XML 100 R60.htm IDEA: XBRL DOCUMENT v3.24.3
Employee Benefit Plans
 9 Months Ended
Sep. 30, 2024
Retirement Benefits [Abstract]  
Employee Benefit Plans EMPLOYEE BENEFIT PLANS
DEFINED BENEFIT RETIREMENT PLANS
Duke Energy and certain subsidiaries maintain, and the Subsidiary Registrants participate in, qualified and non-qualified, non-contributory defined benefit retirement plans. Duke Energy's policy is to fund amounts on an actuarial basis to provide assets sufficient to meet benefit payments to be paid to plan participants.
The following table includes information related to the Duke Energy Registrants' contributions to its qualified defined benefit pension plans.
Nine Months Ended September 30, 2024 and 2023
DukeDukeDukeDukeDuke
DukeEnergyProgressEnergyEnergyEnergyEnergy
(in millions)EnergyCarolinasEnergyProgressFloridaOhioIndianaPiedmont
Contributions made:
2024$100 $26 $23 $14 $9 $5 $8 $3 
2023$100 $26 $22 $13 $9 $5 $8 $3 
Duke Energy uses a December 31 measurement date for its qualified non-contributory defined benefit retirement plan assets and obligations. However, because Duke Energy believes it is probable in 2024 that total lump-sum benefit payments for one of its defined benefit retirement plans will exceed the settlement threshold, which is defined as the sum of the service cost and interest cost on projected benefit obligation components of net periodic pension costs, Duke Energy remeasured the plan's assets and plan's projected benefit obligation as of September 30, 2024. The discount rate used for the September 30, 2024 remeasurement was 5.0% and the cash balance interest crediting rate was 4.0%. The interest rate for lump sum and annuity conversions was updated to reflect current market conditions. All other assumptions used for the September 30, 2024, remeasurement were consistent with the measurement as of December 31, 2023.
As a result of the remeasurement, Duke Energy recognized a remeasurement loss of $11 million, of which $10 million was recorded in Regulatory Assets within Other Noncurrent Assets and $1 million was recorded in Accumulated Other Comprehensive Loss within the Condensed Consolidated Balance Sheets as of September 30, 2024. The remeasurement loss, which represents a decrease in funded status of the plan, reflects an increase of $117 million in the fair value of the plan's assets and an increase of $128 million in the plan's projected benefit obligation.
As the result of settlement accounting, Duke Energy recognized settlement charges of $72 million, of which $60 million was recorded to Regulatory Assets within Other Noncurrent Assets on the Condensed Consolidated Balance Sheets and $12 million was recorded to Other Income and Expenses, net, within the Condensed Consolidated Statement of Operations as of September 30, 2024.
QUALIFIED PENSION PLANS
The following tables include the components of net periodic pension costs for qualified pension plans.
Three Months Ended September 30, 2024
DukeDukeDukeDukeDuke
DukeEnergyProgressEnergyEnergyEnergyEnergy
(in millions)EnergyCarolinasEnergyProgressFloridaOhioIndianaPiedmont
Service cost$28 $9 $8 $5 $3 $1 $1 $1 
Interest cost on projected benefit obligation82 19 26 12 14 5 6 2 
Expected return on plan assets(154)(41)(55)(25)(29)(6)(10)(5)
Amortization of actuarial loss9 2 2 1 1 — 1 1 
Amortization of prior service credit(3)— — — — — — (1)
Amortization of settlement charges17 5 7 6 — 2 — 2 
Net periodic pension costs$(21)$(6)$(12)$(1)$(11)$2 $(2)$— 
Three Months Ended September 30, 2023
DukeDukeDukeDukeDuke
DukeEnergyProgressEnergyEnergyEnergyEnergy
(in millions)EnergyCarolinasEnergyProgressFloridaOhioIndianaPiedmont
Service cost$28 $9 $9 $5 $3 $1 $1 $1 
Interest cost on projected benefit obligation86 21 26 12 14 4 6 2 
Expected return on plan assets(147)(40)(50)(24)(26)(6)(10)(5)
Amortization of actuarial loss2 — 1 — 1 — 1 — 
Amortization of prior service credit(3)— — — — — — (1)
Amortization of settlement charges5 3 1 1 — — — 1 
Net periodic pension costs$(29)$(7)$(13)$(6)$(8)$(1)$(2)$(2)
Nine Months Ended September 30, 2024
DukeDukeDukeDukeDuke
DukeEnergyProgressEnergyEnergyEnergyEnergy
(in millions)EnergyCarolinasEnergyProgressFloridaOhioIndianaPiedmont
Service cost$85 $28 $24 $15 $10 $2 $4 $3 
Interest cost on projected benefit obligation247 59 78 36 42 13 19 7 
Expected return on plan assets(462)(122)(163)(75)(87)(19)(31)(15)
Amortization of actuarial loss25 6 7 4 3 1 3 2 
Amortization of prior service credit(10)— — — — — (1)(5)
Amortization of settlement charges26 9 9 8 1 2 1 4 
Net periodic pension costs$(89)$(20)$(45)$(12)$(31)$(1)$(5)$(4)
Nine Months Ended September 30, 2023
DukeDukeDukeDukeDuke
DukeEnergyProgressEnergyEnergyEnergyEnergy
(in millions)EnergyCarolinasEnergyProgressFloridaOhioIndianaPiedmont
Service cost$87 $28 $25 $15 $10 $2 $4 $3 
Interest cost on projected benefit obligation258 63 80 37 43 13 20 7 
Expected return on plan assets(441)(120)(149)(70)(78)(18)(30)(15)
Amortization of actuarial loss7 1 3 1 2 — 2 — 
Amortization of prior service credit(10)— — — — — (1)(5)
Amortization of settlement charges14 7 3 3 1 — 1 3 
Net periodic pension costs$(85)$(21)$(38)$(14)$(22)$(3)$(4)$(7)
NON-QUALIFIED PENSION PLANS
Net periodic pension costs for non-qualified pension plans were not material for the three and nine months ended September 30, 2024, and 2023.
OTHER POST-RETIREMENT BENEFIT PLANS
Net periodic costs for OPEB plans were not material for the three and nine months ended September 30, 2024, and 2023.