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Regulatory Assets and Liabilities
 3 Months Ended
Jun. 30, 2024
Regulatory Assets and Liabilities Disclosure [Abstract]  
Regulatory Assets and Liabilities 8.  Regulatory Assets and Liabilities
TVA records certain assets and liabilities that result from the regulated ratemaking process that would not be recorded under GAAP for non-regulated entities. As such, certain items that would generally be reported in earnings or that would impact the Consolidated Statements of Operations are recorded as regulatory assets or regulatory liabilities. Regulatory assets generally represent incurred costs that have been deferred because such costs are probable of future recovery in customer rates.  Regulatory liabilities generally represent obligations to make refunds to customers for previous collections for costs that are not likely to be incurred or deferral of gains that will be credited to customers in future periods. Components of regulatory assets and regulatory liabilities are summarized in the table below.
Regulatory Assets and Liabilities
(in millions)
 At June 30, 2024At September 30, 2023
Current regulatory assets  
Unrealized losses on commodity derivatives$122 $136 
Unrealized losses on interest rate derivatives34 31 
Fuel cost adjustment receivable22 11 
Total current regulatory assets178 178 
Non-current regulatory assets  
Non-nuclear decommissioning costs6,183 2,922 
Retirement benefit plans deferred costs1,432 1,440 
Nuclear decommissioning costs471 728 
Unrealized losses on interest rate derivatives344 272 
Environmental compliance and remediation costs169 — 
Unrealized losses on commodity derivatives59 52 
Other non-current regulatory assets151 152 
Total non-current regulatory assets8,809 5,566 
Total regulatory assets$8,987 $5,744 
Current regulatory liabilities  
Fuel cost adjustment tax equivalents$173 $201 
Unrealized gains on commodity derivatives9 21 
Total current regulatory liabilities182 222 
Non-current regulatory liabilities  
Retirement benefit plans deferred credits82 95 
Unrealized gains on commodity derivatives9 12 
Total non-current regulatory liabilities91 107 
Total regulatory liabilities$273 $329 

Non-Nuclear Decommissioning Costs. Non-nuclear decommissioning costs include (1) certain deferred charges related to the future closure and decommissioning of TVA's non-nuclear long-lived assets, (2) recognition of changes in the liability, (3) recognition of changes in the value of TVA's Asset Retirement Trust, and (4) certain other deferred charges under the accounting rules for asset retirements obligations ("AROs"). During the three months ended June 30, 2024, TVA recorded additional estimated AROs of $3.1 billion as a result of the Environmental Protection Agency's ("EPA's") final legacy CCR rule ("Legacy CCR Rule") and recorded a corresponding regulatory asset of $3.1 billion due to these AROs being associated with closed sites and asset retirement costs having been fully depreciated. See Note 11 — Asset Retirement Obligations.

Environmental Compliance and Remediation Costs. TVA uses regulatory accounting for certain amounts associated with compliance with an order, regulation, settlement, or lawsuit, or certain costs associated with environmental remediation activities, including but not limited to those involving environmental cleanup activities and groundwater activities. Costs will be recovered in rates based on the average life of debt financed to fund actual expenditures. See Note 20 — Contingencies and Legal Proceedings — Contingencies — Environmental Matters.