The following table provides information about the composition of net regulatory assets and liabilities as of December 31, 2022 and December 31, 2021, and the changes during the year ended December 31, 2022: As of December 31, Net Regulatory Assets (Liabilities) by Source 2022 2021 Change (In millions) Customer payables for future income taxes $ (2,463) $ (2,345) $ (118) Spent nuclear fuel disposal costs (83) (101) 18 Asset removal costs (675) (646) (29) Deferred transmission costs 50 (3) 53 Deferred generation costs 235 118 117 Deferred distribution costs 164 49 115 Storm-related costs 683 660 23 Uncollectible and pandemic-related costs 63 56 7 Energy efficiency program costs 94 47 47 New Jersey societal benefit costs 94 109 (15) Vegetation management costs 63 33 30 Other (39) (30) (9) Net Regulatory Liabilities included on the Consolidated Balance Sheets $ (1,814) $ (2,053) $ 239 The following is a description of the regulatory assets and liabilities described above: Customer payables for future income taxes - Reflects amounts to be recovered or refunded through future rates to pay income taxes that become payable when rate revenue is provided to recover items such as AFUDC-equity and depreciation of property, plant and equipment for which deferred income taxes were not recognized for ratemaking purposes, including amounts attributable to federal and state tax rate changes such as the Tax Act and Pennsylvania House Bill 1342. These amounts are being amortized over the period in which the related deferred tax assets reverse, which is generally over the expected life of the underlying asset. Spent nuclear fuel disposal costs - Reflects amounts collected from customers, and the investment income, losses and changes in fair value of the trusts for spent nuclear fuel disposal costs related to former nuclear generating facilities, Oyster Creek and TMI-1. Asset removal costs - Primarily represents the rates charged to customers that include a provision for the cost of future activities to remove assets, including obligations for which an ARO has been recognized, that are expected to be incurred at the time of retirement. Deferred transmission costs - Reflects differences between revenues earned based on actual costs for the formularate Transmission Companies and the amounts billed, including amounts expected to be refunded to, or recoverable from, wholesale transmission customers resulting from the FERC Audit, as further described below, which amounts are recorded as a regulatory asset or liability and recovered or refunded, respectively, in subsequent periods. Also included is the recovery of non-market based costs or fees charged to certain of the Utilities by various regulatory bodies including FERC and RTOs, which can include PJM charges and credits for service including, but not limited to, procuring transmission services and transmission enhancement. Deferred generation costs - Primarily relates to regulatory assets associated with the securitized recovery of certain fuel and purchased power regulatory assets at the Ohio Companies (amortized through 2034) as well as the ENEC at MP and PE. MP and PE recover net power supply costs, including fuel costs, purchased power costs and related expenses, net of related market sales revenue through the ENEC. Generally, the ENEC rate is updated annually. Deferred distribution costs - Primarily relates to the Ohio Companies' deferral of certain distribution-related expenses, including interest (amortized through 2034). Storm-related costs - Relates to the deferral of storm costs, which vary by jurisdiction. Approximately $206 million and $148 million are currently being recovered through rates as of December 31, 2022 and 2021, respectively. Uncollectible and pandemic-related costs - Includes the deferral of incremental costs arising from the pandemic and in some cases including uncollectible expenses. 42
RkJQdWJsaXNoZXIy NTIzOTM0