalities in which SPS operates in Texas have original jurisdiction over rates in those communities. The municipalities’ rate setting decisions are subject to PUCT review.
|
|||||||
NMPRC |
Retail electric operations, retail rates and services and the construction of transmission or generation.
|
|||||||
FERC |
Wholesale electric operations, accounting practices, wholesale sales for resale, the transmission of electricity in interstate commerce, compliance with NERC electric reliability standards, asset transactions and mergers, and natural gas transactions in interstate commerce.
|
|||||||
SPP RTO and SPP IM Wholesale Market |
SPS is a transmission owning member of the SPP RTO and operates within the SPP RTO and SPP IM wholesale market. SPS is authorized to make wholesale electric sales at market-based prices.
|
Mechanism |
Additional Information
|
|||||||
DCRF |
Recovers distribution costs not included in rates in Texas.
|
|||||||
EECRF |
Recovers costs for energy efficiency programs in Texas.
|
|||||||
Energy Efficiency Rider |
Recovers costs for energy efficiency programs in New Mexico.
|
|||||||
FPPCAC |
Adjusts monthly to recover actual fuel and purchased power costs in New Mexico.
|
|||||||
PCRF |
Allows recovery of purchased power costs not included in Texas rates.
|
|||||||
RPS |
Recovers deferred costs for renewable energy programs in New Mexico.
|
|||||||
TCRF |
Recovers certain transmission infrastructure improvement costs and changes in wholesale transmission charges not included in Texas base rates.
|
|||||||
Fixed Fuel and Purchased Recovery Factor |
Provides for the over- or under-recovery of energy expenses in Texas. Regulations require refunding or surcharging over- or under- recovery amounts, including interest, when they exceed 4% of the utility’s annual fuel and purchased energy costs on a rolling 12-month basis, if this condition is expected to continue.
|
|||||||
Wholesale Fuel and Purchased Energy Cost Adjustment |
SPS recovers fuel and purchased energy costs from its wholesale customers through a monthly wholesale fuel and purchased energy cost adjustment clause accepted by the FERC. Wholesale customers also pay the jurisdictional allocation of production costs.
|
Proceeding |
Amount
(in millions) |
Filing Date | Approval | |||||||||||||||||
2019 New Mexico Electric Rate Case | $31 | July 2019 | Received | |||||||||||||||||
2019 Texas Electric Rate Case | 88 | August 2019 | Received | |||||||||||||||||
2021 New Mexico Electric Rate Case | 88 | January 2021 | Pending | |||||||||||||||||
2021 Texas Electric Rate Case | 143 | February 2021 | Pending |
Rate Request (Millions of Dollars) | ||||||||
Sagamore wind project | $ | 67 | ||||||
Other capital investments | 25 | |||||||
Cost of capital | 20 | |||||||
Property taxes | 8 | |||||||
Reduced sales, partially offset by changes in O&M | 8 | |||||||
Allocator changes | 4 | |||||||
Depreciation rate change | 3 | |||||||
Other, net | 8 | |||||||
Total rate request | $ | 143 | ||||||
Fuel cost reductions and PTCs — Sagamore wind project | (69) | |||||||
Net rate increase | $ | 74 |
Critical Accounting Policies and Estimates
|
Pension Costs | ||||||||||||||
(Millions of Dollars) | +1% | -1% | ||||||||||||
Rate of return | $ | (16) | $ | 22 | ||||||||||
Discount rate (a)
|
$ | (5) | $ | 13 |
Derivatives, Risk Management and Market Risk
|
Futures / Forwards Maturity | ||||||||||||||||||||||||||||||||
(Millions of Dollars) |
Less Than
1 Year
|
1 to 3 Years | 4 to 5 Years |
Greater Than
5 Years
|
Total
Fair Value
|
|||||||||||||||||||||||||||
NSP-Minnesota (a)
|
$ | (2) | $ | 1 | $ | 2 | $ | 2 | $ | 3 | ||||||||||||||||||||||
NSP-Minnesota (b)
|
(3) | 3 | (7) | (6) | (13) | |||||||||||||||||||||||||||
PSCo (a)
|
— | 1 | — | — | 1 | |||||||||||||||||||||||||||
PSCo (b)
|
(25) | (39) | (13) | — | (77) | |||||||||||||||||||||||||||
$ | (30) | $ | (34) | $ | (18) | $ | (4) | $ | (86) |
Options Maturity | ||||||||||||||||||||||||||||||||
(Millions of Dollars) |
Less Than
1 Year
|
1 to 3 Years | 4 to 5 Years |
Greater Than
5 Years
|
Total Fair Value | |||||||||||||||||||||||||||
NSP-Minnesota (b)
|
$ | 1 | $ | — | $ | — | $ | 1 | $ | 2 | ||||||||||||||||||||||
PSCo (b)
|
13 | 16 | 1 | — | 30 | |||||||||||||||||||||||||||
$ | 14 | $ | 16 | $ | 1 | $ | 1 | $ | 32 |
(Millions of Dollars) | 2020 | 2019 | ||||||||||||
Fair value of commodity trading net contracts outstanding at Jan. 1 | $ | (59) | $ | 17 | ||||||||||
Contracts realized or settled during the period | (9) | (22) | ||||||||||||
Commodity trading contract additions and changes during the period | 14 | (54) | ||||||||||||
Fair value of commodity trading net contracts outstanding at Dec. 31 | $ | (54) | $ | (59) |
(Millions of Dollars) |
Year Ended
Dec. 31 |
VaR Limit | Average | High | Low | |||||||||||||||||||||||||||
2020 | $ | 1 | $ | 3 | $ | 1 | $ | 2 | $ | 1 | ||||||||||||||||||||||
2019 | < 1 | 3 | 1 | 1 | < 1 |
Liquidity and Capital Resources
|
(Millions of Dollars) | Twelve Months Ended Dec. 31 | |||||||
Cash provided by operating activities — 2019 | $ | 3,263 | ||||||
Components of change — 2020 vs. 2019 | ||||||||
Higher net income | 101 | |||||||
Non-cash transactions (a)
|
(49) | |||||||
Changes in working capital (b)
|
(222) | |||||||
Changes in net regulatory and other assets and liabilities | (245) | |||||||
Cash provided by operating activities — 2020 | $ | 2,848 |
(Millions of Dollars) | Twelve Months Ended Dec. 31 | |||||||
Cash used in investing activities — 2019 | $ | (4,343) | ||||||
Components of change — 2020 vs. 2019 | ||||||||
Increased capital expenditures | (1,144) | |||||||
Sale of MEC | 684 | |||||||
Other investing activities | 63 | |||||||
Cash used in investing activities — 2020 | $ | (4,740) |
(Millions of Dollars) | Twelve Months Ended Dec. 31 | |||||||
Cash provided by financing activities — 2019 | $ | 1,181 | ||||||
Components of change — 2020 vs. 2019 | ||||||||
Higher debt issuances | 452 | |||||||
Higher repayments of long-term debt | (52) | |||||||
Higher proceeds from issuance of common stock | 269 | |||||||
Higher dividends paid to shareholders | (65) | |||||||
Other financing activities | (12) | |||||||
Cash provided by financing activities — 2020 | $ | 1,773 |
Payments Due by Period | ||||||||||||||||||||||||||||||||
(Millions of Dollars) | Total | Less than 1 Year | 1 to 3 Years | 3 to 5 Years | After 5 Years | |||||||||||||||||||||||||||
Long-term debt, principal and interest payments | $ | 34,312 | $ | 1,183 | $ | 3,249 | $ | 3,107 | $ | 26,773 | ||||||||||||||||||||||
Finance lease obligations | 257 | 14 | 24 | 22 | 197 | |||||||||||||||||||||||||||
Operating leases obligations (a)
|
1,859 | 273 | 497 | 434 | 655 | |||||||||||||||||||||||||||
Unconditional purchase obligations (b)
|
5,005 | 1,366 | 1,585 | 911 | 1,143 | |||||||||||||||||||||||||||
Other long-term obligations, including current portion | 637 | 74 | 63 | 60 | 440 | |||||||||||||||||||||||||||
Other short-term obligations | 420 | 420 | — | — | — | |||||||||||||||||||||||||||
Short-term debt | 584 | 584 | — | — | — | |||||||||||||||||||||||||||
Total contractual cash obligations | $ | 43,074 | $ | 3,914 | $ | 5,418 | $ | 4,534 | $ | 29,208 |
Actual | Base Capital Forecast (Millions of Dollars) | |||||||||||||||||||||||||||||||||||||||||||
By Regulated Utility | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 | 2021 - 2025 Total | |||||||||||||||||||||||||||||||||||||
PSCo | $ | 1,600 | $ | 1,700 | $ | 1,835 | $ | 1,750 | $ | 1,695 | $ | 1,655 | $ | 8,635 | ||||||||||||||||||||||||||||||
NSP-Minnesota | 1,955 | 1,930 | 1,785 | 1,785 | 1,915 | 1,890 | 9,305 | |||||||||||||||||||||||||||||||||||||
SPS | 1,180 | 505 | 710 | 770 | 735 | 675 | 3,395 | |||||||||||||||||||||||||||||||||||||
NSP-Wisconsin | 235 | 360 | 430 | 395 | 515 | 470 | 2,170 | |||||||||||||||||||||||||||||||||||||
Other (a)
|
(135) | (20) | (15) | 10 | 10 | 10 | (5) | |||||||||||||||||||||||||||||||||||||
Total base capital expenditures | $ | 4,835 | $ | 4,475 | $ | 4,745 | $ | 4,710 | $ | 4,870 | $ | 4,700 | $ | 23,500 |
Actual | Base Capital Forecast (Millions of Dollars) | |||||||||||||||||||||||||||||||||||||||||||
By Function | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 | 2021 - 2025 Total | |||||||||||||||||||||||||||||||||||||
Electric distribution | $ | 980 | $ | 1,205 | $ | 1,440 | $ | 1,550 | $ | 1,505 | $ | 1,475 | $ | 7,175 | ||||||||||||||||||||||||||||||
Electric transmission | 695 | 870 | 1,285 | 1,285 | 1,270 | 1,290 | 6,000 | |||||||||||||||||||||||||||||||||||||
Electric generation | 445 | 630 | 575 | 560 | 750 | 975 | 3,490 | |||||||||||||||||||||||||||||||||||||
Natural gas | 580 | 615 | 615 | 665 | 670 | 625 | 3,190 | |||||||||||||||||||||||||||||||||||||
Other | 345 | 545 | 575 | 485 | 405 | 335 | 2,345 | |||||||||||||||||||||||||||||||||||||
Renewables | 1,790 | 610 | 255 | 165 | 270 | — | 1,300 | |||||||||||||||||||||||||||||||||||||
Total base capital expenditures | $ | 4,835 | $ | 4,475 | $ | 4,745 | $ | 4,710 | $ | 4,870 | $ | 4,700 | $ | 23,500 |
Incremental Capital Forecast (Millions of Dollars) (a)
|
||||||||||||||||||||||||||||||||||||||
NSP-Minnesota Proposal | 2021 | 2022 | 2023 | 2024 | 2025 | 2021 - 2025 Total | ||||||||||||||||||||||||||||||||
Sherco solar | $ | 30 | $ | 200 | $ | 320 | $ | — | $ | — | $ | 550 | ||||||||||||||||||||||||||
Wind PPA buyout | 25 | 185 | — | — | — | 210 | ||||||||||||||||||||||||||||||||
Total incremental capital | $ | 55 | $ | 385 | $ | 320 | $ | — | $ | — | $ | 760 |
(Millions of Dollars) | Dec. 31, 2020 | Dec. 31, 2019 | ||||||||||||
Fair value of pension assets | $ | 3,599 | $ | 3,184 | ||||||||||
Projected pension obligation (a)
|
3,964 | 3,701 | ||||||||||||
Funded status | $ | (365) | $ | (517) |
Pension Assumptions | 2020 | 2019 | ||||||||||||
Discount rate | 2.71 | % | 3.49 | % | ||||||||||
Expected long-term rate of return | 6.49 | 6.87 |
(Amounts in Millions, Except Interest Rates) | Three Months Ended Dec. 31, 2020 | |||||||
Borrowing limit | $ | 3,100 | ||||||
Amount outstanding at period end | 584 | |||||||
Average amount outstanding | 415 | |||||||
Maximum amount outstanding | 613 | |||||||
Weighted average interest rate, computed on a daily basis | 0.60 | % | ||||||
Weighted average interest rate at end of period | 0.23 |
(Amounts in Millions, Except Interest Rates) | Year Ended Dec. 31, 2020 | Year Ended Dec. 31, 2019 | Year Ended Dec. 31, 2018 | |||||||||||||||||
Borrowing limit | $ | 3,100 | $ | 3,600 | $ | 3,250 | ||||||||||||||
Amount outstanding at period end | 584 | 595 | 1,038 | |||||||||||||||||
Average amount outstanding | 1,126 | 1,115 | 788 | |||||||||||||||||
Maximum amount outstanding | 2,080 | 1,780 | 1,349 | |||||||||||||||||
Weighted average interest rate, computed on a daily basis | 1.45 | % | 2.72 | % | 2.34 | % | ||||||||||||||
Weighted average interest rate at end of period | 0.23 | 2.34 | 2.97 |
(Millions of Dollars) |
Facility (a)
|
Drawn (b)
|
Available | Cash | Liquidity | |||||||||||||||||||||||||||
Xcel Energy Inc. | $ | 1,250 | $ | 696 | $ | 554 | $ | 2 | $ | 556 | ||||||||||||||||||||||
PSCo | 700 | 142 | 558 | 2 | 560 | |||||||||||||||||||||||||||
NSP-Minnesota | 500 | 129 | 371 | 2 | 373 | |||||||||||||||||||||||||||
SPS | 500 | 341 | 159 | 1 | 160 | |||||||||||||||||||||||||||
NSP-Wisconsin | 150 | — | 150 | 5 | 155 | |||||||||||||||||||||||||||
Total | $ | 3,100 | $ | 1,308 | $ | 1,792 | $ | 12 | $ | 1,804 |
COVID-19
|
ITEM 7A — QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK
|
ITEM 8 — FINANCIAL STATEMENTS AND SUPPLEMENTARY DATA
|
/s/ BEN FOWKE | /s/ BRIAN J. VAN ABEL | |||||||||||||
Ben Fowke | Brian J. Van Abel | |||||||||||||
Chairman, Chief Executive Officer and Director | Executive Vice President, Chief Financial Officer | |||||||||||||
Feb. 17, 2021 | Feb. 17, 2021 | |||||||||||||
/s/ DELOITTE & TOUCHE LLP | ||
Minneapolis, Minnesota | ||
February 17, 2021 | ||
We have served as the Company’s auditor since 2002. |
Year Ended Dec. 31 | ||||||||||||||||||||
2020 | 2019 | 2018 | ||||||||||||||||||
Operating revenues | ||||||||||||||||||||
Electric | $ | 9,802 | $ | 9,575 | $ | 9,719 | ||||||||||||||
Natural gas | 1,636 | 1,868 | 1,739 | |||||||||||||||||
Other | 88 | 86 | 79 | |||||||||||||||||
Total operating revenues | 11,526 | 11,529 | 11,537 | |||||||||||||||||
Operating expenses | ||||||||||||||||||||
Electric fuel and purchased power | 3,512 | 3,510 | 3,854 | |||||||||||||||||
Cost of natural gas sold and transported | 689 | 918 | 843 | |||||||||||||||||
Cost of sales — other | 37 | 40 | 35 | |||||||||||||||||
Operating and maintenance expenses | 2,324 | 2,338 | 2,352 | |||||||||||||||||
Conservation and demand side management expenses | 288 | 285 | 290 | |||||||||||||||||
Depreciation and amortization | 1,948 | 1,765 | 1,642 | |||||||||||||||||
