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Effects of Regulation | 12 Months Ended
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Dec. 31, 2022
Effects of Regulation | EFFECTS OF REGULATION The disclosures in this note apply to all Registrants unless indicated otherwise. Coal-Fired Generation Plants (Applies to AEP, PSO and SWEPCo) Compliance with extensive environmental regulations requires significant capital investment in environmental monitoring, installation of pollution control equipment, emission fees, disposal costs and permits. Management continuously evaluates cost estimates of complying with these regulations which has resulted in, and in the future may result in, a decision to retire coal-fired generating facilities earlier than their currently estimated useful lives. Management is seeking or will seek regulatory recovery, as necessary, for any net book value remaining when the plants are retired. To the extent the net book value of these generation assets is not deemed recoverable, it could materially reduce future net income and cash flows and impact financial condition. Regulated Generating Units that have been Retired SWEPCo In April 2016, Welsh Plant, Unit 2 was retired. As part of the 2016 Texas Base Rate Case, the PUCT authorized recovery of SWEPCo’s Texas jurisdictional share of Welsh Plant, Unit 2, but denied SWEPCo the ability to earn a return on this investment resulting in a disallowance of $7 million in 2017. See “2016 Texas Base Rate Case” section of Note 4 for additional information. As part of the 2019 Arkansas Base Rate Case, SWEPCo received approval from the APSC to recover the Arkansas jurisdictional share of Welsh Plant, Unit 2. In December 2020, SWEPCo filed a request with the LPSC to recover the Louisiana jurisdictional share of Welsh Plant, Unit 2. In January 2023, the LPSC approved a settlement agreement which provided recovery of Welsh Plant, Unit 2 as requested. See “2020 Louisiana Base Rate Case” section of Note 4 for additional information. In December 2021, the Dolet Hills Power Station was retired. As part of the 2020 Texas Base Rate Case, the PUCT authorized recovery of SWEPCo’s Texas jurisdictional share of the Dolet Hills Power Station through 2046, but denied SWEPCo the ability to earn a return on this investment resulting in a disallowance of $12 million in 2021. As part of the 2021 Arkansas Base Rate Case, the APSC authorized recovery of SWEPCo’s Arkansas jurisdictional share of the Dolet Hills Power Station through 2027, but denied SWEPCo the ability to earn a return on this investment resulting in a disallowance of $2 million in the second quarter of 2022. Also, the APSC did not rule on the prudency of the early retirement of the Dolet Hills Power Station, which will be addressed in a future proceeding. As part of the 2020 Louisiana Base Rate Case, the LPSC authorized the recovery of SWEPCo’s Louisiana share of the Dolet Hills Power Station, through a separate rider, through 2032, but did not rule on the prudency of the early retirement of the plant, which is being addressed in a separate proceeding. See “2020 Texas Base Rate Case”, “2020 Louisiana Base Rate Case” and “2021 Arkansas Base Rate Case” sections of Note 4 for additional information. Regulated Generating Units to be Retired PSO In 2014, PSO received final approval from the Federal EPA to close Northeastern Plant, Unit 3, in 2026. The plant was originally scheduled to close in 2040. As a result of the early retirement date, PSO revised the useful life of Northeastern Plant, Unit 3, to the projected retirement date of 2026 and the incremental depreciation is being deferred as a regulatory asset. As part of the 2021 Oklahoma Base Rate Case, PSO will continue to recover Northeastern Plant, Unit 3 through 2040. SWEPCo In November 2020, management announced plans to retire Pirkey Plant in 2023 and that it will cease using coal at the Welsh Plant in 2028. As a result of the announcement, SWEPCo began recording a regulatory asset for accelerated depreciation. The table below summarizes the net book value including CWIP, before cost of removal and materials and supplies, as of December 31, 2022, of generating facilities planned for early retirement:
Plant |  |  |  |  |  | Net Book Value |  | Accelerated Depreciation Regulatory Asset |  |  |  | Cost of Removal Regulatory Liability |  |  | Projected Retirement Date |  | Current Authorized Recovery Period |  | Annual Depreciation (a)
|  |  |  |  |  | (dollars in millions)
Northeastern Plant, Unit 3 |  |  |  |  |  | $ | 136.3 |  |  | $ | 145.8 |  |  |  |  | $ | 20.2 |  | (b) |  | 2026 |  | (c) |  | $ | 14.9 |
Pirkey Plant |  |  |  |  |  | 35.1 |  |  | 179.5 |  |  |  |  | 39.8 |  |  |  | 2023 |  | (d) |  | 11.7 |
Welsh Plant, Units 1 and 3 |  |  |  |  |  | 416.8 |  |  | 85.6 |  |  |  |  | 58.3 |  | (e) |  | 2028 |  | (f) |  | 37.9 |
(a)Represents the amount of annual depreciation that has been collected from customers over the prior 12-month period. (b)Includes Northeastern Plant, Unit 4, which was retired in 2016. Removal of Northeastern Plant, Unit 4, will be performed with Northeastern Plant, Unit 3, after retirement. (c)Northeastern Plant, Unit 3 is currently being recovered through 2040. (d)Pirkey Plant is currently being recovered through 2032 in the Louisiana jurisdiction and through 2045 in the Arkansas and Texas jurisdictions. (e)Includes Welsh Plant, Unit 2, which was retired in 2016. Removal of Welsh Plant, Unit 2, will be performed with Welsh Plant, Units 1 and 3, after retirement. (f)Unit 1 is being recovered through 2027 in the Louisiana jurisdiction and through 2037 in the Arkansas and Texas jurisdictions. Unit 3 is being recovered through 2032 in the Louisiana jurisdiction and through 2042 in the Arkansas and Texas jurisdictions. Dolet Hills Power Station and Related Fuel Operations (Applies to AEP and SWEPCo) In 2020, management of SWEPCo and CLECO determined DHLC would not develop additional Oxbow Lignite Company (Oxbow) mining areas for future lignite extraction and ceased extraction of lignite at the mine in May 2020. In April 2020, SWEPCo and CLECO jointly filed a notification letter to the LPSC providing notice of the cessation of lignite mining. In December 2021, the Dolet Hills Power Station was retired. While in operation, DHLC provided 100% of the fuel supply to Dolet Hills Power Station. The remaining book value of Dolet Hills Power Station non-fuel related assets are recoverable by SWEPCo through rate riders. As of December 31, 2022, SWEPCo’s share of the net investment in the Dolet Hills Power Station is $112 million, including materials and supplies, net of cost of removal collected in rates. Fuel costs incurred by the Dolet Hills Power Station are recoverable by SWEPCo through active fuel clauses and are subject to prudency determinations by the various commissions. After closure of the DHLC mining operations and the Dolet Hills Power Station, additional reclamation and other land-related costs incurred by DHLC and Oxbow will continue to be billed to SWEPCo and included in existing fuel clauses. As of December 31, 2022, SWEPCo had a net under-recovered fuel balance of $257 million, inclusive of costs related to Dolet Hills Power Station billed by DHLC, but excluding impacts of the February 2021 severe winter weather event. In March 2021, the LPSC issued an order allowing SWEPCo to recover up to $20 million of fuel costs in 2021 and defer approximately $32 million of additional costs with a recovery period to be determined at a later date. In August 2022, the LPSC staff filed testimony recommending fuel disallowances of $72 million, including denial of recovery of the $32 million deferral, with refunds to customers over five years. In September 2022, SWEPCo filed rebuttal testimony addressing the LPSC staff recommendations. In March 2021, the APSC approved fuel rates that provide recovery of $20 million for the Arkansas share of the 2021 Dolet Hills Power Station fuel costs over five years through the existing fuel clause. In August 2022, SWEPCo filed a fuel reconciliation with the PUCT covering the fuel period of January 1, 2020 through December 31, 2021. Intervenor testimony is due in the first quarter of 2023 and a decision from the PUCT is expected in the third quarter of 2023. If any of these costs are not recoverable, it could reduce future net income and cash flows and impact financial condition. Pirkey Power Plant