Company: AILIM
Filing Date: 2025-02-18
Form Type: 10-K
Source: 0001002910-25-000055
Chunk: 259

Company: Ameren Illinois Co
Filing Date: 2025-02-18
Form: 10-K
Item: Item 7
Chunk 259
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Natural Gas Purchased for Resale

The following table presents the increases (decreases) by Ameren segment for natural gas purchased for resale in 2024, compared with 2023:

2024 versus 2023Ameren MissouriAmeren IllinoisElectric DistributionAmeren IllinoisNatural GasAmeren TransmissionOther /Intersegment EliminationsAmerenNatural gas purchased for resale change:Effect of weather (estimate)(a)$1 $— $— $— $— $1 Cost recovery mechanisms – offset in natural gas revenue(b)(20)— (16)— — (36)Total natural gas purchased for resale change$(19)$— $(16)$— $— $(35)

(a)Represents the estimated variation resulting primarily from changes in heating degree-days on natural gas demand compared with the prior year; this variation is based on temperature readings from the National Oceanic and Atmospheric Administration weather stations at local airports in our service territories.

(b)Natural gas purchased for resale changes are offset by corresponding changes in “Natural gas revenues” on the statement of income. These items have no overall impact on earnings.

Ameren

Ameren Missouri and Ameren Illinois are allowed to pass on to customers prudently incurred costs for natural gas purchased for resale. Ameren’s natural gas purchased for resale expenses decreased $35 million, or 10%, in 2024, compared with 2023, due to decreased natural gas purchased for resale expenses at Ameren Missouri and Ameren Illinois Natural Gas, as discussed below.

Ameren Missouri

Ameren Missouri’s natural gas purchased for resale expenses decreased $19 million, or 24%, in 2024, compared with 2023. Expenses associated with “Cost recovery mechanisms – offset in natural gas revenue” decreased $20 million in 2024, compared with 2023, due to lower commodity prices and the absence of amortization of natural gas costs deferred under the PGA related to the extremely cold weather in mid-February 2021. Changes in natural gas purchased for resale expenses are fully offset by corresponding changes in natural gas revenues under the PGA.

Ameren Illinois Natural Gas

Ameren Illinois Natural Gas’ natural gas purchased for resale expenses decreased $16 million, or 6%, in 2024, compared with 2023, primarily due to lower amortization of natural gas costs that were previously deferred under the PGA and lower natural gas prices. Changes in natural