Taxes (other than income taxes) | 612 | 569 | 556 | |||||||||||||||||
Total operating expenses | 9,410 | 9,425 | 9,572 | |||||||||||||||||
Operating income | 2,116 | 2,104 | 1,965 | |||||||||||||||||
Other (expense) income, net | (6) | 16 | (14) | |||||||||||||||||
Equity earnings of unconsolidated subsidiaries | 40 | 39 | 35 | |||||||||||||||||
Allowance for funds used during construction — equity | 115 | 77 | 108 | |||||||||||||||||
Interest charges and financing costs | ||||||||||||||||||||
Interest charges — includes other financing costs of $28, $26 and $25, respectively
|
840 | 773 | 700 | |||||||||||||||||
Allowance for funds used during construction — debt | (42) | (37) | (48) | |||||||||||||||||
Total interest charges and financing costs | 798 | 736 | 652 | |||||||||||||||||
Income before income taxes | 1,467 | 1,500 | 1,442 | |||||||||||||||||
Income tax (benefit) expense | (6) | 128 | 181 | |||||||||||||||||
Net income | $ | 1,473 | $ | 1,372 | $ | 1,261 | ||||||||||||||
Weighted average common shares outstanding: | ||||||||||||||||||||
Basic | 527 | 519 | 511 | |||||||||||||||||
Diluted | 528 | 520 | 511 | |||||||||||||||||
Earnings per average common share: | ||||||||||||||||||||
Basic | $ | 2.79 | $ | 2.64 | $ | 2.47 | ||||||||||||||
Diluted | 2.79 | 2.64 | 2.47 | |||||||||||||||||
See Notes to Consolidated Financial Statements |
Year Ended Dec. 31 | ||||||||||||||||||||
2020 | 2019 | 2018 | ||||||||||||||||||
Net income | $ | 1,473 | $ | 1,372 | $ | 1,261 | ||||||||||||||
Other comprehensive (loss) income | ||||||||||||||||||||
Pension and retiree medical benefits: | ||||||||||||||||||||
Net pension and retiree medical losses arising during the period, net of tax of $(2), $— and $(2), respectively
|
(5) | — | (6) | |||||||||||||||||
Reclassification of losses to net income, net of tax of $3, $1 and $3, respectively
|
10 | 3 | 9 | |||||||||||||||||
Derivative instruments: | ||||||||||||||||||||
Net fair value decrease, net of tax of $(3), $(8) and $(2), respectively
|
(10) | (23) | (5) | |||||||||||||||||
Reclassification of losses to net income, net of tax of $2, $1 and $1, respectively
|
5 | 3 | 3 | |||||||||||||||||
Total other comprehensive (loss) income | — | (17) | 1 | |||||||||||||||||
Total comprehensive income | $ | 1,473 | $ | 1,355 | $ | 1,262 | ||||||||||||||
See Notes to Consolidated Financial Statements |
Year Ended Dec. 31 | |||||||||||||||||
2020 | 2019 | 2018 | |||||||||||||||
Operating activities | |||||||||||||||||
Net income | $ | 1,473 | $ | 1,372 | $ | 1,261 | |||||||||||
Adjustments to reconcile net income to cash provided by operating activities: | |||||||||||||||||
Depreciation and amortization | 1,959 | 1,785 | 1,659 | ||||||||||||||
Nuclear fuel amortization | 123 | 119 | 122 | ||||||||||||||
Deferred income taxes | (8) | 143 | 218 | ||||||||||||||
Allowance for equity funds used during construction | (115) | (77) | (108) | ||||||||||||||
Equity earnings of unconsolidated subsidiaries | (40) | (39) | (35) | ||||||||||||||
Dividends from unconsolidated subsidiaries | 42 | 40 | 37 | ||||||||||||||
Provision for bad debts | 60 | 42 | 42 | ||||||||||||||
Share-based compensation expense | 73 | 58 | 45 | ||||||||||||||
Net realized and unrealized hedging and derivative transactions | (27) | 45 | 22 | ||||||||||||||
Changes in operating assets and liabilities: | |||||||||||||||||
Accounts receivable | (154) | (20) | (105) | ||||||||||||||
Accrued unbilled revenues | (3) | 42 | 9 | ||||||||||||||
Inventories | (80) | (84) | (65) | ||||||||||||||
Other current assets | (45) | 25 | 18 | ||||||||||||||
Accounts payable | (33) | (12) | 90 | ||||||||||||||
Net regulatory assets and liabilities | (144) | (66) | 223 | ||||||||||||||
Other current liabilities | 29 | (15) | (61) | ||||||||||||||
Pension and other employee benefit obligations | (125) | (135) | (179) | ||||||||||||||
Other, net | (137) | 40 | (71) | ||||||||||||||
Net cash provided by operating activities | 2,848 | 3,263 | 3,122 | ||||||||||||||
Investing activities | |||||||||||||||||
Capital/construction expenditures | (5,369) | (4,225) | (3,957) | ||||||||||||||
Sale of MEC | 684 | — | — | ||||||||||||||
Purchase of investment securities | (1,398) | (995) | (853) | ||||||||||||||
Proceeds from the sale of investment securities | 1,378 | 975 | 833 | ||||||||||||||
Other, net | (35) | (98) | (9) | ||||||||||||||
Net cash used in investing activities | (4,740) | (4,343) | (3,986) | ||||||||||||||
Financing activities | |||||||||||||||||
(Repayments of) proceeds from short-term borrowings, net | (11) | (443) | 225 | ||||||||||||||
Proceeds from issuances of long-term debt | 2,940 | 2,920 | 1,675 | ||||||||||||||
Repayments of long-term debt, including reacquisition premiums | (1,001) | (949) | (452) | ||||||||||||||
Proceeds from issuance of common stock | 727 | 458 | 230 | ||||||||||||||
Dividends paid | (856) | (791) | (730) | ||||||||||||||
Other, net | (26) | (14) | (20) | ||||||||||||||
Net cash provided by financing activities | 1,773 | 1,181 | 928 | ||||||||||||||
Net change in cash and cash equivalents | (119) | 101 | 64 | ||||||||||||||
Cash and cash equivalents at beginning of period | 248 | 147 | 83 | ||||||||||||||
Cash and cash equivalents at end of period | $ | 129 | $ | 248 | $ | 147 | |||||||||||
Supplemental disclosure of cash flow information: | |||||||||||||||||
Cash paid for interest (net of amounts capitalized) | $ | (758) | $ | (698) | $ | (633) | |||||||||||
Cash received for income taxes, net | 12 | 53 | 27 | ||||||||||||||
Supplemental disclosure of non-cash investing and financing transactions: | |||||||||||||||||
Accrued property, plant and equipment additions | $ | 400 | $ | 421 | $ | 388 | |||||||||||
Inventory transfers to property, plant and equipment | 275 | 88 | 129 | ||||||||||||||
Operating lease right-of-use assets | 369 | 1,843 | — | ||||||||||||||
Allowance for equity funds used during construction | 115 | 77 | 108 | ||||||||||||||
Issuance of common stock for equity awards | 67 | 63 | 67 | ||||||||||||||
See Notes to Consolidated Financial Statements |
Dec. 31 | ||||||||||||||
2020 | 2019 | |||||||||||||
Assets | ||||||||||||||
Current assets | ||||||||||||||
Cash and cash equivalents | $ | 129 | $ | 248 | ||||||||||
Accounts receivable, net | 916 | 837 | ||||||||||||
Accrued unbilled revenues | 714 | 713 | ||||||||||||
Inventories | 535 | 544 | ||||||||||||
Regulatory assets | 640 | 488 | ||||||||||||
Derivative instruments | 49 | 55 | ||||||||||||
Prepaid taxes | 42 | 43 | ||||||||||||
Prepayments and other | 250 | 185 | ||||||||||||
Total current assets | 3,275 | 3,113 | ||||||||||||
Property, plant and equipment, net | 42,950 | 39,483 | ||||||||||||
Other assets | ||||||||||||||
Nuclear decommissioning fund and other investments | 3,096 | 2,731 | ||||||||||||
Regulatory assets | 2,737 | 2,935 | ||||||||||||
Derivative instruments | 30 | 22 | ||||||||||||
Operating lease right-of-use assets | 1,490 | 1,672 | ||||||||||||
Other | 379 | 492 | ||||||||||||
Total other assets | 7,732 | 7,852 | ||||||||||||
Total assets | $ | 53,957 | $ | 50,448 | ||||||||||
Liabilities and Equity | ||||||||||||||
Current liabilities | ||||||||||||||
Current portion of long-term debt | $ | 421 | $ | 702 | ||||||||||
Short-term debt | 584 | 595 | ||||||||||||
Accounts payable | 1,237 | 1,294 | ||||||||||||
Regulatory liabilities | 311 | 407 | ||||||||||||
Taxes accrued | 578 | 466 | ||||||||||||
Accrued interest | 203 | 192 | ||||||||||||
Dividends payable | 231 | 212 | ||||||||||||
Derivative instruments | 53 | 38 | ||||||||||||
Operating lease liabilities | 214 | 194 | ||||||||||||
Other | 407 | 468 | ||||||||||||
Total current liabilities | 4,239 | 4,568 | ||||||||||||
Deferred credits and other liabilities | ||||||||||||||
Deferred income taxes | 4,746 | 4,509 | ||||||||||||
Deferred investment tax credits | 45 | 49 | ||||||||||||
Regulatory liabilities | 5,302 | 5,077 | ||||||||||||
Asset retirement obligations | 2,884 | 2,701 | ||||||||||||
Derivative instruments | 131 | 175 | ||||||||||||
Customer advances | 197 | 203 | ||||||||||||
Pension and employee benefit obligations | 666 | 785 | ||||||||||||
Operating lease liabilities | 1,344 | 1,549 | ||||||||||||
Other | 183 | 186 | ||||||||||||
Total deferred credits and other liabilities | 15,498 | 15,234 | ||||||||||||
Commitments and contingencies | ||||||||||||||
Capitalization | ||||||||||||||
Long-term debt | 19,645 | 17,407 | ||||||||||||
Common stock — 1,000,000,000 shares authorized of $2.50 par value; 537,438,394 and 524,539,000 shares outstanding at Dec. 31, 2020 and Dec. 31, 2019, respectively
|
1,344 | 1,311 | ||||||||||||
Additional paid in capital | 7,404 | 6,656 | ||||||||||||
Retained earnings | 5,968 | 5,413 | ||||||||||||
Accumulated other comprehensive loss | (141) | (141) | ||||||||||||
Total common stockholders’ equity | 14,575 | 13,239 | ||||||||||||
Total liabilities and equity | $ | 53,957 | $ | 50,448 | ||||||||||
See Notes to Consolidated Financial Statements |
Common Stock Issued | Retained Earnings |
Accumulated Other
Comprehensive Loss
|
Total Common Stockholders’ Equity | ||||||||||||||||||||||||||||||||
Shares | Par Value |
Additional Paid
In Capital |
|||||||||||||||||||||||||||||||||
Balance at Dec. 31, 2017 | 507,763 | $ | 1,269 | $ | 5,898 | $ | 4,413 | $ | (125) | $ | 11,455 | ||||||||||||||||||||||||
Net income | 1,261 | 1,261 | |||||||||||||||||||||||||||||||||
Other comprehensive income | 1 | 1 | |||||||||||||||||||||||||||||||||
Dividends declared on common stock ($1.52 per share)
|
(780) | (780) | |||||||||||||||||||||||||||||||||
Issuances of common stock | 6,296 | 16 | 254 | 270 | |||||||||||||||||||||||||||||||
Repurchases of common stock | (22) | — | (1) | (1) | |||||||||||||||||||||||||||||||
Share-based compensation | 17 | (1) | 16 | ||||||||||||||||||||||||||||||||
Balance at Dec. 31, 2018 | 514,037 | $ | 1,285 | $ | 6,168 | $ | 4,893 | $ | (124) | $ | 12,222 | ||||||||||||||||||||||||
Net Income | 1,372 | 1,372 | |||||||||||||||||||||||||||||||||
Other comprehensive loss | (17) | (17) | |||||||||||||||||||||||||||||||||
Dividends declared on common stock ($1.62 per share)
|
(846) | (846) | |||||||||||||||||||||||||||||||||
Issuances of common stock | 10,508 | 26 | 468 | 494 | |||||||||||||||||||||||||||||||
Repurchase of common stock | (6) | — | — | — | |||||||||||||||||||||||||||||||
Share-based compensation | 20 | (6) | 14 | ||||||||||||||||||||||||||||||||
Balance at Dec. 31, 2019 | 524,539 | $ | 1,311 | $ | 6,656 | $ | 5,413 | $ | (141) | $ | 13,239 | ||||||||||||||||||||||||
Net income | 1,473 | 1,473 | |||||||||||||||||||||||||||||||||
Dividends declared on common stock ($1.72 per share)
|
(909) | (909) | |||||||||||||||||||||||||||||||||
Issuances of common stock | 12,954 | 33 | 731 | 764 | |||||||||||||||||||||||||||||||
Repurchase of common stock | (55) | — | (4) | (4) | |||||||||||||||||||||||||||||||
Share-based compensation | 21 | (7) | 14 | ||||||||||||||||||||||||||||||||
Adoption of ASC Topic 326 | (2) | (2) | |||||||||||||||||||||||||||||||||
Balance at Dec. 31, 2020 | 537,438 | $ | 1,344 | $ | 7,404 | $ | 5,968 | $ | (141) | $ | 14,575 | ||||||||||||||||||||||||
See Notes to Consolidated Financial Statements |
1. Summary of Significant Accounting Policies
|
(Millions of Dollars) | Dec. 31, 2020 | Dec. 31, 2019 | ||||||||||||
Inventories | ||||||||||||||
Materials and supplies | $ | 275 | $ | 270 | ||||||||||
Fuel | 176 | 191 | ||||||||||||
Natural gas | 84 | 83 | ||||||||||||
Total inventories | $ | 535 | $ | 544 |
2. Accounting Pronouncements
|
3. Property, Plant and Equipment
|
(Millions of Dollars) | Dec. 31, 2020 | Dec. 31, 2019 | ||||||||||||
Property, plant and equipment, net | ||||||||||||||
Electric plant | $ | 47,104 | $ | 44,355 | ||||||||||
Natural gas plant | 7,135 | 6,560 | ||||||||||||
Common and other property | 2,503 | 2,341 | ||||||||||||
Plant to be retired (a)
|
677 | 259 | ||||||||||||
CWIP | 1,877 | 2,329 | ||||||||||||
Total property, plant and equipment | 59,296 | 55,844 | ||||||||||||
Less accumulated depreciation | (16,657) | (16,735) | ||||||||||||
Nuclear fuel | 2,970 | 2,909 | ||||||||||||
Less accumulated amortization | (2,659) | (2,535) | ||||||||||||
Property, plant and equipment, net | $ | 42,950 | $ | 39,483 |
(Millions of Dollars, Except Percent Owned) | Plant in Service | Accumulated Depreciation | CWIP | Percent Owned | ||||||||||||||||||||||
NSP-Minnesota | ||||||||||||||||||||||||||
Electric generation: | ||||||||||||||||||||||||||
Sherco Unit 3 | $ | 601 | $ | 435 | $ | 2 | 59 | % | ||||||||||||||||||
Sherco common facilities | 149 | 108 | 5 | 80 | ||||||||||||||||||||||
Sherco substation | 5 | 3 | — | 59 | ||||||||||||||||||||||
Electric transmission: | ||||||||||||||||||||||||||
Grand Meadow | 11 | 3 | — | 50 | ||||||||||||||||||||||
CapX2020 | 954 | 108 | 33 | 51 | ||||||||||||||||||||||