and Related Fuel Operations (Applies to AEP and SWEPCo) In 2020, management announced plans to retire the Pirkey Plant in 2023. The Pirkey Plant non-fuel costs are recoverable by SWEPCo through base rates and rate riders. As part of the 2020 Louisiana Base Rate Case, the LPSC authorized recovery of SWEPCo’s Louisiana share of the Pirkey Plant through a separate rider. Fuel costs are recovered through active fuel clauses and are subject to prudency determinations by the various commissions. As of December 31, 2022, SWEPCo’s share of the net investment in the Pirkey Plant is $215 million, including CWIP, before cost of removal. Sabine is a mining operator providing mining services to the Pirkey Plant. Under the provisions of the mining agreement, SWEPCo is required to pay, as part of the cost of lignite delivered, an amount equal to mining costs plus a management fee. SWEPCo expects fuel deliveries, including billings of all fixed and operating costs, from Sabine to cease during the first quarter of 2023. Under the fuel agreements, SWEPCo’s fuel inventory and unbilled fuel costs from mining related activities were $43 million as of December 31, 2022. As of December 31, 2022, SWEPCo had a net under-recovered fuel balance of $257 million, inclusive of costs related to Pirkey Plant billed by Sabine, but excluding impacts of the February 2021 severe winter weather event. Upon cessation of lignite deliveries by Sabine to the Pirkey Plant, additional operational, reclamation and other land-related costs incurred by Sabine will be billed to SWEPCo and included in existing fuel clauses. If any of these costs are not recoverable, it could reduce future net income and cash flows and impact financial condition. Regulatory Assets and Liabilities Regulatory assets and liabilities (as adjusted) are comprised of the following items:
|  | AEP
|  | December 31, |  | Remaining Recovery Period
|  | 2022 |  | 2021 |
Current Regulatory Assets |  | (in millions) |  |
Under-recovered Fuel Costs - earns a return |  | $ | 625.7 |  |  | $ | 409.4 |  |  | 1 year
Under-recovered Fuel Costs - does not earn a return |  | 588.5 |  |  | 183.9 |  |  | 1 year
Unrecovered Winter Storm Fuel Costs - earns a return (a) |  | 95.8 |  |  | 62.7 |  |  | 1 year
Total Current Regulatory Assets |  | $ | 1,310.0 |  |  | $ | 656.0 |  |  |
Noncurrent Regulatory Assets |  |  |  |  |  |
Regulatory assets pending final regulatory approval: |  |  |  |  |  |
Regulatory Assets Currently Earning a Return |  |  |  |  |  |
Pirkey Plant Accelerated Depreciation |  | $ | 116.5 |  |  | $ | 87.0 |  |  |
Welsh Plant, Units 1 and 3 Accelerated Depreciation |  | 85.6 |  |  | 45.9 |  |  |
Unrecovered Winter Storm Fuel Costs |  | 84.6 |  |  | 367.5 |  |  |
Dolet Hills Power Station Fuel Costs - Louisiana |  | 32.0 |  |  | 30.9 |  |  |
Dolet Hills Power Station Accelerated Depreciation (b) |  | 9.7 |  |  | 72.3 |  |  |
Kentucky Deferred Purchased Power Expenses |  | — |  |  | 47.5 |  |  |
Plant Retirement Costs - Unrecovered Plant, Louisiana |  | — |  |  | 35.2 |  |  |
Other Regulatory Assets Pending Final Regulatory Approval |  | 27.2 |  |  | 9.3 |  |  |
Total Regulatory Assets Currently Earning a Return |  | 355.6 |  |  | 695.6 |  |  |
Regulatory Assets Currently Not Earning a Return |  |  |  |  |  |
Storm-Related Costs |  | 407.1 |  |  | 298.3 |  |  |
2020-2022 Virginia Triennial Under-Earnings |  | 37.9 |  |  | 15.1 |  |  |
Plant Retirement Costs - Asset Retirement Obligation Costs |  | 25.9 |  |  | 25.9 |  |  |
Other Regulatory Assets Pending Final Regulatory Approval |  | 55.6 |  |  | 56.0 |  |  |
Total Regulatory Assets Currently Not Earning a Return |  | 526.5 |  |  | 395.3 |  |  |
Total Regulatory Assets Pending Final Regulatory Approval |  | 882.1 |  |  | 1,090.9 |  |  |
Regulatory assets approved for recovery: |  |  |  |  |  |
Regulatory Assets Currently Earning a Return |  |  |  |  |  |
Plant Retirement Costs - Unrecovered Plant (c) |  | 689.9 |  |  | 715.4 |  |  | 24 years
Long-term Under-recovered Fuel Costs - Oklahoma |  | 252.7 |  |  | — |  |  | 2 years
Long-term Under-recovered Fuel Costs - Virginia |  | 223.3 |  |  | — |  |  | 2 years
Unrecovered Winter Storm Fuel Costs (d) |  | 148.6 |  |  | 679.3 |  |  | 5 years
Plant Retirement Costs - Asset Retirement Obligation Costs |  | 110.6 |  |  | 110.2 |  |  | 20 years
Pirkey Plant Accelerated Depreciation - Louisiana |  | 63.0 |  |  | — |  |  | 10 years
Rockport Plant Dry Sorbent Injection System and Selective Catalytic Reduction |  | 56.6 |  |  | 66.6 |  |  | 6 years
Kentucky Deferred Purchased Power Expenses |  | 53.0 |  |  | — |  |  | 5 years
Plant Retirement Costs - Unrecovered Plant, Dolet Hills Power Station, Louisiana |  | 45.1 |  |  | — |  |  | 10 years
Meter Replacement Costs |  | 34.2 |  |  | 44.9 |  |  | 5 years
Environmental Control Projects |  | 33.9 |  |  | 36.2 |  |  | 18 years
Cook Plant Uprate Project |  | 25.3 |  |  | 27.7 |  |  | 11 years
Ohio Distribution Decoupling |  | 19.5 |  |  | 41.6 |  |  | 2 years
Other Regulatory Assets Approved for Recovery |  | 102.9 |  |  | 119.9 |  |  | various
Total Regulatory Assets Currently Earning a Return |  | 1,858.6 |  |  | 1,841.8 |  |  |
Regulatory Assets Currently Not Earning a Return |  |  |  |  |  |
Pension and OPEB Funded Status |  | 975.4 |  |  | 689.3 |  |  | 12 years
Plant Retirement Costs - Asset Retirement Obligation Costs |  | 308.5 |  |  | 297.9 |  |  | 20 years
Unamortized Loss on Reacquired Debt |  | 104.1 |  |  | 111.6 |  |  | 26 years
Cook Plant Nuclear Refueling Outage Levelization |  | 81.2 |  |  | 32.0 |  |  | 3 years
Fuel and Purchased Power Adjustment Rider |  | 76.3 |  |  | 40.8 |  |  | 2 years
Plant Retirement Costs - Unrecovered Plant, Texas |  | 51.7 |  |  | 51.9 |  |  | 24 years
Peak Demand Reduction/Energy Efficiency |  | 41.7 |  |  | 40.8 |  |  | 4 years
Unrealized Loss on Forward Commitments |  | 40.1 |  |  | 100.8 |  |  | 10 years
Ohio Enhanced Service Reliability Plan |  | 33.3 |  |  | 9.5 |  |  | 2 years
Postemployment Benefits |  | 32.1 |  |  | 32.5 |  |  | 3 years
2017-2019 Virginia Triennial Under-Earnings |  | 30.1 |  |  | — |  |  | 2 years
Vegetation Management |  | 25.8 |  |  | 29.3 |  |  | 3 years
Smart Grid Costs |  | 25.4 |  |  | 19.3 |  |  | 2 years
PJM/SPP Annual Formula Rate True-up |  | 21.8 |  |  | 18.0 |  |  | 2 years
Plant Retirement Costs - Unrecovered Plant, Arkansas |  | 21.1 |  |  | — |  |  | 5 years
Virginia Transmission Rate Adjustment Clause |  | 18.7 |  |  | 37.2 |  |  | 2 years
Storm-Related Costs |  | 11.9 |  |  | 25.4 |  |  | 2 years
Texas Transmission Cost Recovery Factor |  | 3.8 |  |  | 30.6 |  |  | 2 years
Other Regulatory Assets Approved for Recovery |  | 118.3 |  |  | 119.2 |  |  | various
Total Regulatory Assets Currently Not Earning a Return |  | 2,021.3 |  |  | 1,686.1 |  |  |
Total Regulatory Assets Approved for Recovery |  | 3,879.9 |  |  | 3,527.9 |  |  |
Total Noncurrent Regulatory Assets |  | $ | 4,762.0 |  |  | $ | 4,618.8 |  |  |
(a)In 2022, Unrecovered Winter Storm Costs in the Arkansas and Texas jurisdictions were approved for recovery by the APSC and PUCT. As of December 31, 2022, Unrecovered Winter Storm Fuel Costs in the Louisiana jurisdiction are pending final regulatory approval with the LPSC. The current asset balance represents amounts expected to be recovered in the Arkansas, Louisiana and Texas jurisdiction over the next 12 months. See “February 2021 Severe Winter Weather Impacts in SPP” section of SWEPCo Rate Matters in Note 4 for additional information. (b)2022 amount includes the FERC jurisdiction. 2021 amounts include Arkansas, Louisiana and FERC jurisdictions. (c)Northeastern Plant, Unit 3 is approved for recovery through 2040, but expected to retire in 2026. PSO records a regulatory asset for accelerated depreciation. See “Regulated Generating Units to be Retired” section above for additional information. (d)In February 2022, the OCC approved PSO’s securitization of the Unrecovered Winter Storm Fuel Costs. In September 2022, PSO received proceeds of $687 million from the ODFA which issued ratepayer-backed securitization bonds for the purpose of reimbursing PSO for extraordinary fuel costs and purchases of electricity incurred during the February 2021 severe winter weather event, which were previously recorded as Regulatory Assets on PSO’s balance sheet. See “February 2021 Severe Winter Weather Impacts in SPP” section of PSO Rate Matters in Note 4 for additional information.
