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Variable Interest Entities
 9 Months Ended
Sep. 30, 2025
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
Variable Interest Entities

Note 15. Variable Interest Entities

There have been no significant changes regarding the entities the Companies consider VIEs as described in Note 16 to the Consolidated Financial Statements in the Companies’ Annual Report on Form 10-K for the year ended December 31, 2024.

Virginia Power

Virginia Power purchased shared services from DES, an affiliated VIE, of $145 million and $125 million for the three months ended September 30, 2025 and 2024, respectively, and $442 million and $368 million for the nine months ended September 30, 2025 and 2024, respectively. Virginia Power’s Consolidated Balance Sheets include amounts due to DES of $43 million and $38 million at September 30, 2025 and December 31, 2024, respectively, recorded in payables to affiliates.

As described in Note 18 of the Companies’ Annual Report on Form 10-K for the year ended December 31, 2024, Virginia Power formed VPFS in October 2023, a wholly-owned special purpose subsidiary which is considered to be a VIE, for the sole purpose of securitizing certain of Virginia Power’s under-recovered deferred fuel balance through the issuance of senior secured deferred fuel cost bonds. The Companies’ Consolidated Balance Sheets included balances for VPFS as follows:

 

 

September 30, 2025

 

 

December 31, 2024

 

(millions)

 

 

 

 

 

 

Assets

 

 

 

 

 

 

Prepayments(1)

 

$

—

 

 

$

—

 

Regulatory assets-current

 

 

118

 

 

 

124

 

Other current assets(2)

 

 

115

 

 

 

41

 

Regulatory assets-noncurrent

 

 

912

 

 

 

1,040

 

    Total assets

 

$

1,145

 

 

$

1,205

 

Liabilities

 

 

 

 

 

 

Securities due within one
    year

 

$

167

 

 

$

163

 

Accrued interest, payroll
    and taxes

 

 

25

 

 

 

10

 

Securitization bonds

 

 

969

 

 

 

1,054

 

    Total liabilities

 

$

1,161

 

 

$

1,227

 
(1)
Prepayments are presented in other current assets in Virginia Power’s Consolidated Balance Sheets.
(2)
See Note 2 for additional information about restricted cash and equivalents at VPFS.

As described in Note 10 of the Companies’ Annual Report on Form 10-K for the year ended December 31, 2024, in October 2024 Virginia Power completed the sale of a 50% noncontrolling interest in the CVOW Commercial Project to Stonepeak through the sale of an interest in OSWP, which is considered to be a VIE. The Companies’ Consolidated Balance Sheets included balances for OSWP as follows:

 

 

September 30, 2025

 

 

December 31, 2024

 

(millions)

 

 

 

 

 

 

Assets

 

 

 

 

 

 

Cash and cash equivalents

 

$

192

 

 

$

70

 

Customer receivables

 

 

—

 

 

 

—

 

Prepayments(1)

 

 

—

 

 

 

10

 

Regulatory assets-current

 

 

21

 

 

 

6

 

Property, plant and equipment

 

 

7,934

 

 

 

5,844

 

Regulatory assets-noncurrent

 

 

118

 

 

 

52

 

Other deferred charges and
    other assets

 

 

4

 

 

 

—

 

       Total assets

 

$

8,269

 

 

$

5,982

 

Liabilities

 

 

 

 

 

 

Accounts payable

 

$

1

 

 

$

—

 

Accrued interest, payroll
    and taxes

 

 

1

 

 

 

—

 

Other current liabilities

 

 

7

 

 

 

—

 

Asset retirement obligations-
    noncurrent(2)

 

 

167

 

 

 

38

 

Other deferred credits and
    other liabilities

 

 

—

 

 

 

—

 

       Total liabilities

 

$

176

 

 

$

38

 
(1)
Prepayments are presented in other current assets in Virginia Power’s Consolidated Balance Sheets.
(2)
Asset retirement obligation-noncurrent are presented in other deferred credits and other liabilities in the Companies’ Consolidated Balance Sheets.