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Fair Value of Financial Instruments (Tables) | 6 Months Ended
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Jun. 30, 2025
Fair Value Disclosures [Abstract] |
Estimated carrying amounts and fair values of NRG's recorded financial instruments not carried at fair market value | The estimated carrying value and fair value of the Company's long-term debt, including current portion, is as follows:
| June 30, 2025 |  | December 31, 2024
(In millions) | Carrying Amount |  | Fair Value |  | Carrying Amount |  | Fair Value
Convertible Senior Notes(a) | $ | 232 |  |  | $ | 910 |  |  | $ | 232 |  |  | $ | 509 |
Other long-term debt, including current portion | 10,777 |  |  | 10,649 |  |  | 10,648 |  |  | 10,252 |
Total long-term debt, including current portion(b) | $ | 11,009 |  |  | $ | 11,559 |  |  | $ | 10,880 |  |  | $ | 10,761 |
(a)The Company settled all of the outstanding Convertible Senior Notes as of July 8, 2025. For further discussion, see Note 7, Long-term Debt and Finance Leases (b)Excludes deferred financing costs, which are recorded as a reduction to long-term debt in the Company's consolidated balance sheets The following table presents the level within the fair value hierarchy for long-term debt, including current portion, as of June 30, 2025 and December 31, 2024:
| June 30, 2025 |  | December 31, 2024
(In millions) | Level 2 |  | Level 3 |  | Level 2 |  | Level 3
Convertible Senior Notes | $ | 910 |  |  | $ | — |  |  | $ | 509 |  |  | $ | — |
Other long-term debt, including current portion | 10,514 |  |  | 135 |  |  | 10,252 |  |  | — |
Total long-term debt, including current portion | $ | 11,424 |  |  | $ | 135 |  |  | $ | 10,761 |  |  | $ | — |
Assets and liabilities measured and recorded at fair value on the consolidated balance sheets on a recurring basis | The following tables present assets and liabilities measured and recorded at fair value on the Company's condensed consolidated balance sheets on a recurring basis and their level within the fair value hierarchy:
| June 30, 2025
| Fair Value
(In millions) | Total |  | Level 1 |  | Level 2 |  | Level 3
Investments in securities (classified within other current and non-current assets) | $ | 28 |  |  | $ | — |  |  | $ | 28 |  |  | $ | — |
Derivative assets: |  |  |  |  |  |  |
Foreign exchange contracts | 3 |  |  | — |  |  | 3 |  |  | — |
Commodity contracts(a) | 3,213 |  |  | 490 |  |  | 2,413 |  |  | 310 |
Equity securities measured using net asset value practical expedient (classified within other non-current assets) | 7 |  |  |  |  |  |  |
Total assets | $ | 3,251 |  |  | $ | 490 |  |  | $ | 2,444 |  |  | $ | 310 |
Derivative liabilities: |  |  |  |  |  |  |
Interest rate contracts | $ | 7 |  |  | $ | — |  |  | $ | 7 |  |  | $ | — |
Foreign exchange contracts | 3 |  |  | — |  |  | 3 |  |  | — |
Commodity contracts(a) | 2,815 |  |  | 362 |  |  | 2,224 |  |  | 229 |
Consumer Financing Program | 257 |  |  | — |  |  | — |  |  | 257 |
Total liabilities | $ | 3,082 |  |  | $ | 362 |  |  | $ | 2,234 |  |  | $ | 486 |
(a)Excludes $861 million of derivative assets and $145 million of derivative liabilities that were elected as NPNS on October 1, 2024 and are no longer valued at fair value on a recurring basis. For further discussion, see Note 6, Accounting for Derivative Instruments and Hedging Activities
| December 31, 2024
| Fair Value
(In millions) | Total |  | Level 1 |  | Level 2 |  | Level 3
Investments in securities (classified within other current and non-current assets) | $ | 28 |  |  | $ | — |  |  | $ | 28 |  |  | $ | — |
Derivative assets: |  |  |  |  |  |  |
Interest rate contracts | 9 |  |  | — |  |  | 9 |  |  | — |
