Duke Energy 2011 Annual Report Download - page 166

PART II
DUKE ENERGY CORPORATION •DUKE ENERGY CAROLINAS, LLC •DUKE ENERGY OHIO, INC. •DUKE ENERGY INDIANA, INC.
Combined Notes to Consolidated Financial Statements – (Continued)
in Other within Deferred Credits and Other Liabilities on the
Consolidated Balance Sheets.
8. JOINT OWNERSHIP OF GENERATING AND
TRANSMISSION FACILITIES
Duke Energy Carolinas, along with North Carolina Municipal
Power Agency Number 1, North Carolina Electric Membership
Corporation and Piedmont Municipal Power Agency, have joint
ownership of Catawba Nuclear Station, which is a facility operated by
Duke Energy Carolinas.
Duke Energy Ohio, Columbus Southern Power Company, and
Dayton Power & Light jointly own electric generating units and related
transmission facilities in Ohio. Duke Energy Kentucky and Dayton
Power & Light jointly own an electric generating unit. At
December 31, 2011, Duke Energy Ohio and WVPA jointly owned
Vermillion Station. Additionally, Duke Energy Indiana is a joint-owner
of Gibson Station Unit No. 5 with WVPA and Indiana Municipal
Power Agency (IMPA), as well as a joint-owner with WVPA and
IMPA of certain Indiana transmission property and local facilities.
These facilities constitute part of the integrated transmission and
distribution systems, which are operated and maintained by Duke
Energy Indiana.
The Duke Energy registrant’s share of jointly-owned plant or facilities included on the December 31, 2011 Consolidated Balance Sheets is
as follows:
(in millions)
Ownership
Share
Property, Plant,
and Equipment
Accumulated
Depreciation
Construction Work
in Progress
Duke Energy
Duke Energy Carolinas
Production:
Catawba Nuclear Station (Units 1 and 2)(a) 19.25% $ 880 $ 427 $ 5
Duke Energy Ohio
Production:
Miami Fort Station (Units 7 and 8)(b) 64.0 612 190 4
W.C. Beckjord Station (Unit 6)(b)(d) 37.5 — — —
J.M. Stuart Station(b)(c) 39.0 805 251 17
Conesville Station (Unit 4)(b)(c) 40.0 295 51 14
W.M. Zimmer Station(b) 46.5 1,318 559 39
Killen Station(b)(c) 33.0 304 139 3
Vermillion(b)(e) 75.0 174 61 —
Transmission(a) Various 104 54 —
Duke Energy Kentucky
Production:
East Bend Station(a) 69.0 434 234 6
Duke Energy Indiana
Production:
Gibson Station (Unit 5)(a) 50.05 305 141 3
Transmission and local facilities(a) Various 3,335 1,448 —
International Energy
Production:
Brazil — Canoas I and II 47.2 332 91 —
(a) Included in USFE&G segment.
(b) Included in Commercial Power segment.
(c) Station is not operated by Duke Energy Ohio.
(d) During the 2010 and 2009, Duke Energy Ohio recorded impairment charges to write-down its share of W.C. Beckjord Station to fair value. See Note 12 forfurtherdetails.
(e) After receiving approval from the FERC and the IURC, on January 12, 2012, Duke Energy Ohio completed the sale its 75% ownership in the Vermillion Generating Station. Upon the
close, Duke Energy Indiana and WVPA held 62.5% and 37.5% interests, respectively. See Notes 2 and 5 for further discussion of the Vermillion transaction.
The Duke Energy registrant’s share of revenues and operating
costs of the above jointly owned generating facilities are included
within the corresponding line on the Consolidated Statements of
Operations. Each participant in the jointly owned facilities must
provide its own financing.
9. ASSET RETIREMENT OBLIGATIONS
Asset retirement obligations, which represent legal obligations
associated with the retirement of certain tangible long-lived assets, are
computed as the present value of the projected costs for the future
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