Company: SOJE
Filing Date: 2025-02-20
Form Type: 10-K
Source: 0000092122-25-000018
Chunk: 681

Company: SOUTHERN CO
Filing Date: 2025-02-20
Form: 10-K
Item: Item 7
Chunk 681
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 accordance with their respective state PSC orders, the traditional electric operating companies accrue certain amounts annually related to storm damage recovery. Each traditional electric operating company maintains a reserve to cover or is allowed to defer and recover the cost of damages from major storms to its transmission and distribution facilities and, for Mississippi Power, the cost of uninsured damages to its generation facilities and other property. Alabama Power and Mississippi Power also have authority from the Alabama PSC and the Mississippi PSC, respectively, to accrue certain additional amounts as circumstances warrant. Alabama Power recorded an additional accrual of $21 million in 2024, which is included in the table below.Storm damage reserve activity for the traditional electric operating companies during 2023 and 2024 was as follows:SouthernCompanyAlabama PowerGeorgia PowerMississippiPower (in millions)Balance at December 31, 2022$216 $97 $83 $36 Accrual61 18 31 12 Weather-related damages(211)(39)(168)(4)Balance at December 31, 2023$66 $76 $(54)$44 Accrual79 34 31 14 Weather-related damages(850)(40)(804)(6)Balance at December 31, 2024$(705)$70 $(827)$52 The traditional electric operating companies accrued the following amounts related to storm damage recovery in 2022:SouthernCompanyAlabamaPowerGeorgiaPowerMississippiPower(in millions)2022$239 $19 $213 $7 

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    Table of Contents                                Index to Financial StatementsCOMBINED NOTES TO FINANCIAL STATEMENTS

In 2022, costs for weather-related damages charged against storm damage reserves totaled $24 million and $82 million for Alabama Power and Georgia Power, respectively, and were immaterial for Mississippi Power.See Note 2 under "Alabama Power – Rate NDR," "Georgia Power – Storm Damage Recovery," and "Mississippi Power – System Restoration Rider" for additional information regarding each company's storm damage reserve.During 2022, the Alabama PSC and the Mississippi PSC authorized Alabama Power and Mississippi Power, respectively, to make accruals to a reliability reserve if certain conditions are met. During 2024, 2023, and 2022, Alabama Power and Mississippi Power accrued the following amounts to their reliability reserves:SouthernCompanyAlabamaPowerMississippiPower(in millions)2024$84 $