Total NSP-Minnesota | $ | 1,720 | $ | 657 | $ | 40 |
(Millions of Dollars, Except Percent Owned) | Plant in Service | Accumulated Depreciation | CWIP | Percent Owned | ||||||||||||||||||||||
NSP-Wisconsin | ||||||||||||||||||||||||||
Electric transmission: | ||||||||||||||||||||||||||
La Crosse, WI to Madison, WI | $ | 188 | $ | 12 | $ | — | 37 | % | ||||||||||||||||||
CapX2020 | 169 | 23 | — | 80 | ||||||||||||||||||||||
Total NSP-Wisconsin | $ | 357 | $ | 35 | $ | — |
(Millions of Dollars, Except Percent Owned) | Plant in Service | Accumulated Depreciation | CWIP | Percent Owned | ||||||||||||||||||||||
PSCo | ||||||||||||||||||||||||||
Electric generation: | ||||||||||||||||||||||||||
Hayden Unit 1 | $ | 153 | $ | 92 | $ | — | 76 | % | ||||||||||||||||||
Hayden Unit 2 | 150 | 73 | — | 37 | ||||||||||||||||||||||
Hayden common facilities | 42 | 25 | — | 53 | ||||||||||||||||||||||
Craig Units 1 and 2 | 81 | 44 | — | 10 | ||||||||||||||||||||||
Craig common facilities | 39 | 24 | — | 7 | ||||||||||||||||||||||
Comanche Unit 3 | 899 | 137 | 16 | 67 | ||||||||||||||||||||||
Comanche common facilities | 25 | 2 | — | 82 | ||||||||||||||||||||||
Electric transmission: | ||||||||||||||||||||||||||
Transmission and other facilities | 176 | 59 | 2 | Various | ||||||||||||||||||||||
Gas transmission: | ||||||||||||||||||||||||||
Rifle, CO to Avon, CO | 22 | 8 | — | 60 | ||||||||||||||||||||||
Gas transmission compressor | 8 | 1 | — | 50 | ||||||||||||||||||||||
Total PSCo | $ | 1,595 | $ | 465 | $ | 18 |
4. Regulatory Assets and Liabilities
|
(Millions of Dollars) | See Note(s) | Remaining Amortization Period | Dec. 31, 2020 | Dec. 31, 2019 | ||||||||||||||||||||||||||||||||||
Regulatory Assets | Current | Noncurrent | Current | Noncurrent | ||||||||||||||||||||||||||||||||||
Pension and retiree medical obligations | 11 | Various | $ | 82 | $ | 1,268 | $ | 85 | $ | 1,328 | ||||||||||||||||||||||||||||
Recoverable deferred taxes on AFUDC | Plant lives | — | 283 | — | 271 | |||||||||||||||||||||||||||||||||
Excess deferred taxes — TCJA
|
7 | Various | 16 | 229 | 39 | 239 | ||||||||||||||||||||||||||||||||
Depreciation differences |
One to 11 years
|
16 | 154 | 15 | 140 | |||||||||||||||||||||||||||||||||
Net AROs (a)
|
1, 12 | Various | — | 139 | — | 269 | ||||||||||||||||||||||||||||||||
Environmental remediation costs | 1, 12 | Various | 16 | 113 | 36 | 131 | ||||||||||||||||||||||||||||||||
Benson biomass PPA termination and asset purchase |
Nine years
|
10 | 65 | 9 | 73 | |||||||||||||||||||||||||||||||||
Purchased power contract costs | Term of related contract | 7 | 54 | 5 | 61 | |||||||||||||||||||||||||||||||||
PI extended power uprate |
14 years
|
3 | 49 | 3 | 53 | |||||||||||||||||||||||||||||||||
Contract valuation adjustments (b)
|
1, 10 | Term of related contract | 23 | 48 | 20 | 62 | ||||||||||||||||||||||||||||||||
Losses on reacquired debt | Term of related debt | 4 | 38 | 4 | 41 | |||||||||||||||||||||||||||||||||
Laurentian biomass PPA termination |
Three years
|
18 | 36 | 19 | 54 | |||||||||||||||||||||||||||||||||
Conservation programs (c)
|
1 |
One to two years
|
26 | 36 | 27 | 26 | ||||||||||||||||||||||||||||||||
State commission adjustments | Plant lives | 1 | 32 | 1 | 31 | |||||||||||||||||||||||||||||||||
Sales true-up and revenue decoupling |
One to two years
|
101 | 28 | 54 | 16 | |||||||||||||||||||||||||||||||||
Property tax | Various | 16 | 21 | 2 | 30 | |||||||||||||||||||||||||||||||||
Deferred purchased natural gas and electric energy costs |
One to two years
|
14 | 18 | 6 | 6 | |||||||||||||||||||||||||||||||||
Texas revenue surcharge |
One to two years
|
54 | 17 | 2 | — | |||||||||||||||||||||||||||||||||
Renewable resources and environmental initiatives |
One to two years
|
129 | 12 | 72 | 10 | |||||||||||||||||||||||||||||||||
Nuclear refueling outage costs | 1 |
One to two years
|
28 | 10 | 43 | 17 | ||||||||||||||||||||||||||||||||
Gas pipeline inspection and remediation costs |
One to two years
|
26 | 9 | 26 | 8 | |||||||||||||||||||||||||||||||||
Other | Various | 50 | 78 | 20 | 69 | |||||||||||||||||||||||||||||||||
Total regulatory assets | $ | 640 | $ | 2,737 | $ | 488 | $ | 2,935 |
(Millions of Dollars) | See Note(s) | Remaining Amortization Period | Dec. 31, 2020 | Dec. 31, 2019 | ||||||||||||||||||||||||||||||||||
Regulatory Liabilities | Current | Noncurrent | Current | Noncurrent | ||||||||||||||||||||||||||||||||||
Deferred income tax adjustments and TCJA refunds (a)
|
7 | Various | $ | 20 | $ | 3,368 | $ | 75 | $ | 3,523 | ||||||||||||||||||||||||||||
Plant removal costs | 1, 12 | Various | — | 1,520 | — | 1,217 | ||||||||||||||||||||||||||||||||
Effects of regulation on employee benefit costs (b)
|
Various | — | 221 | — | 196 | |||||||||||||||||||||||||||||||||
Renewable resources and environmental initiatives | Various | 5 | 59 | — | 45 | |||||||||||||||||||||||||||||||||
ITC deferrals
|
1 | Various | — | 51 | — | 38 | ||||||||||||||||||||||||||||||||
Revenue decoupling |
One to two years
|
10 | 41 | — | — | |||||||||||||||||||||||||||||||||
Deferred electric, natural gas and steam production costs | Less than one year | 84 | — | 138 | — | |||||||||||||||||||||||||||||||||
Conservation programs (c)
|
1 | Less than one year | 49 | — | 37 | — | ||||||||||||||||||||||||||||||||
DOE settlement | Less than one year | 23 | — | 37 | — | |||||||||||||||||||||||||||||||||
Contract valuation adjustments (d)
|
1, 10 | Less than one year | 19 | — | 19 | — | ||||||||||||||||||||||||||||||||
Other | Various | 101 | 42 | 101 | 58 | |||||||||||||||||||||||||||||||||
Total regulatory liabilities (e)
|
$ | 311 | $ | 5,302 | $ | 407 | $ | 5,077 |
5. Borrowings and Other Financing Instruments
|
(Millions of Dollars, Except Interest Rates) | Three Months Ended Dec. 31, 2020 | Year Ended Dec. 31 | ||||||||||||||||||||||||
2020 | 2019 | 2018 | ||||||||||||||||||||||||
Borrowing limit | $ | 3,100 | $ | 3,100 | $ | 3,600 | $ | 3,250 | ||||||||||||||||||
Amount outstanding at period end | 584 | 584 | 595 | 1,038 | ||||||||||||||||||||||
Average amount outstanding | 415 | 1,126 | 1,115 | 788 | ||||||||||||||||||||||
Maximum amount outstanding | 613 | 2,080 | 1,780 | 1,349 | ||||||||||||||||||||||
Weighted average interest rate, computed on a daily basis | 0.60 | % | 1.45 | % | 2.72 | % | 2.34 | % | ||||||||||||||||||
Weighted average interest rate at period end | 0.23 | 0.23 | 2.34 | 2.97 |
(Millions of Dollars) | Limit | Amount Outstanding | Available | |||||||||||||||||
NSP-Minnesota | $ | 75 | $ | 49 | $ | 26 |
Debt-to-Total Capitalization Ratio(a)
|
Amount Facility May Be Increased (millions) |
Additional Periods for Which a One-Year Extension May Be Requested (b)
|
||||||||||||||||||||||||
2020 | 2019 | |||||||||||||||||||||||||
Xcel Energy Inc. (c)
|
59 | % | 58 | % | $ | 200 | 2 | |||||||||||||||||||
NSP-Wisconsin | 46 | 48 | N/A | 1 | ||||||||||||||||||||||
NSP-Minnesota | 47 | 48 | 100 | 2 | ||||||||||||||||||||||
SPS | 48 | 46 | 50 | 2 | ||||||||||||||||||||||
PSCo | 44 | 44 | 100 | 2 |
(Millions of Dollars) |
Credit Facility (a)
|
Drawn (b)
|
Available | |||||||||||||||||
Xcel Energy Inc. | $ | 1,250 | $ | — | $ | 1,250 | ||||||||||||||
PSCo | 700 | 144 | 556 | |||||||||||||||||
NSP-Minnesota | 500 | 189 | 311 | |||||||||||||||||
SPS | 500 | 252 | 248 | |||||||||||||||||
NSP-Wisconsin | 150 | 19 | 131 | |||||||||||||||||
Total | $ | 3,100 | $ | 604 | $ | 2,496 |
Xcel Energy Inc. | ||||||||||||||||||||||||||
Financing Instrument | Interest Rate | Maturity Date | 2020 | 2019 | ||||||||||||||||||||||
Unsecured senior notes | 2.40 | % | March 15, 2021 | $ | 400 | $ | 400 | |||||||||||||||||||
Unsecured senior notes (c)
|
2.60 | March 15, 2022 | — | 300 | ||||||||||||||||||||||
Unsecured senior notes (a)
|
0.50 | Oct. 15, 2023 | 500 | — | ||||||||||||||||||||||
Unsecured senior notes | 3.30 | June 1, 2025 | 250 | 250 | ||||||||||||||||||||||
Unsecured senior notes | 3.30 | June 1, 2025 | 350 | 350 | ||||||||||||||||||||||
Unsecured senior notes | 3.35 | Dec. 1, 2026 | 500 | 500 | ||||||||||||||||||||||
Unsecured senior notes (b)
|
4.00 | June 15, 2028 | 130 | 130 | ||||||||||||||||||||||
Unsecured senior notes | 4.00 | June 15, 2028 | 500 | 500 | ||||||||||||||||||||||
Unsecured senior notes (b)
|
2.60 | Dec. 1, 2029 | 500 | 500 | ||||||||||||||||||||||
Unsecured senior notes (a)
|
3.40 | June 1, 2030 | 600 | — | ||||||||||||||||||||||
Unsecured senior notes | 6.50 | July 1, 2036 | 300 | 300 | ||||||||||||||||||||||
Unsecured senior notes | 4.80 | Sept. 15, 2041 | 250 | 250 | ||||||||||||||||||||||
Unsecured senior notes (b)
|
3.50 | Dec. 1, 2049 | 500 | 500 | ||||||||||||||||||||||
Unamortized discount | (7) | (5) | ||||||||||||||||||||||||
Unamortized debt issuance cost | (32) | (28) | ||||||||||||||||||||||||
Current maturities | (400) | — | ||||||||||||||||||||||||
Total long-term debt | $ | 4,341 | $ | 3,947 |
NSP-Minnesota | ||||||||||||||||||||||||||
Financing Instrument | Interest Rate | Maturity Date | 2020 | 2019 | ||||||||||||||||||||||
First mortgage bonds | 2.20 | % | Aug. 15, 2020 | $ | — | $ | 300 | |||||||||||||||||||
First mortgage bonds | 2.15 | Aug. 15, 2022 | 300 | 300 | ||||||||||||||||||||||
First mortgage bonds | 2.60 | May 15, 2023 | 400 | 400 | ||||||||||||||||||||||
First mortgage bonds | 7.13 | July 1, 2025 | 250 | 250 | ||||||||||||||||||||||
First mortgage bonds | 6.50 | March 1, 2028 | 150 | 150 | ||||||||||||||||||||||
First mortgage bonds | 5.25 | July 15, 2035 | 250 | 250 | ||||||||||||||||||||||
First mortgage bonds | 6.25 | June 1, 2036 | 400 | 400 | ||||||||||||||||||||||
First mortgage bonds | 6.20 | July 1, 2037 | 350 | 350 | ||||||||||||||||||||||
First mortgage bonds | 5.35 | Nov. 1, 2039 | 300 | 300 | ||||||||||||||||||||||
First mortgage bonds | 4.85 | Aug. 15, 2040 | 250 | 250 | ||||||||||||||||||||||
First mortgage bonds | 3.40 | Aug. 15, 2042 | 500 | 500 | ||||||||||||||||||||||
First mortgage bonds | 4.13 | May 15, 2044 | 300 | 300 | ||||||||||||||||||||||
First mortgage bonds | 4.00 | Aug. 15, 2045 | 300 | 300 | ||||||||||||||||||||||
First mortgage bonds | 3.60 | May 15, 2046 | 350 | 350 | ||||||||||||||||||||||
First mortgage bonds | 3.60 | Sept. 15, 2047 | 600 | 600 | ||||||||||||||||||||||
First mortgage bonds (b)
|
2.90 | March 1, 2050 | 600 | 600 | ||||||||||||||||||||||
First mortgage bonds (a)
|
2.60 | June 1, 2051 | 700 | — | ||||||||||||||||||||||
Unamortized discount | (42) | (31) | ||||||||||||||||||||||||
Unamortized debt issuance cost | (54) | (48) | ||||||||||||||||||||||||
Current maturities | — | (300) | ||||||||||||||||||||||||
Total long-term debt | $ | 5,904 | $ | 5,221 |
NSP-Wisconsin | ||||||||||||||||||||||||||
Financing Instrument | Interest Rate | Maturity Date | 2020 | 2019 | ||||||||||||||||||||||
City of La Crosse resource recovery bond | 6.00 | % | Nov 1, 2021 | $ | 19 | $ | 19 | |||||||||||||||||||
First mortgage bonds | 3.30 | June 15, 2024 | 100 | 100 | ||||||||||||||||||||||
First mortgage bonds | 3.30 | June 15, 2024 | 100 | 100 | ||||||||||||||||||||||
First mortgage bonds | 6.38 | Sept. 1, 2038 | 200 | 200 | ||||||||||||||||||||||
First mortgage bonds | 3.70 | Oct. 1, 2042 | 100 | 100 | ||||||||||||||||||||||
First mortgage bonds | 3.75 | Dec. 1, 2047 | 100 | 100 | ||||||||||||||||||||||
First mortgage bonds | 4.20 | Sept. 1, 2048 | 200 | 200 | ||||||||||||||||||||||
First mortgage bonds (a)
|
3.05 | May 1, 2051 | 100 | — | ||||||||||||||||||||||
Unamortized discount | (4) | (3) | ||||||||||||||||||||||||
Unamortized debt issuance cost | (9) | (8) | ||||||||||||||||||||||||
Current maturities | (19) | — | ||||||||||||||||||||||||
Total long-term debt | $ | 887 | $ | 808 |
PSCo | ||||||||||||||||||||||||||
Financing Instrument | Interest Rate | Maturity Date | 2020 | 2019 | ||||||||||||||||||||||
First mortgage bonds | 3.20 | % | Nov. 15, 2020 | $ | — | $ | 400 | |||||||||||||||||||
First mortgage bonds | 2.25 | Sept. 15, 2022 | 300 | 300 | ||||||||||||||||||||||
First mortgage bonds | 2.50 | March 15, 2023 | 250 | 250 | ||||||||||||||||||||||
First mortgage bonds | 2.90 | May 15, 2025 | 250 | 250 | ||||||||||||||||||||||
First mortgage bonds | 3.70 | June 15, 2028 | 350 | 350 | ||||||||||||||||||||||
First mortgage bonds (a)
|
1.90 | Jan. 15, 2031 | 375 | — | ||||||||||||||||||||||
First mortgage bonds | 6.25 | Sept. 1, 2037 | 350 | 350 | ||||||||||||||||||||||
First mortgage bonds | 6.50 | Aug. 1, 2038 | 300 | 300 | ||||||||||||||||||||||
First mortgage bonds | 4.75 | Aug. 15, 2041 | 250 | 250 | ||||||||||||||||||||||
First mortgage bonds | 3.60 | Sept. 15, 2042 | 500 | 500 | ||||||||||||||||||||||
First mortgage bonds | 3.95 | March 15, 2043 | 250 | 250 | ||||||||||||||||||||||
First mortgage bonds | 4.30 | March 15, 2044 | 300 | 300 | ||||||||||||||||||||||