|  | AEP
|  | December 31, |  | Remaining
|  | 2022 |  | 2021 |  | Refund Period
Current Regulatory Liabilities |  | (in millions) |  |
Over-recovered Fuel Costs - pays a return |  | $ | 1.4 |  |  | $ | — |  |  | 1 year
Over-recovered Fuel Costs - does not pay a return |  | — |  |  | 1.5 |  |  |
Total Current Regulatory Liabilities |  | $ | 1.4 |  |  | $ | 1.5 |  |  |
Noncurrent Regulatory Liabilities and Deferred Investment Tax Credits |  |  |  |  |  |
Regulatory liabilities pending final regulatory determination: |  |  |  |  |  |
Regulatory Liabilities Currently Paying a Return |  |  |  |  |  |
Income Taxes, Net (a) |  | $ | 149.7 |  |  | $ | 262.2 |  |  |
Total Regulatory Liabilities Currently Paying a Return |  | 149.7 |  |  | 262.2 |  |  |
Regulatory Liabilities Currently Not Paying a Return |  |  |  |  |  |
Other Regulatory Liabilities Pending Final Regulatory Determination |  | 4.1 |  |  | 2.3 |  |  |
Total Regulatory Liabilities Currently Not Paying a Return |  | 4.1 |  |  | 2.3 |  |  |
Total Regulatory Liabilities Pending Final Regulatory Determination |  | 153.8 |  |  | 264.5 |  |  |
Regulatory liabilities approved for payment: |  |  |  |  |  |
Regulatory Liabilities Currently Paying a Return |  |  |  |  |  |
Asset Removal Costs |  | 3,392.4 |  |  | 3,229.9 |  |  | (b)
Income Taxes, Net (a) |  | 2,504.5 |  |  | 2,792.0 |  |  | (c)
Rockport Plant, Unit 2 Accelerated Depreciation for Leasehold Improvements |  | 53.8 |  |  | 4.2 |  |  | 6 years
Renewable Energy Surcharge - Michigan |  | 23.2 |  |  | 14.9 |  |  | 2 years
Other Regulatory Liabilities Approved for Payment |  | 9.5 |  |  | 16.2 |  |  | various
Total Regulatory Liabilities Currently Paying a Return |  | 5,983.4 |  |  | 6,057.2 |  |  |
Regulatory Liabilities Currently Not Paying a Return |  |  |  |  |  |
Excess Nuclear Decommissioning Funding |  | 1,318.5 |  |  | 1,939.7 |  |  | (d)
Deferred Investment Tax Credits |  | 237.3 |  |  | 248.5 |  |  | 34 years
OVEC Purchased Power |  | 47.1 |  |  | 14.8 |  |  | 2 years
Spent Nuclear Fuel |  | 45.8 |  |  | 49.5 |  |  | (d)
Unrealized Gain on Forward Commitments |  | 45.2 |  |  | 40.4 |  |  | 2 years
2017-2019 Virginia Triennial Revenue Provision |  | 39.1 |  |  | 41.6 |  |  | 26 years
PJM Costs and Off-system Sales Margin Sharing - Indiana |  | 34.2 |  |  | — |  |  | 2 years
PJM Transmission Enhancement Refund |  | 34.1 |  |  | 45.5 |  |  | 3 years
Over-recovered Fuel Costs - Ohio |  | 32.2 |  |  | 15.2 |  |  | 10 years
Transition and Restoration Charges - Texas |  | 29.4 |  |  | 26.3 |  |  | 7 years
Peak Demand Reduction/Energy Efficiency |  | 28.6 |  |  | 28.6 |  |  | 2 years
Other Regulatory Liabilities Approved for Payment |  | 86.9 |  |  | 62.6 |  |  | various
Total Regulatory Liabilities Currently Not Paying a Return |  | 1,978.4 |  |  | 2,512.7 |  |  |
Total Regulatory Liabilities Approved for Payment |  | 7,961.8 |  |  | 8,569.9 |  |  |
Total Noncurrent Regulatory Liabilities and Deferred Investment Tax Credits |  | $ | 8,115.6 |  |  | $ | 8,834.4 |  |  |
(a)Predominately pays a return due to the inclusion of Excess ADIT in rate base. (b)Relieved as removal costs are incurred. (c)Refunded over the period for which the related deferred income tax reverse, which is generally based on the expected life for the underlying assets. Excess ADIT Associated with Certain Depreciable Property is refunded over the remaining depreciable life of the underlying assets. Excess ADIT that is Not Subject to Rate Normalization Requirements were $277 million and $468 million for the years ended December 31, 2022 and 2021, respectively. The remaining balance of Excess ADIT that is Not Subject to Rate Normalization Requirements as of December 31, 2022 is to be refunded over 6 years. (d)Relieved when plant is decommissioned.