Foreign exchange contracts | 22 |  |  | — |  |  | 22 |  |  | — |
Commodity contracts(a) | 3,368 |  |  | 528 |  |  | 2,645 |  |  | 195 |
Equity securities measured using net asset value practical expedient (classified within other non-current assets) | 6 |  |  |  |  |  |  |
Total assets | $ | 3,433 |  |  | $ | 528 |  |  | $ | 2,704 |  |  | $ | 195 |
Derivative liabilities: |  |  |  |  |  |  |
Interest rate contracts | $ | 3 |  |  | $ | — |  |  | $ | 3 |  |  | $ | — |
Foreign exchange contracts | 1 |  |  | — |  |  | 1 |  |  | — |
Commodity contracts(a) | 2,970 |  |  | 432 |  |  | 2,382 |  |  | 156 |
Consumer Financing Program | 203 |  |  | — |  |  | — |  |  | 203 |
Total liabilities | $ | 3,177 |  |  | $ | 432 |  |  | $ | 2,386 |  |  | $ | 359 |
(a)Excludes $997 million of derivative assets and $227 million of derivative liabilities that were elected as NPNS on October 1, 2024 and are no longer valued at fair value on a recurring basis. For further discussion, see Note 6, Accounting for Derivative Instruments and Hedging Activities
Reconciliation of beginning and ending balances for financial instruments that are recognized at fair value in the consolidated financial statements at least annually using significant unobservable inputs | The following table reconciles, for the three and six months ended June 30, 2025 and 2024, the beginning and ending balances for financial instruments that are recognized at fair value in the condensed consolidated financial statements, using significant unobservable inputs, for commodity derivatives:
| Fair Value Measurement Using Significant Unobservable Inputs (Level 3)
| Commodity Derivatives(a)
(In millions) | Three months ended June 30, 2025 |  | Three months ended June 30, 2024 |  | Six months ended June 30, 2025 |  | Six months ended June 30, 2024
Beginning balance | $ | 49 |  |  | $ | 91 |  |  | $ | 39 |  |  | $ | 119 |
Contracts added from Texas Generation Portfolio acquisition | (91) |  |  | — |  |  | (91) |  |  | — |
Total gains/(losses) realized/unrealized included in earnings | 22 |  |  | 4 |  |  | 34 |  |  | (37) |
Purchases | 37 |  |  | 31 |  |  | 37 |  |  | 31 |
Transfers into Level 3(b) | 63 |  |  | 2 |  |  | 63 |  |  | 17 |
Transfers out of Level 3(b) | 1 |  |  | (7) |  |  | (1) |  |  | (9) |
Ending balance | $ | 81 |  |  | $ | 121 |  |  | $ | 81 |  |  | $ | 121 |
Gains/(losses) for the period included in earnings attributable to the change in unrealized gains or losses relating to assets or liabilities still held as of period end | $ | 5 |  |  | $ | 8 |  |  | $ | 47 |  |  | $ | (29) |
(a)Consists of derivative assets and liabilities, net, excluding derivatives liabilities from the Consumer Financing Program, which are presented in a separate table below (b)Transfers into/out of Level 3 within the fair value hierarchy are related to the availability of consensus pricing and external broker quotes, including volatilities, and are valued as of the end of the reporting period. All transfers in/out of Level 3 are from/to Level 2
Reconciliation of contractual obligations of Consumer Financing Program recognized at fair value | The following table reconciles, for the three and six months ended June 30, 2025 and 2024, the beginning and ending balances of the contractual obligations from the Consumer Financing Program that are recognized at fair value in the condensed consolidated financial statements, using significant unobservable inputs:
| Fair Value Measurement Using Significant Unobservable Inputs (Level 3)
| Consumer Financing Program
(In millions) | Three months ended June 30, 2025 |  | Three months ended June 30, 2024 |  | Six months ended June 30, 2025 |  | Six months ended June 30, 2024