First mortgage bonds | 3.55 | June 15, 2046 | 250 | 250 | ||||||||||||||||||||||
First mortgage bonds | 3.80 | June 15, 2047 | 400 | 400 | ||||||||||||||||||||||
First mortgage bonds | 4.10 | June 15, 2048 | 350 | 350 | ||||||||||||||||||||||
First mortgage bonds (b)
|
4.05 | Sept. 15, 2049 | 400 | 400 | ||||||||||||||||||||||
First mortgage bonds (b)
|
3.20 | March 1, 2050 | 550 | 550 | ||||||||||||||||||||||
First mortgage bonds (a)
|
2.70 | Jan. 15, 2051 | 375 | — | ||||||||||||||||||||||
Unamortized discount | (30) | (24) | ||||||||||||||||||||||||
Unamortized debt issuance cost | (46) | (41) | ||||||||||||||||||||||||
Current maturities | — | (400) | ||||||||||||||||||||||||
Total long-term debt | $ | 5,724 | $ | 4,985 |
SPS | ||||||||||||||||||||||||||
Financing Instrument | Interest Rate | Maturity Date | 2020 | 2019 | ||||||||||||||||||||||
First mortgage bonds | 3.30 | % | June 15, 2024 | $ | 150 | $ | 150 | |||||||||||||||||||
First mortgage bonds | 3.30 | June 15, 2024 | 200 | 200 | ||||||||||||||||||||||
Unsecured senior notes | 6.00 | Oct. 1, 2033 | 100 | 100 | ||||||||||||||||||||||
Unsecured senior notes | 6.00 | Oct. 1, 2036 | 250 | 250 | ||||||||||||||||||||||
First mortgage bonds | 4.50 | Aug. 15, 2041 | 200 | 200 | ||||||||||||||||||||||
First mortgage bonds | 4.50 | Aug. 15, 2041 | 100 | 100 | ||||||||||||||||||||||
First mortgage bonds | 4.50 | Aug. 15, 2041 | 100 | 100 | ||||||||||||||||||||||
First mortgage bonds | 3.40 | Aug. 15, 2046 | 300 | 300 | ||||||||||||||||||||||
First mortgage bonds | 3.70 | Aug. 15, 2047 | 450 | 450 | ||||||||||||||||||||||
First mortgage bonds | 4.40 | Nov. 15, 2048 | 300 | 300 | ||||||||||||||||||||||
First mortgage bonds (b)
|
3.75 | June 15, 2049 | 300 | 300 | ||||||||||||||||||||||
First mortgage bonds (a)
|
3.15 | May 1, 2050 | 350 | — | ||||||||||||||||||||||
Unamortized discount | (10) | (7) | ||||||||||||||||||||||||
Unamortized debt issuance cost | (26) | (23) | ||||||||||||||||||||||||
Total long-term debt | $ | 2,764 | $ | 2,420 |
Other Subsidiaries | ||||||||||||||||||||||||||
Financing Instrument | Interest Rate | Maturity Date | 2020 | 2019 | ||||||||||||||||||||||
Various Eloigne affordable housing project notes | 0.00% - 6.90% | 2021 — 2054 | $ | 27 | $ | 28 | ||||||||||||||||||||
Current maturities | (2) | (2) | ||||||||||||||||||||||||
Total long-term debt | $ | 25 | $ | 26 |
(Millions of Dollars) | ||||||||
2021 | $ | 421 | ||||||
2022 | 601 | |||||||
2023 | 1,151 | |||||||
2024 | 552 | |||||||
2025 | 1,102 |
Preferred Stock Authorized (Shares) | Par Value of Preferred Stock | Preferred Stock Outstanding (Shares) 2020 and 2019 | ||||||||||||||||||
Xcel Energy Inc. | 7,000,000 | $ | 100 | — | ||||||||||||||||
PSCo | 10,000,000 | 0.01 | — | |||||||||||||||||
SPS | 10,000,000 | 1.00 | — |
Common Stock Authorized (Shares) | Par Value of Common Stock | Common Stock Outstanding (Shares) as of Dec. 31, 2020 | Common Stock Outstanding (Shares) as of Dec. 31, 2019 | |||||||||||||||||
1,000,000,000 | $ | 2.50 | 537,438,394 | 524,539,000 |
Equity to Total
Capitalization Ratio Required Range |
Equity to Total Capitalization Ratio Actual | |||||||||||||||||||
Low | High | 2020 | ||||||||||||||||||
NSP-Minnesota | 47.1 | % | 57.5 | % | 52.7 | % | ||||||||||||||
NSP-Wisconsin | 52.5 | N/A | 52.8 | |||||||||||||||||
SPS (a)
|
45.0 | 55.0 | 54.4 |
(Amounts in Millions) | Unrestricted Retained Earnings | Total Capitalization | Limit on Total Capitalization | |||||||||||||||||
NSP-Minnesota | $ | 1,356 | $ | 12,853 | $ | 13,200 | ||||||||||||||
NSP-Wisconsin (a)
|
7 | 1,940 | N/A | |||||||||||||||||
SPS (b)
|
510 | 6,062 | N/A |
(Millions of Dollars) | Long-Term Debt | Short-Term Debt | |||||||||||||||
NSP-Minnesota | 52.93% of total capitalization |
(a)
|
$ | 1,980 |
(a)
|
||||||||||||
NSP-Wisconsin | $ | 250 | 150 | ||||||||||||||
SPS | — |
(b)
|
600 | ||||||||||||||
PSCo | 1,450 | 800 |
6. Revenues
|
Year Ended Dec. 31, 2020 | ||||||||||||||||||||||||||
(Millions of Dollars) | Electric | Natural Gas | All Other | Total | ||||||||||||||||||||||
Major revenue types | ||||||||||||||||||||||||||
Revenue from contracts with customers: | ||||||||||||||||||||||||||
Residential | $ | 3,066 | $ | 975 | $ | 42 | $ | 4,083 | ||||||||||||||||||
C&I | 4,596 | 462 | 27 | 5,085 | ||||||||||||||||||||||
Other | 125 | — | 6 | 131 | ||||||||||||||||||||||
Total retail | 7,787 | 1,437 | 75 | 9,299 | ||||||||||||||||||||||
Wholesale | 759 | — | — | 759 | ||||||||||||||||||||||
Transmission | 579 | — | — | 579 | ||||||||||||||||||||||
Other | 73 | 137 | — | 210 | ||||||||||||||||||||||
Total revenue from contracts with customers | 9,198 | 1,574 | 75 | 10,847 | ||||||||||||||||||||||
Alternative revenue and other | 604 | 62 | 13 | 679 | ||||||||||||||||||||||
Total revenues | $ | 9,802 | $ | 1,636 | $ | 88 | $ | 11,526 |
Year Ended Dec. 31, 2019 | ||||||||||||||||||||||||||
(Millions of Dollars) | Electric | Natural Gas | All Other | Total | ||||||||||||||||||||||
Major revenue types | ||||||||||||||||||||||||||
Revenue from contracts with customers: | ||||||||||||||||||||||||||
Residential | $ | 2,877 | $ | 1,127 | $ | 41 | $ | 4,045 | ||||||||||||||||||
C&I | 4,844 | 567 | 29 | 5,440 | ||||||||||||||||||||||
Other | 130 | — | 4 | 134 | ||||||||||||||||||||||
Total retail | 7,851 | 1,694 | 74 | 9,619 | ||||||||||||||||||||||
Wholesale | 737 | — | — | 737 | ||||||||||||||||||||||
Transmission | 507 | — | — | 507 | ||||||||||||||||||||||
Other | 49 | 120 | — | 169 | ||||||||||||||||||||||
Total revenue from contracts with customers | 9,144 | 1,814 | 74 | 11,032 | ||||||||||||||||||||||
Alternative revenue and other | 431 | 54 | 12 | 497 | ||||||||||||||||||||||
Total revenues | $ | 9,575 | $ | 1,868 | $ | 86 | $ | 11,529 |
Year Ended Dec. 31, 2018 | ||||||||||||||||||||||||||
(Millions of Dollars) | Electric | Natural Gas | All Other | Total | ||||||||||||||||||||||
Major revenue types | ||||||||||||||||||||||||||
Revenue from contracts with customers: | ||||||||||||||||||||||||||
Residential | $ | 2,919 | $ | 988 | $ | 38 | $ | 3,945 | ||||||||||||||||||
C&I | 4,874 | 524 | 25 | 5,423 | ||||||||||||||||||||||
Other | 134 | — | 6 | 140 | ||||||||||||||||||||||
Total retail | 7,927 | 1,512 | 69 | 9,508 | ||||||||||||||||||||||
Wholesale | 791 | — | — | 791 | ||||||||||||||||||||||
Transmission | 523 | — | — | 523 | ||||||||||||||||||||||
Other | 98 | 100 | — | 198 | ||||||||||||||||||||||
Total revenue from contracts with customers | 9,339 | 1,612 | 69 | 11,020 | ||||||||||||||||||||||
Alternative revenue and other | 380 | 127 | 10 | 517 | ||||||||||||||||||||||
Total revenues | $ | 9,719 | $ | 1,739 | $ | 79 | $ | 11,537 |
7. Income Taxes
|
Tax Year(s) | Expiration | |||||||
2014 - 2016 | July 2021 |
State | Year | |||||||
Colorado | 2009 | |||||||
Minnesota | 2009 | |||||||
Texas | 2012 | |||||||
Wisconsin | 2014 |
(Millions of Dollars) | Dec. 31, 2020 | Dec. 31, 2019 | ||||||||||||
Unrecognized tax benefit — Permanent tax positions | $ | 41 | $ | 35 | ||||||||||
Unrecognized tax benefit — Temporary tax positions | 11 | 9 | ||||||||||||
Total unrecognized tax benefit | $ | 52 | $ | 44 |
(Millions of Dollars) | 2020 | 2019 | 2018 | |||||||||||||||||
Balance at Jan. 1 | $ | 44 | $ | 37 | $ | 39 | ||||||||||||||
Additions based on tax positions related to the current year | 9 | 10 | 9 | |||||||||||||||||
Reductions based on tax positions related to the current year | (2) | (4) | (4) | |||||||||||||||||
Additions for tax positions of prior years | 35 | 1 | 2 | |||||||||||||||||
Reductions for tax positions of prior years | (34) | — | (4) | |||||||||||||||||
Settlements with taxing authorities | — | — | (5) | |||||||||||||||||
Balance at Dec. 31 | $ | 52 | $ | 44 | $ | 37 |
(Millions of Dollars) | Dec. 31, 2020 | Dec. 31, 2019 | ||||||||||||
NOL and tax credit carryforwards | $ | (31) | $ | (40) |
(Millions of Dollars) | 2020 | 2019 | 2018 | |||||||||||||||||
Payable for interest related to unrecognized tax benefits at Jan. 1 | $ | — | $ | — | $ | — | ||||||||||||||
Interest expense related to unrecognized tax benefits | (3) | — | — | |||||||||||||||||
Payable for interest related to unrecognized tax benefits at Dec. 31 | $ | (3) | $ | — | $ | — |
(Millions of Dollars) | 2020 | 2019 | ||||||||||||
Federal tax credit carryforwards | $ | 791 | $ | 639 | ||||||||||
State NOL carryforwards | 839 | 937 | ||||||||||||
Valuation allowances for state NOL carryforwards | (4) | (19) | ||||||||||||
State tax credit carryforwards, net of federal detriment (a)
|
89 | 89 | ||||||||||||
Valuation allowances for state credit carryforwards, net of federal benefit (b)
|
(64) | (66) |
2020 | 2019 | 2018 | ||||||||||||||||||
Federal statutory rate | 21.0 | % | 21.0 | % | 21.0 | % | ||||||||||||||
State income tax on pretax income, net of federal tax effect | 4.9 | 4.9 | 5.0 | |||||||||||||||||
Increases (decreases) in tax from: | ||||||||||||||||||||
Wind PTCs | (15.7) | (9.4) | (5.2) | |||||||||||||||||
Plant regulatory differences (a)
|
(7.6) | (5.8) | (6.2) | |||||||||||||||||
Other tax credits, net NOL & tax credit allowances | (1.2) | (1.7) | (1.7) | |||||||||||||||||
NOL Carryback | (0.9) | — | — | |||||||||||||||||
Change in unrecognized tax benefits | 0.5 | 0.5 | 0.4 | |||||||||||||||||
Other, net | (1.4) | (1.0) | (0.7) | |||||||||||||||||
Effective income tax rate | (0.4) | % | 8.5 | % | 12.6 | % |
(Millions of Dollars) | 2020 | 2019 | 2018 | |||||||||||||||||
Current federal tax benefit | $ | (13) | $ | (16) | $ | (34) | ||||||||||||||
Current state tax expense | 2 | 4 | 8 | |||||||||||||||||
Current change in unrecognized tax expense (benefit) | 18 | 2 | (6) | |||||||||||||||||
Deferred federal tax (benefit) expense | (89) | 55 | 122 | |||||||||||||||||
Deferred state tax expense | 91 | 83 | 85 | |||||||||||||||||
Deferred change in unrecognized tax (benefit) expense | (10) | 5 | 11 | |||||||||||||||||
Deferred ITCs | (5) | (5) | (5) | |||||||||||||||||
Total income tax (benefit) expense | $ | (6) | $ | 128 | $ | 181 |
(Millions of Dollars) | 2020 | 2019 | 2018 | |||||||||||||||||
Deferred tax expense excluding items below | $ | 237 | $ | 344 | $ | 320 | ||||||||||||||
Amortization and adjustments to deferred income taxes on income tax regulatory assets and liabilities | (247) | (206) | (102) | |||||||||||||||||
Tax expense allocated to other comprehensive income, adoption of ASC Topic 326, adoption of ASU No. 2018-02, and other | 2 | 5 | — | |||||||||||||||||
Deferred tax (benefit) expense | $ | (8) | $ | 143 | $ | 218 |
(Millions of Dollars) | 2020 | 2019 | ||||||||||||
Deferred tax liabilities: | ||||||||||||||
Differences between book and tax bases of property | $ | 5,810 | $ | 5,474 | ||||||||||
Operating lease assets | 400 | 449 | ||||||||||||
Regulatory assets | 603 | 598 | ||||||||||||
Pension expense | 176 | 173 | ||||||||||||
Other | 74 | 70 | ||||||||||||
Total deferred tax liabilities | $ | 7,063 | $ | 6,764 | ||||||||||
Deferred tax assets: | ||||||||||||||
Regulatory liabilities | $ | 806 | $ | 847 | ||||||||||
Operating lease liabilities | 400 | 449 | ||||||||||||
Tax credit carryforward | 880 | 727 | ||||||||||||
NOL carryforward | 37 | 38 | ||||||||||||
NOL and tax credit valuation allowances | (64) | (67) | ||||||||||||
Other employee benefits | 141 | 128 | ||||||||||||
Deferred ITCs | 13 | 14 | ||||||||||||
Rate refund | 16 | 26 | ||||||||||||
Other | 88 | 93 | ||||||||||||
Total deferred tax assets | $ | 2,317 | $ | 2,255 | ||||||||||
Net deferred tax liability | $ | 4,746 | $ | 4,509 |
8. Share-Based Compensation
|
(Shares in Thousands) | 2020 | 2019 | 2018 | |||||||||||||||||
Granted shares | 1 | 13 | 18 | |||||||||||||||||
Grant date fair value | $ | 70.26 | $ | 53.46 | $ | 44.68 |
(Shares in Thousands) | Shares |
Weighted Average
Grant Date Fair Value |
||||||||||||
Nonvested restricted stock at Jan. 1, 2020 | 31 | $ | 50.15 | |||||||||||
Granted | 1 | 70.26 | ||||||||||||
Forfeited | (3) | 44.68 | ||||||||||||
Vested | (15) | 46.41 | ||||||||||||
Dividend equivalents | 1 | 66.96 | ||||||||||||
Nonvested restricted stock at Dec. 31, 2020 | 15 | 56.68 |
(Units in Thousands) | 2020 | 2019 | 2018 | |||||||||||||||||
Granted units | 411 | 483 | 500 | |||||||||||||||||
Weighted average grant date fair value | $ | 62.92 | $ | 49.67 | $ | 47.60 |
(Units in Thousands, Fair Value in Millions) | 2020 | 2019 | 2018 | |||||||||||||||||
Vested Units | 442 | 464 | 475 | |||||||||||||||||
Total Fair Value | $ | 29 | $ | 29 | $ | 23 |
(Units in Thousands) | Units |
Weighted Average
Grant Date Fair Value |
||||||||||||
Nonvested Units at Jan. 1, 2020 | 880 | $ | 48.20 | |||||||||||
Granted | 411 | 62.92 | ||||||||||||
Forfeited | (101) | 53.87 | ||||||||||||
Vested | (442) | 47.63 | ||||||||||||
Dividend equivalents | 32 | 51.56 | ||||||||||||
Nonvested Units at Dec. 31, 2020 | 780 | 55.68 |