|  | AEP Texas
|  | December 31, |  | Remaining Recovery Period
Regulatory Assets: |  | 2022 |  | 2021 |
|  | (in millions) |  |
Noncurrent Regulatory Assets |  |  |  |  |  |
Regulatory assets pending final regulatory approval: |  |  |  |  |  |
Regulatory Assets Currently Earning a Return |  |  |  |  |  |
Texas Mobile Generation Lease Payments |  | $ | 17.6 |  |  | $ | — |  |  |
Total Regulatory Assets Currently Earning a Return |  | 17.6 |  |  | — |  |  |
Regulatory Assets Currently Not Earning a Return |  |  |  |  |  |
Storm-Related Costs |  | 26.7 |  |  | 22.4 |  |  |
Vegetation Management Program |  | 5.2 |  |  | 5.2 |  |  |
Texas Retail Electric Provider Bad Debt Expense |  | 4.1 |  |  | 4.1 |  |  |
Other Regulatory Assets Pending Final Regulatory Approval |  | 13.4 |  |  | 9.5 |  |  |
Total Regulatory Assets Currently Not Earning a Return |  | 49.4 |  |  | 41.2 |  |  |
Total Regulatory Assets Pending Final Regulatory Approval |  | 67.0 |  |  | 41.2 |  |  |
Regulatory assets approved for recovery: |  |  |  |  |  |
Regulatory Assets Currently Earning a Return |  |  |  |  |  |
Meter Replacement Costs |  | 16.1 |  |  | 22.7 |  |  | 4 years
Advanced Metering System |  | — |  |  | 10.6 |  |  |
Other Regulatory Assets Approved for Recovery |  | 1.4 |  |  | 2.1 |  |  | various
Total Regulatory Assets Currently Earning a Return |  | 17.5 |  |  | 35.4 |  |  |
Regulatory Assets Currently Not Earning a Return |  |  |  |  |  |
Pension and OPEB Funded Status |  | 173.2 |  |  | 119.0 |  |  | 12 years
Vegetation Management Program |  | 12.1 |  |  | 17.4 |  |  | 3 years
Peak Demand Reduction/Energy Efficiency |  | 11.9 |  |  | 14.5 |  |  | 2 years
Storm-Related Costs |  | 8.5 |  |  | 12.8 |  |  | 2 years
Texas Transmission Cost Recovery Factor |  | 3.8 |  |  | 30.6 |  |  | 2 years
Other Regulatory Assets Approved for Recovery |  | 4.3 |  |  | 4.3 |  |  | various
Total Regulatory Assets Currently Not Earning a Return |  | 213.8 |  |  | 198.6 |  |  |
Total Regulatory Assets Approved for Recovery |  | 231.3 |  |  | 234.0 |  |  |
Total Noncurrent Regulatory Assets |  | $ | 298.3 |  |  | $ | 275.2 |  |  |
|  | AEP Texas
|  | December 31, |  | Remaining Refund Period
Regulatory Liabilities: |  | 2022 |  | 2021 |
|  | (in millions) |  |
Noncurrent Regulatory Liabilities and Deferred Investment Tax Credits |  |  |  |  |  |
Regulatory liabilities pending final regulatory determination: |  |  |  |  |  |
Regulatory Liabilities Currently Paying a Return |  |  |  |  |  |
Income Taxes, Net (a) |  | $ | 13.0 |  |  | $ | 13.0 |  |  |
Total Regulatory Liabilities Currently Paying a Return |  | 13.0 |  |  | 13.0 |  |  |
Regulatory Liabilities Currently Not Paying a Return |  |  |  |  |  |
Other Regulatory Liabilities Pending Final Regulatory Determination |  | 1.8 |  |  | — |  |  |
Total Regulatory Liabilities Currently Not Paying a Return |  | 1.8 |  |  | — |  |  |
Total Regulatory Liabilities Pending Final Regulatory Determination |  | 14.8 |  |  | 13.0 |  |  |
Regulatory liabilities approved for payment: |  |  |  |  |  |
Regulatory Liabilities Currently Paying a Return |  |  |  |  |  |
Asset Removal Costs |  | 766.8 |  |  | 744.7 |  |  | (b)
Income Taxes, Net (a) |  | 431.6 |  |  | 445.3 |  |  | (c)
Other Regulatory Liabilities Approved for Payment |  | 4.3 |  |  | 4.8 |  |  | various
Total Regulatory Liabilities Currently Paying a Return |  | 1,202.7 |  |  | 1,194.8 |  |  |
Regulatory Liabilities Currently Not Paying a Return |  |  |  |  |  |
Transition and Restoration Charges |  | 29.4 |  |  | 26.3 |  |  | 7 years
Other Regulatory Liabilities Approved for Payment |  | 12.7 |  |  | 7.9 |  |  | various
Total Regulatory Liabilities Currently Not Paying a Return |  | 42.1 |  |  | 34.2 |  |  |
Total Regulatory Liabilities Approved for Payment |  | 1,244.8 |  |  | 1,229.0 |  |  |
Total Noncurrent Regulatory Liabilities and Deferred Investment Tax Credits |  | $ | 1,259.6 |  |  | $ | 1,242.0 |  |  |
(a)Predominately pays a return due to the inclusion of Excess ADIT in rate base. (b)Relieved as removal costs are incurred. (c)Refunded over the period for which the related deferred income tax reverse, which is generally based on the expected life for the underlying assets. Excess ADIT Associated with Certain Depreciable Property is refunded over the remaining depreciable life of the underlying assets.
|  | AEPTCo
|  | December 31, |  | Remaining Recovery Period
Regulatory Assets: |  | 2022 |  | 2021 |
|  | (in millions) |  |
Noncurrent Regulatory Assets |  |  |  |  |  |
Regulatory assets approved for recovery: |  |  |  |  |  |
Regulatory Assets Currently Not Earning a Return |  |  |  |  |  |
PJM/SPP Annual Formula Rate True-up |  | $ | 7.2 |  |  | $ | 8.5 |  |  | 2 years
Total Regulatory Assets Approved for Recovery |  | 7.2 |  |  | 8.5 |  |  |
Total Noncurrent Regulatory Assets |  | $ | 7.2 |  |  | $ | 8.5 |  |  |
|  | AEPTCo
|  | December 31, |  | Remaining Refund Period
Regulatory Liabilities: |  | 2022 |  | 2021 |
|  | (in millions) |  |
Noncurrent Regulatory Liabilities |  |  |  |  |  |
Regulatory liabilities pending final regulatory determination: |  |  |  |  |  |
Regulatory Liabilities Currently Paying a Return |  |  |  |  |  |
Income Taxes, Net (a) |  | $ | 8.7 |  |  | $ | 8.7 |  |  |
Total Regulatory Liabilities Pending Final Regulatory Determination |  | 8.7 |  |  | 8.7 |  |  |
Regulatory liabilities approved for payment: |  |  |  |  |  |
Regulatory Liabilities Currently Paying a Return |  |  |  |  |  |
Asset Removal Costs |  | 358.8 |  |  | 271.4 |  |  | (b)
Income Taxes, Net (a) |  | 355.8 |  |  | 371.6 |  |  | (c)
Total Regulatory Liabilities Approved for Payment |  | 714.6 |  |  | 643.0 |  |  |
Total Noncurrent Regulatory Liabilities |  | $ | 723.3 |  |  | $ | 651.7 |  |  |
(a)Predominately pays a return due to the inclusion of Excess ADIT in rate base. (b)Relieved as removal costs are incurred. (c)Refunded over the period for which the related deferred income tax reverse, which is generally based on the expected life for the underlying assets. Excess ADIT Associated with Certain Depreciable Property is refunded over the remaining depreciable life of the underlying assets. Excess ADIT that is Not Subject to Rate Normalization Requirements were $16 million and $26 million for the years ended December 31, 2022 and 2021, respectively. The remaining balance of Excess ADIT that is Not Subject to Rate Normalization Requirements as of December 31, 2022 is to be refunded over 6 years.
