v3.24.3
Derivative Instruments and Hedging Activities (Tables)
 9 Months Ended
Sep. 30, 2024
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Schedule of Net Notional Volume Buy/(Sell) of the Company’s Open Derivative Transactions Broken Out by Commodity
The following table summarizes the net notional volume buy/(sell) of the Company’s open derivative transactions broken out by commodity:
Total Volume
September 30, 2024December 31, 2023
CommodityUnits(In millions)
PowerMWh(18)(23)
Natural Gas MMBtu13 17 
InterestDollars$1,711 $2,467 
Schedule of Fair Value Within the Derivative Instrument Valuation on the Balance Sheets
The following table summarizes the fair value within the derivative instrument valuation on the consolidated balance sheets:
 Fair Value
 Derivative AssetsDerivative Liabilities
September 30, 2024December 31, 2023September 30, 2024December 31, 2023
(In millions)
Derivatives Designated as Cash Flow Hedges:    
Interest rate contracts current$4 $7 $— $— 
Interest rate contracts long-term10 12 2 2 
Total Derivatives Designated as Cash Flow Hedges$14 $19 $2 $2 
Derivatives Not Designated as Cash Flow Hedges: 
Interest rate contracts current$23 $33 $— $— 
Interest rate contracts long-term60 69 1 — 
Energy-related commodity contracts current7 1 51 51 
Energy-related commodity contracts long-term— 1 276 279 
Total Derivatives Not Designated as Cash Flow Hedges$90 $104 $328 $330 
Total Derivatives$104 $123 $330 $332 
Schedule of Offsetting of Derivatives by Counterparty Master Agreement Level and Collateral Received or Paid The following tables summarize the offsetting of derivatives by counterparty:
Gross Amounts Not Offset in the Statement of Financial Position
As of September 30, 2024Gross Amounts of Recognized Assets/LiabilitiesDerivative InstrumentsNet Amount
Energy-related commodity contracts(In millions)
Derivative assets$7 $— $7 
Derivative liabilities(327)— (327)
Total energy-related commodity contracts$(320)$— $(320)
Interest rate contracts
Derivative assets$97 $(2)$95 
Derivative liabilities(3)2 (1)
Total interest rate contracts$94 $— $94 
Total derivative instruments $(226)$— $(226)
Gross Amounts Not Offset in the Statement of Financial Position
As of December 31, 2023Gross Amounts of Recognized Assets/LiabilitiesDerivative InstrumentsNet Amount
Energy-related commodity contracts(In millions)
Derivative assets$2 $— $2 
Derivative liabilities(330)— (330)
Total energy-related commodity contracts$(328)$— $(328)
Interest rate contracts
Derivative assets$121 $(2)$119 
Derivative liabilities(2)2 — 
Total interest rate contracts$119 $— $119 
Total derivative instruments$(209)$— $(209)
Schedule of Effects of Company’s AOCI Balance Attributable to Interest Rate Swaps Designated as Cash Flow Hedge Derivatives, Net of Tax
The following table summarizes the effects on the Company’s accumulated OCI balance attributable to interest rate swaps designated as cash flow hedge derivatives, net of tax:
Three months ended September 30,Nine months ended September 30,
2024202320242023
(In millions)
Accumulated OCI beginning balance$18 $24 $18 $24 
Reclassified from accumulated OCI to income due to realization of previously deferred amounts(1)(1)(3)(2)
Mark-to-market of cash flow hedge accounting contracts(12)9 (10)10 
Accumulated OCI ending balance, net of income tax expense of $—, $4, $— and $4, respectively
5 32 5 32 
Accumulated OCI attributable to noncontrolling interests4 21 4 21 
Accumulated OCI attributable to Clearway Energy, Inc.$1 $11 $1 $11 
Gains expected to be realized from OCI during the next 12 months, net of income tax expense of $1
$2 $2 
Schedule of Derivative Gains and Losses
Mark-to-market gains/(losses) related to the Company’s derivatives are recorded in the consolidated statements of income as follows:
Three months ended September 30,Nine months ended September 30,
2024202320242023
(In millions)
Interest Rate Contracts (Interest expense)$(57)$33 $(33)$34 
Energy-Related Commodity Contracts (Mark-to-market for economic hedging activities included in Total operating revenues) (a)
72 (22)11 28 
Energy-Related Commodity Contracts (Mark-to-market for economic hedging activities included in Cost of operations) (b)
— 3 (3)3 
(a) Relates to long-term energy related commodity contracts at Elbow Creek, Mesquite Star, Mt. Storm, Langford and Mesquite Sky and short-term heat rate call option energy-related commodity contracts at El Segundo, Marsh Landing and Walnut Creek.
(b) Relates to long-term backbone transportation service energy-related commodity contracts at El Segundo and Walnut Creek.