Document and Entity Information
Document and Entity Information - USD ($) | 12 Months Ended | ||
Dec. 31, 2020 | Feb. 16, 2021 | Jun. 30, 2020 | |
Document Information [Line Items] | |||
Document Type | 10-K | ||
Document Period End Date | Dec. 31, 2020 | ||
Entity File Number | 1-38681 | ||
Document Annual Report | true | ||
Amendment Flag | false | ||
Current Fiscal Year End Date | --12-31 | ||
Entity Central Index Key | 0001733998 | ||
Entity Current Reporting Status | Yes | ||
Entity Filer Category | Large Accelerated Filer | ||
Entity Registrant Name | NORTHWEST NATURAL HOLDING COMPANY | ||
Entity Voluntary Filers | No | ||
Entity Well-known Seasoned Issuer | Yes | ||
Entity Common Stock, Shares Outstanding | 30,606,665 | ||
Document Fiscal Year Focus | 2020 | ||
Document Fiscal Period Focus | FY | ||
Entity Public Float | $ 1,682,261,011 | ||
Entity Small Business | false | ||
Entity Emerging Growth Company | false | ||
ICFR Auditor Attestation Flag | true | ||
Document Transition Report | false | ||
Entity Incorporation, State or Country Code | OR | ||
Entity Tax Identification Number | 82-4710680 | ||
Entity Address, Address Line One | 250 S.W. Taylor Street | ||
Entity Address, City or Town | Portland | ||
Entity Address, State or Province | OR | ||
Entity Address, Postal Zip Code | 97204 | ||
City Area Code | (503) | ||
Local Phone Number | 226-4211 | ||
Title of 12(b) Security | Common Stock | ||
Trading Symbol | NWN | ||
Security Exchange Name | NYSE | ||
Entity Interactive Data Current | Yes | ||
Entity Shell Company | false | ||
Documents Incorporated by Reference [Text Block] | Portions of Northwest Natural Holding Company's Proxy Statement, to be filed in connection with the 2021 Annual Meeting of Shareholders, are incorporated by reference in Part III. | ||
Northwest Natural Gas Company [Member] | |||
Document Information [Line Items] | |||
Document Type | 10-K | ||
Document Period End Date | Dec. 31, 2020 | ||
Entity File Number | 1-15973 | ||
Amendment Flag | false | ||
Current Fiscal Year End Date | --12-31 | ||
Entity Central Index Key | 0000073020 | ||
Entity Current Reporting Status | Yes | ||
Entity Filer Category | Non-accelerated Filer | ||
Entity Registrant Name | NORTHWEST NATURAL GAS COMPANY | ||
Entity Voluntary Filers | No | ||
Entity Well-known Seasoned Issuer | No | ||
Document Fiscal Year Focus | 2020 | ||
Document Fiscal Period Focus | FY | ||
Entity Small Business | false | ||
Entity Emerging Growth Company | false | ||
ICFR Auditor Attestation Flag | false | ||
Entity Incorporation, State or Country Code | OR | ||
Entity Tax Identification Number | 93-0256722 | ||
Entity Address, Address Line One | 250 S.W. Taylor Street | ||
Entity Address, City or Town | Portland | ||
Entity Address, State or Province | OR | ||
Entity Address, Postal Zip Code | 97204 | ||
City Area Code | (503) | ||
Local Phone Number | 226-4211 | ||
Entity Interactive Data Current | Yes | ||
Entity Shell Company | false |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income - USD ($) shares in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Operating revenues [Abstract] | |||
Operating revenues | $ 773,679,000 | $ 746,372,000 | $ 706,143,000 |
Operating expenses: | |||
Cost of gas | 262,755,000 | 254,911,000 | 255,519,000 |
Operations and maintenance | 180,129,000 | 178,191,000 | 156,698,000 |
Environmental remediation | 9,691,000 | 12,337,000 | 11,127,000 |
General taxes | 35,078,000 | 32,388,000 | 32,172,000 |
Depreciation and amortization | 103,683,000 | 91,496,000 | 85,156,000 |
Other operating expenses | 3,701,000 | 3,250,000 | 3,227,000 |
Total operating expenses | 625,328,000 | 602,898,000 | 573,981,000 |
Income from operations | 148,351,000 | 143,474,000 | 132,162,000 |
Other income (expense), net | (13,944,000) | (22,836,000) | (3,601,000) |
Interest expense, net | 43,052,000 | 42,685,000 | 37,059,000 |
Income before income taxes | 91,355,000 | 77,953,000 | 91,502,000 |
Income tax expense | 21,082,000 | 12,642,000 | 24,191,000 |
Net income from continuing operations | 70,273,000 | 65,311,000 | 67,311,000 |
Income (loss) from discontinued operations, net of tax | 6,508,000 | (3,576,000) | (2,742,000) |
Net income | 76,781,000 | 61,735,000 | 64,569,000 |
Other comprehensive income (loss): | |||
Change in employee benefit plan liability, net of taxes | (2,848,000) | (2,655,000) | 476,000 |
Amortization of non-qualified employee benefit plan liability, net of taxes | 679,000 | 476,000 | 774,000 |
Comprehensive income | 74,612,000 | 59,556,000 | 65,819,000 |
Change in employee benefit plan liability, taxes | 1,025 | 956 | (166) |
Amortization of non-qualified employee benefit plan liability, taxes | $ (244) | $ (172) | $ (278) |
Average common shares outstanding: | |||
Basic (in shares) | 30,541 | 29,786 | 28,803 |
Diluted (in shares) | 30,599 | 29,859 | 28,873 |
Earnings from continuing operations per share of common stock: | |||
Basic (in dollars per share) | $ 2.30 | $ 2.19 | $ 2.34 |
Diluted (in dollars per share) | 2.30 | 2.19 | 2.33 |
Earnings (loss) from discontinued operations per share of common stock: | |||
Basic (in dollars per share) | 0.21 | (0.12) | (0.10) |
Diluted (in dollars per share) | 0.21 | (0.12) | (0.09) |
Earnings per share of common stock: | |||
Basic (in dollars per share) | 2.51 | 2.07 | 2.24 |
Diluted (in dollars per share) | $ 2.51 | $ 2.07 | $ 2.24 |
Utilities Operating Expense, Taxes | $ 30,291,000 | $ 30,325,000 | $ 30,082,000 |
Northwest Natural Gas Company [Member] | |||
Operating revenues [Abstract] | |||
Operating revenues | 758,748,000 | 739,944,000 | 705,571,000 |
Operating expenses: | |||
Cost of gas | 262,980,000 | 255,135,000 | 255,743,000 |
Utility Operations and maintenance | 168,869,000 | 169,091,000 | 155,225,000 |
Environmental remediation | 9,691,000 | 12,337,000 | 11,127,000 |
General taxes | 34,459,000 | 32,075,000 | 32,086,000 |
Depreciation and amortization | 101,586,000 | 90,405,000 | 84,986,000 |
Other operating expenses | 3,232,000 | 3,230,000 | 3,223,000 |
Total operating expenses | 611,108,000 | 592,598,000 | 572,472,000 |
Income from operations | 147,640,000 | 147,346,000 | 133,099,000 |
Other income (expense), net | (15,116,000) | (22,968,000) | (3,599,000) |
Interest expense, net | 40,866,000 | 41,339,000 | 36,992,000 |
Income before income taxes | 91,658,000 | 83,039,000 | 92,508,000 |
Income tax expense | 21,095,000 | 14,065,000 | 24,459,000 |
Net income from continuing operations | 70,563,000 | 68,974,000 | 68,049,000 |
Income (loss) from discontinued operations, net of tax | 0 | 0 | (1,723,000) |
Net income | 70,563,000 | 68,974,000 | 66,326,000 |
Other comprehensive income (loss): | |||
Change in employee benefit plan liability, net of taxes | (2,848,000) | (2,655,000) | 476,000 |
Amortization of non-qualified employee benefit plan liability, net of taxes | 679,000 | 476,000 | 774,000 |
Comprehensive income | 68,394,000 | 66,795,000 | 67,576,000 |
Change in employee benefit plan liability, taxes | 1,025 | 956 | (166) |
Amortization of non-qualified employee benefit plan liability, taxes | (244) | (172) | (278) |
Earnings per share of common stock: | |||
Utilities Operating Expense, Taxes | $ 30,291,000 | $ 30,325,000 | $ 30,082,000 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) shares in Thousands, $ / shares in Thousands, $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Current assets: | ||
Cash and cash equivalents | $ 30,168 | $ 9,648 |
Accounts receivable | 88,083 | 67,137 |
Accrued unbilled revenue | 57,949 | 56,192 |
Allowance for uncollectible accounts | (3,219) | (673) |
Regulatory assets | 31,745 | 41,929 |
Derivative instruments | 13,678 | 6,802 |
Inventories | 42,691 | 43,985 |
Gas reserves | 11,409 | 15,278 |
Income taxes receivable | 6,000 | 256 |
Other current assets | 44,741 | 38,004 |
Discontinued operations - current assets | 0 | 15,134 |
Total current assets | 323,245 | 293,692 |
Non-current assets: | ||
Property, plant, and equipment | 3,734,039 | 3,476,746 |
Less: Accumulated depreciation | 1,079,269 | 1,037,847 |
Total property, plant, and equipment, net | 2,654,770 | 2,438,899 |
Gas reserves | 34,484 | 48,394 |
Regulatory assets | 348,927 | 343,146 |
Derivative instruments | 6,135 | 3,337 |
Other investments | 49,259 | 63,333 |
Operating lease right of use asset | 77,446 | 2,950 |
Assets under sales-type leases | 143,759 | 146,310 |
Goodwill | 69,225 | 49,929 |
Other non-current assets | 49,129 | 38,464 |
Total non-current assets | 3,433,134 | 3,134,762 |
Total assets | 3,756,379 | 3,428,454 |
Current liabilities: | ||
Short-term debt | 304,525 | 149,100 |
Current maturities of long-term debt | 95,344 | 75,109 |
Accounts payable | 97,966 | 113,370 |
Taxes accrued | 13,812 | 11,971 |
Interest accrued | 7,441 | 7,451 |
Regulatory liabilities | 50,362 | 44,657 |
Derivative instruments | 4,198 | 2,000 |
Operating lease liabilities | 1,105 | 2,101 |
Other current liabilities | 52,330 | 62,705 |
Discontinued operations - current liabilities | 0 | 13,709 |
Total current liabilities | 627,083 | 482,173 |
Long-term debt | 860,081 | 805,955 |
Deferred credits and other non-current liabilities: | ||
Regulatory liabilities | 639,663 | 625,717 |
Pension and other postretirement benefit liabilities | 217,287 | 228,129 |
Derivative instruments | 2,852 | 609 |
Operating lease liabilities | 80,621 | 841 |
Other non-current liabilities | 120,767 | 123,388 |
Total deferred credits and other non-current liabilities | 1,380,482 | 1,274,327 |
Commitments and contingencies (see Note 17 and Note 18) | ||
Equity: | ||
Common stock - no par value | 565,112 | 558,282 |
Retained earnings | 336,523 | 318,450 |
Accumulated other comprehensive loss | (12,902) | (10,733) |
Total equity | 888,733 | 865,999 |
Total liabilities and equity | $ 3,756,379 | $ 3,428,454 |
Par Value (in dollars per share) | $ 0 | $ 0 |
Shares Authorized (in shares) | 100,000 | 100,000 |
Shares issued (in shares) | 30,589 | 30,472 |
Shares outstanding (in shares) | 30,589 | 30,472 |
Deferred Income Tax Liabilities, Net | $ 319,292 | $ 295,643 |
Northwest Natural Gas Company [Member] | ||
Current assets: | ||
Cash and cash equivalents | 10,453 | 5,919 |
Accounts receivable | 80,035 | 66,823 |
Accrued unbilled revenue | 57,890 | 56,139 |
Receivables from affiliates | 660 | 787 |
Allowance for uncollectible accounts | (3,107) | (672) |
Regulatory assets | 31,745 | 41,929 |
Derivative instruments | 13,678 | 6,802 |
Inventories | 42,325 | 43,896 |
Gas reserves | 11,409 | 15,278 |
Other current assets | 37,909 | 33,258 |
Total current assets | 282,997 | 270,159 |
Non-current assets: | ||
Property, plant, and equipment | 3,683,776 | 3,456,075 |
Less: Accumulated depreciation | 1,075,446 | 1,036,593 |
Total property, plant, and equipment, net | 2,608,330 | 2,419,482 |
Gas reserves | 34,484 | 48,394 |
Regulatory assets | 348,887 | 343,146 |
Derivative instruments | 6,135 | 3,337 |
Other investments | 49,242 | 49,837 |
Operating lease right of use asset | 77,328 | 2,760 |
Assets under sales-type leases | 143,759 | 146,310 |
Other non-current assets | 48,174 | 38,062 |
Total non-current assets | 3,316,339 | 3,051,328 |
Total assets | 3,599,336 | 3,321,487 |
Current liabilities: | ||
Short-term debt | 231,525 | 125,100 |
Current maturities of long-term debt | 59,955 | 74,907 |
Accounts payable | 95,170 | 111,641 |
Payables to affiliates | 13,820 | 1,546 |
Taxes accrued | 13,724 | 11,717 |
Interest accrued | 7,338 | 7,441 |
Regulatory liabilities | 50,362 | 44,657 |
Derivative instruments | 4,198 | 2,000 |
Operating lease liabilities | 1,054 | 1,979 |
Other current liabilities | 51,907 | 61,438 |
Total current liabilities | 529,053 | 442,426 |
Long-term debt | 857,265 | 769,081 |
Deferred credits and other non-current liabilities: | ||
Regulatory liabilities | 638,793 | 625,717 |
Pension and other postretirement benefit liabilities | 217,287 | 228,129 |
Derivative instruments | 2,852 | 609 |
Operating lease liabilities | 80,559 | 772 |
Other non-current liabilities | 120,309 | 123,260 |
Total deferred credits and other non-current liabilities | 1,377,834 | 1,287,784 |
Commitments and contingencies (see Note 17 and Note 18) | ||
Equity: | ||
Common stock - no par value | 319,506 | 319,557 |
Retained earnings | 528,580 | 513,372 |
Accumulated other comprehensive loss | (12,902) | (10,733) |
Total equity | 835,184 | 822,196 |
Total liabilities and equity | 3,599,336 | 3,321,487 |
Deferred Income Tax Liabilities, Net | $ 318,034 | $ 309,297 |
Consolidated Statement of Share
Consolidated Statement of Shareholders' Equity - USD ($) $ in Thousands | Total | Common Stock Including APIC [Member] | Retained Earnings [Member] | Accumulated Other Comprehensive Income (Loss) [Member] | Northwest Natural Gas Company [Member] | Northwest Natural Gas Company [Member]Northwest Natural Gas Company Consolidated [Member] | Northwest Natural Gas Company [Member]Common Stock Including APIC [Member] | Northwest Natural Gas Company [Member]Retained Earnings [Member] | Northwest Natural Gas Company [Member]Accumulated Other Comprehensive Income (Loss) [Member] |
Beginning Balance at Dec. 31, 2017 | $ 742,776 | $ 448,865 | $ 302,349 | $ (8,438) | $ 742,776 | $ 448,865 | $ 302,349 | $ (8,438) | |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||
Comprehensive income | 65,819 | 0 | 64,569 | 1,250 | $ 67,576 | 67,576 | 0 | 66,326 | 1,250 |
Dividends on common stock | (54,736) | 0 | (54,736) | 0 | (41,035) | 0 | (41,035) | 0 | |
Stock-based compensation | 3,020 | 3,020 | 0 | 0 | 2,161 | 2,161 | 0 | 0 | |
Shares issued pursuant to equity based plans | 5,175 | 5,175 | 0 | 0 | 3,075 | 3,075 | 0 | 0 | |
Transfer from Investments | 58,885 | 227,649 | (168,764) | 0 | |||||
Capital contributions | 0 | ||||||||
Cash purchase of shares for business combination | (7,945) | (7,945) | 0 | 0 | |||||
Value of shares transferred for business combination | 8,525 | 8,525 | 0 | 0 | |||||
Ending Balance at Dec. 31, 2018 | $ 762,634 | 457,640 | 312,182 | (7,188) | 715,668 | 226,452 | 496,404 | (7,188) | |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||
Dividends on common stock (in dollars per share) | $ 1.89 | ||||||||
Comprehensive income | $ 59,556 | 0 | 61,735 | (2,179) | 66,795 | 66,795 | 0 | 68,974 | (2,179) |
Dividends on common stock | (56,833) | 0 | (56,833) | 0 | (53,372) | 0 | (53,372) | 0 | |
Stock-based compensation | 2,601 | 2,601 | 0 | 0 | |||||
Shares issued pursuant to equity based plans | 5,085 | 5,085 | 0 | 0 | |||||
Capital contributions | 93,155 | 93,105 | 93,105 | 0 | 0 | ||||
Issuance of common stock, net of issuance costs | 92,956 | 92,956 | 0 | 0 | |||||
Reclassification of tax effects from the TCJA | 0 | 0 | 1,366 | (1,366) | 0 | 0 | 1,366 | (1,366) | |
Ending Balance at Dec. 31, 2019 | $ 865,999 | 558,282 | 318,450 | (10,733) | 822,196 | 319,557 | 513,372 | (10,733) | |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||
Dividends on common stock (in dollars per share) | $ 1.90 | ||||||||
Comprehensive income | $ 74,612 | 0 | 76,781 | (2,169) | 68,394 | 68,394 | 0 | 70,563 | (2,169) |
Dividends on common stock | (58,708) | 0 | (58,708) | 0 | (55,355) | 0 | (55,355) | 0 | |
Stock-based compensation | 4,361 | 4,361 | 0 | 0 | |||||
Shares issued pursuant to equity based plans | 2,469 | 2,469 | 0 | 0 | |||||
Capital contributions | $ 0 | ||||||||
Stockholders' Equity, Other | (51) | (51) | 0 | 0 | |||||
Ending Balance at Dec. 31, 2020 | $ 888,733 | $ 565,112 | $ 336,523 | $ (12,902) | $ 835,184 | $ 319,506 | $ 528,580 | $ (12,902) | |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||
Dividends on common stock (in dollars per share) | $ 1.91 |
Consolidated Statement of Cash
Consolidated Statement of Cash Flows - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Operating activities: | ||||
Net income | $ 76,781 | $ 61,735 | $ 64,569 | |
Adjustments to reconcile net income to cash provided by operations: | ||||
Depreciation and amortization | 103,683 | 91,496 | 85,156 | |
Regulatory amortization of gas reserves | 17,779 | 19,172 | 16,684 | |
Deferred income taxes | 18,667 | 6,317 | 14,356 | |
Qualified defined benefit pension plan expense | 18,370 | 16,497 | 8,108 | |
Contributions to qualified defined benefit pension plans | (28,980) | (10,970) | (15,540) | |
Deferred environmental expenditures, net | (27,871) | (16,226) | (14,528) | |
Environmental remediation expense | 9,691 | 12,337 | 11,127 | |
Regulatory revenue deferral from the TCJA | 0 | 853 | 7,929 | |
Regulatory disallowance of pension costs | 0 | 10,500 | 0 | |
Gain on sale of discontinued operations, net of tax | (5,902) | 0 | 0 | |
Other | 6,942 | (13,907) | (1,596) | |
Changes in assets and liabilities: | ||||
Receivables, net | (16,799) | 5,844 | 181 | |
Inventories | 1,262 | (5,969) | 3,207 | |
Income and other taxes | (10,710) | 4,528 | (16,904) | |
Accounts payable | (15,910) | (16,485) | 16,792 | |
Deferred gas costs | 17,590 | (23,471) | (14,395) | |
Decoupling mechanism | 2,884 | 18,661 | 4,497 | |
Other, net | (12,467) | (4,140) | (3,419) | |
Discontinued operations | 1,894 | 712 | (645) | |
Cash provided by operating activities | 143,020 | 185,298 | 168,771 | |
Investing activities: | ||||
Capital expenditures | (273,016) | (223,471) | (214,636) | |
Acquisitions, net of cash acquired | (38,263) | (56,786) | (873) | |
Leasehold improvement expenditures | (7,878) | (18,812) | (4,415) | |
Proceeds from the sale of assets | 8,149 | 659 | 477 | |
Proceeds from Sale of Equity Method Investments | 7,000 | 0 | 0 | |
Proceeds from sale of discontinued operations | 12,500 | 0 | 0 | |
Other | 1,654 | (3,544) | 1,421 | |
Discontinued operations | (4,423) | (1,827) | 573 | |
Cash used in investing activities | (294,277) | (303,781) | (217,453) | |
Financing activities: | ||||
Proceeds from stock options exercised | 68 | 2,015 | 1,546 | |
Proceeds from common stock issued | 0 | 92,956 | 0 | |
Long-term debt issued | 150,000 | 175,000 | 50,000 | |
Long-term debt retired | (75,000) | (30,000) | (97,000) | |
Repayments of Short-term Debt | (150,000) | 0 | 0 | |
Proceeds from issuances of commercial paper, maturities greater than 90 days | 195,025 | 0 | 0 | |
Changes in other short-term debt, net | (39,600) | (68,520) | 163,274 | |
Cash dividend payments on common stock | (55,420) | (53,339) | (51,311) | |
Stock purchases related to acquisitions | 0 | 0 | (7,951) | |
Other | (3,296) | (2,614) | (715) | |
Cash provided by financing activities | 171,777 | 115,498 | 57,843 | |
Increase (decrease) in cash and cash equivalents | 20,520 | (2,985) | 9,161 | |
Cash and cash equivalents, beginning of period | $ 30,168 | 9,648 | 12,633 | 3,472 |
Cash and cash equivalents, end of period | 30,168 | 9,648 | 12,633 | |
Supplemental disclosure of cash flow information: | ||||
Interest paid, net of capitalization | 42,651 | 41,231 | 35,324 | |
Income taxes paid (refunded) | 13,644 | (96) | 27,370 | |
Proceeds from Debt, Maturing in More than Three Months | 150,000 | 0 | 0 | |
Forecast [Member] | ||||
Investing activities: | ||||
Proceeds from Sale of Equity Method Investments | 14,000 | |||
Northwest Natural Gas Company [Member] | ||||
Operating activities: | ||||
Net income | 70,563 | 68,974 | 66,326 | |
Adjustments to reconcile net income to cash provided by operations: | ||||
Depreciation and amortization | 101,586 | 90,405 | 84,986 | |
Regulatory amortization of gas reserves | 17,779 | 19,172 | 16,684 | |
Deferred income taxes | 4,645 | 4,046 | 12,330 | |
Qualified defined benefit pension plan expense | 18,370 | 16,497 | 8,108 | |
Contributions to qualified defined benefit pension plans | (28,980) | (10,970) | (15,540) | |
Deferred environmental expenditures, net | (27,871) | (16,226) | (14,528) | |
Environmental remediation expense | 9,691 | 12,337 | 11,127 | |
Regulatory revenue deferral from the TCJA | 0 | 853 | 7,929 | |
Regulatory disallowance of pension costs | 0 | 10,500 | 0 | |
Other | 7,025 | (12,317) | (883) | |
Changes in assets and liabilities: | ||||
Receivables, net | (16,540) | 9,264 | (3,920) | |
Inventories | 1,539 | (5,990) | 3,212 | |
Income and other taxes | 10,832 | 496 | (7,854) | |
Accounts payable | (18,909) | (18,548) | 13,937 | |
Deferred gas costs | 17,590 | (23,471) | (14,395) | |
Decoupling mechanism | 2,884 | 18,661 | 4,497 | |
Other, net | (9,935) | (2,141) | (3,458) | |
Discontinued operations | 0 | 0 | 3,184 | |
Cash provided by operating activities | 146,219 | 186,176 | 173,508 | |
Investing activities: | ||||
Capital expenditures | (266,048) | (221,380) | (214,328) | |
Leasehold improvement expenditures | (7,878) | (18,812) | (4,415) | |
Proceeds from the sale of assets | 8,149 | 659 | 477 | |
Other | 1,654 | (3,544) | 421 | |
Discontinued operations | 0 | 0 | (20,617) | |
Cash used in investing activities | (264,123) | (243,077) | (238,462) | |
Financing activities: | ||||
Proceeds from stock options exercised | 0 | 0 | 1,368 | |
Long-term debt issued | 150,000 | 140,000 | 50,000 | |
Long-term debt retired | (75,000) | (30,000) | (97,000) | |
Repayments of Short-term Debt | (150,000) | 0 | 0 | |
Proceeds from issuances of commercial paper, maturities greater than 90 days | 195,025 | 0 | 0 | |
Changes in other short-term debt, net | (88,600) | (92,400) | 163,300 | |
Cash contributions received from parent | 0 | 93,155 | 0 | |
Cash dividend payments on common stock | (55,355) | (53,372) | (38,387) | |
Other | (3,632) | (2,510) | (1,539) | |
Discontinued operations | 0 | 0 | (7,951) | |
Cash provided by financing activities | 122,438 | 54,873 | 69,791 | |
Increase (decrease) in cash and cash equivalents | 4,534 | (2,028) | 4,837 | |
Cash and cash equivalents, beginning of period | $ 10,453 | 5,919 | 7,947 | 3,110 |
Cash and cash equivalents, end of period | 10,453 | 5,919 | 7,947 | |
Supplemental disclosure of cash flow information: | ||||
Interest paid, net of capitalization | 40,624 | 39,927 | 35,305 | |
Income taxes paid (refunded) | 6,100 | 2,479 | 27,350 | |
Proceeds from Debt, Maturing in More than Three Months | $ 150,000 | $ 0 | $ 0 |
Pension and Other Postretiremen
Pension and Other Postretirement Benefits Costs - Schedule of Fair Value of Plan Assets (Details) - Pension Plan [Member] - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Defined Benefit Plan, Information about Plan Assets [Abstract] | ||
Plan Assets, Amount | $ 373,931 | $ 313,051 |
Northwest Natural Gas Company [Member] | ||
Defined Benefit Plan, Information about Plan Assets [Abstract] | ||
Plan Assets, Amount | 373,932 | 313,051 |
Total Pension Asset Investments Net Of Receivables And Payables | 373,931 | 313,050 |
Accrued interest and dividend income | 6,429 | 3,243 |
Total receivables | 6,429 | 3,243 |
Due to broker for securities purchased | 6,429 | 3,242 |
Northwest Natural Gas Company [Member] | United States Equity [Member] | ||
Defined Benefit Plan, Information about Plan Assets [Abstract] | ||
Plan Assets, Amount | 117,764 | 95,604 |
Northwest Natural Gas Company [Member] | Non-U.S. equity [Member] | ||
Defined Benefit Plan, Information about Plan Assets [Abstract] | ||
Plan Assets, Amount | 117,206 | 107,505 |
Northwest Natural Gas Company [Member] | Liability hedging [Member] | ||
Defined Benefit Plan, Information about Plan Assets [Abstract] | ||
Plan Assets, Amount | 111,041 | 93,028 |
Northwest Natural Gas Company [Member] | Opportunistic [Member] | ||
Defined Benefit Plan, Information about Plan Assets [Abstract] | ||
Plan Assets, Amount | 25,625 | 9,864 |
Northwest Natural Gas Company [Member] | Cash and Cash Equivalents [Member] | ||
Defined Benefit Plan, Information about Plan Assets [Abstract] | ||
Plan Assets, Amount | 2,295 | 7,049 |
Northwest Natural Gas Company [Member] | Level 1 [Member] | ||
Defined Benefit Plan, Information about Plan Assets [Abstract] | ||
Total Pension Asset Investments Net Of Receivables And Payables | 39,114 | 33,168 |
Northwest Natural Gas Company [Member] | Level 1 [Member] | United States Equity [Member] | ||
Defined Benefit Plan, Information about Plan Assets [Abstract] | ||
Plan Assets, Amount | 0 | 0 |
Northwest Natural Gas Company [Member] | Level 1 [Member] | Non-U.S. equity [Member] | ||
Defined Benefit Plan, Information about Plan Assets [Abstract] | ||
Plan Assets, Amount | 39,114 | 33,168 |
Northwest Natural Gas Company [Member] | Level 1 [Member] | Liability hedging [Member] | ||
Defined Benefit Plan, Information about Plan Assets [Abstract] | ||
Plan Assets, Amount | 0 | 0 |
Northwest Natural Gas Company [Member] | Level 1 [Member] | Opportunistic [Member] | ||
Defined Benefit Plan, Information about Plan Assets [Abstract] | ||
Plan Assets, Amount | 0 | 0 |
Northwest Natural Gas Company [Member] | Level 1 [Member] | Cash and Cash Equivalents [Member] | ||
Defined Benefit Plan, Information about Plan Assets [Abstract] | ||
Plan Assets, Amount | 0 | 0 |
Northwest Natural Gas Company [Member] | Level 2 [Member] | ||
Defined Benefit Plan, Information about Plan Assets [Abstract] | ||
Total Pension Asset Investments Net Of Receivables And Payables | 0 | 0 |
Northwest Natural Gas Company [Member] | Level 2 [Member] | United States Equity [Member] | ||
Defined Benefit Plan, Information about Plan Assets [Abstract] | ||
Plan Assets, Amount | 0 | 0 |
Northwest Natural Gas Company [Member] | Level 2 [Member] | Non-U.S. equity [Member] | ||
Defined Benefit Plan, Information about Plan Assets [Abstract] | ||
Plan Assets, Amount | 0 | 0 |
Northwest Natural Gas Company [Member] | Level 2 [Member] | Liability hedging [Member] | ||
Defined Benefit Plan, Information about Plan Assets [Abstract] | ||
Plan Assets, Amount | 0 | 0 |
Northwest Natural Gas Company [Member] | Level 2 [Member] | Opportunistic [Member] | ||
Defined Benefit Plan, Information about Plan Assets [Abstract] | ||
Plan Assets, Amount | 0 | 0 |
Northwest Natural Gas Company [Member] | Level 2 [Member] | Cash and Cash Equivalents [Member] | ||
Defined Benefit Plan, Information about Plan Assets [Abstract] | ||
Plan Assets, Amount | 0 | 0 |
Northwest Natural Gas Company [Member] | Level 3 [Member] | ||
Defined Benefit Plan, Information about Plan Assets [Abstract] | ||
Total Pension Asset Investments Net Of Receivables And Payables | 0 | 0 |
Northwest Natural Gas Company [Member] | Level 3 [Member] | United States Equity [Member] | ||
Defined Benefit Plan, Information about Plan Assets [Abstract] | ||
Plan Assets, Amount | 0 | 0 |
Northwest Natural Gas Company [Member] | Level 3 [Member] | Non-U.S. equity [Member] | ||
Defined Benefit Plan, Information about Plan Assets [Abstract] | ||
Plan Assets, Amount | 0 | 0 |
Northwest Natural Gas Company [Member] | Level 3 [Member] | Liability hedging [Member] | ||
Defined Benefit Plan, Information about Plan Assets [Abstract] | ||
Plan Assets, Amount | 0 | 0 |
Northwest Natural Gas Company [Member] | Level 3 [Member] | Opportunistic [Member] | ||
Defined Benefit Plan, Information about Plan Assets [Abstract] | ||
Plan Assets, Amount | 0 | 0 |
Northwest Natural Gas Company [Member] | Level 3 [Member] | Cash and Cash Equivalents [Member] | ||
Defined Benefit Plan, Information about Plan Assets [Abstract] | ||
Plan Assets, Amount | 0 | 0 |
Northwest Natural Gas Company [Member] | Fair Value Measured at NAV [Member] | ||
Defined Benefit Plan, Information about Plan Assets [Abstract] | ||
Total Pension Asset Investments Net Of Receivables And Payables | 334,817 | 279,882 |
Northwest Natural Gas Company [Member] | Fair Value Measured at NAV [Member] | United States Equity [Member] | ||
Defined Benefit Plan, Information about Plan Assets [Abstract] | ||
Plan Assets, Amount | 117,764 | 95,604 |
Northwest Natural Gas Company [Member] | Fair Value Measured at NAV [Member] | Non-U.S. equity [Member] | ||
Defined Benefit Plan, Information about Plan Assets [Abstract] | ||
Plan Assets, Amount | 78,092 | 74,337 |
Northwest Natural Gas Company [Member] | Fair Value Measured at NAV [Member] | Liability hedging [Member] | ||
Defined Benefit Plan, Information about Plan Assets [Abstract] | ||
Plan Assets, Amount | 111,041 | 93,028 |
Northwest Natural Gas Company [Member] | Fair Value Measured at NAV [Member] | Opportunistic [Member] | ||
Defined Benefit Plan, Information about Plan Assets [Abstract] | ||
Plan Assets, Amount | 25,625 | 9,864 |
Northwest Natural Gas Company [Member] | Fair Value Measured at NAV [Member] | Cash and Cash Equivalents [Member] | ||
Defined Benefit Plan, Information about Plan Assets [Abstract] | ||
Plan Assets, Amount | $ 2,295 | $ 7,049 |
Organization and Principles of
Organization and Principles of Consolidation | 12 Months Ended |
Dec. 31, 2020 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Organization, Consolidation and Presentation of Financial Statements Disclosure [Text Block] | ORGANIZATION AND PRINCIPLES OF CONSOLIDATION On October 1, 2018, we completed a reorganization into a holding company structure. In this reorganization, shareholders of NW Natural (the predecessor publicly held parent company) became shareholders of NW Holdings on a one-for-one basis; maintaining the same number of shares and ownership percentage as held in NW Natural immediately prior to the reorganization. NW Natural became a wholly-owned subsidiary of NW Holdings. Additionally, certain subsidiaries of NW Natural were transferred to NW Holdings. This reorganization was accounted for as a transaction among entities under common control. As required under accounting guidance, these subsidiaries are presented in this report as discontinued operations in the consolidated results of NW Natural. See Note 19 for additional information. The accompanying consolidated financial statements represent the respective, consolidated financial results of NW Holdings and NW Natural and all respective companies that each registrant directly or indirectly controls, either through majority ownership or otherwise. This is a combined report of NW Holdings and NW Natural, which includes separate consolidated financial statements for each registrant. NW Natural's regulated natural gas distribution activities are reported in the natural gas distribution (NGD) segment. The NGD segment is NW Natural's core operating business and serves residential, commercial, and industrial customers in Oregon and southwest Washington. The NGD segment is the only reportable segment for NW Holdings and NW Natural. All other activities, water businesses, and other investments are aggregated and reported as other at their respective registrant. NW Holdings and NW Natural consolidate all entities in which they have a controlling financial interest. Investments in corporate joint ventures and partnerships that NW Holdings does not directly or indirectly control, and for which it is not the primary beneficiary, include NNG Financial's investment in Kelso-Beaver Pipeline, which is accounted for under the equity method, and NWN Energy's investment in Trail West Holdings, LLC (TWH), which was accounted for under the equity method through August 6, 2020 when it was sold to a third party. See Note 14 for activity related to TWH. NW Holdings and its direct and indirect subsidiaries are collectively referred to herein as NW Holdings, and NW Natural and its direct and indirect subsidiaries are collectively referred to herein as NW Natural. The consolidated financial statements of NW Holdings and NW Natural are presented after elimination of all intercompany balances and transactions. In June 2018, NWN Gas Storage, a wholly-owned subsidiary of NW Natural at the time and now a wholly-owned subsidiary of NW Holdings, entered into a Purchase and Sale Agreement that provided for the sale of all of the membership interests in its wholly-owned subsidiary, Gill Ranch Storage, LLC (Gill Ranch). We concluded that the sale of Gill Ranch qualified as assets and liabilities held for sale and discontinued operations. As such, the results of Gill Ranch were presented as a discontinued operation for NW Holdings for all periods presented and for NW Natural up until the holding company reorganization was effective on October 1, 2018 on the consolidated statements of comprehensive income and cash flows, and the assets and liabilities associated with Gill Ranch were classified as discontinued operations assets and liabilities on the NW Holdings consolidated balance sheet. See Note 19 for additional information. Additionally, we reevaluated reportable segments and concluded that the remaining gas storage activities no longer met the requirements to be separately reported as a segment. Interstate Storage Services is reported in Other under NW Natural and NW Holdings as applicable, and all prior periods reflect this change. See Note 4, which provides segment information. Notes to the consolidated financial statements reflect the activity of continuing operations for both NW Holdings and NW Natural for all periods presented, unless otherwise noted. Certain reclassifications have been made to conform prior period information to the current presentation. The reclassifications did not have a material effect on our consolidated financial statements. |
Significant Accounting Policies
Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2020 | |
Accounting Policies [Abstract] | |
Significant Accounting Policies | SIGNIFICANT ACCOUNTING POLICIES Use of Estimates The preparation of financial statements in conformity with generally accepted accounting principles in the United States of America (U.S. GAAP) requires management to make estimates and assumptions that affect reported amounts in the consolidated financial statements and accompanying notes. Actual amounts could differ from those estimates, and changes would most likely be reported in future periods. Management believes the estimates and assumptions used are reasonable . Industry Regulation NW Holdings' principal business is to operate as a holding company for NW Natural and its other subsidiaries. NW Natural's principal business is the distribution of natural gas, which is regulated by the OPUC and WUTC. NW Natural also has natural gas storage services, which are regulated by the FERC, and to a certain extent by the OPUC and WUTC. Additionally, certain of NW Holdings' subsidiaries own water businesses, which are regulated by the public utility commission in the state in which the water utility is located, which is currently Oregon, Washington, Idaho and Texas. Accounting records and practices of the regulated businesses conform to the requirements and uniform system of accounts prescribed by these regulatory authorities in accordance with U.S. GAAP. The businesses in which customer rates are regulated by the OPUC, WUTC, IPUC, PUTC, and FERC have approved cost-based rates which are intended to allow such businesses to earn a reasonable return on invested capital. In applying regulatory accounting principles, NW Holdings and NW Natural capitalize or defer certain costs and revenues as regulatory assets and liabilities pursuant to orders of the applicable state public utility commission, which provide for the recovery of revenues or expenses from, or refunds to, utility customers in future periods, including a return or a carrying charge in certain cases. Amounts NW Natural deferred as regulatory assets and liabilities were as follows: Regulatory Assets In thousands 2020 2019 Current: Unrealized loss on derivatives (1) $ 4,198 $ 2,000 Gas costs 1,979 20,140 Environmental costs (2) 4,992 4,762 Decoupling (3) 361 1,969 Pension balancing (4) 7,131 5,939 Income taxes 3,484 2,209 Other (5) 9,600 4,910 Total current $ 31,745 $ 41,929 Non-current: Unrealized loss on derivatives (1) $ 2,852 $ 609 Pension balancing (4) 43,383 48,251 Income taxes 15,368 17,173 Pension and other postretirement benefit liabilities 170,812 173,262 Environmental costs (2) 90,623 87,624 Gas costs 3,925 2,866 Decoupling (3) 1,031 — Other (5) 20,893 13,361 Total non-current $ 348,887 $ 343,146 Other (NW Holdings) 40 — Total non-current -NW Holdings $ 348,927 $ 343,146 Regulatory Liabilities In thousands 2020 2019 Current: Gas costs $ 1,118 $ 1,223 Unrealized gain on derivatives (1) 13,674 6,622 Decoupling (3) 11,793 4,831 Income taxes (6) 8,217 8,435 Other (5) 15,560 23,546 Total current 50,362 44,657 Non-current: Gas costs $ 314 $ 2,013 Unrealized gain on derivatives (1) 6,135 3,337 Decoupling (3) 1,723 6,378 Income taxes (6) 189,587 198,219 Accrued asset removal costs (7) 427,960 401,893 Other (5) 13,074 13,877 Total non-current $ 638,793 $ 625,717 Other (NW Holdings) 870 — Total non-current -NW Holdings $ 639,663 $ 625,717 (1) Unrealized gains or losses on derivatives are non-cash items and, therefore, do not earn a rate of return or a carrying charge. These amounts are recoverable through natural gas distribution rates as part of the annual Purchased Gas Adjustment (PGA) mechanism when realized at settlement. (2) Refer to the Environmental Cost Deferral and Recovery table in Note 18 for a description of environmental costs. (3) This deferral represents the margin adjustment resulting from differences between actual and expected volumes. (4) Refer to Note 10 for information regarding the deferral of pension expenses. (5) Balances consist of deferrals and amortizations under approved regulatory mechanisms and typically earn a rate of return or carrying charge. (6) This balance represents estimated amounts associated with the Tax Cuts and Jobs Act. See Note 11. (7) Estimated costs of removal on certain regulated properties are collected through rates. See "Accounting Policies— Plant, Property, and Accrued Asset Removal Costs " below. The amortization period for NW Natural's regulatory assets and liabilities ranges from less than one year to an indeterminable period. Regulatory deferrals for gas costs payable are generally amortized over 12 months beginning each November 1 following the gas contract year during which the deferred gas costs are recorded. Similarly, most other regulatory deferred accounts are amortized over 12 months. However, certain regulatory account balances, such as income taxes, environmental costs, pension liabilities, and accrued asset removal costs, are large and tend to be amortized over longer periods once NW Natural has agreed upon an amortization period with the respective regulatory agency. We believe all costs incurred and deferred at December 31, 2020 are prudent. All regulatory assets and liabilities are reviewed annually for recoverability, or more often if circumstances warrant. If we should determine that all or a portion of these regulatory assets or liabilities no longer meet the criteria for continued application of regulatory accounting, then NW Natural would be required to write-off the net unrecoverable balances in the period such determination is made. Regulatory interest income of $4.8 million and $19.6 million and regulatory interest expense of $1.8 million and $12.3 million was recognized within other income (expense), net for the years ended December 31, 2020 and 2019, respectively. Environmental Regulatory Accounting See Note 18 for information about the SRRM and OPUC orders regarding implementation. COVID-19 Impact During 2020, our regulated utilities received approval in their respective jurisdictions to defer certain financial impacts associated with COVID-19 such as bad debt expense, financing costs to secure liquidity, lost revenues related to late fees and reconnection fees, and other COVID-19 related costs, net of offsetting direct expense reductions associated with COVID-19. As a result, we recorded a regulatory asset of approximately $4.8 million for incurred costs associated with COVID-19 that are recoverable. New Accounting Standards NW Natural and NW Holdings consider the applicability and impact of all accounting standards updates (ASUs) issued by the Financial Accounting Standards Board (FASB). ASUs not listed below were assessed and determined to be either not applicable or are expected to have minimal impact on consolidated financial position or results of operations. Recently Adopted Accounting Pronouncements ACCUMULATED OTHER COMPREHENSIVE INCOME. On February 14, 2018, the FASB issued ASU 2018-02, "Income Statement—Reporting Comprehensive Income: Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income." This update was issued in response to concerns from certain stakeholders regarding the current requirements under U.S. GAAP that deferred tax assets and liabilities are adjusted for a change in tax laws or rates, and the effect is to be included in income from continuing operations in the period of the enactment date. This requirement is also applicable to items in accumulated other comprehensive income where the related tax effects were originally recognized in other comprehensive income. The adjustment of deferred taxes due to the new corporate income tax rate enacted through the Tax Cuts and Jobs Act (TCJA) on December 22, 2017 recognized in income from continuing operations causes the tax effects of items within accumulated other comprehensive income (referred to as stranded tax effects) to not reflect the appropriate tax rate. The amendments in this update allow but do not require a reclassification from accumulated other comprehensive income to retained earnings for stranded tax effects resulting from the TCJA and require certain disclosures about stranded tax effects. NW Natural adopted and applied the standard in the first quarter of 2019. NW Natural elected to reclassify the stranded tax effects of the TCJA of $1.4 million from accumulated other comprehensive loss to retained earnings in the period of adoption. Going forward, our policy is that, in the event that regulation changes result in stranded tax effects, such amounts will be reclassified from accumulated other comprehensive income (loss) to retained earnings in the final period that the related deferred tax balance remeasurement is expected to impact income from continuing operations. CLOUD COMPUTING. On August 29, 2018, the FASB issued ASU 2018-15, "Customer’s Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement That Is a Service Contract." The purpose of the amendment is to align the requirements for capitalizing implementation costs incurred in a hosting arrangement that is a service contract with the requirements for capitalizing implementation costs incurred to develop or obtain internal-use software. The amendments in this update were effective beginning January 1, 2020. Early adoption was permitted, and NW Holdings and NW Natural early adopted ASU 2018-15 in the quarter ended March 31, 2019 utilizing the prospective application methodology. The adoption of this ASU did not materially affect the financial statements and disclosures of NW Holdings or NW Natural. CREDIT LOSSES. On June 16, 2016, the FASB issued ASU 2016-13, "Measurement of Credit Losses on Financial Instruments," which applies to financial assets subject to credit losses and measured at amortized cost. The new standard requires financial assets measured at amortized cost to be presented at the net amount expected to be collected and the allowance for credit losses is to be recorded as a valuation account that is deducted from the amortized cost basis. The amendments in this update were effective beginning January 1, 2020 and were applied with the modified retrospective methodology. The adoption of this ASU did not materially affect the financial statements and disclosures of NW Holdings or NW Natural. The majority of NW Holdings' and NW Natural's financial assets are either short-term in nature, such as trade receivables, or relate to leased gas facilities under approved rate schedules. DERIVATIVES AND HEDGING. On August 28, 2017, the FASB issued ASU 2017-12, "Derivatives and Hedging: Targeted Improvements to Accounting for Hedging Activities." The purpose of the amendment is to more closely align hedge accounting with companies’ risk management strategies. The ASU amends the accounting for risk component hedging, the hedged item in fair value hedges of interest rate risk, and amounts excluded from the assessment of hedge effectiveness. The guidance also amends the recognition and presentation of the effect of hedging instruments and includes other simplifications of hedge accounting. The amendments in this ASU were effective beginning January 1, 2019 and were applied prospectively to hedging instruments. The adoption did not have an impact on the financial statements or disclosures of NW Holdings or NW Natural. FAIR VALUE MEASUREMENT. On August 28, 2018, the FASB issued ASU 2018-13, "Changes to the Disclosure Requirements for Fair Value Measurement." The purpose of the amendment is to modify the disclosure requirements for fair value measurements. The amendments in this ASU were effective beginning January 1, 2020. The amendments on changes in unrealized gains and losses, the range and weighted average of significant unobservable inputs used to develop Level 3 fair value measurements and the narrative description of measurement uncertainty should be applied prospectively. All other amendments should be applied retrospectively. NW Holdings and NW Natural do not have either Level 3 fair value measurements or transfers between Level 1 or Level 2 in their current portfolios. The adoption did not have an impact on the financial statements or disclosures of NW Holdings or NW Natural. LEASES. On February 25, 2016, the FASB issued ASU 2016-02, "Leases," which revises the existing lease accounting guidance. Pursuant to the new standard (“ASC 842”), lessees are required to recognize all leases, including operating leases that are greater than 12 months at lease commencement, on the balance sheet and record corresponding right of use assets and lease liabilities. Lessor accounting will remain substantially the same under the new standard. Quantitative and qualitative disclosures are also required for users of the financial statements to have a clear understanding of the nature of our leasing activities. We elected the alternative prospective transition approach for adoption beginning January 1, 2019. All comparative periods prior to January 1, 2019 will retain the financial reporting and disclosure requirements of ASC 840 “Leases” (“ASC 840”). There was no cumulative effect adjustment to the opening balance of retained earnings recorded as of January 1, 2019 for adoption as there were no initial direct costs or other capitalized costs related to the legacy leases that needed to be derecognized upon adoption of ASC 842. We elected the land easement optional practical expedient to not evaluate existing or expired land easements that were not previously accounted for as leases under the ASC 840 lease guidance. For the existing lease portfolio, we did not elect the optional practical expedient package to retain the legacy lease accounting conclusions upon adoption; we re-assessed our existing contracts under the new leasing standard including whether the contract meets the definition of a lease and lease classification. As a result, we determined that most of our underground gas storage contracts no longer meet the definition of a lease under the new lease standard. Upon adoption on January 1, 2019, NW Holdings recorded an operating lease right of use asset and an associated operating lease liability of approximately $7.3 million, of which $7.0 million was recorded at NW Natural. Lease liabilities are measured using NW Natural's incremental borrowing rate based on information available at the lease commencement date in determining the present value of lease payments. See Note 7 for more information. RETIREMENT BENEFITS. On August 28, 2018, the FASB issued ASU 2018-14, "Changes to the Disclosure Requirements for Defined Benefit Plans." The purpose of the amendment is to modify the disclosure requirements for defined benefit pension and other postretirement plans. The amendments in this ASU were effective beginning January 1, 2020 and were applied retrospectively. The adoption of this ASU did not materially affect the financial statements and disclosures of NW Holdings or NW Natural. Recently Issued Accounting Pronouncements INCOME TAXES. On December 18, 2019, the FASB issued ASU 2019-12, "Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes." The purpose of the amendment is to reduce cost and complexity related to accounting for income taxes by removing certain exceptions to the general principles and improving consistent application for other areas in Topic 740. The amendments in this ASU are effective beginning January 1, 2021. Early adoption is permitted. The amended presentation and disclosure guidance should be applied retrospectively. We do not expect this ASU to materially affect the financial statements and disclosures of NW Holdings or NW Natural. REFERENCE RATE REFORM. On March 12, 2020, the FASB issued ASU 2020-04, "Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting." The purpose of the amendment is to provide optional expedients and exceptions for applying generally accepted accounting principles (GAAP) to contracts, hedging relationships, and other transactions affected by reference rate reform if certain criteria are met. The amendments in this ASU apply only to contracts, hedging relationships, and other transactions that reference LIBOR or another reference rate expected to be discontinued because of reference rate reform. The amendments in this ASU are effective for all entities as of March 12, 2020 through December 31, 2022. We do not expect this ASU to materially affect the financial statements and disclosures of NW Holdings or NW Natural. Accounting Policies The accounting policies discussed below apply to both NW Holdings and NW Natural. Plant, Property, and Accrued Asset Removal Costs Plant and property are stated at cost, including capitalized labor, materials, and overhead. In accordance with regulatory accounting standards, the cost of acquiring and constructing long-lived plant and property generally includes an allowance for funds used during construction (AFUDC) or capitalized interest. AFUDC represents the regulatory financing cost incurred when debt and equity funds are used for construction (see “ AFUDC ” below). When constructed assets are subject to market-based rates rather than cost-based rates, the financing costs incurred during construction are included in capitalized interest in accordance with U.S. GAAP, not as regulatory financing costs under AFUDC. In accordance with long-standing regulatory treatment, our depreciation rates consist of three components: one based on the average service life of the asset, a second based on the estimated salvage value of the asset, and a third based on the asset’s estimated cost of removal. We collect, through rates, the estimated cost of removal on certain regulated properties through depreciation expense, with a corresponding offset to accumulated depreciation. These removal costs are non-legal obligations as defined by regulatory accounting guidance. Therefore, we have included these costs as non-current regulatory liabilities rather than as accumulated depreciation on our consolidated balance sheets. In the rate setting process, the liability for removal costs is treated as a reduction