Exelon 2014 Annual Report Download - page 79

Year Ended December 31, 2014 Compared to Year Ended December 31, 2013. The nuclear fleet capacity factor, which excludes
Salem, increased in 2014 compared to 2013. While total days offline are greater in 2014 as compared to 2013, the larger capacity
units were online for more days in 2014. Additionally, with the addition of the CENG nuclear facilities there were more days offline in
2014 associated with units where Exelon’s ownership percentage diminishes the impact on capacity factor. For 2014 and 2013,
planned refueling outage days totaled 275 and 233, respectively, and non-refueling outage days totaled 92 and 75, respectively.
Production cost per MWh was lower in 2014 compared to 2013 due to elimination of the SNF disposal fee in 2014, partially offset by
inclusion of the ownership share of CENG.
Year Ended December 31, 2013 Compared to Year Ended December 31, 2012. The nuclear fleet capacity factor, which excludes
Salem, increased primarily due to a lower number of planned refueling outage days in 2013, partially offset by a higher number of
non-refueling outage days. For 2013 and 2012, planned refueling outage days totaled 233 and 274, respectively, and non-refueling
outage days totaled 75 and 73, respectively. Higher nuclear fuel costs and higher plant operating and maintenance costs, partially
offset by higher number of net MWhs generated resulted in a higher production cost per MWh during 2013 as compared to 2012.
Operating and Maintenance Expense
The changes in operating and maintenance expense for 2014 compared to 2013, consisted of the following:
Increase
(Decrease) (a)
Impairment and related charges of certain generating assets (b) .............................................. $ 506
Labor, other benefits, contracting and materials (c) ......................................................... 361
Accretion expense ................................................................................... 78
Corporate allocations (d) .............................................................................. 69
Regulatory fees and assessments ...................................................................... 51
Maryland merger commitments ........................................................................ 44
Nuclear refueling outage costs, including the co-owned Salem plant (e) ........................................ 54
Increase in asbestos bodily injury reserve ................................................................ 16
Midwest Generation bankruptcy charges ................................................................ (26)
ARO update ........................................................................................ (29)
Merger and integration costs .......................................................................... (29)
Pension and non-pension postretirement benefits expense ................................................. (81)
Other .............................................................................................. 18
Increase in operating and maintenance expense .......................................................... $1,032
(a) On April 1, 2014, Generation assumed operational control of CENG’s nuclear fleet. As a result, the 2014 operating results include CENG’s results of operations on a
fully consolidated basis from April 1, 2014 through December 31, 2014.
(b) Reflects the operating and maintenance expense associated with the impairment of certain generating assets held-for-sale, Upstream assets, and wind generating
assets during 2014.
(c) Reflects an increase of labor, other benefits, contracting and materials costs primarily due to the inclusion of CENG beginning April 1, 2014. Also includes cost of
sales of our other business activities that are not allocated to a region.
(d) Reflects an increased share of corporate allocated costs primarily due to the 2014 CENG integration.
(e) Reflects the impact of increased nuclear outage days primarily due to the inclusion of CENG beginning April 1, 2014.
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