(Units in Thousands) | 2020 | 2019 | 2018 | |||||||||||||||||
Granted units | 33 | 29 | 36 | |||||||||||||||||
Weighted average grant date fair value | $ | 61.61 | $ | 58.44 | $ | 45.44 |
(Units in Thousands) | Units |
Weighted Average
Grant Date Fair Value |
||||||||||||
Stock equivalent units at Jan. 1, 2020 | 725 | $ | 32.72 | |||||||||||
Granted | 33 | 61.61 | ||||||||||||
Units distributed | (146) | 28.16 | ||||||||||||
Dividend equivalents | 18 | 67.44 | ||||||||||||
Stock equivalent units at Dec. 31, 2020 | 630 | 36.28 |
(In Thousands) | 2020 | 2019 | 2018 | |||||||||||||||||
Awards granted | 212 | 225 | 239 |
(Units In Thousands, Settlement Amount in Millions) | 2020 | 2019 | 2018 | |||||||||||||||||
Awards settled | 476 | 466 | 482 | |||||||||||||||||
Settlement amount (cash, common stock and deferred amounts) | $ | 33 | $ | 25 | $ | 22 |
(Millions of Dollars) | 2020 | 2019 | 2018 | |||||||||||||||||
Compensation cost for share-based awards (a)
|
$ | 73 | $ | 58 | $ | 45 | ||||||||||||||
Tax benefit recognized in income | 19 | 15 | 12 |
9. Earnings Per Share
|
10. Fair Value of Financial Assets and Liabilities
|
Final Contractual Maturity | ||||||||||||||||||||||||||||||||
(Millions of Dollars) | Due in 1 year or Less | Due in 1 to 5 Years | Due in 5 to 10 Years | Due after 10 years | Total | |||||||||||||||||||||||||||
Debt securities | $ | 1 | $ | 116 | $ | 211 | $ | 257 | $ | 585 |
Dec. 31, 2020 | ||||||||||||||||||||||||||||||||
Fair Value | ||||||||||||||||||||||||||||||||
(Millions of Dollars) | Cost | Level 1 | Level 2 | Level 3 | Total | |||||||||||||||||||||||||||
Rabbi Trusts (a)
|
||||||||||||||||||||||||||||||||
Cash equivalents | $ | 32 | $ | 32 | $ | — | $ | — | $ | 32 | ||||||||||||||||||||||
Mutual funds | 60 | 70 | — | — | 70 | |||||||||||||||||||||||||||
Total | $ | 92 | $ | 102 | $ | — | $ | — | $ | 102 |
Dec. 31, 2019 | ||||||||||||||||||||||||||||||||
Fair Value | ||||||||||||||||||||||||||||||||
(Millions of Dollars) | Cost | Level 1 | Level 2 | Level 3 | Total | |||||||||||||||||||||||||||
Rabbi Trusts (a)
|
||||||||||||||||||||||||||||||||
Cash equivalents | $ | 17 | $ | 17 | $ | — | $ | — | $ | 17 | ||||||||||||||||||||||
Mutual funds | 57 | 65 | — | — | 65 | |||||||||||||||||||||||||||
Total | $ | 74 | $ | 82 | $ | — | $ | — | $ | 82 |
(Amounts in Millions) (a)(b)
|
Dec. 31, 2020 | Dec. 31, 2019 | ||||||||||||
MWh of electricity | 87 | 95 | ||||||||||||
MMBtu of natural gas | 175 | 110 |
(Millions of Dollars) | 2020 | 2019 | 2018 | |||||||||||||||||
Accumulated other comprehensive loss related to cash flow hedges at Jan. 1 | $ | (80) | $ | (60) | $ | (58) | ||||||||||||||
After-tax net unrealized losses related to derivatives accounted for as hedges | (10) | (23) | (5) | |||||||||||||||||
After-tax net realized losses on derivative transactions reclassified into earnings | 5 | 3 | 3 | |||||||||||||||||
Accumulated other comprehensive loss related to cash flow hedges at Dec. 31 | $ | (85) | $ | (80) | $ | (60) |
Pre-Tax Fair Value
Gains (Losses) Recognized During the Period in: |
||||||||||||||
(Millions of Dollars) |
Accumulated
Other Comprehensive Loss |
Regulatory
(Assets) and Liabilities |
||||||||||||
Year Ended Dec. 31, 2020 | ||||||||||||||
Derivatives designated as cash flow hedges | ||||||||||||||
Interest rate | $ | (13) | $ | — | ||||||||||
Total | $ | (13) | $ | — | ||||||||||
Other derivative instruments | ||||||||||||||
Electric commodity | $ | — | $ | (5) | ||||||||||
Natural gas commodity | — | (13) | ||||||||||||
Total | $ | — | $ | (18) | ||||||||||
Year Ended Dec. 31, 2019 | ||||||||||||||
Interest rate | $ | (30) | $ | — | ||||||||||
Total | $ | (30) | $ | — | ||||||||||
Other derivative instruments | ||||||||||||||
Electric commodity | $ | — | $ | 8 | ||||||||||
Natural gas commodity | — | (9) | ||||||||||||
Total | $ | — | $ | (1) | ||||||||||
Year Ended Dec. 31, 2018 | ||||||||||||||
Interest rate | $ | (7) | $ | — | ||||||||||
Total | $ | (7) | $ | — | ||||||||||
Other derivative instruments | ||||||||||||||
Electric commodity | $ | — | $ | 1 | ||||||||||
Natural gas commodity | — | 10 | ||||||||||||
Total | $ | — | $ | 11 |
Pre-Tax (Gains) Losses
Reclassified into Income
During the Period from:
|
Pre-Tax Gains
(Losses) Recognized
During the Period in Income
|
||||||||||||||||||||||
(Millions of Dollars) |
Accumulated
Other Comprehensive Loss |
Regulatory
Assets and (Liabilities) |
|||||||||||||||||||||
Year Ended Dec. 31, 2020 | |||||||||||||||||||||||
Derivatives designated as cash flow hedges | |||||||||||||||||||||||
Interest rate | $ | 7 |
(a)
|
$ | — | $ | — | ||||||||||||||||
Total | $ | 7 | $ | — | $ | — | |||||||||||||||||
Other derivative instruments | |||||||||||||||||||||||
Commodity trading | $ | — | $ | — | $ | (1) |
(b)
|
||||||||||||||||
Electric commodity | — | (3) |
(c)
|
— | |||||||||||||||||||
Natural gas commodity | — | 10 |
(d)
|
(13) |
(d)
|
||||||||||||||||||
Total | $ | — | $ | 7 | $ | (14) | |||||||||||||||||
Year Ended Dec. 31, 2019 | |||||||||||||||||||||||
Derivatives designated as cash flow hedges | |||||||||||||||||||||||
Interest rate | $ | 4 |
(a)
|
$ | — | $ | — | ||||||||||||||||
Total | $ | 4 | $ | — | $ | — | |||||||||||||||||
Other derivative instruments | |||||||||||||||||||||||
Commodity trading | $ | — | $ | — | $ | 2 |
(b)
|
||||||||||||||||
Electric commodity | — | (5) |
(c)
|
— | |||||||||||||||||||
Natural gas commodity | — | 2 |
(d)
|
(7) |
(d)
|
||||||||||||||||||
Total | $ | — | $ | (3) | $ | (5) | |||||||||||||||||
Year Ended Dec. 31, 2018 | |||||||||||||||||||||||
Derivatives designated as cash flow hedges | |||||||||||||||||||||||
Interest rate | $ | 4 |
(a)
|
$ | — | $ | — | ||||||||||||||||
Total | $ | 4 | $ | — | $ | — | |||||||||||||||||
Other derivative instruments | |||||||||||||||||||||||
Commodity trading | $ | — | $ | — | $ | 14 |
(b)
|
||||||||||||||||
Electric commodity | — | (1) |
(c)
|
— | |||||||||||||||||||
Natural gas commodity | — | (6) |
(d)
|
(4) |
(d)
|
||||||||||||||||||
Total | $ | — | $ | (7) | $ | 10 |
Dec. 31, 2020 | Dec. 31, 2019 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Fair Value | Fair Value Total |
Netting (a)
|
Total | Fair Value | Fair Value Total |
Netting (a)
|
Total | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
(Millions of Dollars) | Level 1 | Level 2 | Level 3 | Level 1 | Level 2 | Level 3 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Current derivative assets | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Other derivative instruments: | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Commodity trading | $ | 2 | $ | 67 | $ | 1 | $ | 70 | $ | (52) | $ | 18 | $ | 3 | $ | 51 | $ | 24 | $ | 78 | $ | (52) | $ | 26 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Electric commodity | — | — | 20 | 20 | (1) | 19 | — | — | 21 | 21 | (1) | 20 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Natural gas commodity | — | 9 | — | 9 | — | 9 | — | 6 | — | 6 | — | 6 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Total current derivative assets | $ | 2 | $ | 76 | $ | 21 | $ | 99 | $ | (53) | 46 | $ | 3 | $ | 57 | $ | 45 | $ | 105 | $ | (53) | 52 | ||||||||||||||||||||||||||||||||||||||||||||||||||||
PPAs (b)
|
3 | 3 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Current derivative instruments | $ | 49 | $ | 55 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Noncurrent derivative assets | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Other derivative instruments: | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Commodity trading | $ | 8 | $ | 66 | $ | 8 | $ | 82 | $ | (62) | $ | 20 | $ | 9 | $ | 38 | $ | 7 | $ | 54 | $ | (45) | $ | 9 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Total noncurrent derivative assets | $ | 8 | $ | 66 | $ | 8 | $ | 82 | $ | (62) | 20 | $ | 9 | $ | 38 | $ | 7 | $ | 54 | $ | (45) | 9 | ||||||||||||||||||||||||||||||||||||||||||||||||||||
PPAs (b)
|
10 | 13 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Noncurrent derivative instruments | $ | 30 | $ | 22 |
Dec. 31, 2020 | Dec. 31, 2019 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Fair Value | Fair Value Total |
Netting (a)
|
Total | Fair Value | Fair Value Total |
Netting (a)
|
Total | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
(Millions of Dollars) | Level 1 | Level 2 | Level 3 | Level 1 | Level 2 | Level 3 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Current derivative liabilities | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Other derivative instruments: | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Commodity trading | $ | 4 | $ | 64 | $ | 17 | $ | 85 | $ | (58) | $ | 27 | $ | 4 | $ | 59 | $ | 15 | $ | 78 | $ | (63) | $ | 15 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Electric commodity | — | — | 1 | 1 | (1) | — | — | — | 1 | 1 | (1) | — | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Natural gas commodity | — | 9 | — | 9 | — | 9 | — | 5 | — | 5 | — | 5 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Total current derivative liabilities | $ | 4 | $ | 73 | $ | 18 | $ | 95 | $ | (59) | 36 | $ | 4 | $ | 64 | $ | 16 | $ | 84 | $ | (64) | 20 | ||||||||||||||||||||||||||||||||||||||||||||||||||||
PPAs (b)
|
17 | 18 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Current derivative instruments | $ | 53 | $ | 38 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Noncurrent derivative liabilities | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Other derivative instruments: | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Commodity trading | $ | 3 | $ | 58 | $ | 60 | $ | 121 | $ | (47) | $ | 74 | $ | 2 | $ | 79 | $ | 32 | $ | 113 | $ | (13) | $ | 100 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Total noncurrent derivative liabilities | $ | 3 | $ | 58 | $ | 60 | $ | 121 | $ | (47) | 74 | $ | 2 | $ | 79 | $ | 32 | $ | 113 | $ | (13) | 100 | ||||||||||||||||||||||||||||||||||||||||||||||||||||
PPAs (b)
|
57 | 75 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Noncurrent derivative instruments | $ | 131 | $ | 175 |
Year Ended Dec. 31 | ||||||||||||||||||||
(Millions of Dollars) | 2020 | 2019 | 2018 | |||||||||||||||||
Balance at Jan. 1 | $ | 4 | $ | 29 | $ | 35 | ||||||||||||||
Purchases | 51 | 44 | 59 | |||||||||||||||||
Settlements | (73) | (64) | (59) | |||||||||||||||||
Net transactions recorded during the period: | ||||||||||||||||||||
Losses recognized in earnings (a)
|
(39) | (8) | (1) | |||||||||||||||||
Net gains (losses) recognized as regulatory assets and liabilities | 8 | 3 | (5) | |||||||||||||||||
Balance at Dec. 31 | $ | (49) | $ | 4 | $ | 29 |
2020 | 2019 | |||||||||||||||||||||||||
(Millions of Dollars) | Carrying Amount | Fair Value | Carrying Amount | Fair Value | ||||||||||||||||||||||
Long-term debt, including current portion | $ | 20,066 | $ | 24,412 | $ | 18,109 | $ | 20,227 |
11. Benefit Plans and Other Postretirement Benefits
|
Dec. 31, 2020 (a)
|
Dec. 31, 2019 (a)
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
(Millions of Dollars) | Level 1 | Level 2 | Level 3 | Measured at NAV | Total | Level 1 | Level 2 | Level 3 | Measured at NAV | Total | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Cash equivalents | $ | 209 | $ | — | $ | — | $ | — | $ | 209 | $ | 145 | $ | — | $ | — | $ | — | $ | 145 | ||||||||||||||||||||||||||||||||||||||||||
Commingled funds | 1,462 | — | — | 1,115 | 2,577 | 1,408 | — | — | 1,031 | 2,439 | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Debt securities | — | 714 | 4 | — | 718 | — | 645 | 4 | — | 649 | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Equity securities | 77 | — | — | — | 77 | 86 | — | — | — | 86 | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Other | 13 | 5 | — | — | 18 | (120) | 5 | — | (20) | (135) | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Total | $ | 1,761 | $ | 719 | $ | 4 | $ | 1,115 | $ | 3,599 | $ | 1,519 | $ | 650 | $ | 4 | $ | 1,011 | $ | 3,184 |
Dec. 31, 2020 (a)
|
Dec. 31, 2019 (a)
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
(Millions of Dollars) | Level 1 | Level 2 | Level 3 | Measured at NAV | Total | Level 1 | Level 2 | Level 3 | Measured at NAV | Total | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Cash equivalents | $ | 27 | $ | — | $ | — | $ | — | $ | 27 | $ | 23 | $ | — | $ | — | $ | — | $ | 23 | ||||||||||||||||||||||||||||||||||||||||||
Insurance contracts | — | 50 | — | — | 50 | — | 51 | — | — | 51 | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Commingled funds | 72 | — | — | 69 | 141 | 69 | — | — | 76 | 145 | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Debt securities | — | 232 | — | — | 232 | — | 228 | 1 | — | 229 | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Other | — | 2 | — | — | 2 | — | 1 | — | — | 1 | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Total | $ | 99 | $ | 284 | $ | — | $ | 69 | $ | 452 | $ | 92 | $ | 280 | $ | 1 | $ | 76 | $ | 449 |
