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Revenue Recognition
 9 Months Ended
Sep. 30, 2021
Revenue from Contract with Customer [Abstract]  
Revenue Recognition Revenue Recognition
Performance Obligations
As of September 30, 2021, estimated future fixed fee performance obligations are $158 million for the remaining three months of fiscal year 2021, and $345 million, $89 million, $37 million and $20 million for the fiscal years 2022, 2023, 2024 and 2025, respectively. Certain performance obligations relate to the fossil generating assets that are planned for sale to Generation Bridge, as further described in Note 4, Acquisitions and Dispositions. These performance obligations are for cleared auction MWs in the PJM, ISO-NE, NYISO and MISO capacity auctions and are subject to penalties for non-performance.
Disaggregated Revenues
The following tables represent the Company’s disaggregation of revenue from contracts with customers for the three and nine months ended September 30, 2021 and 2020:
Three months ended September 30, 2021
(In millions)
TexasEastWest/Services/OtherCorporate/EliminationsTotal
Retail revenue:
Home(a)
$1,776 $470 $400 $— $2,646 
Business727 2,228 350 — 3,305 
Total retail revenue2,503 2,698 750 — 5,951 
Energy revenue(b)
18 201 113 4 336 
Capacity revenue(b)
— 172 17 — 189 
Mark-to-market for economic hedging activities(c)
(1)(3)(6)13 3 
Contract amortization— (7)4 — (3)
Other revenue(b)
115 16 6 (4)133 
Total operating revenue2,635 3,077 884 13 6,609 
Less: Lease revenue— — 2 — 2 
Less: Realized and unrealized ASC 815 revenue
38 76 (8)14 120 
Less: Contract amortization— (7)4 — (3)
Total revenue from contracts with customers$2,597 $3,008 $886 $(1)$6,490 
(a) Home includes Services
(b) The following table represents the realized revenues related to derivative instruments that are accounted for under ASC 815 and included in the amounts above:
(In millions)
TexasEastWest/Services/OtherCorporate/EliminationsTotal
Energy revenue$— $38 $2 $1 $41 
Capacity revenue— 42 — — 42 
Other revenue39 (1)(4)— 34 
(c) Revenue relates entirely to unrealized gains and losses on derivative instruments accounted for under ASC 815
Three months ended September 30, 2020
(In millions)
TexasEastWest/Services/OtherCorporate/EliminationsTotal
Retail revenue:
Home(a)
$1,633 $327 $27 $— $1,987 
Business288 27 — — 315 
Total retail revenue1,921 354 27 — 2,302 
Energy revenue(b)
11 93 117 1 222 
Capacity revenue(b)
— 158 16 — 174 
Mark-to-market for economic hedging activities(c)
1 43 (10)5 39 
Other revenue(b)
59 18 (1)(4)72 
Total operating revenue1,992 666 149 2 2,809 
Less: Lease revenue— — 5 — 5 
Less: Realized and unrealized ASC 815 revenue
10 115 (10)5 120 
Total revenue from contracts with customers$1,982 $551 $154 $(3)$2,684 
(a) Home includes Services
(b) The following table represents the realized revenues related to derivative instruments that are accounted for under ASC 815 and included in the amounts above:
(In millions)
TexasEastWest/Services/OtherCorporate/EliminationsTotal
Energy revenue$— $23 $13 $(1)$35 
Capacity revenue— 49 — — 49 
Other revenue9 — (13)1 (3)
(c) Revenue relates entirely to unrealized gains and losses on derivative instruments accounted for under ASC 815
Nine months ended September 30, 2021
(In millions)TexasEastWest/Services/OtherCorporate/EliminationsTotal
Retail revenue:
Home(a)
$4,484 $1,469 $1,439 $(1)$7,391 
Business2,091 6,560 887 — 9,538 
Total retail revenue6,575 8,029 2,326 (1)16,929 
Energy revenue(c)
317 428 238 6 989 
Capacity revenue(c)
— 568 47 — 615 
Mark-to-market for economic hedging activities(d)
(5)(53)(60)19 (99)
