v3.26.1
Derivative Instruments and Hedging Activities (Tables)
 6 Months Ended
Jun. 30, 2026
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Schedule of Net Notional Volume Buy/(Sell) of the Company’s Open Derivative Transactions Broken Out by Commodity
The following table summarizes the net notional volume buy/(sell) of the Company’s open derivative transactions broken out by commodity:
Total Volume
June 30, 2026December 31, 2025
CommodityUnits(In millions)
PowerMWh(23)(29)
Natural Gas MMBtu2 5 
InterestDollars$3,971 $4,080 
Schedule of Fair Value Within the Derivative Instrument Valuation on the Balance Sheets
The following table summarizes the fair value within the derivative instrument valuation on the consolidated balance sheets:
Fair Value
Derivative AssetsDerivative Liabilities
June 30, 2026December 31, 2025June 30, 2026December 31, 2025
(In millions)
Derivatives Designated as Cash Flow Hedges:
Interest rate contracts current$9 $2 $2 $6 
Interest rate contracts long-term42 29 8 21 
Total Derivatives Designated as Cash Flow Hedges$51 $31 $10 $27 
Derivatives Not Designated as Cash Flow Hedges:
Interest rate contracts current$24 $17 $— $— 
Interest rate contracts long-term98 94 1 — 
Energy-related commodity contracts current14 10 12 46 
Energy-related commodity contracts long-term6 4 70 287 
Total Derivatives Not Designated as Cash Flow Hedges$142 $125 $83 $333 
Total Derivatives$193 $156 $93 $360 
Schedule of Offsetting of Derivatives by Counterparty Master Agreement Level and Collateral Received or Paid The following tables summarize the offsetting of derivatives by counterparty:
Gross Amounts Not Offset in the Statement of Financial Position
As of June 30, 2026Gross Amounts of Recognized Assets/LiabilitiesDerivative InstrumentsNet Amount
Energy-related commodity contracts(In millions)
Derivative assets$20 $— $20 
Derivative liabilities(82)— (82)
Total energy-related commodity contracts$(62)$— $(62)
Interest rate contracts
Derivative assets$173 $— $173 
Derivative liabilities(11)— (11)
Total interest rate contracts$162 $— $162 
Total derivative instruments $100 $— $100 
Gross Amounts Not Offset in the Statement of Financial Position
As of December 31, 2025Gross Amounts of Recognized Assets/LiabilitiesDerivative InstrumentsNet Amount
Energy-related commodity contracts(In millions)
Derivative assets$14 $— $14 
Derivative liabilities(333)— (333)
Total energy-related commodity contracts$(319)$— $(319)
Interest rate contracts
Derivative assets$142 $— $142 
Derivative liabilities(27)— (27)
Total interest rate contracts$115 $— $115 
Total derivative instruments$(204)$— $(204)
Schedule of Effects of Company’s AOCI (OCL) Balance Attributable to Interest Rate Swaps Designated as Cash Flow Hedge Derivatives, Net of Tax
The following table summarizes the effects on the Company’s accumulated OCI (OCL) balance attributable to interest rate swaps designated as cash flow hedge derivatives, net of tax:
Three months ended June 30,Six months ended June 30,
2026202520262025
(In millions)
Accumulated OCI (OCL) beginning balance$5 $5 $(5)$14 
Rosamond South I Drop Down (a)
— — — (4)
Daggett 1 Drop Down (b)
— (6)— (6)
Luna Valley Drop Down (c)
— (8)— (8)
Pine Forest Drop Down (d)
— 5 — 5 
Reclassified from accumulated OCI/OCL to income due to realization of previously deferred amounts— — 1 — 
Mark-to-market of cash flow hedge accounting contracts19 (13)28 (18)
Accumulated OCI (OCL) ending balance, net of income tax of $(3) and $4, respectively
24 (17)24 (17)
Accumulated OCI (OCL) attributable to noncontrolling interests15 (7)15 (7)
Accumulated OCI (OCL) attributable to Clearway Energy, Inc.$9 $(10)$9 $(10)
Gains expected to be realized from OCI during the next 12 months, net of income tax expense of $(2)
$4 $4 
(a) Represents $1 million attributable to the Company and $3 million attributable to noncontrolling interests.
(b) Represents $4 million attributable to the Company and $2 million attributable to noncontrolling interests.
(c) Represents $5 million attributable to the Company and $3 million attributable to noncontrolling interests.
(d) Represents $3 million attributable to the Company and $2 million attributable to noncontrolling interests.
Schedule of Derivative Gains and Losses
Mark-to-market gains/(losses) related to the Company’s derivatives are recorded in the consolidated statements of operations as follows:
Three months ended June 30,Six months ended June 30,
2026202520262025
(In millions)
Interest Rate Contracts (Interest expense)$7 $2 $7 $(32)
Energy-Related Commodity Contracts (Mark-to-market for economic hedging activities included in Total operating revenues) (a)
5 (10)35 (21)
Energy-Related Commodity Contracts (Mark-to-market for economic hedging activities included in Cost of operations) (b)
(1)— (1)— 
(a) Relates to long-term energy-related commodity contracts at Elbow Creek, Mesquite Star, Mt. Storm, Langford and Mesquite Sky and heat rate call option energy-related commodity contracts at El Segundo, Marsh Landing and Walnut Creek.
(b) Relates to backbone transportation service energy-related commodity contracts at El Segundo and Walnut Creek.