Pension Benefits | Postretirement Benefits | |||||||||||||||||||||||||
(Millions of Dollars) | 2020 | 2019 | 2020 | 2019 | ||||||||||||||||||||||
Change in Benefit Obligation: | ||||||||||||||||||||||||||
Obligation at Jan. 1 | $ | 3,701 | $ | 3,477 | $ | 547 | $ | 542 | ||||||||||||||||||
Service cost | 95 | 86 | 1 | 2 | ||||||||||||||||||||||
Interest cost | 125 | 145 | 18 | 22 | ||||||||||||||||||||||
Plan amendments | — | 1 | — | — | ||||||||||||||||||||||
Actuarial loss | 328 | 273 | 50 | 19 | ||||||||||||||||||||||
Plan participants’ contributions | — | — | 8 | 8 | ||||||||||||||||||||||
Medicare subsidy reimbursements | — | — | 1 | 1 | ||||||||||||||||||||||
Benefit payments (a)
|
(285) | (281) | (51) | (47) | ||||||||||||||||||||||
Obligation at Dec. 31 | $ | 3,964 | $ | 3,701 | $ | 574 | $ | 547 | ||||||||||||||||||
Change in Fair Value of Plan Assets: | ||||||||||||||||||||||||||
Fair value of plan assets at Jan. 1 | $ | 3,184 | $ | 2,742 | $ | 449 | $ | 417 | ||||||||||||||||||
Actual return on plan assets | 550 | 568 | 35 | 56 | ||||||||||||||||||||||
Employer contributions | 150 | 155 | 11 | 15 | ||||||||||||||||||||||
Plan participants’ contributions | — | — | 8 | 8 | ||||||||||||||||||||||
Benefit payments | (285) | (281) | (51) | (47) | ||||||||||||||||||||||
Fair value of plan assets at Dec. 31 | $ | 3,599 | $ | 3,184 | $ | 452 | $ | 449 | ||||||||||||||||||
Funded status of plans at Dec. 31 | $ | (365) | $ | (517) | $ | (122) | $ | (98) | ||||||||||||||||||
Amounts recognized in the Consolidated Balance Sheet at Dec. 31: | ||||||||||||||||||||||||||
Noncurrent assets | $ | — | $ | — | $ | 6 | $ | 21 | ||||||||||||||||||
Current liabilities | — | — | (7) | (6) | ||||||||||||||||||||||
Noncurrent liabilities | (365) | (517) | (121) | (113) | ||||||||||||||||||||||
Net amounts recognized | $ | (365) | $ | (517) | $ | (122) | $ | (98) |
Pension Benefits | Postretirement Benefits | |||||||||||||||||||||||||
Significant Assumptions Used to Measure Benefit Obligations: | 2020 | 2019 | 2020 | 2019 | ||||||||||||||||||||||
Discount rate for year-end valuation | 2.71 | % | 3.49 | % | 2.65 | % | 3.47 | % | ||||||||||||||||||
Expected average long-term increase in compensation level | 3.75 | 3.75 | N/A | N/A | ||||||||||||||||||||||
Mortality table | PRI-2012 | PRI-2012 | PRI-2012 | PRI-2012 | ||||||||||||||||||||||
Health care costs trend rate — initial: Pre-65 | N/A | N/A | 5.50 | % | 6.00 | % | ||||||||||||||||||||
Health care costs trend rate — initial: Post-65 | N/A | N/A | 5.00 | % | 5.10 | % | ||||||||||||||||||||
Ultimate trend assumption — initial: Pre-65 | N/A | N/A | 4.50 | % | 4.50 | % | ||||||||||||||||||||
Ultimate trend assumption — initial: Post-65 | N/A | N/A | 4.50 | % | 4.50 | % | ||||||||||||||||||||
Years until ultimate trend is reached | N/A | N/A | 5 | 3 |
Pension Benefits | Postretirement Benefits | |||||||||||||||||||||||||||||||||||||
(Millions of Dollars) | 2020 | 2019 | 2018 | 2020 | 2019 | 2018 | ||||||||||||||||||||||||||||||||
Service cost | $ | 95 | $ | 86 | $ | 94 | $ | 1 | $ | 2 | $ | 2 | ||||||||||||||||||||||||||
Interest cost | 125 | 145 | 133 | 18 | 22 | 22 | ||||||||||||||||||||||||||||||||
Expected return on plan assets | (208) | (203) | (209) | (19) | (21) | (26) | ||||||||||||||||||||||||||||||||
Amortization of prior service credit | (4) | (5) | (5) | (8) | (10) | (11) | ||||||||||||||||||||||||||||||||
Amortization of net loss | 100 | 87 | 111 | 4 | 5 | 8 | ||||||||||||||||||||||||||||||||
Settlement charge (a)
|
— | 6 | 91 | — | — | — | ||||||||||||||||||||||||||||||||
Net periodic pension cost (credit) | 108 | 116 | 215 | (4) | (2) | (5) | ||||||||||||||||||||||||||||||||
Effects of regulation | 9 | (1) | (75) | 3 | 1 | 2 | ||||||||||||||||||||||||||||||||
Net benefit cost (credit) recognized for financial reporting | $ | 117 | $ | 115 | $ | 140 | $ | (1) | $ | (1) | $ | (3) | ||||||||||||||||||||||||||
Significant Assumptions Used to Measure Costs: | ||||||||||||||||||||||||||||||||||||||
Discount rate | 3.49 | % | 4.31 | % | 3.63 | % | 3.47 | % | 4.32 | % | 3.62 | % | ||||||||||||||||||||||||||
Expected average long-term increase in compensation level | 3.75 | 3.75 | 3.75 | — | — | — | ||||||||||||||||||||||||||||||||
Expected average long-term rate of return on assets | 6.87 | 6.87 | 6.87 | 4.50 | 4.50 | 5.30 |
Pension Benefits | Postretirement Benefits | |||||||||||||||||||||||||
(Millions of Dollars) | 2020 | 2019 | 2020 | 2019 | ||||||||||||||||||||||
Amounts Not Yet Recognized as Components of Net Periodic Benefit Cost: | ||||||||||||||||||||||||||
Net loss | $ | 1,333 | $ | 1,447 | $ | 126 | $ | 95 | ||||||||||||||||||
Prior service credit | (11) | (15) | (15) | (23) | ||||||||||||||||||||||
Total | $ | 1,322 | $ | 1,432 | $ | 111 | $ | 72 | ||||||||||||||||||
Amounts Not Yet Recognized as Components of Net Periodic Benefit Cost Have Been Recorded as Follows Based Upon Expected Recovery in Rates: | ||||||||||||||||||||||||||
Current regulatory assets | $ | 82 | $ | 78 | $ | — | $ | — | ||||||||||||||||||
Noncurrent regulatory assets | 1,181 | 1,285 | 125 | 80 | ||||||||||||||||||||||
Current regulatory liabilities | — | — | (1) | (1) | ||||||||||||||||||||||
Noncurrent regulatory liabilities | — | — | (18) | (12) | ||||||||||||||||||||||
Deferred income taxes | 15 | 18 | 1 | 1 | ||||||||||||||||||||||
Net-of-tax accumulated other comprehensive income | 44 | 51 | 4 | 4 | ||||||||||||||||||||||
Total | $ | 1,322 | $ | 1,432 | $ | 111 | $ | 72 |
Measurement date | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2020 | Dec. 31, 2019 |
Pension Benefits | Postretirement Benefits | |||||||||||||||||||||||||
2020 | 2019 | 2020 | 2019 | |||||||||||||||||||||||
Domestic and international equity securities | 35 | % | 37 | % | 15 | % | 15 | % | ||||||||||||||||||
Long-duration fixed income securities | 35 | 30 | — | — | ||||||||||||||||||||||
Short-to-intermediate fixed income securities | 13 | 14 | 72 | 72 | ||||||||||||||||||||||
Alternative investments | 15 | 17 | 9 | 9 | ||||||||||||||||||||||
Cash | 2 | 2 | 4 | 4 | ||||||||||||||||||||||
Total | 100 | % | 100 | % | 100 | % | 100 | % |
(Millions of Dollars) |
Projected
Pension Benefit Payments |
Gross Projected
Postretirement Health Care Benefit Payments |
Expected
Medicare Part D Subsidies |
Net Projected
Postretirement Health Care Benefit Payments |
||||||||||||||||||||||
2021 | $ | 304 | $ | 44 | $ | 2 | $ | 42 | ||||||||||||||||||
2022 | 282 | 43 | 2 | 41 | ||||||||||||||||||||||
2023 | 274 | 42 | 2 | 40 | ||||||||||||||||||||||
2024 | 265 | 41 | 2 | 39 | ||||||||||||||||||||||
2025 | 259 | 39 | 2 | 37 | ||||||||||||||||||||||
2026-2030 | 1,193 | 175 | 12 | 163 |
12. Commitments and Contingencies
|
(Millions
of Dollars) |
Jan. 1, 2020 |
Amounts
Incurred
(a)
|
Amounts Settled (b)
|
Accretion |
Cash Flow
Revisions (c)
|
Dec. 31, 2020 | ||||||||||||||||||||||||||||||||
Electric | ||||||||||||||||||||||||||||||||||||||
Nuclear | $ | 2,068 | $ | — | $ | — | $ | 105 | $ | (216) | $ | 1,957 | ||||||||||||||||||||||||||
Steam, hydro and other production | 202 | — | (5) | 9 | 58 | 264 | ||||||||||||||||||||||||||||||||
Wind | 146 | 149 | (3) | 8 | 60 | 360 | ||||||||||||||||||||||||||||||||
Distribution | 44 | — | — | 2 | — | 46 | ||||||||||||||||||||||||||||||||
Natural gas | ||||||||||||||||||||||||||||||||||||||
Transmission and distribution | 236 | — | — | 10 | 6 | 252 | ||||||||||||||||||||||||||||||||
Miscellaneous | 3 | — | — | — | — | 3 | ||||||||||||||||||||||||||||||||
Common | ||||||||||||||||||||||||||||||||||||||
Miscellaneous | 1 | — | — | — | — | 1 | ||||||||||||||||||||||||||||||||
Non-utility | ||||||||||||||||||||||||||||||||||||||
Miscellaneous | 1 | — | — | — | — | 1 | ||||||||||||||||||||||||||||||||
Total liability | $ | 2,701 | $ | 149 | $ | (8) | $ | 134 | $ | (92) | $ | 2,884 |
(Millions
of Dollars) |
Jan. 1, 2019 |
Amounts Incurred (a)
|
Amounts
Settled
(b)
|
Accretion |
Cash Flow Revisions (c)
|
Dec. 31, 2019 | ||||||||||||||||||||||||||||||||
Electric | ||||||||||||||||||||||||||||||||||||||
Nuclear | $ | 1,968 | $ | — | $ | — | $ | 100 | $ | — | $ | 2,068 | ||||||||||||||||||||||||||
Steam, hydro and other production | 177 | — | (5) | 8 | 22 | 202 | ||||||||||||||||||||||||||||||||
Wind | 119 | 26 | — | 7 | (6) | 146 | ||||||||||||||||||||||||||||||||
Distribution | 42 | — | — | 2 | — | 44 | ||||||||||||||||||||||||||||||||
Miscellaneous | 7 | — | — | — | (7) | — | ||||||||||||||||||||||||||||||||
Natural gas | ||||||||||||||||||||||||||||||||||||||
Transmission and distribution | 249 | — | — | 11 | (24) | 236 | ||||||||||||||||||||||||||||||||
Miscellaneous | 4 | — | — | — | (1) | 3 | ||||||||||||||||||||||||||||||||
Common | ||||||||||||||||||||||||||||||||||||||
Miscellaneous | 1 | — | — | — | — | 1 | ||||||||||||||||||||||||||||||||
Non-utility | ||||||||||||||||||||||||||||||||||||||
Miscellaneous | 1 | — | — | — | — | 1 | ||||||||||||||||||||||||||||||||
Total liability | $ | 2,568 | $ | 26 | $ | (5) | $ | 128 | $ | (16) | $ | 2,701 |
Regulatory Basis | ||||||||||||||
(Millions of Dollars) | 2020 | 2019 | ||||||||||||
Estimated decommissioning cost obligation from most recently approved study (in 2014 dollars) | $ | 3,012 | $ | 3,012 | ||||||||||
Effect of escalating costs | 844 | 688 | ||||||||||||
Estimated decommissioning cost obligation (in current dollars) | 3,856 | 3,700 | ||||||||||||
Effect of escalating costs to payment date | 7,349 | 7,505 | ||||||||||||
Estimated future decommissioning costs (undiscounted) | 11,205 | 11,205 | ||||||||||||
Effect of discounting obligation (using average risk-free interest rate of 1.64% and 2.39% for 2020 and 2019, respectively)
|
(4,181) | (5,562) | ||||||||||||
Discounted decommissioning cost obligation | $ | 7,024 | $ | 5,643 | ||||||||||
Assets held in external decommissioning trust | $ | 2,777 | $ | 2,440 | ||||||||||
Underfunding of external decommissioning fund compared to the discounted decommissioning obligation | 4,247 | 3,203 |
(Millions of Dollars) | 2020 | 2019 | ||||||||||||
Discounted decommissioning cost obligation - regulated basis | $ | 7,024 | $ | 5,643 | ||||||||||
Differences in discount rate and market risk premium | (2,628) | (2,295) | ||||||||||||
O&M costs not included for GAAP | (1,734) | (1,280) | ||||||||||||
ARO differences between 2020 and 2014 cost studies | (705) | — | ||||||||||||
Nuclear production decommissioning ARO - GAAP | $ | 1,957 | $ | 2,068 |
(Millions of Dollars) | 2020 | 2019 | 2018 | |||||||||||||||||
Annual decommissioning recorded as depreciation expense: (a) (b)
|
$ | 20 | $ | 20 | $ | 20 |
(Millions of Dollars) |
Dec. 31, 2020 (a)
|
Dec. 31, 2019 | ||||||||||||
PPAs | $ | 1,650 | $ | 1,642 | ||||||||||
Other | 212 | 201 | ||||||||||||
Gross operating lease ROU assets | 1,862 | 1,843 | ||||||||||||
Accumulated amortization | (372) | (171) | ||||||||||||
Net operating lease ROU assets | $ | 1,490 | $ | 1,672 |
(Millions of Dollars) | Dec. 31, 2020 | Dec. 31, 2019 | ||||||||||||
Gas storage facilities | $ | 201 | $ | 201 | ||||||||||
Gas pipeline | 21 | 21 | ||||||||||||
Gross finance lease ROU assets | 222 | 222 | ||||||||||||
Accumulated amortization | (90) | (83) | ||||||||||||
Net finance lease ROU assets | $ | 132 | $ | 139 |
(Millions of Dollars) | 2020 | 2019 | 2018 | |||||||||||||||||
Operating leases | ||||||||||||||||||||
PPA capacity payments | $ | 238 | $ | 221 | $ | 210 | ||||||||||||||
Other operating leases (a)
|
26 | 34 | 38 | |||||||||||||||||
Total operating lease expense (b)
|
$ | 264 | $ | 255 | $ | 248 | ||||||||||||||
Finance leases | ||||||||||||||||||||
Amortization of ROU assets | $ | 7 | $ | 6 | $ | 6 | ||||||||||||||
Interest expense on lease liability | 18 | 19 | 19 | |||||||||||||||||
Total finance lease expense | $ | 25 | $ | 25 | $ | 25 |
(Millions of Dollars) |
PPA (a) (b)
Operating
Leases
|
Other Operating
Leases
|
Total
Operating
Leases
|
Finance
Leases (c)
|
||||||||||||||||||||||
2021 | $ | 247 | $ | 26 | $ | 273 | $ | 14 | ||||||||||||||||||
2022 | 228 | 30 | 258 | 12 | ||||||||||||||||||||||
2023 | 218 | 21 | 239 | 12 | ||||||||||||||||||||||
2024 | 209 | 21 | 230 | 12 | ||||||||||||||||||||||
2025 | 189 | 15 | 204 | 10 | ||||||||||||||||||||||
Thereafter | 561 | 94 | 655 | 197 | ||||||||||||||||||||||
Total minimum obligation | 1,652 | 207 | 1,859 | 257 | ||||||||||||||||||||||
Interest component of obligation | (262) | (39) | (301) | (180) | ||||||||||||||||||||||
Present value of minimum obligation | $ | 1,390 | 168 | 1,558 | 77 | |||||||||||||||||||||
Less current portion | (214) | (4) | ||||||||||||||||||||||||
Noncurrent operating and finance lease liabilities | $ | 1,344 | $ | 73 | ||||||||||||||||||||||
Weighted-average remaining lease term in years | 8.5 | 36.5 |
(Millions of Dollars) | Capacity |