to the net rate base on which the NGD business has the opportunity to earn its allowed rate of return. The costs of NGD plant retired or otherwise disposed of are removed from NGD plant and charged to accumulated depreciation for recovery or refund through future rates. Gains from the sale of regulated assets are generally deferred and refunded to customers. For assets not related to NGD, we record a gain or loss upon the disposal of the property, and the gain or loss is recorded in operating income or loss in the consolidated statements of comprehensive income. The provision for depreciation of NGD property, plant, and equipment is recorded under the group method on a straight-line basis with rates computed in accordance with depreciation studies approved by regulatory authorities. The weighted-average depreciation rate for NGD assets in service was approximately 3.0% for 2020, 2.9% for 2019, and 2.8% for 2018, reflecting the approximate weighted-average economic life of the property. This includes 2020 weighted-average depreciation rates for the following asset categories: 2.6% for transmission and distribution plant, 2.0% for gas storage facilities, 6.7% for general plant, and 5.1% for intangible and other fixed assets. AFUDC. Certain additions to NGD plant include AFUDC, which represents the net cost of debt and equity funds used during construction. AFUDC is calculated using actual interest rates for debt and authorized rates for ROE, if applicable. If short-term debt balances are less than the total balance of construction work in progress, then a composite AFUDC rate is used to represent interest on all debt funds, shown as a reduction to interest charges, and on ROE funds, shown as other income. While cash is not immediately recognized from recording AFUDC, it is realized in future years through rate recovery resulting from the higher NGD cost of service. Our composite AFUDC rate was 1.9% in 2020, 3.9% in 2019, and 5.2% in 2018. IMPAIRMENT OF LONG-LIVED ASSETS. We review the carrying value of long-lived assets whenever events or changes in circumstances indicate the carrying amount of the assets may not be recoverable. Factors that would necessitate an impairment assessment of long-lived assets include a significant adverse change in the extent or manner in which the asset is used, a significant adverse change in legal factors or business climate that could affect the value of the asset, or a significant decline in the observable market value or expected future cash flows of the asset, among others. When such factors are present, we assess the recoverability by determining whether the carrying value of the asset will be recovered through expected future cash flows. An asset is determined to be impaired when the carrying value of the asset exceeds the expected undiscounted future cash flows from the use and eventual disposition of the asset. If an impairment is indicated, we record an impairment loss for the difference between the carrying value and the fair value of the long-lived assets. Fair value is estimated using appropriate valuation methodologies, which may include an estimate of discounted cash flows. Cash and Cash Equivalents For purposes of reporting cash flows, cash and cash equivalents include cash on hand plus highly liquid investment accounts with original maturity dates of three months or less. At December 31, 2020 and 2019, NW Holdings had outstanding checks of $4.4 million and $3.2 million, respectively, substantially all of which is recorded at NW Natural. These balances are included in accounts payable in the .NW Holdings and NW Natural balance sheets. Restricted cash is primarily comprised of funds from public purpose charges for programs that assist low-income customers with bill payments or energy efficiency. As of December 31, 2020 and 2019, NW Natural had restricted cash of $5.3 million and $3.0 million, respectively. These balances are included in other current assets in the NW Holdings and NW Natural balance sheets. Changes in these balances are presented in changes in assets and liabilities - other, net in the NW Holdings and NW Natural statements of cash flows. There were no transfers between restricted cash and cash and cash equivalents during the years ended December 31, 2020 and 2019. Revenue Recognition and Accrued Unbilled Revenue Revenues, derived primarily from the sale and transportation of natural gas, are recognized upon delivery of gas or water, or service to customers. Revenues include accruals for gas or water delivered but not yet billed to customers based on estimates of deliveries from meter reading dates to month end (accrued unbilled revenue). Accrued unbilled revenue is dependent upon a number of factors that require management’s judgment, including total natural gas receipts and deliveries, customer use of natural gas or water by billing cycle, and weather factors. Accrued unbilled revenue is reversed the following month when actual billings occur. NW Holdings' accrued unbilled revenue at December 31, 2020 and 2019 was $57.9 million and $56.2 million, respectively, substantially all of which is accrued unbilled revenue at NW Natural. Revenues not related to NGD are derived primarily from Interstate Storage Services, asset management activities at the Mist gas storage facility, and other investments and business activities. At the Mist underground storage facility, revenues are primarily firm service revenues in the form of fixed monthly reservation charges. In addition, we also have asset management service revenue from an independent energy marketing company that optimizes commodity, storage, and pipeline capacity release transactions. Under this agreement, guaranteed asset management revenue is recognized using a straight-line, pro-rata methodology over the term of each contract. Revenues earned above the guaranteed amount are recognized as they are earned. Revenue Taxes Revenue-based taxes are primarily franchise taxes, which are collected from customers and remitted to taxing authorities. Revenue taxes are included in operating expenses in the statements of comprehensive income for NW Holdings and NW Natural. All revenue taxes are recorded at NW Natural and were $30.3 million, $30.3 million, and $30.1 million for 2020, 2019, and 2018, respectively. Accounts Receivable and Allowance for Uncollectible Accounts Accounts receivable consist primarily of amounts due for natural gas sales and transportation services to NGD customers, plus amounts due for gas storage services. NW Holdings and NW Natural establish allowances for uncollectible accounts (allowance) for trade receivables, including accrued unbilled revenue, based on the aging of receivables, collection experience of past due account balances including payment plans, and historical trends of write-offs as a percent of revenues. A specific allowance is established and recorded for large individual customer receivables when amounts are identified as unlikely to be partially or fully recovered. Inactive accounts are written-off against the allowance after they are 120 days past due or when deemed uncollectible. Differences between the estimated allowance and actual write-offs will occur based on a number of factors, including changes in economic conditions, customer creditworthiness, and natural gas prices. The allowance for uncollectible accounts is adjusted quarterly, as necessary, based on information currently available. ALLOWANCE FOR TRADE RECEIVABLES. Accounts receivable consist primarily of amounts due for natural gas sales and transportation services to NGD customers and amounts due for gas storage services. The payment term of these receivables is generally 15 days. For these short-term receivables, it is not expected that forecasted economic conditions would significantly affect the loss estimates under stable economic conditions. For extreme situations like a financial crisis, natural disaster, and the economic slowdown caused by pandemics like COVID-19, we enhance our review and analysis. After considering the significant exposure to quarantine-related job losses in Oregon and Washington state, NW Holdings and NW Natural expanded our standard review procedures for our allowance for uncollectible accounts calculation, including analyzing the significant indications of unemployment rate and comparing to historic economic data during the 2007-2009 time period when the country experienced an economic recession. We then considered other qualitative information including recent customer interactions related to payment plans and credit issues, statistics from our website related to credit inquiries, and economic stimulus provided by the federal government which could have a beneficial impact on residential and commercial customers' abilities to ultimately make payment on their accounts. Our provision calculation for residential and commercial accounts was estimated as a percentage of accounts that no customer payment was received for 90 or more days. For industrial accounts, we continue to analyze those accounts on an account-by-account basis with specific reserves taken as necessary. The following table presents the activity related to the NW Holdings provision for uncollectible accounts by pool, substantially all of which is related to NW Natural's accounts receivable: As of December 31, 2019 As of December 31, 2020 Year ended December 31, 2020 In thousands Beginning Balance Provision recorded (1) Write-offs recognized, net of recoveries Ending Balance Allowance for uncollectible accounts related to accounts receivable: Residential $ 432 $ 2,159 $ (438) $ 2,153 Commercial 57 821 (174) 704 Industrial 72 77 (7) 142 Accrued unbilled and other 112 166 (58) 220 Total $ 673 $ 3,223 $ (677) $ 3,219 (1) Includes $2.3 million that was deferred to a regulatory asset for costs associated with COVID-19 that are recoverable in future rates. ALLOWANCE FOR NET INVESTMENTS IN SALES-TYPE LEASES. NW Natural currently holds two net investments in sales-type leases, with substantially all of the net investment balance related to the North Mist natural gas storage agreement with Portland General Electric (PGE) which is billed under an OPUC-approved rate schedule. See Note 7 for more information on the North Mist lease. Due to the nature of this service, PGE may recover the costs of the lease through general rate cases. Therefore, we expect the risk of loss due to the credit of this lessee to be remote. As such, no allowance for uncollectibility was recorded for our sales-type lease receivables. NW Natural will continue monitoring the credit health of the lessees and the overall economic environment, including the economic factors closely tied to the financial health of our current and future lessees. Inventories NGD gas inventories, which consist of natural gas in storage for NGD customers, are stated at the lower of weighted-average cost or net realizable value. The regulatory treatment of these inventories provides for cost recovery in customer rates. NGD gas inventories injected into storage are priced in inventory based on actual purchase costs, and those withdrawn from storage are charged to cost of gas during the period they are withdrawn at the weighted-average inventory cost. Gas storage inventories, which primarily represented inventories at the Gill Ranch Facility and are included in Discontinued operations - current assets on the consolidated balance sheets, mainly consist of natural gas received as fuel-in-kind from storage customers. Gas storage inventories are valued at the lower of average cost or net realizable value. Cushion gas is not included in inventory balances, is recorded at original cost, and is classified as a long-term plant asset. Materials and supplies inventories consist of inventories both related to and unrelated to NGD and are stated at the lower of average cost or net realizable value. NW Natural's NGD and gas storage inventories totaled $24.7 million and $27.5 million at 2020 and 2019, respectively. At December 31, 2020 and 2019, NW Holdings' materials and supplies inventories, which are comprised primarily of NW Natural's materials and supplies, totaled $18.0 million and $16.5 million, respectively. Gas Reserves Gas reserves are payments to acquire and produce natural gas reserves. Gas reserves are stated at cost, adjusted for regulatory amortization, with the associated deferred tax benefits recorded as liabilities on the balance sheet. The current portion is calculated based on expected gas deliveries within the next fiscal year. NW Natural recognizes regulatory amortization of this asset on a volumetric basis calculated using the estimated gas reserves and the estimated therms extracted and sold each month. The amortization of gas reserves is recorded to cost of gas along with gas production revenues and production costs. See Note 13. Derivatives NW Natural's derivatives are measured at fair value and recognized as either assets or liabilities on the balance sheet. Changes in the fair value of the derivatives are recognized in earnings unless specific regulatory or hedge accounting criteria are met. Accounting for derivatives and hedges provides an exception for contracts intended for normal purchases and normal sales for which physical delivery is probable. In addition, certain derivative contracts are approved by regulatory authorities for recovery or refund through customer rates. Accordingly, the changes in fair value of these approved contracts are deferred as regulatory assets or liabilities pursuant to regulatory accounting principles. NW Natural's financial derivatives generally qualify for deferral under regulatory accounting. NW Natural's index-priced physical derivative contracts also qualify for regulatory deferral accounting treatment. Derivative contracts entered into for NGD requirements after the annual PGA rate has been set and maturing during the PGA year are subject to the PGA incentive sharing mechanism. In Oregon, NW Natural participates in a PGA sharing mechanism under which it is required to select either an 80% or 90% deferral of higher or lower gas costs such that the impact on current earnings from the gas cost sharing is either 20% or 10% of gas cost differences compared to PGA prices, respectively. For each of the PGA years in Oregon beginning November 1, 2020, 2019, and 2018, NW Natural selected the 90% deferral of gas cost differences. In Washington, 100% of the differences between the PGA prices and actual gas costs are deferred. See Note 16. NW Natural's financial derivatives poli |
Earnings Per Share
Earnings Per Share | 12 Months Ended |
Dec. 31, 2020 | |
Earnings Per Share, Diluted, by Common Class, Including Two Class Method [Line Items] | |
Earnings Per Share [Text Block] | EARNINGS PER SHARE Basic earnings or loss per share are computed using NW Holdings' net income or loss and the weighted average number of common shares outstanding for each period presented. Diluted earnings per share are computed in the same manner, except using the weighted average number of common shares outstanding plus the effects of the assumed exercise of stock options and the payment of estimated stock awards from other stock-based compensation plans that are outstanding at the end of each period presented. Anti-dilutive stock awards are excluded from the calculation of diluted earnings or loss per common share. NW Holdings' diluted earnings or loss per share are calculated as follows: In thousands, except per share data 2020 2019 2018 Net income from continuing operations $ 70,273 $ 65,311 $ 67,311 Income (loss) from discontinued operations, net of tax 6,508 (3,576) (2,742) Net income $ 76,781 $ 61,735 $ 64,569 Average common shares outstanding - basic 30,541 29,786 28,803 Additional shares for stock-based compensation plans (See Note 8) 58 73 70 Average common shares outstanding - diluted 30,599 29,859 28,873 Earnings from continuing operations per share of common stock: Basic $ 2.30 $ 2.19 $ 2.34 Diluted 2.30 2.19 2.33 Earnings (loss) from discontinued operations per share of common stock: Basic $ 0.21 $ (0.12) $ (0.10) Diluted 0.21 (0.12) (0.09) Earnings per share of common stock: Basic $ 2.51 $ 2.07 $ 2.24 Diluted 2.51 2.07 2.24 Additional information: Anti-dilutive shares 1 — 2 |
Segment Information
Segment Information | 12 Months Ended |
Dec. 31, 2020 | |
Segment Reporting [Abstract] | |
Segment Information | SEGMENT INFORMATION We primarily operate in one reportable business segment, which is NW Natural's local gas distribution business and is referred to as the NGD segment. During the second quarter of 2018, we moved forward with long-term strategic plans, which included a shift away from the California gas storage business, by entering into a Purchase and Sale Agreement that provided for the sale of all of the membership interests in Gill Ranch. See Note 19 for additional information. As such, we reevaluated reportable segments and concluded that the remaining gas storage activities no longer meet the requirements of a reportable segment. Interstate Storage Services and asset management activities at the Mist gas storage facility are now reported as other under NW Natural. NW Natural and NW Holdings also have investments and business activities not specifically related to the NGD segment, which are aggregated and reported as other and described below for each entity. No individual customer accounts for over 10% of NW Holdings' or NW Natural's operating revenues. Natural Gas Distribution NW Natural's local gas distribution segment (NGD) is a regulated utility principally engaged in the purchase, sale, and delivery of natural gas and related services to customers in Oregon and southwest Washington. The NGD business is responsible for building and maintaining a safe and reliable pipeline distribution system, purchasing sufficient gas supplies from producers and marketers, contracting for firm and interruptible transportation of gas over interstate pipelines to bring gas from the supply basins into its service territory, and re-selling the gas to customers subject to rates, terms, and conditions approved by the OPUC or WUTC. NGD also includes taking customer-owned gas and transporting it from interstate pipeline connections, or city gates, to the customers’ end-use facilities for a fee, which is approved by the OPUC or WUTC. Approximately 88% of NGD customers are located in Oregon and 12% in Washington. On an annual basis, residential and commercial customers typically account for around 60% of total NGD volumes delivered and around 90% of NGD margin. Industrial customers largely account for the remaining volumes and NGD margin. A small amount of the margin is also derived from miscellaneous services, gains or losses from an incentive gas cost sharing mechanism, and other service fees. Industrial sectors served by the NGD business include: pulp, paper, and other forest products; the manufacture of electronic, electrochemical and electrometallurgical products; the processing of farm and food products; the production of various mineral products; metal fabrication and casting; the production of machine tools, machinery, and textiles; the manufacture of asphalt, concrete, and rubber; printing and publishing; nurseries; and government and educational institutions. In addition to NW Natural's local gas distribution business, the NGD segment also includes the portion of the Mist underground storage facility used to serve NGD customers, the North Mist gas storage expansion in Oregon, NWN Gas Reserves, which is a wholly-owned subsidiary of Energy Corp, and NW Natural RNG Holding Company, LLC, a holding company established to invest in the development and procurement of renewable natural gas. NW Natural NW Natural's activities in Other include Interstate Storage Services and third-party asset management services for the Mist facility in Oregon, appliance retail center operations, and corporate operating and non-operating revenues and expenses that cannot be allocated to NGD operations. Earnings from Interstate Storage Services assets are primarily related to firm storage capacity revenues. Earnings from the Mist facility also include revenue, net of amounts shared with NGD customers, from management of NGD assets at Mist and upstream pipeline capacity when not needed to serve NGD customers. Under the Oregon sharing mechanism, NW Natural retains 80% of the pre-tax income from these services when the costs of the capacity were not included in NGD rates, or 10% of the pre-tax income when the costs have been included in these rates. The remaining 20% and 90%, respectively, are recorded to a deferred regulatory account for crediting back to NGD customers. NW Holdings NW Holdings' activities in Other include all remaining activities not associated with NW Natural, specifically NWN Water, which consolidates the water and wastewater utility operations and is pursuing other investments in the water sector through itself and wholly-owned subsidiaries; NWN Gas Storage, a wholly-owned subsidiary of NWN Energy; NWN Energy's equity investment in TWH through August 6, 2020; and other pipeline assets in NNG Financial. For more information on the sale of TWH, see Note 14. Other also includes corporate revenues and expenses that cannot be allocated to other operations, including certain business development activities. All prior period amounts have been retrospectively adjusted to reflect the change in reportable segments and the designation of Gill Ranch as a discontinued operation for NW Holdings, and the designation of subsidiaries previously owned by NW Natural that are now owned by NW Holdings as discontinued operations for NW Natural. Segment Information Summary Inter-segment transactions were immaterial for the periods presented. The following table presents summary financial information concerning the reportable segment and other for continuing operations. See Note 19 for information regarding discontinued operations for NW Holdings and NW Natural. In thousands NGD Other NW Natural Other NW Holdings 2020 Operating revenues $ 741,072 $ 17,676 $ 758,748 $ 14,931 $ 773,679 Depreciation and amortization 100,591 995 101,586 2,097 103,683 Income (loss) from operations 137,724 9,916 147,640 711 148,351 Net income (loss) from continuing operations 63,555 7,008 70,563 (290) 70,273 Capital expenditures 263,777 2,271 266,048 6,968 273,016 Total assets at December 31, 2020 3,549,868 49,468 3,599,336 157,043 3,756,379 2019 Operating revenues $ 720,528 $ 19,416 $ 739,944 $ 6,428 $ 746,372 Depreciation and amortization 89,415 990 90,405 1,091 91,496 Income (loss) from operations 135,918 11,428 147,346 (3,872) 143,474 Net income (loss) from continuing operations 60,828 8,146 68,974 (3,663) 65,311 Capital expenditures 219,880 1,500 221,380 2,091 223,471 Total assets at December 31, 2019 (1) 3,273,835 47,652 3,321,487 91,833 3,413,320 2018 Operating revenues $ 680,648 $ 24,923 $ 705,571 $ 572 $ 706,143 Depreciation and amortization 83,732 1,254 84,986 170 85,156 Income (loss) from operations 118,095 15,004 133,099 (937) 132,162 Net income (loss) from continuing operations 57,491 10,558 68,049 (738) 67,311 Capital expenditures 212,323 2,005 214,328 308 214,636 Total assets at December 31, 2018 (1) 3,141,969 50,767 3,192,736 36,657 3,229,393 (1) Total assets for NW Holdings exclude assets related to discontinued operations of $15.1 million and $13.3 million as of December 31, 2019 , and 2018, respectively. Natural Gas Distribution Margin NGD margin is a financial measure used by the CODM, consisting of NGD operating revenues, reduced by the associated cost of gas, environmental remediation expense, and revenue taxes. The cost of gas purchased for NGD customers is generally a pass-through cost in the amount of revenues billed to regulated NGD customers. Environmental remediation expense represents collections received from customers through environmental recovery mechanisms in Oregon and Washington as well as adjustments for the Oregon environmental earnings test when applicable. This is offset by environmental remediation expense presented in operating expenses. Revenue taxes are collected from NGD customers and remitted to taxing authorities. The collections from customers are offset by the expense recognition of the obligation to the taxing authority. By subtracting cost of gas, environmental remediation expense, and revenue taxes from NGD operating revenues, NGD margin provides a key metric used by the CODM in assessing the performance of the NGD segment. The following table presents additional segment information concerning NGD margin: In thousands 2020 2019 2018 NGD margin calculation: NGD operating revenues $ 721,950 $ 708,472 $ 680,386 Other regulated services 19,122 12,056 262 Total NGD operating revenues 741,072 720,528 680,648 Less: NGD cost of gas 262,980 255,135 255,743 Environmental remediation expense 9,691 12,337 11,127 Revenue taxes 30,291 30,325 30,082 NGD margin $ 438,110 $ 422,731 $ 383,696 |
Common Stock Common Stock
Common Stock Common Stock | 12 Months Ended |
Dec. 31, 2020 | |
Common Stock [Abstract] | |
Common Stock | COMMON STOCK As of December 31, 2020 and 2019, NW Holdings had 100 million shares of common stock authorized. As of December 31, 2020, NW Holdings had 203,923 shares reserved for issuance of common stock under the Employee Stock Purchase Plan (ESPP) and 271,949 shares reserved for issuance under the Dividend Reinvestment and Direct Stock Purchase Plan (DRPP). At NW Holdings' election, shares sold through the DRPP may be purchased in the open market or through original issuance of shares reserved for issuance under the DRPP. The Restated Stock Option Plan (SOP) was terminated with respect to new grants in 2012; however, options granted before the Restated SOP was terminated remain outstanding until the earlier of their expiration, forfeiture, or exercise. Options are now exercisable for shares of NW Holdings common stock. There were 9,438 options outstanding at December 31, 2020, which were granted prior to termination of the plan. On June 7, 2019, NW Holdings completed the issuance of 1,437,500 shares of common stock, inclusive of the overallotment option granted to the underwriters, which was exercised in full. All shares were issued on June 7, 2019 at an offering price of $67.00 per share. The issuance resulted in proceeds to NW Holdings of $93.0 million, net of discounts and expenses. The issuance was executed to raise funds for general corporate purposes, including for equity contributions to NW Holdings’ subsidiaries, that are reflected as equity transfers on occurrence. Contributions received by NW Natural were also used, in part, to repay short-term indebtedness. Stock Repurchase Program NW Holdings has a share repurchase program under which it may purchase its common shares on the open market or through privately negotiated transactions. NW Holdings currently has Board authorization through May 2022 to repurchase up to an aggregate of the greater of 2.8 million shares or $100 million. No shares of common stock were repurchased pursuant to this program during the year ended December 31, 2020. Since the plan’s inception in 2000 under NW Natural, a total of 2.1 million shares have been repurchased at a total cost of $83.3 million. The following table summarizes the changes in the number of shares of NW Holdings' common stock issued and outstanding: In thousands Shares Balance, December 31, 2017 28,736 Sales to employees under ESPP 19 Stock-based compensation 64 Sales to shareholders under DRPP 61 Balance, December 31, 2018 28,880 Sales to employees under ESPP 18 Stock-based compensation 83 Equity issuance 1,438 Sales to shareholders under DRPP 53 Balance, December 31, 2019 30,472 Sales to employees under ESPP 3 Stock-based compensation 46 Sales to shareholders under DRPP 68 Balance, December 31, 2020 30,589 |
Revenue Revenue
Revenue Revenue | 12 Months Ended |
Dec. 31, 2020 | |
Revenue from Contract with Customer [Abstract] | |
Revenue | REVENUE The following table presents disaggregated revenue from continuing operations: Year ended December 31, 2020 In thousands NGD Other NW Natural Other NW Holdings Natural gas sales $ 710,422 $ — $ 710,422 $ — $ 710,422 Gas storage revenue, net — 9,759 9,759 — 9,759 Asset management revenue, net — 2,532 2,532 — 2,532 Appliance retail center revenue — 5,385 5,385 — 5,385 Other revenue 1,337 — 1,337 14,931 16,268 Revenue from contracts with customers 711,759 17,676 729,435 14,931 744,366 Alternative revenue 10,870 — 10,870 — 10,870 Leasing revenue 18,443 — 18,443 — 18,443 Total operating revenues $ 741,072 $ 17,676 $ 758,748 $ 14,931 $ 773,679 Year ended December 31, 2019 In thousands NGD Other NW Natural Other NW Holdings Natural gas sales $ 729,296 $ — $ 729,296 $ — $ 729,296 Gas storage revenue, net — 10,240 10,240 — 10,240 Asset management revenue, net — 3,705 3,705 — 3,705 Appliance retail center revenue — 5,471 5,471 — 5,471 Other revenue 847 — 847 6,428 7,275 Revenue from contracts with customers 730,143 19,416 749,559 6,428 755,987 Alternative revenue (20,984) — (20,984) — (20,984) Leasing revenue 11,369 — 11,369 — 11,369 Total operating revenues $ 720,528 $ 19,416 $ 739,944 $ 6,428 $ 746,372 NW Natural's revenue represents substantially all of NW Holdings' revenue and is recognized for both registrants when the obligation to customers is satisfied and in the amount expected to be received in exchange for transferring goods or providing services. Revenue from contracts with customers contains one performance obligation that is generally satisfied over time, using the output method based on time elapsed, due to the continuous nature of the service provided. The transaction price is determined by a set price agreed upon in the contract or dependent on regulatory tariffs. Customer accounts are settled on a monthly basis or paid at time of sale and based on historical experience. It is probable that we will collect substantially all of the consideration to which we are entitled. We evaluated the probability of collection in accordance with the current expected credit losses standard. NW Holdings and NW Natural do not have any material contract assets, as net accounts receivable and accrued unbilled revenue balances are unconditional and only involve the passage of time until such balances are billed and collected. NW Holdings and NW Natural do not have any material contract liabilities. Revenue taxes are included in operating revenues with an equal and offsetting expense recognized in operating expenses in the consolidated statements of comprehensive income. Revenue-based taxes are primarily franchise taxes, which are collected from NGD customers and remitted to taxing authorities. Natural Gas Distribution Natural Gas Sales NW Natural's primary source of revenue is providing natural gas to customers in the NGD service territory, which includes residential, commercial, industrial and transportation customers. NGD revenue is generally recognized over time upon delivery of the gas commodity or service to the customer, and the amount of consideration received and recognized as revenue is dependent on the Oregon and Washington tariffs. Customer accounts are to be paid in full each month, and there is no right of return or warranty for services provided. Revenues include firm and interruptible sales and transportation services, franchise taxes recovered from the customer, late payment fees, service fees, and accruals for gas delivered but not yet billed (accrued unbilled revenue). The accrued unbilled revenue balance is based on estimates of deliveries during the period from the last meter reading and management judgment is required for a number of factors used in this calculation, including customer use and weather factors. We applied the significant financing practical expedient and have not adjusted the consideration NW Natural expects to receive from NGD customers for the effects of a significant financing component as all payment arrangements are settled annually. Due to the election of the right to invoice practical expedient, we do not disclose the value of unsatisfied performance obligations. Alternative Revenue Weather normalization (WARM) and decoupling mechanisms are considered to be alternative revenue programs. Alternative revenue programs are considered to be contracts between NW Natural and its regulator and are excluded from revenue from contracts with customers. Leasing Revenue Leasing revenue primarily consists of revenues from NW Natural's North Mist Storage contract with Portland General Electric (PGE) in support of PGE's gas-fired electric power generation facilities under an initial 30-year contract with options to extend, totaling up to an additional 50 years upon mutual agreement of the parties. The facility is accounted for as a sales-type lease with regulatory accounting deferral treatment. The investment is included in rate base under an established cost-of-service tariff schedule, with revenues recognized according to the tariff schedule and as such, profit upon commencement was deferred and will be amortized over the lease term. Leasing revenue also contains rental revenue from small leases of property owned by NW Natural to third parties. The majority of these transactions are accounted for as operating leases and the revenue is recognized over the term of the lease agreement. Lease revenue is excluded from revenue from contracts with customers. See Note 7 for additional information. NW Natural Other Gas Storage Revenue NW Natural's other revenue includes gas storage activity, which includes Interstate Storage Services used to store natural gas for customers. Gas storage revenue is generally recognized over time as the gas storage service is provided to the customer and the amount of consideration received and recognized as revenue is dependent on set rates defined per the storage agreements. Noncash consideration in the form of dekatherms of natural gas is received as consideration for providing gas injection services to gas storage customers. This noncash consideration is measured at fair value using the average spot rate. Customer accounts are generally paid in full each month, and there is no right of return or warranty for services provided. Revenues include firm and interruptible storage services, net of the profit sharing amount refunded to NGD customers. Asset Management Revenue Revenues include the optimization of third-party storage assets and pipeline capacity and are provided net of the profit sharing amount refunded to NGD customers. Certain asset management revenues received are recognized over time using a straight-line approach over the term of each contract, and the amount of consideration received and recognized as revenue is dependent on a variable pricing model. Variable revenues earned above guaranteed amounts are estimated and recognized at the end of each period using the most likely amount approach. Additionally, other asset management revenues may be based on a fixed rate. Generally, asset management accounts are settled on a monthly basis. As of December 31, 2020, unrecognized revenue for the fixed component of the transaction price related to gas storage and asset management revenue was approximately $88.4 million. Of this amount, approximately $19.0 million will be recognized in 2021, $19.4 million in 2022, $17.8 million in 2023, $14.0 million in 2024, and $18.2 million thereafter. The amounts presented here are calculated using current contracted rates. Appliance Retail Center Revenue NW Natural owns and operates an appliance store that is open to the public, where customers can purchase natural gas home appliances. Revenue from the sale of appliances is recognized at the point in time in which the appliance is transferred to the third party responsible for delivery and installation services and when the customer has legal title to the appliance. It is required that the sale be paid for in full prior to transfer of legal title. The amount of consideration received and recognized as revenue varies with changes in marketing incentives and discounts offered to customers. NW Holdings Other NW Holdings' primary source of other revenue is providing water and wastewater services to customers. Water and wastewater service revenue is generally recognized over time upon delivery of the water commodity or service to the customer, and the amount of consideration received and recognized as revenue is dependent on the tariffs established in the state we operate. Customer accounts are to be paid in full each month, and there is no right of return or warranty for services provided. |
Leases (Notes)
Leases (Notes) | 12 Months Ended |
Dec. 31, 2020 | |
Leases [Abstract] | |
Leases of Lessee Disclosure | LEASES Lease Revenue Leasing revenue primarily consists of NW Natural's North Mist natural gas storage agreement with PGE which is billed under an OPUC-approved rate schedule and includes an initial 30-year term with options to extend, totaling up to an additional 50 years upon mutual agreement of the parties. Under U.S. GAAP, this agreement is classified as a sales-type lease and qualifies for regulatory accounting deferral treatment. The investment in the storage facility is included in rate base under a separately established cost-of-service tariff, with revenues recognized according to the tariff schedule. As such, the selling profit that was calculated upon commencement as part of the sale-type lease recognition was deferred and will be amortized over the lease term. Billing rates under the cost-of-service tariff will be updated annually to reflect current information including depreciable asset levels, forecasted operating expenses, and the results of regulatory proceedings, as applicable, and revenue received under this agreement is recognized as operating revenue on the consolidated statements of comprehensive income. There are no variable payments or residual value guarantees. The lease does not contain an option to purchase the underlying assets. NW Natural also maintains a sales-type lease for specialized compressor facilities to provide high pressure compressed natural gas (CNG) services. Lease payments are outlined in an OPUC-approved rate schedule over a 10-year term. There are no variable payments or residual value guarantees. The selling profit computed upon lease commencement was not significant. Our lessor portfolio also contains small leases of property owned by NW Natural to third parties. These transactions are accounted for as operating leases and the revenue is recognized over the term of the lease agreement. The components of lease revenue at NW Natural were as follows: Year ended December 31, In thousands 2020 2019 Lease revenue Operating leases $ 88 $ 171 Sales-type leases 18,355 11,198 Total lease revenue $ 18,443 $ 11,369 Total future minimum lease payments to be received under non-cancelable leases at NW Natural at December 31, 2020 are as follows: In thousands Operating Sales-Type Total 2021 $ 59 $ 17,518 $ 17,577 2022 55 17,026 17,081 2023 47 16,557 16,604 2024 47 15,867 15,914 2025 43 15,306 15,349 Thereafter 52 251,721 251,773 Total lease revenue $ 303 $ 333,995 $ 334,298 Less: imputed interest 189,501 Total leases receivable $ 144,494 The total leases receivable above is reported under the NGD segment and the short- and long-term portions are included within other current assets and assets under sales-type leases on the consolidated balance sheets, respectively. The total amount of unguaranteed residual assets was $4.3 million and $4.0 million at December 31, 2020 and 2019, respectively, and is included in assets under sales-type leases on the consolidated balance sheets. Additionally, under regulatory accounting, the revenues and expenses associated with these agreements are presented on the consolidated statements of comprehensive income such that their presentation aligns with similar regulated activities at NW Natural. Additionally, future minimum lease payments of $0.5 million for each of the years ending 2021 and 2022 are to be received under non-cancelable operating leases associated with non-utility property rentals. For each of the years ended December 31, 2020 and 2019, approximately $0.5 million of lease revenue is presented in other income (expense), net on the consolidated statements of comprehensive income as it is non-operating income. Lease Expense Operating Leases We have operating leases for land, buildings and equipment. Our primary lease is for NW Natural's operations center. Our leases have remaining lease terms of one year to 19 years. Many of our lease agreements include options to extend the lease, which we do not include in our minimum lease terms unless they are reasonably certain to be exercised. Short-term leases with a term of 12 months or less are not recorded on the balance sheet. As most of our leases do not provide an implicit rate and are entered into by NW Natural, we use an estimated discount rate representing the rate we would have incurred to finance the funds necessary to purchase the leased asset and is based on information available at the lease commencement date in determining the present value of lease payments. The components of lease expense, a portion of which is capitalized, were as follows: Year ended December 31, 2020 In thousands NW Natural Other NW Holdings Operating lease expense $ 4,381 $ 125 $ 4,506 Short-term lease expense $ 1,010 $ — $ 1,010 Year ended December 31, 2019 In thousands NW Natural Other NW Holdings Operating lease expense $ 4,620 $ 191 $ 4,811 Short-term lease expense $ 1,146 $ — $ 1,146 Supplemental balance sheet information related to operating leases as of December 31, 2020 is as follows: In thousands NW Natural Other NW Holdings Operating lease right of use assets $ 77,328 $ 118 $ 77,446 Operating lease liabilities - current liabilities $ 1,054 $ 51 $ 1,105 Operating lease liabilities - non-current liabilities 80,559 62 80,621 Total operating lease liabilities $ 81,613 $ 113 $ 81,726 Supplemental balance sheet information related to operating leases as of December 31, 2019 is as follows: In thousands NW Natural Other NW Holdings Operating lease right of use assets $ 2,760 $ 190 $ 2,950 Operating lease liabilities - current liabilities $ 1,979 $ 122 $ 2,101 Operating lease liabilities - non-current liabilities 772 69 841 Total operating lease liabilities $ 2,751 $ 191 $ 2,942 The weighted-average remaining lease terms and weighted-average discount rates for the operating leases at NW Natural were as follows: 2020 2019 Weighted-average remaining lease term (years) 19.2 1.0 Weighted-average discount rate 7.23 % 3.98 % Commencement of Significant Lease NW Natural commenced a 20-year operating lease agreement in March 2020 for a new corporate operations center in Portland, Oregon. Total estimated base rent payments over the life of the lease are approximately $159.4 million. There is an option to extend the term of the lease for two additional periods of seven years. There is a material timing difference between the minimum lease payments and expense recognition as calculated under operating lease accounting rules. OPUC issued an order allowing us to align our expense recognition with cash payments for ratemaking purposes. We recorded the difference between the minimum lease payments and the aggregate of the imputed interest on the finance lease obligation and amortization of the right-of-use asset as a regulatory asset on our balance sheet. The balance of the regulatory asset as of December 31, 2020 was $4.2 million. Maturities of operating lease liabilities at December 31, 2020 were as follows: In thousands NW Natural Other NW Holdings 2021 $ 6,760 $ 52 $ 6,812 2022 6,849 67 6,916 2023 6,986 — 6,986 2024 7,150 — 7,150 2025 7,185 — 7,185 Thereafter 123,784 — 123,784 Total lease payments 158,714 119 158,833 Less: imputed interest 77,101 6 77,107 Total lease obligations 81,613 113 81,726 Less: current obligations 1,054 51 1,105 Long-term lease obligations $ 80,559 $ 62 $ 80,621 As of December 31, 2020, finance lease liabilities with maturities of less than one year were $0.7 million at NW Natural. Cash Flow Information Supplemental cash flow information related to leases was as follows: Year ended December 31, 2020 In thousands NW Natural Other NW Holdings Cash paid for amounts included in the measurement of lease liabilities Operating cash flows from operating leases $ 4,466 $ 131 $ 4,597 Finance cash flows from finance leases $ 835 $ — $ 835 Right of use assets obtained in exchange for lease obligations Operating leases $ 78,539 $ 51 $ 78,590 Finance leases $ 1,386 $ — $ 1,386 Year ended December 31, 2019 In thousands NW Natural Other NW Holdings Cash paid for amounts included in the measurement of lease liabilities Operating cash flows from operating leases $ 4,447 $ 182 $ 4,629 Finance cash flows from finance leases $ 120 $ — $ 120 Right of use assets obtained in exchange for lease obligations Operating leases $ 7,205 $ 372 $ 7,577 Finance leases $ 312 $ — $ 312 Finance Leases |
Stock-Based Compensation (Notes
Stock-Based Compensation (Notes) | 12 Months Ended |
Dec. 31, 2020 | |
Share-based Payment Arrangement [Abstract] | |
Share-based Payment Arrangement [Text Block] | STOCK-BASED COMPENSATION Stock-based compensation plans are designed to promote stock ownership in NW Holdings by employees and officers of NW Holdings and its affiliates. These compensation plans include a Long Term Incentive Plan (LTIP), an ESPP, and a Restated SOP. Long Term Incentive Plan The LTIP is intended to provide a flexible, competitive compensation program for eligible officers and key employees. Under the LTIP, shares of NW Holdings common stock are authorized for equity incentive grants in the form of stock, restricted stock, restricted stock units, stock options, or performance shares. An aggregate of 1,100,000 shares were authorized for issuance as of December 31, 2020. Shares awarded under the LTIP may be purchased on the open market or issued as original shares. Of the 1,100,000 shares of common stock authorized for LTIP awards at December 31, 2020, there were 435,758 shares available for issuance under any type of award. This assumes market, performance, and service-based grants currently outstanding are awarded at the target level. There were no outstanding grants of restricted stock or stock options under the LTIP at December 31, 2020 or 2019. The LTIP stock awards are compensatory awards for which compensation expense is based on the fair value of stock awards, with expense being recognized over the performance and vesting period of the outstanding awards. Forfeitures are recognized as they occur. Performance Shares LTIP performance shares incorporate a combination of market, performance, and service-based factors. The following table summarizes performance share expense information: Dollars in thousands Shares (1) Expense During Award Year (2) Total Expense for Award Estimated award: 2018-2020 grant (3) 31,600 $ 2,137 $ 2,137 Actual award: 2017-2019 grant 41,537 $ 572 $ 1,971 2016-2018 grant 28,218 $ 598 $ 1,413 (1) In addition to common stock shares, a participant also receives a dividend equivalent cash payment equal to the number of shares of common stock received on the award payout multiplied by the aggregate cash dividends paid per share during the performance period. (2) Amount represents the expense recognized in the third year of the vesting period noted above. For the 2018-2020 grant, mutual understanding of the award's key terms was established in the third year of the vesting period, triggering full expense recognition in 2020. (3) This represents the estimated number of shares to be awarded as of December 31, 2020 as certain performance share measures have been achieved. Amounts are subject to change with final payout amounts authorized by the Board of Directors in February 2021. The aggregate number of performance shares granted and outstanding at the target and maximum levels were as follows: Dollars in thousands Performance Share Awards Outstanding 2020 Performance Period Target Maximum Expense 2018-20 31,825 63,650 $ 2,137 2019-21 — — — 2020-22 — — — Total 31,825 63,650 $ 2,137 Performance share awards are based on the achievement of a three-year ROIC threshold that must be met and a cumulative EPS factor, which can be modified by a TSR factor relative to the performance of the Russell 2500 Utilities Index over the three-year performance period. The performance period allows for one of the performance factors to remain variable until the first quarter of the third year of the award period. As the performance factor will not be approved until the first quarter of 2021 and 2022, there is not a mutual understanding of the awards' key terms and conditions between NW Natural and the participants as of December 31, 2020, and therefore, no expense was recognized for the 2019-2021 and 2020-2022 performance period. NW Natural will calculate the grant date fair value and recognize expense once the final performance factor has been approved. If the target is achieved for the 2019-2021 and 2020-2022 awards, NW Holdings would grant for accounting purposes 35,170 and 31,830 shares in the first quarter of 2021 and 2022, respectively. Compensation expense is recognized in accordance with accounting standards for stock-based compensation and calculated based on performance levels achieved and an estimated fair value using the Monte-Carlo method. Due to there not being a mutual understanding of the 2019-2021 and 2020-2022 awards' key terms and conditions as noted above, the grant date fair value has not yet been determined and no non-vested shares existed at December 31, 2020. The weighted-average grant date fair value of non-vested shares associated with the 2018-2020 awards was $78.96 per share at December 31, 2020. The weighted-average grant date fair value of shares vested during the year was $78.96 per share and there were no performance shares granted during the year and no unrecognized compensation expense for accounting purposes as of December 31, 2020. Restricted Stock Units In 2012, RSUs began being granted under the LTIP instead of stock options under the Restated SOP. Generally, the RSUs awarded are forfeitable and include a performance-based threshold as well as a vesting period of four years from the grant date. Upon vesting, the RSU holder is issued one share of common stock plus a cash payment equal to the total amount of dividends paid per share between the grant date and vesting date of that portion of the RSU. The fair value of an RSU is equal to the closing market price of NW Holdings' common stock on the grant date. During 2020, total RSU expense was $2.0 million compared to $1.8 million in 2019 and $1.8 million in 2018. As of December 31, 2020, there was $3.7 million of unrecognized compensation cost from grants of RSUs, which is expected to be recognized over a period extending through 2025 . Information regarding the RSU activity is summarized as follows: Number of RSUs Weighted - Nonvested, December 31, 2017 84,522 $ 53.90 Granted 32,450 57.59 Vested (32,689) 50.75 Forfeited (1,603) 59.95 Nonvested, December 31, 2018 82,680 56.47 Granted 36,018 65.29 Vested (35,778) 54.22 Forfeited (3,187) 63.89 Nonvested, December 31, 2019 79,733 61.17 Granted 33,594 55.58 Vested (29,273) 59.29 Forfeited (1,590) 69.71 Nonvested, December 31, 2020 82,464 $ 59.40 Restated Stock Option Plan The NW Natural Restated SOP was terminated for new option grants in 2012; however, options granted before the plan terminated remain outstanding until the earlier of their expiration, forfeiture, or exercise and are now exercisable for shares of NW Holdings common stock. Any new grants of stock options will be made under NW Holdings' LTIP, however, no option grants have been awarded since 2012 and all stock options were vested as of December 31, 2015. Options under the Restated SOP were granted to officers and key employees designated by a committee of the Board of Directors. All options were granted at an option price equal to the closing market price on the date of grant and may be exercised for a period of up to 10 years and seven days from the date of grant. Option holders may exchange shares they have owned for at least six months, valued at the current market price, to purchase shares at the option price. Information regarding the Restated SOP activity is summarized as follows: Option Weighted - Intrinsic Value (In millions) Balance outstanding and exercisable, December 31, 2017 91,688 $ 44.43 $ 1.4 Exercised (35,450) 43.61 0.8 Forfeited (300) 43.29 n/a Balance outstanding and exercisable, December 31, 2018 55,938 44.96 0.9 Exercised (45,000) 44.79 1.0 Forfeited — — n/a Balance outstanding and exercisable, December 31, 2019 10,938 45.67 0.3 Exercised (1,500) 45.24 — Expired — — n/a Balance outstanding and exercisable, December 31, 2020 9,438 $ 45.74 $ — The weighted-average remaining life of options exercisable and outstanding at December 31, 2020 was 0.17 years. Employee Stock Purchase Plan NW Holdings' ESPP allows employees of NW Holdings, NW Natural and certain designated subsidiaries to purchase common stock at 85% of the closing price on the trading day immediately preceding the initial offering date, which is set annually. For the 2020-2021 ESPP period, each eligible employee may purchase up to $21,232 worth of stock through payroll deductions over a period defined by the Board of Directors, with shares issued at the end of the subscription period. Stock-Based Compensation Expense Stock-based compensation expense is recognized as operations and maintenance expense or is capitalized as part of construction overhead at the entity at which the award recipient is employed. The following table summarizes the NW Holdings' financial statement impact, substantially all of which was recorded at NW Natural, of stock-based compensation under the LTIP, Restated SOP and ESPP: In thousands 2020 2019 2018 Operations and maintenance expense, for stock-based compensation $ 3,525 $ 2,172 $ 2,489 Income tax benefit (933) (575) (659) Net stock-based compensation effect on net income (loss) 2,592 1,597 1,830 Amounts capitalized for stock-based compensation $ 841 $ 430 $ 531 |
