XML 45 R25.htm IDEA: XBRL DOCUMENT v3.25.0.1
Leases
 12 Months Ended
Dec. 31, 2024
Leases [Abstract]  
Leases LEASES
The Corporation and its subsidiaries lease office facilities, utility equipment, land, and communication tower space with remaining terms of up to 23 years, with optional renewal terms. Certain lease agreements include rental payments adjusted periodically for inflation or require the payment of real estate taxes, insurance, maintenance, or other operating expenses associated with the leased premises.

The Corporation's subsidiaries also have finance leases related to generating facilities with remaining terms of up to 31 years.

Leases were presented on the consolidated balance sheets as follows.
($ millions)20242023 
Operating leases
Other assets64 51 
Accounts payable and other current liabilities(17)(12)
Other liabilities(47)(39)
Finance leases (1)
Regulatory assets142 137 
PPE, net205 205 
Accounts payable and other current liabilities(4)(3)
Finance leases(343)(339)
(1)    FortisBC Electric has a finance lease for the BPPA (Note 8), which relates to the sale of the output of the Brilliant hydroelectric plant, and for the Brilliant Terminal Station ("BTS"), which relates to the use of the station. Both agreements expire in 2056. In exchange for the specified take-or-pay amounts of power, the BPPA requires semi-annual payments based on a return on capital, which includes the original and ongoing capital cost, and related variable power purchase costs. The BTS requires semi-annual payments based on a charge related to the recovery of the capital cost of the BTS, and related variable operating costs.
The components of lease expense were as follows.

($ millions)20242023 
Operating lease cost19 12 
Finance lease cost:
Amortization2 3 
Interest33 33 
Variable lease cost21 23 
Total lease cost75 71 

As at December 31, 2024, the present value of minimum lease payments was as follows.
($ millions)Operating
Leases		Finance
Leases		Total
202518 37 55 
202615 37 52 
202712 37 49 
20286 37 43 
20294 37 41 
Thereafter19 954 973 
74 1,139 1,213 
Less: Imputed interest(10)(792)(802)
Total lease obligations64 347 411 
Less: Current installments(17)(4)(21)
47 343 390 
Supplemental lease information follows.
($ millions, except as indicated)2024 2023 
Weighted average remaining lease term (years)
Operating leases77
Finance leases3132
Weighted average discount rate (%)
Operating leases4.6 4.5 
Finance leases5.0 5.0 
Leases LEASES
The Corporation and its subsidiaries lease office facilities, utility equipment, land, and communication tower space with remaining terms of up to 23 years, with optional renewal terms. Certain lease agreements include rental payments adjusted periodically for inflation or require the payment of real estate taxes, insurance, maintenance, or other operating expenses associated with the leased premises.

The Corporation's subsidiaries also have finance leases related to generating facilities with remaining terms of up to 31 years.

Leases were presented on the consolidated balance sheets as follows.
($ millions)20242023 
Operating leases
Other assets64 51 
Accounts payable and other current liabilities(17)(12)
Other liabilities(47)(39)
Finance leases (1)
Regulatory assets142 137 
PPE, net205 205 
Accounts payable and other current liabilities(4)(3)
Finance leases(343)(339)
(1)    FortisBC Electric has a finance lease for the BPPA (Note 8), which relates to the sale of the output of the Brilliant hydroelectric plant, and for the Brilliant Terminal Station ("BTS"), which relates to the use of the station. Both agreements expire in 2056. In exchange for the specified take-or-pay amounts of power, the BPPA requires semi-annual payments based on a return on capital, which includes the original and ongoing capital cost, and related variable power purchase costs. The BTS requires semi-annual payments based on a charge related to the recovery of the capital cost of the BTS, and related variable operating costs.
The components of lease expense were as follows.

($ millions)20242023 
Operating lease cost19 12 
Finance lease cost:
Amortization2 3 
Interest33 33 
Variable lease cost21 23 
Total lease cost75 71 

As at December 31, 2024, the present value of minimum lease payments was as follows.
($ millions)Operating
Leases		Finance
Leases		Total
202518 37 55 
202615 37 52 
202712 37 49 
20286 37 43 
20294 37 41 
Thereafter19 954 973 
74 1,139 1,213 
Less: Imputed interest(10)(792)(802)
Total lease obligations64 347 411 
Less: Current installments(17)(4)(21)
47 343 390 
Supplemental lease information follows.
($ millions, except as indicated)2024 2023 
Weighted average remaining lease term (years)
Operating leases77
Finance leases3132
Weighted average discount rate (%)
Operating leases4.6 4.5 
Finance leases5.0 5.0