Beginning balance | $ | (207) |  |  | $ | (124) |  |  | $ | (203) |  |  | $ | (134) |
New contractual obligations | (81) |  |  | (43) |  |  | (113) |  |  | (58) |
Settlements | 31 |  |  | 22 |  |  | 67 |  |  | 43 |
Total losses included in earnings | — |  |  | (6) |  |  | (8) |  |  | (2) |
Ending balance | $ | (257) |  |  | $ | (151) |  |  | $ | (257) |  |  | $ | (151) |
Significant unobservable inputs used developing fair values, Quantitative Information | The following tables quantify the significant, unobservable inputs used in developing the fair value of the Company's Level 3 positions as of June 30, 2025 and December 31, 2024:
| June 30, 2025
| Fair Value |  |  |  | Input/Range
(In millions, except as noted) | Assets |  | Liabilities |  | Valuation Technique |  | Significant Unobservable Input |  | Low |  | High |  | Weighted Average
Natural Gas Contracts | $ | 32 |  |  | $ | 9 |  |  | Discounted Cash Flow |  | Forward Market Price ($ per MMBtu) |  | $ | 1 |  |  | $ | 18 |  |  | $ | 4 |
Power Contracts | 128 |  |  | 66 |  |  | Discounted Cash Flow |  | Forward Market Price ($ per MWh) |  | 2 |  |  | 123 |  |  | 36 |
Capacity Contracts | 27 |  |  | 9 |  |  | Discounted Cash Flow |  | Forward Market Price ($ per MW/Day) |  | 16 |  |  | 524 |  |  | 218 |
RECs | 18 |  |  | 38 |  |  | Discounted Cash Flow |  | Forward Market Price ($ per Certificate) |  | 2 |  |  | 380 |  |  | 15 |
FTRs | 24 |  |  | 12 |  |  | Discounted Cash Flow |  | Auction Prices ($ per MWh) |  | (36,281) |  |  | 3,011 |  |  | 0 |
Power Options | 81 |  |  | 95 |  |  | Option Models |  | Volatilities |  | 24 | % |  | 774 | % |  | 126 | %
Consumer Financing Program | — |  |  | 257 |  |  | Discounted Cash Flow |  | Collateral Default Rates |  | 0.75 | % |  | 49.78 | % |  | 8.47 | %
|  |  |  |  | Discounted Cash Flow |  | Collateral Prepayment Rates |  | 2.00 | % |  | 3.00 | % |  | 2.62 | %
|  |  |  |  | Discounted Cash Flow |  | Credit Loss Rates |  | 6.30 | % |  | 60.00 | % |  | 16.53 | %
| $ | 310 |  |  | $ | 486 |  |  |  |  |  |  |  |  |  |  |
| December 31, 2024
| Fair Value |  |  |  | Input/Range
(In millions, except as noted) | Assets |  | Liabilities |  | Valuation Technique |  | Significant Unobservable Input |  | Low |  | High |  | Weighted Average
Natural Gas Contracts | $ | 56 |  |  | $ | 15 |  |  | Discounted Cash Flow |  | Forward Market Price ($ per MMBtu) |  | $ | 2 |  |  | $ | 27 |  |  | $ | 4 |
Power Contracts | 57 |  |  | 86 |  |  | Discounted Cash Flow |  | Forward Market Price ($ per MWh) |  | 0 |  |  | 109 |  |  | 39 |
Capacity Contracts | 34 |  |  | 13 |  |  | Discounted Cash Flow |  | Forward Market Price ($ per MW/Day) |  | 16 |  |  | 510 |  |  | 220 |
RECs | 30 |  |  | 14 |  |  | Discounted Cash Flow |  | Forward Market Price ($ per Certificate) |  | 2 |  |  | 375 |  |  | 15 |
FTRs | 18 |  |  | 28 |  |  | Discounted Cash Flow |  | Auction Prices ($ per MWh) |  | (50) |  |  | 16,180 |  |  | 0 |
Consumer Financing Program | — |  |  | 203 |  |  | Discounted Cash Flow |  | Collateral Default Rates |  | 0.52 | % |  | 76.80 | % |  | 11.71 | %
|  |  |  |  | Discounted Cash Flow |  | Collateral Prepayment Rates |  | 2.00 | % |  | 3.00 | % |  | 2.83 | %
|  |  |  |  | Discounted Cash Flow |  | Credit Loss Rates |  | 6.00 | % |  | 60.00 | % |  | 14.22 | %
| $ | 195 |  |  | $ | 359 |  |  |  |  |  |  |  |  |  |  |
Fair value inputs, sensitivity analysis | The following table provides sensitivity of fair value measurements to increases/(decreases) in significant, unobservable inputs as of June 30, 2025 and December 31, 2024:
Significant Unobservable Input |  | Position |  | Change In Input |  | Impact on Fair Value Measurement