|  | APCo
|  | December 31, |  | Remaining Recovery Period
Regulatory Assets: |  | 2022 |  | 2021 |
|  | (in millions) |  |
Current Regulatory Assets |  |  |  |  |  |
Under-recovered Fuel Costs - earns a return |  | $ | 180.7 |  |  | $ | 127.2 |  |  | 1 year
Under-recovered Fuel Costs - does not earn a return |  | 292.4 |  |  | 74.1 |  |  | 1 year
Total Current Regulatory Assets |  | $ | 473.1 |  |  | $ | 201.3 |  |  |
Noncurrent Regulatory Assets |  |  |  |  |  |
Regulatory assets pending final regulatory approval: |  |  |  |  |  |
Regulatory Assets Currently Earning a Return |  |  |  |  |  |
COVID-19 - Virginia |  | $ | 7.0 |  |  | $ | 6.8 |  |  |
Total Regulatory Assets Currently Earning a Return |  | 7.0 |  |  | 6.8 |  |  |
Regulatory Assets Currently Not Earning a Return |  |  |  |  |  |
Storm-Related Costs - West Virginia |  | 72.6 |  |  | 53.7 |  |  |
2020-2022 Virginia Triennial Under-Earnings |  | 37.9 |  |  | 15.1 |  |  |
Plant Retirement Costs - Asset Retirement Obligation Costs |  | 25.9 |  |  | 25.9 |  |  |
Other Regulatory Assets Pending Final Regulatory Approval |  | 1.1 |  |  | 3.6 |  |  |
Total Regulatory Assets Currently Not Earning a Return |  | 137.5 |  |  | 98.3 |  |  |
Total Regulatory Assets Pending Final Regulatory Approval |  | 144.5 |  |  | 105.1 |  |  |
Regulatory assets approved for recovery: |  |  |  |  |  |
Regulatory Assets Currently Earning a Return |  |  |  |  |  |
Long-term Under-recovered Fuel Costs - Virginia |  | 223.3 |  |  | — |  |  | 2 years
Plant Retirement Costs - Unrecovered Plant |  | 75.6 |  |  | 110.0 |  |  | 21 years
Other Regulatory Assets Approved for Recovery |  | 0.4 |  |  | 0.4 |  |  | various
Total Regulatory Assets Currently Earning a Return |  | 299.3 |  |  | 110.4 |  |  |
Regulatory Assets Currently Not Earning a Return |  |  |  |  |  |
Plant Retirement Costs - Asset Retirement Obligation Costs |  | 303.1 |  |  | 293.1 |  |  | 15 years
Pension and OPEB Funded Status |  | 108.3 |  |  | 62.7 |  |  | 12 years
Unamortized Loss on Reacquired Debt |  | 74.4 |  |  | 78.2 |  |  | 23 years
2017-2019 Virginia Triennial Under-Earnings |  | 30.1 |  |  | — |  |  | 2 years
Virginia Transmission Rate Adjustment Clause |  | 18.7 |  |  | 37.2 |  |  | 2 years
Virginia Clean Economy Act |  | 16.7 |  |  | — |  |  | 2 years
Peak Demand Reduction/Energy Efficiency |  | 15.8 |  |  | 17.8 |  |  | 4 years
Postemployment Benefits |  | 13.7 |  |  | 13.3 |  |  | 3 years
Vegetation Management Program - West Virginia |  | 13.7 |  |  | 11.9 |  |  | 2 years
Environmental Compliance Costs |  | 4.3 |  |  | 13.7 |  |  | 2 years
Other Regulatory Assets Approved for Recovery |  | 16.0 |  |  | 14.2 |  |  | various
Total Regulatory Assets Currently Not Earning a Return |  | 614.8 |  |  | 542.1 |  |  |
Total Regulatory Assets Approved for Recovery |  | 914.1 |  |  | 652.5 |  |  |
Total Noncurrent Regulatory Assets |  | $ | 1,058.6 |  |  | $ | 757.6 |  |  |
|  | APCo
|  | December 31, |  | Remaining Refund Period
Regulatory Liabilities: |  | 2022 |  | 2021 |
|  | (in millions) |  |
Noncurrent Regulatory Liabilities and Deferred Investment Tax Credits |  |  |  |  |  |
Regulatory liabilities pending final regulatory determination: |  |  |  |  |  |
Regulatory Liabilities Currently Paying a Return |  |  |  |  |  |
Income Taxes, Net (a) |  | $ | 30.5 |  |  | $ | 4.5 |  |  |
Total Regulatory Liabilities Pending Final Regulatory Determination |  | 30.5 |  |  | 4.5 |  |  |
Regulatory liabilities approved for payment: |  |  |  |  |  |
Regulatory Liabilities Currently Paying a Return |  |  |  |  |  |
Asset Removal Costs |  | 713.5 |  |  | 703.3 |  |  | (b)
Income Taxes, Net (a) |  | 291.3 |  |  | 432.9 |  |  | (c)
Deferred Investment Tax Credits |  | 0.3 |  |  | 0.3 |  |  | 31 years
Total Regulatory Liabilities Currently Paying a Return |  | 1,005.1 |  |  | 1,136.5 |  |  |
Regulatory Liabilities Currently Not Paying a Return |  |  |  |  |  |
2017-2019 Virginia Triennial Revenue Provision |  | 39.1 |  |  | 41.6 |  |  | 26 years
Unrealized Gain on Forward Commitments |  | 34.5 |  |  | 28.2 |  |  | 2 years
Over-recovered Deferred Wind Power Costs - Virginia |  | 13.6 |  |  | 8.4 |  |  | 2 years
PJM Transmission Enhancement Refund |  | 9.8 |  |  | 13.0 |  |  | 3 years
Other Regulatory Liabilities Approved for Payment |  | 11.0 |  |  | 6.6 |  |  | various
Total Regulatory Liabilities Currently Not Paying a Return |  | 108.0 |  |  | 97.8 |  |  |
Total Regulatory Liabilities Approved for Payment |  | 1,113.1 |  |  | 1,234.3 |  |  |
Total Noncurrent Regulatory Liabilities and Deferred Investment Tax Credits |  | $ | 1,143.6 |  |  | $ | 1,238.8 |  |  |
(a)Predominately pays a return due to the inclusion of Excess ADIT in rate base. (b)Relieved as removal costs are incurred. (c)Refunded over the period for which the related deferred income tax reverse, which is generally based on the expected life for the underlying assets. Excess ADIT Associated with Certain Depreciable Property is refunded over the remaining depreciable life of the underlying assets. Excess ADIT that is Not Subject to Rate Normalization Requirements were $19 million and $84 million for the years ended December 31, 2022 and 2021, respectively. The remaining balance of Excess ADIT that is Not Subject to Rate Normalization Requirements as of December 31, 2022 is to be refunded over 6 years.
|  | I&M
|  | December 31, |  | Remaining Recovery Period
Regulatory Assets: |  | 2022 |  | 2021 |
|  | (in millions) |  |
Current Regulatory Assets |  |  |  |  |  |
Under-recovered Fuel Costs, Michigan - earns a return |  | $ | 9.0 |  |  | $ | 6.4 |  |  | 1 year
Under-recovered Fuel Costs, Indiana - does not earn a return |  | 38.1 |  |  | — |  |  | 1 year
Total Current Regulatory Assets |  | $ | 47.1 |  |  | $ | 6.4 |  |  |
Noncurrent Regulatory Assets |  |  |  |  |  |
Regulatory assets pending final regulatory approval: |  |  |  |  |  |
Regulatory Assets Currently Earning a Return |  |  |  |  |  |
Other Regulatory Assets Pending Final Regulatory Approval |  | $ | 0.1 |  |  | $ | 0.1 |  |  |
Total Regulatory Assets Currently Earning a Return |  | 0.1 |  |  | 0.1 |  |  |
Regulatory Assets Currently Not Earning a Return |  |  |  |  |  |
Storm-Related Costs - Indiana |  | 21.6 |  |  | — |  |  |
Other Regulatory Assets Pending Final Regulatory Approval |  | 2.0 |  |  | 3.6 |  |  |
Total Regulatory Assets Currently Not Earning a Return |  | 23.6 |  |  | 3.6 |  |  |
Total Regulatory Assets Pending Final Regulatory Approval |  | 23.7 |  |  | 3.7 |  |  |
Regulatory assets approved for recovery: |  |  |  |  |  |
Regulatory Assets Currently Earning a Return |  |  |  |  |  |
Plant Retirement Costs - Unrecovered Plant |  | 147.0 |  |  | 170.8 |  |  | 6 years
Rockport Plant Dry Sorbent Injection System and Selective Catalytic Reduction |  | 56.6 |  |  | 66.6 |  |  | 6 years
Cook Plant Uprate Project |  | 25.3 |  |  | 27.7 |  |  | 11 years
Deferred Cook Plant Life Cycle Management Project Costs - Michigan, FERC |  | 12.1 |  |  | 13.1 |  |  | 12 years
Cook Plant Turbine - Indiana |  | 9.0 |  |  | 9.7 |  |  | 16 years
Cook Plant Study Costs |  | 8.7 |  |  | 9.4 |  |  | 13 years
Other Regulatory Assets Approved for Recovery |  | 11.9 |  |  | 6.0 |  |  | various
Total Regulatory Assets Currently Earning a Return |  | 270.6 |  |  | 303.3 |  |  |
Regulatory Assets Currently Not Earning a Return |  |  |  |  |  |
Cook Plant Nuclear Refueling Outage Levelization |  | 81.2 |  |  | 32.0 |  |  | 3 years
Pension and OPEB Funded Status |  | 26.9 |  |  | — |  |  | 12 years
Unamortized Loss on Reacquired Debt |  | 12.9 |  |  | 14.2 |  |  | 26 years
Peak Demand Energy Efficiency |  | 10.3 |  |  | 2.8 |  |  | 2 years
Postemployment Benefits |  | 7.7 |  |  | 9.0 |  |  | 3 years