Energy (a)
|
||||||||||||
2021 | $ | 71 | $ | 156 | ||||||||||
2022 | 75 | 172 | ||||||||||||
2023 | 77 | 176 | ||||||||||||
2024 | 72 | 181 | ||||||||||||
2025 | 29 | 60 | ||||||||||||
Thereafter | 24 | 85 | ||||||||||||
Total | $ | 348 | $ | 830 |
(Millions of Dollars) | Coal | Nuclear fuel | Natural gas supply | Natural gas supply and transportation | ||||||||||||||||||||||
2021 | $ | 298 | $ | 101 | $ | 453 | $ | 287 | ||||||||||||||||||
2022 | 165 | 87 | 120 | 280 | ||||||||||||||||||||||
2023 | 58 | 103 | 55 | 217 | ||||||||||||||||||||||
2024 | 24 | 83 | 3 | 165 | ||||||||||||||||||||||
2025 | 24 | 121 | — | 149 | ||||||||||||||||||||||
Thereafter | 52 | 274 | — | 708 | ||||||||||||||||||||||
Total | $ | 621 | $ | 769 | $ | 631 | $ | 1,806 |
(Millions of Dollars)
|
Dec. 31, 2020 | Dec. 31, 2019 | ||||||||||||
Current assets | $ | 7 | $ | 7 | ||||||||||
Property, plant and equipment, net | 38 | 41 | ||||||||||||
Other noncurrent assets | 1 | 1 | ||||||||||||
Total assets | $ | 46 | $ | 49 | ||||||||||
Current liabilities | $ | 8 | $ | 8 | ||||||||||
Mortgages and other long-term debt payable | 25 | 26 | ||||||||||||
Other noncurrent liabilities | 1 | — | ||||||||||||
Total liabilities | $ | 34 | $ | 34 |
13. Other Comprehensive Income
|
2019 | ||||||||||||||||||||
(Millions of Dollars) | Gains and Losses on Cash Flow Hedges | Defined Benefit Pension and Postretirement Items | Total | |||||||||||||||||
Accumulated other comprehensive loss at Jan. 1 | $ | (60) | $ | (64) | $ | (124) | ||||||||||||||
Other comprehensive loss before reclassifications (net of taxes of $(8) and $—, respectively)
|
(23) | — | (23) | |||||||||||||||||
Losses reclassified from net accumulated other comprehensive loss: | ||||||||||||||||||||
Interest rate derivatives (net of taxes of $1 and $—, respectively)
|
3 |
(a)
|
— | 3 | ||||||||||||||||
Amortization of net actuarial loss (net of taxes of $— and $1, respectively)
|
— | 3 |
(b)
|
3 | ||||||||||||||||
Net current period other comprehensive (loss) income | (20) | 3 | (17) | |||||||||||||||||
Accumulated other comprehensive loss at Dec. 31 | $ | (80) | $ | (61) | $ | (141) |
14. Segment Information
|
(Millions of Dollars) | 2020 | 2019 | 2018 | |||||||||||||||||
Regulated Electric | ||||||||||||||||||||
Operating revenues - external | $ | 9,802 | $ | 9,575 | $ | 9,719 | ||||||||||||||
Intersegment revenue | 2 | 1 | 1 | |||||||||||||||||
Total revenues | $ | 9,804 | $ | 9,576 | $ | 9,720 | ||||||||||||||
Depreciation and amortization | 1,673 | 1,535 | 1,421 | |||||||||||||||||
Interest charges and financing costs | 534 | 500 | 449 | |||||||||||||||||
Income tax expense | 1 | 125 | 187 | |||||||||||||||||
Net income | 1,407 | 1,288 | 1,177 | |||||||||||||||||
Regulated Natural Gas | ||||||||||||||||||||
Operating revenues - external | $ | 1,636 | $ | 1,868 | $ | 1,739 | ||||||||||||||
Intersegment revenue | 1 | 2 | 2 | |||||||||||||||||
Total revenues | $ | 1,637 | $ | 1,870 | $ | 1,741 | ||||||||||||||
Depreciation and amortization | 252 | 219 | 212 | |||||||||||||||||
Interest charges and financing costs | 71 | 69 | 61 | |||||||||||||||||
Income tax expense | 17 | 48 | 28 | |||||||||||||||||
Net income | 190 | 195 | 187 | |||||||||||||||||
All Other | ||||||||||||||||||||
Total revenues | $ | 88 | $ | 86 | $ | 79 | ||||||||||||||
Depreciation and amortization | 23 | 11 | 9 | |||||||||||||||||
Interest charges and financing costs | 193 | 167 | 142 | |||||||||||||||||
Income tax benefit | (24) | (45) | (34) | |||||||||||||||||
Net loss | (124) | (111) | (103) | |||||||||||||||||
Consolidated Total | ||||||||||||||||||||
Total revenues | $ | 11,529 | $ | 11,532 | $ | 11,540 | ||||||||||||||
Reconciling eliminations | (3) | (3) | (3) | |||||||||||||||||
Total operating revenues | $ | 11,526 | $ | 11,529 | $ | 11,537 | ||||||||||||||
Depreciation and amortization | 1,948 | 1,765 | 1,642 | |||||||||||||||||
Interest charges and financing costs | 798 | 736 | 652 | |||||||||||||||||
Income tax (benefit) expense | (6) | 128 | 181 | |||||||||||||||||
Net income | 1,473 | 1,372 | 1,261 |
15. Summarized Quarterly Financial Data (Unaudited) |
Quarter Ended | ||||||||||||||||||||||||||
(Amounts in millions, except per share data) | March 31, 2020 | June 30, 2020 | Sept. 30, 2020 | Dec. 31, 2020 | ||||||||||||||||||||||
Operating revenues | $ | 2,811 | $ | 2,586 | $ | 3,182 | $ | 2,947 | ||||||||||||||||||
Operating income | 455 | 422 | 813 | 426 | ||||||||||||||||||||||
Net income | 295 | 287 | 603 | 288 | ||||||||||||||||||||||
EPS total — basic
|
$ | 0.56 | $ | 0.54 | $ | 1.15 | $ | 0.54 | ||||||||||||||||||
EPS total — diluted
|
0.56 | 0.54 | 1.14 | 0.54 | ||||||||||||||||||||||
Cash dividends declared per common share | 0.43 | 0.43 | 0.43 | 0.43 |
Quarter Ended | ||||||||||||||||||||||||||
(Amounts in millions, except per share data) | March 31, 2019 | June 30, 2019 | Sept. 30, 2019 | Dec. 31, 2019 | ||||||||||||||||||||||
Operating revenues | $ | 3,141 | $ | 2,577 | $ | 3,013 | $ | 2,798 | ||||||||||||||||||
Operating income | 486 | 410 | 758 | 450 | ||||||||||||||||||||||
Net income | 315 | 238 | 527 | 292 | ||||||||||||||||||||||
EPS total — basic
|
$ | 0.61 | $ | 0.46 | $ | 1.02 | $ | 0.56 | ||||||||||||||||||
EPS total — diluted
|
0.61 | 0.46 | 1.01 | 0.56 | ||||||||||||||||||||||
Cash dividends declared per common share | 0.405 | 0.405 | 0.405 | 0.405 |
ITEM 9 — CHANGES IN AND DISAGREEMENTS WITH ACCOUNTANTS ON ACCOUNTING AND FINANCIAL DISCLOSURE
|
ITEM 9A — CONTROLS AND PROCEDURES
|
ITEM 9B — OTHER INFORMATION
|
ITEM 10 — DIRECTORS, EXECUTIVE OFFICERS AND CORPORATE GOVERNANCE
|
ITEM 11 — EXECUTIVE COMPENSATION
|
ITEM 12 — SECURITY OWNERSHIP OF CERTAIN BENEFICIAL OWNERS AND MANAGEMENT AND RELATED STOCKHOLDER MATTERS
|
ITEM 13 — CERTAIN RELATIONSHIPS AND RELATED TRANSACTIONS, AND DIRECTOR INDEPENDENCE
|
ITEM 14 — PRINCIPAL ACCOUNTANT FEES AND SERVICES
|
ITEM 15 — EXHIBIT AND FINANCIAL STATEMENT SCHEDULES |
1 | Consolidated Financial Statements | ||||||||||
Management Report on Internal Controls Over Financial Reporting — For the year ended Dec. 31, 2020. | |||||||||||
Report of Independent Registered Public Accounting Firm — Financial Statements and Internal Controls Over Financial Reporting | |||||||||||
Consolidated Statements of Income — For each of the three years ended Dec. 31, 2020, 2019, and 2018. | |||||||||||
Consolidated Statements of Comprehensive Income — For each of the three years ended Dec. 31, 2020, 2019, and 2018. | |||||||||||
Consolidated Statements of Cash Flows — For each of the three years ended Dec. 31, 2020, 2019, and 2018. | |||||||||||
Consolidated Balance Sheets — As of Dec. 31, 2020 and 2019. | |||||||||||
Consolidated Statements of Common Stockholders’ Equity — For each of the three years ended Dec. 31, 2020, 2019, and 2018. | |||||||||||
2 | Schedule I — Condensed Financial Information of Registrant. | ||||||||||
Schedule II — Valuation and Qualifying Accounts and Reserves for the years ended Dec. 31, 2020, 2019 and 2018. | |||||||||||
3 | Exhibits | ||||||||||
* | Indicates incorporation by reference | ||||||||||
+ | Executive Compensation Arrangements and Benefit Plans Covering Executive Officers and Directors | ||||||||||
Xcel Energy Inc. | |||||||||||
Exhibit Number | Description | Report or Registration Statement | Exhibit Reference | ||||||||
3.01*
|
Xcel Energy Inc. Form 8-K dated May 16, 2012 | 3.01 | |||||||||
3.02*
|
Xcel Energy Inc. Form 8-K dated April 3, 2020 | 3.01 | |||||||||
4.01*
|
Xcel Energy Inc. Form 10-K for the year ended Dec. 31, 2019 | 4.01 | |||||||||
4.02*
|
Xcel Energy Inc. Form 8-K dated Dec. 14, 2000 | 4.01 | |||||||||
4.03*
|
Xcel Energy Inc. Form 8-K dated June 6, 2006 | 4.01 | |||||||||
4.04*
|
Xcel Energy Inc. Form 8-K dated Jan. 16, 2008 | 4.01 | |||||||||
4.05*
|
Xcel Energy Inc. Form 8-K dated Jan. 16, 2008 | 4.03 | |||||||||
4.06*
|
Xcel Energy Inc. Form 8-K dated Sept. 12, 2011 | 4.01 | |||||||||
4.07*
|
Xcel Energy Inc. Form 8-K dated June 1, 2015 | 4.01 | |||||||||
4.08*
|
Xcel Energy Inc. Form 8-K dated March 8, 2016 | 4.02 | |||||||||
4.09*
|
Xcel Energy Inc. Form 8-K dated Dec. 1, 2016 | 4.01 | |||||||||
4.10*
|
Xcel Energy Inc. Form 8-K dated June 25, 2018 | 4.01 | |||||||||
4.11*
|
Xcel Energy Inc. Form 8-K dated Nov. 7, 2019 | 4.01 | |||||||||
4.12*
|
Xcel Energy Inc. Form 8-K dated April 1, 2020 | 4.01 | |||||||||
4.13*
|
Xcel Energy Inc. Form 8-K dated Sept. 25, 2020 | 4.01 | |||||||||
Xcel Energy Inc. Form 10-K for the year ended Dec. 31, 2008 | 10.02 | ||||||||||
10.02*+
|
Xcel Energy Inc. Form 10-K for the year ended Dec. 31, 2008 | 10.05 | |||||||||
10.03*+
|
Xcel Energy Inc. Form 10-K for the year ended Dec. 31, 2011 | 10.18 | |||||||||
10.04*+
|
Xcel Energy Inc. Form 10-Q for the quarter ended June 30, 2016 | 10.01 | |||||||||
10.05*+
|
Xcel Energy Inc. Form 10-Q for the quarter ended June 30, 2018 | 10.01 | |||||||||
10.06*+
|
Xcel Energy Inc. Form 10-Q for the quarter ended March 31, 2020 | 10.02 | |||||||||
10.07*+
|
Xcel Energy Inc. Form 10-Q for the quarter ended June 30, 2020 | 10.01 | |||||||||
10.08*+
|
Xcel Energy Inc. Form 10-K for the year ended Dec. 31, 2008 | 10.17 | |||||||||
10.09*+
|
Xcel Energy Inc. Definitive Proxy Statement dated April 6, 2010 | Appendix A | |||||||||
10.10*+
|
Xcel Energy Inc. Form 10-Q for the quarter ended March 31, 2013 | 10.01 |
10.11*+
|
Xcel Energy Inc. Form 10-Q for the quarter ended Sept. 30, 2009 | 10.08 | |||||||||
10.12*+
|
Xcel Energy Inc. Form 10-K for the year ended Dec. 31, 2008 | 10.07 | |||||||||
10.13*+
|
Xcel Energy Inc. Form 10-K for the year ended Dec. 31, 2011 | 10.17 | |||||||||
10.14*+
|
Xcel Energy Inc. Form 10-K for the year ended Dec. 31, 2013 | 10.22 | |||||||||
10.15*+
|
Xcel Energy Inc. Form 10-Q for the quarter ended Sept. 30, 2016 | 10.01 | |||||||||
10.16*+
|
Xcel Energy Inc. Form 10-Q for the quarter ended Sept. 30, 2017 | 10.1 | |||||||||
10.17*+
|
Xcel Energy Inc. Form 10-K for the year ended Dec. 31, 2018 | 10.34 | |||||||||
10.18*+
|
Xcel Energy Inc. Form 10-K for the year ended Dec. 31, 2018 | 10.35 | |||||||||
10.19*+
|
Xcel Energy Inc. Form 10-K for the year ended Dec. 31, 2019 | 10.32 | |||||||||
10.20*+
|
Xcel Energy Inc. Definitive Proxy Statement dated April 5, 2011 | Appendix A | |||||||||
10.21*+
|
Xcel Energy Inc. Form 8-K dated May 20, 2015 | 10.02 | |||||||||
10.23*+
|
Xcel Energy Inc. Form 10-K for the year ended Dec. 31, 2018 | 10.36 | |||||||||
10.24*+
|
Xcel Energy Inc. Form U5B dated Nov. 16, 2000 | H-1 | |||||||||
Xcel Energy Inc. Form 8-K dated June 7, 2019
|
99.01 | ||||||||||
NSP-Minnesota | |||||||||||
4.14*
|
Xcel Energy Inc. Form S-3 dated April 18, 2018 | 4(b)(3) | |||||||||
4.15*
|
Xcel Energy Inc. Form 10-K for the year ended Dec. 31, 2017 | 4.11 | |||||||||
4.16*
|
Xcel Energy Inc. Form 10-K for the year ended Dec. 31, 2017 | 4.12 | |||||||||
4.17*
|
NSP-Minnesota Form 10-12G dated Oct. 5, 2000 | 4.51 | |||||||||
4.18*
|
Xcel Energy Inc. Form S-3 dated April 18, 2018 | 4(b)(7) | |||||||||
4.19*
|
NSP-Minnesota Form 10-12G dated Oct. 5, 2000 | 4.63 | |||||||||
4.20*
|
NSP-Minnesota Form 8-K dated July 14, 2005 | 4.01 | |||||||||
4.21*
|
NSP-Minnesota Form 8-K dated May 18, 2006 | 4.01 | |||||||||
4.22*
|
NSP-Minnesota Form 8-K dated June 19, 2007 | 4.01 | |||||||||
4.23*
|
NSP-Minnesota Form 8-K dated Nov. 16, 2009 | 4.01 | |||||||||
4.24*
|
NSP-Minnesota Form 8-K dated Aug. 4, 2010 | 4.01 | |||||||||
4.25*
|
NSP-Minnesota Form 8-K dated Aug. 13, 2012 | 4.01 | |||||||||
4.26*
|
NSP-Minnesota Form 8-K dated May 20, 2013 | 4.01 | |||||||||
4.27*
|
NSP-Minnesota Form 8-K dated May 13, 2014 | 4.01 | |||||||||
4.28*
|
NSP-Minnesota Form 8-K dated Aug. 11, 2015 | 4.01 | |||||||||
4.29*
|
NSP-Minnesota Form 8-K dated May 31, 2016 | 4.01 | |||||||||
4.30*
|
NSP-Minnesota Form 8-K dated Sept. 13, 2017 | 4.01 |
4.31*
|
NSP-Minnesota Form 8-K dated Sept. 10, 2019 | 4.01 | |||||||||
4.32*
|
NSP-Minnesota 8-K dated June 15, 2020 | 4.01 | |||||||||
NSP-Wisconsin Form S-4 dated Jan. 21, 2004 | 10.01 | ||||||||||
Xcel Energy Inc. Form 8-K dated June 7, 2019 | 99.02 | ||||||||||
NSP-Wisconsin | |||||||||||
4.33*
|
Xcel Energy Inc. Form S-3 dated April 18, 2018 | 4(c)(3) | |||||||||
4.34*
|
NSP-Wisconsin Form 8-K dated Sept. 25, 2000 | 4.01 | |||||||||
4.35*
|
NSP-Wisconsin Form 8-K dated Sept. 3, 2008 | 4.01 | |||||||||
4.36*
|
NSP-Wisconsin Form 8-K dated Oct. 10, 2012 | 4.01 | |||||||||
4.37*
|
NSP-Wisconsin Form 8-K dated June 23, 2014 | 4.01 | |||||||||
4.38*
|
NSP-Wisconsin Form 8-K dated Dec. 4, 2017 | 4.01 | |||||||||
4.39*
|
NSP-Wisconsin Form 8-K dated Sept. 12, 2018 | 4.01 | |||||||||
4.40*
|
NSP-Wisconsin Form 8-K dated May 26, 2020 | 4.01 | |||||||||
NSP-Wisconsin Form S-4 dated Jan. 21, 2004 | 10.01 | ||||||||||
Xcel Energy Inc. Form 8-K dated June 7, 2019 | 99.05 | ||||||||||
PSCo | |||||||||||