Forward Market Price Natural Gas/Power/Capacity/RECs |  | Buy |  | Increase/(Decrease) |  | Higher/(Lower)
Forward Market Price Natural Gas/Power/Capacity/RECs |  | Sell |  | Increase/(Decrease) |  | Lower/(Higher)
FTR Prices |  | Buy |  | Increase/(Decrease) |  | Higher/(Lower)
FTR Prices |  | Sell |  | Increase/(Decrease) |  | Lower/(Higher)
Volatilities |  | Buy |  | Increase/(Decrease) |  | Higher/(Lower)
Volatilities |  | Sell |  | Increase/(Decrease) |  | Lower/(Higher)
Collateral Default Rates |  | n/a |  | Increase/(Decrease) |  | Higher/(Lower)
Collateral Prepayment Rates |  | n/a |  | Increase/(Decrease) |  | Lower/(Higher)
Credit Loss Rates |  | n/a |  | Increase/(Decrease) |  | Higher/(Lower)
Net counterparty credit exposure by industry sector and by counterparty credit quality | The following tables highlight net counterparty credit exposure by industry sector and by counterparty credit quality. Net counterparty credit exposure is defined as the aggregate net asset position for NRG with counterparties where netting is permitted under the enabling agreement and includes all cash flow, mark-to-market and NPNS, and non-derivative transactions. The exposure is shown net of collateral held and includes amounts net of receivables or payables.
| Net Exposure(a)(b)
Category by Industry Sector | (% of Total)
Utilities, energy merchants, marketers and other | 69 | %
Financial institutions | 31 |
Total as of June 30, 2025 | 100 | %
| Net Exposure (a)(b)
Category by Counterparty Credit Quality | (% of Total)
Investment grade | 64 | %
Non-investment grade/Non-Rated | 36 |
Total as of June 30, 2025 | 100 | %
(a)Counterparty credit exposure excludes coal transportation contracts because of the unavailability of market prices (b)The figures in the tables above exclude potential counterparty credit exposure related to RTOs, ISOs, registered commodity exchanges and certain long-term contracts

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- Definition Tabular disclosure of input and valuation technique used to measure fair value and change in valuation approach and technique for each separate class of asset and liability measured on recurring and nonrecurring basis. + References Reference 1: http://www.xbrl.org/2003/role/disclosureRef -Topic 820 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 2 -Subparagraph (bbb)(1) -Publisher FASB -URI https://asc.fasb.org/1943274/2147482106/820-10-50-2 Reference 2: http://www.xbrl.org/2003/role/exampleRef -Topic 820 -SubTopic 10 -Name Accounting Standards Codification -Section 55 -Paragraph 103 -Publisher FASB -URI https://asc.fasb.org/1943274/2147482078/820-10-55-103 Reference 3: http://www.xbrl.org/2003/role/disclosureRef -Topic 820 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 2 -Subparagraph (bbb)(2) -Publisher FASB -URI https://asc.fasb.org/1943274/2147482106/820-10-50-2 + Details
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- Definition Tabular disclosure of the fair value measurement of assets using significant unobservable inputs (Level 3), a reconciliation of the beginning and ending balances, separately presenting changes during the period attributable to the following: (1) total gains or losses for the period (realized and unrealized), segregating those gains or losses included in earnings (or changes in net assets) and gains or losses recognized in other comprehensive income (loss), and a description of where those gains or losses included in earnings (or changes in net assets) are reported in the statement of income (or activities); (2) purchases, sales, issues, and settlements (each type disclosed separately); and (3) transfers in and transfers out of Level 3 (for example, transfers due to changes in the