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Fair Value Measurements
 3 Months Ended
Mar. 31, 2018
Fair Value Measurements [Abstract]  
Fair Value Measurements
FAIR VALUE MEASURES
Based on the estimated borrowing rates currently available to us and our subsidiaries for loans with similar terms and average maturities, the aggregate fair value and carrying amount of our consolidated debt obligations as of March 31, 2018 were $42.52 billion and $42.19 billion, respectively. As of December 31, 2017, the aggregate fair value and carrying amount of our consolidated debt obligations were $45.62 billion and $44.08 billion, respectively. The fair value of our consolidated debt obligations is a Level 2 valuation based on the respective debt obligations’ observable inputs used for similar liabilities.
We have commodity derivatives and interest rate derivatives that are accounted for as assets and liabilities at fair value in our consolidated balance sheets. We determine the fair value of our assets and liabilities subject to fair value measurement by using the highest possible “level” of inputs. Level 1 inputs are observable quotes in an active market for identical assets and liabilities. We consider the valuation of marketable securities and commodity derivatives transacted through a clearing broker with a published price from the appropriate exchange as a Level 1 valuation. Level 2 inputs are inputs observable for similar assets and liabilities. We consider OTC commodity derivatives entered into directly with third parties as a Level 2 valuation since the values of these derivatives are quoted on an exchange for similar transactions. Additionally, we consider our options transacted through our clearing broker as having Level 2 inputs due to the level of activity of these contracts on the exchange in which they trade. We consider the valuation of our interest rate derivatives as Level 2 as the primary input, the LIBOR curve, is based on quotes from an active exchange of Eurodollar futures for the same period as the future interest swap settlements. Level 3 inputs are unobservable. During the three months ended March 31, 2018, no transfers were made between any levels within the fair value hierarchy.
The following tables summarize the gross fair value of our financial assets and liabilities measured and recorded at fair value on a recurring basis as of March 31, 2018 and December 31, 2017 based on inputs used to derive their fair values:
 
 
 
Fair Value Measurements at
March 31, 2018
 
Fair Value Total
 
Level 1
 
Level 2
Assets:
 
 
 
 
 
Commodity derivatives:
 
 
 
 
 
Natural Gas:
 
 
 
 
 
Basis Swaps IFERC/NYMEX
$
35

 
$
35

 
$
—

Swing Swaps IFERC
1

 
—

 
1

Fixed Swaps/Futures
14

 
14

 
—

Forward Physical Contracts
7

 
—

 
7

Power — Forwards
78

 
—

 
78

Options — Calls
1

 
1

 
—

Options — Puts
1

 
1

 
—

Natural Gas Liquids — Forwards/Swaps
115

 
115

 
—

Refined Products — Futures
3

 
3

 
—

Total commodity derivatives
255

 
169

 
86

Other non-current assets
21

 
14

 
7

Total assets
$
276

 
$
183

 
$
93

Liabilities:
 
 
 
 
 
Interest rate derivatives
$
(167
)
 
$
—

 
$
(167
)
Commodity derivatives:
 
 
 
 
 
Natural Gas:
 
 
 
 
 
Basis Swaps IFERC/NYMEX
(81
)
 
(81
)
 
—

Swing Swaps IFERC
(1
)
 
—

 
(1
)
Fixed Swaps/Futures
(13
)
 
(13
)
 
—

Options — Calls
(2
)
 
(2
)
 
—

Forward Physical Contracts
(6
)
 
—

 
(6
)
Power:
 
 
 
 
 
Forwards
(72
)
 
—

 
(72
)
Natural Gas Liquids — Swaps
(169
)
 
(169
)
 
—

Refined Products — Futures
(6
)
 
(6
)
 
—

Total commodity derivatives
(350
)
 
(271
)
 
(79
)
Total liabilities
$
(517
)
 
$
(271
)
 
$
(246
)
 
 
 
Fair Value Measurements at
December 31, 2017
 
Fair Value Total
 
Level 1
 
Level 2
Assets:
 
 
 
 
 
Commodity derivatives:
 
 
 
 
 
Natural Gas:
 
 
 
 
 
Basis Swaps IFERC/NYMEX
$
11

 
$
11

 
$
—

Swing Swaps IFERC
13

 
—

 
13

Fixed Swaps/Futures
70

 
70

 
—

Forward Physical Swaps
8

 
—

 
8

Power — Forwards
23

 
—

 
23

Natural Gas Liquids — Forwards/Swaps
193

 
193

 
—

Refined Products — Futures
1

 
1

 
—

Crude — Futures
2

 
2

 
—

Total commodity derivatives
321

 
277

 
44

Other non-current assets
21

 
14

 
7

Total assets
$
342

 
$
291

 
$
51

Liabilities:
 
 
 
 
 
Interest rate derivatives
$
(219
)
 
$
—

 
$
(219
)
Commodity derivatives:
 
 
 
 
 
Natural Gas:
 
 
 
 
 
Basis Swaps IFERC/NYMEX
(24
)
 
(24
)
 
—

Swing Swaps IFERC
(15
)
 
(1
)
 
(14
)
Fixed Swaps/Futures
(57
)
 
(57
)
 
—

Forward Physical Swaps
(2
)
 
—

 
(2
)
Power — Forwards
(22
)
 
—

 
(22
)
Natural Gas Liquids — Swaps
(192
)
 
(192
)
 
—

Refined Products — Futures
(28
)
 
(28
)
 
—

Crude — Futures
(1
)
 
(1
)
 
—

Total commodity derivatives
(341
)
 
(303
)
 
(38
)
Total liabilities
$
(560
)
 
$
(303
)
 
$
(257
)