4.41*
|
Xcel Energy Inc. Form S-3 dated April 18, 2018 | 4(d)(3) | |||||||||
4.42*
|
PSCo Form 8-K dated Aug. 8, 2007 | 4.01 | |||||||||
4.43*
|
PSCo Form 8-K dated Aug. 6, 2008 | 4.01 | |||||||||
4.44*
|
PSCo Form 8-K dated Aug. 9, 2011 | 4.01 | |||||||||
4.45*
|
PSCo Form 8-K dated Sept. 11, 2012 | 4.01 | |||||||||
4.46*
|
PSCo Form 8-K dated March 26, 2013 | 4.01 | |||||||||
4.47*
|
PSCo Form 8-K dated March 10, 2014 | 4.01 | |||||||||
4.48*
|
PSCo Form 8-K dated May 12, 2015 | 4.01 | |||||||||
4.49*
|
PSCo Form 8-K dated June 13, 2016 | 4.01 | |||||||||
4.50*
|
PSCo Form 8-K dated June 19, 2017 | 4.01 | |||||||||
4.51*
|
PSCo Form 8-K dated June 21, 2018 | 4.01 | |||||||||
4.52*
|
PSCo Form 8-K dated March 13, 2019 | 4.01 | |||||||||
4.53*
|
PSCo Form 8-K dated August 13, 2019 | 4.01 | |||||||||
4.54*
|
PSCo Form 8-K dated May 15, 2020 | 4.01 | |||||||||
Xcel Energy Inc. Form 8-K dated Dec. 3, 2004 | 99.02 |
Xcel Energy Inc. Form 8-K dated June 7, 2019 | 99.03 | ||||||||||
SPS | |||||||||||
4.55*
|
SPS Form 8-K dated Feb. 25, 1999 | 99.2 | |||||||||
4.56*
|
Xcel Energy Inc. Form 10-Q for the quarter ended Sept. 30, 2003 | 4.04 | |||||||||
4.57*
|
SPS Form 8-K dated Oct. 3, 2006 | 4.01 | |||||||||
4.58*
|
SPS Form 8-K dated Aug. 10, 2011 | 4.01 | |||||||||
4.59*
|
SPS Form 8-K dated Aug. 10, 2011 | 4.02 | |||||||||
4.60*
|
SPS Form 8-K dated June 9, 2014 | 4.02 | |||||||||
4.61*
|
SPS Form 8-K dated Aug. 12, 2016 | 4.02 | |||||||||
4.62*
|
SPS Form 8-K dated Aug 9. 2017 | 4.02 | |||||||||
4.63*
|
SPS Form 8-K dated Nov. 5, 2018 | 4.02 | |||||||||
4.64*
|
SPS Form 8-K dated June 18, 2019 | 4.02 | |||||||||
4.65*
|
SPS Form 8-K dated May 18, 2020 | 4.02 | |||||||||
Xcel Energy Inc. Form 8-K dated June 7, 2019 | 99.04 | ||||||||||
Xcel Energy Inc. | |||||||||||
101.INS | Inline XBRL Instance Document - the instance document does not appear in the Interactive Data File because its XBRL tags are embedded within the Inline XBRL document | ||||||||||
101.SCH | Inline XBRL Schema | ||||||||||
101.CAL | Inline XBRL Calculation | ||||||||||
101.DEF | Inline XBRL Definition | ||||||||||
101.LAB | Inline XBRL Label | ||||||||||
101.PRE | Inline XBRL Presentation | ||||||||||
104 | Cover Page Interactive Data File (formatted as Inline XBRL and contained in Exhibit 101) |
Year Ended Dec. 31 | |||||||||||||||||
2020 | 2019 | 2018 | |||||||||||||||
Income | |||||||||||||||||
Equity earnings of subsidiaries | $ | 1,646 | $ | 1,505 | $ | 1,393 | |||||||||||
Total income | 1,646 | 1,505 | 1,393 | ||||||||||||||
Expenses and other deductions | |||||||||||||||||
Operating expenses | 43 | 23 | 24 | ||||||||||||||
Other income | (4) | (9) | (1) | ||||||||||||||
Interest charges and financing costs | 198 | 173 | 149 | ||||||||||||||
Total expenses and other deductions | 237 | 187 | 172 | ||||||||||||||
Income before income taxes | 1,409 | 1,318 | 1,221 | ||||||||||||||
Income tax benefit | (64) | (54) | (40) | ||||||||||||||
Net income | $ | 1,473 | $ | 1,372 | $ | 1,261 | |||||||||||
Other Comprehensive Income | |||||||||||||||||
Pension and retiree medical benefits, net of tax of $ 1, $1 and $1, respectively
|
$ | 5 | $ | 3 | $ | 3 | |||||||||||
Derivative instruments, net of tax of $(1), $(7) and $(1), respectively
|
(5) | (20) | (2) | ||||||||||||||
Other comprehensive income (loss) | — | (17) | 1 | ||||||||||||||
Comprehensive income | $ | 1,473 | $ | 1,355 | $ | 1,262 | |||||||||||
Weighted average common shares outstanding: | |||||||||||||||||
Basic | 527 | 519 | 511 | ||||||||||||||
Diluted | 528 | 520 | 511 | ||||||||||||||
Earnings per average common share: | |||||||||||||||||
Basic | $ | 2.79 | $ | 2.64 | $ | 2.47 | |||||||||||
Diluted | 2.79 | 2.64 | 2.47 | ||||||||||||||
See Notes to Condensed Financial Statements |
Year Ended Dec. 31 | |||||||||||||||||
2020 | 2019 | 2018 | |||||||||||||||
Operating activities | |||||||||||||||||
Net cash provided by operating activities | $ | 2,377 | $ | 1,389 | $ | 1,210 | |||||||||||
Investing activities | |||||||||||||||||
Capital contributions to subsidiaries | (2,553) | (1,594) | (809) | ||||||||||||||
Net (investments) return in the utility money pool | (18) | 39 | (85) | ||||||||||||||
Other, net | (1) | — | — | ||||||||||||||
Net cash used in investing activities | (2,572) | (1,555) | (894) | ||||||||||||||
Financing activities | |||||||||||||||||
(Repayment of) proceeds from short-term borrowings, net | (500) | 12 | (295) | ||||||||||||||
Proceeds from issuance of long-term debt | 1,089 | 1,120 | 492 | ||||||||||||||
Repayment of long-term debt | (300) | (550) | — | ||||||||||||||
Proceeds from issuance of common stock | 727 | 458 | 230 | ||||||||||||||
Repurchase of common stock | (4) | — | (1) | ||||||||||||||
Dividends paid | (856) | (791) | (730) | ||||||||||||||
Other | (17) | (14) | (12) | ||||||||||||||
Net cash provided by (used in) financing activities | 139 | 235 | (316) | ||||||||||||||
Net change in cash and cash equivalents | (56) | 69 | — | ||||||||||||||
Cash and cash equivalents at beginning of period | 70 | 1 | 1 | ||||||||||||||
Cash and cash equivalents at end of period | $ | 14 | $ | 70 | $ | 1 | |||||||||||
See Notes to Condensed Financial Statements |
Dec. 31 | |||||||||||
2020 | 2019 | ||||||||||
Assets | |||||||||||
Cash and cash equivalents | $ | 14 | $ | 70 | |||||||
Accounts receivable from subsidiaries | 424 | 370 | |||||||||
Other current assets | 6 | 12 | |||||||||
Total current assets | 444 | 452 | |||||||||
Investment in subsidiaries | 19,102 | 17,443 | |||||||||
Other assets | 40 | 60 | |||||||||
Total other assets | 19,142 | 17,503 | |||||||||
Total assets | $ | 19,586 | $ | 17,955 | |||||||
Liabilities and Equity | |||||||||||
Current portion of long-term debt | 400 | — | |||||||||
Dividends payable | 231 | 212 | |||||||||
Short-term debt | — | 500 | |||||||||
Other current liabilities | 21 | 33 | |||||||||
Total current liabilities | 652 | 745 | |||||||||
Other liabilities | 17 | 23 | |||||||||
Total other liabilities | 17 | 23 | |||||||||
Commitments and contingencies | |||||||||||
Capitalization | |||||||||||
Long-term debt | 4,342 | 3,948 | |||||||||
Common stockholders' equity | 14,575 | 13,239 | |||||||||
Total capitalization | 18,917 | 17,187 | |||||||||
Total liabilities and equity | $ | 19,586 | $ | 17,955 | |||||||
See Notes to Condensed Financial Statements |
(Millions of Dollars) | Guarantor |
Guarantee
Amount |
Current
Exposure |
Triggering
Event |
||||||||||||||||||||||
Guarantee of loan for Hiawatha Collegiate High School (a)
|
Xcel Energy Inc. | $ | 1 | — |
(c)
|
|||||||||||||||||||||
Guarantee performance and payment of surety bonds for Xcel Energy Inc.’s utility subsidiaries (b)
|
Xcel Energy Inc. | 60 |
(e)
|
(d)
|
(Millions of Dollars) | 2020 | 2019 | ||||||||||||
NSP-Minnesota | $ | 81 | $ | 60 | ||||||||||
NSP-Wisconsin | 9 | 17 | ||||||||||||
PSCo | 98 | 78 | ||||||||||||
SPS | 55 | 47 | ||||||||||||
Xcel Energy Services Inc. | 159 | 112 | ||||||||||||
Xcel Energy Ventures Inc. | — | 25 | ||||||||||||
Other subsidiaries of Xcel Energy Inc. | 22 | 31 | ||||||||||||
$ | 424 | $ | 370 |
(Amounts in Millions, Except Interest Rates) | Three Months Ended Dec. 31, 2020 | |||||||
Loan outstanding at period end | $ | 57 | ||||||
Average loan outstanding | 185 | |||||||
Maximum loan outstanding | 318 | |||||||
Weighted average interest rate, computed on a daily basis | 0.08 | % | ||||||
Weighted average interest rate at end of period | 0.07 | % | ||||||
Money pool interest income | $ | — |
(Amounts in Millions, Except Interest Rates) | Year Ended Dec. 31, 2020 | Year Ended Dec. 31, 2019 | Year Ended Dec. 31, 2018 | |||||||||||||||||
Loan outstanding at period end | $ | 57 | $ | 39 | $ | — | ||||||||||||||
Average loan outstanding | 104 | 47 | 71 | |||||||||||||||||
Maximum loan outstanding | 350 | 250 | 243 | |||||||||||||||||
Weighted average interest rate, computed on a daily basis | 0.60 | % | 2.15 | % | 1.95 | % | ||||||||||||||
Weighted average interest rate at end of period | 0.07 | % | 1.63 | % | N/A | |||||||||||||||
Money pool interest income | $ | 1 | $ | 1 | $ | 1 |
Allowance for bad debts | NOL and tax credit valuation allowances | ||||||||||||||||||||||||||||||||||||||||
(Millions of Dollars) | 2020 | 2019 | 2018 | 2020 | 2019 | 2018 | |||||||||||||||||||||||||||||||||||
Balance at Jan. 1 | $ | 55 | $ | 55 | $ | 52 | $ | 67 | $ | 79 | $ | 77 | |||||||||||||||||||||||||||||
Additions charged to costs and expenses | 60 | 42 | 42 | 6 | 9 | 7 | |||||||||||||||||||||||||||||||||||
Additions charged to other accounts | 12 |
(a)
|
16 |
(a)
|
11 |
(a)
|
— | — | — | ||||||||||||||||||||||||||||||||
Deductions from reserves | (48) |
(b)
|
(58) |
(b)
|
(50) |
(b)
|
(9) |
(c)
|
(21) |
(d)
|
(5) |
(d)
|
|||||||||||||||||||||||||||||
Balance at Dec. 31 | $ | 79 | $ | 55 | $ | 55 | $ | 64 | $ | 67 | $ | 79 |
ITEM 16 — FORM 10-K SUMMARY
|
XCEL ENERGY INC. | ||||||||
Feb. 17, 2021 | By: | /s/ BRIAN J. VAN ABEL | ||||||
Brian J. Van Abel | ||||||||
Executive Vice President, Chief Financial Officer |
SUBSIDIARY (a)
|
STATE OF INCORPORATION | PURPOSE | ||||||||||||
Northern States Power Company (a Minnesota corporation) | Minnesota | Electric and gas utility | ||||||||||||
Northern States Power Company (a Wisconsin corporation) | Wisconsin | Electric and gas utility | ||||||||||||
Public Service Company of Colorado | Colorado | Electric and gas utility | ||||||||||||
Southwestern Public Service Company | New Mexico | Electric utility | ||||||||||||
WestGas InterState, Inc. | Colorado | Natural gas transmission company | ||||||||||||
Xcel Energy Wholesale Group Inc. | Minnesota | Intermediate holding company for subsidiaries providing wholesale energy | ||||||||||||
Xcel Energy Markets Holdings Inc. | Minnesota | Intermediate holding company for subsidiaries providing energy marketing services | ||||||||||||
Xcel Energy International Inc. | Delaware | Intermediate holding company for international subsidiaries | ||||||||||||
Xcel Energy Ventures Inc. | Minnesota | Intermediate holding company for subsidiaries developing new businesses | ||||||||||||
Xcel Energy Retail Holdings Inc. | Minnesota | Intermediate holding company for subsidiaries providing services to retail customers | ||||||||||||
Xcel Energy Communications Group Inc. | Minnesota | Intermediate holding company for subsidiaries providing telecommunications and related services | ||||||||||||
Xcel Energy WYCO Inc. | Colorado | Intermediate holding company holding investment in WYCO | ||||||||||||
Xcel Energy Services Inc. | Delaware | Service company for Xcel Energy system | ||||||||||||
Xcel Energy Transmission Holding Company, LLC | Delaware | Intermediate holding company for subsidiaries developing and providing energy transmission services | ||||||||||||
Xcel Energy Venture Holdings, Inc. | Minnesota | Intermediate holding company holding investment in Energy Impact Fund | ||||||||||||
Nicollet Project Holdings, LLC | Minnesota | Intermediate holding company holding investment in Nicollet Projects I, LLC and Nicollet Projects II, LLC | ||||||||||||
Nicollet Holdings Company, LLC | Minnesota | Intermediate holding company for subsidiaries procuring equipment for renewable generation facilities at other subsidiaries |
/s/ DELOITTE & TOUCHE LLP | |||||
Minneapolis, Minnesota | |||||
February 17, 2021 |
/s/ BEN FOWKE | ||||||||
Ben Fowke | ||||||||
Chairman, Chief Executive Officer and Director |
/s/ LYNN CASEY | ||||||||
Lynn Casey | ||||||||
Director |
/s/ NETHA N. JOHNSON JR. | ||||||||
Netha N. Johnson Jr. | ||||||||
Director |
/s/ PATRICIA L. KAMPLING | ||||||||
Patricia L. Kampling | ||||||||
Director |
/s/ GEORGE J. KEHL | ||||||||
George J. Kehl | ||||||||
Director |
/s/ RICHARD T. O'BRIEN | ||||||||
Richard T. O'Brien | ||||||||
Director |
/s/ DAVID K. OWENS | ||||||||
David K. Owens | ||||||||
Director |
/s/ CHARLES PARDEE | ||||||||
Charles Pardee | ||||||||
Director |
/s/ CHRISTOPHER J. POLICINSKI | ||||||||
Christopher J. Policinski | ||||||||
Director |
/s/ JAMES PROKOPANKO | ||||||||
James Prokopanko | ||||||||
Director |
/s/ JAMES J. SHEPPARD | ||||||||
James J. Sheppard | ||||||||
Director |
/s/ DAVID A. WESTERLUND | ||||||||
David A. Westerlund | ||||||||
Director |
/s/ KIM WILLIAMS | ||||||||
Kim Williams | ||||||||
Director |
/s/ TIMOTHY V. WOLF | ||||||||
Timothy V. Wolf | ||||||||
Director |
/s/ DANIEL YOHANNES | ||||||||
Daniel Yohannes | ||||||||
Director |
/s/ BEN FOWKE | |||||
Ben Fowke | |||||
Chairman, Chief Executive Officer and Director |
/s/ BRIAN J. VAN ABEL | |||||
Brian J. Van Abel | |||||
Executive Vice President, Chief Financial Officer |
/s/ BEN FOWKE | |||||
Ben Fowke | |||||
Chairman, Chief Executive Officer and Director | |||||
/s/ BRIAN J. VAN ABEL | |||||
Brian J. Van Abel | |||||
Executive Vice President, Chief Financial Officer |