observability of significant inputs), by class of asset. + References Reference 1: http://www.xbrl.org/2003/role/exampleRef -Topic 820 -SubTopic 10 -Name Accounting Standards Codification -Section 55 -Paragraph 101 -Publisher FASB -URI https://asc.fasb.org/1943274/2147482078/820-10-55-101 Reference 2: http://www.xbrl.org/2003/role/disclosureRef -Topic 820 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 3 -Subparagraph (b) -Publisher FASB -URI https://asc.fasb.org/1943274/2147482106/820-10-50-3 Reference 3: http://www.xbrl.org/2003/role/disclosureRef -Topic 820 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 2 -Subparagraph (d) -Publisher FASB -URI https://asc.fasb.org/1943274/2147482106/820-10-50-2 Reference 4: http://www.xbrl.org/2003/role/disclosureRef -Topic 820 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 2 -Subparagraph (c) -Publisher FASB -URI https://asc.fasb.org/1943274/2147482106/820-10-50-2 + Details
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- Definition Tabular disclosure of the fair value measurement of liabilities using significant unobservable inputs (Level 3), a reconciliation of the beginning and ending balances, separately presenting changes attributable to the following: (1) total gains or losses for the period (realized and unrealized), segregating those gains or losses included in earnings (or changes in net assets), and gains or losses recognized in other comprehensive income (loss) and a description of where those gains or losses included in earnings (or changes in net assets) are reported in the statement of income (or activities); (2) purchases, sales, issues, and settlements (each type disclosed separately); and (3) transfers in and transfers out of Level 3 (for example, transfers due to changes in the observability of significant inputs) by class of liability. + References Reference 1: http://www.xbrl.org/2003/role/disclosureRef -Topic 820 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 3 -Subparagraph (b) -Publisher FASB -URI https://asc.fasb.org/1943274/2147482106/820-10-50-3 Reference 2: http://www.xbrl.org/2003/role/disclosureRef -Topic 820 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 2 -Subparagraph (d) -Publisher FASB -URI https://asc.fasb.org/1943274/2147482106/820-10-50-2 Reference 3: http://www.xbrl.org/2003/role/disclosureRef -Topic 820 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 2 -Subparagraph (c) -Publisher FASB -URI https://asc.fasb.org/1943274/2147482106/820-10-50-2 + Details
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- Definition Tabular disclosure of assets and liabilities, including [financial] instruments measured at fair value that are classified in stockholders' equity, if any, that are measured at fair value on a recurring basis. The disclosures contemplated herein include the fair value measurements at the reporting date by the level within the fair value hierarchy in which the fair value measurements in their entirety fall, segregating fair value measurements using quoted prices in active markets for identical assets (Level 1), significant other observable inputs (Level 2), and significant unobservable inputs (Level 3). + References Reference 1: http://www.xbrl.org/2009/role/commonPracticeRef -Topic 820 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 2 -Subparagraph (b) -Publisher FASB -URI https://asc.fasb.org/1943274/2147482106/820-10-50-2 Reference 2: http://www.xbrl.org/2009/role/commonPracticeRef -Topic 820 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 2 -Subparagraph (a) -Publisher FASB -URI https://asc.fasb.org/1943274/2147482106/820-10-50-2 + Details
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