Financial Risk Management Activities (Tables)

3 Months Ended

Mar. 31, 2025

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Schedule of Derivative Instruments Fair Value in Balance Sheets

The following are the fair values of derivative instruments on the Condensed Consolidated Balance Sheets. The following tables also include disclosures for offsetting derivative assets and liabilities which are subject to a master netting or similar agreement. In general, the terms of the agreements provide that in the event of an early termination the counterparties have the right to offset amounts owed or owing under that and any other agreement with the same counterparty. Accordingly, and in

accordance with PSEG’s accounting policy, these positions are offset on the Condensed Consolidated Balance Sheets of PSEG. For additional information see Note 11. Fair Value Measurements.

Substantially all derivative instruments are contracts subject to master netting agreements. Contracts not subject to master netting or similar agreements are immaterial and did not have any collateral posted or received as of March 31, 2025 and December 31, 2024. The following tabular disclosure does not include the offsetting of trade receivables and payables.



	As of March 31, 2025
	PSEG			PSEG Power									Consolidated
	Cash Flow Hedges			Not Designated
Balance Sheet Location	Interest Rate Derivatives			Energy- Related Contracts			Netting (A)			Total PSEG Power			Total Derivatives
	Millions
Derivative Contracts
Current Assets	$	—		$	815		$	(765	)	$	50		$	50
Noncurrent Assets		7			681			(667	)		14			21
Total Mark-to-Market Derivative Assets	$	7		$	1,496		$	(1,432	)	$	64		$	71
Derivative Contracts
Current Liabilities	$	—		$	(1,047	)	$	962		$	(85	)	$	(85	)
Noncurrent Liabilities		(7	)		(684	)		675			(9	)		(16	)
Total Mark-to-Market Derivative (Liabilities)	$	(7	)	$	(1,731	)	$	1,637		$	(94	)	$	(101	)
Total Net Mark-to-Market Derivative Assets (Liabilities)	$	—		$	(235	)	$	205		$	(30	)	$	(30	)



	As of December 31, 2024
	PSEG		PSEG Power									Consolidated
	Cash Flow Hedges		Not Designated
Balance Sheet Location	Interest Rate Derivatives		Energy- Related Contracts			Netting (A)			Total PSEG Power			Total Derivatives
	Millions
Derivative Contracts
Current Assets	$	—	$	403		$	(370	)	$	33		$	33
Noncurrent Assets		32		375			(356	)		19			51
Total Mark-to-Market Derivative Assets	$	32	$	778		$	(726	)	$	52		$	84
Derivative Contracts
Current Liabilities	$	—	$	(448	)	$	443		$	(5	)	$	(5	)
Noncurrent Liabilities		—		(408	)		404			(4	)		(4	)
Total Mark-to-Market Derivative (Liabilities)	$	—	$	(856	)	$	847		$	(9	)	$	(9	)
Total Net Mark-to-Market Derivative Assets (Liabilities)	$	32	$	(78	)	$	121		$	43		$	75

(A)

Represents the netting of fair value balances with the same counterparty (where the right of offset exists) and the application of cash collateral. All cash collateral (received) posted that has been allocated to derivative positions, where the right of offset exists, has been offset on the Condensed Consolidated Balance Sheets. As of March 31, 2025 and December 31, 2024, PSEG Power had net cash collateral (receipts) payments to counterparties of $333 million and $244 million, respectively. Of these net cash collateral (receipts) payments, $205 million March 31, 2025 and $121 million as of December 31, 2024 were netted against the corresponding net derivative contract

positions. Of the $205 million as of March 31, 2025, $197 million was netted against current liabilities and $8 million against current noncurrent liabilities. Of the $121 million as of December 31, 2024, $73 million was netted against current liabilities and $48 million against noncurrent liabilities.

Schedule of Derivative Transactions Designated and Effective as Cash Flow Hedges

The following shows the effect on the Condensed Consolidated Statements of Operations and on AOCL of derivative instruments designated as cash flow hedges for the three months ended March 31, 2025 and 2024:



	Amount of Pre-Tax Gain (Loss) Recognized in AOCL on Derivatives					Location of Pre-Tax Gain (Loss) Reclassified from AOCL into Income	Amount of Pre-Tax Gain (Loss) Reclassified from AOCL into Income
	Three Months Ended						Three Months Ended
Derivatives in Cash Flow	March 31,						March 31,
Hedging Relationships	2025			2024			2025		2024
	Millions						Millions
PSEG
Interest Rate Derivatives	$	(27	)	$	28	Interest Expense	$	1	$	3
Total PSEG	$	(27	)	$	28		$	1	$	3

Schedule of Reconciliation for Derivative Activity Included in Accumulated Other Comprehensive Income (Loss)

The following reconciles the Accumulated Other Comprehensive Income (Loss) for derivative activity included in the AOCL of PSEG on a pre-tax and after-tax basis.



Accumulated Other Comprehensive Income (Loss)	Pre-Tax			After-Tax
	Millions
Balance as of December 31, 2023	$	4		$	3
Gain Recognized in AOCL		59			42
Less: Gain Reclassified into Income		(13	)		(9	)
Balance as of December 31, 2024	$	50		$	36
Loss Recognized in AOCL		(27	)		(20	)
Less: Gain Reclassified into Income		(1	)		—
Balance as of March 31, 2025	$	22		$	16

Schedule of Derivative Instruments Not Designated as Hedging Instruments and Impact on Results of Operations

The following shows the effect on the Condensed Consolidated Statements of Operations of derivative instruments not designated as hedging instruments or as NPNS for the three months ended March 31, 2025 and 2024, respectively. PSEG Power’s derivative contracts reflected in this table primarily includes contracts to hedge the purchase and sale of electricity and natural gas.



Derivatives Not Designated as Hedges	Location of Pre-Tax Gain (Loss) Recognized in Income on Derivatives	Pre-Tax Gain (Loss) Recognized in Income on Derivatives
			Three Months Ended
			March 31,
			2025			2024
		Millions
Energy-Related Contracts	Operating Revenues		$	(241	)	$	(148	)
Energy-Related Contracts	Energy Costs			(2	)		1
Total			$	(243	)	$	(147	)

Schedule of Net Notional Volume for Open Derivative Contracts

The following table summarizes the net notional volume purchases/(sales) of open derivative transactions by commodity as of March 31, 2025 and December 31, 2024.



		As of			As of
Type	Notional	March 31, 2025			December 31, 2024
		Millions
Natural Gas	Dekatherm (Dth)		90			70
Electricity	MWh		(64	)		(49	)
Financial Transmission Rights (FTRs)	MWh		10			16
Interest Rate Derivatives	U.S. Dollars		1,000			2,290