Debt
Debt | 12 Months Ended |
Dec. 31, 2020 | |
Debt Disclosure [Abstract] | |
Debt [Text Block] | DEBT Short-Term Debt The primary source of short-term liquidity for NW Holdings is cash balances, dividends from its operating subsidiaries, in particular NW Natural, available cash from a multi-year credit facility, and short-term credit facilities it may enter into from time to time. The primary source of short-term liquidity for NW Natural is from the sale of commercial paper, its multi-year credit facilities, and short-term credit facilities it may enter into from time to time. In addition to issuing commercial paper or bank loans to meet working capital requirements, including seasonal requirements to finance gas purchases and accounts receivable, short-term debt may also be used to temporarily fund capital requirements. For NW Natural, commercial paper and bank loans are periodically refinanced through the sale of long-term debt or equity contributions from NW Holdings. NW Natural's commercial paper is sold through two commercial banks under an issuing and paying agency agreement and is supported by one or more unsecured revolving credit facilities. See “ Credit Agreements ” below. At December 31, 2020 and 2019, NW Holdings had short-term debt outstanding of $304.5 million and $149.1 million, respectively. The weighted average interest rate of NW Holdings' short-term debt outstanding at December 31, 2020 and 2019 was 0.5% and 2.0%, respectively. At December 31, 2020 and 2019, NW Natural had $231.5 million and $125.1 million of commercial paper outstanding, respectively. The weighted average interest rate of commercial paper outstanding at December 31, 2020 and 2019 was 0.4% and 2.0%, respectively. The carrying cost of commercial paper approximates fair value using Level 2 inputs. See Note 2 for a description of the fair value hierarchy. At December 31, 2020, NW Natural's commercial paper had a maximum remaining maturity of 166 days and an average remaining maturity of 47 days. Credit Agreements NW Holdings In October 2018, NW Holdings entered into a $100.0 million credit agreement, with a feature that allows it to request increases in the total commitment amount, up to a maximum of $150.0 million. The maturity date of the agreement is October 2, 2023, with available extensions of commitments for two additional one-year periods, subject to lender approval. The NW Holdings credit agreement permits the issuance of letters of credit in an aggregate amount of up to $40.0 million. The principal amount of borrowings under the credit agreement is due and payable on the maturity date. The credit agreement requires NW Holdings to maintain a consolidated indebtedness to total capitalization ratio of 70% or less. Failure to comply with this covenant would entitle the lenders to terminate their lending commitments and accelerate the maturity of all amounts outstanding. NW Holdings was in compliance with this covenant at December 31, 2020 and 2019. The agreement also requires NW Holdings to maintain debt ratings (which are defined by a formula using NW Natural's credit ratings in the event NW Holdings does not have a credit rating) with Standard & Poor's (S&P) and Moody's Investors Service, Inc. (Moody’s) and notify the lenders of any change in its senior unsecured debt ratings or senior secured debt ratings, as applicable, by such rating agencies. A change in NW Holdings' debt ratings by S&P or Moody’s is not an event of default, nor is the maintenance of a specific minimum level of debt rating a condition of drawing upon the credit agreement. Rather, interest rates on any loans outstanding under the credit agreements are tied to debt ratings and therefore, a change in the debt rating would increase or decrease the cost of any loans under the credit agreements when ratings are changed. NW Holdings does not currently maintain ratings with S&P or Moody's. There was $73.0 million and $24.0 million of outstanding balances under the NW Holdings agreement at December 31, 2020 and 2019, respectively. No letters of credit were issued or outstanding under the NW Holdings agreement at December 31, 2020 and 2019. NW Holdings had a $1.0 million letter of credit issued and outstanding, separate from the aforementioned credit agreement, at December 31, 2019 for the purposes of facilitating the Suncadia acquisition. This letter of credit was extinguished upon the close of the transaction in February 2020. NW Natural In October 2018, NW Natural entered into a multi-year credit agreement for unsecured revolving loans totaling $300.0 million, with a feature that allows NW Natural to request increases in the total commitment amount, up to a maximum of $450.0 million. The maturity date of the agreement is October 2, 2023 with available extensions of commitments for two additional one-year periods, subject to lender approval. The credit agreement permits the issuance of letters of credit in an aggregate amount of up to $60.0 million. The principal amount of borrowings under the credit agreement is due and payable on the maturity date. There were no outstanding balances under NW Natural's credit agreement and no letters of credit issued or outstanding at December 31, 2020 and 2019. NW Natural's credit agreement require NW Natural to maintain a consolidated indebtedness to total capitalization ratio of 70% or less. Failure to comply with this covenant would entitle the lenders to terminate their lending commitments and accelerate the maturity of all amounts outstanding. NW Natural was in compliance with this covenant at December 31, 2020 and 2019. The credit agreement also requires NW Natural to maintain credit ratings with S&P and Moody’s and notify the lenders of any change in NW Natural's senior unsecured debt ratings or senior secured debt ratings, as applicable, by such rating agencies. A change in NW Natural's debt ratings by S&P or Moody’s is not an event of default, nor is the maintenance of a specific minimum level of debt rating a condition of drawing upon the credit agreement. Rather, interest rates on any loans outstanding under the credit agreement are tied to debt ratings and therefore, a change in the debt rating would increase or decrease the cost of any loans under the credit agreement when ratings are changed. Long-Term Debt NW Holdings At December 31, 2020 and 2019, NW Holdings had long-term debt outstanding of $955.4 million and $881.1 million, respectively; which included $7.5 million and $5.7 million of unamortized debt issuance costs at NW Natural, respectively. NW Holdings' long-term debt is primarily comprised of debt held at its wholly-owned subsidiaries NW Natural (shown below) and NWN Water. Long-term debt at NWN Water is primarily comprised of a two-year term loan agreement for $35.0 million, due in 2021. NWN Water entered into this agreement in June 2019 and the loan carried an interest rate of 0.70% at December 31, 2020, which is based upon the one-month LIBOR rate. The loan is guaranteed by NW Holdings and requires NW Holdings to maintain a consolidated indebtedness to total capitalization ratio of 70% or less. Failure to comply with this covenant would entitle the lenders to terminate their lending commitments and accelerate the maturity of all amounts outstanding. NW Holdings was in compliance with this covenant at December 31, 2020, with a consolidated indebtedness to total capitalization ratio of 58.6%. NW Natural NW Natural's issuance of FMBs, which includes NW Natural's medium-term notes, under the Mortgage and Deed of Trust (Mortgage) is limited by eligible property, adjusted net earnings, and other provisions of the Mortgage. The Mortgage constitutes a first mortgage lien on substantially all of NW Natural's NGD property. Maturities and Outstanding Long-Term Debt Retirement of long-term debt for each of the annual periods through December 31, 2025 and thereafter are as follows: In thousands Long-term debt maturities NW Natural 2021 $ 60,000 2022 — 2023 90,000 2024 — 2025 30,000 Thereafter 744,700 Total $ 924,700 The following table presents debt outstanding as of December 31: In thousands 2020 2019 NW Natural First Mortgage Bonds: 5.370% Series due 2020 $ — $ 75,000 9.050% Series due 2021 10,000 10,000 3.176% Series due 2021 50,000 50,000 3.542% Series due 2023 50,000 50,000 5.620% Series due 2023 40,000 40,000 7.720% Series due 2025 20,000 20,000 6.520% Series due 2025 10,000 10,000 7.050% Series due 2026 20,000 20,000 3.211% Series due 2026 35,000 35,000 7.000% Series due 2027 20,000 20,000 2.822% Series due 2027 25,000 25,000 6.650% Series due 2027 19,700 19,700 6.650% Series due 2028 10,000 10,000 3.141% Series due 2029 50,000 50,000 7.740% Series due 2030 20,000 20,000 7.850% Series due 2030 10,000 10,000 5.820% Series due 2032 30,000 30,000 5.660% Series due 2033 40,000 40,000 5.250% Series due 2035 10,000 10,000 4.000% Series due 2042 50,000 50,000 4.136% Series due 2046 40,000 40,000 3.685% Series due 2047 75,000 75,000 4.110% Series due 2048 50,000 50,000 3.869% Series due 2049 90,000 90,000 3.600% Series due 2050 150,000 — Long-term debt, gross 924,700 849,700 Less: current maturities 60,000 75,000 Total long-term debt $ 864,700 $ 774,700 First Mortgage Bonds In March 2020, NW Natural issued $150.0 million of FMBs with an interest rate of 3.600%, due in 2050. Retirements of Long-Term Debt In February 2020, NW Natural retired $75.0 million of FMBs with an interest rate of 5.370%. Fair Value of Long-Term Debt NW Holdings' and NW Natural's outstanding debt does not trade in active markets. The fair value of debt is estimated using natural gas distribution companies with similar credit ratings, terms, and remaining maturities to NW Holdings' and NW Natural's debt that actively trade in public markets. Substantially all outstanding debt at NW Holdings is comprised of NW Natural debt. These valuations are based on Level 2 inputs as defined in the fair value hierarchy. See Note 2. The following table provides an estimate of the fair value of NW Holdings' long-term debt, including current maturities of long-term debt, using market prices in effect on the valuation date : December 31, In thousands 2020 2019 Gross long-term debt $ 962,905 $ 886,776 Unamortized debt issuance costs (7,480) (5,712) Carrying amount $ 955,425 $ 881,064 Estimated fair value (1) $ 1,136,311 $ 957,268 (1) Estimated fair value does not include unamortized debt issuance costs. The following table provides an estimate of the fair value of NW Natural's long-term debt, including current maturities of long-term debt, using market prices in effect on the valuation date : December 31, In thousands 2020 2019 Gross long-term debt $ 924,700 $ 849,700 Unamortized debt issuance costs (7,480) (5,712) Carrying amount $ 917,220 $ 843,988 Estimated fair value (1) $ 1,097,348 $ 919,835 (1) Estimated fair value does not include unamortized debt issuance costs. |
Pension and Other Postretirem_2
Pension and Other Postretirement Benefits Costs | 12 Months Ended |
Dec. 31, 2020 | |
Retirement Benefits [Abstract] | |
Pension and Other Postretirement Benefits Costs | PENSION AND OTHER POSTRETIREMENT BENEFIT COSTS NW Natural maintains a qualified non-contributory defined benefit pension plan (Pension Plan), non-qualified supplemental pension plans for eligible executive officers and other key employees, and other postretirement employee benefit plans. NW Natural also has a qualified defined contribution plan (Retirement K Savings Plan) for all eligible employees. The Pension Plan and Retirement K Savings Plan have plan assets, which are held in qualified trusts to fund retirement benefits. Effective January 1, 2007 and 2010, the Pension Plan and postretirement benefits for non-union employees and union employees, respectively, were closed to new participants. Non-union and union employees hired or re-hired after December 31, 2006 and 2009, respectively, and employees of NW Natural subsidiaries are provided an enhanced Retirement K Savings Plan benefit. The following table provides a reconciliation of the changes in NW Natural's benefit obligations and fair value of plan assets, as applicable, for NW Natural's pension and other postretirement benefit plans, excluding the Retirement K Savings Plan, and a summary of the funded status and amounts recognized in NW Holdings' and NW Natural's consolidated balance sheets as of December 31: Postretirement Benefit Plans Pension Benefits Other Benefits In thousands 2020 2019 2020 2019 Reconciliation of change in benefit obligation: Obligation at January 1 $ 515,668 $ 455,568 $ 29,568 $ 28,172 Service cost 6,614 6,308 258 244 Interest cost 16,161 18,683 905 1,117 Net actuarial loss 52,777 58,269 145 1,809 Benefits paid (25,073) (23,160) (1,837) (1,774) Obligation at December 31 $ 566,147 $ 515,668 $ 29,039 $ 29,568 Reconciliation of change in plan assets: Fair value of plan assets at January 1 $ 313,051 $ 257,797 $ — $ — Actual return on plan assets 54,600 65,104 — — Employer contributions 31,354 13,310 1,837 1,774 Benefits paid (25,073) (23,160) (1,837) (1,774) Fair value of plan assets at December 31 $ 373,932 $ 313,051 $ — $ — Funded status at December 31 $ (192,215) $ (202,617) $ (29,039) $ (29,568) At December 31, 2020, the net liability (benefit obligations less market value of plan assets) for the Pension Plan decreased $13.1 million compared to 2019. The decrease in the net pension liability is primarily due to the $60.9 million increase in plan assets, partially offset by the $47.8 million increase to the pension benefit obligation. The liability for non-qualified plans increased $2.7 million, and the liability for other postretirement benefits decreased $0.5 million in 2020. NW Natural's Pension Plan had a projected benefit obligation of $525.1 million and $477.3 million at December 31, 2020 and 2019, respectively, and fair values of plan assets of $373.9 million and $313.1 million, respectively. The plan had an accumulated benefit obligation of $480.0 million and $434.9 million at December 31, 2020 and 2019, respectively. The following table presents amounts realized through regulatory assets or in other comprehensive loss (income) for the years ended December 31: Regulatory Assets Other Comprehensive Loss (Income) Pension Benefits Other Postretirement Benefits Pension Benefits In thousands 2020 2019 2018 2020 2019 2018 2020 2019 2018 Net actuarial loss (gain) $ 16,170 $ 10,424 $ 14,261 $ 145 $ 1,809 $ (327) $ 3,873 $ 3,595 $ (677) Amortization of: Prior service (cost) credit — (7) (42) 468 468 468 — — — Actuarial loss (18,627) (14,057) (18,761) (607) (369) (448) (923) (648) (1,052) Total $ (2,457) $ (3,640) $ (4,542) $ 6 $ 1,908 $ (307) $ 2,950 $ 2,947 $ (1,729) The following table presents amounts recognized in regulatory assets and accumulated other comprehensive loss (AOCL) at December 31: Regulatory Assets AOCL Pension Benefits Other Postretirement Benefits Pension Benefits In thousands 2020 2019 2020 2019 2020 2019 Prior service cost (credit) $ — $ — $ (801) $ (1,270) $ — $ — Net actuarial loss 164,446 166,903 7,167 7,629 17,434 14,484 Total $ 164,446 $ 166,903 $ 6,366 $ 6,359 $ 17,434 $ 14,484 The following table presents amounts recognized by NW Holdings and NW Natural in AOCL and the changes in AOCL related to NW Natural's non-qualified employee benefit plans: Year ended December 31, In thousands 2020 2019 Beginning balance $ (10,733) $ (7,188) Amounts reclassified to AOCL (3,873) (3,611) Amounts reclassified from AOCL: Amortization of actuarial losses 923 648 Reclassification of stranded tax effects (1) — (1,366) Total reclassifications before tax (2,950) (4,329) Tax expense 781 784 Total reclassifications for the period (2,169) (3,545) Ending balance $ (12,902) $ (10,733) (1) Reclassification of $1.4 million of income tax effects resulting from the TCJA from accumulated other comprehensive loss to retained earnings was made pursuant to the adoption of ASU 2018-02. See Note 2. In 2021, NW Natural will amortize an estimated $20.8 million from regulatory assets to net periodic benefit costs, consisting of $21.3 million of actuarial losses offset by $0.5 million of prior service credits. The assumed discount rates for NW Natural's Pension Plan and other postretirement benefit plans were determined independently based on the FTSE Above Median Curve (discount rate curve), which uses high quality corporate bonds rated AA- or higher by S&P or Aa3 or higher by Moody’s. The discount rate curve was applied to match the estimated cash flows in each of the plans to reflect the timing and amount of expected future benefit payments for these plans. The assumed expected long-term rate of return on plan assets for the Pension Plan was developed using a weighted-average of the expected returns for the target asset portfolio. In developing the expected long-term rate of return assumption, consideration was given to the historical performance of each asset class in which the plan’s assets are invested and the target asset allocation for plan assets. The investment strategy and policies for Pension Plan assets held in the retirement trust fund were approved by the NW Natural Retirement Committee, which is composed of senior management with the assistance of an outside investment consultant. The policies set forth the guidelines and objectives governing the investment of plan assets. Plan assets are invested for total return with appropriate consideration for liquidity, portfolio risk, and return expectations. All investments are expected to satisfy the prudent investments rule under the Employee Retirement Income Security Act of 1974. The approved asset classes may include cash and short-term investments, fixed income, common stock and convertible securities, absolute and real return strategies, and real estate. Plan assets may be invested in separately managed accounts or in commingled or mutual funds. Investment re-balancing takes place periodically as needed, or when significant cash flows occur, in order to maintain the allocation of assets within the stated target ranges. The retirement trust fund is not currently invested in NW Holdings or NW Natural securities. The following table presents the Pension Plan asset target allocation at December 31, 2020: Asset Category Target Allocation Long government/credit 20 % U.S. large cap equity 18 Non-U.S. equity 18 Absolute return strategies 12 U.S. small/mid cap equity 10 Real estate funds 7 High yield bonds 5 Emerging markets equity 5 Emerging market debt 5 Non-qualified supplemental defined benefit plan obligations were $41.0 million and $38.3 million at December 31, 2020 and 2019, respectively. These plans are not subject to regulatory deferral, and the changes in actuarial gains and losses, prior service costs, and transition assets or obligations are recognized in AOCL, net of tax until they are amortized as a component of net periodic benefit cost. These are unfunded, non-qualified plans with no plan assets; however, a significant portion of the obligations is indirectly funded with company and trust-owned life insurance and other assets. Other postretirement benefit plans are unfunded plans but are subject to regulatory deferral. The actuarial gains and losses, prior service costs, and transition assets or obligations for these plans are recognized as a regulatory asset. Net periodic benefit costs consist of service costs, interest costs, the expected returns on plan assets, and the amortization of gains and losses and prior service costs. The gains and losses are the sum of the actuarial and asset gains and losses throughout the year and are amortized over the average remaining service period of active participants. The asset gains and losses are based in part on a market-related valuation of assets. The market-related valuation reflects differences between expected returns and actual investment returns with the differences recognized over a two-year period from the year in which they occur, thereby reducing year-to-year net periodic benefit cost volatility. The service cost component of net periodic benefit cost for NW Natural pension and other postretirement benefit plans is recognized in operations and maintenance expense in the consolidated statements of comprehensive income. The other non-service cost components are recognized in other income (expense), net in the consolidated statements of comprehensive income. The following table provides the components of net periodic benefit cost for NW Natural's pension and other postretirement benefit plans for the years ended December 31: Pension Benefits Other Postretirement Benefits In thousands 2020 2019 2018 2020 2019 2018 Service cost $ 6,614 $ 6,308 $ 7,185 $ 258 $ 244 $ 282 Interest cost 16,161 18,684 16,991 905 1,116 964 Expected return on plan assets (21,865) (20,854) (20,639) — — — Amortization of prior service cost (credit) — 7 43 (468) (468) (468) Amortization of net actuarial loss 19,550 14,704 19,813 607 368 448 Net periodic benefit cost 20,460 18,849 23,393 1,302 1,260 1,226 Amount allocated to construction (2,798) (2,493) (2,764) (98) (86) (98) Amount deferred to regulatory balancing account — — (10,314) — — — Net periodic benefit cost charged to expense 17,662 16,356 10,315 1,204 1,174 1,128 Regulatory pension disallowance — 10,500 — — — — Amortization of regulatory balancing account 7,131 16,841 — — — — Net amount charged to expense $ 24,793 $ 43,697 $ 10,315 $ 1,204 $ 1,174 $ 1,128 Net periodic benefit costs are reduced by amounts capitalized to NGD plant. In addition, a certain amount of net periodic benefit costs were recorded to the regulatory balancing account, representing net periodic pension expense for the Pension Plan above the amount set in rates, as approved by the OPUC, from 2011 through October 31, 2018. In March 2019, the OPUC issued an order concluding the NW Natural 2018 Oregon rate case. The order allowed for the application of certain deferred revenues and tax benefits from the TCJA to reduce NW Natural's pension regulatory balancing account. A corresponding total of $12.5 million in pension expenses were recognized in operating and maintenance expense and other income (expense), net in the consolidated statements of comprehensive income in the first quarter of 2019, with offsetting benefits recorded within operating revenues and income taxes. The order also directed NW Natural to reduce the balancing account by an additional $10.5 million, of which $3.9 million was charged to operations and maintenance expense and $6.6 million was charged to other income (expense), net in the consolidated statements of comprehensive income. Amortization of the remaining amount of the balancing account began in the second quarter of 2019 in accordance with the order. Total amortization of the regulatory balancing account of $7.1 million and $16.8 million was recognized in 2020 and 2019, respectively, of which $2.6 million and $6.2 million was charged to operations and maintenance expense, respectively, and $4.5 million and $10.6 million was charged to other income (expense), net, respectively. Total deferrals of the regulatory balancing account were $10.3 million in 2018, of which $2.4 million was deferred from operations and maintenance expense and $7.9 million was deferred from other income (expense), net. The following table provides the assumptions used in measuring periodic benefit costs and benefit obligations for the years ended December 31: Pension Benefits Other Postretirement Benefits 2020 2019 2018 2020 2019 2018 Assumptions for net periodic benefit cost: Weighted-average discount rate 3.18 % 4.19 % 3.51 % 3.11 % 4.13 % 3.44 % Rate of increase in compensation 3.50 % 3.25-3.50% 3.25-4.50% n/a n/a n/a Expected long-term rate of return 7.25 % 7.50 % 7.50 % n/a n/a n/a Assumptions for year-end funded status: Weighted-average discount rate 2.36 % 3.16 % 4.20 % 2.34 % 3.11 % 4.13 % Rate of increase in compensation (1) 3.50-6.50% 3.50-6.50% 3.25-4.50% n/a n/a n/a Expected long-term rate of return 7.25 % 7.25 % 7.50 % n/a n/a n/a (1) Rate assumption is 6.50% in 2020 and 3.50% thereafter. The 2020 compensation increase assumption was a result of the 2019 execution of a new collective bargaining agreement with unionized members of NW Natural effective December 1, 2019. The assumed annual increase in health care cost trend rates used in measuring other postretirement benefits as of December 31, 2020 was 6.25%. These trend rates apply to both medical and prescription drugs. Medical costs and prescription drugs are assumed to decrease gradually each year to a rate of 4.75% by 2026. Assumed health care cost trend rates can have a significant effect on the amounts reported for the health care plans; however, other postretirement benefit plans have a cap on the amount of costs reimbursable by NW Natural. Mortality assumptions are reviewed annually and are updated for material changes as necessary. In 2020, mortality rate assumptions were updated from Pri-2012 mortality tables using scale MP-2019 to Pri-2012 mortality tables using scale MP-2020, which partially offset increases of the projected benefit obligation. The following table provides information regarding employer contributions and benefit payments for NW Natural's Pension Plan, non-qualified pension plans, and other postretirement benefit plans for the years ended December 31, and estimated future contributions and payments: In thousands Pension Benefits Other Benefits Employer Contributions: 2019 $ 13,310 $ 1,774 2020 31,362 1,837 2021 (estimated) 22,465 1,654 Benefit Payments: 2018 21,918 1,674 2019 23,160 1,774 2020 25,073 1,837 Estimated Future Benefit Payments: 2021 24,609 1,654 2022 25,299 1,664 2023 26,083 1,694 2024 26,807 1,690 2025 27,399 1,678 2026-2030 149,287 7,815 Employer Contributions to Company-Sponsored Defined Benefit Pension Plan NW Natural makes contributions to its Pension Plan based on actuarial assumptions and estimates, tax regulations, and funding requirements under federal law. The Pension Protection Act of 2006 (the Act) established funding requirements for defined benefit plans. The Act establishes a 100% funding target over seven years for plan years beginning after December 31, 2008. In July 2012, President Obama signed the Moving Ahead for Progress in the 21st Century Act (MAP-21) into law, which changed several provisions affecting pension plans, including temporary funding relief and Pension Benefit Guaranty Corporation (PBGC) premium increases, which shifts the level of minimum required contributions from the short-term to the long-term as well as increasing the operational costs of running a pension plan. MAP-21 established a new minimum and maximum corridor for segment rates based on a 25-year average of bond yields, which resulted in lower minimum contributions requirements than those under previous regulations. MAP-21, as amended, provides for the current corridor to be in effect through 2020 and subsequently broaden on an annual basis from 2021 through 2024. The Pension Plan was underfunded by $151.2 million at December 31, 2020. NW Natural made cash contributions totaling $29.0 million to its Pension Plan for 2020. During 2021, NW Natural expects to make contributions of approximately $20.1 million to this plan. Multiemployer Pension Plan In addition to the NW Natural-sponsored Pension Plan presented above, prior to 2014 NW Natural contributed to a multiemployer pension plan for its NGD union employees known as the Western States Office and Professional Employees International Union Pension Fund (Western States Plan). That plan's employer identification number is 94-6076144. Effective December 22, 2013, NW Natural withdrew from the plan, which was a noncash transaction. Vested participants will receive all benefits accrued through the date of withdrawal. As the plan was underfunded at the time of withdrawal, NW Natural was assessed a withdrawal liability of $8.3 million, plus interest, which requires NW Natural to pay $0.6 million each year to the plan for 20 years beginning in July 2014. The cost of the withdrawal liability was deferred to a regulatory account on the balance sheet. Payments were $0.7 million for 2020, and as of December 31, 2020 the liability balance was $6.1 million. Contributions to the plan were $0.6 million for each of 2019 and 2018, which was approximately 5% to 6% of the total contributions to the plan by all employer participants in those years. Defined Contribution Plan NW Natural's Retirement K Savings Plan is a qualified defined contribution plan under Internal Revenue Code Sections 401(a) and 401(k). NW Natural contributions totaled $8.3 million, $7.0 million, and $6.5 million for 2020, 2019, and 2018, respectively. The Retirement K Savings Plan includes an Employee Stock Ownership Plan. Deferred Compensation Plans NW Natural's supplemental deferred compensation plans for eligible officers and senior managers are non-qualified plans. These plans are designed to enhance the retirement savings of employees and to assist them in strengthening their financial security by providing an incentive to save and invest regularly. Fair Value Below is a description of the valuation methodologies used for assets measured at fair value. In cases where NW Natural's Pension Plan is invested through a collective trust fund or mutual fund, the fund's market value is utilized. Market values for investments directly owned are also utilized. U.S. EQUITY. These are non-published net asset value (NAV) assets. The non-published NAV assets consist of commingled trusts where NAV is not published but the investment can be readily disposed of at NAV or market value. The underlying investments in this asset class includes investments primarily in U.S. common stocks. INTERNATIONAL/GLOBAL EQUITY. These are Level 1 and non-published NAV assets. The Level 1 asset is a mutual fund, and the non-published NAV assets consist of commingled trusts where the NAV/unit price is not published, but the investment can be readily disposed of at the NAV/unit price. The mutual funds has a readily determinable fair value, including a published NAV, and the commingled trusts are valued at unit price. This asset class includes investments primarily in foreign equity common stocks. LIABILITY HEDGING. These are non-published NAV assets. The non-published NAV assets consist of commingled trusts where NAV is not published but the investment can be readily disposed of at NAV or market value. The underlying investments in this asset class include long duration fixed income investments primarily in U.S. treasuries, U.S. government agencies, municipal securities, mortgage-backed securities, asset-backed securities, as well as U.S. and international investment-grade corporate bonds. OPPORTUNISTIC. These are non-published NAV assets consisting of commingled trusts where the investments can be readily disposed of at unit price, and a hedge fund of funds where the valuation is not published. This hedge fund of funds is winding down. Based on recent dispositions, NW Natural believes the remaining investment is fairly valued. The hedge fund of funds is valued at the weighted average value of investments in various hedge funds, which in turn are valued at the closing price of the underlying securities. This asset class includes investments in emerging market debt, leveraged loans, REITs, high yield bonds, a commodities fund, and a hedge fund of funds . ABSOLUTE RETURN STRATEGY. This is a non-published NAV asset consisting of a hedge fund of funds where the valuation is not published. This hedge fund of funds is winding down. Based on recent dispositions, NW Natural believes the remaining investment is fairly valued. The hedge fund of funds is valued at the weighted average value of investments in various hedge funds, which in turn are valued at the closing price of the underlying securities. This asset class primarily includes investments in common stocks and fixed income securities. CASH AND CASH EQUIVALENTS. These are Level 1 and non-published NAV assets. The Level 1 assets consist of cash in U.S. dollars, which can be readily disposed of at face value. The non-published NAV assets represent mutual funds without published NAV's but the investment can be readily disposed of at the NAV. The mutual funds are valued at the NAV of the shares held by the plan at the valuation date. The preceding valuation methods may produce a fair value calculation that is not indicative of net realizable value or reflective of future fair values. Although we believe these valuation methods are appropriate and consistent with other market participants, the use of different methodologies or assumptions to determine the fair value of certain investments could result in a different fair value measurement at the reporting date. Investment securities are exposed to various financial risks including interest rate, market, and credit risks. Due to the level of risk associated with certain investment securities, it is reasonably possible that changes in the values of NW Natural's investment securities will occur in the near term and such changes could materially affect NW Natural's investment account balances and the amounts reported as plan assets available for benefit payments. The following tables present the fair value of NW Natural's Pension Plan assets, including outstanding receivables and liabilities, of NW Natural's retirement trust fund: In thousands December 31, 2020 Investments Level 1 Level 2 Level 3 Non-Published NAV (1) Total US equity $ — $ — $ — $ 117,764 $ 117,764 International / Global equity 39,114 — — 78,092 117,206 Liability hedging — — — 111,041 111,041 Opportunistic — — — 25,625 25,625 Cash and cash equivalents — — — 2,295 2,295 Total investments $ 39,114 $ — $ — $ 334,817 $ 373,931 December 31, 2019 Investments Level 1 Level 2 Level 3 Non-Published NAV (1) Total US equity $ — $ — $ — $ 95,604 $ 95,604 International / Global equity 33,168 — — 74,337 107,505 Liability hedging — — — 93,028 93,028 Opportunistic — — — 9,864 9,864 Cash and cash equivalents — — — 7,049 7,049 Total investments $ 33,168 $ — $ — $ 279,882 $ 313,050 December 31, 2020 2019 Receivables: Accrued interest and dividend income $ 6,429 $ 3,243 Total receivables 6,429 3,243 Liabilities: Due to broker for securities purchased 6,429 3,242 Total investment in retirement trust $ 373,931 $ 313,051 (1) The fair value for these investments is determined using Net Asset Value per share (NAV) as of December 31, as a practical expedient, and therefore they are not classified within the fair value hierarchy. These investments primarily consist of institutional investment products, for which the NAV is generally not publicly available. |
Income Tax
Income Tax | 12 Months Ended |
Dec. 31, 2020 | |
Income Tax Disclosure [Abstract] | |
Income Tax [Text Block] | INCOME TAX The following table provides a reconciliation between income taxes calculated at the statutory federal tax rate and the provision for income taxes reflected in the NW Holdings and NW Natural statements of comprehensive income or loss for December 31: NW Holdings NW Natural Dollars in thousands 2020 2019 2018 2020 2019 2018 Income taxes at federal statutory rate $ 19,185 $ 16,370 $ 19,222 $ 19,248 $ 17,438 $ 19,434 Increase (decrease): State income tax, net of federal 6,389 4,422 4,927 6,385 4,716 4,982 Differences required to be flowed-through by regulatory commissions (3,960) (5,772) 1,302 (3,960) (5,772) 1,302 Deferred tax rate differential post-TCJA — — (76) — — (75) Regulatory settlement — (1,129) — — (1,129) — Other, net (532) (1,249) (1,184) (578) (1,188) (1,184) Total provision for income taxes $ 21,082 $ 12,642 $ 24,191 $ 21,095 $ 14,065 $ 24,459 Effective tax rate 23.1 % 16.2 % 26.4 % 23.0 % 16.9 % 26.4 % The NW Holdings and NW Natural effective income tax rates for 2020 compared to 2019 changed primarily as a result of higher pre-tax income, the Oregon Corporate Activity Tax effective January 1, 2020, and amortization of excess deferred income tax benefits as ordered by regulatory commissions. The NW Holdings and NW Natural effective income tax rates for 2019 compared to 2018 changed primarily as a result of lower pre-tax income and amortization of excess deferred income tax benefits as ordered by regulatory commissions. The provision for current and deferred income taxes consists of the following at December 31: NW Holdings NW Natural In thousands 2020 2019 2018 2020 2019 2018 Current Federal $ 10,106 $ 5,530 $ 8,953 $ 11,092 $ 6,755 $ 9,127 State 5,971 1,667 3,785 5,357 2,101 3,846 Total current income taxes 16,077 7,197 12,738 16,449 8,856 12,973 Deferred Federal 2,888 1,515 9,001 1,921 1,340 9,025 State 2,117 3,930 2,452 2,725 3,869 2,461 Total deferred income taxes 5,005 5,445 11,453 4,646 5,209 11,486 Income tax provision $ 21,082 $ 12,642 $ 24,191 $ 21,095 $ 14,065 $ 24,459 The following table summarizes the tax effect of significant items comprising NW Holdings and NW Natural's deferred income tax balances recorded at December 31: NW Holdings NW Natural In thousands 2020 2019 2020 2019 Deferred tax liabilities: Plant and property $ 297,078 $ 269,886 $ 290,105 $ 281,044 Leases receivable 39,396 40,133 39,396 40,133 Pension and postretirement obligations 25,066 22,635 25,066 22,635 Income tax regulatory asset 17,104 19,382 17,104 19,382 Lease right of use assets 21,613 778 21,596 731 Other — 748 — 407 Total deferred income tax liabilities $ 400,257 $ 353,562 $ 393,267 $ 364,332 Deferred income tax assets: Income tax regulatory liability $ 52,590 $ 54,259 $ 52,366 $ 54,259 Lease liabilities 21,622 775 21,606 728 Other intangible assets 4,485 2,723 — — Net operating losses and credits carried forward 861 162 80 48 Other 1,407 — 1,181 — Total deferred income tax assets $ 80,965 $ 57,919 $ 75,233 $ 55,035 Total net deferred income tax liabilities $ 319,292 $ 295,643 $ 318,034 $ 309,297 At December 31, 2020 and 2019, regulatory income tax assets of $14.6 million and $16.9 million, respectively, were recorded by NW Natural, a portion of which is recorded in current assets. These regulatory income tax assets primarily represent future rate recovery of deferred tax liabilities, resulting from differences in NGD plant financial statement and tax bases and NGD plant removal costs, which were previously flowed through for rate making purposes and to take into account the additional future taxes, which will be generated by that recovery. These deferred tax liabilities, and the associated regulatory income tax assets, are currently being recovered through customer rates. At December 31, 2020 and 2019, regulatory income tax assets of $2.5 million and $2.5 million, respectively, were recorded by NW Natural, representing future recovery of deferred tax liabilities resulting from the equity portion of AFUDC. At December 31, 2020, regulatory income tax assets of $1.7 million were recorded by NW Natural, representing future recovery of Oregon Corporate Activity tax that was deferred between January 1, 2020 and October 31, 2020. In October 2020, the OPUC issued an order providing for recovery of deferred Oregon CAT as well as CAT incurred prospectively beginning November 1, 2020 At December 31, 2020 and 2019, deferred tax assets of $52.4 million and $54.3 million, respectively, were recorded by NW Natural representing the future income tax benefit associated with the excess deferred income tax regulatory liability recorded as a result of the lower federal corporate income tax rate provided for by the TCJA. At December 31, 2020 and 2019, regulatory liability balances representing the benefit of the change in deferred taxes as a result of the TCJA of $197.8 million and $205.0 million, respectively, were recorded by NW Natural. NW Natural’s natural gas utility rates include an allowance to provide for the recovery of the anticipated provision for income taxes incurred as a result of providing regulated services. As a result of the 21 percent federal corporate income tax rate enacted in 2017, NW Natural recorded an additional regulatory liability in 2018 and 2019 reflecting the deferral of the estimated rate benefit for customers. The deferral period for Oregon ended on October 31, 2018 coincident with new rates beginning November 1, 2018. The deferral period for Washington ended on October 31, 2019 coincident with new rates beginning November 1, 2019. At December 31, 2019, a regulatory liability of $1.7 million was recorded to reflect this estimated revenue deferral. The liability has been completely amortized to customers’ benefit as of December 31, 2020. NW Holdings and NW Natural assess the available positive and negative evidence to estimate if sufficient taxable income will be generated to utilize their respective existing deferred tax assets. Based upon this assessment, NW Holdings and NW Natural determined that it is more likely than not that all of their respective deferred tax assets recorded as of December 31, 2020 will be realized. The Company estimates it has net operating loss (NOL) carryforwards of $0.3 million for federal taxes and $11.5 million for state taxes at December 31, 2020. We anticipate fully utilizing these NOL carryforward balances before they begin to expire in 2030 for federal and 2023 for state. Oregon Energy Incentive Program (EIP) credits, California alternative minimum tax (AMT) credits and Idaho investment tax credits (ITC) of $0.1 million are also available. The EIP credits expires in 2025. The AMT credits do not expire. The ITC credits expire in 2033. Uncertain tax positions are accounted for in accordance with accounting standards that require an assessment of the anticipated settlement outcome of material uncertain tax positions taken in a prior year, or planned to be taken in the current year. Until such positions are sustained, the uncertain tax benefits resulting from such positions would not be recognized. No reserves for uncertain tax positions were recorded as of December 31, 2020, 2019, or 2018. The federal income tax returns for tax years 2016 and earlier are closed by statute. The IRS Compliance Assurance Process (CAP) examination of the 2017 and 2018 tax years have been completed. There were no material changes to these returns as filed. The 2019 and 2020 tax years are currently under IRS CAP examination. Our 2021 CAP application has been filed. Under the CAP program, NW Holdings and NW Natural work with the IRS to identify and resolve material tax matters before the tax return is filed each year. As of December 31, 2020, income tax years 2016 through 2019 remain open for examination by the State of California. Income tax years 2018 and 2019 are open for examination by the State of Idaho. The State of Oregon examined the Oregon corporate income tax returns for tax years 2015, 2016, and 2017. No material changes occurred as a result of this examination. Tax years 2018 and 2019 are open for examination by the State of Oregon. U.S. Federal TCJA Matters On December 22, 2017, the TCJA was enacted and permanently lowered the U.S. federal corporate income tax rate to 21% from the previous maximum rate of 35%, effective for the tax year beginning January 1, 2018. The TCJA included specific provisions related to regulated public utilities that provide for the continued deductibility of interest expense and the elimination of bonus tax depreciation for property both acquired and placed into service on or after January 1, 2018. Under pre-TCJA law, business interest was generally deductible in the determination of taxable income. The TCJA imposed a new limitation on the deductibility of net business interest expense in excess of approximately 30 percent of adjusted taxable income. Taxpayers operating in the trade or business of a regulated utility are excluded from these new interest expense limitations. Final U.S. Treasury Regulations became effective in November of 2020 which provide a de minimis rule whereby if 90 percent or more of a taxpayer's adjusted asset basis is allocable to regulated utility activities, then all of the business interest expense of that taxpayer is deemed to be excepted business interest of the regulated utility activity and is thereby not limited under the TCJA. As a result of the de minimis rule, NW Holdings and NW Natural anticipate that business interest expense will not be limited under the TCJA. The TCJA generally provides for immediate full expensing for qualified property both acquired and placed in service after September 27, 2017 and before January 1, 2023. This would generally provide for accelerated cost recovery for capital investments. However, the definition of qualified property excludes property used in the trade or business of a regulated utility. Final U.S. Treasury Regulations were published in September of 2019 which clarified that bonus tax depreciation would not be available for regulated utility activity assets both acquired and placed in service by NW Holdings or NW Natural on or after January 1, 2018. Final U.S. Treasury Regulations released in September of 2020 clarified that long production period property acquired before September 27, 2017 continues to qualify for bonus depreciation in the year placed in service consistent with pre-TCJA law. NW Natural previously filed applications with the OPUC and WUTC to defer the NGD net income tax benefits resulting from the TCJA. In March 2019, the OPUC issued an order addressing the regulatory amortization of the income tax benefits from the TCJA that NW Natural deferred for Oregon customers in December of 2017. Under the order, NW Natural will provide the benefit of these TCJA income tax deferrals to Oregon customers through ongoing annual credits to customer base rates and as a one-time recovery of a portion of the pension balancing account regulatory asset balance. On an annualized basis, it is anticipated that the income tax benefits from the provision of these TCJA benefits to customers should approximate the reduction to pretax income that occurs as a result of the customer base rate credits and one-time recovery of a portion of the pension balancing account. In October 2019, the WUTC issued an order addressing the regulatory amortization of the income tax benefits from the TCJA that NW Natural deferred for Washington customers in December of 2017. Under the order, NW Natural provided deferred income tax benefits from the TCJA to customers through base rate credits beginning November 1, 2019. |
Property, Plant and Equipment
Property, Plant and Equipment | 12 Months Ended |
Dec. 31, 2020 | |
Public Utilities, Property, Plant and Equipment [Abstract] | |
Property, Plant and Equipment [Text Block] | PROPERTY, PLANT, AND EQUIPMENT The following table sets forth the major classifications of property, plant, and equipment and accumulated depreciation of continuing operations at December 31: In thousands 2020 2019 NW Natural: NGD plant in service $ 3,548,543 $ 3,302,049 NGD work in progress 63,901 84,965 Less: Accumulated depreciation 1,055,809 1,017,931 NGD plant, net 2,556,635 2,369,083 Other plant in service 66,300 63,513 Other construction work in progress 5,032 5,548 Less: Accumulated depreciation 19,637 18,662 Other plant, net 51,695 50,399 Total property, plant, and equipment $ 2,608,330 $ 2,419,482 Other (NW Holdings): Other plant in service $ 50,263 $ 20,671 Less: Accumulated depreciation 3,823 1,254 Other plant, net 46,440 19,417 NW Holdings: Total property, plant, and equipment $ 2,654,770 $ 2,438,899 NW Natural and NW Holdings: Capital expenditures in accrued liabilities $ 25,129 $ 32,502 Accumulated depreciation does not include the accumulated provision for asset removal costs of $428.0 million and $401.9 million at December 31, 2020 and 2019, respectively. These accrued asset removal costs are reflected on the balance sheet as regulatory liabilities. See Note 2. NW Holdings Other plant balances include long-lived assets associated with water operations and non-regulated activities not held by NW Natural or its subsidiaries. NW Natural Other plant balances include long-lived assets not related to NGD and long-lived assets that may be used to support NGD operations. The weighted average depreciation rate for NGD assets was 3.0% in 2020, 2.9% in 2019, and 2.8% in 2018. The weighted average depreciation rate for assets not related to NGD was 1.8% in 2020, 1.8% in 2019, and 2.2% in 2018. In May 2019, NW Natural placed its North Mist gas storage expansion facility into service and commenced storage services to the facility's single customer, PGE. Under U.S. GAAP, this agreement is classified as a sales-type lease and qualifies for regulatory accounting deferral treatment. Accordingly, the project was de-recognized from property, plant and equipment upon lease commencement and the investment balance is presented net of the current portion of scheduled billings within assets under sales-type leases on the consolidated balance sheets. A total of $146.0 million was de-recognized from plant on the lease commencement date. The facility is included within rate base for ratemaking purposes. See Note 7 for information regarding leases, including North Mist. |
