Company: SREA
Filing Date: 2025-02-25
Form Type: 10-K
Source: 0001032208-25-000012
Chunk: 376

Company: SEMPRA
Filing Date: 2025-02-25
Form: 10-K
Item: Item 1
Chunk 376
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 period for SDG&E and SoCalGas, or the remaining term of the site leases, whichever is shortest. DEPRECIATION EXPENSE(Dollars in millions) Years ended December 31, 202420232022Sempra$2,409 $2,202 $1,995 SDG&E1,216 1,092 977 SoCalGas903 833 755 ACCUMULATED DEPRECIATION AND AMORTIZATION(Dollars in millions) December 31, 20242023SDG&E:Accumulated depreciation:Natural gas operations$1,121 $1,048 Electric transmission, distribution and generation(1)6,930 6,321 Total SDG&E8,051 7,369 SoCalGas:Accumulated depreciation:Natural gas operations8,315 7,835 Other non-utility15 17 Total SoCalGas8,330 7,852 Other Sempra:Accumulated depreciation – other(2)2,579 2,314 Total Sempra $18,960 $17,535 (1)    Includes $338 at December 31, 2024 related to SDG&E’s 86% interest in the Southwest Powerlink transmission line, jointly owned by SDG&E and other utilities.(2)    Includes $75 and $82 at December 31, 2024 and 2023, respectively, of accumulated depreciation for utility plant at Ecogas. 

SDG&E and SoCalGas finance construction projects with debt and equity funds. The CPUC and the FERC allow the recovery of the cost of these funds by the capitalization of AFUDC, calculated using rates authorized by the CPUC and the FERC, as a cost component of PP&E. SDG&E and SoCalGas earn a return on the capitalized AFUDC after the utility property is placed in service and recover the AFUDC from their customers over the expected useful lives of the assets.Pipeline projects under construction by Sempra Infrastructure that are both subject to certain regulation and meet U.S. GAAP regulatory accounting requirements record the impact of AFUDC. We capitalize interest costs incurred to finance capital projects and interest at equity method investments that have not commenced planned principal operations. 

2024 Form 10-K  |  F-41

The table below summarizes capitalized financing costs, comprised of capitalized interest and AFUDC related to debt