Storm-Related Costs - Indiana |  | 3.4 |  |  | 12.6 |  |  | 2 years
PJM Costs and Off-system Sales Margin Sharing - Indiana |  | — |  |  | 15.1 |  |  |
Other Regulatory Assets Approved for Recovery |  | 22.9 |  |  | 18.2 |  |  | various
Total Regulatory Assets Currently Not Earning a Return |  | 165.3 |  |  | 103.9 |  |  |
Total Regulatory Assets Approved for Recovery |  | 435.9 |  |  | 407.2 |  |  |
Total Noncurrent Regulatory Assets |  | $ | 459.6 |  |  | $ | 410.9 |  |  |
|  | I&M
|  | December 31, |  | Remaining Refund Period
Regulatory Liabilities: |  | 2022 |  | 2021 |
|  | (in millions) |  |
Current Regulatory Liabilities |  |  |  |  |  |
Over-recovered Fuel Costs, Indiana - does not pay a return |  | $ | — |  |  | $ | 1.5 |  |  |
Total Current Regulatory Liabilities |  | $ | — |  |  | $ | 1.5 |  |  |
Noncurrent Regulatory Liabilities and Deferred Investment Tax Credits |  |  |  |  |  |
Regulatory liabilities pending final regulatory determination: |  |  |  |  |  |
Regulatory Liabilities Currently Paying a Return |  |  |  |  |  |
Income Taxes, Net (a) (b) |  | $ | (87.7) |  |  | $ | — |  |  |
Total Regulatory Liabilities Pending Final Regulatory Determination |  | (87.7) |  |  | — |  |  |
Regulatory liabilities approved for payment: |  |  |  |  |  |
Regulatory Liabilities Currently Paying a Return |  |  |  |  |  |
Asset Removal Costs |  | 170.7 |  |  | 179.7 |  |  | (c)
Income Taxes, Net (a) |  | 168.6 |  |  | 182.6 |  |  | (d)
Renewable Energy Surcharge - Michigan |  | 23.2 |  |  | 14.9 |  |  | 2 years
Other Regulatory Liabilities Approved for Payment |  | 3.0 |  |  | 7.0 |  |  | various
Total Regulatory Liabilities Currently Paying a Return |  | 365.5 |  |  | 384.2 |  |  |
Regulatory Liabilities Currently Not Paying a Return |  |  |  |  |  |
Excess Nuclear Decommissioning Funding |  | 1,318.5 |  |  | 1,939.7 |  |  | (e)
Spent Nuclear Fuel |  | 45.8 |  |  | 49.5 |  |  | (e)
PJM Costs and Off-system Sales Margin Sharing - Indiana |  | 34.2 |  |  | — |  |  | 2 years
Deferred Investment Tax Credits |  | 17.4 |  |  | 22.4 |  |  | 28 years
Pension OPEB Funded Status |  | — |  |  | 27.6 |  |  |
Environmental Cost Rider - Indiana |  | — |  |  | 10.6 |  |  |
Other Regulatory Liabilities Approved for Payment |  | 8.5 |  |  | 13.9 |  |  | various
Total Regulatory Liabilities Currently Not Paying a Return |  | 1,424.4 |  |  | 2,063.7 |  |  |
Total Regulatory Liabilities Approved for Payment |  | 1,789.9 |  |  | 2,447.9 |  |  |
Total Noncurrent Regulatory Liabilities and Deferred Investment Tax Credits |  | $ | 1,702.2 |  |  | $ | 2,447.9 |  |  |
(a)Predominately pays a return due to the inclusion of Excess ADIT in rate base. (b)Represents an income tax related regulatory asset, which is presented within net regulatory liabilities on the balance sheet. (c)Relieved as removal costs are incurred. (d)Refunded over the period for which the related deferred income tax reverse, which is generally based on the expected life for the underlying assets. Excess ADIT Associated with Certain Depreciable Property is refunded over the remaining depreciable life of the underlying assets. Excess ADIT that is Not Subject to Rate Normalization Requirements were $42 million and $90 million for the years ended December 31, 2022 and 2021, respectively. The remaining balance of Excess ADIT that is Not Subject to Rate Normalization Requirements as of December 31, 2022 is to be refunded over 6 years. (e)Relieved when plant is decommissioned.
|  | OPCo
|  | December 31, |  | Remaining Recovery Period
Regulatory Assets: |  | 2022 |  | 2021 |
|  | (in millions) |  |
Current Regulatory Assets |  |  |  |  |  |
Under-recovered Fuel Costs - does not earn a return |  | $ | 3.8 |  |  | $ | — |  |  | 1 year
Total Current Regulatory Assets |  | $ | 3.8 |  |  | $ | — |  |  |
Noncurrent Regulatory Assets |  |  |  |  |  |
Regulatory assets pending final regulatory approval: |  |  |  |  |  |
Regulatory Assets Currently Not Earning a Return |  |  |  |  |  |
Storm-Related Costs |  | $ | 33.8 |  |  | $ | 3.8 |  |  |
Total Regulatory Assets Pending Final Regulatory Approval |  | 33.8 |  |  | 3.8 |  |  |
Regulatory assets approved for recovery: |  |  |  |  |  |
Regulatory Assets Currently Earning a Return |  |  |  |  |  |
Ohio Distribution Decoupling |  | 19.5 |  |  | 41.6 |  |  | 2 years
Ohio Basic Transmission Cost Rider |  | 14.3 |  |  | 5.2 |  |  | 2 years
Ohio Economic Development Rider |  | 1.1 |  |  | 10.1 |  |  | 2 years
Total Regulatory Assets Currently Earning a Return |  | 34.9 |  |  | 56.9 |  |  |
Regulatory Assets Currently Not Earning a Return |  |  |  |  |  |
Pension and OPEB Funded Status |  | 142.7 |  |  | 83.3 |  |  | 12 years
Unrealized Loss on Forward Commitments |  | 40.0 |  |  | 92.1 |  |  | 10 years
Ohio Enhanced Service Reliability Plan |  | 33.3 |  |  | 9.5 |  |  | 2 years
Smart Grid Costs |  | 25.4 |  |  | 19.3 |  |  | 2 years
Postemployment Benefits |  | 6.2 |  |  | 6.2 |  |  | 3 years
PJM Load Service Entity Formula Rate True-up |  | — |  |  | 7.5 |  |  |
Other Regulatory Assets Approved for Recovery |  | 11.0 |  |  | 14.4 |  |  | various
Total Regulatory Assets Currently Not Earning a Return |  | 258.6 |  |  | 232.3 |  |  |
Total Regulatory Assets Approved for Recovery |  | 293.5 |  |  | 289.2 |  |  |
Total Noncurrent Regulatory Assets |  | $ | 327.3 |  |  | $ | 293.0 |  |  |
|  | OPCo
|  | December 31, |  | Remaining Refund Period
|  | 2022 |  | 2021 |
Regulatory Liabilities: |  | (in millions) |  |
Noncurrent Regulatory Liabilities and Deferred Investment Tax Credits |  |  |  |  |  |
Regulatory liabilities pending final regulatory determination: |  |  |  |  |  |
Regulatory Liabilities Currently Not Paying a Return |  |  |  |  |  |
Other Regulatory Liabilities Pending Final Regulatory Determination |  | $ | 0.2 |  |  | $ | 0.2 |  |  |
Total Regulatory Liabilities Pending Final Regulatory Determination |  | 0.2 |  |  | 0.2 |  |  |
Regulatory liabilities approved for payment: |  |  |  |  |  |
Regulatory Liabilities Currently Paying a Return |  |  |  |  |  |
Asset Removal Costs |  | 466.5 |  |  | 467.6 |  |  | (a)
Income Taxes, Net (b) |  | 451.9 |  |  | 480.6 |  |  | (c)
Total Regulatory Liabilities Currently Paying a Return |  | 918.4 |  |  | 948.2 |  |  |
Regulatory Liabilities Currently Not Paying a Return |  |  |  |  |  |
OVEC Purchased Power |  | 47.1 |  |  | 14.8 |  |  | 2 years
Over-recovered Fuel Costs |  | 32.2 |  |  | 15.2 |  |  | 10 years
Peak Demand Reduction/Energy Efficiency |  | 23.6 |  |  | 22.5 |  |  | 2 years
PJM Transmission Enhancement Refund |  | 14.7 |  |  | 19.6 |  |  | 3 years
Other Regulatory Liabilities Approved for Payment |  | 7.8 |  |  | 0.4 |  |  | various
Total Regulatory Liabilities Currently Not Paying a Return |  | 125.4 |  |  | 72.5 |  |  |
Total Regulatory Liabilities Approved for Payment |  | 1,043.8 |  |  | 1,020.7 |  |  |
Total Noncurrent Regulatory Liabilities and Deferred Investment Tax Credits |  | $ | 1,044.0 |  |  | $ | 1,020.9 |  |  |
(a)Relieved as removal costs are incurred. (b)Predominately pays a return due to the inclusion of Excess ADIT in rate base. (c)Refunded over the period for which the related deferred income tax reverse, which is generally based on the expected life for the underlying assets. Excess ADIT Associated with Certain Depreciable Property is refunded over the remaining depreciable life of the underlying assets. Excess ADIT that is Not Subject to Rate Normalization Requirements were $162 million and $191 million for the years ended December 31, 2022 and 2021, respectively. The remaining balance of Excess ADIT that is Not Subject to Rate Normalization Requirements as of December 31, 2022 is to be refunded over 6 years.