Gas Reserves
Gas Reserves | 12 Months Ended |
Dec. 31, 2020 | |
Gas Reserves [Abstract] | |
Gas Reserves [Text Block] | GAS RESERVESNW Natural has invested $188 million through the gas reserves program in the Jonah Field located in Wyoming as of December 31, 2020. Gas reserves are stated at cost, net of regulatory amortization, with the associated deferred tax benefits recorded as liabilities in the consolidated balance sheets. The investment in gas reserves provides long-term price protection for NGD customers through the original agreement with Encana Oil & Gas (USA) Inc. under which NW Natural invested $178 million and the amended agreement with Jonah Energy LLC under which an additional $10 million was invested. NW Natural entered into the original agreements with Encana in 2011 under which NW Natural holds working interests in certain sections of the Jonah Field. Gas produced in these sections is sold at prevailing market prices, and revenues from such sales, net of associated operating and production costs and amortization, are credited to the NGD cost of gas. The cost of gas, including a carrying cost for the rate base investment, is included in the annual Oregon PGA filing, which allows NW Natural to recover these costs through customer rates. The investment under the original agreement, less accumulated amortization and deferred taxes, earns a rate of return. In March 2014, NW Natural amended the original gas reserves agreement in order to facilitate Encana's proposed sale of its interest in the Jonah field to Jonah Energy. Under the amendment, NW Natural ended the drilling program with Encana, but increased its working interests in its assigned sections of the Jonah field. NW Natural also retained the right to invest in new wells with Jonah Energy. Under the amended agreement there is still the option to invest in additional wells on a well-by-well basis with drilling costs and resulting gas volumes shared at NW Natural's amended proportionate working interest for each well in which it invests. NW Natural elected to participate in some of the additional wells drilled in 2014, but has not participated in additional wells since 2014. However, there may be the opportunity to participate in more wells in the future. Gas produced from the additional wells is included in the Oregon PGA at a fixed rate of $0.4725 per therm, which approximates the 10-year hedge rate plus financing costs at the inception of the investment. Gas reserves acted to hedge the cost of gas for approximately 5%, 5% and 6% of NGD gas supplies for the years ended December 31, 2020 , 2019, and 2018, respectively. The following table outlines NW Natural's net gas reserves investment at December 31: In thousands 2020 2019 Gas reserves, current $ 11,409 $ 15,278 Gas reserves, non-current 175,898 172,029 Less: Accumulated amortization 141,414 123,635 Total gas reserves (1) 45,893 63,672 Less: Deferred taxes on gas reserves 10,572 15,515 Net investment in gas reserves $ 35,321 $ 48,157 (1) The net investment in additional wells included in total gas reserves was $3.0 million and $3.8 million at December 31, 2020 and 2019, respectively. NW Natural's investment is included in NW Holdings' and NW Natural's consolidated balance sheets under gas reserves with the maximum loss exposure limited to the investment balance. |
Business Combinations Business
Business Combinations Business Combinations | 12 Months Ended |
Dec. 31, 2020 | |
Business Combinations [Abstract] | |
Business Combinations | BUSINESS COMBINATIONS 2020 Business Combinations During the year ended December 31, 2020, NWN Water and its subsidiaries completed two significant acquisitions qualifying as business combinations. The aggregate fair value of the preliminary cash consideration transferred for these acquisitions was $38.1 million, most of which was preliminarily allocated to property, plant and equipment and goodwill. These transactions align with NW Holdings' water sector strategy as it continues to expand its water services territories in the Pacific Northwest and beyond and included: • Suncadia Water Company, LLC and Suncadia Environmental Company, LLC which were acquired by NWN Water of Washington on January 31, 2020, and • T&W Water Service Company which was acquired by NWN Water of Texas on March 2, 2020. As each of these acquisitions met the criteria of a business combination, a preliminary allocation of the consideration to the acquired net assets based on their estimated fair value as of the acquisition date was performed. The allocation for each of these business combinations is considered preliminary as of December 31, 2020, as facts and circumstances that existed as of the acquisition date may be discovered as we continue to integrate these businesses. In accordance with U.S. GAAP, the fair value determination involves management judgment in determining the significant estimates and assumptions used and was made using existing regulatory conditions for net assets associated with Suncadia Water Company, LLC and T&W Water Service Company. This allocation is considered preliminary as of December 31, 2020, as facts and circumstances that existed as of the acquisition date may be discovered as we continue to integrate the acquired businesses. As a result, subsequent adjustments to the preliminary valuation of tangible assets, contract assets and liabilities, tax positions, and goodwill may be required. Subsequent adjustments are not expected to be significant, and any such adjustments are expected to be completed within the one-year measurement period for all acquisitions described above. Total preliminary goodwill of $18.2 million was recognized from the acquisitions described above. No intangible assets aside from goodwill were acquired. The goodwill recognized is attributable to the regulated water utility service territories, experienced workforces, and the strategic benefits from both the water and wastewater utilities expected from growth in their service territories. The total amount of goodwill that is expected to be deductible for income tax purposes is approximately $16.5 million. The acquisition costs associated with each business combination were expensed as incurred. The results of these business combinations were not material to the consolidated financial results of NW Holdings for the year ended December 31, 2020. Other Business Combinations During the year ended December 31, 2020, NWN Water completed three additional acquisitions, comprised of four water systems and one wastewater system, which qualified as business combinations. The aggregate fair value of the preliminary consideration transferred for these acquisitions was approximately $1.5 million. These business combinations were not significant to NW Holdings' results of operations. 2019 Business Combinations Sunriver On May 31, 2019, NWN Water of Oregon, a wholly-owned indirect subsidiary of NW Holdings, completed the acquisition of Sunriver Water LLC and Sunriver Environmental LLC (collectively referred to as Sunriver), a privately-owned water utility and wastewater treatment company located in Sunriver, Oregon that serves approximately 9,400 connections. The acquisition-date fair value of the total consideration transferred, after closing adjustments, was approximately $55.0 million in cash consideration. The transaction aligns with NW Holdings' water sector strategy as it continues to expand its water utility service territory in the Pacific Northwest and begins to pursue wastewater investment opportunities. The Sunriver acquisition met the criteria of a business combination, and as such a preliminary allocation of the consideration to the acquired assets based on their estimated fair value as of the acquisition date was performed. In accordance with U.S. GAAP, the fair value determination was made using existing regulatory conditions for assets associated with Sunriver Water LLC as well as existing market conditions and standard valuation approaches for assets associated with Sunriver Environmental LLC in order to allocate value as determined by an independent third party assessor for certain assets, which involved the use of management judgment in determining the significant estimates and assumptions used by the assessor, with the remaining difference from the consideration transferred being recorded as goodwill. The acquisition costs were expensed as incurred. Final goodwill of $41.1 million was recognized from this acquisition. The goodwill recognized is attributable to Sunriver's regulated water utility service territory, experienced workforce, and the strategic benefits for both the water utility and wastewater services expected from growth in its service territory. No intangible assets aside from goodwill were acquired. The total amount of goodwill that is expected to be deductible for income tax purposes is approximately $50.0 million. The final purchase price for the acquisition has been allocated to the net assets acquired as of the acquisition date and is as follows: In thousands May 31, 2020 Current assets $ 222 Property, plant and equipment 12,866 Goodwill 41,054 Deferred tax assets 828 Current liabilities (22) Total net assets acquired $ 54,948 The amount of Sunriver revenues included in NW Holdings' consolidated statements of comprehensive income was $6.6 million for the year ended December 31, 2020. Earnings included in NW Holdings' consolidated statements of comprehensive income was $1.6 million for the year ended December 31, 2020. Other Business Combinations During 2019, NWN Water completed three additional acquisitions qualifying as business combinations. The aggregate fair value of the preliminary consideration transferred for these acquisitions was approximately $2.0 million. These business combinations were not significant to NW Holdings' results of operations. Goodwill NW Holdings allocates goodwill to reporting units based on the expected benefit from the business combination. We perform an annual impairment assessment of goodwill at the reporting unit level, or more frequently if events and circumstances indicate that goodwill might be impaired. An impairment loss is recognized if the carrying value of a reporting unit’s goodwill exceeds its fair value. As a result of all acquisitions completed, total goodwill was $69.2 million as of December 31, 2020 and $49.9 million as of December 31, 2019. The increase in the goodwill balance was primarily due to additions associated with our acquisitions in the water sector. All of our goodwill is related to water and wastewater acquisitions and is included in the other category for segment reporting purposes. The annual impairment assessment of goodwill occurs in the fourth quarter of each year. There have been no impairments recognized to date. |
Derivative Instruments
Derivative Instruments | 12 Months Ended |
Dec. 31, 2020 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivative Instruments | DERIVATIVE INSTRUMENTS NW Natural enters into financial derivative contracts to hedge a portion of the NGD segment’s natural gas sales requirements. These contracts include swaps, options, and combinations of option contracts. These derivative financial instruments are primarily used to manage commodity price variability. A small portion of NW Natural's derivative hedging strategy involves foreign currency forward contracts. NW Natural enters into these financial derivatives, up to prescribed limits, primarily to hedge price variability related to term physical gas supply contracts as well as to hedge spot purchases of natural gas. The foreign currency forward contracts are used to hedge the fluctuation in foreign currency exchange rates for pipeline demand charges paid in Canadian dollars. In the normal course of business, NW Natural also enters into indexed-price physical forward natural gas commodity purchase contracts and options to meet the requirements of NGD customers. These contracts qualify for regulatory deferral accounting treatment. NW Natural also enters into exchange contracts related to the third-party asset management of its gas portfolio, some of which are derivatives that do not qualify for hedge accounting or only partial regulatory deferral, but are subject to NW Natural's regulatory sharing agreement. These derivatives are recognized in operating revenues, net of amounts shared with NGD customers. Notional Amounts The following table presents the absolute notional amounts related to open positions on NW Natural derivative instruments: At December 31, In thousands 2020 2019 Natural gas (in therms): Financial 784,400 651,540 Physical 457,593 512,849 Foreign exchange $ 5,896 $ 6,650 Purchased Gas Adjustment (PGA) Derivatives entered into by NW Natural for the procurement or hedging of natural gas for future gas years generally receive regulatory deferral accounting treatment. In general, commodity hedging for the current gas year is completed prior to the start of the gas year, and hedge prices are reflected in the weighted-average cost of gas in the PGA filing. Rates and hedging approaches may vary between states due to different rate structures and mechanisms. In addition, as required with the Washington PGA filing, NW Natural incorporated and began implementing risk-responsive hedging strategies for its Washington gas supplies. Hedge contracts entered into after the start of the PGA period are subject to the PGA incentive sharing mechanism in Oregon. NW Natural entered the 2020-21 and 2019-20 gas years with forecasted sales volumes hedged at 53% and 52% in financial swap and option contracts, and 17% and 19% in physical gas supplies, respectively. Hedge contracts entered into prior to the PGA filing, in September 2020, were included in the PGA for the 2020-21 gas year. Hedge contracts entered into after the PGA filing, and related to subsequent gas years, may be included in future PGA filings and qualify for regulatory deferral. Unrealized and Realized Gain/Loss The following table reflects the income statement presentation for the unrealized gains and losses from NW Natural's derivative instruments, which also represents all derivative instruments at NW Holdings: December 31, 2020 December 31, 2019 In thousands Natural gas commodity Foreign exchange Natural gas commodity Foreign exchange Benefit (expense) to cost of gas $ 7,342 $ 312 $ 9,863 $ 102 Operating revenues (expense) (1,212) — (568) — Amounts deferred to regulatory accounts on balance sheet (6,306) (312) (9,376) (102) Total gain (loss) in pre-tax earnings $ (176) $ — $ (81) $ — Unrealized Gain/Loss Outstanding derivative instruments related to regulated NGD operations are deferred in accordance with regulatory accounting standards. The cost of foreign currency forward and natural gas derivative contracts are recognized immediately in the cost of gas; however, costs above or below the amount embedded in the current year PGA are subject to a regulatory deferral tariff and therefore, are recorded as a regulatory asset or liability. Realized Gain/Loss NW Natural realized net gains of $2.3 million and $17.9 million for the years ended December 31, 2020 and 2019, respectively, from the settlement of natural gas financial derivative contracts. Realized gains and losses offset the higher or lower cost of gas purchased, resulting in no incremental amounts to collect or refund to customers. Credit Risk Management of Financial Derivatives Instruments No collateral was posted with or by NW Natural counterparties as of December 31, 2020 or 2019. NW Natural attempts to minimize the potential exposure to collateral calls by diversifying counterparties and using credit limits to manage liquidity risk. Counterparties generally allow a certain credit limit threshold before requiring NW Natural to post collateral against unrealized loss positions. Given NW Natural's counterparty credit limits and portfolio diversification, it was not subject to collateral calls in 2020 or 2019. The collateral call exposure is set forth under credit support agreements, which generally contain credit limits. NW Natural could also be subject to collateral call exposure where it has agreed to provide adequate assurance, which is not specific as to the amount of credit limit allowed, but could potentially require additional collateral in the event of a material adverse change. Based upon current commodity financial swap and option contracts outstanding, which reflect unrealized gains of $13.1 million at December 31, 2020, we have estimated the level of collateral demands, with and without potential adequate assurance calls, using current gas prices and various credit downgrade rating scenarios for NW Natural as follows: Credit Rating Downgrade Scenarios In thousands (Current Ratings) A+/A3 BBB+/Baa1 BBB/Baa2 BBB-/Baa3 Speculative With Adequate Assurance Calls $ — $ — $ — $ — $ 51 Without Adequate Assurance Calls $ — $ — $ — $ — $ 51 NW Natural's financial derivative instruments are subject to master netting arrangements; however, they are presented on a gross basis in the consolidated balance sheets. NW Natural and its counterparties have the ability to set-off obligations to each other under specified circumstances. Such circumstances may include a defaulting party, a credit change due to a merger affecting either party, or any other termination event. If netted by counterparty, NW Natural's physical and financial derivative position would result in an asset of $14.1 million and a liability of $1.3 million as of December 31, 2020, and an asset of $9.4 million and a liability of $1.9 million as of December 31, 2019. NW Natural is exposed to derivative credit and liquidity risk primarily through securing fixed price natural gas commodity swaps with financial counterparties. NW Natural utilizes master netting arrangements through International Swaps and Derivatives Association contracts to minimize this risk along with collateral support agreements with counterparties based on their credit ratings. In certain cases, NW Natural requires guarantees or letters of credit from counterparties to meet its minimum credit requirement standards. NW Natural's financial derivatives policy requires counterparties to have an investment-grade credit rating at the time the derivative instrument is entered into, and specifies limits on the contract amount and duration based on each counterparty’s credit rating. NW Natural does not speculate with derivatives. Derivatives are used to hedge exposure above risk tolerance limits. Increases in market risk created by the use of derivatives is offset by the exposures they modify. We actively monitor NW Natural's derivative credit exposure and place counterparties on hold for trading purposes or require other forms of credit assurance, such as letters of credit, cash collateral, or guarantees as circumstances warrant. The ongoing assessment of counterparty credit risk includes consideration of credit ratings, credit default swap spreads, bond market credit spreads, financial condition, government actions, and market news. A Monte Carlo simulation model is used to estimate the change in credit and liquidity risk from the volatility of natural gas prices. The results of the model are used to establish trading limits. NW Natural's outstanding financial derivatives at December 31, 2020 mature by October 31, 2022. We could become materially exposed to credit risk with one or more of our counterparties if natural gas prices experience a significant increase. If a counterparty were to become insolvent or fail to perform on its obligations, we could suffer a material loss; however, we would expect such a loss to be eligible for regulatory deferral and rate recovery, subject to a prudence review. All of our existing counterparties currently have investment-grade credit ratings. Fair Value |
Commitments and Contigencies
Commitments and Contigencies | 12 Months Ended |
Dec. 31, 2020 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | COMMITMENTS AND CONTINGENCIES Gas Purchase and Pipeline Capacity Purchase and Release Commitments NW Natural has signed agreements providing for the reservation of firm pipeline capacity under which it is required to make fixed monthly payments for contracted capacity. The pricing component of the monthly payment is established, subject to change, by U.S. or Canadian regulatory bodies, or is established directly with private counterparties, as applicable. In addition, NW Natural has entered into long-term agreements to release firm pipeline capacity. NW Natural also enters into short-term and long-term gas purchase agreements. The aggregate amounts of these agreements were as follows at December 31, 2020: In thousands Gas Pipeline Pipeline 2021 $ 83,475 $ 77,748 $ 7,892 2022 — 80,646 7,182 2023 — 78,503 3,632 2024 — 73,472 3,632 2025 — 71,313 3,027 Thereafter — 516,291 — Total 83,475 897,973 25,365 Less: Amount representing interest 25 89,303 162 Total at present value $ 83,450 $ 808,670 $ 25,203 Total fixed charges under capacity purchase agreements were $81.8 million for 2020, $82.2 million for 2019, and $82.6 million for 2018, of which $4.8 million, $4.3 million, and $4.3 million, respectively, related to capacity releases. In addition, per-unit charges are required to be paid based on the actual quantities shipped under the agreements. In certain take-or-pay purchase commitments, annual deficiencies may be offset by prepayments subject to recovery over a longer term if future purchases exceed the minimum annual requirements. Leases Refer to Note 7 for a discussion of lease commitments and contingencies. Environmental Matters Refer to Note 18 for a discussion of environmental commitments and contingencies. |
Environmental Matters
Environmental Matters | 12 Months Ended |
Dec. 31, 2020 | |
Environmental Remediation Obligations [Abstract] | |
Environmental Matters | ENVIRONMENTAL MATTERS NW Natural owns, or previously owned, properties that may require environmental remediation or action. The range of loss for environmental liabilities is estimated based on current remediation technology, enacted laws and regulations, industry experience gained at similar sites, and an assessment of the probable level of involvement and financial condition of other potentially responsible parties (PRPs). When amounts are prudently expended related to site remediation of those sites described herein, NW Natural has recovery mechanisms in place to collect 96.7% of remediation costs allocable to Oregon customers and 3.3% of costs allocable to Washington customers. These sites are subject to the remediation process prescribed by the Environmental Protection Agency (EPA) and the Oregon Department of Environmental Quality (ODEQ). The process begins with a remedial investigation (RI) to determine the nature and extent of contamination and then a risk assessment (RA) to establish whether the contamination at the site poses unacceptable risks to humans and the environment. Next, a feasibility study (FS) or an engineering evaluation/cost analysis (EE/CA) evaluates various remedial alternatives. It is at this point in the process when NW Natural is able to estimate a range of remediation costs and record a reasonable potential remediation liability, or make an adjustment to the existing liability. From this study, the regulatory agency selects a remedy and issues a Record of Decision (ROD). After a ROD is issued, NW Natural would seek to negotiate a consent decree or consent judgment for designing and implementing the remedy. NW Natural would have the ability to further refine estimates of remediation liabilities at that time. Remediation may include treatment of contaminated media such as sediment, soil and groundwater, removal and disposal of media, institutional controls such as legal restrictions on future property use, or natural recovery. Following construction of the remedy, the EPA and ODEQ also have requirements for ongoing maintenance, monitoring and other post-remediation care that may continue for many years. Where appropriate and reasonably known, NW Natural will provide for these costs in the remediation liabilities described below. Due to the numerous uncertainties surrounding the course of environmental remediation and the preliminary nature of several site investigations, in some cases, NW Natural may not be able to reasonably estimate the high end of the range of possible loss. In those cases, the nature of the possible loss has been disclosed, as has the fact that the high end of the range cannot be reasonably estimated where a range of potential loss is available. Unless there is an estimate within the range of possible losses that is more likely than other cost estimates within that range, NW Natural records the liability at the low end of this range. It is likely changes in these estimates and ranges will occur throughout the remediation process for each of these sites due to the continued evaluation and clarification concerning responsibility, the complexity of environmental laws and regulations and the determination by regulators of remediation alternatives. In addition to remediation costs, NW Natural could also be subject to Natural Resource Damages (NRD) claims. NW Natural will assess the likelihood and probability of each claim and recognize a liability if deemed appropriate. Refer to " Other Portland Harbor " below. Environmental Sites The following table summarizes information regarding liabilities related to environmental sites, which are recorded in other current liabilities and other noncurrent liabilities in NW Natural's balance sheet at December 31: Current Liabilities Non-Current Liabilities In thousands 2020 2019 2020 2019 Portland Harbor site: Gasco/Siltronic Sediments $ 7,596 $ 11,632 $ 43,725 $ 46,082 Other Portland Harbor 1,942 2,543 7,020 6,920 Gasco/Siltronic Upland site 14,887 14,203 40,250 43,616 Central Service Center site — — — — Front Street site 3,816 10,847 1,107 — Oregon Steel Mills — — 179 179 Total $ 28,241 $ 39,225 $ 92,281 $ 96,797 Portland Harbor Site The Portland Harbor is an EPA listed Superfund site that is approximately 10 miles long on the Willamette River and is adjacent to NW Natural's Gasco uplands site. NW Natural is one of over one hundred PRPs, each jointly and severally liable, at the Superfund site. In January 2017, the EPA issued its Record of Decision, which selects the remedy for the clean-up of the Portland Harbor site (Portland Harbor ROD). The Portland Harbor ROD estimates the present value total cost at approximately $1.05 billion with an accuracy between -30% and +50% of actual costs. NW Natural's potential liability is a portion of the costs of the remedy for the entire Portland Harbor Superfund site. The cost of that remedy is expected to be allocated among more than one hundred PRPs. NW Natural is participating in a non-binding allocation process with the other PRPs in an effort to resolve its potential liability. The Portland Harbor ROD does not provide any additional clarification around allocation of costs among PRPs; accordingly, NW Natural has not modified any of the recorded liabilities at this time as a result of the issuance of the Portland Harbor ROD. NW Natural manages its liability related to the Superfund site as two distinct remediation projects, the Gasco/Siltronic Sediments and Other Portland Harbor projects. GASCO/SILTRONIC SEDIMENTS. In 2009, NW Natural and Siltronic Corporation entered into a separate Administrative Order on Consent with the EPA to evaluate and design specific remedies for sediments adjacent to the Gasco uplands and Siltronic uplands sites. NW Natural submitted a draft EE/CA to the EPA in May 2012 to provide the estimated cost of potential remedial alternatives for this site. In March 2020, NW Natural and the EPA amended the Administrative Order on Consent to include additional remedial design activities downstream of the Gasco sediments site and in the navigation channel. Siltronic Corporation is not a party to the amended order. At this time, the estimated costs for the various sediment remedy alternatives in the draft EE/CA for the additional studies and design work needed before the cleanup can occur, and for regulatory oversight throughout the cleanup range from $51.3 million to $350 million. NW Natural has recorded a liability of $51.3 million for the Gasco sediment clean-up, which reflects the low end of the range. At this time, we believe sediments at the Gasco sediments site represent the largest portion of NW Natural's liability related to the Portland Harbor site discussed above. OTHER PORTLAND HARBOR. While we believe liabilities associated with the Gasco/Siltronic sediments site represent NW Natural's largest exposure, there are other potential exposures associated with the Portland Harbor ROD, including NRD costs and harborwide remedial design and cleanup costs (including downstream petroleum contamination), for which allocations among the PRPs have not yet been determined. NW Natural and other parties have signed a cooperative agreement with the Portland Harbor Natural Resource Trustee council to participate in a phased NRD assessment to estimate liabilities to support an early restoration-based settlement of NRD claims. One member of this Trustee council, the Yakama Nation, withdrew from the council in 2009, and in 2017, filed suit against NW Natural and 29 other parties seeking remedial costs and NRD assessment costs associated with the Portland Harbor site, set forth in the complaint. The complaint seeks recovery of alleged costs totaling $0.3 million in connection with the selection of a remedial action for the Portland Harbor site as well as declaratory judgment for unspecified future remedial action costs and for costs to assess the injury, loss or destruction of natural resources resulting from the release of hazardous substances at and from the Portland Harbor site. The Yakama Nation has filed two amended complaints addressing certain pleading defects and dismissing the State of Oregon. On the motion of NW Natural and certain other defendants the federal court has stayed the case pending the outcome of the non-binding allocation proceeding discussed above. NW Natural has recorded a liability for NRD claims which is at the low end of the range of the potential liability; the high end of the range cannot be reasonably estimated at this time. The NRD liability is not included in the aforementioned range of costs provided in the Portland Harbor ROD. Gasco Uplands Site A predecessor of NW Natural, Portland Gas and Coke Company, owned a former gas manufacturing plant that was closed in 1958 (Gasco site) and is adjacent to the Portland Harbor site described above. The Gasco site has been under investigation by NW Natural for environmental contamination under the ODEQ Voluntary Cleanup Program (VCP). It is not included in the range of remedial costs for the Portland Harbor site noted above. The Gasco site is managed in two parts, the uplands portion and the groundwater source control action. NW Natural submitted a revised Remedial Investigation Report for the uplands to ODEQ in May 2007. In March 2015, ODEQ approved Remedial Assessment (RA) for this site, enabling commencement of work on the FS in 2016. NW Natural has recognized a liability for the remediation of the uplands portion of the site which is at the low end of the range of potential liability; the high end of the range cannot be reasonably estimated at this time. In October 2016, ODEQ and NW Natural agreed to amend their VCP agreement to incorporate a portion of the Siltronic property adjacent to the Gasco site formerly owned by Portland Gas & Coke between 1939 and 1960 into the Gasco RA and FS, excluding the uplands for Siltronic. Previously, NW Natural was conducting an investigation of manufactured gas plant constituents on the entire Siltronic uplands for ODEQ. Siltronic will be working with ODEQ directly on environmental impacts to the remainder of its property. In September 2013, NW Natural completed construction of a groundwater source control system, including a water treatment station, at the Gasco site. NW Natural has estimated the cost associated with the ongoing operation of the system and has recognized a liability which is at the low end of the range of potential cost. NW Natural cannot estimate the high end of the range at this time due to the uncertainty associated with the duration of running the water treatment station, which is highly dependent on the remedy determined for both the upland portion as well as the final remedy for Gasco sediment exposure. Other Sites In addition to those sites above, NW Natural has environmental exposures at three other sites: Central Service Center, Front Street and Oregon Steel Mills. NW Natural may have exposure at other sites that have not been identified at this time. Due to the uncertainty of the design of remediation, regulation, timing of the remediation and in the case of the Oregon Steel Mills site, pending litigation, liabilities for each of these sites have been recognized at their respective low end of the range of potential liability; the high end of the range could not be reasonably estimated at this time. CENTRAL SERVICE CENTER SITE. The investigative phase to characterize the existing site has been completed and determined by the Oregon Department of Environmental Quality (DEQ) to be sufficient to allow for the issuance of a Conditional No Further Action (cNFA). NW Natural is now conducting ongoing environmental monitoring activities through 2024 in order to meet the conditions which were included within the cNFA. FRONT STREET SITE. The Front Street site was the former location of a gas manufacturing plant NW Natural operated (the former Portland Gas Manufacturing site, or PGM). At ODEQ’s request, NW Natural conducted a sediment and source control investigation and provided findings to ODEQ. In December 2015, an FS on the former Portland Gas Manufacturing site was completed. In July 2017, ODEQ issued the PGM ROD. The ROD specifies the selected remedy, which requires a combination of dredging, capping, treatment, and natural recovery. In addition, the selected remedy also requires institutional controls and long-term inspection and maintenance. In September 2020, NW Natural revised its estimate of the remaining cost to construct the remedy to be approximately $7.1 million. Further, NW Natural has recognized an additional liability of $4.9 million for munitions and design costs, regulatory and permitting issues, and post-construction work. Construction of the remedy began in early July 2020 and was completed in October 2020. OREGON STEEL MILLS SITE. Refer to “Legal Proceedings,” below. Environmental Cost Deferral and Recovery NW Natural has authorizations in Oregon and Washington to defer costs related to remediation of properties that are owned or were previously owned by NW Natural. In Oregon, a Site Remediation and Recovery Mechanism (SRRM) is currently in place to recover prudently incurred costs allocable to Oregon customers, subject to an earnings test. On October 21, 2019 the WUTC authorized an Environmental Cost Recovery Mechanism (ECRM) for recovery of prudently incurred costs allocable to Washington customers beginning November 1, 2019. The following table presents information regarding the total regulatory asset deferred as of December 31: In thousands 2020 2019 Deferred costs and interest (1) $ 44,516 $ 36,673 Accrued site liabilities (2) 120,352 135,662 Insurance proceeds and interest (69,253) (79,949) Total regulatory asset deferral (1) $ 95,615 $ 92,386 Current regulatory assets (3) $ 4,992 $ 4,762 Long-term regulatory assets (3) $ 90,623 $ 87,624 (1) Includes pre-review and post-review deferred costs, amounts currently in amortization, and interest, net of amounts collected from customers. In Oregon, NW Natural earns a carrying charge on cash amounts paid, whereas amounts accrued but not yet paid do not earn a carrying charge until expended. NW Natural also accrues a carrying charge on insurance proceeds for amounts owed to customers. In Washington, neither the cash paid nor insurance proceeds accrue a carrying charge. (2) Excludes 3.3% of the Front Street site liability, or $0.2 million in 2020 and $0.4 million in 2019, as the OPUC only allows recovery of 96.7% of costs for those sites allocable to Oregon, including those that historically served only Oregon customers. (3) Environmental costs relate to specific sites approved for regulatory deferral by the OPUC and WUTC. In Oregon, NW Natural earns a carrying charge on cash amounts paid, whereas amounts accrued but not yet paid do not earn a carrying charge until expended. It also accrues a carrying charge on insurance proceeds for amounts owed to customers. In Washington, neither the cash paid nor insurance proceeds received accrue a carrying charge. Current environmental costs represent remediation costs management expects to collect from customers in the next 12 months. Amounts included in this estimate are still subject to a prudence and earnings test review by the OPUC and do not include the $5.0 million tariff rider. The amounts allocable to Oregon are recoverable through NGD rates, subject to an earnings test. See " Oregon SRRM " below. Oregon SRRM Collections From Oregon Customers Under the SRRM collection process, there are three types of deferred environmental remediation expense: • Pre-review - This class of costs represents remediation spend that has not yet been deemed prudent by the OPUC. Carrying costs on these remediation expenses are recorded at NW Natural's authorized cost of capital. NW Natural anticipates the prudence review for annual costs and approval of the earnings test prescribed by the OPUC to occur by the third quarter of the following year. • Post-review - This class of costs represents remediation spend that has been deemed prudent and allowed after applying the earnings test, but is not yet included in amortization. NW Natural earns a carrying cost on these amounts at a rate equal to the five-year treasury rate plus 100 basis points. • Amortization - This class of costs represents amounts included in current customer rates for collection and is generally calculated as one-fifth of the post-review deferred balance. NW Natural earns a carrying cost equal to the amortization rate determined annually by the OPUC, which approximates a short-term borrowing rate. In addition to the collection amount noted above, an order issued by the OPUC provides for the annual collection of $5.0 million from Oregon customers through a tariff rider. As NW Natural collects amounts from customers, it recognizes these collections as revenue and separately amortizes an equal and offsetting amount of its deferred regulatory asset balance through the environmental remediation operating expense line shown separately in the operating expense section of the income statement. NW Natural received total environmental insurance proceeds of approximately $150 million as a result of settlements from litigation that was dismissed in July 2014. Under a 2015 OPUC order which established the SRRM, one-third of the Oregon allocated proceeds were applied to costs deferred through 2012 with the remaining two-thirds applied to costs at a rate of $5.0 million per year plus interest over the following 20 years. NW Natural accrues interest on the Oregon allocated insurance proceeds in the customer’s favor at a rate equal to the five-year treasury rate plus 100 basis points. As of December 31, 2020, NW Natural has applied $83.2 million of insurance proceeds to prudently incurred remediation costs allocated to Oregon. Environmental Earnings Test To the extent NW Natural earns at or below its authorized Return on Equity (ROE) as defined by the SRRM, remediation expenses and interest in excess of the $5.0 million tariff rider and $5.0 million insurance proceeds are recoverable through the SRRM. To the extent NW Natural earns more than its authorized ROE in a year, it is required to cover environmental expenses and interest on expenses greater than the $10.0 million with those earnings that exceed its authorized ROE. Washington ECRM Washington Deferral On October 21, 2019, the WUTC issued an order (WUTC Order) establishing the ECRM which allows for recovery of past deferred and future prudently incurred environmental remediation costs allocable to Washington customers through application of insurance proceeds and collections from customers. Environmental remediation expenses relating to sites that previously served both Oregon and Washington customers are allocated between states with Washington customers receiving 3.3% percent of the costs and insurance proceeds. As a result of the WUTC Order, in the fourth quarter of 2019, approximately $3.0 million of prudently incurred costs deferred from the initial deferral authorization in February 2011 through November 2018 were fully offset with insurance proceeds. In addition, approximately $1.5 million of disallowed deferred environmental remediation expenses incurred prior to the deferral authorization were charged to environmental remediation expense. Insurance proceeds will be fully applied to costs incurred between December 2018 and June 2019 once deemed prudent in future rate proceedings. Remaining insurance proceeds will be amortized over a 10.5 year period ending December 31, 2029. On an annual basis, NW Natural will file for a prudence determination and a request to amortize costs to the extent that remediation expenses exceed the insurance amortization. After insurance proceeds are fully amortized, if in a particular year the request to collect deferred amounts exceeds one percent of Washington normalized revenues, then the excess will be collected over three years with interest. Legal Proceedings NW Holdings is not currently party to any direct claims or litigation, though in the future it may be subject to claims and litigation arising in the ordinary course of business. NW Natural is subject to claims and litigation arising in the ordinary course of business, including the matters discussed above. Although the final outcome of any of these legal proceedings cannot be predicted with certainty, including the matter described below, NW Natural and NW Holdings do not expect that the ultimate disposition of any of these matters will have a material effect on financial condition, results of operations, or cash flows. Oregon Steel Mills Site In 2004, NW Natural was served with a third-party complaint by the Port of Portland (the Port) in a Multnomah County Circuit Court case, Oregon Steel Mills, Inc. v. The Port of Portland. The Port alleges that in the 1940s and 1950s petroleum wastes generated by NW Natural's predecessor, Portland Gas & Coke Company, and 10 other third-party defendants, were disposed of in a waste oil disposal facility operated by the United States or Shaver Transportation Company on property then owned by the Port and now owned by Evraz Oregon Steel Mills. The complaint seeks contribution for unspecified past remedial action costs incurred by the Port regarding the former waste oil disposal facility as well as a declaratory judgment allocating liability for future remedial action costs. No date has been set for trial. In August 2017, the case was stayed pending the outcome of the Portland Harbor allocation process or other mediation. Although the final outcome of this proceeding cannot be predicted with certainty, NW Natural and NW Holdings do not expect the ultimate disposition of this matter will have a material effect on NW Natural's or NW Holdings' financial condition, results of operations, or cash flows. For additional information regarding other commitments and contingencies, see Note 17. |
Discontinued Operations
Discontinued Operations | 12 Months Ended |
Dec. 31, 2020 | |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |
Discontinued Operations | DISCONTINUED OPERATIONS NW Holdings On June 20, 2018, NWN Gas Storage, then a wholly-owned subsidiary of NW Natural, entered into a Purchase and Sale Agreement (the Agreement) that provided for the sale by NWN Gas Storage of all of the membership interests in Gill Ranch. Gill Ranch owns a 75% interest in the natural gas storage facility located near Fresno, California known as the Gill Ranch Gas Storage Facility. On December 4, 2020, NWN Gas Storage closed the sale of all of the membership interests in Gill Ranch and received payment of the initial cash purchase price of $13.5 million less the $1.0 million deposit previously paid. Furthermore, additional payments to NWN Gas Storage may be made subject to a maximum amount of $15.0 million in the aggregate (subject to a working capital adjustment) based on the economic performance of Gill Ranch for each full gas storage year (April 1 of one year through March 31 of the following year) occurring after the closing and the remaining portion of the 2020-2021 gas storage year and will continue until such time as the maximum amount has been paid. The fair value of this arrangement at the closing date was zero based on a discounted cash flow forecast. Subsequent changes in the fair value will be recorded in earnings. The completion of the sale resulted in an after-tax gain of $5.9 million. The following table presents the operating results of Gill Ranch and is presented net of tax on NW Holdings' consolidated statements of comprehensive income: NW Holdings Discontinued Operations In thousands, except per share data 2020 2019 2018 Revenues $ 10,193 $ 5,301 $ 3,579 Expenses Operations and maintenance 7,931 8,587 5,771 General taxes 198 219 479 Depreciation and amortization 391 423 430 Other expenses and interest 848 931 609 Total expenses 9,368 10,160 7,289 Income (loss) from discontinued operations 825 (4,859) (3,710) Gain on sale of discontinued operations 8,027 — — Income (loss) from discontinued operations before income tax 8,852 (4,859) (3,710) Income tax expense (benefit) (1) 2,344 (1,283) (968) Income (loss) from discontinued operations, net of tax $ 6,508 $ (3,576) $ (2,742) (1) Includes income tax expense of $2.1 million related to the sale of Gill Ranch for the year ended December 31, 2020. As a result of the disposition of the membership interests of Gill Ranch, there were no assets or liabilities classified as held for sale at December 31, 2020. The assets and liabilities of the discontinued operations classified as held for sale in the consolidated balance sheet at December 31, 2019 include the following: NW Holdings Discontinued Operations In thousands 2019 Assets: Accounts receivable $ 333 Inventories 695 Other current assets 457 Property, plant, and equipment, net 13,284 Operating lease right of use asset 118 Other non-current assets 247 Total discontinued operations assets - current assets (1) $ 15,134 Liabilities: Accounts payable $ 1,250 Other current liabilities 848 Operating lease liabilities 116 Other non-current liabilities 11,495 Total discontinued operations liabilities - current liabilities (1) $ 13,709 (1) The total assets and liabilities of Gill Ranch were classified as current because it was probable that the sale would be completed within one year. NW Natural As part of the holding company reorganization in October 2018, NWN Energy, NWN Gas Storage, Gill Ranch, NNG Financial, NWN Water, and NW Holdings, which were direct and indirect subsidiaries of NW Natural prior to the reorganization, are no longer subsidiaries of NW Natural. See Note 1 for additional information. As a result, NW Natural's financial statements reflect amounts related to these entities as discontinued operations for all periods presented. The expenses included in the results of discontinued operations are the direct operating expenses incurred by the entities that may be reasonably segregated from the costs of NW Natural's continuing operations. The following table presents the operating results prior to the holding company reorganization effective October 1, 2018 of NWN Energy, NWN Gas Storage, Gill Ranch, NNG Financial, NWN Water, and NW Holdings, which were historically reported within the gas storage segment and other, and is presented net of tax on NW Natural's consolidated statements of comprehensive income: NW Natural Discontinued Operations In thousands, except per share data 2018 Revenues $ 3,016 Expenses Operations and maintenance 4,151 General taxes 448 Depreciation and amortization 420 Other expenses and interest 342 Total expenses 5,361 Loss from discontinued operations before income tax (2,345) Income tax benefit (622) Loss from discontinued operations, net of tax $ (1,723) |
Condensed Financials Standalone
Condensed Financials Standalone Holdco Condensed Financials Standalone Holdco (Notes) | 12 Months Ended |
Dec. 31, 2020 | |
Condensed Financial Statements, Captions [Line Items] | |
Condensed Financial Information of Parent Company Only Disclosure [Text Block] | SCHEDULE I - CONDENSED FINANCIAL INFORMATION OF NORTHWEST NATURAL HOLDING COMPANY |
Valuation Allowances and Reserv
Valuation Allowances and Reserves | 12 Months Ended |
Dec. 31, 2020 | |
Entity Information [Line Items] | |
Schedule of Valuation and Qualifying Accounts | NORTHWEST NATURAL HOLDING COMPANY SCHEDULE II - VALUATION AND QUALIFYING ACCOUNTS AND RESERVES COLUMN A COLUMN B COLUMN C COLUMN D COLUMN E Additions Deductions In thousands (year ended December 31) Balance at beginning of period Charged to costs and expenses Charged to other accounts Net write-offs Balance at end of period 2020 Reserves deducted in balance sheet from assets to which they apply: Allowance for uncollectible accounts $ 673 $ 890 $ 2,333 $ 677 $ 3,219 2019 Reserves deducted in balance sheet from assets to which they apply: Allowance for uncollectible accounts $ 977 $ 450 $ — $ 754 $ 673 2018 Reserves deducted in balance sheet from assets to which they apply: Allowance for uncollectible accounts $ 956 $ 680 $ — $ 659 $ 977 NORTHWEST NATURAL GAS COMPANY SCHEDULE II - VALUATION AND QUALIFYING ACCOUNTS AND RESERVES COLUMN A COLUMN B COLUMN C COLUMN D COLUMN E Additions Deductions In thousands (year ended December 31) Balance at beginning of period Charged to costs and expenses Charged to other accounts Net write-offs Balance at end of period 2020 Reserves deducted in balance sheet from assets to which they apply: Allowance for uncollectible accounts $ 672 $ 779 $ 2,333 $ 677 $ 3,107 2019 Reserves deducted in balance sheet from assets to which they apply: Allowance for uncollectible accounts $ 975 $ 450 $ — $ 753 $ 672 2018 Reserves deducted in balance sheet from assets to which they apply: Allowance for uncollectible accounts $ 956 $ 678 $ — $ 659 $ 975 |
Significant Accounting Polici_2
Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2020 | |
Accounting Policies [Abstract] | |
Use of Estimates | Use of Estimates The preparation of financial statements in conformity with generally accepted accounting principles in the United States of America (U.S. GAAP) requires management to make estimates and assumptions that affect reported amounts in the consolidated financial statements and accompanying notes. Actual amounts could differ from those estimates, and changes would most likely be reported in future periods. Management believes the estimates and assumptions used are reasonable . |
Industry Regulation | Industry Regulation NW Holdings' principal business is to operate as a holding company for NW Natural and its other subsidiaries. NW Natural's principal business is the distribution of natural gas, which is regulated by the OPUC and WUTC. NW Natural also has natural gas storage services, which are regulated by the FERC, and to a certain extent by the OPUC and WUTC. Additionally, certain of NW Holdings' subsidiaries own water businesses, which are regulated by the public utility commission in the state in which the water utility is located, which is currently Oregon, Washington, Idaho and Texas. Accounting records and practices of the regulated businesses conform to the requirements and uniform system of accounts prescribed by these regulatory authorities in accordance with U.S. GAAP. The businesses in which customer rates are regulated by the OPUC, WUTC, IPUC, PUTC, and FERC have approved cost-based rates which are intended to allow such businesses to earn a reasonable return on invested capital. In applying regulatory accounting principles, NW Holdings and NW Natural capitalize or defer certain costs and revenues as regulatory assets and liabilities pursuant to orders of the applicable state public utility commission, which provide for the recovery of revenues or expenses from, or refunds to, utility customers in future periods, including a return or a carrying charge in certain cases. Amounts NW Natural deferred as regulatory assets and liabilities were as follows: Regulatory Assets In thousands 2020 2019 Current: Unrealized loss on derivatives (1) $ 4,198 $ 2,000 Gas costs 1,979 20,140 Environmental costs (2) 4,992 4,762 Decoupling (3) 361 1,969 Pension balancing (4) 7,131 5,939 Income taxes 3,484 2,209 Other (5) 9,600 4,910 Total current $ 31,745 $ 41,929 Non-current: Unrealized loss on derivatives (1) $ 2,852 $ 609 Pension balancing (4) 43,383 48,251 Income taxes 15,368 17,173 Pension and other postretirement benefit liabilities 170,812 173,262 Environmental costs (2) 90,623 87,624 Gas costs 3,925 2,866 Decoupling (3) 1,031 — Other (5) 20,893 13,361 Total non-current $ 348,887 $ 343,146 Other (NW Holdings) 40 — Total non-current -NW Holdings $ 348,927 $ 343,146 Regulatory Liabilities In thousands 2020 2019 Current: Gas costs $ 1,118 $ 1,223 Unrealized gain on derivatives (1) 13,674 6,622 Decoupling (3) 11,793 4,831 Income taxes (6) 8,217 8,435 Other (5) 15,560 23,546 Total current 50,362 44,657 Non-current: Gas costs $ 314 $ 2,013 Unrealized gain on derivatives (1) 6,135 3,337 Decoupling (3) 1,723 6,378 Income taxes (6) 189,587 198,219 Accrued asset removal costs (7) 427,960 401,893 Other (5) 13,074 13,877 Total non-current $ 638,793 $ 625,717 Other (NW Holdings) 870 — Total non-current -NW Holdings $ 639,663 $ 625,717 (1) Unrealized gains or losses on derivatives are non-cash items and, therefore, do not earn a rate of return or a carrying charge. These amounts are recoverable through natural gas distribution rates as part of the annual Purchased Gas Adjustment (PGA) mechanism when realized at settlement. (2) Refer to the Environmental Cost Deferral and Recovery table in Note 18 for a description of environmental costs. (3) This deferral represents the margin adjustment resulting from differences between actual and expected volumes. (4) Refer to Note 10 for information regarding the deferral of pension expenses. (5) Balances consist of deferrals and amortizations under approved regulatory mechanisms and typically earn a rate of return or carrying charge. (6) This balance represents estimated amounts associated with the Tax Cuts and Jobs Act. See Note 11. (7) Estimated costs of removal on certain regulated properties are collected through rates. See "Accounting Policies— Plant, Property, and Accrued Asset Removal Costs " below. The amortization period for NW Natural's regulatory assets and liabilities ranges from less than one year to an indeterminable period. Regulatory deferrals for gas costs payable are generally amortized over 12 months beginning each November 1 following the gas contract year during which the deferred gas costs are recorded. Similarly, most other regulatory deferred accounts are amortized over 12 months. However, certain regulatory account balances, such as income taxes, environmental costs, pension liabilities, and accrued asset removal costs, are large and tend to be amortized over longer periods once NW Natural has agreed upon an amortization period with the respective regulatory agency. We believe all costs incurred and deferred at December 31, 2020 are prudent. All regulatory assets and liabilities are reviewed annually for recoverability, or more often if circumstances warrant. If we should determine that all or a portion of these regulatory assets or liabilities no longer meet the criteria for continued application of regulatory accounting, then NW Natural would be required to write-off the net unrecoverable balances in the period such determination is made. Regulatory interest income of $4.8 million and $19.6 million and regulatory interest expense of $1.8 million and $12.3 million was recognized within other income (expense), net for the years ended December 31, 2020 and 2019, respectively. Environmental Regulatory Accounting |
New Accounting Standards | New Accounting Standards NW Natural and NW Holdings consider the applicability and impact of all accounting standards updates (ASUs) issued by the Financial Accounting Standards Board (FASB). ASUs not listed below were assessed and determined to be either not applicable or are expected to have minimal impact on consolidated financial position or results of operations. Recently Adopted Accounting Pronouncements ACCUMULATED OTHER COMPREHENSIVE INCOME. On February 14, 2018, the FASB issued ASU 2018-02, "Income Statement—Reporting Comprehensive Income: Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income." This update was issued in response to concerns from certain stakeholders regarding the current requirements under U.S. GAAP that deferred tax assets and liabilities are adjusted for a change in tax laws or rates, and the effect is to be included in income from continuing operations in the period of the enactment date. This requirement is also applicable to items in accumulated other comprehensive income where the related tax effects were originally recognized in other comprehensive income. The adjustment of deferred taxes due to the new corporate income tax rate enacted through the Tax Cuts and Jobs Act (TCJA) on December 22, 2017 recognized in income from continuing operations causes the tax effects of items within accumulated other comprehensive income (referred to as stranded tax effects) to not reflect the appropriate tax rate. The amendments in this update allow but do not require a reclassification from accumulated other comprehensive income to retained earnings for stranded tax effects resulting from the TCJA and require certain disclosures about stranded tax effects. NW Natural adopted and applied the standard in the first quarter of 2019. NW Natural elected to reclassify the stranded tax effects of the TCJA of $1.4 million from accumulated other comprehensive loss to retained earnings in the period of adoption. Going forward, our policy is that, in the event that regulation changes result in stranded tax effects, such amounts will be reclassified from accumulated other comprehensive income (loss) to retained earnings in the final period that the related deferred tax balance remeasurement is expected to impact income from continuing operations. CLOUD COMPUTING. On August 29, 2018, the FASB issued ASU 2018-15, "Customer’s Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement That Is a Service Contract." The purpose of the amendment is to align the requirements for capitalizing implementation costs incurred in a hosting arrangement that is a service contract with the requirements for capitalizing implementation costs incurred to develop or obtain internal-use software. The amendments in this update were effective beginning January 1, 2020. Early adoption was permitted, and NW Holdings and NW Natural early adopted ASU 2018-15 in the quarter ended March 31, 2019 utilizing the prospective application methodology. The adoption of this ASU did not materially affect the financial statements and disclosures of NW Holdings or NW Natural. CREDIT LOSSES. On June 16, 2016, the FASB issued ASU 2016-13, "Measurement of Credit Losses on Financial Instruments," which applies to financial assets subject to credit losses and measured at amortized cost. The new standard requires financial assets measured at amortized cost to be presented at the net amount expected to be collected and the allowance for credit losses is to be recorded as a valuation account that is deducted from the amortized cost basis. The amendments in this update were effective beginning January 1, 2020 and were applied with the modified retrospective methodology. The adoption of this ASU did not materially affect the financial statements and disclosures of NW Holdings or NW Natural. The majority of NW Holdings' and NW Natural's financial assets are either short-term in nature, such as trade receivables, or relate to leased gas facilities under approved rate schedules. DERIVATIVES AND HEDGING. On August 28, 2017, the FASB issued ASU 2017-12, "Derivatives and Hedging: Targeted Improvements to Accounting for Hedging Activities." The purpose of the amendment is to more closely align hedge accounting with companies’ risk management strategies. The ASU amends the accounting for risk component hedging, the hedged item in fair value hedges of interest rate risk, and amounts excluded from the assessment of hedge effectiveness. The guidance also amends the recognition and presentation of the effect of hedging instruments and includes other simplifications of hedge accounting. The amendments in this ASU were effective beginning January 1, 2019 and were applied prospectively to hedging instruments. The adoption did not have an impact on the financial statements or disclosures of NW Holdings or NW Natural. FAIR VALUE MEASUREMENT. On August 28, 2018, the FASB issued ASU 2018-13, "Changes to the Disclosure Requirements for Fair Value Measurement." The purpose of the amendment is to modify the disclosure requirements for fair value measurements. The amendments in this ASU were effective beginning January 1, 2020. The amendments on changes in unrealized gains and losses, the range and weighted average of significant unobservable inputs used to develop Level 3 fair value measurements and the narrative description of measurement uncertainty should be applied prospectively. All other amendments should be applied retrospectively. NW Holdings and NW Natural do not have either Level 3 fair value measurements or transfers between Level 1 or Level 2 in their current portfolios. The adoption did not have an impact on the financial statements or disclosures of NW Holdings or NW Natural. LEASES. On February 25, 2016, the FASB issued ASU 2016-02, "Leases," which revises the existing lease accounting guidance. Pursuant to the new standard (“ASC 842”), lessees are required to recognize all leases, including operating leases that are greater than 12 months at lease commencement, on the balance sheet and record corresponding right of use assets and lease liabilities. Lessor accounting will remain substantially the same under the new standard. Quantitative and qualitative disclosures are also required for users of the financial statements to have a clear understanding of the nature of our leasing activities. We elected the alternative prospective transition approach for adoption beginning January 1, 2019. All comparative periods prior to January 1, 2019 will retain the financial reporting and disclosure requirements of ASC 840 “Leases” (“ASC 840”). There was no cumulative effect adjustment to the opening balance of retained earnings recorded as of January 1, 2019 for adoption as there were no initial direct costs or other capitalized costs related to the legacy leases that needed to be derecognized upon adoption of ASC 842. We elected the land easement optional practical expedient to not evaluate existing or expired land easements that were not previously accounted for as leases under the ASC 840 lease guidance. For the existing lease portfolio, we did not elect the optional practical expedient package to retain the legacy lease accounting conclusions upon adoption; we re-assessed our existing contracts under the new leasing standard including whether the contract meets the definition of a lease and lease classification. As a result, we determined that most of our underground gas storage contracts no longer meet the definition of a lease under the new lease standard. Upon adoption on January 1, 2019, NW Holdings recorded an operating lease right of use asset and an associated operating lease liability of approximately $7.3 million, of which $7.0 million was recorded at NW Natural. Lease liabilities are measured using NW Natural's incremental borrowing rate based on information available at the lease commencement date in determining the present value of lease payments. See Note 7 for more information. RETIREMENT BENEFITS. On August 28, 2018, the FASB issued ASU 2018-14, "Changes to the Disclosure Requirements for Defined Benefit Plans." The purpose of the amendment is to modify the disclosure requirements for defined benefit pension and other postretirement plans. The amendments in this ASU were effective beginning January 1, 2020 and were applied retrospectively. The adoption of this ASU did not materially affect the financial statements and disclosures of NW Holdings or NW Natural. Recently Issued Accounting Pronouncements INCOME TAXES. On December 18, 2019, the FASB issued ASU 2019-12, "Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes." The purpose of the amendment is to reduce cost and complexity related to accounting for income taxes by removing certain exceptions to the general principles and improving consistent application for other areas in Topic 740. The amendments in this ASU are effective beginning January 1, 2021. Early adoption is permitted. The amended presentation and disclosure guidance should be applied retrospectively. We do not expect this ASU to materially affect the financial statements and disclosures of NW Holdings or NW Natural. REFERENCE RATE REFORM. On March 12, 2020, the FASB issued ASU 2020-04, "Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting." The purpose of the amendment is to provide optional expedients and exceptions for applying generally accepted accounting principles (GAAP) to contracts, hedging relationships, and other transactions affected by reference rate reform if certain criteria are met. The amendments in this ASU apply only to contracts, hedging relationships, and other transactions that reference LIBOR or another reference rate expected to be discontinued because of reference rate reform. The amendments in this ASU are effective for all entities as of March 12, 2020 through December 31, 2022. We do not expect this ASU to materially affect the financial statements and disclosures of NW Holdings or NW Natural. |
Property, Plant and Accrued Asset Removal Costs | Plant, Property, and Accrued Asset Removal Costs Plant and property are stated at cost, including capitalized labor, materials, and overhead. In accordance with regulatory accounting standards, the cost of acquiring and constructing long-lived plant and property generally includes an allowance for funds used during construction (AFUDC) or capitalized interest. AFUDC represents the regulatory financing cost incurred when debt and equity funds are used for construction (see “ AFUDC ” below). When constructed assets are subject to market-based rates rather than cost-based rates, the financing costs incurred during construction are included in capitalized interest in accordance with U.S. GAAP, not as regulatory financing costs under AFUDC. In accordance with long-standing regulatory treatment, our depreciation rates consist of three components: one based on the average service life of the asset, a second based on the estimated salvage value of the asset, and a third based on the asset’s estimated cost of removal. We collect, through rates, the estimated cost of removal on certain regulated properties through depreciation expense, with a corresponding offset to accumulated depreciation. These removal costs are non-legal obligations as defined by regulatory accounting guidance. Therefore, we have included these costs as non-current regulatory liabilities rather than as accumulated depreciation on our consolidated balance sheets. In the rate setting process, the liability for removal costs is treated as a reduction to the net rate base on which the NGD business has the opportunity to earn its allowed rate of return. The costs of NGD plant retired or otherwise disposed of are removed from NGD plant and charged to accumulated depreciation for recovery or refund through future rates. Gains from the sale of regulated assets are generally deferred and refunded to customers. For assets not related to NGD, we record a gain or loss upon the disposal of the property, and the gain or loss is recorded in operating income or loss in the consolidated statements of comprehensive income. The provision for depreciation of NGD property, plant, and equipment is recorded under the group method on a straight-line basis with rates computed in accordance with depreciation studies approved by regulatory authorities. The weighted-average depreciation rate for NGD assets in service was approximately 3.0% for 2020, 2.9% for 2019, and 2.8% for 2018, reflecting the approximate weighted-average economic life of the property. This includes 2020 weighted-average depreciation rates for the following asset categories: 2.6% for transmission and distribution plant, 2.0% for gas storage facilities, 6.7% for general plant, and 5.1% for intangible and other fixed assets. AFUDC. Certain additions to NGD plant include AFUDC, which represents the net cost of debt and equity funds used during construction. AFUDC is calculated using actual interest rates for debt and authorized rates for ROE, if applicable. If short-term debt balances are less than the total balance of construction work in progress, then a composite AFUDC rate is used to represent interest on all debt funds, shown as a reduction to interest charges, and on ROE funds, shown as other income. While cash is not immediately recognized from recording AFUDC, it is realized in future years through rate recovery resulting from the higher NGD cost of service. Our composite AFUDC rate was 1.9% in 2020, 3.9% in 2019, and 5.2% in 2018. IMPAIRMENT OF LONG-LIVED ASSETS. We review the carrying value of long-lived assets whenever events or changes in circumstances indicate the carrying amount of the assets may not be recoverable. Factors that would necessitate an impairment assessment of long-lived assets include a significant adverse change in the extent or manner in which the asset is used, a significant adverse change in legal factors or business climate that could affect the value of the asset, or a significant decline in the observable market value or expected future cash flows of the asset, among others. When such factors are present, we assess the recoverability by determining whether the carrying value of the asset will be recovered through expected future cash flows. An asset is determined to be impaired when the carrying value of the asset exceeds the expected undiscounted future cash flows from the use and eventual disposition of the asset. If an impairment is indicated, we record an impairment loss for the difference between the carrying value and the fair value of the long-lived assets. Fair value is estimated using appropriate valuation methodologies, which may include an estimate of discounted cash flows. |
Cash and Cash Equivalents | Cash and Cash Equivalents For purposes of reporting cash flows, cash and cash equivalents include cash on hand plus highly liquid investment accounts with original maturity dates of three months or less. At December 31, 2020 and 2019, NW Holdings had outstanding checks of $4.4 million and $3.2 million, respectively, substantially all of which is recorded at NW Natural. These balances are included in accounts payable in the .NW Holdings and NW Natural balance sheets. Restricted cash is primarily comprised of funds from public purpose charges for programs that assist low-income customers with bill payments or energy efficiency. As of December 31, 2020 and 2019, NW Natural had restricted cash of $5.3 million and $3.0 million, respectively. These balances are included in other current assets in the NW Holdings and NW Natural balance sheets. Changes in these balances are presented in changes in assets and liabilities - other, net in the NW Holdings and NW Natural statements of cash flows. There were no transfers between restricted cash and cash and cash equivalents during the years ended December 31, 2020 and 2019. |
Revenue Recognition and Accrued Unbilled Revenue | Revenue Recognition and Accrued Unbilled Revenue Revenues, derived primarily from the sale and transportation of natural gas, are recognized upon delivery of gas or water, or service to customers. Revenues include accruals for gas or water delivered but not yet billed to customers based on estimates of deliveries from meter reading dates to month end (accrued unbilled revenue). Accrued unbilled revenue is dependent upon a number of factors that require management’s judgment, including total natural gas receipts and deliveries, customer use of natural gas or water by billing cycle, and weather factors. Accrued unbilled revenue is reversed the following month when actual billings occur. NW Holdings' accrued unbilled revenue at December 31, 2020 and 2019 was $57.9 million and $56.2 million, respectively, substantially all of which is accrued unbilled revenue at NW Natural. |
Revenue Taxes | Revenue Taxes |
Accounts Receivable and Allowance for Uncollectible Accounts | Accounts Receivable and Allowance for Uncollectible Accounts Accounts receivable consist primarily of amounts due for natural gas sales and transportation services to NGD customers, plus amounts due for gas storage services. NW Holdings and NW Natural establish allowances for uncollectible accounts (allowance) for trade receivables, including accrued unbilled revenue, based on the aging of receivables, collection experience of past due account balances including payment plans, and historical trends of write-offs as a percent of revenues. A specific allowance is established and recorded for large individual customer receivables when amounts are identified as unlikely to be partially or fully recovered. Inactive accounts are written-off against the allowance after they are 120 days past due or when deemed uncollectible. Differences between the estimated allowance and actual write-offs will occur based on a number of factors, including changes in economic conditions, customer creditworthiness, and natural gas prices. The allowance for uncollectible accounts is adjusted quarterly, as necessary, based on information currently available. ALLOWANCE FOR TRADE RECEIVABLES. Accounts receivable consist primarily of amounts due for natural gas sales and transportation services to NGD customers and amounts due for gas storage services. The payment term of these receivables is generally 15 days. For these short-term receivables, it is not expected that forecasted economic conditions would significantly affect the loss estimates under stable economic conditions. For extreme situations like a financial crisis, natural disaster, and the economic slowdown caused by pandemics like COVID-19, we enhance our review and analysis. After considering the significant exposure to quarantine-related job losses in Oregon and Washington state, NW Holdings and NW Natural expanded our standard review procedures for our allowance for uncollectible accounts calculation, including analyzing the significant indications of unemployment rate and comparing to historic economic data during the 2007-2009 time period when the country experienced an economic recession. We then considered other qualitative information including recent customer interactions related to payment plans and credit issues, statistics from our website related to credit inquiries, and economic stimulus provided by the federal government which could have a beneficial impact on residential and commercial customers' abilities to ultimately make payment on their accounts. Our provision calculation for residential and commercial accounts was estimated as a percentage of accounts that no customer payment was received for 90 or more days. For industrial accounts, we continue to analyze those accounts on an account-by-account basis with specific reserves taken as necessary. The following table presents the activity related to the NW Holdings provision for uncollectible accounts by pool, substantially all of which is related to NW Natural's accounts receivable: As of December 31, 2019 As of December 31, 2020 Year ended December 31, 2020 In thousands Beginning Balance Provision recorded (1) Write-offs recognized, net of recoveries Ending Balance Allowance for uncollectible accounts related to accounts receivable: Residential $ 432 $ 2,159 $ (438) $ 2,153 Commercial 57 821 (174) 704 Industrial 72 77 (7) 142 Accrued unbilled and other 112 166 (58) 220 Total $ 673 $ 3,223 $ (677) $ 3,219 (1) Includes $2.3 million that was deferred to a regulatory asset for costs associated with COVID-19 that are recoverable in future rates. ALLOWANCE FOR NET INVESTMENTS IN SALES-TYPE LEASES. NW Natural currently holds two net investments in sales-type leases, with substantially all of the net investment balance related to the North Mist natural gas storage agreement with Portland General Electric (PGE) which is billed under an OPUC-approved rate schedule. See Note 7 for more information on the North Mist lease. Due to the nature of this service, PGE may recover the costs of the lease through general rate cases. Therefore, we expect the risk of loss due to the credit of this lessee to be remote. As such, no allowance for uncollectibility was recorded for our sales-type lease receivables. NW Natural will continue monitoring the credit health of the lessees and the overall economic environment, including the economic factors closely tied to the financial health of our current and future lessees. |
Inventories | Inventories NGD gas inventories, which consist of natural gas in storage for NGD customers, are stated at the lower of weighted-average cost or net realizable value. The regulatory treatment of these inventories provides for cost recovery in customer rates. NGD gas inventories injected into storage are priced in inventory based on actual purchase costs, and those withdrawn from storage are charged to cost of gas during the period they are withdrawn at the weighted-average inventory cost. Gas storage inventories, which primarily represented inventories at the Gill Ranch Facility and are included in Discontinued operations - current assets on the consolidated balance sheets, mainly consist of natural gas received as fuel-in-kind from storage customers. Gas storage inventories are valued at the lower of average cost or net realizable value. Cushion gas is not included in inventory balances, is recorded at original cost, and is classified as a long-term plant asset. Materials and supplies inventories consist of inventories both related to and unrelated to NGD and are stated at the lower of average cost or net realizable value. |
Gas Reserves | Gas Reserves Gas reserves are payments to acquire and produce natural gas reserves. Gas reserves are stated at cost, adjusted for regulatory amortization, with the associated deferred tax benefits recorded as liabilities on the balance sheet. The current portion is calculated based on expected gas deliveries within the next fiscal year. NW Natural recognizes regulatory amortization of this asset on a volumetric basis calculated using the estimated gas reserves and the estimated therms extracted and sold each month. The amortization of gas reserves is recorded to cost of gas along with gas production revenues and production costs. See Note 13. |
Derivatives | Derivatives NW Natural's derivatives are measured at fair value and recognized as either assets or liabilities on the balance sheet. Changes in the fair value of the derivatives are recognized in earnings unless specific regulatory or hedge accounting criteria are met. Accounting for derivatives and hedges provides an exception for contracts intended for normal purchases and normal sales for which physical delivery is probable. In addition, certain derivative contracts are approved by regulatory authorities for recovery or refund through customer rates. Accordingly, the changes in fair value of these approved contracts are deferred as regulatory assets or liabilities pursuant to regulatory accounting principles. NW Natural's financial derivatives generally qualify for deferral under regulatory accounting. NW Natural's index-priced physical derivative contracts also qualify for regulatory deferral accounting treatment. Derivative contracts entered into for NGD requirements after the annual PGA rate has been set and maturing during the PGA year are subject to the PGA incentive sharing mechanism. In Oregon, NW Natural participates in a PGA sharing mechanism under which it is required to select either an 80% or 90% deferral of higher or lower gas costs such that the impact on current earnings from the gas cost sharing is either 20% or 10% of gas cost differences compared to PGA prices, respectively. For each of the PGA years in Oregon beginning November 1, 2020, 2019, and 2018, NW Natural selected the 90% deferral of gas cost differences. In Washington, 100% of the differences between the PGA prices and actual gas costs are deferred. See Note 16. |
Fair Value | Fair Value In accordance with fair value accounting, we use the following fair value hierarchy for determining inputs for our debt, pension plan assets, and derivative fair value measurements: • Level 1: Valuation is based on quoted prices for identical instruments traded in active markets; • Level 2: Valuation is based on quoted prices for similar instruments in active markets, quoted prices for identical or similar instruments in markets that are not active, and model-based valuation techniques for which all significant assumptions are observable in the market; and • Level 3: Valuation is generated from model-based techniques that use significant assumptions not observable in the market. These unobservable assumptions reflect our own estimates of assumptions market participants would use in valuing the asset or liability. In addition, the fair value for certain pension trust investments is determined using Net Asset Value per share (NAV) as a practical expedient, and therefore they are not classified within the fair value hierarchy. These investments primarily consist of institutional investment products. When developing fair value measurements, it is our policy to use quoted market prices whenever available or to maximize the use of observable inputs and minimize the use of unobservable inputs when quoted market prices are not available. Fair values are primarily developed using industry-standard models that consider various inputs including: (a) quoted future prices for commodities; (b) forward currency prices; (c) time value; (d) volatility factors; (e) current market and contractual prices for underlying instruments; (f) market interest rates and yield curves; (g) credit spreads; and (h) other relevant economic measures. NW Natural considers liquid points for natural gas hedging to be those points for which there are regularly published prices in a nationally recognized publication or where the instruments are traded on an exchange. |
Goodwill | Goodwill and Business Combinations NW Holdings, through its wholly-owned subsidiary NWN Water and NW Water's wholly-owned subsidiaries, has completed various acquisitions that resulted in the recognition of goodwill. Goodwill is measured as the excess of the acquisition-date fair value of the consideration transferred over the acquisition-date fair value of the net identifiable assets assumed. Adjustments are recorded during the measurement period to finalize the allocation of the purchase price. The carrying value of goodwill is reviewed annually during the fourth quarter using balances as of October 1, or whenever events or changes in circumstance indicate that such carrying values may not be recoverable. The goodwill assessment policy begins with a qualitative analysis in which events and circumstances are evaluated, including macroeconomic conditions, industry and market conditions, regulatory environments, and overall financial performance of the reporting unit. If the qualitative assessment indicates that the carrying value may be at risk of recoverability, a quantitative evaluation is performed to measure the carrying value of the goodwill against the fair value of the reporting unit. The reporting unit is determined primarily based on current operating segments and the level of review provided by the Chief Operating Decision Maker (CODM) and/or segment management on the operating segment's financial results. Reporting units are evaluated periodically for changes in the corporate environment. As of December 31, 2020 and 2019, NW Holdings had goodwill of $69.2 million and $49.9 million, respectively. All of NW Holdings' goodwill was acquired through the business combinations completed by NWN Water and its wholly-owned subsidiaries. No impairment charges were recorded as a result of the fourth quarter goodwill impairment assessment. |
Income Taxes | Income Taxes We account for income taxes under the asset and liability method, which requires the recognition of deferred tax assets and liabilities for the expected future tax consequences of events that have been included in the financial statements. Under this method, deferred tax assets and liabilities are determined on the basis of the differences between the financial statement and tax basis of assets and liabilities using enacted tax rates in effect for the year in which the differences are expected to reverse. The effect of a change in tax rates on deferred tax assets and liabilities is recognized in income in the enactment date period unless, for NW Natural, a regulatory order specifies deferral of the effect of the change in tax rates over a longer period of time. For NW Natural, deferred income tax assets and liabilities are also recognized for temporary differences where the deferred income tax benefits or expenses have previously been flowed through in the ratemaking process of the NGD business. Regulatory tax assets and liabilities are recorded on these deferred tax assets and liabilities to the extent it is believed they will be recoverable from or refunded to customers in future rates. Deferred investment tax credits on NGD plant additions, which reduce income taxes payable, are deferred for financial statement purposes and amortized over the life of the related plant. NW Holdings files consolidated or combined income tax returns that include NW Natural. Income tax expense is allocated on a separate company basis incorporating certain consolidated return considerations. Subsidiary income taxes payable or receivable are generally settled with NW Holdings, the common agent for income tax matters. |
Environmental Contingencies | Environmental Contingencies Loss contingencies are recorded as liabilities when it is probable a liability has been incurred and the amount of the loss is reasonably estimable in accordance with accounting standards for contingencies. Estimating probable losses requires an analysis of uncertainties that often depend upon judgments about potential actions by third parties. Accruals for loss contingencies are recorded based on an analysis of potential results. With respect to environmental liabilities and related costs, estimates are developed based on a review of information available from numerous sources, including completed studies and site specific negotiations. NW Natural's policy is to accrue the full amount of such liability when information is sufficient to reasonably estimate the amount of probable liability. When information is not available to reasonably estimate the probable liability, or when only the range of probable liabilities can be estimated and no amount within the range is more likely than another, it is our policy to accrue at the low end of the range. Accordingly, due to numerous uncertainties surrounding the course of environmental remediation and the preliminary nature of several site investigations, in some cases, it may not be possible to reasonably estimate the high end of the range of possible loss. In those cases, the nature of the potential loss and the fact that the high end of the range cannot be reasonably estimated is disclosed. See Note 18. |
Subsequent Events | Subsequent Events We monitor significant events occurring after the balance sheet date and prior to the issuance of the financial statements to determine the impacts, if any, of events on the financial statements to be issued. |
Significant Accounting Polici_3
Significant Accounting Policies (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Accounting Policies [Abstract] | |
Schedule of Regulatory Assets | Amounts NW Natural deferred as regulatory assets and liabilities were as follows: Regulatory Assets In thousands 2020 2019 Current: Unrealized loss on derivatives (1) $ 4,198 $ 2,000 Gas costs 1,979 20,140 Environmental costs (2) 4,992 4,762 Decoupling (3) 361 1,969 Pension balancing (4) 7,131 5,939 Income taxes 3,484 2,209 Other (5) 9,600 4,910 Total current $ 31,745 $ 41,929 Non-current: Unrealized loss on derivatives (1) $ 2,852 $ 609 Pension balancing (4) 43,383 48,251 Income taxes 15,368 17,173 Pension and other postretirement benefit liabilities 170,812 173,262 Environmental costs (2) 90,623 87,624 Gas costs 3,925 2,866 Decoupling (3) 1,031 — Other (5) 20,893 13,361 Total non-current $ 348,887 $ 343,146 Other (NW Holdings) 40 — Total non-current -NW Holdings $ 348,927 $ 343,146 |
Schedule of Regulatory Liabilities | Regulatory Liabilities In thousands 2020 2019 Current: Gas costs $ 1,118 $ 1,223 Unrealized gain on derivatives (1) 13,674 6,622 Decoupling (3) 11,793 4,831 Income taxes (6) 8,217 8,435 Other (5) 15,560 23,546 Total current 50,362 44,657 Non-current: Gas costs $ 314 $ 2,013 Unrealized gain on derivatives (1) 6,135 3,337 Decoupling (3) 1,723 6,378 Income taxes (6) 189,587 198,219 Accrued asset removal costs (7) 427,960 401,893 Other (5) 13,074 13,877 Total non-current $ 638,793 $ 625,717 Other (NW Holdings) 870 — Total non-current -NW Holdings $ 639,663 $ 625,717 (1) Unrealized gains or losses on derivatives are non-cash items and, therefore, do not earn a rate of return or a carrying charge. These amounts are recoverable through natural gas distribution rates as part of the annual Purchased Gas Adjustment (PGA) mechanism when realized at settlement. (2) Refer to the Environmental Cost Deferral and Recovery table in Note 18 for a description of environmental costs. (3) This deferral represents the margin adjustment resulting from differences between actual and expected volumes. (4) Refer to Note 10 for information regarding the deferral of pension expenses. (5) Balances consist of deferrals and amortizations under approved regulatory mechanisms and typically earn a rate of return or carrying charge. (6) This balance represents estimated amounts associated with the Tax Cuts and Jobs Act. See Note 11. (7) Estimated costs of removal on certain regulated properties are collected through rates. See "Accounting Policies— Plant, Property, and Accrued Asset Removal Costs |
Accounts Receivable, Allowance for Credit Loss | The following table presents the activity related to the NW Holdings provision for uncollectible accounts by pool, substantially all of which is related to NW Natural's accounts receivable: As of December 31, 2019 As of December 31, 2020 Year ended December 31, 2020 In thousands Beginning Balance Provision recorded (1) Write-offs recognized, net of recoveries Ending Balance Allowance for uncollectible accounts related to accounts receivable: Residential $ 432 $ 2,159 $ (438) $ 2,153 Commercial 57 821 (174) 704 Industrial 72 77 (7) 142 Accrued unbilled and other 112 166 (58) 220 Total $ 673 $ 3,223 $ (677) $ 3,219 (1) Includes $2.3 million that was deferred to a regulatory asset for costs associated with COVID-19 that are recoverable in future rates. |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Earnings Per Share [Abstract] | |
EPS Calculation [Table Text Block] | NW Holdings' diluted earnings or loss per share are calculated as follows: In thousands, except per share data 2020 2019 2018 Net income from continuing operations $ 70,273 $ 65,311 $ 67,311 Income (loss) from discontinued operations, net of tax 6,508 (3,576) (2,742) Net income $ 76,781 $ 61,735 $ 64,569 Average common shares outstanding - basic 30,541 29,786 28,803 Additional shares for stock-based compensation plans (See Note 8) 58 73 70 Average common shares outstanding - diluted 30,599 29,859 28,873 Earnings from continuing operations per share of common stock: Basic $ 2.30 $ 2.19 $ 2.34 Diluted 2.30 2.19 2.33 Earnings (loss) from discontinued operations per share of common stock: Basic $ 0.21 $ (0.12) $ (0.10) Diluted 0.21 (0.12) (0.09) Earnings per share of common stock: Basic $ 2.51 $ 2.07 $ 2.24 Diluted 2.51 2.07 2.24 Additional information: Anti-dilutive shares 1 — 2 |
Segment Information (Tables)
Segment Information (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Segment Reporting [Abstract] | |
Schedule of Segment Reporting Information, by Segment | The following table presents summary financial information concerning the reportable segment and other for continuing operations. See Note 19 for information regarding discontinued operations for NW Holdings and NW Natural. In thousands NGD Other NW Natural Other NW Holdings 2020 Operating revenues $ 741,072 $ 17,676 $ 758,748 $ 14,931 $ 773,679 Depreciation and amortization 100,591 995 101,586 2,097 103,683 Income (loss) from operations 137,724 9,916 147,640 711 148,351 Net income (loss) from continuing operations 63,555 7,008 70,563 (290) 70,273 Capital expenditures 263,777 2,271 266,048 6,968 273,016 Total assets at December 31, 2020 3,549,868 49,468 3,599,336 157,043 3,756,379 2019 Operating revenues $ 720,528 $ 19,416 $ 739,944 $ 6,428 $ 746,372 Depreciation and amortization 89,415 990 90,405 1,091 91,496 Income (loss) from operations 135,918 11,428 147,346 (3,872) 143,474 Net income (loss) from continuing operations 60,828 8,146 68,974 (3,663) 65,311 Capital expenditures 219,880 1,500 221,380 2,091 223,471 Total assets at December 31, 2019 (1) 3,273,835 47,652 3,321,487 91,833 3,413,320 2018 Operating revenues $ 680,648 $ 24,923 $ 705,571 $ 572 $ 706,143 Depreciation and amortization 83,732 1,254 84,986 170 85,156 Income (loss) from operations 118,095 15,004 133,099 (937) 132,162 Net income (loss) from continuing operations 57,491 10,558 68,049 (738) 67,311 Capital expenditures 212,323 2,005 214,328 308 214,636 Total assets at December 31, 2018 (1) 3,141,969 50,767 3,192,736 36,657 3,229,393 (1) Total assets for NW Holdings exclude assets related to discontinued operations of $15.1 million and $13.3 million as of December 31, 2019 , and 2018, respectively. |
Utility Margin | The following table presents additional segment information concerning NGD margin: In thousands 2020 2019 2018 NGD margin calculation: NGD operating revenues $ 721,950 $ 708,472 $ 680,386 Other regulated services 19,122 12,056 262 Total NGD operating revenues 741,072 720,528 680,648 Less: NGD cost of gas 262,980 255,135 255,743 Environmental remediation expense 9,691 12,337 11,127 Revenue taxes 30,291 30,325 30,082 NGD margin $ 438,110 $ 422,731 $ 383,696 |
Common Stock (Tables)
Common Stock (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Common Stock [Abstract] | |
Summary Of Common Stock Shares Issued And Outstanding Table | The following table summarizes the changes in the number of shares of NW Holdings' common stock issued and outstanding: In thousands Shares Balance, December 31, 2017 28,736 Sales to employees under ESPP 19 Stock-based compensation 64 Sales to shareholders under DRPP 61 Balance, December 31, 2018 28,880 Sales to employees under ESPP 18 Stock-based compensation 83 Equity issuance 1,438 Sales to shareholders under DRPP 53 Balance, December 31, 2019 30,472 Sales to employees under ESPP 3 Stock-based compensation 46 Sales to shareholders under DRPP 68 Balance, December 31, 2020 30,589 |
Revenue (Tables)
Revenue (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Revenue from Contract with Customer [Abstract] | |
Disaggregation of Revenue | The following table presents disaggregated revenue from continuing operations: Year ended December 31, 2020 In thousands NGD Other NW Natural Other NW Holdings Natural gas sales $ 710,422 $ — $ 710,422 $ — $ 710,422 Gas storage revenue, net — 9,759 9,759 — 9,759 Asset management revenue, net — 2,532 2,532 — 2,532 Appliance retail center revenue — 5,385 5,385 — 5,385 Other revenue 1,337 — 1,337 14,931 16,268 Revenue from contracts with customers 711,759 17,676 729,435 14,931 744,366 Alternative revenue 10,870 — 10,870 — 10,870 Leasing revenue 18,443 — 18,443 — 18,443 Total operating revenues $ 741,072 $ 17,676 $ 758,748 $ 14,931 $ 773,679 Year ended December 31, 2019 In thousands NGD Other NW Natural Other NW Holdings Natural gas sales $ 729,296 $ — $ 729,296 $ — $ 729,296 Gas storage revenue, net — 10,240 10,240 — 10,240 Asset management revenue, net — 3,705 3,705 — 3,705 Appliance retail center revenue — 5,471 5,471 — 5,471 Other revenue 847 — 847 6,428 7,275 Revenue from contracts with customers 730,143 19,416 749,559 6,428 755,987 Alternative revenue (20,984) — (20,984) — (20,984) Leasing revenue 11,369 — 11,369 — 11,369 Total operating revenues $ 720,528 $ 19,416 $ 739,944 $ 6,428 $ 746,372 |
Leases (Tables)
Leases (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Leases [Abstract] | |
Lessee, Leases, Supplemental Cash Flow Information [Table Text Block] | Supplemental cash flow information related to leases was as follows: Year ended December 31, 2020 In thousands NW Natural Other NW Holdings Cash paid for amounts included in the measurement of lease liabilities Operating cash flows from operating leases $ 4,466 $ 131 $ 4,597 Finance cash flows from finance leases $ 835 $ — $ 835 Right of use assets obtained in exchange for lease obligations Operating leases $ 78,539 $ 51 $ 78,590 Finance leases $ 1,386 $ — $ 1,386 Year ended December 31, 2019 In thousands NW Natural Other NW Holdings Cash paid for amounts included in the measurement of lease liabilities Operating cash flows from operating leases $ 4,447 $ 182 $ 4,629 Finance cash flows from finance leases $ 120 $ — $ 120 Right of use assets obtained in exchange for lease obligations Operating leases $ 7,205 $ 372 $ 7,577 Finance leases $ 312 $ — $ 312 |
Lessee, Operating Lease, Liability, Maturity [Table Text Block] | Maturities of operating lease liabilities at December 31, 2020 were as follows: In thousands NW Natural Other NW Holdings 2021 $ 6,760 $ 52 $ 6,812 2022 6,849 67 6,916 2023 6,986 — 6,986 2024 7,150 — 7,150 2025 7,185 — 7,185 Thereafter 123,784 — 123,784 Total lease payments 158,714 119 158,833 Less: imputed interest 77,101 6 77,107 Total lease obligations 81,613 113 81,726 Less: current obligations 1,054 51 1,105 Long-term lease obligations $ 80,559 $ 62 $ 80,621 |
Lease, Cost [Table Text Block] | The components of lease expense, a portion of which is capitalized, were as follows: Year ended December 31, 2020 In thousands NW Natural Other NW Holdings Operating lease expense $ 4,381 $ 125 $ 4,506 Short-term lease expense $ 1,010 $ — $ 1,010 Year ended December 31, 2019 In thousands NW Natural Other NW Holdings Operating lease expense $ 4,620 $ 191 $ 4,811 Short-term lease expense $ 1,146 $ — $ 1,146 |
Operating Lease, Lease Income [Table Text Block] | The components of lease revenue at NW Natural were as follows: Year ended December 31, In thousands 2020 2019 Lease revenue Operating leases $ 88 $ 171 Sales-type leases 18,355 11,198 Total lease revenue $ 18,443 $ 11,369 |
Lessor, Operating Lease, Payments to be Received, Maturity [Table Text Block] | Total future minimum lease payments to be received under non-cancelable leases at NW Natural at December 31, 2020 are as follows: In thousands Operating Sales-Type Total 2021 $ 59 $ 17,518 $ 17,577 2022 55 17,026 17,081 2023 47 16,557 16,604 2024 47 15,867 15,914 2025 43 15,306 15,349 Thereafter 52 251,721 251,773 Total lease revenue $ 303 $ 333,995 $ 334,298 Less: imputed interest 189,501 Total leases receivable $ 144,494 |
Operating Lease, Lease Asset and Liabilities [Table Text Block] | Supplemental balance sheet information related to operating leases as of December 31, 2020 is as follows: In thousands NW Natural Other NW Holdings Operating lease right of use assets $ 77,328 $ 118 $ 77,446 Operating lease liabilities - current liabilities $ 1,054 $ 51 $ 1,105 Operating lease liabilities - non-current liabilities 80,559 62 80,621 Total operating lease liabilities $ 81,613 $ 113 $ 81,726 Supplemental balance sheet information related to operating leases as of December 31, 2019 is as follows: In thousands NW Natural Other NW Holdings Operating lease right of use assets $ 2,760 $ 190 $ 2,950 Operating lease liabilities - current liabilities $ 1,979 $ 122 $ 2,101 Operating lease liabilities - non-current liabilities 772 69 841 Total operating lease liabilities $ 2,751 $ 191 $ 2,942 |
Stock-Based Compensation (Table
Stock-Based Compensation (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Table Text Block] | In thousands 2020 2019 2018 Operations and maintenance expense, for stock-based compensation $ 3,525 $ 2,172 $ 2,489 Income tax benefit (933) (575) (659) Net stock-based compensation effect on net income (loss) 2,592 1,597 1,830 Amounts capitalized for stock-based compensation $ 841 $ 430 $ 531 |
Share-based Payment Arrangement, Option, Activity [Table Text Block] | Option Weighted - Intrinsic Value (In millions) Balance outstanding and exercisable, December 31, 2017 91,688 $ 44.43 $ 1.4 Exercised (35,450) 43.61 0.8 Forfeited (300) 43.29 n/a Balance outstanding and exercisable, December 31, 2018 55,938 44.96 0.9 Exercised (45,000) 44.79 1.0 Forfeited — — n/a Balance outstanding and exercisable, December 31, 2019 10,938 45.67 0.3 Exercised (1,500) 45.24 — Expired — — n/a Balance outstanding and exercisable, December 31, 2020 9,438 $ 45.74 $ — |
Share-based Payment Arrangement, Restricted Stock and Restricted Stock Unit, Activity [Table Text Block] | Number of RSUs Weighted - Nonvested, December 31, 2017 84,522 $ 53.90 Granted 32,450 57.59 Vested (32,689) 50.75 Forfeited (1,603) 59.95 Nonvested, December 31, 2018 82,680 56.47 Granted 36,018 65.29 Vested (35,778) 54.22 Forfeited (3,187) 63.89 Nonvested, December 31, 2019 79,733 61.17 Granted 33,594 55.58 Vested (29,273) 59.29 Forfeited (1,590) 69.71 Nonvested, December 31, 2020 82,464 $ 59.40 |
Share-based Payment Arrangement, Performance Shares, Outstanding Activity [Table Text Block] | The aggregate number of performance shares granted and outstanding at the target and maximum levels were as follows: Dollars in thousands Performance Share Awards Outstanding 2020 Performance Period Target Maximum Expense 2018-20 31,825 63,650 $ 2,137 2019-21 — — — 2020-22 — — — Total 31,825 63,650 $ 2,137 |
Long Term Incentive Plan [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Share-based Compensation Arrangements by Share-based Payment Award, Performance-Based Units, Vested and Expected to Vest [Table Text Block] | The following table summarizes performance share expense information: Dollars in thousands Shares (1) Expense During Award Year (2) Total Expense for Award Estimated award: 2018-2020 grant (3) 31,600 $ 2,137 $ 2,137 Actual award: 2017-2019 grant 41,537 $ 572 $ 1,971 2016-2018 grant 28,218 $ 598 $ 1,413 (1) In addition to common stock shares, a participant also receives a dividend equivalent cash payment equal to the number of shares of common stock received on the award payout multiplied by the aggregate cash dividends paid per share during the performance period. (2) Amount represents the expense recognized in the third year of the vesting period noted above. For the 2018-2020 grant, mutual understanding of the award's key terms was established in the third year of the vesting period, triggering full expense recognition in 2020. (3) This represents the estimated number of shares to be awarded as of December 31, 2020 as certain performance share measures have been achieved. Amounts are subject to change with final payout amounts authorized by the Board of Directors in February 2021. |
Debt (Tables)
Debt (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Debt Disclosure [Abstract] | |
Schedule of Maturities of Long-term Debt [Table Text Block] | Retirement of long-term debt for each of the annual periods through December 31, 2025 and thereafter are as follows: In thousands Long-term debt maturities NW Natural 2021 $ 60,000 2022 — 2023 90,000 2024 — 2025 30,000 Thereafter 744,700 Total $ 924,700 |
Schedule of Debt [Table Text Block] | The following table presents debt outstanding as of December 31: In thousands 2020 2019 NW Natural First Mortgage Bonds: 5.370% Series due 2020 $ — $ 75,000 9.050% Series due 2021 10,000 10,000 3.176% Series due 2021 50,000 50,000 3.542% Series due 2023 50,000 50,000 5.620% Series due 2023 40,000 40,000 7.720% Series due 2025 20,000 20,000 6.520% Series due 2025 10,000 10,000 7.050% Series due 2026 20,000 20,000 3.211% Series due 2026 35,000 35,000 7.000% Series due 2027 20,000 20,000 2.822% Series due 2027 25,000 25,000 6.650% Series due 2027 19,700 19,700 6.650% Series due 2028 10,000 10,000 3.141% Series due 2029 50,000 50,000 7.740% Series due 2030 20,000 20,000 7.850% Series due 2030 10,000 10,000 5.820% Series due 2032 30,000 30,000 5.660% Series due 2033 40,000 40,000 5.250% Series due 2035 10,000 10,000 4.000% Series due 2042 50,000 50,000 4.136% Series due 2046 40,000 40,000 3.685% Series due 2047 75,000 75,000 4.110% Series due 2048 50,000 50,000 3.869% Series due 2049 90,000 90,000 3.600% Series due 2050 150,000 — Long-term debt, gross 924,700 849,700 Less: current maturities 60,000 75,000 Total long-term debt $ 864,700 $ 774,700 |
Fair Value Of Long Term Debt Table [Text Block] | The following table provides an estimate of the fair value of NW Holdings' long-term debt, including current maturities of long-term debt, using market prices in effect on the valuation date : December 31, In thousands 2020 2019 Gross long-term debt $ 962,905 $ 886,776 Unamortized debt issuance costs (7,480) (5,712) Carrying amount $ 955,425 $ 881,064 Estimated fair value (1) $ 1,136,311 $ 957,268 (1) Estimated fair value does not include unamortized debt issuance costs. The following table provides an estimate of the fair value of NW Natural's long-term debt, including current maturities of long-term debt, using market prices in effect on the valuation date : December 31, In thousands 2020 2019 Gross long-term debt $ 924,700 $ 849,700 Unamortized debt issuance costs (7,480) (5,712) Carrying amount $ 917,220 $ 843,988 Estimated fair value (1) $ 1,097,348 $ 919,835 (1) Estimated fair value does not include unamortized debt issuance costs. |
Pension and Other Postretirem_3
Pension and Other Postretirement Benefits Costs (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Retirement Benefits [Abstract] | |
Schedule of Defined Benefit Plans Disclosures | The following table provides a reconciliation of the changes in NW Natural's benefit obligations and fair value of plan assets, as applicable, for NW Natural's pension and other postretirement benefit plans, excluding the Retirement K Savings Plan, and a summary of the funded status and amounts recognized in NW Holdings' and NW Natural's consolidated balance sheets as of December 31: Postretirement Benefit Plans Pension Benefits Other Benefits In thousands 2020 2019 2020 2019 Reconciliation of change in benefit obligation: Obligation at January 1 $ 515,668 $ 455,568 $ 29,568 $ 28,172 Service cost 6,614 6,308 258 244 Interest cost 16,161 18,683 905 1,117 Net actuarial loss 52,777 58,269 145 1,809 Benefits paid (25,073) (23,160) (1,837) (1,774) Obligation at December 31 $ 566,147 $ 515,668 $ 29,039 $ 29,568 Reconciliation of change in plan assets: Fair value of plan assets at January 1 $ 313,051 $ 257,797 $ — $ — Actual return on plan assets 54,600 65,104 — — Employer contributions 31,354 13,310 1,837 1,774 Benefits paid (25,073) (23,160) (1,837) (1,774) Fair value of plan assets at December 31 $ 373,932 $ 313,051 $ — $ — Funded status at December 31 $ (192,215) $ (202,617) $ (29,039) $ (29,568) |
Schedule Of Amounts Recognized In Regulatory Assets Or Other Comprehensive Income Loss | The following table presents amounts realized through regulatory assets or in other comprehensive loss (income) for the years ended December 31: Regulatory Assets Other Comprehensive Loss (Income) Pension Benefits Other Postretirement Benefits Pension Benefits In thousands 2020 2019 2018 2020 2019 2018 2020 2019 2018 Net actuarial loss (gain) $ 16,170 $ 10,424 $ 14,261 $ 145 $ 1,809 $ (327) $ 3,873 $ 3,595 $ (677) Amortization of: Prior service (cost) credit — (7) (42) 468 468 468 — — — Actuarial loss (18,627) (14,057) (18,761) (607) (369) (448) (923) (648) (1,052) Total $ (2,457) $ (3,640) $ (4,542) $ 6 $ 1,908 $ (307) $ 2,950 $ 2,947 $ (1,729) |
Schedule Of Defined Benefit Plan Amounts In AOCL And Regulatory Assets | The following table presents amounts recognized in regulatory assets and accumulated other comprehensive loss (AOCL) at December 31: Regulatory Assets AOCL Pension Benefits Other Postretirement Benefits Pension Benefits In thousands 2020 2019 2020 2019 2020 2019 Prior service cost (credit) $ — $ — $ (801) $ (1,270) $ — $ — Net actuarial loss 164,446 166,903 7,167 7,629 17,434 14,484 Total $ 164,446 $ 166,903 $ 6,366 $ 6,359 $ 17,434 $ 14,484 |
Schedule of Amounts Recognized in Other Comprehensive Income (Loss) | The following table presents amounts recognized by NW Holdings and NW Natural in AOCL and the changes in AOCL related to NW Natural's non-qualified employee benefit plans: Year ended December 31, In thousands 2020 2019 Beginning balance $ (10,733) $ (7,188) Amounts reclassified to AOCL (3,873) (3,611) Amounts reclassified from AOCL: Amortization of actuarial losses 923 648 Reclassification of stranded tax effects (1) — (1,366) Total reclassifications before tax (2,950) (4,329) Tax expense 781 784 Total reclassifications for the period (2,169) (3,545) Ending balance $ (12,902) $ (10,733) (1) Reclassification of $1.4 million of income tax effects resulting from the TCJA from accumulated other comprehensive loss to retained earnings was made pursuant to the adoption of ASU 2018-02. See Note 2. |
Schedule of Allocation of Plan Assets | The following table presents the Pension Plan asset target allocation at December 31, 2020: Asset Category Target Allocation Long government/credit 20 % U.S. large cap equity 18 Non-U.S. equity 18 Absolute return strategies 12 U.S. small/mid cap equity 10 Real estate funds 7 High yield bonds 5 Emerging markets equity 5 Emerging market debt 5 |
Schedule of Net Benefit Costs | The following table provides the components of net periodic benefit cost for NW Natural's pension and other postretirement benefit plans for the years ended December 31: Pension Benefits Other Postretirement Benefits In thousands 2020 2019 2018 2020 2019 2018 Service cost $ 6,614 $ 6,308 $ 7,185 $ 258 $ 244 $ 282 Interest cost 16,161 18,684 16,991 905 1,116 964 Expected return on plan assets (21,865) (20,854) (20,639) — — — Amortization of prior service cost (credit) — 7 43 (468) (468) (468) Amortization of net actuarial loss 19,550 14,704 19,813 607 368 448 Net periodic benefit cost 20,460 18,849 23,393 1,302 1,260 1,226 Amount allocated to construction (2,798) (2,493) (2,764) (98) (86) (98) Amount deferred to regulatory balancing account — — (10,314) — — — Net periodic benefit cost charged to expense 17,662 16,356 10,315 1,204 1,174 1,128 Regulatory pension disallowance — 10,500 — — — — Amortization of regulatory balancing account 7,131 16,841 — — — — Net amount charged to expense $ 24,793 $ 43,697 $ 10,315 $ 1,204 $ 1,174 $ 1,128 |
Sensitivity Analysis Of Retirement Benefit Costs and Benefit Obligations | The following table provides the assumptions used in measuring periodic benefit costs and benefit obligations for the years ended December 31: Pension Benefits Other Postretirement Benefits 2020 2019 2018 2020 2019 2018 Assumptions for net periodic benefit cost: Weighted-average discount rate 3.18 % 4.19 % 3.51 % 3.11 % 4.13 % 3.44 % Rate of increase in compensation 3.50 % 3.25-3.50% 3.25-4.50% n/a n/a n/a Expected long-term rate of return 7.25 % 7.50 % 7.50 % n/a n/a n/a Assumptions for year-end funded status: Weighted-average discount rate 2.36 % 3.16 % 4.20 % 2.34 % 3.11 % 4.13 % Rate of increase in compensation (1) 3.50-6.50% 3.50-6.50% 3.25-4.50% n/a n/a n/a Expected long-term rate of return 7.25 % 7.25 % 7.50 % n/a n/a n/a |
Defined Benefit Plan Estimated Future Employer Contributions Benefit Payments and Estimated Future Payments | The following table provides information regarding employer contributions and benefit payments for NW Natural's Pension Plan, non-qualified pension plans, and other postretirement benefit plans for the years ended December 31, and estimated future contributions and payments: In thousands Pension Benefits Other Benefits Employer Contributions: 2019 $ 13,310 $ 1,774 2020 31,362 1,837 2021 (estimated) 22,465 1,654 Benefit Payments: 2018 21,918 1,674 2019 23,160 1,774 2020 25,073 1,837 Estimated Future Benefit Payments: 2021 24,609 1,654 2022 25,299 1,664 2023 26,083 1,694 2024 26,807 1,690 2025 27,399 1,678 2026-2030 149,287 7,815 |
Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis | The following tables present the fair value of NW Natural's Pension Plan assets, including outstanding receivables and liabilities, of NW Natural's retirement trust fund: In thousands December 31, 2020 Investments Level 1 Level 2 Level 3 Non-Published NAV (1) Total US equity $ — $ — $ — $ 117,764 $ 117,764 International / Global equity 39,114 — — 78,092 117,206 Liability hedging — — — 111,041 111,041 Opportunistic — — — 25,625 25,625 Cash and cash equivalents — — — 2,295 2,295 Total investments $ 39,114 $ — $ — $ 334,817 $ 373,931 December 31, 2019 Investments Level 1 Level 2 Level 3 Non-Published NAV (1) Total US equity $ — $ — $ — $ 95,604 $ 95,604 International / Global equity 33,168 — — 74,337 107,505 Liability hedging — — — 93,028 93,028 Opportunistic — — — 9,864 9,864 Cash and cash equivalents — — — 7,049 7,049 Total investments $ 33,168 $ — $ — $ 279,882 $ 313,050 December 31, 2020 2019 Receivables: Accrued interest and dividend income $ 6,429 $ 3,243 Total receivables 6,429 3,243 Liabilities: Due to broker for securities purchased 6,429 3,242 Total investment in retirement trust $ 373,931 $ 313,051 (1) The fair value for these investments is determined using Net Asset Value per share (NAV) as of December 31, as a practical expedient, and therefore they are not classified within the fair value hierarchy. These investments primarily consist of institutional investment products, for which the NAV is generally not publicly available. |
Income Tax (Tables)
Income Tax (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Income Tax Disclosure [Abstract] | |
Schedule of Effective Income Tax Rate Reconciliation [Table Text Block] | The following table provides a reconciliation between income taxes calculated at the statutory federal tax rate and the provision for income taxes reflected in the NW Holdings and NW Natural statements of comprehensive income or loss for December 31: NW Holdings NW Natural Dollars in thousands 2020 2019 2018 2020 2019 2018 Income taxes at federal statutory rate $ 19,185 $ 16,370 $ 19,222 $ 19,248 $ 17,438 $ 19,434 Increase (decrease): State income tax, net of federal 6,389 4,422 4,927 6,385 4,716 4,982 Differences required to be flowed-through by regulatory commissions (3,960) (5,772) 1,302 (3,960) (5,772) 1,302 Deferred tax rate differential post-TCJA — — (76) — — (75) Regulatory settlement — (1,129) — — (1,129) — Other, net (532) (1,249) (1,184) (578) (1,188) (1,184) Total provision for income taxes $ 21,082 $ 12,642 $ 24,191 $ 21,095 $ 14,065 $ 24,459 Effective tax rate 23.1 % 16.2 % 26.4 % 23.0 % 16.9 % 26.4 % |
Schedule of Components of Income Tax Expense (Benefit) [Table Text Block] | The provision for current and deferred income taxes consists of the following at December 31: NW Holdings NW Natural In thousands 2020 2019 2018 2020 2019 2018 Current Federal $ 10,106 $ 5,530 $ 8,953 $ 11,092 $ 6,755 $ 9,127 State 5,971 1,667 3,785 5,357 2,101 3,846 Total current income taxes 16,077 7,197 12,738 16,449 8,856 12,973 Deferred Federal 2,888 1,515 9,001 1,921 1,340 9,025 State 2,117 3,930 2,452 2,725 3,869 2,461 Total deferred income taxes 5,005 5,445 11,453 4,646 5,209 11,486 Income tax provision $ 21,082 $ 12,642 $ 24,191 $ 21,095 $ 14,065 $ 24,459 |
Schedule of Deferred Tax Assets and Liabilities [Table Text Block] | The following table summarizes the tax effect of significant items comprising NW Holdings and NW Natural's deferred income tax balances recorded at December 31: NW Holdings NW Natural In thousands 2020 2019 2020 2019 Deferred tax liabilities: Plant and property $ 297,078 $ 269,886 $ 290,105 $ 281,044 Leases receivable 39,396 40,133 39,396 40,133 Pension and postretirement obligations 25,066 22,635 25,066 22,635 Income tax regulatory asset 17,104 19,382 17,104 19,382 Lease right of use assets 21,613 778 21,596 731 Other — 748 — 407 Total deferred income tax liabilities $ 400,257 $ 353,562 $ 393,267 $ 364,332 Deferred income tax assets: Income tax regulatory liability $ 52,590 $ 54,259 $ 52,366 $ 54,259 Lease liabilities 21,622 775 21,606 728 Other intangible assets 4,485 2,723 — — Net operating losses and credits carried forward 861 162 80 48 Other 1,407 — 1,181 — Total deferred income tax assets $ 80,965 $ 57,919 $ 75,233 $ 55,035 Total net deferred income tax liabilities $ 319,292 $ 295,643 $ 318,034 $ 309,297 |
Property, Plant and Equipment (
Property, Plant and Equipment (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Public Utilities, Property, Plant and Equipment [Abstract] | |
Major Classifications Of Property, Plant And Equipment And Accumulated Depreciation [Text Block] | The following table sets forth the major classifications of property, plant, and equipment and accumulated depreciation of continuing operations at December 31: In thousands 2020 2019 NW Natural: NGD plant in service $ 3,548,543 $ 3,302,049 NGD work in progress 63,901 84,965 Less: Accumulated depreciation 1,055,809 1,017,931 NGD plant, net 2,556,635 2,369,083 Other plant in service 66,300 63,513 Other construction work in progress 5,032 5,548 Less: Accumulated depreciation 19,637 18,662 Other plant, net 51,695 50,399 Total property, plant, and equipment $ 2,608,330 $ 2,419,482 Other (NW Holdings): Other plant in service $ 50,263 $ 20,671 Less: Accumulated depreciation 3,823 1,254 Other plant, net 46,440 19,417 NW Holdings: Total property, plant, and equipment $ 2,654,770 $ 2,438,899 NW Natural and NW Holdings: Capital expenditures in accrued liabilities $ 25,129 $ 32,502 |
Gas Reserves (Tables)
Gas Reserves (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Gas Reserves [Abstract] | |
Gas Reserves Table [Text Block] | The following table outlines NW Natural's net gas reserves investment at December 31: In thousands 2020 2019 Gas reserves, current $ 11,409 $ 15,278 Gas reserves, non-current 175,898 172,029 Less: Accumulated amortization 141,414 123,635 Total gas reserves (1) 45,893 63,672 Less: Deferred taxes on gas reserves 10,572 15,515 Net investment in gas reserves $ 35,321 $ 48,157 |
Investments (Tables)
Investments (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Investments [Abstract] | |
Investment | The following table summarizes other investments at December 31: NW Holdings NW Natural In thousands 2020 2019 2020 2019 Investments in life insurance policies $ 49,241 $ 49,837 $ 49,241 $ 49,837 Investments in gas pipeline — 13,472 — — Other 18 24 — — Total other investments $ 49,259 $ 63,333 $ 49,241 $ 49,837 |
Business Combinations Busines_2
Business Combinations Business Combinations (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Business Combinations [Abstract] | |
Schedule of Recognized Identified Assets Acquired and Liabilities Assumed [Table Text Block] | The final purchase price for the acquisition has been allocated to the net assets acquired as of the acquisition date and is as follows: In thousands May 31, 2020 Current assets $ 222 Property, plant and equipment 12,866 Goodwill 41,054 Deferred tax assets 828 Current liabilities (22) Total net assets acquired $ 54,948 |
Derivative Instruments (Tables)
Derivative Instruments (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Schedule of Notional Amounts of Outstanding Derivative Positions | The following table presents the absolute notional amounts related to open positions on NW Natural derivative instruments: At December 31, In thousands 2020 2019 Natural gas (in therms): Financial 784,400 651,540 Physical 457,593 512,849 Foreign exchange $ 5,896 $ 6,650 |
Income Statement Presentation of Derivative Instruments | The following table reflects the income statement presentation for the unrealized gains and losses from NW Natural's derivative instruments, which also represents all derivative instruments at NW Holdings: December 31, 2020 December 31, 2019 In thousands Natural gas commodity Foreign exchange Natural gas commodity Foreign exchange Benefit (expense) to cost of gas $ 7,342 $ 312 $ 9,863 $ 102 Operating revenues (expense) (1,212) — (568) — Amounts deferred to regulatory accounts on balance sheet (6,306) (312) (9,376) (102) Total gain (loss) in pre-tax earnings $ (176) $ — $ (81) $ — |
Table Of Estimated Collateral Calls Table | Credit Rating Downgrade Scenarios In thousands (Current Ratings) A+/A3 BBB+/Baa1 BBB/Baa2 BBB-/Baa3 Speculative With Adequate Assurance Calls $ — $ — $ — $ — $ 51 Without Adequate Assurance Calls $ — $ — $ — $ — $ 51 |
Commitments and Contingencies (
Commitments and Contingencies (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Commitments and Contingencies Disclosure [Abstract] | |
Long-term Purchase Commitment | The aggregate amounts of these agreements were as follows at December 31, 2020: In thousands Gas Pipeline Pipeline 2021 $ 83,475 $ 77,748 $ 7,892 2022 — 80,646 7,182 2023 — 78,503 3,632 2024 — 73,472 3,632 2025 — 71,313 3,027 Thereafter — 516,291 — Total 83,475 897,973 25,365 Less: Amount representing interest 25 89,303 162 Total at present value $ 83,450 $ 808,670 $ 25,203 |
Environmental Matters (Tables)
Environmental Matters (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Environmental Remediation Obligations [Abstract] | |
Schedule of Environmental Loss Contingencies by Site | The following table summarizes information regarding liabilities related to environmental sites, which are recorded in other current liabilities and other noncurrent liabilities in NW Natural's balance sheet at December 31: Current Liabilities Non-Current Liabilities In thousands 2020 2019 2020 2019 Portland Harbor site: Gasco/Siltronic Sediments $ 7,596 $ 11,632 $ 43,725 $ 46,082 Other Portland Harbor 1,942 2,543 7,020 6,920 Gasco/Siltronic Upland site 14,887 14,203 40,250 43,616 Central Service Center site — — — — Front Street site 3,816 10,847 1,107 — Oregon Steel Mills — — 179 179 Total $ 28,241 $ 39,225 $ 92,281 $ 96,797 |
Environmental Regulatory Table | The following table presents information regarding the total regulatory asset deferred as of December 31: In thousands 2020 2019 Deferred costs and interest (1) $ 44,516 $ 36,673 Accrued site liabilities (2) 120,352 135,662 Insurance proceeds and interest (69,253) (79,949) Total regulatory asset deferral (1) $ 95,615 $ 92,386 Current regulatory assets (3) $ 4,992 $ 4,762 Long-term regulatory assets (3) $ 90,623 $ 87,624 (1) Includes pre-review and post-review deferred costs, amounts currently in amortization, and interest, net of amounts collected from customers. In Oregon, NW Natural earns a carrying charge on cash amounts paid, whereas amounts accrued but not yet paid do not earn a carrying charge until expended. NW Natural also accrues a carrying charge on insurance proceeds for amounts owed to customers. In Washington, neither the cash paid nor insurance proceeds accrue a carrying charge. (2) Excludes 3.3% of the Front Street site liability, or $0.2 million in 2020 and $0.4 million in 2019, as the OPUC only allows recovery of 96.7% of costs for those sites allocable to Oregon, including those that historically served only Oregon customers. (3) Environmental costs relate to specific sites approved for regulatory deferral by the OPUC and WUTC. In Oregon, NW Natural earns a carrying charge on cash amounts paid, whereas amounts accrued but not yet paid do not earn a carrying charge until expended. It also accrues a carrying charge on insurance proceeds for amounts owed to customers. In Washington, neither the cash paid nor insurance proceeds received accrue a carrying charge. Current environmental costs represent remediation costs management expects to collect from customers in the next 12 months. Amounts included in this estimate are still subject to a prudence and earnings test review by the OPUC and do not include the $5.0 million tariff rider. The amounts allocable to Oregon are recoverable through NGD rates, subject to an earnings test. See " Oregon SRRM " below. |
Discontinued Operations (Tables
Discontinued Operations (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |
Disposal Groups, Including Discontinued Operations | The following table presents the operating results prior to the holding company reorganization effective October 1, 2018 of NWN Energy, NWN Gas Storage, Gill Ranch, NNG Financial, NWN Water, and NW Holdings, which were historically reported within the gas storage segment and other, and is presented net of tax on NW Natural's consolidated statements of comprehensive income: NW Natural Discontinued Operations In thousands, except per share data 2018 Revenues $ 3,016 Expenses Operations and maintenance 4,151 General taxes 448 Depreciation and amortization 420 Other expenses and interest 342 Total expenses 5,361 Loss from discontinued operations before income tax (2,345) Income tax benefit (622) Loss from discontinued operations, net of tax $ (1,723) |
Northwest Holdings [Member] | |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |
Disposal Groups, Including Discontinued Operations | The following table presents the operating results of Gill Ranch and is presented net of tax on NW Holdings' consolidated statements of comprehensive income: NW Holdings Discontinued Operations In thousands, except per share data 2020 2019 2018 Revenues $ 10,193 $ 5,301 $ 3,579 Expenses Operations and maintenance 7,931 8,587 5,771 General taxes 198 219 479 Depreciation and amortization 391 423 430 Other expenses and interest 848 931 609 Total expenses 9,368 10,160 7,289 Income (loss) from discontinued operations 825 (4,859) (3,710) Gain on sale of discontinued operations 8,027 — — Income (loss) from discontinued operations before income tax 8,852 (4,859) (3,710) Income tax expense (benefit) (1) 2,344 (1,283) (968) Income (loss) from discontinued operations, net of tax $ 6,508 $ (3,576) $ (2,742) (1) Includes income tax expense of $2.1 million related to the sale of Gill Ranch for the year ended December 31, 2020. |
Northwest Holdings [Member] | |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |
Disposal Groups, Including Discontinued Operations | NW Holdings Discontinued Operations In thousands 2019 Assets: Accounts receivable $ 333 Inventories 695 Other current assets 457 Property, plant, and equipment, net 13,284 Operating lease right of use asset 118 Other non-current assets 247 Total discontinued operations assets - current assets (1) $ 15,134 Liabilities: Accounts payable $ 1,250 Other current liabilities 848 Operating lease liabilities 116 Other non-current liabilities 11,495 Total discontinued operations liabilities - current liabilities (1) $ 13,709 (1) The total assets and liabilities of Gill Ranch were classified as current because it was probable that the sale would be completed within one year. |
Condensed Financials Standalo_2
Condensed Financials Standalone Holdco NW Holdings Financial Statements (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Condensed Income Statements, Captions [Line Items] | |
Condensed Income Statement [Table Text Block] | NORTHWEST NATURAL HOLDING COMPANY CONDENSED STATEMENTS OF COMPREHENSIVE INCOME (PARENT COMPANY ONLY) In thousands Year ended December 31, 2020 Year ended December 31, 2019 Inception through December 31, 2018 Operating expenses: Operations and maintenance $ 771 $ 2,747 $ 838 Total operating expenses 771 2,747 838 Loss from operations (771) (2,747) (838) Earnings from investment in subsidiaries, net of tax 78,450 64,328 36,469 Other income (expense), net 57 (22) 36 Interest expense, net 1,557 726 53 Income before income taxes 76,179 60,833 35,614 Income tax benefit (602) (902) (225) Net income $ 76,781 $ 61,735 $ 35,839 See Notes to Condensed Financial Statements |
Condensed Balance Sheet [Table Text Block] | NORTHWEST NATURAL HOLDING COMPANY CONDENSED BALANCE SHEETS (PARENT COMPANY ONLY) As of December 31, In thousands 2020 2019 Assets: Current assets: Cash and cash equivalents $ 11,267 119 Receivables from affiliates 14,738 1,950 Income taxes receivable 6,000 256 Other current assets 6,223 4,600 Total current assets 38,228 6,925 Non-current assets: Investments in subsidiaries 939,741 888,477 Other investments 17 24 Deferred tax assets 171 191 Other non-current assets 213 245 Total non-current assets 940,142 888,937 Total assets $ 978,370 $ 895,862 Liabilities and equity: Current liabilities: Short-term debt $ 73,000 $ 24,000 Accounts payable 119 612 Payables to affiliates 12,912 3,697 Taxes accrued — 127 Other current liabilities 49 37 Total current liabilities 86,080 28,473 Equity: Common stock 847,193 840,364 Retained earnings 45,097 27,025 Total equity 892,290 867,389 Total liabilities and equity $ 978,370 $ 895,862 See Notes to Condensed Financial Statements |
Condensed Cash Flow Statement [Table Text Block] | NORTHWEST NATURAL HOLDING COMPANY CONDENSED STATEMENTS OF CASH FLOWS (PARENT COMPANY ONLY) In thousands Year ended Year ended December 31, 2019 Inception through December 31, 2018 Operating activities: Net income $ 76,781 $ 61,735 $ 35,839 Adjustments to reconcile net income to cash used in operations: Equity in earnings of subsidiaries, net of tax (78,450) (64,328) (36,469) Cash dividends received from subsidiaries 55,387 53,439 — Deferred income taxes 20 (198) 7 Other 65 66 15 Changes in assets and liabilities: Receivables, net (12,788) 846 (585) Income and other taxes (7,451) 4,325 (9,034) Accounts payable 8,809 (5,177) 9,304 Interest accrued 77 (32) 32 Other, net (364) (346) (44) Cash provided by (used in) operating activities 42,086 50,330 (935) Investing activities: Contributions to subsidiaries (47,194) (157,591) (1,804) Return of capital from subsidiaries 19,000 35,000 — Cash used in investing activities (28,194) (122,591) (1,804) Financing activities: Proceeds from stock options exercised 68 2,015 — Proceeds from common stock issued — 92,956 — Changes in other short-term debt, net 49,000 24,000 — Cash dividend payments on common stock (55,420) (53,339) (12,923) Capital contributions — — 20,000 Other 3,608 2,737 (327) Cash (used in) provided by financing activities (2,744) 68,369 6,750 Increase (decrease) in cash and cash equivalents 11,148 (3,892) 4,011 Cash and cash equivalents, beginning of period 119 4,011 — Cash and cash equivalents, end of period $ 11,267 $ 119 $ 4,011 See Notes to Condensed Financial Statements |
Valuation Allowances and Rese_2
Valuation Allowances and Reserves (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Entity Information [Line Items] | |
Summary of Valuation Allowance | NORTHWEST NATURAL HOLDING COMPANY SCHEDULE II - VALUATION AND QUALIFYING ACCOUNTS AND RESERVES COLUMN A COLUMN B COLUMN C COLUMN D COLUMN E Additions Deductions In thousands (year ended December 31) Balance at beginning of period Charged to costs and expenses Charged to other accounts Net write-offs Balance at end of period 2020 Reserves deducted in balance sheet from assets to which they apply: Allowance for uncollectible accounts $ 673 $ 890 $ 2,333 $ 677 $ 3,219 2019 Reserves deducted in balance sheet from assets to which they apply: Allowance for uncollectible accounts $ 977 $ 450 $ — $ 754 $ 673 2018 Reserves deducted in balance sheet from assets to which they apply: Allowance for uncollectible accounts $ 956 $ 680 $ — $ 659 $ 977 |
Northwest Natural Gas Company [Member] | |
Entity Information [Line Items] | |
Summary of Valuation Allowance | NORTHWEST NATURAL GAS COMPANY SCHEDULE II - VALUATION AND QUALIFYING ACCOUNTS AND RESERVES COLUMN A COLUMN B COLUMN C COLUMN D COLUMN E Additions Deductions In thousands (year ended December 31) Balance at beginning of period Charged to costs and expenses Charged to other accounts Net write-offs Balance at end of period 2020 Reserves deducted in balance sheet from assets to which they apply: Allowance for uncollectible accounts $ 672 $ 779 $ 2,333 $ 677 $ 3,107 2019 Reserves deducted in balance sheet from assets to which they apply: Allowance for uncollectible accounts $ 975 $ 450 $ — $ 753 $ 672 2018 Reserves deducted in balance sheet from assets to which they apply: Allowance for uncollectible accounts $ 956 $ 678 $ — $ 659 $ 975 |
Significant Accounting Polici_4
Significant Accounting Policies - Regulatory Asset Disclosure (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Regulatory Assets [Line Items] | ||
Regulatory Assets, Current | $ 31,745 | $ 41,929 |
Regulatory Assets, Noncurrent | 348,927 | 343,146 |
Other [Member] | ||
Regulatory Assets [Line Items] | ||
Regulatory Assets, Noncurrent | 40 | 0 |
Northwest Natural Gas Company [Member] | ||
Regulatory Assets [Line Items] | ||
Regulatory Assets, Current | 31,745 | 41,929 |
Regulatory Assets, Noncurrent | 348,887 | 343,146 |
Northwest Natural Gas Company [Member] | Unrealized loss on derivatives [Member] | ||
Regulatory Assets [Line Items] | ||
Regulatory Assets, Current | 4,198 | 2,000 |
Regulatory Assets, Noncurrent | 2,852 | 609 |
Northwest Natural Gas Company [Member] | Gas costs [Member] | ||
Regulatory Assets [Line Items] | ||
Regulatory Assets, Current | 1,979 | 20,140 |
Regulatory Assets, Noncurrent | 3,925 | 2,866 |
Northwest Natural Gas Company [Member] | Environmental costs [Member] | ||
Regulatory Assets [Line Items] | ||
Regulatory Assets, Current | 4,992 | 4,762 |
Regulatory Assets, Noncurrent | 90,623 | 87,624 |
Northwest Natural Gas Company [Member] | Decoupling [Member] | ||
Regulatory Assets [Line Items] | ||
Regulatory Assets, Current | 361 | 1,969 |
Regulatory Assets, Noncurrent | 1,031 | 0 |
Northwest Natural Gas Company [Member] | Income taxes [Member] | ||
Regulatory Assets [Line Items] | ||
Regulatory Assets, Current | 3,484 | 2,209 |
Regulatory Assets, Noncurrent | 15,368 | 17,173 |
Northwest Natural Gas Company [Member] | Pension balancing [Member] | ||
Regulatory Assets [Line Items] | ||
Regulatory Assets, Current | 7,131 | 5,939 |
Regulatory Assets, Noncurrent | 43,383 | 48,251 |
Northwest Natural Gas Company [Member] | Pension and other postretirement benefit liabilities [Member] | ||
Regulatory Assets [Line Items] | ||
Regulatory Assets, Noncurrent | 170,812 | 173,262 |
Northwest Natural Gas Company [Member] | Other [Member] | ||
Regulatory Assets [Line Items] | ||
Regulatory Assets, Current | 9,600 | 4,910 |
Regulatory Assets, Noncurrent | $ 20,893 | $ 13,361 |
Significant Accounting Polici_5
Significant Accounting Policies - Regulatory Liability Disclosure (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Regulatory Liabilities [Line Items] | ||
Regulatory Liability, Current | $ 50,362 | $ 44,657 |
Regulatory Liability, Noncurrent | 639,663 | 625,717 |
Other [Member] | ||
Regulatory Liabilities [Line Items] | ||
Regulatory Liability, Noncurrent | 870 | 0 |
Northwest Natural Gas Company [Member] | ||
Regulatory Liabilities [Line Items] | ||
Regulatory Liability, Current | 50,362 | 44,657 |
Regulatory Liability, Noncurrent | 638,793 | 625,717 |
Northwest Natural Gas Company [Member] | Gas costs [Member] | ||
Regulatory Liabilities [Line Items] | ||
Regulatory Liability, Current | 1,118 | 1,223 |
Regulatory Liability, Noncurrent | 314 | 2,013 |
Northwest Natural Gas Company [Member] | Unrealized gain on derivatives [Member] | ||
Regulatory Liabilities [Line Items] | ||
Regulatory Liability, Current | 13,674 | 6,622 |
Regulatory Liability, Noncurrent | 6,135 | 3,337 |
Northwest Natural Gas Company [Member] | Decoupling [Member] | ||
Regulatory Liabilities [Line Items] | ||
Regulatory Liability, Current | 11,793 | 4,831 |
Regulatory Liability, Noncurrent | 1,723 | 6,378 |
Northwest Natural Gas Company [Member] | Other [Member] | ||
Regulatory Liabilities [Line Items] | ||
Regulatory Liability, Current | 15,560 | 23,546 |
Regulatory Liability, Noncurrent | 13,074 | 13,877 |
Northwest Natural Gas Company [Member] | Income taxes [Member] | ||
Regulatory Liabilities [Line Items] | ||
Regulatory Liability, Current | 8,217 | 8,435 |
Regulatory Liability, Noncurrent | 189,587 | 198,219 |
Northwest Natural Gas Company [Member] | Accrued asset removal costs [Member] | ||
Regulatory Liabilities [Line Items] | ||
Regulatory Liability, Noncurrent | $ 427,960 | $ 401,893 |
Significant Accounting Polici_6
Significant Accounting Policies Significant Accounting Policies - AOCI Tax Effects ASU 2018-02 (Details) $ in Thousands | 12 Months Ended |
Dec. 31, 2019USD ($) | |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |
Reclassification of tax effects from the TCJA | $ 0 |
Accumulated Other Comprehensive Income (Loss) [Member] | |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |
Reclassification of tax effects from the TCJA | $ (1,366) |
Significant Accounting Polici_7
Significant Accounting Policies Significant Accounting Policies - Leases ASU 2016-02 (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||
Operating Lease, Right-of-Use Asset | $ 77,446 | $ 2,950 |
Northwest Natural Gas Company [Member] | ||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||
Operating Lease, Right-of-Use Asset | 77,328 | $ 2,760 |
Accounting Standards Update 2016-02 [Member] | ||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||
Operating Leases, Income Statement, Initial Direct Costs | 0 | |
Operating Lease, Right-of-Use Asset | 7,300 | |
Effects Allocated Directly to Equity, Cumulative Effect of Adoption New Accounting Standard | 0 | |
Accounting Standards Update 2016-02 [Member] | Northwest Natural Gas Company [Member] | ||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||
Operating Lease, Right-of-Use Asset | $ 7,000 |
- Narrative (Details)
- Narrative (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Industry Regulation [Abstract] | ||||
Regulatory Assets, Noncurrent | $ 348,927 | $ 348,927 | $ 343,146 | |
Property, Plant and Accrued Asset Removal Costs [Abstract] | ||||
Weighted Average Depreciation Rates Transmission Distribution | 2.60% | |||
Weighted Average Depreciation Rates Gas Storage | 2.00% | |||
Weighted Average Depreciation Rates General Plant | 6.70% | |||
Weighted Average Depreciation Rates Intangible Other | 5.10% | |||
Public Utilities, AFUDC, Rate | 1.90% | 3.90% | 5.20% | |
Revenue Recognition [Abstract] | ||||
Accrued unbilled revenue | 57,949 | $ 57,949 | $ 56,192 | |
Revenue Taxes [Abstract] | ||||
Utilities Operating Expense, Taxes | 30,291 | 30,325 | $ 30,082 | |
Inventory Disclosure [Abstract] | ||||
Inventory, Raw Materials and Supplies, Net of Reserves | 18,000 | 18,000 | 16,500 | |
Goodwill and Intangible Assets Disclosure [Abstract] | ||||
Goodwill | 69,225 | 69,225 | 49,929 | |
Goodwill and Intangible Asset Impairment | 0 | |||
Allowance for Credit Loss [Line Items] | ||||
Accounts Receivable, Allowance for Credit Loss, Period Increase (Decrease) | 3,223 | |||
Accounts Receivable, Allowance for Credit Loss, Writeoff | (677) | |||
Accounts Receivable, Allowance for Credit Loss | 3,219 | 3,219 | 673 | |
Accrued unbilled revenue | 57,949 | 57,949 | 56,192 | |
Industrial | ||||
Allowance for Credit Loss [Line Items] | ||||
Accounts Receivable, Allowance for Credit Loss, Period Increase (Decrease) | 77 | |||
Accounts Receivable, Allowance for Credit Loss, Writeoff | (7) | |||
Accounts Receivable, Allowance for Credit Loss | 142 | 142 | 72 | |
Accrued unbilled and other | ||||
Allowance for Credit Loss [Line Items] | ||||
Accounts Receivable, Allowance for Credit Loss, Period Increase (Decrease) | 166 | |||
Accounts Receivable, Allowance for Credit Loss, Writeoff | (58) | |||
Accounts Receivable, Allowance for Credit Loss | 220 | 220 | 112 | |
Residential | ||||
Allowance for Credit Loss [Line Items] | ||||
Accounts Receivable, Allowance for Credit Loss, Period Increase (Decrease) | 2,159 | |||
Accounts Receivable, Allowance for Credit Loss, Writeoff | (438) | |||
Accounts Receivable, Allowance for Credit Loss | 2,153 | 2,153 | 432 | |
Commercial | ||||
Allowance for Credit Loss [Line Items] | ||||
Accounts Receivable, Allowance for Credit Loss, Period Increase (Decrease) | 821 | |||
Accounts Receivable, Allowance for Credit Loss, Writeoff | (174) | |||
Accounts Receivable, Allowance for Credit Loss | 704 | 704 | 57 | |
Accounts Payable [Member] | ||||
Cash and Cash Equivalents [Abstract] | ||||
Bank Overdrafts | 4,400 | 4,400 | 3,200 | |
COVID-19 Related Costs | ||||
Industry Regulation [Abstract] | ||||
Regulatory Assets, Noncurrent | 4,800 | 4,800 | ||
COVID-19 Related Costs | Accounts Receivable | ||||
Industry Regulation [Abstract] | ||||
Regulatory Assets, Noncurrent | 2,300 | $ 2,300 | ||
Northwest Natural Gas Company [Member] | ||||
Industry Regulation [Abstract] | ||||
Regulatory Liability, Amortization Period | 12 months | |||
Regulatory Asset, Amortization Period | 12 months | |||
Regulatory Assets, Noncurrent | 348,887 | $ 348,887 | 343,146 | |
Revenue Recognition [Abstract] | ||||
Accrued unbilled revenue | 57,890 | 57,890 | 56,139 | |
Revenue Taxes [Abstract] | ||||
Utilities Operating Expense, Taxes | 30,291 | 30,325 | $ 30,082 | |
Inventory Disclosure [Abstract] | ||||
Inventory - Gas | 24,700 | 24,700 | 27,500 | |
Allowance for Credit Loss [Line Items] | ||||
Accrued unbilled revenue | 57,890 | $ 57,890 | $ 56,139 | |
Northwest Natural Gas Company [Member] | Oregon [Member] | ||||
Industry Regulation [Abstract] | ||||
Purchased Gas Adjustment Percentage | 90.00% | 90.00% | 90.00% | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | ||||
PGA deferral rate | 90.00% | 90.00% | 90.00% | |
Northwest Natural Gas Company [Member] | Oregon [Member] | Minimum [Member] | ||||
Industry Regulation [Abstract] | ||||
Purchased Gas Adjustment Percentage | 80.00% | |||
Derivative Instruments and Hedging Activities Disclosure [Abstract] | ||||
PGA deferral rate | 80.00% | |||
Impact on earnings from gas cost sharing | 10.00% | |||
Northwest Natural Gas Company [Member] | Oregon [Member] | Maximum [Member] | ||||
Industry Regulation [Abstract] | ||||
Purchased Gas Adjustment Percentage | 90.00% | |||
Derivative Instruments and Hedging Activities Disclosure [Abstract] | ||||
PGA deferral rate | 90.00% | |||
Impact on earnings from gas cost sharing | 20.00% | |||
Northwest Natural Gas Company [Member] | WASHINGTON | ||||
Industry Regulation [Abstract] | ||||
Purchased Gas Adjustment Percentage | 100.00% | 100.00% | 100.00% | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | ||||
PGA deferral rate | 100.00% | 100.00% | 100.00% | |
Northwest Natural Gas Company [Member] | Other Current Assets | ||||
Cash and Cash Equivalents [Abstract] | ||||
Restricted Cash and Cash Equivalents | $ 5,300 | $ 5,300 | $ 3,000 | |
Asset Recoverable Gas Costs [Member] | Northwest Natural Gas Company [Member] | ||||
Industry Regulation [Abstract] | ||||
Regulatory Liability, Amortization Period | 12 months | |||
Sales-type Lease [Member] | ||||
Allowance for Credit Loss [Line Items] | ||||
Accounts Receivable, Allowance for Credit Loss, Period Increase (Decrease) | $ 0 | |||
Other Nonoperating Income (Expense) [Member] | ||||
Industry Regulation [Abstract] | ||||
Other Nonoperating Income | 4,800 | 19,600 | ||
Other Nonoperating Expense | $ 1,800 | $ 12,300 | ||
Natural Gas Distribution [Member] | ||||
Property, Plant and Accrued Asset Removal Costs [Abstract] | ||||
Public Utilities, Property, Plant and Equipment, Disclosure of Composite Depreciation Rate for Plants in Service | 3.00% | 2.90% | 2.80% | |
Weighted-average depreciation rate, assets in service | 3.00% | 2.90% | 2.80% | |
Natural Gas Distribution [Member] | Operating Segments [Member] | ||||
Revenue Taxes [Abstract] | ||||
Utilities Operating Expense, Taxes | $ 30,291 | $ 30,325 | $ 30,082 |
Earnings Per Share (Details)
Earnings Per Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Income Statement [Line Items] | |||
Net income from continuing operations | $ 70,273 | $ 65,311 | $ 67,311 |
Income (loss) from discontinued operations, net of tax | 6,508 | (3,576) | (2,742) |
Net income | $ 76,781 | $ 61,735 | $ 64,569 |
Average common shares outstanding: | |||
Average common shares outstanding - basic (in shares) | 30,541 | 29,786 | 28,803 |
Additional shares for stock-based compensation plans | 58 | 73 | 70 |
Average common shares outstanding - diluted (in shares) | 30,599 | 29,859 | 28,873 |
Earnings from continuing operations per share of common stock: | |||
Basic (in dollars per share) | $ 2.30 | $ 2.19 | $ 2.34 |
Diluted (in dollars per share) | 2.30 | 2.19 | 2.33 |
Earnings (loss) from discontinued operations per share of common stock: | |||
Basic (in dollars per share) | 0.21 | (0.12) | (0.10) |
Diluted (in dollars per share) | 0.21 | (0.12) | (0.09) |
Earnings (loss) per share of common stock | |||
Basic (in dollars per share) | 2.51 | 2.07 | 2.24 |
Diluted (in dollars per share) | $ 2.51 | $ 2.07 | $ 2.24 |
Antidilutive shares | 1 | 0 | 2 |
Discontinued Operations, Held-for-sale [Member] | Gill Ranch [Member] | |||
Income Statement [Line Items] | |||
Income (loss) from discontinued operations, net of tax | $ 6,508 | $ (3,576) | $ (2,742) |
Earnings (loss) from discontinued operations per share of common stock: | |||
Basic (in dollars per share) | $ 0.21 | $ (0.12) | $ (0.10) |
Diluted (in dollars per share) | $ 0.21 | $ (0.12) | $ (0.09) |
Segment Information - Narrative
Segment Information - Narrative (Details) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020USD ($) | Dec. 31, 2019USD ($) | Dec. 31, 2018USD ($) | |
Segment Reporting Information [Line Items] | |||
Assets | $ 3,756,379 | $ 3,428,454 | |
Operating Segments [Member] | |||
Segment Reporting Information [Line Items] | |||
Number of Reportable Segments | 1 | ||
Operating Segments [Member] | Natural Gas Distribution [Member] | |||
Segment Reporting Information [Line Items] | |||
Assets | $ 3,549,868 | $ 3,273,835 | $ 3,141,969 |
Northwest Holdings and Northwest Natural [Member] | Natural Gas Distribution [Member] | |||
Segment Reporting Information [Line Items] | |||
Percent Of Pre Tax Income From Gas Storage Retained When The Costs Of The Capacity Are Not In Utility Rates | 80.00% | ||
Percent Of Pre Tax Income From Gas Storage Retained When The Costs Of The Capacity Are In Utility Rates | 10.00% | ||
Percent Of Pre Tax Income From Gas Storage Credited To Deferred Regulatory Account | 20.00% | ||
Percent Of Pre Tax Income From Gas Storage Credited To Deferred Regulatory Account When In Rates | 90.00% | ||
Northwest Holdings and Northwest Natural [Member] | Operating Segments [Member] | |||
Segment Reporting Information [Line Items] | |||
Segment Reporting, Disclosure of Major Customers | No | ||
Customer Total [Member] | Geographic Concentration Risk [Member] | Oregon [Member] | Natural Gas Distribution [Member] | |||
Segment Reporting Information [Line Items] | |||
Concentration Risk, Percentage | 88.00% | ||
Customer Total [Member] | Geographic Concentration Risk [Member] | WASHINGTON | Natural Gas Distribution [Member] | |||
Segment Reporting Information [Line Items] | |||
Concentration Risk, Percentage | 12.00% | ||
Volumes Delivered [Member] | Residential and Commerical Customers [Member] | Natural Gas Distribution [Member] | |||
Segment Reporting Information [Line Items] | |||
Concentration Risk, Percentage | 60.00% | ||
Gross Profit Margin [Member] | Residential and Commerical Customers [Member] | Natural Gas Distribution [Member] | |||
Segment Reporting Information [Line Items] | |||
Concentration Risk, Percentage | 90.00% |
Segment Information - Schedule
Segment Information - Schedule of Summarized Financial Information by Segment (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Segment Reporting Information [Line Items] | |||
Operating revenues | $ 773,679 | $ 746,372 | $ 706,143 |
Depreciation and amortization | 103,683 | 91,496 | 85,156 |
Income from operations | 148,351 | 143,474 | 132,162 |
Income (Loss) from Continuing Operations, Net of Tax, Attributable to Parent | 70,273 | 65,311 | 67,311 |
Capital expenditures | 273,016 | 223,471 | 214,636 |
Total assets | 3,756,379 | 3,428,454 | |
Discontinued operations - current assets | 0 | 15,134 | |
Discontinued operations - total assets | 15,100 | 13,300 | |
Other Northwest Natural [Member] | Corporate, Non-Segment [Member] | |||
Segment Reporting Information [Line Items] | |||
Operating revenues | 17,676 | 19,416 | 24,923 |
Depreciation and amortization | 995 | 990 | 1,254 |
Income from operations | 9,916 | 11,428 | 15,004 |
Income (Loss) from Continuing Operations, Net of Tax, Attributable to Parent | 7,008 | 8,146 | 10,558 |
Capital expenditures | 2,271 | 1,500 | 2,005 |
Total assets | 49,468 | 47,652 | 50,767 |
Northwest Natural Gas Company [Member] | Operating Segments [Member] | |||
Segment Reporting Information [Line Items] | |||
Operating revenues | 758,748 | 739,944 | 705,571 |
Depreciation and amortization | 101,586 | 90,405 | 84,986 |
Income from operations | 147,640 | 147,346 | 133,099 |
Income (Loss) from Continuing Operations, Net of Tax, Attributable to Parent | 70,563 | 68,974 | 68,049 |
Capital expenditures | 266,048 | 221,380 | 214,328 |
Total assets | 3,599,336 | 3,321,487 | 3,192,736 |
Northwest Holdings Other [Member] | Corporate, Non-Segment [Member] | |||
Segment Reporting Information [Line Items] | |||
Operating revenues | 14,931 | 6,428 | 572 |
Depreciation and amortization | 2,097 | 1,091 | 170 |
Income from operations | 711 | (3,872) | (937) |
Income (Loss) from Continuing Operations, Net of Tax, Attributable to Parent | (290) | (3,663) | (738) |
Capital expenditures | 6,968 | 2,091 | 308 |
Total assets | 157,043 | 91,833 | 36,657 |
Natural Gas Distribution [Member] | Operating Segments [Member] | |||
Segment Reporting Information [Line Items] | |||
Operating revenues | 741,072 | 720,528 | 680,648 |
Depreciation and amortization | 100,591 | 89,415 | 83,732 |
Income from operations | 137,724 | 135,918 | 118,095 |
Income (Loss) from Continuing Operations, Net of Tax, Attributable to Parent | 63,555 | 60,828 | 57,491 |
Capital expenditures | 263,777 | 219,880 | 212,323 |
Total assets | 3,549,868 | 3,273,835 | 3,141,969 |
Northwest Natural Gas Company [Member] | |||
Segment Reporting Information [Line Items] | |||
Operating revenues | 758,748 | 739,944 | 705,571 |
Depreciation and amortization | 101,586 | 90,405 | 84,986 |
Income from operations | 147,640 | 147,346 | 133,099 |
Income (Loss) from Continuing Operations, Net of Tax, Attributable to Parent | 70,563 | 68,974 | 68,049 |
Capital expenditures | 266,048 | 221,380 | 214,328 |
Total assets | 3,599,336 | 3,321,487 | |
Northwest Natural Gas Company [Member] | Other Northwest Natural [Member] | Corporate, Non-Segment [Member] | |||
Segment Reporting Information [Line Items] | |||
Operating revenues | 17,676 | 19,416 | |
Northwest Natural Gas Company [Member] | Northwest Natural Gas Company [Member] | |||
Segment Reporting Information [Line Items] | |||
Operating revenues | 758,748 | 739,944 | |
Northwest Natural Gas Company [Member] | Natural Gas Distribution [Member] | Operating Segments [Member] | |||
Segment Reporting Information [Line Items] | |||
Operating revenues | 741,072 | 720,528 | |
Parent Company [Member] | |||
Segment Reporting Information [Line Items] | |||
Operating revenues | 773,679 | 746,372 | 706,143 |
Depreciation and amortization | 103,683 | 91,496 | 85,156 |
Income from operations | 148,351 | 143,474 | 132,162 |
Income (Loss) from Continuing Operations, Net of Tax, Attributable to Parent | 70,273 | 65,311 | 67,311 |
Capital expenditures | 273,016 | 223,471 | 214,636 |
Total assets | $ 3,756,379 | $ 3,413,320 | $ 3,229,393 |
Segment Information - Additiona
Segment Information - Additional Segment Information (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Segment Reporting Information [Line Items] | |||
Operating revenues | $ 773,679 | $ 746,372 | $ 706,143 |
Cost of gas | 262,755 | 254,911 | 255,519 |
Environmental remediation | 9,691 | 12,337 | 11,127 |
Revenue taxes | 30,291 | 30,325 | 30,082 |
Operating Segments [Member] | Natural Gas Distribution [Member] | |||
Segment Reporting Information [Line Items] | |||
NGD operating revenues | 721,950 | 708,472 | 680,386 |
Other regulated services | 19,122 | 12,056 | 262 |
Operating revenues | 741,072 | 720,528 | 680,648 |
Cost of gas | 262,980 | 255,135 | 255,743 |
Environmental remediation | 9,691 | 12,337 | 11,127 |
Revenue taxes | 30,291 | 30,325 | 30,082 |
NGD margin | $ 438,110 | $ 422,731 | $ 383,696 |
Common Stock - Narrative (Detai
Common Stock - Narrative (Details) - USD ($) $ / shares in Units, $ in Thousands | 6 Months Ended | 12 Months Ended | ||||
Jun. 30, 2020 | Dec. 31, 2020 | Dec. 31, 2019 | Jun. 07, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Shares Authorized (in shares) | 100,000,000 | 100,000,000 | ||||
Equity Issuance | 1,437,500 | |||||
Shares Issued, Price Per Share | $ 67 | |||||
Issuance of common stock, net of issuance costs | $ 93,000 | $ 92,956 | ||||
Restated Stock Option [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Number | 9,438 | 10,938 | 55,938,000 | 91,688,000 | ||
Stock Repurchase Plan [Member] | ||||||
Stock Repurchase Program | ||||||
Stock Repurchase Program, Number of Shares Authorized to be Repurchased | 2,800,000 | |||||
Stock Repurchase Program, Authorized Amount | $ 100,000 | |||||
Treasury Stock, Shares, Acquired | 0 | |||||
Repurchases Since Plan Inception in Year 2000 [Member] | Stock Repurchase Plan [Member] | ||||||
Stock Repurchase Program | ||||||
Treasury Stock, Shares, Acquired | 2,100,000 | |||||
Treasury Stock, Value, Acquired, Cost Method | $ 83,300 | |||||
Northwest Holdings [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Reserved Shares Dividend Reinvestment | 271,949 | |||||
Northwest Holdings [Member] | Employee Stock Purchase Plan Member [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Common Stock, Capital Shares Reserved for Future Issuance | 203,923 |
Common Stock - Schedule of Summ
Common Stock - Schedule of Summary of Changes in Common Stock (Details) - shares | 6 Months Ended | 12 Months Ended | ||
Jun. 30, 2020 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Increase (Decrease) in Common Stock [Roll Forward] | ||||
Beginning Balance | 30,472,000 | 30,472,000 | ||
Equity Issuance | 1,437,500 | |||
Ending Balance | 30,589,000 | 30,472,000 | ||
Common Stock [Member] | ||||
Increase (Decrease) in Common Stock [Roll Forward] | ||||
Beginning Balance | 30,472,000 | 30,472,000 | 28,880,000 | 28,736,000 |
Sales to employees under ESPP | 3,000 | 18,000 | 19,000 | |
Stock-based compensation | 46,000 | 83,000 | 64,000 | |
Equity Issuance | 1,438,000 | |||
Stock Issued During Period, Shares, Dividend Reinvestment Plan | 68,000 | 53,000 | 61,000 | |
Ending Balance | 30,589,000 | 30,472,000 | 28,880,000 |
Revenue - Disaggregation of Rev
Revenue - Disaggregation of Revenue (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Disaggregation of Revenue [Line Items] | |||
Revenue from Contract with Customer, Including Assessed Tax | $ 744,366 | $ 755,987 | |
Operating revenues | 773,679 | 746,372 | $ 706,143 |
Operating Lease, Lease Income | 88 | 171 | |
Natural Gas Distribution [Member] | Transferred over Time [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Revenue from Contract with Customer, Including Assessed Tax | 710,422 | 729,296 | |
Gas Storage Revenue, Net of Regulatory Sharing [Member] | Transferred over Time [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Revenue from Contract with Customer, Including Assessed Tax | 9,759 | 10,240 | |
Asset Management Revenue, Net of Regulatory Sharing [Member] | Transferred over Time [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Revenue from Contract with Customer, Including Assessed Tax | 2,532 | 3,705 | |
Appliance Center Revenue [Member] | Transferred at Point in Time [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Revenue from Contract with Customer, Including Assessed Tax | 5,385 | 5,471 | |
Other revenue [Member] | Transferred over Time [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Revenue from Contract with Customer, Including Assessed Tax | 16,268 | 7,275 | |
Alternative revenue [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Operating revenues | 10,870 | (20,984) | |
Leasing revenue [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Operating Lease, Lease Income | 18,443 | 11,369 | |
Operating Segments [Member] | Northwest Natural Gas Company [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Operating revenues | 758,748 | 739,944 | 705,571 |
Operating Segments [Member] | Natural Gas Distribution [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Operating revenues | 741,072 | 720,528 | 680,648 |
Corporate, Non-Segment [Member] | Other Northwest Natural [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Operating revenues | 17,676 | 19,416 | 24,923 |
Corporate, Non-Segment [Member] | Northwest Holdings Other [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Revenue from Contract with Customer, Excluding Assessed Tax | 14,931 | 6,428 | |
Operating revenues | 14,931 | 6,428 | 572 |
Corporate, Non-Segment [Member] | Northwest Holdings Other [Member] | Natural Gas Distribution [Member] | Transferred over Time [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Revenue from Contract with Customer, Excluding Assessed Tax | 0 | 0 | |
Corporate, Non-Segment [Member] | Northwest Holdings Other [Member] | Gas Storage Revenue, Net of Regulatory Sharing [Member] | Transferred over Time [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Revenue from Contract with Customer, Excluding Assessed Tax | 0 | 0 | |
Corporate, Non-Segment [Member] | Northwest Holdings Other [Member] | Asset Management Revenue, Net of Regulatory Sharing [Member] | Transferred over Time [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Revenue from Contract with Customer, Excluding Assessed Tax | 0 | 0 | |
Corporate, Non-Segment [Member] | Northwest Holdings Other [Member] | Appliance Center Revenue [Member] | Transferred at Point in Time [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Revenue from Contract with Customer, Excluding Assessed Tax | 0 | 0 | |
Corporate, Non-Segment [Member] | Northwest Holdings Other [Member] | Other revenue [Member] | Transferred over Time [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Revenue from Contract with Customer, Excluding Assessed Tax | 14,931 | 6,428 | |
Corporate, Non-Segment [Member] | Northwest Holdings Other [Member] | Alternative revenue [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Operating revenues | 0 | 0 | |
Corporate, Non-Segment [Member] | Northwest Holdings Other [Member] | Leasing revenue [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Operating Lease, Lease Income | 0 | 0 | |
Northwest Natural Gas Company [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Operating revenues | 758,748 | 739,944 | $ 705,571 |
Northwest Natural Gas Company [Member] | Northwest Natural Gas Company [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Revenue from Contract with Customer, Including Assessed Tax | 729,435 | 749,559 | |
Operating revenues | 758,748 | 739,944 | |
Northwest Natural Gas Company [Member] | Northwest Natural Gas Company [Member] | Natural Gas Distribution [Member] | Transferred over Time [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Revenue from Contract with Customer, Including Assessed Tax | 710,422 | 729,296 | |
Northwest Natural Gas Company [Member] | Northwest Natural Gas Company [Member] | Gas Storage Revenue, Net of Regulatory Sharing [Member] | Transferred over Time [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Revenue from Contract with Customer, Including Assessed Tax | 9,759 | 10,240 | |
Northwest Natural Gas Company [Member] | Northwest Natural Gas Company [Member] | Asset Management Revenue, Net of Regulatory Sharing [Member] | Transferred over Time [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Revenue from Contract with Customer, Including Assessed Tax | 2,532 | 3,705 | |
Northwest Natural Gas Company [Member] | Northwest Natural Gas Company [Member] | Appliance Center Revenue [Member] | Transferred at Point in Time [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Revenue from Contract with Customer, Including Assessed Tax | 5,385 | 5,471 | |
Northwest Natural Gas Company [Member] | Northwest Natural Gas Company [Member] | Other revenue [Member] | Transferred over Time [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Revenue from Contract with Customer, Including Assessed Tax | 1,337 | 847 | |
Northwest Natural Gas Company [Member] | Northwest Natural Gas Company [Member] | Alternative revenue [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Operating revenues | 10,870 | (20,984) | |
Northwest Natural Gas Company [Member] | Northwest Natural Gas Company [Member] | Leasing revenue [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Operating Lease, Lease Income | 18,443 | 11,369 | |
Northwest Natural Gas Company [Member] | Operating Segments [Member] | Natural Gas Distribution [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Revenue from Contract with Customer, Including Assessed Tax | 711,759 | 730,143 | |
Operating revenues | 741,072 | 720,528 | |
Northwest Natural Gas Company [Member] | Operating Segments [Member] | Natural Gas Distribution [Member] | Natural Gas Distribution [Member] | Transferred over Time [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Revenue from Contract with Customer, Including Assessed Tax | 710,422 | 729,296 | |
Northwest Natural Gas Company [Member] | Operating Segments [Member] | Natural Gas Distribution [Member] | Gas Storage Revenue, Net of Regulatory Sharing [Member] | Transferred over Time [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Revenue from Contract with Customer, Including Assessed Tax | 0 | 0 | |
Northwest Natural Gas Company [Member] | Operating Segments [Member] | Natural Gas Distribution [Member] | Asset Management Revenue, Net of Regulatory Sharing [Member] | Transferred over Time [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Revenue from Contract with Customer, Including Assessed Tax | 0 | 0 | |
Northwest Natural Gas Company [Member] | Operating Segments [Member] | Natural Gas Distribution [Member] | Appliance Center Revenue [Member] | Transferred at Point in Time [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Revenue from Contract with Customer, Including Assessed Tax | 0 | 0 | |
Northwest Natural Gas Company [Member] | Operating Segments [Member] | Natural Gas Distribution [Member] | Other revenue [Member] | Transferred over Time [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Revenue from Contract with Customer, Including Assessed Tax | 1,337 | 847 | |
Northwest Natural Gas Company [Member] | Operating Segments [Member] | Natural Gas Distribution [Member] | Alternative revenue [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Operating revenues | 10,870 | (20,984) | |
Northwest Natural Gas Company [Member] | Operating Segments [Member] | Natural Gas Distribution [Member] | Leasing revenue [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Operating Lease, Lease Income | 18,443 | 11,369 | |
Northwest Natural Gas Company [Member] | Corporate, Non-Segment [Member] | Other Northwest Natural [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Revenue from Contract with Customer, Excluding Assessed Tax | 17,676 | 19,416 | |
Operating revenues | 17,676 | 19,416 | |
Northwest Natural Gas Company [Member] | Corporate, Non-Segment [Member] | Other Northwest Natural [Member] | Natural Gas Distribution [Member] | Transferred over Time [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Revenue from Contract with Customer, Excluding Assessed Tax | 0 | 0 | |
Northwest Natural Gas Company [Member] | Corporate, Non-Segment [Member] | Other Northwest Natural [Member] | Gas Storage Revenue, Net of Regulatory Sharing [Member] | Transferred over Time [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Revenue from Contract with Customer, Excluding Assessed Tax | 9,759 | 10,240 | |
Northwest Natural Gas Company [Member] | Corporate, Non-Segment [Member] | Other Northwest Natural [Member] | Asset Management Revenue, Net of Regulatory Sharing [Member] | Transferred over Time [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Revenue from Contract with Customer, Excluding Assessed Tax | 2,532 | 3,705 | |
Northwest Natural Gas Company [Member] | Corporate, Non-Segment [Member] | Other Northwest Natural [Member] | Appliance Center Revenue [Member] | Transferred at Point in Time [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Revenue from Contract with Customer, Excluding Assessed Tax | 5,385 | 5,471 | |
Northwest Natural Gas Company [Member] | Corporate, Non-Segment [Member] | Other Northwest Natural [Member] | Other revenue [Member] | Transferred over Time [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Revenue from Contract with Customer, Excluding Assessed Tax | 0 | 0 | |
Northwest Natural Gas Company [Member] | Corporate, Non-Segment [Member] | Other Northwest Natural [Member] | Alternative revenue [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Operating revenues | 0 | 0 | |
Northwest Natural Gas Company [Member] | Corporate, Non-Segment [Member] | Other Northwest Natural [Member] | Leasing revenue [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Operating Lease, Lease Income | $ 0 | $ 0 |
Revenue - Revenue, Remaining Pe
Revenue - Revenue, Remaining Performance Obligation (Details) - USD ($) $ in Millions | Dec. 31, 2020 | Dec. 31, 2019 |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | ||
Lessor, Sales-type Lease, Term of Contract | 30 years | |
Lessor, Sales-type Lease, Renewal Term | 50 years | |
Revenue, Remaining Performance Obligation, Amount | $ 88.4 | |
Finance Lease, Right-of-Use Asset | 1.8 | $ 0.5 |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2021-01-01 | ||
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | ||
Revenue, Remaining Performance Obligation, Amount | $ 19 | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Period | 1 year | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2022-01-01 | ||
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | ||
Revenue, Remaining Performance Obligation, Amount | $ 19.4 | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Period | 1 year | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2023-01-01 | ||
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | ||
Revenue, Remaining Performance Obligation, Amount | $ 17.8 | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Period | 1 year | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2024-01-01 | ||
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | ||
Revenue, Remaining Performance Obligation, Amount | $ 14 | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Period | 1 year | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2025-01-01 | ||
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | ||
Revenue, Remaining Performance Obligation, Amount | $ 18.2 | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Period | 0 years |
Leases - Lease Revenue (Details
Leases - Lease Revenue (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Lessor, Lease, Description [Line Items] | ||
Lessor, Sales-type Lease, Term of Contract | 30 years | |
Lessor, Sales-type Lease, Renewal Term | 50 years | |
Residual Value of Leased Asset | $ 4,300,000 | $ 4,000,000 |
Lease Revenue [Abstract] | ||
Operating Lease, Lease Income | 88,000 | 171,000 |
Sales-type Lease, Lease Income | 18,355,000 | 11,198,000 |
Lease Income | 18,443,000 | 11,369,000 |
Operating Leases Payment to be Received [Abstract] | ||
Lessor, Operating Lease, Payments to be Received, Next Twelve Months | 59,000 | |
Lessor, Operating Lease, Payments to be Received, Two Years | 55,000 | |
Lessor, Operating Lease, Payments to be Received, Three Years | 47,000 | |
Lessor, Operating Lease, Payments to be Received, Four Years | 47,000 | |
Lessor, Operating Lease, Payments to be Received, Five Years | 43,000 | |
Lessor, Operating Lease, Payments to be Received, Thereafter | 52,000 | |
Lessor, Operating Lease, Payments to be Received | 303,000 | |
Total Lease Payments to be Received [Abstract] | ||
Lease Payments to be Received, Next twelve months | 17,577,000 | |
Lease Payments to be Received, Two Years | 17,081,000 | |
Lease Payments to be Received, Three Years | 16,604,000 | |
Lease Payments to be Received, Four Years | 15,914,000 | |
Lease Payments to be Received, Five Years | 15,349,000 | |
Lease Payments to be Received, Thereafter | 251,773,000 | |
Lease Payments to be Received | 334,298,000 | |
Sales-type Lease [Member] | ||
Sales-type Leases Payments to be Received [Abstract] | ||
Sales-type and Direct Financing Leases, Lease Receivable, Payments to be Received, Next Twelve Months | 17,518,000 | |
Sales-type and Direct Financing Leases, Lease Receivable, Payments to be Received, Two Years | 17,026,000 | |
Sales-type and Direct Financing Leases, Lease Receivable, Payments to be Received, Three Years | 16,557,000 | |
Sales-type and Direct Financing Leases, Lease Receivable, Payments to be Received, Four Years | 15,867,000 | |
Sales-type and Direct Financing Leases, Lease Receivable, Payments to be Received, Five Years | 15,306,000 | |
Sales-type and Direct Financing Leases, Lease Receivable, Payments to be Received, Thereafter | 251,721,000 | |
Sales-type and Direct Financing Leases, Lease Receivable, Payments to be Received | 333,995,000 | |
Receivable with Imputed Interest, Discount | 189,501,000 | |
Receivable with Imputed Interest, Net Amount | 144,494,000 | |
North Mist Lease [Member] | ||
Lessor, Lease, Description [Line Items] | ||
Variable Lease, Payment | 0 | |
Residual Value of Leased Asset | $ 0 | |
Compressed Natural Gas Lease [Member] | ||
Lessor, Lease, Description [Line Items] | ||
Lessor, Sales-type Lease, Term of Contract | 10 years | |
Non-utility Property Rentals [Member] | ||
Operating Leases Payment to be Received [Abstract] | ||
Lessor, Operating Lease, Payments to be Received, Next Twelve Months | $ 500,000 | |
Lessor, Operating Lease, Payments to be Received, Two Years | 500,000 | |
Other Nonoperating Income (Expense) [Member] | ||
Lease Revenue [Abstract] | ||
Lease Income | $ 500,000 | $ 500,000 |
Leases - Lease Expense (Details
Leases - Lease Expense (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Lessee, Lease, Description [Line Items] | ||
Operating Lease, Expense | $ 4,506 | $ 4,811 |
Short-term Lease, Cost | 1,010 | $ 1,146 |
Lessor, Operating Lease, Payments to be Received, Two Years | $ 55 | |
Operating Lease, Weighted Average Remaining Lease Term | 19 years 2 months 12 days | 1 year |
Lessee, Operating Lease, Liability, Payments, Due | $ 158,833 | |
Regulatory Assets, Noncurrent | 348,927 | $ 343,146 |
Finance Lease, Liability, to be Paid, Year One | $ 700 | |
New Headquarters Lease [Member] | ||
Lessee, Lease, Description [Line Items] | ||
Lessee, Operating Lease, Term of Contract | 20 years | |
Lessee, Operating Lease, Term of Contract | 20 years | |
Non-utility Property Rentals [Member] | ||
Lessee, Lease, Description [Line Items] | ||
Lessor, Operating Lease, Payments to be Received, Two Years | $ 500 | |
New Headquarters Lease [Member] | ||
Lessee, Lease, Description [Line Items] | ||
Lessee, Operating Lease, Liability, Payments, Due | 159,400 | |
Regulatory Assets, Noncurrent | $ 4,200 | |
New Headquarters Lease [Member] | New Headquarters Lease Renewal Term 1 of 2 [Member] | ||
Lessee, Lease, Description [Line Items] | ||
Lessee, Operating Lease, Term of Contract | 7 years | |
Lessee, Operating Lease, Term of Contract | 7 years | |
New Headquarters Lease [Member] | New Headquarters Lease 1st Renewal Period [Member] | ||
Lessee, Lease, Description [Line Items] | ||
Lessee, Operating Lease, Term of Contract | 7 years | |
Lessee, Operating Lease, Term of Contract | 7 years | |
Minimum [Member] | ||
Lessee, Lease, Description [Line Items] | ||
Lessee, Operating Lease, Term of Contract | 1 year | |
Lessee, Operating Lease, Term of Contract | 1 year | |
Maximum [Member] | ||
Lessee, Lease, Description [Line Items] | ||
Lessee, Operating Lease, Term of Contract | 19 years | |
Lessee, Operating Lease, Term of Contract | 19 years | |
Northwest Natural Gas Company [Member] | ||
Lessee, Lease, Description [Line Items] | ||
Operating Lease, Expense | $ 4,381 | 4,620 |
Short-term Lease, Cost | $ 1,010 | $ 1,146 |
Operating Lease, Weighted Average Discount Rate, Percent | 7.23% | 3.98% |
Lessee, Operating Lease, Liability, Payments, Due | $ 158,714 | |
Regulatory Assets, Noncurrent | 348,887 | $ 343,146 |
Northwest Holdings Other [Member] | Corporate, Non-Segment [Member] | ||
Lessee, Lease, Description [Line Items] | ||
Operating Lease, Expense | 125 | 191 |
Short-term Lease, Cost | 0 | $ 0 |
Lessee, Operating Lease, Liability, Payments, Due | $ 119 |
Leases - Lease Asset and Liabil
Leases - Lease Asset and Liabilities (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Operating Lease Asset and Liabilities [Abstract] | ||
Operating Lease, Right-of-Use Asset | $ 77,446 | $ 2,950 |
Operating Lease, Liability, Current | 1,105 | 2,101 |
Operating Lease, Liability, Noncurrent | 80,621 | 841 |
Operating Lease, Liability | $ 81,726 | $ 2,942 |
Operating Lease, Weighted Average Remaining Lease Term | 19 years 2 months 12 days | 1 year |
Maturity of Operating Lease Liabilities [Abstract] | ||
Lessee, Operating Lease, Liability, Payments, Due Next Twelve Months | $ 6,812 | |
Lessee, Operating Lease, Liability, Payments, Due Year Two | 6,916 | |
Lessee, Operating Lease, Liability, Payments, Due Year Three | 6,986 | |
Lessee, Operating Lease, Liability, Payments, Due Year Four | 7,150 | |
Lessee, Operating Lease, Liability, Payments, Due Year Five | 7,185 | |
Lessee, Operating Lease, Liability, Payments, Due after Year Five | 123,784 | |
Lessee, Operating Lease, Liability, Payments, Due | 158,833 | |
Lessee, Operating Lease, Liability, Undiscounted Excess Amount | 77,107 | |
Operating Lease, Liability | 81,726 | $ 2,942 |
Operating Lease, Liability, Current | 1,105 | 2,101 |
Operating Lease, Liability, Noncurrent | 80,621 | 841 |
Lease Not Yet Commenced [Abstract] | ||
Lessee, Operating Lease, Liability, Payments, Due | 158,833 | |
Leases Cash Flow [Abstract] | ||
Operating Lease, Payments | 4,597 | 4,629 |
Finance Lease, Principal Payments | 835 | 120 |
Right-of-Use Asset Obtained in Exchange for Operating Lease Liability | 78,590 | 7,577 |
Right-of-Use Asset Obtained in Exchange for Finance Lease Liability | 1,386 | 312 |
Finance Leases [Abstract] | ||
Finance Lease, Right-of-Use Asset | 1,800 | 500 |
Prior Period Disclosures [Abstract] | ||
Lessee, Operating Lease, Liability, Payments, Due Next Twelve Months | 6,812 | |
Lessee, Operating Lease, Liability, Payments, Due Year Two | 6,916 | |
Lessee, Operating Lease, Liability, Payments, Due Year Three | 6,986 | |
Lessee, Operating Lease, Liability, Payments, Due Year Four | 7,150 | |
Lessee, Operating Lease, Liability, Payments, Due Year Five | 7,185 | |
Lessee, Operating Lease, Liability, Payments, Due after Year Five | 123,784 | |
Lessee, Operating Lease, Liability, Payments, Due | 158,833 | |
Regulatory Assets, Noncurrent | 348,927 | 343,146 |
Finance Lease, Liability, to be Paid, Year One | 700 | |
Northwest Natural Gas Company [Member] | ||
Operating Lease Asset and Liabilities [Abstract] | ||
Operating Lease, Right-of-Use Asset | 77,328 | 2,760 |
Operating Lease, Liability, Current | 1,054 | 1,979 |
Operating Lease, Liability, Noncurrent | 80,559 | 772 |
Operating Lease, Liability | $ 81,613 | $ 2,751 |
Operating Lease, Weighted Average Discount Rate, Percent | 7.23% | 3.98% |
Maturity of Operating Lease Liabilities [Abstract] | ||
Lessee, Operating Lease, Liability, Payments, Due Next Twelve Months | $ 6,760 | |
Lessee, Operating Lease, Liability, Payments, Due Year Two | 6,849 | |
Lessee, Operating Lease, Liability, Payments, Due Year Three | 6,986 | |
Lessee, Operating Lease, Liability, Payments, Due Year Four | 7,150 | |
Lessee, Operating Lease, Liability, Payments, Due Year Five | 7,185 | |
Lessee, Operating Lease, Liability, Payments, Due after Year Five | 123,784 | |
Lessee, Operating Lease, Liability, Payments, Due | 158,714 | |
Lessee, Operating Lease, Liability, Undiscounted Excess Amount | 77,101 | |
Operating Lease, Liability | 81,613 | $ 2,751 |
Operating Lease, Liability, Current | 1,054 | 1,979 |
Operating Lease, Liability, Noncurrent | 80,559 | 772 |
Lease Not Yet Commenced [Abstract] | ||
Lessee, Operating Lease, Liability, Payments, Due | 158,714 | |
Leases Cash Flow [Abstract] | ||
Operating Lease, Payments | 4,466 | 4,447 |
Finance Lease, Principal Payments | 835 | 120 |
Right-of-Use Asset Obtained in Exchange for Operating Lease Liability | 78,539 | 7,205 |
Right-of-Use Asset Obtained in Exchange for Finance Lease Liability | 1,386 | 312 |
Prior Period Disclosures [Abstract] | ||
Lessee, Operating Lease, Liability, Payments, Due Next Twelve Months | 6,760 | |
Lessee, Operating Lease, Liability, Payments, Due Year Two | 6,849 | |
Lessee, Operating Lease, Liability, Payments, Due Year Three | 6,986 | |
Lessee, Operating Lease, Liability, Payments, Due Year Four | 7,150 | |
Lessee, Operating Lease, Liability, Payments, Due Year Five | 7,185 | |
Lessee, Operating Lease, Liability, Payments, Due after Year Five | 123,784 | |
Lessee, Operating Lease, Liability, Payments, Due | 158,714 | |
Regulatory Assets, Noncurrent | 348,887 | 343,146 |
Corporate, Non-Segment [Member] | Northwest Holdings Other [Member] | ||
Operating Lease Asset and Liabilities [Abstract] | ||
Operating Lease, Right-of-Use Asset | 118 | 190 |
Operating Lease, Liability, Current | 51 | 122 |
Operating Lease, Liability, Noncurrent | 62 | 69 |
Operating Lease, Liability | 113 | 191 |
Maturity of Operating Lease Liabilities [Abstract] | ||
Lessee, Operating Lease, Liability, Payments, Due Next Twelve Months | 52 | |
Lessee, Operating Lease, Liability, Payments, Due Year Two | 67 | |
Lessee, Operating Lease, Liability, Payments, Due Year Three | 0 | |
Lessee, Operating Lease, Liability, Payments, Due Year Four | 0 | |
Lessee, Operating Lease, Liability, Payments, Due Year Five | 0 | |
Lessee, Operating Lease, Liability, Payments, Due after Year Five | 0 | |
Lessee, Operating Lease, Liability, Payments, Due | 119 | |
Lessee, Operating Lease, Liability, Undiscounted Excess Amount | 6 | |
Operating Lease, Liability | 113 | 191 |
Operating Lease, Liability, Current | 51 | 122 |
Operating Lease, Liability, Noncurrent | 62 | 69 |
Lease Not Yet Commenced [Abstract] | ||
Lessee, Operating Lease, Liability, Payments, Due | 119 | |
Leases Cash Flow [Abstract] | ||
Operating Lease, Payments | 131 | 182 |
Finance Lease, Principal Payments | 0 | 0 |
Right-of-Use Asset Obtained in Exchange for Operating Lease Liability | 51 | 372 |
Right-of-Use Asset Obtained in Exchange for Finance Lease Liability | 0 | $ 0 |
Prior Period Disclosures [Abstract] | ||
Lessee, Operating Lease, Liability, Payments, Due Next Twelve Months | 52 | |
Lessee, Operating Lease, Liability, Payments, Due Year Two | 67 | |
Lessee, Operating Lease, Liability, Payments, Due Year Three | 0 | |
Lessee, Operating Lease, Liability, Payments, Due Year Four | 0 | |
Lessee, Operating Lease, Liability, Payments, Due Year Five | 0 | |
Lessee, Operating Lease, Liability, Payments, Due after Year Five | 0 | |
Lessee, Operating Lease, Liability, Payments, Due | $ 119 | |
Maximum [Member] | ||
Prior Period Disclosures [Abstract] | ||
Lessee, Operating Lease, Term of Contract | 19 years |
Stock-Based Compensation - Long
Stock-Based Compensation - Long Term Incentive Plan (Details) - Long Term Incentive Plan [Member] - USD ($) | 12 Months Ended | 36 Months Ended | ||||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized | 1,100,000 | |||||
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Available for Grant, Any Award Type | 435,758 | |||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number | 0 | 0 | ||||
Restricted Stock Units (RSUs) [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number | 82,464 | 79,733 | 82,680 | 82,680 | 84,522 | |
Performance Shares [Abstract] | ||||||
Share-based Payment Arrangement, Expense | $ 2,000,000 | $ 1,800,000 | $ 1,800,000 | |||
Share-based Payment Arrangement, Nonvested Award, Cost Not yet Recognized, Amount | $ 3,700,000 | |||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value | $ 59.40 | $ 61.17 | $ 56.47 | $ 56.47 | $ 53.90 | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Vested in Period, Weighted Average Grant Date Fair Value | $ 59.29 | $ 54.22 | $ 50.75 | |||
Restricted Stock Units [Abstract] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period | 4 years | |||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Vested in Period | (29,273) | (35,778) | (32,689) | |||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period | 33,594 | 36,018 | 32,450 | |||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period, Weighted Average Grant Date Fair Value | $ 55.58 | $ 65.29 | $ 57.59 | |||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Forfeited in Period | (1,590) | (3,187) | (1,603) | |||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Forfeitures, Weighted Average Grant Date Fair Value | $ 69.71 | $ 63.89 | $ 59.95 | |||
Performance Shares [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Share Based Compensation Award Target Share | 31,825 | |||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number | 0 | |||||
Performance Shares [Abstract] | ||||||
Share-based Payment Arrangement, Expense | $ 2,137,000 | |||||
Share-based Payment Arrangement, Nonvested Award, Cost Not yet Recognized, Amount | $ 0 | |||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value | $ 78.96 | |||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Vested in Period, Weighted Average Grant Date Fair Value | $ 78.96 | |||||
Performance Shares [Member] | A 2019 Award [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Share Based Compensation Award Target Share | 0 | |||||
Performance Shares [Abstract] | ||||||
Share-based Payment Arrangement, Expense | $ 0 | |||||
Performance Shares [Member] | A 2018 Award [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Share Based Compensation Award Target Share | 31,825 | |||||
Performance Shares [Abstract] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award, Non-Option Equity Instruments, Granted | 31,600 | |||||
Share-based Payment Arrangement, Expense | $ 2,137,000 | $ 2,137,000 | ||||
Performance Shares [Member] | A 2017 Award [Member] | ||||||
Performance Shares [Abstract] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award, Non-Option Equity Instruments, Granted | 41,537 | |||||
Share-based Payment Arrangement, Expense | $ 572,000 | $ 1,971,000 | ||||
Performance Shares [Member] | A 2016 Award [Member] | ||||||
Performance Shares [Abstract] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award, Non-Option Equity Instruments, Granted | 28,218 | |||||
Share-based Payment Arrangement, Expense | $ 598,000 | $ 1,413,000 | ||||
Performance Shares [Member] | A 2020 Award | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Share Based Compensation Award Target Share | 0 | |||||
Performance Shares [Abstract] | ||||||
Share-based Payment Arrangement, Expense | $ 0 | |||||
Maximum [Member] | Performance Shares [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Share Based Compensation Award Target Share | 63,650 | |||||
Maximum [Member] | Performance Shares [Member] | A 2019 Award [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Share Based Compensation Award Target Share | 0 | |||||
Maximum [Member] | Performance Shares [Member] | A 2018 Award [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Share Based Compensation Award Target Share | 63,650 | |||||
Maximum [Member] | Performance Shares [Member] | A 2020 Award | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Share Based Compensation Award Target Share | 0 | |||||
Target Achieved [Member] | Performance Shares [Member] | A 2019 Award [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Share Based Compensation Award Target Share | 35,170 | |||||
Target Achieved [Member] | Performance Shares [Member] | A 2020 Award | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Share Based Compensation Award Target Share | 31,830 |
Stock-Based Compensation - Rest
Stock-Based Compensation - Restated Stock Option Plan (Details) - USD ($) | 12 Months Ended | 84 Months Ended | |||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2019 | Dec. 31, 2017 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Proceeds from stock options exercised | $ 68,000 | $ 2,015,000 | $ 1,546,000 | ||
Share-based Payment Arrangement, Expense, Tax Benefit | 933,000 | 575,000 | 659,000 | ||
Restated Stock Option [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Intrinsic Value | $ 0 | $ 300,000 | $ 900 | $ 300,000 | $ 1,400 |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Forfeitures and Expirations in Period, Weighted Average Exercise Price | $ 0 | $ 0 | $ 43,290 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercises in Period | (1,500) | (45,000) | (35,450,000) | ||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Number | 9,438 | 10,938 | 55,938,000 | 10,938 | 91,688,000 |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Weighted Average Exercise Price | $ 45.74 | $ 45.67 | $ 44,960 | $ 45.67 | $ 44,430 |
Share-based Compensation Arrangement by Share-based Payment Award, Expiration Period | 10 years 7 days | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross | 0 | ||||
Share Based Compensation Arrangement By Share Based Payment Award Exchange Period | 6 months | ||||
Share-based Compensation Arrangements by Share-based Payment Award, Options, Exercises in Period, Weighted Average Exercise Price | $ 45.24 | $ 44.79 | $ 43,610 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercises in Period, Intrinsic Value | $ 0 | $ 1,000,000 | $ 800 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Forfeitures and Expirations in Period | 0 | 0 | (300,000) | ||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercisable, Weighted Average Remaining Contractual Term | 2 months 1 day |
Stock-Based Compensation - Empl
Stock-Based Compensation - Employee Stock Purchase Plan (Details) - Employee Stock Purchase Plan [Member] | 12 Months Ended |
Dec. 31, 2020USD ($) | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Share-based Compensation Arrangement by Share-based Payment Award, Purchase Price of Common Stock, Percent | 85.00% |
Maximum Value Of Stock Employees Are Allowed To Purchase | $ 21,232 |
Stock-Based Compensation - Stoc
Stock-Based Compensation - Stock-Based Compensation Expense (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Share-based Payment Arrangement, Expense, Tax Benefit | $ (933) | $ (575) | $ (659) |
Share-based Payment Arrangement, Expense, after Tax | 2,592 | 1,597 | 1,830 |
Share-based Payment Arrangement, Amount Capitalized | 841 | 430 | 531 |
Operations and Maintenance Expense [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Share-based Payment Arrangement, Expense | $ 3,525 | $ 2,172 | $ 2,489 |
Debt (Details)
Debt (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Short-term Debt, Other Disclosures [Abstract] | ||
Short-term debt | $ 304,525,000 | $ 149,100,000 |
Short-term Debt, Weighted Average Interest Rate, at Point in Time | 0.50% | 2.00% |
Commercial Paper, Maximum Maturity | 166 days | |
Commercial Paper, Average Maturity | 47 days | |
Debt Instruments [Abstract] | ||
Ratio of Indebtedness to Net Capital | 0.586 | |
Liabilities, Fair Value Disclosure [Abstract] | ||
Long-term Debt | $ 955,425,000 | $ 881,064,000 |
Unamortized Debt Issuance Expense | (7,480,000) | (5,712,000) |
Debt Instrument, Fair Value Disclosure | 1,136,311,000 | 957,268,000 |
Long-term Debt, Gross | 962,905,000 | 886,776,000 |
Letters of Credit Outstanding, Amount | 1,000,000 | |
Northwest Natural Gas Company [Member] | ||
Short-term Debt, Other Disclosures [Abstract] | ||
Short-term debt | $ 231,525,000 | $ 125,100,000 |
Short-term Debt, Weighted Average Interest Rate, at Point in Time | 0.40% | 2.00% |
Maturities of Long-term Debt [Abstract] | ||
Long-term Debt, Maturities, Repayments of Principal in Next Twelve Months | $ 60,000,000 | |
Long-term Debt, Maturities, Repayments of Principal in Year Two | 0 | |
Long-term Debt, Maturities, Repayments of Principal in Year Three | 90,000,000 | |
Long-term Debt, Maturities, Repayments of Principal in Year Four | 0 | |
Long-term Debt, Maturities, Repayments of Principal in Year Five | 30,000,000 | |
Long-term Debt, Maturities, Repayments of Principal after Year Five | 744,700,000 | |
Debt Instruments [Abstract] | ||
Long-Term Debt, Current Maturities, Gross | 60,000,000 | $ 75,000,000 |
Long-term Debt, Excluding Current Maturities, Gross | 864,700,000 | 774,700,000 |
Liabilities, Fair Value Disclosure [Abstract] | ||
Long-term Debt | 917,220,000 | 843,988,000 |
Unamortized Debt Issuance Expense | (7,500,000) | (5,712,000) |
Debt Instrument, Fair Value Disclosure | 1,097,348,000 | 919,835,000 |
Long-term Debt, Gross | 924,700,000 | 849,700,000 |
Northwest Natural Gas Company [Member] | Note 3600 Series Due 2050 | ||
Debt Instruments [Abstract] | ||
Secured Debt | $ 150,000,000 | 0 |
Debt Instrument, Interest Rate, Stated Percentage | 3.60% | |
Debt Outstanding | ||
Proceeds from Issuance of Debt | $ 150,000,000 | |
Northwest Natural Gas Company [Member] | Note 3869 Series Due 2049 [Member] | ||
Debt Instruments [Abstract] | ||
Secured Debt | $ 90,000,000 | $ 90,000,000 |
Debt Instrument, Interest Rate, Stated Percentage | 3.869% | 3.869% |
Northwest Natural Gas Company [Member] | Note 4110 Series Due 2048 [Member] | ||
Debt Instruments [Abstract] | ||
Secured Debt | $ 50,000,000 | $ 50,000,000 |
Debt Instrument, Interest Rate, Stated Percentage | 4.11% | 4.11% |
Northwest Natural Gas Company [Member] | Note 3685 Series Due 2047 [Member] | ||
Debt Instruments [Abstract] | ||
Secured Debt | $ 75,000,000 | $ 75,000,000 |
Debt Instrument, Interest Rate, Stated Percentage | 3.685% | 3.685% |
Northwest Natural Gas Company [Member] | Note 4136 Series Due 2046 [Member] | ||
Debt Instruments [Abstract] | ||
Secured Debt | $ 40,000,000 | $ 40,000,000 |
Debt Instrument, Interest Rate, Stated Percentage | 4.136% | 4.136% |
Northwest Natural Gas Company [Member] | Note 4000 Series Due 2042 [Member] | ||
Debt Instruments [Abstract] | ||
Secured Debt | $ 50,000,000 | $ 50,000,000 |
Debt Instrument, Interest Rate, Stated Percentage | 4.00% | 4.00% |
Northwest Natural Gas Company [Member] | Note 5250 Series Due 2035 [Member] | ||
Debt Instruments [Abstract] | ||
Secured Debt | $ 10,000,000 | $ 10,000,000 |
Debt Instrument, Interest Rate, Stated Percentage | 5.25% | 5.25% |
Northwest Natural Gas Company [Member] | Note 5660 Series Due 2033 [Member] | ||
Debt Instruments [Abstract] | ||
Secured Debt | $ 40,000,000 | $ 40,000,000 |
Debt Instrument, Interest Rate, Stated Percentage | 5.66% | 5.66% |
Northwest Natural Gas Company [Member] | Note 5820 Series Due 2032 [Member] | ||
Debt Instruments [Abstract] | ||
Secured Debt | $ 30,000,000 | $ 30,000,000 |
Debt Instrument, Interest Rate, Stated Percentage | 5.82% | 5.82% |
Northwest Natural Gas Company [Member] | Note 7850 Series Due 2030 [Member] | ||
Debt Instruments [Abstract] | ||
Secured Debt | $ 10,000,000 | $ 10,000,000 |
Debt Instrument, Interest Rate, Stated Percentage | 7.85% | 7.85% |
Northwest Natural Gas Company [Member] | Note 7740 Series Due 2030 [Member] | ||
Debt Instruments [Abstract] | ||
Secured Debt | $ 20,000,000 | $ 20,000,000 |
Debt Instrument, Interest Rate, Stated Percentage | 7.74% | 7.74% |
Northwest Natural Gas Company [Member] | Note 3141 Series Due 2029 [Member] | ||
Debt Instruments [Abstract] | ||
Secured Debt | $ 50,000,000 | $ 50,000,000 |
Debt Instrument, Interest Rate, Stated Percentage | 3.141% | 3.141% |
Northwest Natural Gas Company [Member] | Note 6650 Series Due 2028 [Member] | ||
Debt Instruments [Abstract] | ||
Secured Debt | $ 10,000,000 | $ 10,000,000 |
Debt Instrument, Interest Rate, Stated Percentage | 6.65% | 6.65% |
Northwest Natural Gas Company [Member] | Note 6650 Series Due 2027 [Member] | ||
Debt Instruments [Abstract] | ||
Secured Debt | $ 19,700,000 | $ 19,700,000 |
Debt Instrument, Interest Rate, Stated Percentage | 6.65% | 6.65% |
Northwest Natural Gas Company [Member] | Note 2822 Series Due 2027 [Member] | ||
Debt Instruments [Abstract] | ||
Secured Debt | $ 25,000,000 | $ 25,000,000 |
Debt Instrument, Interest Rate, Stated Percentage | 2.822% | 2.822% |
Northwest Natural Gas Company [Member] | Note 7000 Series Due 2027 [Member] | ||
Debt Instruments [Abstract] | ||
Secured Debt | $ 20,000,000 | $ 20,000,000 |
Debt Instrument, Interest Rate, Stated Percentage | 7.00% | 7.00% |
Northwest Natural Gas Company [Member] | Note 3211 Series Due 2026 [Member] | ||
Debt Instruments [Abstract] | ||
Secured Debt | $ 35,000,000 | $ 35,000,000 |
Debt Instrument, Interest Rate, Stated Percentage | 3.211% | 3.211% |
Northwest Natural Gas Company [Member] | Note 7050 Series Due 2026 [Member] | ||
Debt Instruments [Abstract] | ||
Secured Debt | $ 20,000,000 | $ 20,000,000 |
Debt Instrument, Interest Rate, Stated Percentage | 7.05% | 7.05% |
Northwest Natural Gas Company [Member] | Note 6520 Series Due 2025 [Member] | ||
Debt Instruments [Abstract] | ||
Secured Debt | $ 10,000,000 | $ 10,000,000 |
Debt Instrument, Interest Rate, Stated Percentage | 6.52% | 6.52% |
Northwest Natural Gas Company [Member] | Note 7720 Series Due 2025 [Member] | ||
Debt Instruments [Abstract] | ||
Secured Debt | $ 20,000,000 | $ 20,000,000 |
Debt Instrument, Interest Rate, Stated Percentage | 7.72% | 7.72% |
Northwest Natural Gas Company [Member] | Note 5620 Series Due 2023 [Member] | ||
Debt Instruments [Abstract] | ||
Secured Debt | $ 40,000,000 | $ 40,000,000 |
Debt Instrument, Interest Rate, Stated Percentage | 5.62% | 5.62% |
Northwest Natural Gas Company [Member] | Note 3542 Series Due 2023 [Member] | ||
Debt Instruments [Abstract] | ||
Secured Debt | $ 50,000,000 | $ 50,000,000 |
Debt Instrument, Interest Rate, Stated Percentage | 3.542% | 3.542% |
Northwest Natural Gas Company [Member] | Note 3176 Series Due 2021 [Member] | ||
Debt Instruments [Abstract] | ||
Secured Debt | $ 50,000,000 | $ 50,000,000 |
Debt Instrument, Interest Rate, Stated Percentage | 3.176% | 3.176% |
Northwest Natural Gas Company [Member] | Note 9050 Series Due 2021 [Member] | ||
Debt Instruments [Abstract] | ||
Secured Debt | $ 10,000,000 | $ 10,000,000 |
Debt Instrument, Interest Rate, Stated Percentage | 9.05% | 9.05% |
Northwest Natural Gas Company [Member] | Note 5370 Series Due 2020 [Member] | ||
Debt Instruments [Abstract] | ||
Secured Debt | $ 0 | $ 75,000,000 |
Debt Instrument, Interest Rate, Stated Percentage | 5.37% | 5.37% |
Repayments of Long-term Debt [Abstract] | ||
Extinguishment of Debt, Amount | $ 75,000,000 | |
Northwest Holdings Other [Member] | Corporate, Non-Segment [Member] | NWN Water Term Loan Due 2021 [Member] | ||
Credit Agreements [Abstract] | ||
Debt Instrument Covenant Consolidated Indebtedness To Capitalization Ratio | 70.00% | |
Debt Instruments [Abstract] | ||
Debt Instrument, Interest Rate, Stated Percentage | 0.70% | |
Liabilities, Fair Value Disclosure [Abstract] | ||
Long-term Debt | $ 35,000,000 | |
Line of Credit [Member] | ||
Credit Agreements [Abstract] | ||
Line of Credit Facility, Maximum Borrowing Capacity | 100,000,000 | |
Line of Credit Facility, Amount Outstanding | 73,000,000 | $ 24,000,000 |
Line of Credit Facility Contingent Increase To Maximum Borrowing Capacity | $ 150,000,000 | |
Debt Instrument Covenant Consolidated Indebtedness To Capitalization Ratio | 70.00% | |
Line of Credit [Member] | Northwest Natural Gas Company [Member] | ||
Credit Agreements [Abstract] | ||
Line of Credit Facility, Maximum Borrowing Capacity | $ 300,000,000 | |
Line of Credit Facility, Amount Outstanding | 0 | 0 |
Line of Credit Facility Contingent Increase To Maximum Borrowing Capacity | $ 450,000,000 | |
Debt Instrument Covenant Consolidated Indebtedness To Capitalization Ratio | 70.00% | |
Letter of Credit [Member] | ||
Credit Agreements [Abstract] | ||
Line of Credit Facility, Maximum Borrowing Capacity | $ 40,000,000 | |
Liabilities, Fair Value Disclosure [Abstract] | ||
Letters of Credit Outstanding, Amount | 0 | |
Letter of Credit [Member] | Northwest Natural Gas Company [Member] | ||
Credit Agreements [Abstract] | ||
Line of Credit Facility, Maximum Borrowing Capacity | 60,000,000 | |
Liabilities, Fair Value Disclosure [Abstract] | ||
Letters of Credit Outstanding, Amount | $ 0 | $ 0 |
Pension and Other Postretirem_4
Pension and Other Postretirement Benefits Costs - Changes in Benefit Obligations and Fair Value of Plan Assets (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Pension Plan [Member] | |||
Reconciliation of change in plan assets: | |||
Fair value of plan assets at January 1 | $ 313,051 | ||
Fair value of plan assets at December 31 | 373,931 | $ 313,051 | |
Qualified Pension Plans, Defined Benefit [Member] | |||
Reconciliation of change in plan assets: | |||
Defined Benefit Plan, Accumulated Benefit Obligation | 480,000 | 434,900 | |
Northwest Natural Gas Company [Member] | Other Postretirement Benefits Plan [Member] | |||
Reconciliation of change in benefit obligation: | |||
Obligation at January 1 | 29,568 | 28,172 | |
Service cost | 258 | 244 | |
Interest cost | 905 | 1,117 | |
Net actuarial loss | 145 | 1,809 | |
Benefits paid | (1,837) | (1,774) | $ (1,674) |
Obligation at December 31 | 29,039 | 29,568 | 28,172 |
Reconciliation of change in plan assets: | |||
Fair value of plan assets at January 1 | 0 | 0 | |
Actual return on plan assets | 0 | 0 | |
Employer contributions | 1,837 | 1,774 | |
Benefits paid | (1,837) | (1,774) | (1,674) |
Fair value of plan assets at December 31 | 0 | 0 | 0 |
Northwest Natural Gas Company [Member] | Pension Plan [Member] | |||
Reconciliation of change in benefit obligation: | |||
Obligation at January 1 | 515,668 | 455,568 | |
Service cost | 6,614 | 6,308 | |
Interest cost | 16,161 | 18,683 | |
Net actuarial loss | 52,777 | 58,269 | |
Benefits paid | (25,073) | (23,160) | (21,918) |
Obligation at December 31 | 566,147 | 515,668 | 455,568 |
Reconciliation of change in plan assets: | |||
Fair value of plan assets at January 1 | 313,051 | 257,797 | |
Actual return on plan assets | 54,600 | 65,104 | |
Employer contributions | 31,354 | 13,310 | |
Benefits paid | (25,073) | (23,160) | (21,918) |
Fair value of plan assets at December 31 | 373,932 | 313,051 | $ 257,797 |
Defined Benefit Plan, Benefit Obligation, Period Increase (Decrease) | (47,800) | ||
Defined Benefit Plan, Plan Assets, Period Increase (Decrease) | 60,900 | ||
Northwest Natural Gas Company [Member] | Non-qualified Benefit Plans | |||
Reconciliation of change in plan assets: | |||
Defined Benefit Plan, Benefit Obligation, Period Increase (Decrease) | (2,700) | ||
Northwest Natural Gas Company [Member] | Qualified Pension Plans, Defined Benefit [Member] | |||
Reconciliation of change in benefit obligation: | |||
Obligation at January 1 | 477,300 | ||
Obligation at December 31 | 525,100 | 477,300 | |
Reconciliation of change in plan assets: | |||
Fair value of plan assets at January 1 | 313,100 | ||
Fair value of plan assets at December 31 | 373,900 | 313,100 | |
Defined Benefit Plan, Funded (Unfunded) Status of Plan | (151,200) | ||
Northwest Holdings and Northwest Natural [Member] | Other Postretirement Benefits Plan [Member] | |||
Reconciliation of change in plan assets: | |||
Defined Benefit Plan, Funded (Unfunded) Status of Plan | (29,039) | (29,568) | |
Defined Benefit Plan, Benefit Obligation, Period Increase (Decrease) | 500 | ||
Northwest Holdings and Northwest Natural [Member] | Pension Plan [Member] | |||
Reconciliation of change in plan assets: | |||
Defined Benefit Plan, Funded (Unfunded) Status of Plan | (192,215) | $ (202,617) | |
Defined Benefit Plan, Increase in Net Liability | $ 13,100 |
Pension and Other Postretirem_5
Pension and Other Postretirement Benefits Costs - Narrative (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ||
Defined Benefit Plan, Ultimate Health Care Cost Trend Rate | 4.75% | |
Defined Benefit Plan, Year Health Care Cost Trend Rate Reaches Ultimate Trend Rate | 2026 | |
Pension Plan [Member] | ||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ||
Defined Benefit Plan, Health Care Cost Trend Rate Assumed, Next Fiscal Year | 6.50% | |
Plan Assets, Amount | $ 373,931 | $ 313,051 |
Other Postretirement Benefits Plan [Member] | ||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ||
Defined Benefit Plan, Health Care Cost Trend Rate Assumed, Next Fiscal Year | 6.25% | |
Non-Qualified Pension Plans, Defined Benefit [Member] | ||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ||
Plan Assets, Amount | $ 0 | |
Defined Benefit Plan, Benefit Obligation | 41,000 | 38,300 |
Qualified Pension Plans, Defined Benefit [Member] | ||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ||
Defined Benefit Plan, Accumulated Benefit Obligation | $ 480,000 | $ 434,900 |
Pension and Other Postretirem_6
Pension and Other Postretirement Benefits Costs - Schedule of Amounts Realized in Other Comprehensive Loss (Income) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Pension Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Regulatory Asset, Net actuarial loss (gain) | $ 16,170 | $ 10,424 | $ 14,261 |
Regulatory Asset, Prior service cost | 0 | (7) | (42) |
Regulatory Asset, Actuarial loss | (18,627) | (14,057) | (18,761) |
Regulatory Asset, Total | (2,457) | (3,640) | (4,542) |
Other Postretirement Benefits Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Regulatory Asset, Net actuarial loss (gain) | 145 | 1,809 | (327) |
Regulatory Asset, Prior service cost | 468 | 468 | 468 |
Regulatory Asset, Actuarial loss | (607) | (369) | (448) |
Regulatory Asset, Total | 6 | 1,908 | (307) |
Qualified Pension Plans, Defined Benefit [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Amounts reclassified to AOCL | 3,873 | 3,595 | (677) |
Other Comprehensive Loss (Income), Prior service cost | 0 | 0 | 0 |
Other Comprehensive Income (Loss), Defined Benefit Plan, Gain (Loss), Reclassification Adjustment from AOCI, before Tax | (923) | (648) | (1,052) |
Total reclassifications before tax | $ 2,950 | $ 2,947 | $ (1,729) |
Pension and Other Postretirem_7
Pension and Other Postretirement Benefits Costs - Schedule of Amount Recognized in AOCL (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Qualified Pension Plans, Defined Benefit [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
AOCL, Prior Service Costs (Credit) | $ 0 | $ 0 |
AOCL, Net Actuarial Loss | 17,434 | 14,484 |
AOCL, Total | 17,434 | 14,484 |
Pension Costs [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Regulatory Assets, Prior Service Cost (Credit) | 0 | 0 |
Regulatory Assets, Net Actuarial Loss | 164,446 | 166,903 |
Regulatory Assets | 164,446 | 166,903 |
Postretirement Benefit Costs [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Regulatory Assets, Prior Service Cost (Credit) | (801) | (1,270) |
Regulatory Assets, Net Actuarial Loss | 7,167 | 7,629 |
Regulatory Assets | $ 6,366 | $ 6,359 |
Pension and Other Postretirem_8
Pension and Other Postretirement Benefits Costs - Schedule of AOCL and Changes in AOCL, Non-Qualified Employee Plans (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||
Beginning balance | $ 10,733 | |
Ending balance | 12,902 | $ 10,733 |
Northwest Holdings and Northwest Natural [Member] | Non-Qualified Pension Plans, Defined Benefit [Member] | ||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||
Beginning balance | 10,733 | 7,188 |
Amounts reclassified to AOCL | (3,873) | (3,611) |
Amortization of actuarial losses | 923 | 648 |
Other Comprehensive Income (Loss), Defined Benefit Plan, Gain (Loss), Reclassification Adjustment from AOCI, before Tax | 0 | (1,366) |
Total reclassifications before tax | (2,950) | (4,329) |
Tax expense | 781 | 784 |
Total reclassifications for the period | (2,169) | (3,545) |
Ending balance | (12,902) | 10,733 |
Northwest Natural Gas Company [Member] | ||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||
Beginning balance | 10,733 | |
Ending balance | 12,902 | $ 10,733 |
Defined Benefit Plan Amounts That Will Be Amortized From Accumulated Other Comprehensive Income Loss In Next Fiscal Year Regulatory | 20,800 | |
Defined Benefit Plan Amortization Of Net Gains Losses Regulatory | 21,300 | |
Defined Benefit Plan Amortization Of Net Prior Service Cost Credit Regulatory | $ (500) |
Pension and Other Postretirem_9
Pension and Other Postretirement Benefits Costs - Schedule of Pension Plan Target Allocations (Details) - Northwest Natural Gas Company [Member] | Dec. 31, 2020 |
Long government/credit [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Target allocation, percentage | 20.00% |
U.S. large cap equity [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Target allocation, percentage | 18.00% |
Non-U.S. equity [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Target allocation, percentage | 18.00% |
Absolute Return Strategy Investment Securities [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Target allocation, percentage | 12.00% |
U.S. small/mid cap equity [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Target allocation, percentage | 10.00% |
Real estate funds [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Target allocation, percentage | 7.00% |
High yield bonds [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Target allocation, percentage | 5.00% |
Emerging markets equity [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Target allocation, percentage | 5.00% |
Emerging market debt [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Target allocation, percentage | 5.00% |
Pension and Other Postretire_10
Pension and Other Postretirement Benefits Costs - Schedule of Components of Net Periodic Benefit Cost for NW Natural (Details) - Northwest Natural Gas Company Consolidated [Member] - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | ||
Mar. 31, 2019 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Other Postretirement Benefits Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Service cost | $ 258 | $ 244 | $ 282 | |
Interest cost | 905 | 1,116 | 964 | |
Expected return on plan assets | 0 | 0 | 0 | |
Amortization of prior service cost (credit) | (468) | (468) | (468) | |
Amortization of net actuarial loss | (607) | (368) | (448) | |
Net periodic benefit cost | 1,302 | 1,260 | 1,226 | |
Amount allocated to construction | 98 | 86 | 98 | |
Amount deferred to regulatory balancing account | 0 | 0 | 0 | |
Net periodic benefit cost charged to expense | 1,204 | 1,174 | 1,128 | |
Regulatory Pension Disallowance | 0 | 0 | 0 | |
Amortization of Regulatory Balancing Account | 0 | 0 | 0 | |
Defined Benefit Plan Net Amount Charged To Expense | 1,204 | 1,174 | 1,128 | |
Pension Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Service cost | 6,614 | 6,308 | 7,185 | |
Interest cost | 16,161 | 18,684 | 16,991 | |
Expected return on plan assets | (21,865) | (20,854) | (20,639) | |
Amortization of prior service cost (credit) | 0 | 7 | 43 | |
Amortization of net actuarial loss | 19,550 | 14,704 | 19,813 | |
Net periodic benefit cost | 20,460 | 18,849 | 23,393 | |
Amount allocated to construction | 2,798 | 2,493 | 2,764 | |
Amount deferred to regulatory balancing account | 0 | 0 | (10,314) | |
Net periodic benefit cost charged to expense | 17,662 | 16,356 | 10,315 | |
Regulatory Pension Disallowance | $ 10,500 | 0 | 10,500 | 0 |
Amortization of Regulatory Balancing Account | 12,500 | 7,131 | 16,841 | 0 |
Defined Benefit Plan Net Amount Charged To Expense | 24,793 | 43,697 | 10,315 | |
Operating Expense [Member] | Pension Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Regulatory Pension Disallowance | 3,900 | 2,600 | 6,200 | 2,400 |
Other Nonoperating Income (Expense) [Member] | Pension Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Regulatory Pension Disallowance | $ 6,600 | $ 4,500 | $ 10,600 | $ 7,900 |
Pension and Other Postretire_11
Pension and Other Postretirement Benefits Costs - Schedule of Assumptions Used (Details) | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Health Care Cost Trend Rate Assumed, Thereafter | 3.50% | ||
Other Postretirement Benefits Plan [Member] | |||
Assumptions for net periodic benefit cost: | |||
Weighted-average discount rate | 3.11% | 4.13% | 3.44% |
Assumptions for year-end funded status: | |||
Weighted-average discount rate | 2.34% | 3.11% | 4.13% |
Defined Benefit Plan, Health Care Cost Trend Rate Assumed, Next Fiscal Year | 6.25% | ||
Pension Plan [Member] | |||
Assumptions for net periodic benefit cost: | |||
Weighted-average discount rate | 3.18% | 4.19% | 3.51% |
Expected long-term rate of return | 7.25% | 7.50% | 7.50% |
Assumptions for year-end funded status: | |||
Weighted-average discount rate | 2.36% | 3.16% | 4.20% |
Expected long-term rate of return | 7.25% | 7.25% | 7.50% |
Defined Benefit Plan, Health Care Cost Trend Rate Assumed, Next Fiscal Year | 6.50% | ||
Minimum [Member] | Pension Plan [Member] | |||
Assumptions for net periodic benefit cost: | |||
Rate of Compensation Increase | 3.50% | 3.25% | 3.25% |
Assumptions for year-end funded status: | |||
Rate of Compensation Increase | 3.50% | 3.50% | 3.25% |
Maximum [Member] | Pension Plan [Member] | |||
Assumptions for net periodic benefit cost: | |||
Rate of Compensation Increase | 3.50% | 3.50% | 4.50% |
Assumptions for year-end funded status: | |||
Rate of Compensation Increase | 6.50% | 6.50% | 4.50% |
Pension and Other Postretire_12
Pension and Other Postretirement Benefits Costs - Schedule of Future Employer Contributions and Benefit Payments (Details) - Northwest Natural Gas Company [Member] - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 22, 2013 | |
Defined Benefit Plan Disclosure [Line Items] | ||||
Payment for Pension and Other Postretirement Benefits | $ 29,000 | |||
Defined Benefit Plan, Expected Future Benefit Payment [Abstract] | ||||
Defined Contribution Plan, Cost | 8,300 | $ 7,000 | $ 6,500 | |
Western States Office and Professional Employees Union Pension Fund [Member] | ||||
Defined Benefit Plan, Expected Future Benefit Payment [Abstract] | ||||
Multiemployer Plan, Employer Contribution, Cost | 700 | 600 | 600 | |
Multiemployer Plan, Pension, Insignificant, Plan Contribution | 600 | |||
Multiemployer Plans, Withdrawal Obligation | $ 6,100 | $ 8,300 | ||
Western States Office and Professional Employees Union Pension Fund [Member] | Maximum [Member] | ||||
Defined Benefit Plan, Expected Future Benefit Payment [Abstract] | ||||
Multiemployer Plan, Pension, Insignificant, Employer Contribution under Collective-Bargaining Arrangement to All Participating Employer Contributions, Percentage | 6.00% | |||
Western States Office and Professional Employees Union Pension Fund [Member] | Minimum [Member] | ||||
Defined Benefit Plan, Expected Future Benefit Payment [Abstract] | ||||
Multiemployer Plan, Pension, Insignificant, Employer Contribution under Collective-Bargaining Arrangement to All Participating Employer Contributions, Percentage | 5.00% | |||
Pension Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Payment for Pension and Other Postretirement Benefits | $ 31,362 | 13,310 | ||
Expected future employer contributions | 22,465 | |||
Benefits paid | 25,073 | 23,160 | 21,918 | |
Defined Benefit Plan, Expected Future Benefit Payment [Abstract] | ||||
2021 | 24,609 | |||
2022 | 25,299 | |||
2023 | 26,083 | |||
2024 | 26,807 | |||
2025 | 27,399 | |||
2026-2030 | 149,287 | |||
Other Postretirement Benefits Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Payment for Pension and Other Postretirement Benefits | 1,837 | 1,774 | ||
Expected future employer contributions | 1,654 | |||
Benefits paid | 1,837 | $ 1,774 | $ 1,674 | |
Defined Benefit Plan, Expected Future Benefit Payment [Abstract] | ||||
2021 | 1,654 | |||
2022 | 1,664 | |||
2023 | 1,694 | |||
2024 | 1,690 | |||
2025 | 1,678 | |||
2026-2030 | 7,815 | |||
Qualified Pension Plans, Defined Benefit [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Expected future employer contributions | $ 20,100 |
Income Tax (Details)
Income Tax (Details) - USD ($) | 12 Months Ended | |||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Regulatory Assets [Line Items] | ||||
Unrecognized Tax Benefits | $ 0 | $ 0 | $ 0 | |
Deferred Tax Rate Differential, Post TCJA | 0 | 0 | (76,000) | |
Regulatory Settlement | 0 | (1,129,000) | $ 0 | |
Deferred Tax Liabilities, Property, Plant and Equipment | 297,078,000 | 269,886,000 | ||
Deferred Tax Liabilities, Leasing Arrangements | 39,396,000 | 40,133,000 | ||
Deferred Tax Liabilities, Lease Right of Use Assets | 21,613,000 | 778,000 | ||
Deferred Tax Liabilities Non Regulated Liabilities | 0 | 748,000 | ||
Deferred Tax Liabilities, Net | 319,292,000 | 295,643,000 | ||
Deferred Tax Assets, Lease Liabilities | 21,622,000 | 775,000 | ||
Deferred Tax Assets, Tax Credit Carryforwards, Alternative Minimum Tax | 100,000 | |||
Deferred Tax Assets, Tax Credit Carryforwards, Other | 861,000 | 162,000 | ||
Deferred Tax Assets, Net | 80,965,000 | 57,919,000 | ||
Federal Statutory Income Tax Rate, Percent | 21.00% | 35.00% | ||
Regulatory Liability, Noncurrent | 639,663,000 | 625,717,000 | ||
Deferred Tax Assets, Goodwill and Intangible Assets | 4,485,000 | 2,723,000 | ||
Deferred Tax Liabilities, Gross | 400,257,000 | 353,562,000 | ||
Effective Income Tax Rate Reconciliation, Amount [Abstract] | ||||
Income Tax Reconciliation, Income Tax Expense (Benefit), at Federal Statutory Income Tax Rate | 19,185,000 | 16,370,000 | $ 19,222,000 | |
Income Tax Reconciliation, State and Local Income Taxes, net of federal tax benefit | 6,389,000 | 4,422,000 | 4,927,000 | |
Income Tax Reconciliation, Differences Regulatory Commission | (3,960,000) | (5,772,000) | 1,302,000 | |
Income Tax Reconciliation, Other Adjustments | (532,000) | (1,249,000) | (1,184,000) | |
Income Tax Expense (Benefit) | $ 21,082,000 | $ 12,642,000 | $ 24,191,000 | |
Effective Income Tax Rate | 23.10% | 16.20% | 26.40% | |
Tax Provision Current And Deferred [Abstract] | ||||
Current Federal Tax Expense (Benefit) | $ 10,106,000 | $ 5,530,000 | $ 8,953,000 | |
Current State and Local Tax Expense (Benefit) | 5,971,000 | 1,667,000 | 3,785,000 | |
Current Income Tax Expense (Benefit) | 16,077,000 | 7,197,000 | 12,738,000 | |
Deferred Federal Income Tax Expense (Benefit) | 2,888,000 | 1,515,000 | 9,001,000 | |
Deferred State and Local Income Tax Expense (Benefit) | 2,117,000 | 3,930,000 | 2,452,000 | |
Deferred Income Tax Expense (Benefit) | 5,005,000 | 5,445,000 | 11,453,000 | |
Income Tax Expense (Benefit) | 21,082,000 | 12,642,000 | 24,191,000 | |
Tax Provision Regulated And Nonutility [Abstract] | ||||
Income Tax Expense (Benefit) | 21,082,000 | 12,642,000 | 24,191,000 | |
Deferred Tax Assets, Other | 1,407,000 | 0 | ||
Estimated Revenue Deferral | ||||
Regulatory Assets [Line Items] | ||||
Deferred Tax Liabilities, Regulatory Assets and Liabilities | 1,700,000 | |||
Pension Plan [Member] | ||||
Regulatory Assets [Line Items] | ||||
Deferred Tax Liabilities, Regulatory Assets | 25,066,000 | 22,635,000 | ||
Income taxes [Member] | ||||
Regulatory Assets [Line Items] | ||||
Deferred Tax Liabilities, Regulatory Assets | 17,104,000 | 19,382,000 | ||
Deferred Tax Assets, Regulatory Assets and Liabilities | 52,590,000 | 54,259,000 | ||
Tax Provision Regulated And Nonutility [Abstract] | ||||
Deferred Tax Assets, Regulatory Assets and Liabilities | 52,590,000 | 54,259,000 | ||
Northwest Natural Gas Company [Member] | ||||
Regulatory Assets [Line Items] | ||||
Deferred Tax Rate Differential, Post TCJA | 0 | 0 | (75,000) | |
Regulatory Settlement | 0 | (1,129,000) | 0 | |
Deferred Tax Liabilities, Property, Plant and Equipment | 290,105,000 | 281,044,000 | ||
Deferred Tax Liabilities, Leasing Arrangements | 39,396,000 | 40,133,000 | ||
Deferred Tax Liabilities, Lease Right of Use Assets | 21,596,000 | 731,000 | ||
Deferred Tax Liabilities Non Regulated Liabilities | 0 | 407,000 | ||
Deferred Tax Liabilities, Net | 318,034,000 | 309,297,000 | ||
Deferred Tax Assets, Lease Liabilities | 21,606,000 | 728,000 | ||
Deferred Tax Assets, Tax Credit Carryforwards, Other | 80,000 | 48,000 | ||
Deferred Tax Assets, Net | 75,233,000 | 55,035,000 | ||
Regulatory Liability, Noncurrent | 638,793,000 | 625,717,000 | ||
Deferred Tax Assets, Goodwill and Intangible Assets | 0 | 0 | ||
Deferred Tax Liabilities, Gross | 393,267,000 | 364,332,000 | ||
Effective Income Tax Rate Reconciliation, Amount [Abstract] | ||||
Income Tax Reconciliation, Income Tax Expense (Benefit), at Federal Statutory Income Tax Rate | 19,248,000 | 17,438,000 | 19,434,000 | |
Income Tax Reconciliation, State and Local Income Taxes, net of federal tax benefit | 6,385,000 | 4,716,000 | 4,982,000 | |
Income Tax Reconciliation, Differences Regulatory Commission | (3,960,000) | (5,772,000) | 1,302,000 | |
Income Tax Reconciliation, Other Adjustments | (578,000) | (1,188,000) | (1,184,000) | |
Income Tax Expense (Benefit) | $ 21,095,000 | $ 14,065,000 | $ 24,459,000 | |
Effective Income Tax Rate | 23.00% | 16.90% | 26.40% | |
Tax Provision Current And Deferred [Abstract] | ||||
Current Federal Tax Expense (Benefit) | $ 11,092,000 | $ 6,755,000 | $ 9,127,000 | |
Current State and Local Tax Expense (Benefit) | 5,357,000 | 2,101,000 | 3,846,000 | |
Current Income Tax Expense (Benefit) | 16,449,000 | 8,856,000 | 12,973,000 | |
Deferred Federal Income Tax Expense (Benefit) | 1,921,000 | 1,340,000 | 9,025,000 | |
Deferred State and Local Income Tax Expense (Benefit) | 2,725,000 | 3,869,000 | 2,461,000 | |
Deferred Income Tax Expense (Benefit) | 4,646,000 | 5,209,000 | 11,486,000 | |
Income Tax Expense (Benefit) | 21,095,000 | 14,065,000 | 24,459,000 | |
Tax Provision Regulated And Nonutility [Abstract] | ||||
Income Tax Expense (Benefit) | 21,095,000 | 14,065,000 | $ 24,459,000 | |
Deferred Tax Assets, Other | 1,181,000 | 0 | ||
Northwest Natural Gas Company [Member] | Income taxes [Member] | Equity Portion, AFUDC | ||||
Regulatory Assets [Line Items] | ||||
Regulatory Assets | 2,500,000 | 2,500,000 | ||
Northwest Natural Gas Company [Member] | Income taxes [Member] | Oregon Corporate Activity Tax | ||||
Regulatory Assets [Line Items] | ||||
Regulatory Assets | 1,700,000 | |||
Northwest Natural Gas Company [Member] | Pension Plan [Member] | ||||
Regulatory Assets [Line Items] | ||||
Deferred Tax Liabilities, Regulatory Assets | 25,066,000 | 22,635,000 | ||
Northwest Natural Gas Company [Member] | Income taxes [Member] | ||||
Regulatory Assets [Line Items] | ||||
Deferred Tax Liabilities, Regulatory Assets | 17,104,000 | 19,382,000 | ||
Deferred Tax Assets, Regulatory Assets and Liabilities | 52,366,000 | 54,259,000 | ||
Regulatory Liabilities | 197,800,000 | 205,000,000 | ||
Regulatory Liability, Noncurrent | 189,587,000 | 198,219,000 | ||
Tax Provision Regulated And Nonutility [Abstract] | ||||
Deferred Tax Assets, Regulatory Assets and Liabilities | 52,366,000 | 54,259,000 | ||
Excluding AFUDC [Member] | Northwest Natural Gas Company [Member] | Income taxes [Member] | ||||
Regulatory Assets [Line Items] | ||||
Regulatory Assets | 14,600,000 | $ 16,900,000 | ||
Domestic Tax Authority [Member] | ||||
Regulatory Assets [Line Items] | ||||
Operating Loss Carryforwards | 300,000 | |||
State and Local Jurisdiction [Member] | ||||
Regulatory Assets [Line Items] | ||||
Operating Loss Carryforwards | $ 11,500,000 |
Property, Plant and Equipment_2
Property, Plant and Equipment (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Property, Plant and Equipment, Net, by Type [Abstract] | |||
Property, Plant and Equipment, Gross | $ 3,734,039 | $ 3,476,746 | |
Accumulated Depreciation, Depletion and Amortization, Property, Plant, and Equipment | 1,079,269 | 1,037,847 | |
Total property, plant, and equipment, net | 2,654,770 | 2,438,899 | |
Regulatory Liability, Noncurrent | 639,663 | 625,717 | |
Natural Gas Distribution [Member] | |||
Property, Plant and Equipment, Net, by Type [Abstract] | |||
Property, Plant and Equipment, Gross | 3,548,543 | 3,302,049 | |
Public Utilities, Property, Plant and Equipment, Construction Work in Progress | 63,901 | 84,965 | |
Accumulated Depreciation, Depletion and Amortization, Property, Plant, and Equipment | 1,055,809 | 1,017,931 | |
Total property, plant, and equipment, net | 2,556,635 | 2,369,083 | |
Northwest Holdings and Northwest Natural [Member] | |||
Property, Plant and Equipment, Net, by Type [Abstract] | |||
Property, Plant, Equipment non-cash | 25,129 | 32,502 | |
Other Northwest Natural [Member] | |||
Property, Plant and Equipment, Net, by Type [Abstract] | |||
Property, Plant and Equipment, Gross | 66,300 | 63,513 | |
Public Utilities, Property, Plant and Equipment, Construction Work in Progress | 5,032 | 5,548 | |
Accumulated Depreciation, Depletion and Amortization, Property, Plant, and Equipment | 19,637 | 18,662 | |
Total property, plant, and equipment, net | 51,695 | 50,399 | |
Northwest Natural Gas Company [Member] | |||
Property, Plant and Equipment, Net, by Type [Abstract] | |||
Total property, plant, and equipment, net | 2,608,330 | 2,419,482 | |
Northwest Holdings Other [Member] | |||
Property, Plant and Equipment, Net, by Type [Abstract] | |||
Property, Plant and Equipment, Gross | 50,263 | 20,671 | |
Accumulated Depreciation, Depletion and Amortization, Property, Plant, and Equipment | 3,823 | 1,254 | |
Total property, plant, and equipment, net | $ 46,440 | $ 19,417 | |
Natural Gas Distribution [Member] | |||
Property, Plant and Equipment, Net, by Type [Abstract] | |||
Public Utilities, Property, Plant and Equipment, Disclosure of Composite Depreciation Rate for Plants in Service | 3.00% | 2.90% | 2.80% |
Other Northwest Natural [Member] | |||
Property, Plant and Equipment, Net, by Type [Abstract] | |||
Weighted Average Depreciation Rates | 1.80% | 1.80% | 2.20% |
Northwest Natural Gas Company [Member] | |||
Property, Plant and Equipment, Net, by Type [Abstract] | |||
Property, Plant and Equipment, Gross | $ 3,683,776 | $ 3,456,075 | |
Accumulated Depreciation, Depletion and Amortization, Property, Plant, and Equipment | 1,075,446 | 1,036,593 | |
Total property, plant, and equipment, net | 2,608,330 | 2,419,482 | |
Regulatory Liability, Noncurrent | 638,793 | 625,717 | |
Northwest Natural Gas Company [Member] | Asset Removal Costs [Member] | |||
Property, Plant and Equipment, Net, by Type [Abstract] | |||
Regulatory Liability, Noncurrent | 427,960 | $ 401,893 | |
North Mist Lease [Member] | Northwest Natural Gas Company [Member] | |||
Property, Plant and Equipment, Net, by Type [Abstract] | |||
Property, Plant and Equipment, Transfers and Changes | $ 146,000 |
Gas Reserves (Details)
Gas Reserves (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Schedule of Investments [Line Items] | |||
Gas Reserves, Current | $ 11,409,000 | $ 15,278,000 | |
Northwest Natural Gas Company [Member] | |||
Schedule of Investments [Line Items] | |||
Total Cumulative Gas Reserves Investment | 188,000,000 | ||
Gas Reserves Investment | 178,000,000 | ||
Cumulative Gross Investment | 10,000,000 | ||
Additional Rate Per Therm | $ 0.4725 | ||
Gas Reserves Percent Gas Supplies YTD | 5.00% | 5.00% | 6.00% |
Gas Reserves, Current | $ 11,409,000 | $ 15,278,000 | |
Gas Reserves Noncurrent Gross | 175,898,000 | 172,029,000 | |
Gas Reserves Amortization | 141,414,000 | 123,635,000 | |
Total Gas Reserves | 45,893,000 | 63,672,000 | |
Deferred Taxes Related To Gas Reserves | 10,572,000 | 15,515,000 | |
Net Gas Reserves Investment | 35,321,000 | 48,157,000 | |
Investment in Additional Wells, Gas Reserves | $ 3,000,000 | $ 3,800,000 |
Investments (Details)
Investments (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Other Investments [Abstract] | ||||
Life Insurance, Corporate or Bank Owned, Amount | $ 49,241 | $ 49,837 | ||
Equity Method Investments | 0 | 13,472 | ||
Other Investments | 18 | 24 | ||
Total Other investments | 49,259 | 63,333 | ||
Proceeds from Sale of Equity Method Investments | $ 7,000 | 0 | $ 0 | |
Percentage of Equity Method Investment Sold | 10000.00% | |||
Equity Method Investment, Realized Gain (Loss) on Disposal | $ 500 | |||
Forecast [Member] | ||||
Other Investments [Abstract] | ||||
Proceeds from Sale of Equity Method Investments | $ 14,000 | |||
Cash and Cash Equivalents [Member] | ||||
Other Investments [Abstract] | ||||
Proceeds from Sale of Equity Method Investments | 7,000 | |||
Notes Receivable [Member] | ||||
Other Investments [Abstract] | ||||
Proceeds from Sale of Equity Method Investments | 7,000 | |||
Trail West Holdings [Member] | ||||
Schedule of Investments [Line Items] | ||||
Equity Method Investment, Underlying Equity in Net Assets | 13,400 | |||
Northwest Natural Gas Company [Member] | ||||
Other Investments [Abstract] | ||||
Life Insurance, Corporate or Bank Owned, Amount | 49,241 | 49,837 | ||
Equity Method Investments | 0 | 0 | ||
Other Investments | 0 | 0 | ||
Total Other investments | $ 49,241 | $ 49,837 |
Business Combinations (Details)
Business Combinations (Details) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020USD ($)number | Dec. 31, 2019USD ($) | May 31, 2020USD ($) | |
Business Acquisition [Line Items] | |||
Goodwill | $ 69,225 | $ 49,929 | |
Sunriver [Member] | |||
Business Acquisition [Line Items] | |||
Business Combination, Pro Forma Information, Revenue of Acquiree since Acquisition Date, Actual | 6,600 | ||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Current Assets | $ 222 | ||
Business Combination, Consideration Transferred | $ 55,000 | ||
Business Acquisition, Connections of Acquired Business | 9,400 | ||
Goodwill | $ 41,100 | 41,054 | |
Business Acquisition, Goodwill, Expected Tax Deductible Amount | 50,000 | ||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Property, Plant, and Equipment | 12,866 | ||
Business Combination Recognized Identifiable Assets Acquired and Liabilities Assumed, Deferred Tax Assets | 828 | ||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Current Liabilities | (22) | ||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Assets | $ 54,948 | ||
Business Combination, Pro Forma Information, Earnings or Loss of Acquiree since Acquisition Date, Actual | 1,600 | ||
Other insignificant acquisitions [Member] | |||
Business Acquisition [Line Items] | |||
Business Combination, Consideration Transferred | $ 1,500 | $ 2,000 | |
Number of Businesses Acquired | number | 3 | ||
Suncadia & T&W | |||
Business Acquisition [Line Items] | |||
Business Combination, Consideration Transferred | $ 38,100 | ||
Goodwill | 18,200 | ||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Intangible Assets, Other than Goodwill | 0 | ||
Business Acquisition, Goodwill, Expected Tax Deductible Amount | $ 16,500 | ||
Number of Businesses Acquired | number | 2 |
Derivative Instruments - Narrat
Derivative Instruments - Narrative (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Derivative [Line Items] | ||
Derivative, Gain on Derivative | $ 2.3 | $ 17.9 |
Unrealized Gain (Loss) on Derivatives | 13.1 | |
Derivative, Fair Value, Net | (12.8) | 7.5 |
Northwest Natural Gas Company [Member] | ||
Derivative [Line Items] | ||
Derivative Asset, Fair Value, Amount Not Offset Against Collateral | 14.1 | 9.4 |
Derivative Liability, Fair Value, Amount Not Offset Against Collateral | $ 1.3 | $ 1.9 |
Northwest Natural Gas Company [Member] | Gas Year 2019 - 2020 [Member] | Financial [Member] | ||
Derivative [Line Items] | ||
TargetHedgeAchieved | 52.00% | |
Northwest Natural Gas Company [Member] | Gas Year 2019 - 2020 [Member] | Physical [Member] | ||
Derivative [Line Items] | ||
TargetHedgeAchieved | 19.00% | |
Northwest Natural Gas Company [Member] | Gas Year 2020 - 2021 | Financial [Member] | ||
Derivative [Line Items] | ||
TargetHedgeAchieved | 53.00% | |
Northwest Natural Gas Company [Member] | Gas Year 2020 - 2021 | Physical [Member] | ||
Derivative [Line Items] | ||
TargetHedgeAchieved | 17.00% |
Derivative Instruments - Schedu
Derivative Instruments - Schedule of Notional Amounts (Details) - Northwest Natural Gas Company [Member] therm in Thousands, $ in Thousands | Dec. 31, 2020USD ($)therm | Dec. 31, 2019USD ($)therm |
Natural Gas Therms [Member] | Financial [Member] | ||
Derivative [Line Items] | ||
Derivative, Nonmonetary Notional Amount | 784,400 | 651,540 |
Natural Gas Therms [Member] | Physical [Member] | ||
Derivative [Line Items] | ||
Derivative, Nonmonetary Notional Amount | 457,593 | 512,849 |
Foreign Exchange Contract [Member] | ||
Derivative [Line Items] | ||
Derivative, Notional Amount | $ | $ 5,896 | $ 6,650 |
Derivative Instruments - Sche_2
Derivative Instruments - Schedule of Unrealized and Realized Gain/Loss (Details) - Northwest Holdings and Northwest Natural [Member] - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Foreign Exchange Contract [Member] | ||
Derivative [Line Items] | ||
Gain (Loss) on Derivative Instruments, Net, Pretax | $ 0 | $ 0 |
Foreign Exchange Contract [Member] | Cost of Sales [Member] | ||
Derivative [Line Items] | ||
Gain (Loss) on Derivative Instruments, Net, Pretax | 312 | 102 |
Foreign Exchange Contract [Member] | Sales [Member] | ||
Derivative [Line Items] | ||
Gain (Loss) on Derivative Instruments, Net, Pretax | 0 | 0 |
Natural Gas Commodity [Member] | ||
Derivative [Line Items] | ||
Gain (Loss) on Derivative Instruments, Net, Pretax | (176) | (81) |
Natural Gas Commodity [Member] | Cost of Sales [Member] | ||
Derivative [Line Items] | ||
Gain (Loss) on Derivative Instruments, Net, Pretax | 7,342 | (9,863) |
Natural Gas Commodity [Member] | Sales [Member] | ||
Derivative [Line Items] | ||
Gain (Loss) on Derivative Instruments, Net, Pretax | (1,212) | (568) |
Deferred Derivative Gain (Loss) [Member] | Foreign Exchange Contract [Member] | ||
Derivative [Line Items] | ||
Gain (Loss) on Derivative Instruments, Net, Pretax | (312) | (102) |
Deferred Derivative Gain (Loss) [Member] | Natural Gas Commodity [Member] | ||
Derivative [Line Items] | ||
Gain (Loss) on Derivative Instruments, Net, Pretax | $ (6,306) | $ (9,376) |
- Schedule of Credit Rating Dow
- Schedule of Credit Rating Downgrade Scenarios (Details) - USD ($) | Dec. 31, 2020 | Dec. 31, 2019 |
Collateral Posted with NW Natural Counterparties [Member] | ||
Description Of Credit Risk Related Contingent Features [Line Items] | ||
Collateral Already Posted, Aggregate Fair Value | $ 0 | $ 0 |
Collateral Posted by NW Natural Counterparties [Member] | ||
Description Of Credit Risk Related Contingent Features [Line Items] | ||
Collateral Already Posted, Aggregate Fair Value | 0 | $ 0 |
Northwest Natural Gas Company [Member] | Moody's, A3 Rating [Member] | ||
Description Of Credit Risk Related Contingent Features [Line Items] | ||
With Adequate Assurance Calls | 0 | |
Without Adequate Assurance Calls | 0 | |
Northwest Natural Gas Company [Member] | Moody's, Baa1 Rating [Member] | ||
Description Of Credit Risk Related Contingent Features [Line Items] | ||
With Adequate Assurance Calls | 0 | |
Without Adequate Assurance Calls | 0 | |
Northwest Natural Gas Company [Member] | Moody's, Baa2 Rating [Member] | ||
Description Of Credit Risk Related Contingent Features [Line Items] | ||
With Adequate Assurance Calls | 0 | |
Without Adequate Assurance Calls | 0 | |
Northwest Natural Gas Company [Member] | Moody's, Baa3 Rating [Member] | ||
Description Of Credit Risk Related Contingent Features [Line Items] | ||
With Adequate Assurance Calls | 0 | |
Without Adequate Assurance Calls | 0 | |
Northwest Natural Gas Company [Member] | Speculative [Member] | ||
Description Of Credit Risk Related Contingent Features [Line Items] | ||
With Adequate Assurance Calls | 51,000 | |
Without Adequate Assurance Calls | $ 51,000 |
Commitments and Contingencies -
Commitments and Contingencies - Narrative (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Leases [Abstract] | |||
Property, Plant and Equipment, Gross | $ 3,734,039 | $ 3,476,746 | |
Other Liabilities, Noncurrent | 120,767 | 123,388 | |
Northwest Natural Gas Company [Member] | |||
Leases [Abstract] | |||
Unrecorded Unconditional Purchase Obligation, Purchases | 81,800 | 82,200 | $ 82,600 |
Unrecorded Unconditional Purchase Obligation Offsetting Sales | 4,800 | 4,300 | $ 4,300 |
Property, Plant and Equipment, Gross | 3,683,776 | 3,456,075 | |
Other Liabilities, Noncurrent | $ 120,309 | $ 123,260 |
Commitments and Contingencies_2
Commitments and Contingencies - Schedule of Gas Purchase and Pipeline Capacity Purchase and Release Commitments (Details) - Northwest Natural Gas Company [Member] $ in Thousands | Dec. 31, 2020USD ($) |
Gas Purchase Agreements [Member] | |
Unrecorded Unconditional Purchase Obligation [Line Items] | |
2018 | $ 83,475 |
2019 | 0 |
2020 | 0 |
2021 | 0 |
2022 | 0 |
Thereafter | 0 |
Total | 83,475 |
Less: Amount representing interest | 25 |
Total at present value | 83,450 |
Pipeline Capacity Purchase Agreements [Member] | |
Unrecorded Unconditional Purchase Obligation [Line Items] | |
2018 | 77,748 |
2019 | 80,646 |
2020 | 78,503 |
2021 | 73,472 |
2022 | 71,313 |
Thereafter | 516,291 |
Total | 897,973 |
Less: Amount representing interest | 89,303 |
Total at present value | 808,670 |
Pipeline Capacity Release Agreements [Member] | |
Unrecorded Unconditional Purchase Obligation [Line Items] | |
2018 | 7,892 |
2019 | 7,182 |
2020 | 3,632 |
2021 | 3,632 |
2022 | 3,027 |
Thereafter | 0 |
Total | 25,365 |
Less: Amount representing interest | 162 |
Total at present value | $ 25,203 |
Environmental Matters (Details)
Environmental Matters (Details) | 3 Months Ended | 9 Months Ended | 12 Months Ended |
Dec. 31, 2019USD ($) | Sep. 30, 2019USD ($) | Dec. 31, 2020USD ($) | |
Accrual for Environmental Loss Contingencies [Abstract] | |||
Site Contingency, Number of Remediation Projects | 2 | ||
Environmental Regulatory Table [Abstract] | |||
Regulatory Assets, Current | $ 41,929,000 | $ 31,745,000 | |
Regulatory Assets, Noncurrent | 343,146,000 | $ 348,927,000 | |
Prudent Costs Deferred During Period | 3,000,000 | $ 1,500,000 | |
Insurance Proceeds, Amortization Period | 10 years 6 months | ||
Cost Recovery Period | 3 years | ||
WASHINGTON | |||
Environmental Activity [Line Items] | |||
Remediation Recovery Percentage | 3.30% | ||
Northwest Natural Gas Company [Member] | |||
Environmental Activity [Line Items] | |||
Remediation Recovery Percentage | 96.70% | ||
Accrual for Environmental Loss Contingencies [Abstract] | |||
Environmental Current Liabilities | 39,225,000 | $ 28,241,000 | |
Environmental Noncurrent Liabilities | 96,797,000 | 92,281,000 | |
EPA Record Of Decision, Clean-Up Costs, Portland Harbor | 1,050,000,000 | ||
Annual Tariff Rider Collection | 5,000,000 | ||
Environmental Settlement Insurance Proceeds Received To Date | 150,000,000 | ||
Annual insurance proceeds to appy against remediation costs | 5,000,000 | ||
Insurance Proceeds Applied To Prudently Incurred Remediation Costs | 83,200,000 | ||
Environmental Regulatory Table [Abstract] | |||
Regulatory Assets, Current | 41,929,000 | 31,745,000 | |
Regulatory Assets, Noncurrent | 343,146,000 | 348,887,000 | |
Annual Insurance Proceeds to Apply Against Remediation Costs | 5,000,000 | ||
Total Annual Remediation Expense and Interest | 10,000,000 | ||
Northwest Natural Gas Company [Member] | Minimum [Member] | |||
Accrual for Environmental Loss Contingencies [Abstract] | |||
EPA Record Of Decision, Clean-Up Costs, Portland Harbor | (0.30) | ||
Northwest Natural Gas Company [Member] | Maximum [Member] | |||
Accrual for Environmental Loss Contingencies [Abstract] | |||
EPA Record Of Decision, Clean-Up Costs, Portland Harbor | 0.50 | ||
Northwest Natural Gas Company [Member] | Gasco Siltronic Sediments [Member] | |||
Accrual for Environmental Loss Contingencies [Abstract] | |||
Environmental Current Liabilities | 11,632,000 | 7,596,000 | |
Environmental Noncurrent Liabilities | 46,082,000 | 43,725,000 | |
Northwest Natural Gas Company [Member] | Portland Harbor Other [Member] | |||
Accrual for Environmental Loss Contingencies [Abstract] | |||
Environmental Current Liabilities | 2,543,000 | 1,942,000 | |
Environmental Noncurrent Liabilities | 6,920,000 | 7,020,000 | |
Northwest Natural Gas Company [Member] | Gasco Upland [Member] | |||
Accrual for Environmental Loss Contingencies [Abstract] | |||
Environmental Current Liabilities | 14,203,000 | 14,887,000 | |
Environmental Noncurrent Liabilities | 43,616,000 | 40,250,000 | |
Northwest Natural Gas Company [Member] | Central Service Center [Member] | |||
Accrual for Environmental Loss Contingencies [Abstract] | |||
Environmental Current Liabilities | 0 | 0 | |
Environmental Noncurrent Liabilities | 0 | 0 | |
Northwest Natural Gas Company [Member] | Front Street [Member] | |||
Accrual for Environmental Loss Contingencies [Abstract] | |||
Environmental Current Liabilities | 10,847,000 | 3,816,000 | |
Environmental Noncurrent Liabilities | 0 | 1,107,000 | |
Northwest Natural Gas Company [Member] | Oregon Steel Mills [Member] | |||
Accrual for Environmental Loss Contingencies [Abstract] | |||
Environmental Current Liabilities | 0 | 0 | |
Environmental Noncurrent Liabilities | 179,000 | 179,000 | |
Northwest Natural Gas Company [Member] | Environmental Restoration Costs [Member] | |||
Environmental Regulatory Table [Abstract] | |||
Environmental Regulatory Deferred Cost and Interest | 36,673,000 | 44,516,000 | |
Environmental Regulatory Accrued Site Liabilities | 135,662,000 | 120,352,000 | |
Environmental Regulatory Insurance Proceeds and Interest | (79,949,000) | (69,253,000) | |
Regulatory Assets, Current | 4,762,000 | 4,992,000 | |
Regulatory Assets, Noncurrent | 87,624,000 | 90,623,000 | |
Regulatory Assets | 92,386,000 | 95,615,000 | |
Northwest Natural Gas Company [Member] | Environmental Restoration Costs [Member] | Front Street [Member] | |||
Environmental Regulatory Table [Abstract] | |||
Environmental Regulatory Accrued Site Liabilities | $ 400,000 | 200,000 | |
Front Street [Member] | Northwest Natural Gas Company [Member] | |||
Accrual for Environmental Loss Contingencies [Abstract] | |||
Undiscounted Environmental Remediation Expense | 7,100,000 | ||
Liability For Studies And Design Costs | $ 4,900,000 | ||
Portland Harbor [Member] | |||
Accrual for Environmental Loss Contingencies [Abstract] | |||
Number Of Potentially Responsible Parties | one hundred | ||
Gasco Siltronic Sediments [Member] | Minimum [Member] | |||
Accrual for Environmental Loss Contingencies [Abstract] | |||
Environmental Exit Costs, Anticipated Cost | $ 51,300,000 | ||
Gasco Siltronic Sediments [Member] | Maximum [Member] | |||
Accrual for Environmental Loss Contingencies [Abstract] | |||
Environmental Exit Costs, Anticipated Cost | 350,000,000 | ||
Gasco Siltronic Sediments [Member] | Northwest Natural Gas Company [Member] | |||
Accrual for Environmental Loss Contingencies [Abstract] | |||
Environmental Project Liability | $ 51,300,000 | ||
Yakama Nation [Member] | Portland Harbor Other [Member] | |||
Accrual for Environmental Loss Contingencies [Abstract] | |||
Trustee Council Members - Number of Claimants | 1 | ||
Site Contingency, Number of Other Third-Party Defendants | 29 | ||
NRD Liability Claim Yakama Nation | $ 300,000 | ||
Number of Amended Complaints Filed | 2 |
Discontinued Operations (Detail
Discontinued Operations (Details) - USD ($) | 12 Months Ended | ||||
Mar. 31, 2022 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||
Federal Statutory Income Tax Rate, Percent | 21.00% | 35.00% | |||
Disposal Group, Including Discontinued Operation, Classified Balance Sheet Disclosures [Abstract] | |||||
Discontinued operations - total assets | $ 15,100,000 | $ 13,300,000 | |||
Discontinued operations - current liabilities | $ 0 | 13,709,000 | |||
Discontinued Operation, Income Statement Disclosures [Abstract] | |||||
Income (Loss) from Discontinued Operations, Net of Tax, Attributable to Parent, Total | $ 6,508,000 | $ (3,576,000) | $ (2,742,000) | ||
Loss from discontinued operations per share of common stock | |||||
Basic (in dollars per share) | $ 0.21 | $ (0.12) | $ (0.10) | ||
Diluted (in dollars per share) | $ 0.21 | $ (0.12) | $ (0.09) | ||
Gain on sale of discontinued operations, net of tax | $ 5,902,000 | $ 0 | $ 0 | ||
Proceeds from sale of discontinued operations | 12,500,000 | 0 | 0 | ||
Gill Ranch [Member] | Discontinued Operations, Held-for-sale or Disposed of by Sale [Member] | |||||
Disposal Group, Including Discontinued Operation, Classified Balance Sheet Disclosures [Abstract] | |||||
Accounts receivable | 333,000 | ||||
Inventories | 695,000 | ||||
Other current assets | 457,000 | ||||
Property, plant, and equipment, net | 13,284,000 | ||||
Disposal Group Including Discontinued Operation Operating Lease Right-of-use Asset | 118,000 | ||||
Other non-current assets | 247,000 | ||||
Discontinued operations - total assets | 15,134,000 | ||||
Accounts payable | 1,250,000 | ||||
Other current liabilities | 848,000 | ||||
Disposal Group, Including Discontinued Operation, Lease Liability, Current | 116,000 | ||||
Other non-current liabilities | 11,495,000 | ||||
Total discontinued operations liabilities - current liabilities(1) | 0 | 13,709,000 | |||
Gill Ranch [Member] | Discontinued Operations, Held-for-sale [Member] | |||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||
Discontinued Operation, Gain (Loss) on Disposal of Discontinued Operation, Net of Tax | 5.9 | ||||
Discontinued Operation, Income Statement Disclosures [Abstract] | |||||
Disposal Group, Including Discontinued Operation, Revenue | 10,193,000 | 5,301,000 | 3,579,000 | ||
Disposal Group, Including Discontinued Operation, Operating Expense | 7,931,000 | 8,587,000 | 5,771,000 | ||
Disposal Group, Including Discontinued Operation, General and Administrative Expense | 198,000 | 219,000 | 479,000 | ||
Disposal Group, Including Discontinued Operation, Depreciation and Amortization | 391,000 | 423,000 | 430,000 | ||
Total Expenses Discontinued Operations | 9,368,000 | 10,160,000 | 7,289,000 | ||
Discontinued Operation, Income (Loss) from Discontinued Operation, before Income Tax, Total | 825,000 | (4,859,000) | (3,710,000) | ||
Income tax benefit | 2,344,000 | (1,283,000) | (968,000) | ||
Income (Loss) from Discontinued Operations, Net of Tax, Attributable to Parent, Total | $ 6,508,000 | $ (3,576,000) | $ (2,742,000) | ||
Loss from discontinued operations per share of common stock | |||||
Basic (in dollars per share) | $ 0.21 | $ (0.12) | $ (0.10) | ||
Diluted (in dollars per share) | $ 0.21 | $ (0.12) | $ (0.09) | ||
Gain on sale of discontinued operations, net of tax | $ 8,027,000 | $ 0 | $ 0 | ||
Discontinued Operation, Income (Loss) from Discontinued Operation, before Income Tax, including gain on sale | 8,852,000 | (4,859,000) | (3,710,000) | ||
Discontinued Operation, Tax Effect of Gain (Loss) from Disposal of Discontinued Operation | 2,100,000 | ||||
Proceeds from sale of discontinued operations | 13,500,000 | 1,000,000 | |||
Disposal Group, Including Discontinued Operation, Other Expense | $ 848,000 | 931,000 | $ 609,000 | ||
Transferred Subsidiaries - NW Natural Discontinued Operations [Member] | Discontinued Operations, Disposed of by Means Other than Sale [Member] | |||||
Discontinued Operation, Income Statement Disclosures [Abstract] | |||||
Disposal Group, Including Discontinued Operation, Revenue | 3,016,000 | ||||
Disposal Group, Including Discontinued Operation, Operating Expense | 4,151,000 | ||||
Disposal Group, Including Discontinued Operation, General and Administrative Expense | 448,000 | ||||
Disposal Group, Including Discontinued Operation, Depreciation and Amortization | 420,000 | ||||
Total Expenses Discontinued Operations | 5,361,000 | ||||
Discontinued Operation, Income (Loss) from Discontinued Operation, before Income Tax, Total | (2,345,000) | ||||
Income tax benefit | (622,000) | ||||
Income (Loss) from Discontinued Operations, Net of Tax, Attributable to Parent, Total | (1,723,000) | ||||
Loss from discontinued operations per share of common stock | |||||
Disposal Group, Including Discontinued Operation, Other Expense | $ 342,000 | ||||
Gill Ranch [Member] | |||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||
Percent ownership | 75.00% | ||||
Forecast [Member] | Maximum [Member] | |||||
Loss from discontinued operations per share of common stock | |||||
Proceeds from sale of discontinued operations | $ 15,000,000 |
Condensed Financials Standalo_3
Condensed Financials Standalone Holdco Condensed Financials Standalone Holdco (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | ||||
Dec. 31, 2018 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2020 | Dec. 31, 2019 | |
Income Statement [Abstract] | ||||||
Operations and maintenance | $ 180,129 | $ 178,191 | $ 156,698 | |||
Total operating expenses | 625,328 | 602,898 | 573,981 | |||
Income from operations | 148,351 | 143,474 | 132,162 | |||
Deferred income taxes | 18,667 | 6,317 | 14,356 | |||
Other income (expense), net | (13,944) | (22,836) | (3,601) | |||
Interest expense, net | 43,052 | 42,685 | 37,059 | |||
Income before income taxes | 91,355 | 77,953 | 91,502 | |||
Income Tax Expense (Benefit) | 21,082 | 12,642 | 24,191 | |||
Net income | 76,781 | 61,735 | 64,569 | |||
Balance Sheet Related Disclosures [Abstract] | ||||||
Cash and cash equivalents | $ 12,633 | 9,648 | 12,633 | 12,633 | $ 30,168 | $ 9,648 |
Income taxes receivable | 6,000 | 256 | ||||
Other current assets | 44,741 | 38,004 | ||||
Total current assets | 323,245 | 293,692 | ||||
Other investments | 49,259 | 63,333 | ||||
Other non-current assets | 49,129 | 38,464 | ||||
Total non-current assets | 3,433,134 | 3,134,762 | ||||
Total assets | 3,756,379 | 3,428,454 | ||||
Short-term debt | 304,525 | 149,100 | ||||
Accounts payable | 97,966 | 113,370 | ||||
Taxes accrued | 13,812 | 11,971 | ||||
Other current liabilities | 52,330 | 62,705 | ||||
Interest accrued | 7,441 | 7,451 | ||||
Total current liabilities | 627,083 | 482,173 | ||||
Long-term debt | (860,081) | (805,955) | ||||
Total deferred credits and other non-current liabilities | 1,380,482 | 1,274,327 | ||||
Common stock - no par value | 565,112 | 558,282 | ||||
Retained earnings | 336,523 | 318,450 | ||||
Total equity | 888,733 | 865,999 | ||||
Total liabilities and equity | 3,756,379 | 3,428,454 | ||||
Statement of Cash Flows [Abstract] | ||||||
Net income | 76,781 | 61,735 | 64,569 | |||
Deferred income taxes | 5,005 | 5,445 | 11,453 | |||
Other | 6,942 | (13,907) | (1,596) | |||
Receivables, net | 16,799 | (5,844) | (181) | |||
Income and other taxes | (10,710) | 4,528 | (16,904) | |||
Accounts payable | (15,910) | (16,485) | 16,792 | |||
Other, net | (12,467) | (4,140) | (3,419) | |||
Cash provided by operating activities | 143,020 | 185,298 | 168,771 | |||
Cash used in investing activities | (294,277) | (303,781) | (217,453) | |||
Proceeds from stock options exercised | 68 | 2,015 | 1,546 | |||
Proceeds from Issuance of Common Stock | 0 | 92,956 | 0 | |||
Changes in other short-term debt, net | (39,600) | (68,520) | 163,274 | |||
Cash dividend payments on common stock | (55,420) | (53,339) | (51,311) | |||
Other | (3,296) | (2,614) | (715) | |||
Cash provided by (used in) financing activities | 171,777 | 115,498 | 57,843 | |||
Cash and cash equivalents, beginning of period | 9,648 | 12,633 | 3,472 | |||
Cash and cash equivalents, end of period | 12,633 | 30,168 | 9,648 | 12,633 | ||
Total Dividends Paid to Registrant, Consolidated Subsidiaries | 0 | 74,400 | 88,400 | |||
Parent Company, Condensed Statement of Cash Flows [Member] | ||||||
Income Statement [Abstract] | ||||||
Equity in earnings of subsidiaries, net of tax | 36,469 | 78,450 | 64,328 | |||
Deferred income taxes | 7 | 20 | (198) | |||
Net income | 35,839 | 76,781 | 61,735 | |||
Balance Sheet Related Disclosures [Abstract] | ||||||
Cash and cash equivalents | 4,011 | 11,267 | 4,011 | 4,011 | 11,267 | 119 |
Statement of Cash Flows [Abstract] | ||||||
Net income | 35,839 | 76,781 | 61,735 | |||
Equity in earnings of subsidiaries, net of tax | 36,469 | 78,450 | 64,328 | |||
Other | 15 | 65 | 66 | |||
Receivables, net | (585) | (12,788) | 846 | |||
Income and other taxes | (9,034) | (7,451) | 4,325 | |||
Accounts payable | 9,304 | 8,809 | (5,177) | |||
Increase (Decrease) in Interest Payable, Net | 32 | 77 | (32) | |||
Other, net | 44 | 364 | 346 | |||
Cash provided by operating activities | (935) | 42,086 | 50,330 | |||
Contributions to subsidiaries | (1,804) | (47,194) | (157,591) | |||
Proceeds from Equity Method Investment, Distribution, Return of Capital | 0 | 19,000 | 35,000 | |||
Cash used in investing activities | (1,804) | (28,194) | (122,591) | |||
Proceeds from stock options exercised | 0 | 68 | 2,015 | |||
Proceeds from Issuance of Common Stock | 0 | 0 | 92,956 | |||
Changes in other short-term debt, net | 0 | 49,000 | 24,000 | |||
SEC Schedule, 12-04, Cash Dividends Paid to Registrant, Consolidated Subsidiaries | 0 | 55,387 | 53,439 | |||
Cash dividend payments on common stock | (12,923) | (55,420) | (53,339) | |||
Capital contributions | 20,000 | 0 | 0 | |||
Other | (327) | 3,608 | 2,737 | |||
Cash provided by (used in) financing activities | 6,750 | (2,744) | 68,369 | |||
Increase (decrease) in cash and cash equivalents | 4,011 | 11,148 | (3,892) | |||
Cash and cash equivalents, beginning of period | 119 | 4,011 | 0 | |||
Cash and cash equivalents, end of period | 4,011 | 11,267 | 119 | 4,011 | ||
Cash Dividends Paid to Registrant, Consolidated Subsidiaries, Gross | 88,400 | |||||
Parent Company, Condensed Balance Sheet [Member] | ||||||
Balance Sheet Related Disclosures [Abstract] | ||||||
Cash and cash equivalents | 119 | 119 | 11,267 | 119 | ||
Receivables from affiliates | 14,738 | 1,950 | ||||
Income taxes receivable | 6,000 | 256 | ||||
Other current assets | 6,223 | 4,600 | ||||
Total current assets | 38,228 | 6,925 | ||||
Investments in subsidiaries | 939,741 | 888,477 | ||||
Other investments | 17 | 24 | ||||
Deferred Income Tax Assets, Net | 171 | 191 | ||||
Other non-current assets | 213 | 245 | ||||
Total non-current assets | 940,142 | 888,937 | ||||
Total assets | 978,370 | 895,862 | ||||
Short-term debt | 73,000 | 24,000 | ||||
Accounts payable | 119 | 612 | ||||
Payables to affiliates | 12,912 | 3,697 | ||||
Taxes accrued | 0 | 127 | ||||
Other current liabilities | 49 | 37 | ||||
Total current liabilities | 86,080 | 28,473 | ||||
Common stock - no par value | 847,193 | 840,364 | ||||
Retained earnings | 45,097 | 27,025 | ||||
Total equity | 892,290 | 867,389 | ||||
Total liabilities and equity | $ 978,370 | $ 895,862 | ||||
Statement of Cash Flows [Abstract] | ||||||
Cash and cash equivalents, beginning of period | 119 | |||||
Cash and cash equivalents, end of period | 11,267 | 119 | ||||
Parent Company, Condensed Income Statement [Member] | ||||||
Income Statement [Abstract] | ||||||
Operations and maintenance | 771 | 2,747 | 838 | |||
Total operating expenses | 771 | 2,747 | 838 | |||
Income from operations | (771) | (2,747) | (838) | |||
Equity in earnings of subsidiaries, net of tax | (36,500) | (78,450) | (64,328) | (36,469) | ||
Other income (expense), net | 57 | (22) | 36 | |||
Interest expense, net | (1,557) | (726) | (53) | |||
Income before income taxes | 76,179 | 60,833 | 35,614 | |||
Income Tax Expense (Benefit) | (602) | (902) | (225) | |||
Net income | 76,781 | 61,735 | 35,839 | |||
Statement of Cash Flows [Abstract] | ||||||
Net income | 76,781 | 61,735 | 35,839 | |||
Equity in earnings of subsidiaries, net of tax | $ (36,500) | $ (78,450) | $ (64,328) | $ (36,469) |
Valuation Allowances and Rese_3
Valuation Allowances and Reserves (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Entity Information [Line Items] | |||
Allowance for Doubtful Accounts Receivable, beginning of period | $ 673 | $ 977 | $ 956 |
Valuation Allowances and Reserves, Charged to Cost and Expense | 890 | 450 | 680 |
Valuation Allowances and Reserves, Charged to Other Accounts | 2,333 | 0 | 0 |
SEC Schedule, 12-09, Valuation Allowances and Reserves, Deduction | 677 | 754 | 659 |
Allowance for Doubtful Accounts Receivable, end of period | 3,219 | 673 | 977 |
Northwest Natural Gas Company [Member] | |||
Entity Information [Line Items] | |||
Allowance for Doubtful Accounts Receivable, beginning of period | 672 | 975 | 956 |
Valuation Allowances and Reserves, Charged to Cost and Expense | 779 | 450 | 678 |
Valuation Allowances and Reserves, Charged to Other Accounts | 2,333 | 0 | 0 |
SEC Schedule, 12-09, Valuation Allowances and Reserves, Deduction | 677 | 753 | 659 |
Allowance for Doubtful Accounts Receivable, end of period | $ 3,107 | $ 672 | $ 975 |