Company: SCE-PL
Filing Date: 2025-02-27
Form Type: 10-K
Source: 0000827052-25-000022
Chunk: 396

Company: SOUTHERN CALIFORNIA EDISON Co
Filing Date: 2025-02-27
Form: 10-K
Item: Item 8
Chunk 396
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 recovered over the original amortization period of the reacquired debt over periods ranging from 10 to 40 years or the life of the new issuance if the debt is refunded or refinanced.SCE's regulatory assets related to environmental remediation represent a portion of the costs incurred at certain sites that SCE is allowed to recover through customer rates. See "Environmental Remediation" discussed in Note 12.Recovery assets represent the balance associated with the Recovery Property and prudently incurred financing costs securitized with issuance of the associated bond. The recovery period is until 2047, when the bonds and interest are paid in full. For further details, see Note 3.

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Table of Contents

Regulatory LiabilitiesSCE's regulatory liabilities included on the consolidated balance sheets are:December 31,(in millions)20242023Current:Regulatory balancing and memorandum accounts$1,144 $704 Energy derivatives165 16 Other38 43 Total current1,347 763 Long-term:Costs of removal2,520 2,635 Deferred income taxes2,163 2,211 Recoveries in excess of ARO liabilities1,748 1,498 Regulatory balancing and memorandum accounts2,023 1,395 Pension and other postretirement benefits1,690 1,664 Other15 17 Total long-term10,159 9,420 Total regulatory liabilities$11,506 $10,183 SCE's regulatory liabilities related to energy derivatives are primarily an offset to unrealized gains on derivatives.SCE's regulatory liabilities related to costs of removal represent differences between asset removal costs recorded and amounts collected in rates for those costs.SCE's regulatory liabilities include excess deferred income taxes resulting from statutory income tax rate changes. The regulatory liabilities are generally expected to be refunded to customers over the lives of the assets and liabilities that gave rise to the deferred income taxes.SCE's regulatory liabilities related to recoveries in excess of ARO liabilities represent the cumulative differences between ARO obligations and amounts collected in rates primarily for the decommissioning of SCE's nuclear generation facilities. Decommissioning costs recovered through rates are primarily placed in nuclear decommissioning trusts. This regulatory liability also represents the deferral of realized and unrealized gains and losses on the nuclear decommissioning trust investments. See Note 10 for further discussion.SCE's regulatory liabilities related to pension and other post-retirement plans represent the net overfunded status of the plans. This amount is