|  | PSO
|  | December 31, |  | Remaining Recovery Period
|  | 2022 |  | 2021 |
Regulatory Assets: |  | (in millions) |  |
Current Regulatory Assets |  |  |  |  |  |
Under-recovered Fuel Costs - earns a return |  | $ | 178.7 |  |  | $ | 194.6 |  |  | 1 year
Total Current Regulatory Assets |  | $ | 178.7 |  |  | $ | 194.6 |  |  |
Noncurrent Regulatory Assets |  |  |  |  |  |
Regulatory assets pending final regulatory approval: |  |  |  |  |  |
Regulatory Assets Currently Not Earning a Return |  |  |  |  |  |
Storm-Related Costs |  | $ | 25.5 |  |  | $ | 13.9 |  |  |
Other Regulatory Assets Pending Final Regulatory Approval |  | 0.1 |  |  | 0.3 |  |  |
Total Regulatory Assets Pending Final Regulatory Approval |  | 25.6 |  |  | 14.2 |  |  |
Regulatory assets approved for recovery: |  |  |  |  |  |
Regulatory Assets Currently Earning a Return |  |  |  |  |  |
Long-term Under-recovered Fuel Costs - Oklahoma |  | 252.7 |  |  | — |  |  | 2 years
Plant Retirement Costs - Unrecovered Plant (a) |  | 240.6 |  |  | 227.6 |  |  | 24 years
Environmental Control Projects |  | 23.9 |  |  | 25.2 |  |  | 18 years
Meter Replacement Costs |  | 18.1 |  |  | 22.2 |  |  | 5 years
Storm-Related Costs |  | 8.4 |  |  | 17.4 |  |  | 2 years
Unrecovered Winter Storm Fuel Costs |  | — |  |  | 679.3 |  |  | (b)
Other Regulatory Assets Approved for Recovery |  | 9.1 |  |  | 9.8 |  |  | various
Total Regulatory Assets Currently Earning a Return |  | 552.8 |  |  | 981.5 |  |  |
Regulatory Assets Currently Not Earning a Return |  |  |  |  |  |
Pension and OPEB Funded Status |  | 55.2 |  |  | 22.9 |  |  | 12 years
Other Regulatory Assets Approved for Recovery |  | 20.1 |  |  | 18.8 |  |  | various
Total Regulatory Assets Currently Not Earning a Return |  | 75.3 |  |  | 41.7 |  |  |
Total Regulatory Assets Approved for Recovery |  | 628.1 |  |  | 1,023.2 |  |  |
Total Noncurrent Regulatory Assets |  | $ | 653.7 |  |  | $ | 1,037.4 |  |  |
(a)Northeastern Plant, Unit 3 is approved for recovery through 2040, but expected to retire in 2026. PSO records a regulatory asset for accelerated depreciation. See “Regulated Generating Units to be Retired” section above for additional information. (b)In February 2022, the OCC approved PSO’s securitization of the Unrecovered Winter Storm Fuel Costs. In September 2022, PSO received proceeds of $687 million from the ODFA which issued ratepayer-backed securitization bonds for the purpose of reimbursing PSO for extraordinary fuel costs and purchases of electricity incurred during the February 2021 severe winter weather event, which were previously recorded as Regulatory Assets on PSO’s balance sheet. See “February 2021 Severe Winter Weather Impacts in SPP” section of PSO Rate Matters in Note 4 for additional information.
|  | PSO
|  | December 31, |  | Remaining Refund Period
|  | 2022 |  | 2021 |
Regulatory Liabilities: |  | (in millions) |  |
Noncurrent Regulatory Liabilities and Deferred Investment Tax Credits |  |  |  |  |  |
Regulatory liabilities pending final regulatory determination: |  |  |  |  |  |
Regulatory Liabilities Currently Paying a Return |  |  |  |  |  |
Income Taxes, Net (a) |  | $ | 51.3 |  |  | $ | 56.2 |  |  |
Total Regulatory Liabilities Pending Final Regulatory Determination |  | 51.3 |  |  | 56.2 |  |  |
Regulatory liabilities approved for payment: |  |  |  |  |  |
Regulatory Liabilities Currently Paying a Return |  |  |  |  |  |
Income Taxes, Net (a) |  | 380.1 |  |  | 423.8 |  |  | (b)
Asset Removal Costs |  | 316.3 |  |  | 300.2 |  |  | (c)
Total Regulatory Liabilities Currently Paying a Return |  | 696.4 |  |  | 724.0 |  |  |
Regulatory Liabilities Currently Not Paying a Return |  |  |  |  |  |
Deferred Investment Tax Credits |  | 48.2 |  |  | 50.8 |  |  | 22 years
Other Regulatory Liabilities Approved for Payment |  | 13.2 |  |  | 4.3 |  |  | various
Total Regulatory Liabilities Currently Not Paying a Return |  | 61.4 |  |  | 55.1 |  |  |
Total Regulatory Liabilities Approved for Payment |  | 757.8 |  |  | 779.1 |  |  |
Total Noncurrent Regulatory Liabilities and Deferred Investment Tax Credits |  | $ | 809.1 |  |  | $ | 835.3 |  |  |
(a)Predominately pays a return due to the inclusion of Excess ADIT in rate base. (b)Refunded over the period for which the related deferred income tax reverse, which is generally based on the expected life for the underlying assets. Excess ADIT Associated with Certain Depreciable Property is refunded over the remaining depreciable life of the underlying assets. Excess ADIT that is Not Subject to Rate Normalization Requirements were $21 million and $46 million for the years ended December 31, 2022 and 2021, respectively. The remaining balance of Excess ADIT that is Not Subject to Rate Normalization Requirements as of December 31, 2022 is to be refunded over 2 years. (c)Relieved as removal costs are incurred.