Contract amortization— (15)(4)— (19)
Other revenue(b)(c)
1,475 45 17 (9)1,528 
Total operating revenue8,362 9,002 2,564 15 19,943 
Less: Lease revenue— 1 5 — 6 
Less: Realized and unrealized ASC 815 revenue129 193 (73)20 269 
Less: Contract amortization— (15)(4)— (19)
Total revenue from contracts with customers$8,233 $8,823 $2,636 $(5)$19,687 
(a) Home includes Services
(b) Other Revenue in Texas includes ancillary revenues of $1.2 billion driven by high pricing during Winter Storm Uri
(c) The following table represents the realized revenues related to derivative instruments that are accounted for under ASC 815 and included in the amounts above:
(In millions)
TexasEastWest/Services/OtherCorporate/EliminationsTotal
Energy revenue$— $122 $(4)$2 $120 
Capacity revenue— 119 — — 119 
Other revenue134 5 (9)(1)129 
(d) Revenue relates entirely to unrealized gains and losses on derivative instruments accounted for under ASC 815
Nine months ended September 30, 2020
(In millions)TexasEastWest/Services/OtherCorporate/EliminationsTotal
Retail revenue:
Home(a)
$3,938 $926 $66 $(1)$4,929 
Business796 70 — — 866 
Total retail revenue4,734 996 66 (1)5,795 
Energy revenue(b)
21 157 252 (1)429 
Capacity revenue(b)
— 471 47 — 518 
Mark-to-market for economic hedging activities(c)
1 63 6 8 78 
Other revenue(b)
172 45 36 (7)246 
Total operating revenue4,928 1,732 407 (1)7,066 
Less: Lease revenue— 1 14 — 15 
Less: Realized and unrealized ASC 815 revenue24 239 50 5 318 
Total revenue from contracts with customers$4,904 $1,492 $343 $(6)$6,733 
(a) Home includes Services
(b) The following table represents the realized revenues related to derivative instruments that are accounted for under ASC 815 and included in the amounts above:
(In millions)
TexasEastWest/Services/OtherCorporate/EliminationsTotal
Energy revenue$— $60 $42 $(3)$99 
Capacity revenue— 114 — — 114 
Other revenue23 2 2 — 27 
(c) Revenue relates entirely to unrealized gains and losses on derivative instruments accounted for under ASC 815
Contract Balances
The following table reflects the contract assets and liabilities included in the Company’s balance sheet as of September 30, 2021 and December 31, 2020:
(In millions)
September 30, 2021December 31, 2020
Deferred customer acquisition costs$124 $113 
Accounts receivable, net - Contracts with customers2,955 866 
Accounts receivable, net - Derivative instruments136 33 
Accounts receivable, net - Affiliate5 5 
Total accounts receivable, net $3,096 $904 
Unbilled revenues (included within Accounts receivable, net - Contracts with customers)$1,268 $393 
Deferred revenues(a)
312 60 
(a) Deferred revenues from contracts with customers for the nine months ended September 30, 2021 and the year ended December 31, 2020 were approximately $303 million and $31 million, respectively
The revenue recognized from contracts with customers during the nine months ended September 30, 2021 and 2020 relating to the deferred revenue balance at the beginning of each period was $23 million and $13 million, respectively. The revenue recognized from contracts with customers during the three months ended September 30, 2021 and 2020 relating to the deferred revenue balance at the beginning of each period was $162 million and $31 million, respectively. The change in deferred revenue balances during the three and nine months ended September 30, 2021 and 2020 was primarily due to bill credits owed to certain C&I customers, a portion of which is long-term, as a result of power pricing during Winter Storm Uri and the timing difference of when consideration was received and when the performance obligation was transferred.