APS 2011 Annual Report Download - page 190

ARIZONA PUBLIC SERVICE COMPANY
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
165
The components of the net deferred income tax liability were as follows (dollars in
thousands):
December 31,
2011 2010
DEFERRED TAX ASSETS
Regulatory liabilities:
Asset retirement obligation and
removal costs $ 236,739 $ 222,448
Deferred fuel and purchased power -- 23,089
Renewable energy standard 19,722 18,749
Unamortized investment tax credits 31,460 642
Other 33,155 27,718
Risk management activities 117,765 124,731
Pension and other postretirement
liabilities 494,744 303,055
Renewable energy incentives 57,901 37,327
Credit and loss carryforwards 106,668 --
Other 99,176 97,989
Total deferred tax assets 1,197,330 855,748
DEFERRED TAX LIABILITIES
Plant-related (2,446,908) (2,210,976)
Risk management activities (30,171) (30,125)
Regulatory assets:
Allowance for equity funds used
during construction (33,347) (28,276)
Deferred fuel and purchased power (10,884) --
Deferred fuel and purchased power –
mark-to-market (30,559) (30,276)
Pension and other postretirement
benefits (408,716) (264,313)
Other (73,087) (77,078)
Other (4,763) (5,316)
Total deferred tax liabilities (3,038,435) (2,646,360)
Deferred income taxes – net $ (1,841,105) $ (1,790,612)
As of December 31, 2011, the deferred tax assets for credit and loss carryforwards relate to
federal general business credits ($60 million) and federal net operating losses ($37 million), both of
which first begin to expire in 2031, and other federal and state loss carryforwards ($10 million)
which first begin to expire in 2013.