|  | SWEPCo
|  | December 31, |  | Remaining Recovery Period
|  | 2022 |  | 2021 |
Regulatory Assets: |  | (in millions) |  |
Current Regulatory Assets |  |  |  |  |  |
Under-recovered Fuel Costs - earns a return (a) |  | $ | 257.2 |  |  | $ | 81.2 |  |  | 1 year
Unrecovered Winter Storm Fuel Costs - earns a return (b) |  | 95.8 |  |  | 62.7 |  |  | 1 year
Total Current Regulatory Assets |  | $ | 353.0 |  |  | $ | 143.9 |  |  |
Noncurrent Regulatory Assets |  |  |  |  |  |
Regulatory assets pending final regulatory approval: |  |  |  |  |  |
Regulatory Assets Currently Earning a Return |  |  |  |  |  |
Pirkey Plant Accelerated Depreciation |  | $ | 116.5 |  |  | $ | 87.0 |  |  |
Welsh Plant, Units 1 and 3 Accelerated Depreciation |  | 85.6 |  |  | 45.9 |  |  |
Unrecovered Winter Storm Fuel Costs (b) |  | 84.6 |  |  | 367.5 |  |  |
Dolet Hills Power Station Fuel Costs - Louisiana |  | 32.0 |  |  | 30.9 |  |  |
Dolet Hills Power Station Accelerated Depreciation (c) |  | 9.7 |  |  | 72.3 |  |  |
Plant Retirement Costs - Unrecovered Plant, Louisiana |  | — |  |  | 35.2 |  |  |
Other Regulatory Assets Pending Final Regulatory Approval |  | 2.5 |  |  | 2.4 |  |  |
Total Regulatory Assets Currently Earning a Return |  | 330.9 |  |  | 641.2 |  |  |
Regulatory Assets Currently Not Earning a Return |  |  |  |  |  |
Storm-Related Costs - Louisiana |  | 151.5 |  |  | 148.0 |  |  |
Asset Retirement Obligation - Louisiana |  | 11.8 |  |  | 10.3 |  |  |
Other Regulatory Assets Pending Final Regulatory Approval |  | 16.0 |  |  | 18.4 |  |  |
Total Regulatory Assets Currently Not Earning a Return |  | 179.3 |  |  | 176.7 |  |  |
Total Regulatory Assets Pending Final Regulatory Approval |  | 510.2 |  |  | 817.9 |  |  |
Regulatory assets approved for recovery: |  |  |  |  |  |
Regulatory Assets Currently Earning a Return |  |  |  |  |  |
Unrecovered Winter Storm Fuel Costs (b) |  | 148.6 |  |  | — |  |  | 5 years
Pirkey Plant Accelerated Depreciation - Louisiana |  | 63.0 |  |  | — |  |  | 10 years
Plant Retirement Costs - Unrecovered Plant, Dolet Hills Power Station - Louisiana |  | 45.1 |  |  | — |  |  | 10 years
Plant Retirement Costs - Unrecovered Plant, Welsh Plant, Unit 2 - Louisiana |  | 35.2 |  |  | — |  |  | 10 years
Plant Retirement Costs - Unrecovered Plant, Arkansas |  | 13.1 |  |  | 13.7 |  |  | 20 years
Environmental Controls Projects |  | 10.0 |  |  | 11.0 |  |  | 10 years
Other Regulatory Assets Approved for Recovery |  | 6.8 |  |  | 5.2 |  |  | various
Total Regulatory Assets Currently Earning a Return |  | 321.8 |  |  | 29.9 |  |  |
Regulatory Assets Currently Not Earning a Return |  |  |  |  |  |
Pension and OPEB Funded Status |  | 96.2 |  |  | 73.8 |  |  | 12 years
Plant Retirement Costs - Unrecovered Plant, Texas |  | 51.7 |  |  | 51.9 |  |  | 24 years
Plant Retirement Costs - Unrecovered Plant, Arkansas |  | 21.1 |  |  | — |  |  | 5 years
Dolet Hills Power Station Fuel Costs - Arkansas |  | 8.9 |  |  | 13.0 |  |  | 4 years
Other Regulatory Assets Approved for Recovery |  | 32.5 |  |  | 18.8 |  |  | various
Total Regulatory Assets Currently Not Earning a Return |  | 210.4 |  |  | 157.5 |  |  |
Total Regulatory Assets Approved for Recovery |  | 532.2 |  |  | 187.4 |  |  |
Total Noncurrent Regulatory Assets |  | $ | 1,042.4 |  |  | $ | 1,005.3 |  |  |
(a)2022 amount includes Arkansas and Texas jurisdictions. 2021 amount includes Arkansas, Louisiana and Texas jurisdictions. (b)In 2022, Unrecovered Winter Storm Costs in the Arkansas and Texas jurisdictions were approved for recovery by the APSC and PUCT. As of December 31, 2022, Unrecovered Winter Storm Fuel Costs in the Louisiana jurisdiction are pending final regulatory approval with the LPSC. The current asset balance represents amounts expected to be recovered in the Arkansas, Louisiana and Texas jurisdiction over the next 12 months. See “February 2021 Severe Winter Weather Impacts in SPP” section of SWEPCo Rate Matters in Note 4 for additional information. (c)2022 amount includes the FERC jurisdiction. 2021 amounts include Arkansas, Louisiana and FERC jurisdictions.
|  | SWEPCo
|  | December 31, |  | Remaining Refund Period
|  | 2022 |  | 2021 |
Regulatory Liabilities: |  | (in millions) |  |
Current Regulatory Liabilities |  |  |  |  |  |
Over-recovered Fuel Costs - pays a return (a) |  | $ | 1.4 |  |  | $ | — |  |  |
Total Current Regulatory Liabilities |  | $ | 1.4 |  |  | $ | — |  |  |
Noncurrent Regulatory Liabilities and Deferred Investment Tax Credits |  |  |  |  |  |
Regulatory liabilities pending final regulatory determination: |  |  |  |  |  |
Regulatory Liabilities Currently Paying a Return |  |  |  |  |  |
Income Taxes, Net (b) |  | $ | 7.0 |  |  | $ | — |  |  |
Total Regulatory Liabilities Pending Final Regulatory Determination |  | 7.0 |  |  | — |  |  |
Regulatory liabilities approved for payment: |  |  |  |  |  |
Regulatory Liabilities Currently Paying a Return |  |  |  |  |  |
Asset Removal Costs |  | 481.2 |  |  | 461.3 |  |  | (c)
Income Taxes, Net (b) |  | 327.6 |  |  | 330.2 |  |  | (d)
Other Regulatory Liabilities Approved for Payment |  | 2.2 |  |  | 2.4 |  |  | various
Total Regulatory Liabilities Currently Paying a Return |  | 811.0 |  |  | 793.9 |  |  |
Regulatory Liabilities Currently Not Paying a Return |  |  |  |  |  |
Other Regulatory Liabilities Approved for Payment |  | 7.7 |  |  | 13.0 |  |  | various
Total Regulatory Liabilities Currently Not Paying a Return |  | 7.7 |  |  | 13.0 |  |  |
Total Regulatory Liabilities Approved for Payment |  | 818.7 |  |  | 806.9 |  |  |
Total Noncurrent Regulatory Liabilities and Deferred Investment Tax Credits |  | $ | 825.7 |  |  | $ | 806.9 |  |  |
(a)2022 amount includes Louisiana jurisdiction. (b)Predominately pays a return due to the inclusion of Excess ADIT in rate base. (c)Relieved as removal costs are incurred. (d)Refunded over the period for which the related deferred income tax reverse, which is generally based on the expected life for the underlying assets. Excess ADIT Associated with Certain Depreciable Property is refunded over the remaining depreciable life of the underlying assets. Excess ADIT that is Not Subject to Rate Normalization Requirements were $7 million and $7 million for the years ended December 31, 2022 and 2021, respectively. The remaining balance of Excess ADIT that is Not Subject to Rate Normalization Requirements as of December 31, 2022 is to be refunded over 1 year.

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- Definition The entire disclosure for detailed information about regulatory assets and liabilities, including current and noncurrent assets created when regulatory agencies permit the deferral of costs to the balance sheet that would otherwise be required to appear on the company's income statement and would be charged against current expenses or revenues, as well as current and noncurrent liabilities created when regulatory agencies permit. + References No definition available. + Details
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Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration