CMS ENERGY CORP, 10-Q filed on 10/26/2023
Quarterly Report
v3.23.3
Cover Page - shares
 9 Months Ended
Sep. 30, 2023
Oct. 09, 2023
Document Information [Line Items]    
Document Type 10-Q  
Document Quarterly Report true  
Document Period End Date Sep. 30, 2023  
Document Transition Report false  
Entity File Number 1-9513  
Entity Registrant Name CMS ENERGY CORPORATION  
Entity Tax Identification Number 38-2726431  
Entity Incorporation, State or Country Code MI  
Entity Address, Address Line One One Energy Plaza  
Entity Address, City or Town Jackson  
Entity Address, State or Province MI  
Entity Address, Postal Zip Code 49201  
City Area Code 517  
Local Phone Number 788‑0550  
Entity Current Reporting Status Yes  
Entity Interactive Data Current Yes  
Entity Filer Category Large Accelerated Filer  
Entity Small Business false  
Entity Emerging Growth Company false  
Entity Shell Company false  
Entity Common Stock, Shares Outstanding   291,763,567
Entity Central Index Key 0000811156  
Document Fiscal Year Focus 2023  
Document Fiscal Period Focus Q3  
Amendment Flag false  
Current Fiscal Year End Date --12-31  
Consumers Energy Company    
Document Information [Line Items]    
Entity File Number 1-5611  
Entity Registrant Name CONSUMERS ENERGY COMPANY  
Entity Tax Identification Number 38-0442310  
Entity Incorporation, State or Country Code MI  
Entity Address, Address Line One One Energy Plaza  
Entity Address, City or Town Jackson  
Entity Address, State or Province MI  
Entity Address, Postal Zip Code 49201  
City Area Code 517  
Local Phone Number 788‑0550  
Entity Current Reporting Status Yes  
Entity Interactive Data Current Yes  
Entity Filer Category Non-accelerated Filer  
Entity Small Business false  
Entity Emerging Growth Company false  
Entity Shell Company false  
Entity Common Stock, Shares Outstanding   84,108,789
Entity Central Index Key 0000201533  
CMS Energy Corporation Common Stock, $0.01 par value    
Document Information [Line Items]    
Title of 12(b) Security CMS Energy Corporation Common Stock  
Trading Symbol CMS  
Security Exchange Name NYSE  
CMS Energy Corporation 5.625% Junior Subordinated Notes due 2078    
Document Information [Line Items]    
Title of 12(b) Security CMS Energy Corporation 5.625% Junior Subordinated Notes due 2078  
Trading Symbol CMSA  
Security Exchange Name NYSE  
CMS Energy Corporation 5.875% Junior Subordinated Notes due 2078    
Document Information [Line Items]    
Title of 12(b) Security CMS Energy Corporation 5.875% Junior Subordinated Notes due 2078  
Trading Symbol CMSC  
Security Exchange Name NYSE  
CMS Energy Corporation 5.875% Junior Subordinated Notes due 2079    
Document Information [Line Items]    
Title of 12(b) Security CMS Energy Corporation 5.875% Junior Subordinated Notes due 2079  
Trading Symbol CMSD  
Security Exchange Name NYSE  
CMS Energy Corporation Depositary Shares, each representing a 1/1,000th interest in a share of 4.200% Cumulative Redeemable Perpetual Preferred Stock, Series C    
Document Information [Line Items]    
Title of 12(b) Security CMS Energy Corporation Depositary Shares  
Trading Symbol CMS PRC  
Security Exchange Name NYSE  
Consumers Energy Company Cumulative Preferred Stock, $100 par value: $4.50 Series    
Document Information [Line Items]    
Title of 12(b) Security Consumers Energy Company Cumulative Preferred Stock, $100 par value: $4.50 Series  
Trading Symbol CMS-PB  
Security Exchange Name NYSE  
v3.23.3
CMS Energy Corporation Consolidated Statements of Income (Unaudited) - USD ($)
$ in Millions
 3 Months Ended 9 Months Ended
Sep. 30, 2023
Sep. 30, 2022
Sep. 30, 2023
Sep. 30, 2022
Operating Revenue $ 1,673 $ 2,024 $ 5,512 $ 6,318
Operating Expenses        
Fuel for electric generation 162 312 409 720
Purchased power – related parties 21 21 57 56
Maintenance and other operating expenses 447 413 1,284 1,139
Depreciation and amortization 262 243 870 830
General taxes 91 87 330 308
Total operating expenses 1,402 1,766 4,683 5,365
Operating Income 271 258 829 953
Other Income (Expense)        
Non-operating retirement benefits, net 45 54 135 154
Other income 34 5 152 11
Other expense (2) (5) (8) (20)
Total other income 77 54 279 145
Interest Charges        
Interest on long-term debt 158 127 454 370
Allowance for borrowed funds used during construction (1) 0 (2) (1)
Total interest charges 164 130 471 380
Income Before Income Taxes 184 182 637 718
Income Tax Expense 11 19 81 72
Income From Continuing Operations 173 163 556 646
Income From Discontinued Operations, Net of Tax of $—, $—, $—, and $1 0 0 1 4
Net Income 173 163 557 650
Loss Attributable to Noncontrolling Interests (3) (2) (21) (16)
Net Income Attributable to CMS Energy 176 165 578 666
Preferred Stock Dividends 2 2 7 7
Net Income Available to Common Stockholders $ 174 $ 163 $ 571 $ 659
Basic Earnings Per Average Common Share        
Basic earnings per average common share, income from continuing operations per average common share available to common stockholders (in dollars per share) $ 0.60 $ 0.56 $ 1.96 $ 2.26
Basic earnings per average common share, income from discontinued operations per average common share available to common stockholders (in dollars per share) 0 0 0 0.01
Basic earnings per average common share (in dollars per share) 0.60 0.56 1.96 2.27
Diluted Earnings Per Average Common Share        
Diluted earnings per average common share, income from continuing operations per average common share available to common stockholders (in dollars per share) 0.60 0.56 1.96 2.26
Diluted earnings per average common share, income from discontinued operations per average common share available to common stockholders (in dollars per share) 0 0 0 0.01
Diluted earnings per average common share (in dollars per share) $ 0.60 $ 0.56 $ 1.96 $ 2.27
Related Party        
Interest Charges        
Other interest expense $ 3 $ 3 $ 9 $ 9
Nonrelated Party        
Interest Charges        
Other interest expense 4 0 10 2
Purchased and interchange power        
Operating Expenses        
Cost of goods and services sold 377 572 1,060 1,510
Cost of gas sold        
Operating Expenses        
Cost of goods and services sold $ 42 $ 118 $ 673 $ 802
v3.23.3
CMS Energy Corporation Consolidated Statements of Income (Unaudited) (Parenthetical) - USD ($)
$ in Millions
 3 Months Ended 9 Months Ended
Sep. 30, 2023
Sep. 30, 2022
Sep. 30, 2023
Sep. 30, 2022
Income Statement [Abstract]        
Tax effect of discontinued operations $ 0 $ 0 $ 0 $ 1
v3.23.3
CMS Energy Corporation Consolidated Statements of Comprehensive Income (Unaudited) - USD ($)
$ in Millions
 3 Months Ended 9 Months Ended
Sep. 30, 2023
Sep. 30, 2022
Sep. 30, 2023
Sep. 30, 2022
Statement of Comprehensive Income [Abstract]        
Net Income $ 173 $ 163 $ 557 $ 650
Retirement Benefits Liability        
Net gain (loss) arising during the period 0 (1) 1 1
Amortization of net actuarial loss, net of tax 0 1 1 3
Amortization of prior service credit 0 0 (1) 0
Derivatives        
Unrealized gain on derivative instruments, net of tax 0 0 0 2
Reclassification adjustments included in net income 0 0 0 (1)
Other Comprehensive Income 0 0 1 7
Comprehensive Income 173 163 558 657
Comprehensive Loss Attributable to Noncontrolling Interests (3) (2) (21) (16)
Comprehensive Income Attributable to CMS Energy $ 176 $ 165 $ 579 $ 673
v3.23.3
CMS Energy Corporation Consolidated Statements of Comprehensive Income (Unaudited) (Parenthetical) - USD ($)
$ in Millions
 3 Months Ended 9 Months Ended
Sep. 30, 2023
Sep. 30, 2022
Sep. 30, 2023
Sep. 30, 2022
Statement of Comprehensive Income [Abstract]        
Net gain (loss) arising during the period, tax $ 0 $ (1) $ 0 $ 0
Amortization of net actuarial loss, tax 1 0 1 1
Amortization of prior service credit, tax 0 0 0 0
Unrealized gain on derivative instruments, tax 0 0 0 1
Reclassification adjustments included in net income , tax $ 0 $ 0 $ 0 $ 0
v3.23.3
CMS Energy Corporation Consolidated Statements of Cash Flows (Unaudited) - USD ($)
$ in Millions
 9 Months Ended
Sep. 30, 2023
Sep. 30, 2022
Cash Flows from Operating Activities    
Net Income $ 557 $ 650
Adjustments to reconcile net income to net cash provided by operating activities    
Depreciation and amortization 870 830
Deferred income taxes and investment tax credits 96 58
Other non‑cash operating activities and reconciling adjustments (171) (65)
Changes in assets and liabilities    
Accounts receivable and accrued revenue 497 (257)
Inventories 63 (637)
Accounts payable and accrued rate refunds (123) 25
Other current assets and liabilities (56) 18
Other non‑current assets and liabilities 171 45
Net cash provided by operating activities 1,904 667
Cash Flows from Investing Activities    
Cost to retire property and other investing activities (126) (70)
Net cash used in investing activities (2,737) (1,808)
Cash Flows from Financing Activities    
Proceeds from issuance of debt 2,905 1,349
Retirement of debt (1,846) (92)
Increase in notes payable 227 0
Issuance of common stock 10 10
Payment of dividends on common and preferred stock (435) (410)
Proceeds from the sale of membership interest in VIE to tax equity investor 17 49
Contribution from noncontrolling interest 6 2
Other financing costs (49) (48)
Net cash provided by financing activities 835 860
Net Increase (Decrease) in Cash and Cash Equivalents, Including Restricted Amounts 2 (281)
Cash and Cash Equivalents, Including Restricted Amounts, Beginning of Period 182 476
Cash and Cash Equivalents, Including Restricted Amounts, End of Period 184 195
Non‑cash transactions    
Capital expenditures not paid 268 227
Capital Expenditures    
Cash Flows from Investing Activities    
Capital expenditures (excludes assets placed under finance lease) (1,799) (1,738)
Covert Plant Acquisition    
Cash Flows from Investing Activities    
Capital expenditures (excludes assets placed under finance lease) $ (812) $ 0
v3.23.3
CMS Energy Corporation Consolidated Balance Sheets (Unaudited) - USD ($)
$ in Millions
Sep. 30, 2023
Dec. 31, 2022
Current Assets    
Cash and cash equivalents $ 157 $ 164
Restricted cash and cash equivalents 27 18
Inventories at average cost    
Gas in underground storage 725 840
Materials and supplies 255 212
Generating plant fuel stock 80 65
Deferred property taxes 255 384
Regulatory assets 169 57
Prepayments and other current assets 91 113
Total current assets 2,449 3,433
Plant, Property, and Equipment    
Plant, property, and equipment, gross 31,997 30,491
Less accumulated depreciation and amortization 8,929 8,960
Plant, property, and equipment, net 23,068 21,531
Construction work in progress 1,626 1,182
Total plant, property, and equipment 24,694 22,713
Other Non‑current Assets    
Regulatory assets 3,793 3,595
Accounts receivable 30 23
Investments 74 71
Postretirement benefits 1,307 1,208
Other 166 310
Total other non‑current assets 5,370 5,207
Total Assets 32,513 31,353
Current Liabilities    
Current portion of long-term debt and finance leases 1,043 1,099
Notes payable 247 20
Accrued rate refunds 29 0
Accrued interest 157 122
Accrued taxes 159 538
Regulatory liabilities 75 104
Other current liabilities 163 166
Total current liabilities 2,719 2,985
Non‑current Liabilities    
Long-term debt 14,114 13,122
Non-current portion of finance leases 63 68
Regulatory liabilities 3,889 3,796
Postretirement benefits 105 108
Asset retirement obligations 768 746
Deferred investment tax credit 127 129
Deferred income taxes 2,541 2,407
Other non‑current liabilities 429 397
Total non‑current liabilities 22,036 20,773
Commitments and Contingencies
Common stockholders’ equity    
Common stock 3 3
Other paid-in capital 5,515 5,490
Accumulated other comprehensive loss (51) (52)
Retained earnings 1,495 1,350
Total common stockholders’ equity 6,962 6,791
Cumulative preferred stock 224 224
Total stockholders’ equity 7,186 7,015
Noncontrolling interests 572 580
Total equity 7,758 7,595
Total Liabilities and Equity 32,513 31,353
Nonrelated Party    
Current Assets    
Accounts receivable and accrued revenue, less allowance of $26 in 2023 and $27 in 2022 681 1,564
Current Liabilities    
Accounts payable 839 928
Related Party    
Current Assets    
Accounts receivable – related parties 9 16
Current Liabilities    
Accounts payable $ 7 $ 8
v3.23.3
CMS Energy Corporation Consolidated Balance Sheets (Unaudited) (Parenthetical) - USD ($)
$ in Millions
Sep. 30, 2023
Dec. 31, 2022
Accounts receivable and accrued revenue, allowance $ 26 $ 27
Common stock authorized (in shares) 350,000,000.0
Common stock outstanding (in shares) 291,800,000 291,300,000
Series C Preferred Stock Depositary Shares    
Preferred stock authorized (in shares) 9,200,000
Preferred stock outstanding (in shares) 9,200,000
v3.23.3
CMS Energy Corporation Consolidated Statements of Changes in Equity (Unaudited) - USD ($)
$ in Millions
Total
Common Stock
Other Paid-in Capital
Accumulated Other Comprehensive Loss
Retirement benefits liability
Derivative instruments
Retained Earnings
Cumulative Preferred Stock
Noncontrolling Interests
Total Equity at Beginning of Period at Dec. 31, 2021 $ 7,188 $ 3 $ 5,406 $ (59) $ (56) $ (3) $ 1,057   $ 557
Increase (Decrease) in Stockholders' Equity [Roll Forward]                  
Common stock issued     27            
Common stock repurchased     (10)            
Net gain (loss) arising during the period 1       1        
Amortization of net actuarial loss 3       3        
Amortization of prior service credit 0       0        
Unrealized gain on derivative instruments 2         2      
Reclassification adjustments included in net income 1         1      
Net Income 650           666   (16)
Dividends declared on common stock             (401)    
Dividends declared on preferred stock             (7)    
Sale of membership interest in VIE to tax equity investor                 49
Contribution from noncontrolling interest                 2
Distributions and other changes in noncontrolling interests                 (1)
Total Equity at End of Period at Sep. 30, 2022 $ 7,504 3 5,423 (52) (52) 0 1,315 $ 224 591
Increase (Decrease) in Stockholders' Equity [Roll Forward]                  
Dividends declared per common share (in dollars per share) $ 1.3800                
Dividends declared per preferred stock Series C depositary share (in dollars per share) $ 0.7875                
Total Equity at Beginning of Period at Jun. 30, 2022 $ 7,471 3 5,417 (52) (52) 0 1,286   593
Increase (Decrease) in Stockholders' Equity [Roll Forward]                  
Common stock issued     6            
Common stock repurchased     0            
Net gain (loss) arising during the period (1)       (1)        
Amortization of net actuarial loss 1       1        
Amortization of prior service credit 0       0        
Unrealized gain on derivative instruments 0         0      
Reclassification adjustments included in net income 0         0      
Net Income 163           165   (2)
Dividends declared on common stock             (134)    
Dividends declared on preferred stock             (2)    
Sale of membership interest in VIE to tax equity investor                 0
Contribution from noncontrolling interest                 0
Distributions and other changes in noncontrolling interests                 0
Total Equity at End of Period at Sep. 30, 2022 $ 7,504 3 5,423 (52) (52) 0 1,315 224 591
Increase (Decrease) in Stockholders' Equity [Roll Forward]                  
Dividends declared per common share (in dollars per share) $ 0.4600                
Dividends declared per preferred stock Series C depositary share (in dollars per share) $ 0.2625                
Total Equity at Beginning of Period at Dec. 31, 2022 $ 7,595 3 5,490 (52) (52) 0 1,350   580
Increase (Decrease) in Stockholders' Equity [Roll Forward]                  
Common stock issued     32            
Common stock repurchased     (7)            
Net gain (loss) arising during the period 1       1        
Amortization of net actuarial loss 1       1        
Amortization of prior service credit (1)       (1)        
Unrealized gain on derivative instruments 0         0      
Reclassification adjustments included in net income 0         0      
Net Income 557           578   (21)
Dividends declared on common stock             (426)    
Dividends declared on preferred stock             (7)    
Sale of membership interest in VIE to tax equity investor                 17
Contribution from noncontrolling interest                 6
Distributions and other changes in noncontrolling interests                 (10)
Total Equity at End of Period at Sep. 30, 2023 $ 7,758 3 5,515 (51) (51) 0 1,495 224 572
Increase (Decrease) in Stockholders' Equity [Roll Forward]                  
Dividends declared per common share (in dollars per share) $ 1.4625                
Dividends declared per preferred stock Series C depositary share (in dollars per share) $ 0.7875                
Total Equity at Beginning of Period at Jun. 30, 2023 $ 7,706 3 5,506 (51) (51) 0 1,463   561
Increase (Decrease) in Stockholders' Equity [Roll Forward]                  
Common stock issued     9            
Common stock repurchased     0            
Net gain (loss) arising during the period 0       0        
Amortization of net actuarial loss 0       0        
Amortization of prior service credit 0       0        
Unrealized gain on derivative instruments 0         0      
Reclassification adjustments included in net income 0         0      
Net Income 173           176   (3)
Dividends declared on common stock             (142)    
Dividends declared on preferred stock             (2)    
Sale of membership interest in VIE to tax equity investor                 17
Contribution from noncontrolling interest                 0
Distributions and other changes in noncontrolling interests                 (3)
Total Equity at End of Period at Sep. 30, 2023 $ 7,758 $ 3 $ 5,515 $ (51) $ (51) $ 0 $ 1,495 $ 224 $ 572
Increase (Decrease) in Stockholders' Equity [Roll Forward]                  
Dividends declared per common share (in dollars per share) $ 0.4875                
Dividends declared per preferred stock Series C depositary share (in dollars per share) $ 0.2625                
v3.23.3
Consumers Energy Company Consolidated Statements of Income (Unaudited) - USD ($)
$ in Millions
 3 Months Ended 9 Months Ended
Sep. 30, 2023
Sep. 30, 2022
Sep. 30, 2023
Sep. 30, 2022
Operating Revenue $ 1,673 $ 2,024 $ 5,512 $ 6,318
Operating Expenses        
Operating Income 271 258 829 953
Other Income (Expense)        
Non-operating retirement benefits, net 45 54 135 154
Other income 34 5 152 11
Other expense (2) (5) (8) (20)
Total other income 77 54 279 145
Interest Charges        
Interest on long-term debt 158 127 454 370
Allowance for borrowed funds used during construction (1) 0 (2) (1)
Total interest charges 164 130 471 380
Income Before Income Taxes 184 182 637 718
Income Tax Expense 11 19 81 72
Net Income Attributable to CMS Energy 176 165 578 666
Preferred Stock Dividends 2 2 7 7
Net Income Available to Common Stockholders 174 163 571 659
Related Party        
Interest Charges        
Other interest expense 3 3 9 9
Nonrelated Party        
Interest Charges        
Other interest expense 4 0 10 2
Consumers Energy Company        
Operating Revenue 1,596 1,886 5,291 5,971
Operating Expenses        
Fuel for electric generation 131 233 314 530
Purchased and interchange power 364 556 1,024 1,461
Purchased power – related parties 21 21 57 56
Cost of gas sold 41 114 670 792
Maintenance and other operating expenses 425 393 1,214 1,076
Depreciation and amortization 250 233 839 802
General taxes 90 84 323 299
Total operating expenses 1,322 1,634 4,441 5,016
Operating Income 274 252 850 955
Other Income (Expense)        
Non-operating retirement benefits, net 43 52 128 146
Other income 13 4 40 12
Other expense (3) (5) (8) (19)
Total other income 53 51 160 139
Interest Charges        
Interest on long-term debt 106 81 306 231
Allowance for borrowed funds used during construction (1) 0 (2) (1)
Total interest charges 114 85 326 241
Income Before Income Taxes 213 218 684 853
Income Tax Expense 35 29 107 108
Net Income Attributable to CMS Energy 178 189 577 745
Preferred Stock Dividends 0 0 1 1
Net Income Available to Common Stockholders 178 189 576 744
Consumers Energy Company | Related Party        
Interest Charges        
Other interest expense 6 3 13 9
Consumers Energy Company | Nonrelated Party        
Interest Charges        
Other interest expense $ 3 $ 1 $ 9 $ 2
v3.23.3
Consumers Energy Company Consolidated Statements of Comprehensive Income (Unaudited) - USD ($)
$ in Millions
 3 Months Ended 9 Months Ended
Sep. 30, 2023
Sep. 30, 2022
Sep. 30, 2023
Sep. 30, 2022
Net Income $ 176 $ 165 $ 578 $ 666
Retirement Benefits Liability        
Amortization of net actuarial loss, net of tax 0 1 1 3
Other Comprehensive Income 0 0 1 7
Comprehensive Income Attributable to CMS Energy 176 165 579 673
Consumers Energy Company        
Net Income 178 189 577 745
Retirement Benefits Liability        
Amortization of net actuarial loss, net of tax 1 1 1 2
Other Comprehensive Income 1 1 1 2
Comprehensive Income Attributable to CMS Energy $ 179 $ 190 $ 578 $ 747
v3.23.3
Consumers Energy Company Consolidated Statements of Comprehensive Income (Unaudited) (Parenthetical) - USD ($)
$ in Millions
 3 Months Ended 9 Months Ended
Sep. 30, 2023
Sep. 30, 2022
Sep. 30, 2023
Sep. 30, 2022
Amortization of net actuarial loss, tax $ 1 $ 0 $ 1 $ 1
Consumers Energy Company        
Amortization of net actuarial loss, tax $ 0 $ 0 $ 0 $ 0
v3.23.3
Consumers Energy Company Consolidated Statements of Cash Flows (Unaudited) - USD ($)
$ in Millions
 9 Months Ended
Sep. 30, 2023
Sep. 30, 2022
Cash Flows from Operating Activities    
Net Income $ 578 $ 666
Adjustments to reconcile net income to net cash provided by operating activities    
Deferred income taxes and investment tax credits 96 58
Other non‑cash operating activities and reconciling adjustments (171) (65)
Changes in assets and liabilities    
Accounts receivable and accrued revenue 497 (257)
Inventories 63 (637)
Accounts payable and accrued rate refunds (123) 25
Other current assets and liabilities (56) 18
Other non‑current assets and liabilities 171 45
Net cash provided by operating activities 1,904 667
Cash Flows from Investing Activities    
Cost to retire property and other investing activities (126) (70)
Net cash used in investing activities (2,737) (1,808)
Cash Flows from Financing Activities    
Proceeds from issuance of debt 2,905 1,349
Retirement of debt (1,846) (92)
Increase in notes payable 227 0
Payment of dividends on common and preferred stock (435) (410)
Other financing costs (49) (48)
Net cash provided by financing activities 835 860
Net Increase (Decrease) in Cash and Cash Equivalents, Including Restricted Amounts 2 (281)
Cash and Cash Equivalents, Including Restricted Amounts, Beginning of Period 182 476
Cash and Cash Equivalents, Including Restricted Amounts, End of Period 184 195
Non‑cash transactions    
Capital expenditures not paid 268 227
Capital Expenditures    
Cash Flows from Investing Activities    
Capital expenditures (excludes assets placed under finance lease) (1,799) (1,738)
Covert Plant Acquisition    
Cash Flows from Investing Activities    
Capital expenditures (excludes assets placed under finance lease) (812) 0
Consumers Energy Company    
Cash Flows from Operating Activities    
Net Income 577 745
Adjustments to reconcile net income to net cash provided by operating activities    
Depreciation and amortization 839 802
Deferred income taxes and investment tax credits 107 79
Other non‑cash operating activities and reconciling adjustments (48) (57)
Changes in assets and liabilities    
Accounts receivable and accrued revenue 474 (242)
Inventories 64 (636)
Accounts payable and accrued rate refunds (114) (2)
Other current assets and liabilities (85) 38
Other non‑current assets and liabilities 152 34
Net cash provided by operating activities 1,966 761
Cash Flows from Investing Activities    
Cost to retire property and other investing activities (122) (73)
Net cash used in investing activities (2,592) (1,715)
Cash Flows from Financing Activities    
Proceeds from issuance of debt 2,020 1,349
Retirement of debt (1,639) (14)
Stockholder contribution 475 685
Payment of dividends on common and preferred stock (462) (594)
Other financing costs (21) (14)
Net cash provided by financing activities 600 1,020
Net Increase (Decrease) in Cash and Cash Equivalents, Including Restricted Amounts (26) 66
Cash and Cash Equivalents, Including Restricted Amounts, Beginning of Period 60 44
Cash and Cash Equivalents, Including Restricted Amounts, End of Period 34 110
Non‑cash transactions    
Capital expenditures not paid 264 216
Consumers Energy Company | Capital Expenditures    
Cash Flows from Investing Activities    
Capital expenditures (excludes assets placed under finance lease) (1,658) (1,642)
Consumers Energy Company | Covert Plant Acquisition    
Cash Flows from Investing Activities    
Capital expenditures (excludes assets placed under finance lease) (812) 0
Consumers Energy Company | Nonrelated Party    
Cash Flows from Financing Activities    
Increase in notes payable 227 0
Consumers Energy Company | Related Party    
Cash Flows from Financing Activities    
Decrease in notes payable – related parties $ 0 $ (392)
v3.23.3
Consumers Energy Company Consolidated Balance Sheets (Unaudited) - USD ($)
$ in Millions
Sep. 30, 2023
Dec. 31, 2022
Current Assets    
Cash and cash equivalents $ 157 $ 164
Restricted cash and cash equivalents 27 18
Inventories at average cost    
Gas in underground storage 725 840
Materials and supplies 255 212
Generating plant fuel stock 80 65
Deferred property taxes 255 384
Regulatory assets 169 57
Prepayments and other current assets 91 113
Total current assets 2,449 3,433
Other Non‑current Assets    
Regulatory assets 3,793 3,595
Accounts receivable 30 23
Postretirement benefits 1,307 1,208
Other 166 310
Total other non‑current assets 5,370 5,207
Total Assets 32,513 31,353
Current Liabilities    
Current portion of long-term debt and finance leases 1,043 1,099
Notes payable 247 20
Accrued rate refunds 29 0
Accrued interest 157 122
Accrued taxes 159 538
Regulatory liabilities 75 104
Other current liabilities 163 166
Total current liabilities 2,719 2,985
Non‑current Liabilities    
Long-term debt 14,114 13,122
Non-current portion of finance leases 63 68
Regulatory liabilities 3,889 3,796
Postretirement benefits 105 108
Asset retirement obligations 768 746
Deferred investment tax credit 127 129
Deferred income taxes 2,541 2,407
Other non‑current liabilities 429 397
Total non‑current liabilities 22,036 20,773
Commitments and Contingencies
Common stockholders’ equity    
Common stock 3 3
Other paid-in capital 5,515 5,490
Accumulated other comprehensive loss (51) (52)
Retained earnings 1,495 1,350
Total common stockholders’ equity 6,962 6,791
Cumulative preferred stock 224 224
Total stockholders’ equity 7,186 7,015
Total Liabilities and Equity 32,513 31,353
Nonrelated Party    
Current Assets    
Accounts receivable and accrued revenue, less allowance of $26 in 2023 and $27 in 2022 681 1,564
Current Liabilities    
Accounts payable 839 928
Related Party    
Current Liabilities    
Accounts payable 7 8
Consumers Energy Company    
Current Assets    
Cash and cash equivalents 7 43
Restricted cash and cash equivalents 27 17
Inventories at average cost    
Gas in underground storage 725 840
Materials and supplies 245 206
Generating plant fuel stock 77 59
Deferred property taxes 255 384
Regulatory assets 169 57
Prepayments and other current assets 77 96
Total current assets 2,249 3,236
Plant, Property, and Equipment    
Plant, property, and equipment, gross 30,825 29,342
Less accumulated depreciation and amortization 8,730 8,791
Plant, property, and equipment, net 22,095 20,551
Construction work in progress 1,321 994
Total plant, property, and equipment 23,416 21,545
Other Non‑current Assets    
Regulatory assets 3,793 3,595
Postretirement benefits 1,217 1,126
Other 134 286
Total other non‑current assets 5,276 5,135
Total Assets 30,941 29,916
Current Liabilities    
Current portion of long-term debt and finance leases 622 1,000
Accrued rate refunds 29 0
Accrued interest 116 90
Accrued taxes 168 556
Regulatory liabilities 75 104
Other current liabilities 133 147
Total current liabilities 2,278 2,871
Non‑current Liabilities    
Non-current portion of finance leases 40 45
Regulatory liabilities 3,889 3,796
Postretirement benefits 77 79
Asset retirement obligations 736 722
Deferred investment tax credit 127 129
Deferred income taxes 2,729 2,585
Other non‑current liabilities 381 342
Total non‑current liabilities 17,917 16,890
Commitments and Contingencies
Common stockholders’ equity    
Common stock 841 841
Other paid-in capital 7,759 7,284
Accumulated other comprehensive loss (14) (15)
Retained earnings 2,123 2,008
Total common stockholders’ equity 10,709 10,118
Cumulative preferred stock 37 37
Total stockholders’ equity 10,746 10,155
Total Liabilities and Equity 30,941 29,916
Consumers Energy Company | Nonrelated Party    
Current Assets    
Accounts receivable and accrued revenue, less allowance of $26 in 2023 and $27 in 2022 658 1,524
Other Non‑current Assets    
Accounts receivable 36 29
Current Liabilities    
Notes payable 247 20
Accounts payable 801 864
Non‑current Liabilities    
Long-term debt 9,644 9,192
Consumers Energy Company | Related Party    
Current Assets    
Accounts and notes receivable – related parties 9 10
Other Non‑current Assets    
Accounts receivable 96 99
Current Liabilities    
Notes payable 75 75
Accounts payable 12 15
Non‑current Liabilities    
Long-term debt $ 294 $ 0
v3.23.3
Consumers Energy Company Consolidated Balance Sheets (Unaudited) (Parenthetical) - USD ($)
$ in Millions
Sep. 30, 2023
Dec. 31, 2022
Accounts receivable and accrued revenue, allowance $ 26 $ 27
Common stock authorized (in shares) 350,000,000.0
Common stock outstanding (in shares) 291,800,000 291,300,000
Preferred stock, par value (in dollars per share) $ 4.50 $ 4.50
Consumers Energy Company    
Accounts receivable and accrued revenue, allowance $ 26 $ 27
Common stock authorized (in shares) 125,000,000.0
Common stock outstanding (in shares) 84,100,000
Preferred stock authorized (in shares) 7,500,000
Preferred stock outstanding (in shares) 400,000
v3.23.3
Consumers Energy Company Consolidated Statements of Changes in Equity (Unaudited) - USD ($)
$ in Millions
Total
Common Stock
Other Paid-in Capital
Accumulated Other Comprehensive Loss
Retirement benefits liability
Retained Earnings
Cumulative Preferred Stock
Consumers Energy Company
Consumers Energy Company
Common Stock
Consumers Energy Company
Other Paid-in Capital
Consumers Energy Company
Accumulated Other Comprehensive Loss
Consumers Energy Company
Retirement benefits liability
Consumers Energy Company
Retained Earnings
Consumers Energy Company
Cumulative Preferred Stock
Total Equity at Beginning of Period at Dec. 31, 2021 $ 7,188 $ 3 $ 5,406 $ (59) $ (56) $ 1,057   $ 9,279 $ 841 $ 6,599   $ (32) $ 1,834 $ 37
Increase (Decrease) in Stockholders' Equity [Roll Forward]                            
Stockholder contribution                   685        
Amortization of net actuarial loss 3       3     2       2    
Net Income 666             745         745  
Dividends declared on common stock           (401)             (593)  
Dividends declared on preferred stock           (7)             (1)  
Total Equity at End of Period at Sep. 30, 2022 7,504 3 5,423 (52) (52) 1,315 $ 224 10,117 841 7,284 $ (30)   1,985 37
Total Equity at Beginning of Period at Jun. 30, 2022 7,471 3 5,417 (52) (52) 1,286   10,087 841 7,284   (31) 1,956 37
Increase (Decrease) in Stockholders' Equity [Roll Forward]                            
Stockholder contribution                   0        
Amortization of net actuarial loss 1       1     1       1    
Net Income 165             189         189  
Dividends declared on common stock           (134)             (160)  
Dividends declared on preferred stock           (2)             0  
Total Equity at End of Period at Sep. 30, 2022 7,504 3 5,423 (52) (52) 1,315 224 10,117 841 7,284 (30)   1,985 37
Total Equity at Beginning of Period at Dec. 31, 2022 7,595 3 5,490 (52) (52) 1,350   10,155 841 7,284   (15) 2,008 37
Increase (Decrease) in Stockholders' Equity [Roll Forward]                            
Stockholder contribution                   475        
Amortization of net actuarial loss 1       1     1       1    
Net Income 578             577         577  
Dividends declared on common stock           (426)             (461)  
Dividends declared on preferred stock           (7)             (1)  
Total Equity at End of Period at Sep. 30, 2023 7,758 3 5,515 (51) (51) 1,495 224 10,746 841 7,759 (14)   2,123 37
Total Equity at Beginning of Period at Jun. 30, 2023 7,706 3 5,506 (51) (51) 1,463   10,723 841 7,759   (15) 2,101 37
Increase (Decrease) in Stockholders' Equity [Roll Forward]                            
Stockholder contribution                   0        
Amortization of net actuarial loss 0       0     1       $ 1    
Net Income 176             178         178  
Dividends declared on common stock           (142)             (156)  
Dividends declared on preferred stock           (2)             0  
Total Equity at End of Period at Sep. 30, 2023 $ 7,758 $ 3 $ 5,515 $ (51) $ (51) $ 1,495 $ 224 $ 10,746 $ 841 $ 7,759 $ (14)   $ 2,123 $ 37
v3.23.3
Regulatory Matters
 9 Months Ended
Sep. 30, 2023
Public Utilities, General Disclosures [Line Items]  
Regulatory Matters Regulatory Matters
Regulatory matters are critical to Consumers. The Michigan Attorney General, ABATE, the MPSC Staff, residential customer advocacy groups, environmental organizations, and certain other parties typically participate in MPSC proceedings concerning Consumers, such as Consumers’ rate cases and PSCR and gas cost recovery processes. These parties often challenge various aspects of those proceedings, including the prudence of Consumers’ policies and practices, and seek cost disallowances and other relief. The parties also have appealed significant MPSC orders. Depending upon the specific issues, the outcomes of rate cases and proceedings, including judicial proceedings challenging MPSC orders or other actions, could negatively affect CMS Energy’s and Consumers’ liquidity, financial condition, and results of operations. Consumers cannot predict the outcome of these proceedings.
There are multiple appeals pending that involve various issues concerning cost recovery from customers, the MPSC’s authority to approve voluntary revenue refunds, and other matters. Consumers is unable to predict the outcome of these appeals.
2022 Electric Rate Case: In January 2023, the MPSC approved a settlement agreement authorizing an annual rate increase of $155 million, based on a 9.9-percent authorized return on equity. The MPSC also approved a surcharge for the recovery of $6 million of depreciation, property tax, and interest expense related to distribution investments made in 2021 that exceeded what was authorized in rates in accordance with the December 2020 electric rate order. The new rates became effective January 20, 2023.
Voluntary Refund Mechanism: In December 2022, the MPSC issued an order authorizing Consumers to refund $22 million voluntarily to utility customers. In April 2023, the MPSC approved the refund of $5 million in the form of contributions to programs that assist vulnerable gas customers. In May 2023, the MPSC approved the refund of $9 million in the form of bill assistance to support vulnerable electric customers and the refund of $8 million in the form of incremental vegetation management.
2022 PSCR Underrecovery: Due to rising fuel prices during 2022, the cost of electric generation increased, resulting in higher market prices for electricity. Accordingly, Consumers’ power supply costs for 2022 were significantly higher than those projected in its 2022 PSCR plan. Consumers included a projection of its full-year 2022 underrecovery in the 2023 PSCR plan filed with the MPSC in September 2022.
In January 2023, Consumers filed a motion for a temporary order in its 2023 PSCR plan, requesting that the MPSC approve only a third of the 2022 underrecovery amount for recovery in 2023, with the remaining amount to be recovered equally during 2024 and 2025. The MPSC approved Consumers’ motion in February 2023. Recovering the 2022 underrecovery over three years has provided immediate relief to electric customers, and the financial impact will be neutral to Consumers’ earnings.
Meter Investigation: In July 2023, the MPSC issued an order initiating an investigation into Consumers’ handling of malfunctioning meters and meters requiring transition from 3G to 4G technology, estimated billing, and new service installations. The order directed Consumers to provide information on such meters and their replacement, meter-reading performance, communications with customers and the MPSC regarding these issues, and other information; Consumers provided this information in August 2023. As directed in the order, the MPSC Staff analyzed this information and made recommendations, including continued monitoring of Consumers’ performance in these areas and penalties for failure to comply with MPSC service rules.
In October 2023, the MPSC issued a show-cause order directing Consumers to provide further information on consecutive estimated billings, the provision of actual meter readings, and new service installation issues. The MPSC also ordered Consumers to show cause why it should not be found to be in violation of rules governing billing and service quality and reliability. Consumers cannot predict the outcome of this matter, but it could be subject to regulatory penalties that are not expected to have a material effect on Consumers’ results of operations and Consumers could be subject to increased regulatory scrutiny.
Consumers Energy Company  
Public Utilities, General Disclosures [Line Items]  
Regulatory Matters Regulatory Matters
Regulatory matters are critical to Consumers. The Michigan Attorney General, ABATE, the MPSC Staff, residential customer advocacy groups, environmental organizations, and certain other parties typically participate in MPSC proceedings concerning Consumers, such as Consumers’ rate cases and PSCR and gas cost recovery processes. These parties often challenge various aspects of those proceedings, including the prudence of Consumers’ policies and practices, and seek cost disallowances and other relief. The parties also have appealed significant MPSC orders. Depending upon the specific issues, the outcomes of rate cases and proceedings, including judicial proceedings challenging MPSC orders or other actions, could negatively affect CMS Energy’s and Consumers’ liquidity, financial condition, and results of operations. Consumers cannot predict the outcome of these proceedings.
There are multiple appeals pending that involve various issues concerning cost recovery from customers, the MPSC’s authority to approve voluntary revenue refunds, and other matters. Consumers is unable to predict the outcome of these appeals.
2022 Electric Rate Case: In January 2023, the MPSC approved a settlement agreement authorizing an annual rate increase of $155 million, based on a 9.9-percent authorized return on equity. The MPSC also approved a surcharge for the recovery of $6 million of depreciation, property tax, and interest expense related to distribution investments made in 2021 that exceeded what was authorized in rates in accordance with the December 2020 electric rate order. The new rates became effective January 20, 2023.
Voluntary Refund Mechanism: In December 2022, the MPSC issued an order authorizing Consumers to refund $22 million voluntarily to utility customers. In April 2023, the MPSC approved the refund of $5 million in the form of contributions to programs that assist vulnerable gas customers. In May 2023, the MPSC approved the refund of $9 million in the form of bill assistance to support vulnerable electric customers and the refund of $8 million in the form of incremental vegetation management.
2022 PSCR Underrecovery: Due to rising fuel prices during 2022, the cost of electric generation increased, resulting in higher market prices for electricity. Accordingly, Consumers’ power supply costs for 2022 were significantly higher than those projected in its 2022 PSCR plan. Consumers included a projection of its full-year 2022 underrecovery in the 2023 PSCR plan filed with the MPSC in September 2022.
In January 2023, Consumers filed a motion for a temporary order in its 2023 PSCR plan, requesting that the MPSC approve only a third of the 2022 underrecovery amount for recovery in 2023, with the remaining amount to be recovered equally during 2024 and 2025. The MPSC approved Consumers’ motion in February 2023. Recovering the 2022 underrecovery over three years has provided immediate relief to electric customers, and the financial impact will be neutral to Consumers’ earnings.
Meter Investigation: In July 2023, the MPSC issued an order initiating an investigation into Consumers’ handling of malfunctioning meters and meters requiring transition from 3G to 4G technology, estimated billing, and new service installations. The order directed Consumers to provide information on such meters and their replacement, meter-reading performance, communications with customers and the MPSC regarding these issues, and other information; Consumers provided this information in August 2023. As directed in the order, the MPSC Staff analyzed this information and made recommendations, including continued monitoring of Consumers’ performance in these areas and penalties for failure to comply with MPSC service rules.
In October 2023, the MPSC issued a show-cause order directing Consumers to provide further information on consecutive estimated billings, the provision of actual meter readings, and new service installation issues. The MPSC also ordered Consumers to show cause why it should not be found to be in violation of rules governing billing and service quality and reliability. Consumers cannot predict the outcome of this matter, but it could be subject to regulatory penalties that are not expected to have a material effect on Consumers’ results of operations and Consumers could be subject to increased regulatory scrutiny.
v3.23.3
Contingencies and Commitments
 9 Months Ended
Sep. 30, 2023
Other Commitments [Line Items]  
Contingencies and Commitments Contingencies and Commitments
CMS Energy and Consumers are involved in various matters that give rise to contingent liabilities. Depending on the specific issues, the resolution of these contingencies could negatively affect CMS Energy’s and Consumers’ liquidity, financial condition, and results of operations. In their disclosures of these matters, CMS Energy and Consumers provide an estimate of the possible loss or range of loss when such an estimate can be made. Disclosures stating that CMS Energy or Consumers cannot predict the outcome of a matter indicate that they are unable to estimate a possible loss or range of loss for the matter.
CMS Energy Contingencies
Bay Harbor: CMS Land retained environmental remediation obligations for the collection and treatment of leachate at Bay Harbor after selling its interests in the development in 2002. Leachate is produced when water enters into cement kiln dust piles left over from former cement plant operations at the site. In 2012, CMS Land and EGLE finalized an agreement establishing the final remedies and the future water quality criteria at the site. CMS Land completed all construction necessary to implement the remedies required by the agreement and will continue to maintain and operate a system to discharge treated leachate into Little Traverse Bay under an NPDES permit, which is valid through 2025.
At September 30, 2023, CMS Energy had a recorded liability of $44 million for its remaining obligations for environmental remediation. CMS Energy calculated this liability based on discounted projected costs,
using a discount rate of 4.34 percent and an inflation rate of one percent on annual operating and maintenance costs. The undiscounted amount of the remaining obligation is $54 million. CMS Energy expects to pay the following amounts for long-term leachate disposal and operating and maintenance costs during the remainder of 2023 and in each of the next five years:
In Millions
202320242025202620272028
CMS Energy
Long-term leachate disposal and operating and maintenance costs$1 $4 $4 $4 $4 $4 
CMS Energy’s estimate of response activity costs and the timing of expenditures could change if there are changes in circumstances or assumptions used in calculating the liability. Although a liability for its present estimate of remaining response activity costs has been recorded, CMS Energy cannot predict the ultimate financial impact or outcome of this matter.
Consumers Electric Utility Contingencies
Electric Environmental Matters: Consumers’ operations are subject to environmental laws and regulations. Historically, Consumers has generally been able to recover, in customer rates, the costs to operate its facilities in compliance with these laws and regulations.
Cleanup and Solid Waste: Consumers expects to incur remediation and other response activity costs at a number of sites under NREPA. Consumers believes that these costs should be recoverable in rates, but cannot guarantee that outcome. Consumers estimates its liability for NREPA sites for which it can estimate a range of loss to be between $2 million and $4 million. At September 30, 2023, Consumers had a recorded liability of $2 million, the minimum amount in the range of its estimated probable NREPA liability, as no amount in the range was considered a better estimate than any other amount.
Consumers is a potentially responsible party at a number of contaminated sites administered under CERCLA. CERCLA liability is joint and several. In 2010, Consumers received official notification from the EPA that identified Consumers as a potentially responsible party for cleanup of PCBs at the Kalamazoo River CERCLA site. The notification claimed that the EPA had reason to believe that Consumers disposed of PCBs and arranged for the disposal and treatment of PCB-containing materials at portions of the site. In 2011, Consumers received a follow-up letter from the EPA requesting that Consumers agree to participate in a removal action plan along with several other companies for an area of lower Portage Creek, which is connected to the Kalamazoo River. All parties asked to participate in the removal action plan, including Consumers, declined to accept liability. Until further information is received from the EPA, Consumers is unable to estimate a range of potential liability for cleanup of the river.
Based on its experience, Consumers estimates its share of the total liability for known CERCLA sites to be between $3 million and $8 million. Various factors, including the number and creditworthiness of potentially responsible parties involved with each site, affect Consumers’ share of the total liability. At September 30, 2023, Consumers had a recorded liability of $3 million for its share of the total liability at these sites, the minimum amount in the range of its estimated probable CERCLA liability, as no amount in the range was considered a better estimate than any other amount.
The timing of payments related to Consumers’ remediation and other response activities at its CERCLA and NREPA sites is uncertain. Consumers periodically reviews these cost estimates. A change in the underlying assumptions, such as an increase in the number of sites, different remediation techniques, the
nature and extent of contamination, and legal and regulatory requirements, could affect its estimates of NREPA and CERCLA liability.
Ludington Plant Overhaul Contract Dispute: Consumers and DTE Electric, co-owners of Ludington, are parties to a 2010 engineering, procurement, and construction agreement with TAES, under which TAES contracted to perform a major overhaul and upgrade of Ludington. The overhauled Ludington units are operational, but TAES’ work has been defective and non‑conforming. Consumers and DTE Electric have demanded that TAES provide a comprehensive plan to resolve quality control concerns, including adherence to its warranty commitments and other contractual obligations. Consumers and DTE Electric have taken extensive efforts to resolve these issues with TAES, including a formal demand to TAES’ parent, Toshiba Corporation, a non‑affiliated company, under a parent guaranty it provided in the contract. TAES has not provided a comprehensive plan or otherwise met its performance obligations.
In order to enforce the contract, Consumers and DTE Electric filed a complaint against TAES and Toshiba Corporation in the U.S. District Court for the Eastern District of Michigan in April 2022. In June 2022, TAES and Toshiba Corporation filed a motion to dismiss the complaint, along with an answer and counterclaims seeking approximately $15 million in damages related to payments allegedly owed under the parties’ contract. As a co-owner of Ludington, Consumers would be liable for 51 percent of any such damages. In September 2022, the court denied the motion to dismiss filed by TAES and Toshiba Corporation. The parties are engaged in ongoing litigation, including discovery, pursuant to a court-ordered schedule. Consumers believes the counterclaims filed by TAES and Toshiba Corporation are without merit, but cannot predict the financial impact or outcome of this matter. An unfavorable outcome could have a material adverse effect on CMS Energy’s and Consumers’ financial condition, results of operations, or liquidity.
In May 2023, the MPSC approved Consumers’ and DTE Electric’s jointly-filed request for authority to defer as a regulatory asset the costs associated with repairing or replacing the defective work performed by TAES while the litigation with TAES and Toshiba Corporation moves forward; such costs will be offset by potential future litigation proceeds received from TAES or Toshiba Corporation. Consumers and DTE Electric will have the opportunity to seek appropriate recovery and ratemaking treatment for amounts recorded as a regulatory asset following resolution of the litigation.
J.H. Campbell 3 Plant Retirement Contract Dispute: In May 2022, Consumers filed a complaint against Wolverine Power in the Ottawa County Circuit Court and requested a ruling that Consumers has sole authority to decide to retire the J.H. Campbell 3 coal-fueled generating unit under the unit’s Joint Ownership and Operating Agreement. In July 2022, Wolverine Power filed an answer, affirmative defenses, and a counterclaim seeking approximately $37 million in damages allegedly caused by Consumers’ decision to retire the unit before the end of its useful life. In October 2022, the state circuit court judge found that Consumers may, in its sole discretion, retire the J.H. Campbell 3 coal-fueled generating unit, provided that Consumers continues to operate and make necessary improvements to the unit while the litigation concerning Wolverine Power’s claim for damages is pending. In May 2023, the circuit court judge issued an order granting Consumers’ Motion for Clarification confirming that Consumers may continue to operate and invest in J.H. Campbell 3 consistent with the May 2025 retirement date. Consumers believes Wolverine Power’s claim has no merit, but cannot predict the final impact or outcome on this matter. An unfavorable outcome could have a material adverse effect on CMS Energy’s and Consumers’ financial condition, results of operations, or liquidity.
Consumers Gas Utility Contingencies
Gas Environmental Matters: Consumers expects to incur remediation and other response activity costs at a number of sites under NREPA. These sites include 23 former MGP facilities. Consumers operated the facilities on these sites for some part of their operating lives. For some of these sites, Consumers has no present ownership interest or may own only a portion of the original site.
At September 30, 2023, Consumers had a recorded liability of $63 million for its remaining obligations for these sites. Consumers expects to pay the following amounts for remediation and other response activity costs during the remainder of 2023 and in each of the next five years:
In Millions
202320242025202620272028
Consumers
Remediation and other response activity costs$1 $2 $1 $7 $10 $25 
Consumers periodically reviews these cost estimates. Any significant change in the underlying assumptions, such as an increase in the number of sites, changes in remediation techniques, or legal and regulatory requirements, could affect Consumers’ estimates of annual response activity costs and the MGP liability.
Pursuant to orders issued by the MPSC, Consumers defers its MGP-related remediation costs and recovers them from its customers over a ten-year period. At September 30, 2023, Consumers had a regulatory asset of $102 million related to the MGP sites.
Consumers estimates that its liability to perform remediation and other response activities at NREPA sites other than the MGP sites could reach $3 million. At September 30, 2023, Consumers had a recorded liability of less than $1 million, the minimum amount in the range of its estimated probable liability, as no amount in the range was considered a better estimate than any other amount.
Guarantees
Presented in the following table are CMS Energy’s and Consumers’ guarantees at September 30, 2023:
In Millions
Guarantee DescriptionIssue DateExpiration DateMaximum ObligationCarrying Amount
CMS Energy, including Consumers
Indemnity obligations from sale of membership interests in VIEs1
variousindefinite$318 $— 
Indemnity obligations from stock and asset sale agreements2
variousindefinite153 1 
Guarantee3
2011indefinite30 — 
Consumers
Guarantee3
2011indefinite$30 $— 
1These obligations arose from the sale of membership interests in NWO Holdco, Aviator Wind, and Newport Solar Holdings to tax equity investors. NorthStar Clean Energy provided certain indemnity obligations that protect the tax equity investors against losses incurred as a result of breaches of representations and warranties under the associated limited liability company agreements. These
obligations are generally capped at an amount equal to the tax equity investor’s capital contributions plus a specified return, less any distributions and tax benefits it receives, in connection with its membership interest. For any indemnity obligations related to Aviator Wind, NorthStar Clean Energy would recover 49 percent of any amounts paid to the tax equity investor from the other owner of Aviator Wind Equity Holdings. Additionally, Aviator Wind holds insurance coverage that would partially protect against losses incurred as a result of certain failures to qualify for production tax credits. For further details on NorthStar Clean Energy’s ownership interest in NWO Holdco, Aviator Wind, and Newport Solar Holdings, see Note 11, Variable Interest Entities.
2These obligations arose from stock and asset sale agreements under which CMS Energy or a subsidiary of CMS Energy indemnified the purchaser for losses resulting from various matters, including claims related to taxes. The maximum obligation amount is mostly related to an Equatorial Guinea tax claim.
3This obligation comprises a guarantee provided by Consumers to the U.S. Department of Energy in connection with a settlement agreement regarding damages resulting from the department’s failure to accept spent nuclear fuel from nuclear power plants formerly owned by Consumers.
Additionally, in the normal course of business, CMS Energy, Consumers, and certain other subsidiaries of CMS Energy have entered into various agreements containing tax and other indemnity provisions for which they are unable to estimate the maximum potential obligation. CMS Energy and Consumers consider the likelihood that they would be required to perform or incur substantial losses related to these indemnities and those disclosed in the table to be remote.
Other Contingencies
In addition to the matters disclosed in this Note and Note 1, Regulatory Matters, there are certain other lawsuits and administrative proceedings before various courts and governmental agencies, as well as unasserted claims that may result in such proceedings, arising in the ordinary course of business to which CMS Energy, Consumers, and certain other subsidiaries of CMS Energy are parties. These other lawsuits, proceedings, and unasserted claims may involve personal injury, property damage, contracts, environmental matters, federal and state taxes, rates, licensing, employment, and other matters. Further, CMS Energy and Consumers occasionally self-report certain regulatory non‑compliance matters that may or may not eventually result in administrative proceedings. CMS Energy and Consumers believe that the outcome of any one of these proceedings and potential claims will not have a material negative effect on their consolidated results of operations, financial condition, or liquidity.
Consumers Energy Company  
Other Commitments [Line Items]  
Contingencies and Commitments Contingencies and Commitments
CMS Energy and Consumers are involved in various matters that give rise to contingent liabilities. Depending on the specific issues, the resolution of these contingencies could negatively affect CMS Energy’s and Consumers’ liquidity, financial condition, and results of operations. In their disclosures of these matters, CMS Energy and Consumers provide an estimate of the possible loss or range of loss when such an estimate can be made. Disclosures stating that CMS Energy or Consumers cannot predict the outcome of a matter indicate that they are unable to estimate a possible loss or range of loss for the matter.
CMS Energy Contingencies
Bay Harbor: CMS Land retained environmental remediation obligations for the collection and treatment of leachate at Bay Harbor after selling its interests in the development in 2002. Leachate is produced when water enters into cement kiln dust piles left over from former cement plant operations at the site. In 2012, CMS Land and EGLE finalized an agreement establishing the final remedies and the future water quality criteria at the site. CMS Land completed all construction necessary to implement the remedies required by the agreement and will continue to maintain and operate a system to discharge treated leachate into Little Traverse Bay under an NPDES permit, which is valid through 2025.
At September 30, 2023, CMS Energy had a recorded liability of $44 million for its remaining obligations for environmental remediation. CMS Energy calculated this liability based on discounted projected costs,
using a discount rate of 4.34 percent and an inflation rate of one percent on annual operating and maintenance costs. The undiscounted amount of the remaining obligation is $54 million. CMS Energy expects to pay the following amounts for long-term leachate disposal and operating and maintenance costs during the remainder of 2023 and in each of the next five years:
In Millions
202320242025202620272028
CMS Energy
Long-term leachate disposal and operating and maintenance costs$1 $4 $4 $4 $4 $4 
CMS Energy’s estimate of response activity costs and the timing of expenditures could change if there are changes in circumstances or assumptions used in calculating the liability. Although a liability for its present estimate of remaining response activity costs has been recorded, CMS Energy cannot predict the ultimate financial impact or outcome of this matter.
Consumers Electric Utility Contingencies
Electric Environmental Matters: Consumers’ operations are subject to environmental laws and regulations. Historically, Consumers has generally been able to recover, in customer rates, the costs to operate its facilities in compliance with these laws and regulations.
Cleanup and Solid Waste: Consumers expects to incur remediation and other response activity costs at a number of sites under NREPA. Consumers believes that these costs should be recoverable in rates, but cannot guarantee that outcome. Consumers estimates its liability for NREPA sites for which it can estimate a range of loss to be between $2 million and $4 million. At September 30, 2023, Consumers had a recorded liability of $2 million, the minimum amount in the range of its estimated probable NREPA liability, as no amount in the range was considered a better estimate than any other amount.
Consumers is a potentially responsible party at a number of contaminated sites administered under CERCLA. CERCLA liability is joint and several. In 2010, Consumers received official notification from the EPA that identified Consumers as a potentially responsible party for cleanup of PCBs at the Kalamazoo River CERCLA site. The notification claimed that the EPA had reason to believe that Consumers disposed of PCBs and arranged for the disposal and treatment of PCB-containing materials at portions of the site. In 2011, Consumers received a follow-up letter from the EPA requesting that Consumers agree to participate in a removal action plan along with several other companies for an area of lower Portage Creek, which is connected to the Kalamazoo River. All parties asked to participate in the removal action plan, including Consumers, declined to accept liability. Until further information is received from the EPA, Consumers is unable to estimate a range of potential liability for cleanup of the river.
Based on its experience, Consumers estimates its share of the total liability for known CERCLA sites to be between $3 million and $8 million. Various factors, including the number and creditworthiness of potentially responsible parties involved with each site, affect Consumers’ share of the total liability. At September 30, 2023, Consumers had a recorded liability of $3 million for its share of the total liability at these sites, the minimum amount in the range of its estimated probable CERCLA liability, as no amount in the range was considered a better estimate than any other amount.
The timing of payments related to Consumers’ remediation and other response activities at its CERCLA and NREPA sites is uncertain. Consumers periodically reviews these cost estimates. A change in the underlying assumptions, such as an increase in the number of sites, different remediation techniques, the
nature and extent of contamination, and legal and regulatory requirements, could affect its estimates of NREPA and CERCLA liability.
Ludington Plant Overhaul Contract Dispute: Consumers and DTE Electric, co-owners of Ludington, are parties to a 2010 engineering, procurement, and construction agreement with TAES, under which TAES contracted to perform a major overhaul and upgrade of Ludington. The overhauled Ludington units are operational, but TAES’ work has been defective and non‑conforming. Consumers and DTE Electric have demanded that TAES provide a comprehensive plan to resolve quality control concerns, including adherence to its warranty commitments and other contractual obligations. Consumers and DTE Electric have taken extensive efforts to resolve these issues with TAES, including a formal demand to TAES’ parent, Toshiba Corporation, a non‑affiliated company, under a parent guaranty it provided in the contract. TAES has not provided a comprehensive plan or otherwise met its performance obligations.
In order to enforce the contract, Consumers and DTE Electric filed a complaint against TAES and Toshiba Corporation in the U.S. District Court for the Eastern District of Michigan in April 2022. In June 2022, TAES and Toshiba Corporation filed a motion to dismiss the complaint, along with an answer and counterclaims seeking approximately $15 million in damages related to payments allegedly owed under the parties’ contract. As a co-owner of Ludington, Consumers would be liable for 51 percent of any such damages. In September 2022, the court denied the motion to dismiss filed by TAES and Toshiba Corporation. The parties are engaged in ongoing litigation, including discovery, pursuant to a court-ordered schedule. Consumers believes the counterclaims filed by TAES and Toshiba Corporation are without merit, but cannot predict the financial impact or outcome of this matter. An unfavorable outcome could have a material adverse effect on CMS Energy’s and Consumers’ financial condition, results of operations, or liquidity.
In May 2023, the MPSC approved Consumers’ and DTE Electric’s jointly-filed request for authority to defer as a regulatory asset the costs associated with repairing or replacing the defective work performed by TAES while the litigation with TAES and Toshiba Corporation moves forward; such costs will be offset by potential future litigation proceeds received from TAES or Toshiba Corporation. Consumers and DTE Electric will have the opportunity to seek appropriate recovery and ratemaking treatment for amounts recorded as a regulatory asset following resolution of the litigation.
J.H. Campbell 3 Plant Retirement Contract Dispute: In May 2022, Consumers filed a complaint against Wolverine Power in the Ottawa County Circuit Court and requested a ruling that Consumers has sole authority to decide to retire the J.H. Campbell 3 coal-fueled generating unit under the unit’s Joint Ownership and Operating Agreement. In July 2022, Wolverine Power filed an answer, affirmative defenses, and a counterclaim seeking approximately $37 million in damages allegedly caused by Consumers’ decision to retire the unit before the end of its useful life. In October 2022, the state circuit court judge found that Consumers may, in its sole discretion, retire the J.H. Campbell 3 coal-fueled generating unit, provided that Consumers continues to operate and make necessary improvements to the unit while the litigation concerning Wolverine Power’s claim for damages is pending. In May 2023, the circuit court judge issued an order granting Consumers’ Motion for Clarification confirming that Consumers may continue to operate and invest in J.H. Campbell 3 consistent with the May 2025 retirement date. Consumers believes Wolverine Power’s claim has no merit, but cannot predict the final impact or outcome on this matter. An unfavorable outcome could have a material adverse effect on CMS Energy’s and Consumers’ financial condition, results of operations, or liquidity.
Consumers Gas Utility Contingencies
Gas Environmental Matters: Consumers expects to incur remediation and other response activity costs at a number of sites under NREPA. These sites include 23 former MGP facilities. Consumers operated the facilities on these sites for some part of their operating lives. For some of these sites, Consumers has no present ownership interest or may own only a portion of the original site.
At September 30, 2023, Consumers had a recorded liability of $63 million for its remaining obligations for these sites. Consumers expects to pay the following amounts for remediation and other response activity costs during the remainder of 2023 and in each of the next five years:
In Millions
202320242025202620272028
Consumers
Remediation and other response activity costs$1 $2 $1 $7 $10 $25 
Consumers periodically reviews these cost estimates. Any significant change in the underlying assumptions, such as an increase in the number of sites, changes in remediation techniques, or legal and regulatory requirements, could affect Consumers’ estimates of annual response activity costs and the MGP liability.
Pursuant to orders issued by the MPSC, Consumers defers its MGP-related remediation costs and recovers them from its customers over a ten-year period. At September 30, 2023, Consumers had a regulatory asset of $102 million related to the MGP sites.
Consumers estimates that its liability to perform remediation and other response activities at NREPA sites other than the MGP sites could reach $3 million. At September 30, 2023, Consumers had a recorded liability of less than $1 million, the minimum amount in the range of its estimated probable liability, as no amount in the range was considered a better estimate than any other amount.
Guarantees
Presented in the following table are CMS Energy’s and Consumers’ guarantees at September 30, 2023:
In Millions
Guarantee DescriptionIssue DateExpiration DateMaximum ObligationCarrying Amount
CMS Energy, including Consumers
Indemnity obligations from sale of membership interests in VIEs1
variousindefinite$318 $— 
Indemnity obligations from stock and asset sale agreements2
variousindefinite153 1 
Guarantee3
2011indefinite30 — 
Consumers
Guarantee3
2011indefinite$30 $— 
1These obligations arose from the sale of membership interests in NWO Holdco, Aviator Wind, and Newport Solar Holdings to tax equity investors. NorthStar Clean Energy provided certain indemnity obligations that protect the tax equity investors against losses incurred as a result of breaches of representations and warranties under the associated limited liability company agreements. These
obligations are generally capped at an amount equal to the tax equity investor’s capital contributions plus a specified return, less any distributions and tax benefits it receives, in connection with its membership interest. For any indemnity obligations related to Aviator Wind, NorthStar Clean Energy would recover 49 percent of any amounts paid to the tax equity investor from the other owner of Aviator Wind Equity Holdings. Additionally, Aviator Wind holds insurance coverage that would partially protect against losses incurred as a result of certain failures to qualify for production tax credits. For further details on NorthStar Clean Energy’s ownership interest in NWO Holdco, Aviator Wind, and Newport Solar Holdings, see Note 11, Variable Interest Entities.
2These obligations arose from stock and asset sale agreements under which CMS Energy or a subsidiary of CMS Energy indemnified the purchaser for losses resulting from various matters, including claims related to taxes. The maximum obligation amount is mostly related to an Equatorial Guinea tax claim.
3This obligation comprises a guarantee provided by Consumers to the U.S. Department of Energy in connection with a settlement agreement regarding damages resulting from the department’s failure to accept spent nuclear fuel from nuclear power plants formerly owned by Consumers.
Additionally, in the normal course of business, CMS Energy, Consumers, and certain other subsidiaries of CMS Energy have entered into various agreements containing tax and other indemnity provisions for which they are unable to estimate the maximum potential obligation. CMS Energy and Consumers consider the likelihood that they would be required to perform or incur substantial losses related to these indemnities and those disclosed in the table to be remote.
Other Contingencies
In addition to the matters disclosed in this Note and Note 1, Regulatory Matters, there are certain other lawsuits and administrative proceedings before various courts and governmental agencies, as well as unasserted claims that may result in such proceedings, arising in the ordinary course of business to which CMS Energy, Consumers, and certain other subsidiaries of CMS Energy are parties. These other lawsuits, proceedings, and unasserted claims may involve personal injury, property damage, contracts, environmental matters, federal and state taxes, rates, licensing, employment, and other matters. Further, CMS Energy and Consumers occasionally self-report certain regulatory non‑compliance matters that may or may not eventually result in administrative proceedings. CMS Energy and Consumers believe that the outcome of any one of these proceedings and potential claims will not have a material negative effect on their consolidated results of operations, financial condition, or liquidity.
v3.23.3
Financings and Capitalization
 9 Months Ended
Sep. 30, 2023
Debt Instrument [Line Items]  
Financings and Capitalization Financings and Capitalization
Financings: Presented in the following table is a summary of major long-term debt issuances during the nine months ended September 30, 2023:
Principal
(In Millions)		Interest Rate (%)Issuance DateMaturity Date
CMS Energy, parent only
Convertible senior notes$800 3.375 May 2023May 2028
Total CMS Energy, parent only$800 
NorthStar Clean Energy, including subsidiaries
Term loan facility1
$85 variableFebruary 2023November 2023
Total NorthStar Clean Energy, including subsidiaries$85 
Consumers
First mortgage bonds$425 4.650 January 2023March 2028
First mortgage bonds700 4.625 February 2023May 2033
First mortgage bonds115 5.240 May 2023May 2026
First mortgage bonds50 5.070 May 2023May 2029
First mortgage bonds95 5.170 May 2023May 2032
First mortgage bonds140 5.380 May 2023May 2037
First mortgage bonds500 4.900 August 2023February 2029
Total Consumers$2,025 
Total CMS Energy$2,910 
1    In December 2022, a subsidiary of NorthStar Clean Energy entered into a $185 million unsecured term loan credit agreement. Under this credit agreement, a subsidiary of NorthStar Clean Energy borrowed $85 million in 2023.
Issuance of Convertible Senior Notes: In May 2023, CMS Energy issued an aggregate principal amount of $800 million convertible senior notes that bear an interest rate of 3.375 percent and mature in May 2028 unless redeemed, repurchased, or converted earlier. Unamortized debt costs associated with this issuance were $12 million at September 30, 2023. The convertible senior notes rank equal in right of payment to any of CMS Energy’s unsecured indebtedness that is not subordinated. There are no sinking fund requirements for the notes.
Holders of the convertible senior notes may convert their notes at their option in accordance with the conditions outlined in the related indenture. CMS Energy will settle conversions of the notes by paying cash up to the aggregate principal amount of the notes to be converted and paying or delivering, as the case may be, cash, shares of CMS Energy common stock, or a combination of cash and shares of CMS Energy common stock, at its election, in respect of the remainder, if any, of its conversion obligation in excess of the aggregate principal amount of the notes being converted. The conversion rate for the notes is initially 13.5194 shares of common stock per $1,000 principal amount of notes which is equivalent to an initial conversion price of approximately $73.97 per share of common stock. The conversion rate will be subject to adjustment for anti-dilutive events and fundamental change and redemption provisions as described in the related indenture.
CMS Energy may redeem for cash all or any portion of the notes, at its option, on or after May 6, 2026 if the last reported sale price of its common stock has been at least 130 percent of the conversion price then
in effect for at least 20 trading days during any 30 consecutive trading day period. Holders of the convertible senior notes may require CMS Energy to repurchase for cash all or any portion of their notes if a fundamental change, as outlined in the related indenture, occurs. In both cases, CMS Energy will redeem or repurchase the notes at a price equal to 100 percent of the principal amount of the notes to be redeemed or repurchased, plus accrued and unpaid interest.
Retirements: Presented in the following table is a summary of major long-term debt retirements during the nine months ended September 30, 2023:
Principal
(In Millions)		Interest Rate (%)Retirement DateMaturity Date
NorthStar Clean Energy, including subsidiaries
Term loan facility1
$14 variableAugust 2023November 2023
Total NorthStar Clean Energy, including subsidiaries$14 
Consumers
Term loan facility$1,000 variableFebruary 2023January 2024
First mortgage bonds300 0.350June 2023June 2023
First mortgage bonds325 3.375 August 2023August 2023
Total Consumers$1,625 
1    As of September 30, 2023, there was $171 million of loans outstanding bearing an interest rate of 6.416 percent under the unsecured term loan credit agreement.
In October 2023, a subsidiary of NorthStar Clean Energy repaid $66 million of its term loan of with a maturity of November 2023.
CMS Energy’s Purchase of Consumers’ First Mortgage Bonds: During the nine months ended September 30, 2023, CMS Energy purchased the following Consumers’ first mortgage bonds for $192 million:
Repurchase Date
Principal
(In Millions)
Interest Rate
(%)
May 2023First mortgage bonds due 2060$150 2.500 
May 2023First mortgage bonds due 205288 2.650 
August 2023First mortgage bonds due 205023 3.750 
August 2023First mortgage bonds due 205215 2.650 
September 2023First mortgage bonds due 205018 3.100 
September 2023First mortgage bonds due 20513 3.500 
On a consolidated basis, CMS Energy’s repurchase of Consumers’ first mortgage bonds was accounted for as a debt extinguishment and resulted in a pre-tax gain of $17 million for the three months ended September 30, 2023 and a pre-tax gain of $101 million for the nine months ended September 30, 2023, which were recorded in other income on its consolidated statements of income.
Consumers’ outstanding debt held by its parent as a result of CMS Energy’s repurchase of Consumers’ first mortgage bonds was $294 million, net of unamortized discount and fees, which was recorded as long-term debt – related parties on Consumers’ consolidated balance sheet at September 30, 2023.
Credit Facilities: The following credit facilities with banks were available at September 30, 2023:
In Millions
Expiration DateAmount of FacilityAmount BorrowedLetters of Credit OutstandingAmount Available
CMS Energy, parent only
December 14, 20271
$550 $— $20 $530 
September 22, 2024
50 — 50 — 
NorthStar Clean Energy, including subsidiaries
September 25, 20252
$37 $— $37 $— 
Consumers3
December 14, 2027
$1,100 $— $27 $1,073 
November 18, 2024
250 — 68 182 
1There were no borrowings under this facility during the nine months ended September 30, 2023.
2This letter of credit facility is available to Aviator Wind Equity Holdings. For more information regarding Aviator Wind Equity Holdings, see Note 11, Variable Interest Entities.
3Obligations under these facilities are secured by first mortgage bonds of Consumers. There were no borrowings under these facilities during the nine months ended September 30, 2023.
Regulatory Authorization for Financings: Consumers is required to maintain FERC authorization for financings. Any long-term issuances during the authorization period are exempt from FERC’s competitive bidding and negotiated placement requirements. In March 2023, FERC granted Consumers the authority to issue securities between April 1, 2023 and March 31, 2025.
Short-term Borrowings: Under Consumers’ commercial paper program, Consumers may issue, in one or more placements, investment-grade commercial paper notes with maturities of up to 365 days at market interest rates. These issuances are supported by Consumers’ revolving credit facilities and may have an aggregate principal amount outstanding of up to $500 million. While the amount of outstanding commercial paper does not reduce the available capacity of the revolving credit facilities, Consumers does not intend to issue commercial paper in an amount exceeding the available capacity of the facilities. At September 30, 2023, there were $247 million commercial paper notes outstanding under this program with a weighted-average annual interest rate of 5.529 percent, recorded as current notes payable on the consolidated balance sheets of CMS Energy and Consumers.
In December 2022, Consumers renewed a short-term credit agreement with CMS Energy, permitting Consumers to borrow up to $500 million at an interest rate of the prior month’s average one-month Term SOFR minus 0.100 percent. At September 30, 2023, there were $63 million outstanding borrowings under the agreement bearing an interest rate of 5.218 percent.
An unregulated subsidiary of Consumers entered into a short-term credit agreement with NorthStar Clean Energy, permitting it to borrow up to $40 million, from NorthStar Clean Energy, at an interest rate of one‑month Term SOFR plus 1.750 percent. At September 30, 2023, outstanding borrowings under the agreement were $12 million bearing an interest rate of 7.079 percent.
Consumers’ Supplier Financing Program: Under a supplier financing program, Consumers agrees to pay a bank, acting as its payment agent, the stated amount of confirmed invoices from participating suppliers on the original maturity dates of the invoices. The supplier invoices that have been confirmed as valid under the program require payment in full within 60 days of the invoice date. Consumers does not provide collateral or a guarantee to the bank in support of its payment obligations under the agreement, nor does it pay a fee for the service. Consumers or the bank may terminate the supplier financing program agreement upon 30 days prior written notice to the other party. There were no trade payables outstanding under the program in accounts payable on CMS Energy’s and Consumers’ consolidated balance sheets at September 30, 2023, and less than $1 million at December 31, 2022.
Dividend Restrictions: At September 30, 2023, payment of dividends by CMS Energy on its common stock was limited to $7.0 billion under provisions of the Michigan Business Corporation Act of 1972.
Under the provisions of its articles of incorporation, at September 30, 2023, Consumers had $2.0 billion of unrestricted retained earnings available to pay dividends on its common stock to CMS Energy. Provisions of the Federal Power Act and the Natural Gas Act appear to restrict dividends payable by Consumers to the amount of Consumers’ retained earnings. Several decisions from FERC suggest that, under a variety of circumstances, dividends from Consumers on its common stock would not be limited to amounts in Consumers’ retained earnings. Any decision by Consumers to pay dividends on its common stock in excess of retained earnings would be based on specific facts and circumstances and would be subject to a formal regulatory filing process.
During the nine months ended September 30, 2023, Consumers paid $461 million in dividends on its common stock to CMS Energy.
Issuance of Common Stock: Presented in the following table are details of CMS Energy’s forward sales contracts under its equity offering program at September 30, 2023:
Forward Price Per Share
Contract DateMaturity DateNumber of SharesInitialSeptember 30, 2023
August 3, 2022December 31, 20242,944,207$67.59 $68.54 
August 24, 2022December 31, 20241,677,93869.46 70.54 
August 29, 2022December 31, 20241,783,38868.18 69.18 
Under these contracts, CMS Energy may either settle physically by issuing shares of its common stock at the then-applicable forward sale price specified by the agreement or settle net by delivering or receiving cash or shares. CMS Energy may settle the contracts at any time through their maturity dates, and presently intends to physically settle the contracts by delivering shares of its common stock.
The initial forward price in the forward equity sale contracts includes a deduction for commissions and will be adjusted on a daily basis over the term based on an interest rate factor and decreased on certain dates by certain predetermined amounts to reflect expected dividend payments. No amounts are recorded on CMS Energy’s consolidated balance sheets until settlements of the forward equity sale contracts occur. If CMS Energy had elected to net share settle or net cash settle the contracts as of September 30, 2023, CMS Energy would not have been required to deliver shares or pay cash.
Consumers Energy Company  
Debt Instrument [Line Items]  
Financings and Capitalization Financings and Capitalization
Financings: Presented in the following table is a summary of major long-term debt issuances during the nine months ended September 30, 2023:
Principal
(In Millions)		Interest Rate (%)Issuance DateMaturity Date
CMS Energy, parent only
Convertible senior notes$800 3.375 May 2023May 2028
Total CMS Energy, parent only$800 
NorthStar Clean Energy, including subsidiaries
Term loan facility1
$85 variableFebruary 2023November 2023
Total NorthStar Clean Energy, including subsidiaries$85 
Consumers
First mortgage bonds$425 4.650 January 2023March 2028
First mortgage bonds700 4.625 February 2023May 2033
First mortgage bonds115 5.240 May 2023May 2026
First mortgage bonds50 5.070 May 2023May 2029
First mortgage bonds95 5.170 May 2023May 2032
First mortgage bonds140 5.380 May 2023May 2037
First mortgage bonds500 4.900 August 2023February 2029
Total Consumers$2,025 
Total CMS Energy$2,910 
1    In December 2022, a subsidiary of NorthStar Clean Energy entered into a $185 million unsecured term loan credit agreement. Under this credit agreement, a subsidiary of NorthStar Clean Energy borrowed $85 million in 2023.
Issuance of Convertible Senior Notes: In May 2023, CMS Energy issued an aggregate principal amount of $800 million convertible senior notes that bear an interest rate of 3.375 percent and mature in May 2028 unless redeemed, repurchased, or converted earlier. Unamortized debt costs associated with this issuance were $12 million at September 30, 2023. The convertible senior notes rank equal in right of payment to any of CMS Energy’s unsecured indebtedness that is not subordinated. There are no sinking fund requirements for the notes.
Holders of the convertible senior notes may convert their notes at their option in accordance with the conditions outlined in the related indenture. CMS Energy will settle conversions of the notes by paying cash up to the aggregate principal amount of the notes to be converted and paying or delivering, as the case may be, cash, shares of CMS Energy common stock, or a combination of cash and shares of CMS Energy common stock, at its election, in respect of the remainder, if any, of its conversion obligation in excess of the aggregate principal amount of the notes being converted. The conversion rate for the notes is initially 13.5194 shares of common stock per $1,000 principal amount of notes which is equivalent to an initial conversion price of approximately $73.97 per share of common stock. The conversion rate will be subject to adjustment for anti-dilutive events and fundamental change and redemption provisions as described in the related indenture.
CMS Energy may redeem for cash all or any portion of the notes, at its option, on or after May 6, 2026 if the last reported sale price of its common stock has been at least 130 percent of the conversion price then
in effect for at least 20 trading days during any 30 consecutive trading day period. Holders of the convertible senior notes may require CMS Energy to repurchase for cash all or any portion of their notes if a fundamental change, as outlined in the related indenture, occurs. In both cases, CMS Energy will redeem or repurchase the notes at a price equal to 100 percent of the principal amount of the notes to be redeemed or repurchased, plus accrued and unpaid interest.
Retirements: Presented in the following table is a summary of major long-term debt retirements during the nine months ended September 30, 2023:
Principal
(In Millions)		Interest Rate (%)Retirement DateMaturity Date
NorthStar Clean Energy, including subsidiaries
Term loan facility1
$14 variableAugust 2023November 2023
Total NorthStar Clean Energy, including subsidiaries$14 
Consumers
Term loan facility$1,000 variableFebruary 2023January 2024
First mortgage bonds300 0.350June 2023June 2023
First mortgage bonds325 3.375 August 2023August 2023
Total Consumers$1,625 
1    As of September 30, 2023, there was $171 million of loans outstanding bearing an interest rate of 6.416 percent under the unsecured term loan credit agreement.
In October 2023, a subsidiary of NorthStar Clean Energy repaid $66 million of its term loan of with a maturity of November 2023.
CMS Energy’s Purchase of Consumers’ First Mortgage Bonds: During the nine months ended September 30, 2023, CMS Energy purchased the following Consumers’ first mortgage bonds for $192 million:
Repurchase Date
Principal
(In Millions)
Interest Rate
(%)
May 2023First mortgage bonds due 2060$150 2.500 
May 2023First mortgage bonds due 205288 2.650 
August 2023First mortgage bonds due 205023 3.750 
August 2023First mortgage bonds due 205215 2.650 
September 2023First mortgage bonds due 205018 3.100 
September 2023First mortgage bonds due 20513 3.500 
On a consolidated basis, CMS Energy’s repurchase of Consumers’ first mortgage bonds was accounted for as a debt extinguishment and resulted in a pre-tax gain of $17 million for the three months ended September 30, 2023 and a pre-tax gain of $101 million for the nine months ended September 30, 2023, which were recorded in other income on its consolidated statements of income.
Consumers’ outstanding debt held by its parent as a result of CMS Energy’s repurchase of Consumers’ first mortgage bonds was $294 million, net of unamortized discount and fees, which was recorded as long-term debt – related parties on Consumers’ consolidated balance sheet at September 30, 2023.
Credit Facilities: The following credit facilities with banks were available at September 30, 2023:
In Millions
Expiration DateAmount of FacilityAmount BorrowedLetters of Credit OutstandingAmount Available
CMS Energy, parent only
December 14, 20271
$550 $— $20 $530 
September 22, 2024
50 — 50 — 
NorthStar Clean Energy, including subsidiaries
September 25, 20252
$37 $— $37 $— 
Consumers3
December 14, 2027
$1,100 $— $27 $1,073 
November 18, 2024
250 — 68 182 
1There were no borrowings under this facility during the nine months ended September 30, 2023.
2This letter of credit facility is available to Aviator Wind Equity Holdings. For more information regarding Aviator Wind Equity Holdings, see Note 11, Variable Interest Entities.
3Obligations under these facilities are secured by first mortgage bonds of Consumers. There were no borrowings under these facilities during the nine months ended September 30, 2023.
Regulatory Authorization for Financings: Consumers is required to maintain FERC authorization for financings. Any long-term issuances during the authorization period are exempt from FERC’s competitive bidding and negotiated placement requirements. In March 2023, FERC granted Consumers the authority to issue securities between April 1, 2023 and March 31, 2025.
Short-term Borrowings: Under Consumers’ commercial paper program, Consumers may issue, in one or more placements, investment-grade commercial paper notes with maturities of up to 365 days at market interest rates. These issuances are supported by Consumers’ revolving credit facilities and may have an aggregate principal amount outstanding of up to $500 million. While the amount of outstanding commercial paper does not reduce the available capacity of the revolving credit facilities, Consumers does not intend to issue commercial paper in an amount exceeding the available capacity of the facilities. At September 30, 2023, there were $247 million commercial paper notes outstanding under this program with a weighted-average annual interest rate of 5.529 percent, recorded as current notes payable on the consolidated balance sheets of CMS Energy and Consumers.
In December 2022, Consumers renewed a short-term credit agreement with CMS Energy, permitting Consumers to borrow up to $500 million at an interest rate of the prior month’s average one-month Term SOFR minus 0.100 percent. At September 30, 2023, there were $63 million outstanding borrowings under the agreement bearing an interest rate of 5.218 percent.
An unregulated subsidiary of Consumers entered into a short-term credit agreement with NorthStar Clean Energy, permitting it to borrow up to $40 million, from NorthStar Clean Energy, at an interest rate of one‑month Term SOFR plus 1.750 percent. At September 30, 2023, outstanding borrowings under the agreement were $12 million bearing an interest rate of 7.079 percent.
Consumers’ Supplier Financing Program: Under a supplier financing program, Consumers agrees to pay a bank, acting as its payment agent, the stated amount of confirmed invoices from participating suppliers on the original maturity dates of the invoices. The supplier invoices that have been confirmed as valid under the program require payment in full within 60 days of the invoice date. Consumers does not provide collateral or a guarantee to the bank in support of its payment obligations under the agreement, nor does it pay a fee for the service. Consumers or the bank may terminate the supplier financing program agreement upon 30 days prior written notice to the other party. There were no trade payables outstanding under the program in accounts payable on CMS Energy’s and Consumers’ consolidated balance sheets at September 30, 2023, and less than $1 million at December 31, 2022.
Dividend Restrictions: At September 30, 2023, payment of dividends by CMS Energy on its common stock was limited to $7.0 billion under provisions of the Michigan Business Corporation Act of 1972.
Under the provisions of its articles of incorporation, at September 30, 2023, Consumers had $2.0 billion of unrestricted retained earnings available to pay dividends on its common stock to CMS Energy. Provisions of the Federal Power Act and the Natural Gas Act appear to restrict dividends payable by Consumers to the amount of Consumers’ retained earnings. Several decisions from FERC suggest that, under a variety of circumstances, dividends from Consumers on its common stock would not be limited to amounts in Consumers’ retained earnings. Any decision by Consumers to pay dividends on its common stock in excess of retained earnings would be based on specific facts and circumstances and would be subject to a formal regulatory filing process.
During the nine months ended September 30, 2023, Consumers paid $461 million in dividends on its common stock to CMS Energy.
Issuance of Common Stock: Presented in the following table are details of CMS Energy’s forward sales contracts under its equity offering program at September 30, 2023:
Forward Price Per Share
Contract DateMaturity DateNumber of SharesInitialSeptember 30, 2023
August 3, 2022December 31, 20242,944,207$67.59 $68.54 
August 24, 2022December 31, 20241,677,93869.46 70.54 
August 29, 2022December 31, 20241,783,38868.18 69.18 
Under these contracts, CMS Energy may either settle physically by issuing shares of its common stock at the then-applicable forward sale price specified by the agreement or settle net by delivering or receiving cash or shares. CMS Energy may settle the contracts at any time through their maturity dates, and presently intends to physically settle the contracts by delivering shares of its common stock.
The initial forward price in the forward equity sale contracts includes a deduction for commissions and will be adjusted on a daily basis over the term based on an interest rate factor and decreased on certain dates by certain predetermined amounts to reflect expected dividend payments. No amounts are recorded on CMS Energy’s consolidated balance sheets until settlements of the forward equity sale contracts occur. If CMS Energy had elected to net share settle or net cash settle the contracts as of September 30, 2023, CMS Energy would not have been required to deliver shares or pay cash.
v3.23.3
Fair Value Measurements
 9 Months Ended
Sep. 30, 2023
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]  
Fair Value Measurements Fair Value Measurements
Accounting standards define fair value as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants. When measuring fair value, CMS Energy and Consumers are required to incorporate all assumptions that market participants would use in pricing an asset or liability, including assumptions about risk. A fair value hierarchy prioritizes inputs used to measure fair value according to their observability in the market. The three levels of the fair value hierarchy are as follows:
•Level 1 inputs are unadjusted quoted prices in active markets for identical assets or liabilities.
•Level 2 inputs are observable, market-based inputs, other than Level 1 prices. Level 2 inputs may include quoted prices for similar assets or liabilities in active markets, quoted prices in inactive markets, and inputs derived from or corroborated by observable market data.
•Level 3 inputs are unobservable inputs that reflect CMS Energy’s or Consumers’ own assumptions about how market participants would value their assets and liabilities.
CMS Energy and Consumers classify fair value measurements within the fair value hierarchy based on the lowest level of input that is significant to the fair value measurement in its entirety.
Assets and Liabilities Measured at Fair Value on a Recurring Basis
Presented in the following table are CMS Energy’s and Consumers’ assets and liabilities recorded at fair value on a recurring basis:
In Millions
CMS Energy, including ConsumersConsumers
September 30
2023		December 31
2022		September 30
2023		December 31
2022
Assets1
Cash equivalents$8 $— $— $— 
Restricted cash equivalents27 18 27 17 
Nonqualified deferred compensation plan assets27 24 20 18 
Derivative instruments3 2 3 2 
Total assets$65 $44 $50 $37 
Liabilities1
Nonqualified deferred compensation plan liabilities$27 $24 $20 $18 
Total liabilities$27 $24 $20 $18 
1All assets and liabilities were classified as Level 1 with the exception of derivative contracts, which were classified as Level 3.
Cash Equivalents: Cash equivalents and restricted cash equivalents consist of money market funds with daily liquidity.
Nonqualified Deferred Compensation Plan Assets and Liabilities: The nonqualified deferred compensation plan assets consist of mutual funds, which are valued using the daily quoted net asset values. CMS Energy and Consumers value their nonqualified deferred compensation plan liabilities based on the fair values of the plan assets, as they reflect the amount owed to the plan participants in accordance with their investment elections. CMS Energy and Consumers report the assets in other non‑current assets and the liabilities in other non‑current liabilities on their consolidated balance sheets.
Derivative Instruments: CMS Energy and Consumers value their derivative instruments using either a market approach that incorporates information from market transactions, or an income approach that discounts future expected cash flows to a present value amount. CMS Energy’s and Consumers’ derivatives are classified as Level 3.
The majority of derivatives classified as Level 3 are FTRs held by Consumers. Due to the lack of quoted pricing information, Consumers determines the fair value of its FTRs based on Consumers’ average historical settlements. There was no material activity within the Level 3 categories of assets and liabilities during the periods presented.
Consumers Energy Company  
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]  
Fair Value Measurements Fair Value Measurements
Accounting standards define fair value as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants. When measuring fair value, CMS Energy and Consumers are required to incorporate all assumptions that market participants would use in pricing an asset or liability, including assumptions about risk. A fair value hierarchy prioritizes inputs used to measure fair value according to their observability in the market. The three levels of the fair value hierarchy are as follows:
•Level 1 inputs are unadjusted quoted prices in active markets for identical assets or liabilities.
•Level 2 inputs are observable, market-based inputs, other than Level 1 prices. Level 2 inputs may include quoted prices for similar assets or liabilities in active markets, quoted prices in inactive markets, and inputs derived from or corroborated by observable market data.
•Level 3 inputs are unobservable inputs that reflect CMS Energy’s or Consumers’ own assumptions about how market participants would value their assets and liabilities.
CMS Energy and Consumers classify fair value measurements within the fair value hierarchy based on the lowest level of input that is significant to the fair value measurement in its entirety.
Assets and Liabilities Measured at Fair Value on a Recurring Basis
Presented in the following table are CMS Energy’s and Consumers’ assets and liabilities recorded at fair value on a recurring basis:
In Millions
CMS Energy, including ConsumersConsumers
September 30
2023		December 31
2022		September 30
2023		December 31
2022
Assets1
Cash equivalents$8 $— $— $— 
Restricted cash equivalents27 18 27 17 
Nonqualified deferred compensation plan assets27 24 20 18 
Derivative instruments3 2 3 2 
Total assets$65 $44 $50 $37 
Liabilities1
Nonqualified deferred compensation plan liabilities$27 $24 $20 $18 
Total liabilities$27 $24 $20 $18 
1All assets and liabilities were classified as Level 1 with the exception of derivative contracts, which were classified as Level 3.
Cash Equivalents: Cash equivalents and restricted cash equivalents consist of money market funds with daily liquidity.
Nonqualified Deferred Compensation Plan Assets and Liabilities: The nonqualified deferred compensation plan assets consist of mutual funds, which are valued using the daily quoted net asset values. CMS Energy and Consumers value their nonqualified deferred compensation plan liabilities based on the fair values of the plan assets, as they reflect the amount owed to the plan participants in accordance with their investment elections. CMS Energy and Consumers report the assets in other non‑current assets and the liabilities in other non‑current liabilities on their consolidated balance sheets.
Derivative Instruments: CMS Energy and Consumers value their derivative instruments using either a market approach that incorporates information from market transactions, or an income approach that discounts future expected cash flows to a present value amount. CMS Energy’s and Consumers’ derivatives are classified as Level 3.
The majority of derivatives classified as Level 3 are FTRs held by Consumers. Due to the lack of quoted pricing information, Consumers determines the fair value of its FTRs based on Consumers’ average historical settlements. There was no material activity within the Level 3 categories of assets and liabilities during the periods presented.
v3.23.3
Financial Instruments
 9 Months Ended
Sep. 30, 2023
Financial Instruments [Line Items]  
Financial Instruments Financial Instruments
Presented in the following table are the carrying amounts and fair values, by level within the fair value hierarchy, of CMS Energy’s and Consumers’ financial instruments that are not recorded at fair value. The table excludes cash, cash equivalents, short-term financial instruments, and trade accounts receivable and payable whose carrying amounts approximate their fair values. For information about assets and liabilities recorded at fair value and for additional details regarding the fair value hierarchy, see Note 4, Fair Value Measurements.
In Millions
September 30, 2023December 31, 2022
Carrying AmountFair ValueCarrying AmountFair Value
TotalLevelTotalLevel
123123
CMS Energy, including Consumers
Assets
Long-term receivables1
$12 $12 $— $— $12 $14 $14 $— $— $14 
Liabilities
Long-term debt2
15,151 12,927 1,013 9,842 2,072 14,212 12,384 987 8,741 2,656 
Long-term payables3
13 13 — — 13 9 7 — — 7 
Consumers
Assets
Long-term receivables1
$12 $12 $— $— $12 $14 $14 $— $— $14 
Notes receivable – related party4
98 98 — — 98 101 101 — — 101 
Liabilities
Long-term debt5
10,260 8,463 — 6,562 1,901 10,183 8,728 — 6,172 2,556 
Long-term debt – related party294 170 — 170 — — — — — — 
Long-term payables6 6 — — 6 — — — — — 
1Includes current portion of long-term accounts receivable and notes receivable of $6 million at September 30, 2023 and $7 million at December 31, 2022.
2Includes current portion of long-term debt of $1,037 million at September 30, 2023 and $1,090 million at December 31, 2022.
3Includes current portion of long-term payables of $1 million at September 30, 2023 and $2 million at December 31, 2022.
4Includes current portion of notes receivable – related party of $7 million at September 30, 2023 and December 31, 2022.
5Includes current portion of long-term debt of $616 million at September 30, 2023 and $991 million at December 31, 2022.
Notes receivable – related party represents Consumers’ portion of the DB SERP demand note payable issued by CMS Energy to the DB SERP rabbi trust. The demand note bears interest at an annual rate of 4.10 percent and has a maturity date of 2028.
Consumers Energy Company  
Financial Instruments [Line Items]  
Financial Instruments Financial Instruments
Presented in the following table are the carrying amounts and fair values, by level within the fair value hierarchy, of CMS Energy’s and Consumers’ financial instruments that are not recorded at fair value. The table excludes cash, cash equivalents, short-term financial instruments, and trade accounts receivable and payable whose carrying amounts approximate their fair values. For information about assets and liabilities recorded at fair value and for additional details regarding the fair value hierarchy, see Note 4, Fair Value Measurements.
In Millions
September 30, 2023December 31, 2022
Carrying AmountFair ValueCarrying AmountFair Value
TotalLevelTotalLevel
123123
CMS Energy, including Consumers
Assets
Long-term receivables1
$12 $12 $— $— $12 $14 $14 $— $— $14 
Liabilities
Long-term debt2
15,151 12,927 1,013 9,842 2,072 14,212 12,384 987 8,741 2,656 
Long-term payables3
13 13 — — 13 9 7 — — 7 
Consumers
Assets
Long-term receivables1
$12 $12 $— $— $12 $14 $14 $— $— $14 
Notes receivable – related party4
98 98 — — 98 101 101 — — 101 
Liabilities
Long-term debt5
10,260 8,463 — 6,562 1,901 10,183 8,728 — 6,172 2,556 
Long-term debt – related party294 170 — 170 — — — — — — 
Long-term payables6 6 — — 6 — — — — — 
1Includes current portion of long-term accounts receivable and notes receivable of $6 million at September 30, 2023 and $7 million at December 31, 2022.
2Includes current portion of long-term debt of $1,037 million at September 30, 2023 and $1,090 million at December 31, 2022.
3Includes current portion of long-term payables of $1 million at September 30, 2023 and $2 million at December 31, 2022.
4Includes current portion of notes receivable – related party of $7 million at September 30, 2023 and December 31, 2022.
5Includes current portion of long-term debt of $616 million at September 30, 2023 and $991 million at December 31, 2022.
Notes receivable – related party represents Consumers’ portion of the DB SERP demand note payable issued by CMS Energy to the DB SERP rabbi trust. The demand note bears interest at an annual rate of 4.10 percent and has a maturity date of 2028.
v3.23.3
Retirement Benefits
 9 Months Ended
Sep. 30, 2023
Defined Benefit Plan Disclosure [Line Items]  
Retirement Benefits Retirement BenefitsCMS Energy and Consumers provide pension, OPEB, and other retirement benefits to employees under a number of different plans.
Costs: Presented in the following table are the costs (credits) and other changes in plan assets and benefit obligations incurred in CMS Energy’s and Consumers’ retirement benefit plans:
In Millions
DB Pension PlansOPEB Plan
Three Months EndedNine Months EndedThree Months EndedNine Months Ended
September 3020232022202320222023202220232022
CMS Energy, including Consumers
Net periodic credit
Service cost$7 $9 $22 $32 $2 $4 $8 $13 
Interest cost27 21 80 59 11 7 33 21 
Expected return on plan assets(55)(51)(165)(155)(26)(29)(77)(87)
Amortization of:
Net loss2 5 8 32 3 — 9 1 
Prior service cost (credit)1 1 3 3 (10)(12)(31)(38)
Settlement loss3 2 8 6 — — — — 
Net periodic credit$(15)$(13)$(44)$(23)$(20)$(30)$(58)$(90)
Consumers
Net periodic credit
Service cost$7 $9 $21 $32 $2 $4 $8 $13 
Interest cost24 20 75 56 10 6 31 20 
Expected return on plan assets(52)(48)(156)(147)(23)(26)(71)(80)
Amortization of:
Net loss3 5 8 30 3 — 9 — 
Prior service cost (credit)1 1 3 3 (10)(13)(30)(38)
Settlement loss3 2 8 6 — — — — 
Net periodic credit$(14)$(11)$(41)$(20)$(18)$(29)$(53)$(85)
In Consumers’ 2022 electric rate case, the MPSC approved a mechanism allowing Consumers to defer the future recovery or refund of pension and OPEB expenses above or below the amounts used to set existing
rates, respectively, beginning in 2023. At September 30, 2023, CMS Energy, including Consumers, had deferred $9 million of pension credits and $17 million of OPEB costs under this mechanism.
Consumers Energy Company  
Defined Benefit Plan Disclosure [Line Items]  
Retirement Benefits Retirement BenefitsCMS Energy and Consumers provide pension, OPEB, and other retirement benefits to employees under a number of different plans.
Costs: Presented in the following table are the costs (credits) and other changes in plan assets and benefit obligations incurred in CMS Energy’s and Consumers’ retirement benefit plans:
In Millions
DB Pension PlansOPEB Plan
Three Months EndedNine Months EndedThree Months EndedNine Months Ended
September 3020232022202320222023202220232022
CMS Energy, including Consumers
Net periodic credit
Service cost$7 $9 $22 $32 $2 $4 $8 $13 
Interest cost27 21 80 59 11 7 33 21 
Expected return on plan assets(55)(51)(165)(155)(26)(29)(77)(87)
Amortization of:
Net loss2 5 8 32 3 — 9 1 
Prior service cost (credit)1 1 3 3 (10)(12)(31)(38)
Settlement loss3 2 8 6 — — — — 
Net periodic credit$(15)$(13)$(44)$(23)$(20)$(30)$(58)$(90)
Consumers
Net periodic credit
Service cost$7 $9 $21 $32 $2 $4 $8 $13 
Interest cost24 20 75 56 10 6 31 20 
Expected return on plan assets(52)(48)(156)(147)(23)(26)(71)(80)
Amortization of:
Net loss3 5 8 30 3 — 9 — 
Prior service cost (credit)1 1 3 3 (10)(13)(30)(38)
Settlement loss3 2 8 6 — — — — 
Net periodic credit$(14)$(11)$(41)$(20)$(18)$(29)$(53)$(85)
In Consumers’ 2022 electric rate case, the MPSC approved a mechanism allowing Consumers to defer the future recovery or refund of pension and OPEB expenses above or below the amounts used to set existing
rates, respectively, beginning in 2023. At September 30, 2023, CMS Energy, including Consumers, had deferred $9 million of pension credits and $17 million of OPEB costs under this mechanism.
v3.23.3
Income Taxes
 9 Months Ended
Sep. 30, 2023
Income Taxes [Line Items]  
Income Taxes Income Taxes
Presented in the following table is a reconciliation of the statutory U.S. federal income tax rate to the effective income tax rate from continuing operations:
Nine Months Ended September 3020232022
CMS Energy, including Consumers
U.S. federal income tax rate21.0 %21.0 %
Increase (decrease) in income taxes from:
State and local income taxes, net of federal effect1
1.7 5.6 
Renewable energy tax credits(6.9)(5.8)
TCJA excess deferred taxes2
(3.9)(7.2)
Accelerated flow-through of regulatory tax benefits3
— (4.3)
Other, net0.8 0.7 
Effective tax rate12.7 %10.0 %
Consumers
U.S. federal income tax rate21.0 %21.0 %
Increase (decrease) in income taxes from:
State and local income taxes, net of federal effect1
2.9 5.3 
Renewable energy tax credits(4.5)(4.3)
TCJA excess deferred taxes2
(3.7)(5.9)
Accelerated flow-through of regulatory tax benefits3
— (3.5)
Other, net(0.1)0.1 
Effective tax rate15.6 %12.7 %
1CMS Energy initiated a plan to divest immaterial business activities in a non‑Michigan jurisdiction and will no longer have a taxable presence within that jurisdiction after 2023. As a result of these actions, CMS Energy reversed a $13 million non‑Michigan reserve, all of which was recognized at Consumers.
2In 2020, the MPSC authorized Consumers to accelerate the amortization of the gas portion of its regulatory liability associated with unprotected, non-property-related excess deferred income taxes resulting from the TCJA. This portion of the regulatory liability was fully amortized in 2022.
3In 2020, the MPSC authorized Consumers to accelerate the amortization of income tax benefits associated with the cost to remove gas plant assets. These tax benefits were fully amortized in 2022.
Consumers Energy Company  
Income Taxes [Line Items]  
Income Taxes Income Taxes
Presented in the following table is a reconciliation of the statutory U.S. federal income tax rate to the effective income tax rate from continuing operations:
Nine Months Ended September 3020232022
CMS Energy, including Consumers
U.S. federal income tax rate21.0 %21.0 %
Increase (decrease) in income taxes from:
State and local income taxes, net of federal effect1
1.7 5.6 
Renewable energy tax credits(6.9)(5.8)
TCJA excess deferred taxes2
(3.9)(7.2)
Accelerated flow-through of regulatory tax benefits3
— (4.3)
Other, net0.8 0.7 
Effective tax rate12.7 %10.0 %
Consumers
U.S. federal income tax rate21.0 %21.0 %
Increase (decrease) in income taxes from:
State and local income taxes, net of federal effect1
2.9 5.3 
Renewable energy tax credits(4.5)(4.3)
TCJA excess deferred taxes2
(3.7)(5.9)
Accelerated flow-through of regulatory tax benefits3
— (3.5)
Other, net(0.1)0.1 
Effective tax rate15.6 %12.7 %
1CMS Energy initiated a plan to divest immaterial business activities in a non‑Michigan jurisdiction and will no longer have a taxable presence within that jurisdiction after 2023. As a result of these actions, CMS Energy reversed a $13 million non‑Michigan reserve, all of which was recognized at Consumers.
2In 2020, the MPSC authorized Consumers to accelerate the amortization of the gas portion of its regulatory liability associated with unprotected, non-property-related excess deferred income taxes resulting from the TCJA. This portion of the regulatory liability was fully amortized in 2022.
3In 2020, the MPSC authorized Consumers to accelerate the amortization of income tax benefits associated with the cost to remove gas plant assets. These tax benefits were fully amortized in 2022.
v3.23.3
Earnings Per Share - CMS Energy
 9 Months Ended
Sep. 30, 2023
Earnings Per Share [Abstract]  
Earnings Per Share - CMS Energy Earnings Per Share—CMS Energy
Presented in the following table are CMS Energy’s basic and diluted EPS computations based on income from continuing operations:
In Millions, Except Per Share Amounts
Three Months EndedNine Months Ended
September 302023202220232022
Income available to common stockholders
Income from continuing operations$173 $163 $556 $646 
Less loss attributable to noncontrolling interests(3)(2)(21)(16)
Less preferred stock dividends2 2 7 7 
Income from continuing operations available to common stockholders – basic and diluted$174 $163 $570 $655 
Average common shares outstanding
Weighted-average shares – basic291.0 289.6 290.9 289.5 
Add dilutive nonvested stock awards0.4 0.4 0.4 0.4 
Add dilutive forward equity sale contracts— 0.1 — 0.1 
Weighted-average shares – diluted291.4 290.1 291.3 290.0 
Income from continuing operations per average common share available to common stockholders
Basic$0.60 $0.56 $1.96 $2.26 
Diluted0.60 0.56 1.96 2.26 
Nonvested Stock Awards
CMS Energy’s nonvested stock awards are composed of participating and non‑participating securities. The participating securities accrue cash dividends when common stockholders receive dividends. Since the recipient is not required to return the dividends to CMS Energy if the recipient forfeits the award, the nonvested stock awards are considered participating securities. As such, the participating nonvested stock awards were included in the computation of basic EPS. The non‑participating securities accrue stock dividends that vest concurrently with the stock award. If the recipient forfeits the award, the stock dividends accrued on the non‑participating securities are also forfeited. Accordingly, the non‑participating awards and stock dividends were included in the computation of diluted EPS, but not in the computation of basic EPS.
Forward Equity Sale Contracts
CMS Energy has entered into forward equity sale contracts. These forward equity sale contracts are non‑participating securities. While the forward sale price in the forward equity sale contract is decreased on certain dates by certain predetermined amounts to reflect expected dividend payments, these price adjustments were set upon inception of the agreement and the forward contract does not give the owner the right to participate in undistributed earnings. Accordingly, the forward equity sale contracts were included in the computation of diluted EPS, but not in the computation of basic EPS. For further details on the forward equity sale contracts, see Note 3, Financings and Capitalization.
Convertible Securities
In May 2023, CMS Energy issued an aggregate principal amount of $800 million convertible senior notes. Potentially dilutive common shares issuable upon conversion of the convertible senior notes are determined using the if-converted method for calculating diluted EPS. Upon conversion, the convertible senior notes are required to be paid in cash with only amounts exceeding the principal permitted to be settled in shares. The convertible senior notes were anti-dilutive for the three and nine months ended September 30, 2023. For further details on CMS Energy’s convertible senior notes, see Note 3, Financings and Capitalization.
v3.23.3
Revenue
 9 Months Ended
Sep. 30, 2023
Disaggregation of Revenue [Line Items]  
Revenue RevenuePresented in the following tables are the components of operating revenue:
In Millions
Three Months Ended September 30, 2023Electric UtilityGas Utility
NorthStar Clean Energy1
Consolidated
CMS Energy, including Consumers
Consumers utility revenue$1,348 $243 $— $1,591 
Other— — 48 48 
Revenue recognized from contracts with customers$1,348 $243 $48 $1,639 
Leasing income— — 30 30 
Financing income2 1 — 3 
Consumers alternative-revenue programs1 — — 1 
Total operating revenue – CMS Energy$1,351 $244 $78 $1,673 
Consumers
Consumers utility revenue
Residential$666 $155 $821 
Commercial443 38 481 
Industrial175 5 180 
Other64 45 109 
Revenue recognized from contracts with customers$1,348 $243 $1,591 
Financing income2 1 3 
Alternative-revenue programs1 — 1 
Other non-segment revenue— — 1 
Total operating revenue – Consumers$1,351 $244 $1,596 
1Amounts represent NorthStar Clean Energy’s operating revenue from independent power production and its sales of energy commodities. Certain of NorthStar Clean Energy’s power sales agreements are accounted for as operating leases. In addition to fixed payments, these agreements have variable payments based on energy delivered. NorthStar Clean Energy’s leasing income included variable lease payments of $19 million for the three months ended September 30, 2023.
In Millions
Three Months Ended September 30, 2022Electric UtilityGas Utility
NorthStar Clean Energy1
Consolidated
CMS Energy, including Consumers
Consumers utility revenue$1,591 $294 $— $1,885 
Other— — 70 70 
Revenue recognized from contracts with customers$1,591 $294 $70 $1,955 
Leasing income— — 68 68 
Financing income3 1 — 4 
Consumers alternative-revenue programs— (3)— (3)
Total operating revenue – CMS Energy$1,594 $292 $138 $2,024 
Consumers
Consumers utility revenue
Residential$767 $190 $957 
Commercial515 51 566 
Industrial226 10 236 
Other83 43 126 
Revenue recognized from contracts with customers$1,591 $294 $1,885 
Financing income3 1 4 
Alternative-revenue programs— (3)(3)
Total operating revenue – Consumers$1,594 $292 $1,886 
1Amounts represent NorthStar Clean Energy’s operating revenue from independent power production and its sales of energy commodities. Certain of NorthStar Clean Energy’s power sales agreements are accounted for as operating leases. In addition to fixed payments, these agreements have variable payments based on energy delivered. NorthStar Clean Energy’s leasing income included variable lease payments of $57 million for the three months ended September 30, 2022.
In Millions
Nine Months Ended September 30, 2023Electric UtilityGas Utility
NorthStar Clean Energy1
Consolidated
CMS Energy, including Consumers
Consumers utility revenue$3,552 $1,715 $— $5,267 
Other— — 134 134 
Revenue recognized from contracts with customers$3,552 $1,715 $134 $5,401 
Leasing income— — 88 88 
Financing income7 5 — 12 
Consumers alternative-revenue programs11 — — 11 
Total operating revenue – CMS Energy$3,570 $1,720 $222 $5,512 
Consumers
Consumers utility revenue
Residential$1,707 $1,160 $2,867 
Commercial1,183 353 1,536 
Industrial495 44 539 
Other167 158 325 
Revenue recognized from contracts with customers$3,552 $1,715 $5,267 
Financing income7 5 12 
Alternative-revenue programs11 — 11 
Other non-segment revenue— — 1 
Total operating revenue – Consumers$3,570 $1,720 $5,291 
1Amounts represent NorthStar Clean Energy’s operating revenue from independent power production and its sales of energy commodities. Certain of NorthStar Clean Energy’s power sales agreements are accounted for as operating leases. In addition to fixed payments, these agreements have variable payments based on energy delivered. NorthStar Clean Energy’s leasing income included variable lease payments of $57 million for the nine months ended September 30, 2023.
In Millions
Nine Months Ended September 30, 2022Electric UtilityGas Utility
NorthStar Clean Energy1
Consolidated
CMS Energy, including Consumers
Consumers utility revenue$4,151 $1,809 $— $5,960 
Other— — 155 155 
Revenue recognized from contracts with customers$4,151 $1,809 $155 $6,115 
Leasing income— — 192 192 
Financing income8 5 — 13 
Consumers alternative-revenue programs1 (3)— (2)
Total operating revenue – CMS Energy$4,160 $1,811 $347 $6,318 
Consumers
Consumers utility revenue
Residential$1,955 $1,239 $3,194 
Commercial1,319 371 1,690 
Industrial601 53 654 
Other276 146 422 
Revenue recognized from contracts with customers$4,151 $1,809 $5,960 
Financing income8 5 13 
Alternative-revenue programs1 (3)(2)
Total operating revenue – Consumers$4,160 $1,811 $5,971 
1Amounts represent NorthStar Clean Energy’s operating revenue from independent power production and its sales of energy commodities. Certain of NorthStar Clean Energy’s power sales agreements are accounted for as operating leases. In addition to fixed payments, these agreements have variable payments based on energy delivered. NorthStar Clean Energy’s leasing income included variable lease payments of $154 million for the nine months ended September 30, 2022.
Electric and Gas Utilities
Consumers Utility Revenue: Consumers recognizes revenue primarily from the sale of electric and gas utility services at tariff-based rates regulated by the MPSC. Consumers’ customer base consists of a mix of residential, commercial, and diversified industrial customers. Consumers’ tariff-based sales performance obligations are described below.
•Consumers has performance obligations for the service of standing ready to deliver electricity or natural gas to customers, and it satisfies these performance obligations over time. Consumers recognizes revenue at a fixed rate as it provides these services. These arrangements generally do not have fixed terms and remain in effect as long as the customer consumes the utility service. The rates are set by the MPSC through the rate-making process and represent the stand-alone selling price of Consumers’ service to stand ready to deliver.
•Consumers has performance obligations for the service of delivering the commodity of electricity or natural gas to customers, and it satisfies these performance obligations upon delivery. Consumers recognizes revenue at a price per unit of electricity or natural gas delivered, based on the tariffs established by the MPSC. These arrangements generally do not have fixed terms and remain in effect as long as the customer consumes the utility service. The rates are set by the MPSC through the rate-making process and represent the stand-alone selling price of a bundled
product comprising the commodity, electricity or natural gas, and the service of delivering such commodity.
In some instances, Consumers has specific fixed-term contracts with large commercial and industrial customers to provide electricity or gas at certain tariff rates or to provide gas transportation services at contracted rates. The amount of electricity and gas to be delivered under these contracts and the associated future revenue to be received are generally dependent on the customers’ needs. Accordingly, Consumers recognizes revenues at the tariff or contracted rate as electricity or gas is delivered to the customer. Consumers also has other miscellaneous contracts with customers related to pole and other property rentals, appliance service plans, and utility contract work. Generally, these contracts are short term or evergreen in nature.
Accounts Receivable and Unbilled Revenues: Accounts receivable comprise trade receivables and unbilled receivables. CMS Energy and Consumers record their accounts receivable at cost less an allowance for uncollectible accounts. The allowance is increased for uncollectible accounts expense and decreased for account write-offs net of recoveries. CMS Energy and Consumers establish the allowance based on historical losses, management’s assessment of existing economic conditions, customer payment trends, and reasonable and supported forecast information. CMS Energy and Consumers assess late payment fees on trade receivables based on contractual past-due terms established with customers. Accounts are written off when deemed uncollectible, which is generally when they become six months past due.
CMS Energy and Consumers recorded uncollectible accounts expense of $15 million for the three months ended September 30, 2023 and $13 million for the three months ended September 30, 2022. CMS Energy and Consumers recorded uncollectible accounts expense of $32 million for the nine months ended September 30, 2023 and $31 million for the nine months ended September 30, 2022.
Consumers’ customers are billed monthly in cycles having billing dates that do not generally coincide with the end of a calendar month. This results in customers having received electricity or natural gas that they have not been billed for as of the month-end. Consumers estimates its unbilled revenues by applying an average billed rate to total unbilled deliveries for each customer class. Unbilled revenues, which are recorded as accounts receivable and accrued revenue on CMS Energy’s and Consumers’ consolidated balance sheets, were $321 million at September 30, 2023 and $663 million at December 31, 2022.
Alternative‑revenue Programs: Under a demand response incentive mechanism, Consumers earns a financial incentive when it meets demand response targets set by the MPSC. Consumers recognizes revenue related to this program once demand response incentive objectives are complete, the incentive amount is calculable, and the incentive revenue will be collected within a 24‑month period.
Under a gas revenue decoupling mechanism authorized by the MPSC, Consumers is allowed to adjust future gas rates for differences between Consumers’ actual weather‑normalized, non‑fuel revenues and the revenues approved by the MPSC. Consumers accounts for this program as an alternative‑revenue program that meets the criteria for recognizing the effects of decoupling adjustments on revenue as gas is delivered.
Consumers does not reclassify revenue from its alternative-revenue program to revenue from contracts with customers at the time the amounts are collected from customers.
Consumers Energy Company  
Disaggregation of Revenue [Line Items]  
Revenue RevenuePresented in the following tables are the components of operating revenue:
In Millions
Three Months Ended September 30, 2023Electric UtilityGas Utility
NorthStar Clean Energy1
Consolidated
CMS Energy, including Consumers
Consumers utility revenue$1,348 $243 $— $1,591 
Other— — 48 48 
Revenue recognized from contracts with customers$1,348 $243 $48 $1,639 
Leasing income— — 30 30 
Financing income2 1 — 3 
Consumers alternative-revenue programs1 — — 1 
Total operating revenue – CMS Energy$1,351 $244 $78 $1,673 
Consumers
Consumers utility revenue
Residential$666 $155 $821 
Commercial443 38 481 
Industrial175 5 180 
Other64 45 109 
Revenue recognized from contracts with customers$1,348 $243 $1,591 
Financing income2 1 3 
Alternative-revenue programs1 — 1 
Other non-segment revenue— — 1 
Total operating revenue – Consumers$1,351 $244 $1,596 
1Amounts represent NorthStar Clean Energy’s operating revenue from independent power production and its sales of energy commodities. Certain of NorthStar Clean Energy’s power sales agreements are accounted for as operating leases. In addition to fixed payments, these agreements have variable payments based on energy delivered. NorthStar Clean Energy’s leasing income included variable lease payments of $19 million for the three months ended September 30, 2023.
In Millions
Three Months Ended September 30, 2022Electric UtilityGas Utility
NorthStar Clean Energy1
Consolidated
CMS Energy, including Consumers
Consumers utility revenue$1,591 $294 $— $1,885 
Other— — 70 70 
Revenue recognized from contracts with customers$1,591 $294 $70 $1,955 
Leasing income— — 68 68 
Financing income3 1 — 4 
Consumers alternative-revenue programs— (3)— (3)
Total operating revenue – CMS Energy$1,594 $292 $138 $2,024 
Consumers
Consumers utility revenue
Residential$767 $190 $957 
Commercial515 51 566 
Industrial226 10 236 
Other83 43 126 
Revenue recognized from contracts with customers$1,591 $294 $1,885 
Financing income3 1 4 
Alternative-revenue programs— (3)(3)
Total operating revenue – Consumers$1,594 $292 $1,886 
1Amounts represent NorthStar Clean Energy’s operating revenue from independent power production and its sales of energy commodities. Certain of NorthStar Clean Energy’s power sales agreements are accounted for as operating leases. In addition to fixed payments, these agreements have variable payments based on energy delivered. NorthStar Clean Energy’s leasing income included variable lease payments of $57 million for the three months ended September 30, 2022.
In Millions
Nine Months Ended September 30, 2023Electric UtilityGas Utility
NorthStar Clean Energy1
Consolidated
CMS Energy, including Consumers
Consumers utility revenue$3,552 $1,715 $— $5,267 
Other— — 134 134 
Revenue recognized from contracts with customers$3,552 $1,715 $134 $5,401 
Leasing income— — 88 88 
Financing income7 5 — 12 
Consumers alternative-revenue programs11 — — 11 
Total operating revenue – CMS Energy$3,570 $1,720 $222 $5,512 
Consumers
Consumers utility revenue
Residential$1,707 $1,160 $2,867 
Commercial1,183 353 1,536 
Industrial495 44 539 
Other167 158 325 
Revenue recognized from contracts with customers$3,552 $1,715 $5,267 
Financing income7 5 12 
Alternative-revenue programs11 — 11 
Other non-segment revenue— — 1 
Total operating revenue – Consumers$3,570 $1,720 $5,291 
1Amounts represent NorthStar Clean Energy’s operating revenue from independent power production and its sales of energy commodities. Certain of NorthStar Clean Energy’s power sales agreements are accounted for as operating leases. In addition to fixed payments, these agreements have variable payments based on energy delivered. NorthStar Clean Energy’s leasing income included variable lease payments of $57 million for the nine months ended September 30, 2023.
In Millions
Nine Months Ended September 30, 2022Electric UtilityGas Utility
NorthStar Clean Energy1
Consolidated
CMS Energy, including Consumers
Consumers utility revenue$4,151 $1,809 $— $5,960 
Other— — 155 155 
Revenue recognized from contracts with customers$4,151 $1,809 $155 $6,115 
Leasing income— — 192 192 
Financing income8 5 — 13 
Consumers alternative-revenue programs1 (3)— (2)
Total operating revenue – CMS Energy$4,160 $1,811 $347 $6,318 
Consumers
Consumers utility revenue
Residential$1,955 $1,239 $3,194 
Commercial1,319 371 1,690 
Industrial601 53 654 
Other276 146 422 
Revenue recognized from contracts with customers$4,151 $1,809 $5,960 
Financing income8 5 13 
Alternative-revenue programs1 (3)(2)
Total operating revenue – Consumers$4,160 $1,811 $5,971 
1Amounts represent NorthStar Clean Energy’s operating revenue from independent power production and its sales of energy commodities. Certain of NorthStar Clean Energy’s power sales agreements are accounted for as operating leases. In addition to fixed payments, these agreements have variable payments based on energy delivered. NorthStar Clean Energy’s leasing income included variable lease payments of $154 million for the nine months ended September 30, 2022.
Electric and Gas Utilities
Consumers Utility Revenue: Consumers recognizes revenue primarily from the sale of electric and gas utility services at tariff-based rates regulated by the MPSC. Consumers’ customer base consists of a mix of residential, commercial, and diversified industrial customers. Consumers’ tariff-based sales performance obligations are described below.
•Consumers has performance obligations for the service of standing ready to deliver electricity or natural gas to customers, and it satisfies these performance obligations over time. Consumers recognizes revenue at a fixed rate as it provides these services. These arrangements generally do not have fixed terms and remain in effect as long as the customer consumes the utility service. The rates are set by the MPSC through the rate-making process and represent the stand-alone selling price of Consumers’ service to stand ready to deliver.
•Consumers has performance obligations for the service of delivering the commodity of electricity or natural gas to customers, and it satisfies these performance obligations upon delivery. Consumers recognizes revenue at a price per unit of electricity or natural gas delivered, based on the tariffs established by the MPSC. These arrangements generally do not have fixed terms and remain in effect as long as the customer consumes the utility service. The rates are set by the MPSC through the rate-making process and represent the stand-alone selling price of a bundled
product comprising the commodity, electricity or natural gas, and the service of delivering such commodity.
In some instances, Consumers has specific fixed-term contracts with large commercial and industrial customers to provide electricity or gas at certain tariff rates or to provide gas transportation services at contracted rates. The amount of electricity and gas to be delivered under these contracts and the associated future revenue to be received are generally dependent on the customers’ needs. Accordingly, Consumers recognizes revenues at the tariff or contracted rate as electricity or gas is delivered to the customer. Consumers also has other miscellaneous contracts with customers related to pole and other property rentals, appliance service plans, and utility contract work. Generally, these contracts are short term or evergreen in nature.
Accounts Receivable and Unbilled Revenues: Accounts receivable comprise trade receivables and unbilled receivables. CMS Energy and Consumers record their accounts receivable at cost less an allowance for uncollectible accounts. The allowance is increased for uncollectible accounts expense and decreased for account write-offs net of recoveries. CMS Energy and Consumers establish the allowance based on historical losses, management’s assessment of existing economic conditions, customer payment trends, and reasonable and supported forecast information. CMS Energy and Consumers assess late payment fees on trade receivables based on contractual past-due terms established with customers. Accounts are written off when deemed uncollectible, which is generally when they become six months past due.
CMS Energy and Consumers recorded uncollectible accounts expense of $15 million for the three months ended September 30, 2023 and $13 million for the three months ended September 30, 2022. CMS Energy and Consumers recorded uncollectible accounts expense of $32 million for the nine months ended September 30, 2023 and $31 million for the nine months ended September 30, 2022.
Consumers’ customers are billed monthly in cycles having billing dates that do not generally coincide with the end of a calendar month. This results in customers having received electricity or natural gas that they have not been billed for as of the month-end. Consumers estimates its unbilled revenues by applying an average billed rate to total unbilled deliveries for each customer class. Unbilled revenues, which are recorded as accounts receivable and accrued revenue on CMS Energy’s and Consumers’ consolidated balance sheets, were $321 million at September 30, 2023 and $663 million at December 31, 2022.
Alternative‑revenue Programs: Under a demand response incentive mechanism, Consumers earns a financial incentive when it meets demand response targets set by the MPSC. Consumers recognizes revenue related to this program once demand response incentive objectives are complete, the incentive amount is calculable, and the incentive revenue will be collected within a 24‑month period.
Under a gas revenue decoupling mechanism authorized by the MPSC, Consumers is allowed to adjust future gas rates for differences between Consumers’ actual weather‑normalized, non‑fuel revenues and the revenues approved by the MPSC. Consumers accounts for this program as an alternative‑revenue program that meets the criteria for recognizing the effects of decoupling adjustments on revenue as gas is delivered.
Consumers does not reclassify revenue from its alternative-revenue program to revenue from contracts with customers at the time the amounts are collected from customers.
v3.23.3
Reportable Segments
 9 Months Ended
Sep. 30, 2023
Segment Reporting Information [Line Items]  
Reportable Segments Reportable SegmentsReportable segments consist of business units defined by the products and services they offer. CMS Energy and Consumers evaluate the performance of each segment based on its contribution to net income available to CMS Energy’s common stockholders.
CMS Energy
The segments reported for CMS Energy are:
•electric utility, consisting of regulated activities associated with the generation, purchase, distribution, and sale of electricity in Michigan
•gas utility, consisting of regulated activities associated with the purchase, transmission, storage, distribution, and sale of natural gas in Michigan
•NorthStar Clean Energy, consisting of various subsidiaries engaging in domestic independent power production, including the development and operation of renewable generation, and the marketing of independent power production
CMS Energy presents corporate interest and other expenses, discontinued operations, and Consumers’ other consolidated entities within other reconciling items.
Consumers
The segments reported for Consumers are:
•electric utility, consisting of regulated activities associated with the generation, purchase, distribution, and sale of electricity in Michigan
•gas utility, consisting of regulated activities associated with the purchase, transmission, storage, distribution, and sale of natural gas in Michigan
Consumers’ other consolidated entities are presented within other reconciling items.
Presented in the following tables is financial information by segment:
In Millions
Three Months EndedNine Months Ended
September 302023202220232022
CMS Energy, including Consumers
Operating revenue
Electric utility$1,351 $1,594 $3,570 $4,160 
Gas utility244 292 1,720 1,811 
NorthStar Clean Energy78 138 222 347 
Total operating revenue – CMS Energy$1,673 $2,024 $5,512 $6,318 
Consumers
Operating revenue
Electric utility$1,351 $1,594 $3,570 $4,160 
Gas utility244 292 1,720 1,811 
Other reconciling items1 — 1 — 
Total operating revenue – Consumers$1,596 $1,886 $5,291 $5,971 
CMS Energy, including Consumers
Net income (loss) available to common stockholders
Electric utility$187 $194 $404 $501 
Gas utility4 (13)181 239 
NorthStar Clean Energy16 11 26 26 
Other reconciling items(33)(29)(40)(107)
Total net income available to common stockholders – CMS Energy$174 $163 $571 $659 
Consumers
Net income (loss) available to common stockholder
Electric utility$187 $194 $404 $501 
Gas utility4 (13)181 239 
Other reconciling items(13)8 (9)4 
Total net income available to common stockholder – Consumers$178 $189 $576 $744 
In Millions
September 30, 2023December 31, 2022
CMS Energy, including Consumers
Plant, property, and equipment, gross
Electric utility1
$18,802 $17,870 
Gas utility1
11,985 11,443 
NorthStar Clean Energy1,179 1,148 
Other reconciling items31 30 
Total plant, property, and equipment, gross – CMS Energy$31,997 $30,491 
Consumers
Plant, property, and equipment, gross
Electric utility1
$18,802 $17,870 
Gas utility1
11,985 11,443 
Other reconciling items38 29 
Total plant, property, and equipment, gross – Consumers$30,825 $29,342 
CMS Energy, including Consumers
Total assets
Electric utility1
$18,856 $17,907 
Gas utility1
11,934 11,873 
NorthStar Clean Energy1,575 1,464 
Other reconciling items148 109 
Total assets – CMS Energy$32,513 $31,353 
Consumers
Total assets
Electric utility1
$18,915 $17,968 
Gas utility1
11,979 11,918 
Other reconciling items47 30 
Total assets – Consumers$30,941 $29,916 
1Amounts include a portion of Consumers’ other common assets attributable to both the electric and gas utility businesses.
Consumers Energy Company  
Segment Reporting Information [Line Items]  
Reportable Segments Reportable SegmentsReportable segments consist of business units defined by the products and services they offer. CMS Energy and Consumers evaluate the performance of each segment based on its contribution to net income available to CMS Energy’s common stockholders.
CMS Energy
The segments reported for CMS Energy are:
•electric utility, consisting of regulated activities associated with the generation, purchase, distribution, and sale of electricity in Michigan
•gas utility, consisting of regulated activities associated with the purchase, transmission, storage, distribution, and sale of natural gas in Michigan
•NorthStar Clean Energy, consisting of various subsidiaries engaging in domestic independent power production, including the development and operation of renewable generation, and the marketing of independent power production
CMS Energy presents corporate interest and other expenses, discontinued operations, and Consumers’ other consolidated entities within other reconciling items.
Consumers
The segments reported for Consumers are:
•electric utility, consisting of regulated activities associated with the generation, purchase, distribution, and sale of electricity in Michigan
•gas utility, consisting of regulated activities associated with the purchase, transmission, storage, distribution, and sale of natural gas in Michigan
Consumers’ other consolidated entities are presented within other reconciling items.
Presented in the following tables is financial information by segment:
In Millions
Three Months EndedNine Months Ended
September 302023202220232022
CMS Energy, including Consumers
Operating revenue
Electric utility$1,351 $1,594 $3,570 $4,160 
Gas utility244 292 1,720 1,811 
NorthStar Clean Energy78 138 222 347 
Total operating revenue – CMS Energy$1,673 $2,024 $5,512 $6,318 
Consumers
Operating revenue
Electric utility$1,351 $1,594 $3,570 $4,160 
Gas utility244 292 1,720 1,811 
Other reconciling items1 — 1 — 
Total operating revenue – Consumers$1,596 $1,886 $5,291 $5,971 
CMS Energy, including Consumers
Net income (loss) available to common stockholders
Electric utility$187 $194 $404 $501 
Gas utility4 (13)181 239 
NorthStar Clean Energy16 11 26 26 
Other reconciling items(33)(29)(40)(107)
Total net income available to common stockholders – CMS Energy$174 $163 $571 $659 
Consumers
Net income (loss) available to common stockholder
Electric utility$187 $194 $404 $501 
Gas utility4 (13)181 239 
Other reconciling items(13)8 (9)4 
Total net income available to common stockholder – Consumers$178 $189 $576 $744 
In Millions
September 30, 2023December 31, 2022
CMS Energy, including Consumers
Plant, property, and equipment, gross
Electric utility1
$18,802 $17,870 
Gas utility1
11,985 11,443 
NorthStar Clean Energy1,179 1,148 
Other reconciling items31 30 
Total plant, property, and equipment, gross – CMS Energy$31,997 $30,491 
Consumers
Plant, property, and equipment, gross
Electric utility1
$18,802 $17,870 
Gas utility1
11,985 11,443 
Other reconciling items38 29 
Total plant, property, and equipment, gross – Consumers$30,825 $29,342 
CMS Energy, including Consumers
Total assets
Electric utility1
$18,856 $17,907 
Gas utility1
11,934 11,873 
NorthStar Clean Energy1,575 1,464 
Other reconciling items148 109 
Total assets – CMS Energy$32,513 $31,353 
Consumers
Total assets
Electric utility1
$18,915 $17,968 
Gas utility1
11,979 11,918 
Other reconciling items47 30 
Total assets – Consumers$30,941 $29,916 
1Amounts include a portion of Consumers’ other common assets attributable to both the electric and gas utility businesses.
v3.23.3
Variable Interest Entities
 9 Months Ended
Sep. 30, 2023
Variable Interest Entities [Abstract]  
Variable Interest Entities Variable Interest Entities
In August 2023, NorthStar Clean Energy sold a Class A membership interest in Newport Solar Holdings to tax equity investors. Newport Solar Holdings wholly owns Newport Solar, LLC, a 180-MW solar generation project located in Jackson County, Arkansas. The tax equity investors contributed $17 million to Newport Solar Holdings in August 2023 and $69 million in October 2023, after the project became commercially operational.
NorthStar Clean Energy holds a Class B membership interest in NWO Holdco, which wholly owns Northwest Ohio Wind, LLC, a 100‑MW wind generation project in Paulding County, Ohio. The Class A membership interest in NWO Holdco is held by a tax equity investor.
NorthStar Clean Energy has a 51‑percent ownership interest in Aviator Wind Equity Holdings, which holds a Class B membership interest in Aviator Wind, the holding company of a 525‑MW wind generation project in Coke County, Texas. The Class A membership interest in Aviator Wind is held by a tax equity investor.
Earnings, tax attributes, and cash flows generated by Newport Solar Holdings, NWO Holdco, and Aviator Wind are allocated among and distributed to the membership classes in accordance with the ratios specified in the associated limited liability company agreements; these ratios change over time and are not representative of the ownership interest percentages of each membership class. Since these entities’ income and cash flows are not distributed among their investors based on ownership interest percentages, NorthStar Clean Energy allocates the entities’ income (loss) among the investors by applying the hypothetical liquidation at book value method. This method calculates each investor’s earnings based on a hypothetical liquidation of the entities at the net book value of underlying assets as of the balance sheet date. The liquidation tax gain (loss) is allocated to each investor’s capital account, resulting in income (loss) equal to the period change in the investor’s capital account balance.
Newport Solar Holdings, NWO Holdco, Aviator Wind Equity Holdings, and Aviator Wind are VIEs. In accordance with the associated limited liability company agreements, the tax equity investors are guaranteed preferred returns from these entities. However, NorthStar Clean Energy manages and controls the entities’ operating activities. As a result, NorthStar Clean Energy is the primary beneficiary, as it has the power to direct the activities that most significantly impact the economic performance of the companies, as well as the obligation to absorb losses or the right to receive benefits from the companies. NorthStar Clean Energy consolidates Newport Solar Holdings, NWO Holdco, Aviator Wind Equity Holdings, and Aviator Wind and presents the Class A membership interests and 49 percent of the Class B membership interest in Aviator Wind as noncontrolling interests.
Presented in the following table are the carrying values of the VIEs’ assets and liabilities included on CMS Energy’s consolidated balance sheets:
In Millions
September 30, 2023December 31, 2022
Current
Cash and cash equivalents$34 $43 
Accounts receivable4 7 
Prepayments and other current assets3 7 
Non-current
Plant, property, and equipment, net835 850 
Construction work in progress242 156 
Total assets1
$1,118 $1,063 
Current
Current portion of long-term debt2
$— $100 
Accounts payable19 33 
Non-current
Non-current portion of finance leases23 23 
Asset retirement obligations32 24 
Total liabilities$74 $180 
1Assets may be used only to meet VIEs’ obligations and commitments.
2Following the sale of a Class A membership interest in Newport Solar Holdings, the associated term loan credit agreement remains outstanding at a separate subsidiary of NorthStar Clean Energy. For details on the term loan credit agreement, see Note 3, Financings and Capitalization.
NorthStar Clean Energy is obligated under certain indemnities that protect the tax equity investors against losses incurred as a result of breaches of representations and warranties under the associated limited
liability company agreements. For additional details on these indemnity obligations, see Note 2, Contingencies and Commitments—Guarantees.
Other VIEs: CMS Energy has variable interests in T.E.S. Filer City, Grayling, Genesee, and Craven. While CMS Energy owns 50 percent of each partnership, it is not the primary beneficiary of any of these partnerships because decision making is shared among unrelated parties, and no one party has the ability to direct the activities that most significantly impact the entities’ economic performance, such as operations and maintenance, plant dispatch, and fuel strategy. The partners must agree on all major decisions for each of the partnerships.
Presented in the following table is information about these partnerships:
NameNature of the EntityNature of CMS Energy’s Involvement
T.E.S. Filer City Coal-fueled power generatorLong-term PPA between partnership and Consumers
Employee assignment agreement
Grayling Wood waste-fueled power generatorLong-term PPA between partnership and Consumers
Reduced dispatch agreement with Consumers1
Operating and management contract
Genesee Wood waste-fueled power generatorLong-term PPA between partnership and Consumers
Reduced dispatch agreement with Consumers1
Operating and management contract
Craven Wood waste-fueled power generatorOperating and management contract
1Reduced dispatch agreements allow the facilities to be dispatched based on the market price of power compared with the cost of production of the plants. This results in fuel cost savings that each partnership shares with Consumers’ customers.
The creditors of these partnerships do not have recourse to the general credit of CMS Energy or Consumers. CMS Energy’s maximum risk exposure to these partnerships is generally limited to its investment in the partnerships, which is included in investments on its consolidated balance sheets in the amount of $74 million at September 30, 2023 and $71 million at December 31, 2022.
v3.23.3
Transition Activities
 9 Months Ended
Sep. 30, 2023
Restructuring Cost and Reserve [Line Items]  
Transition Activities Transition Activities
Asset Acquisition: In May 2023, Consumers purchased the Covert Generating Facility, a natural gas-fueled generation facility with 1,200 MW of nameplate capacity in Van Buren County, Michigan for $810 million. In August 2023, Consumers paid an additional $2 million as a result of a post-closing adjustment required under the purchase agreement.
Consumers accounted for the purchase as an asset acquisition, allocating the purchase price to the assets acquired and liabilities assumed based on their relative fair value. The original cost of the plant was $665 million and the seller had recognized $225 million of accumulated depreciation. Upon acquisition, Consumers recorded the net book value of $440 million and a plant acquisition adjustment of $370 million, resulting in an increase to plant, property, and equipment of $810 million. The remainder of the purchase price was allocated among various working capital accounts.
Exit Activities: In accordance with its Clean Energy Plan, Consumers retired the D.E. Karn coal-fueled electric generating units in June 2023. In 2019, when the MPSC approved the retirement of these units, Consumers removed from total plant, property, and equipment an amount representing the projected remaining book value of the two coal-fueled electric generating units upon their retirement, and recorded it as a regulatory asset. As of September 30, 2023, Consumers has recorded a regulatory asset of $655 million representing the remaining book value of these units.
Through a 2020 securitization financing order, the MPSC authorized Consumers to issue securitization bonds in order to finance the recovery of the remaining book value of the two coal-fueled electric generating units upon their retirement. Until securitization, which is expected in the fourth quarter of 2023, the book value of the generating units will remain in rate base and receive full regulatory returns in general rate cases.
Under its Clean Energy Plan, Consumers also plans to retire the J.H. Campbell coal-fueled generating units in 2025. In order to ensure necessary staffing at both D.E. Karn and J.H. Campbell through retirement, Consumers has implemented retention incentive programs. The aggregate cost of the D.E. Karn program, which is now complete, was $32 million. The aggregate cost of the J.H. Campbell program through 2025 is estimated to be $50 million. The MPSC has approved deferred accounting treatment for these costs; these expenses are deferred as a regulatory asset.
As of September 30, 2023, the cumulative cost incurred and charged to expense related to the D.E. Karn retention incentive program was $16 million. Additionally, an amount of $4 million was capitalized as a cost of plant, property, and equipment and an amount of $12 million was deferred as a regulatory asset. The cumulative cost incurred and deferred as a regulatory asset related to the J.H. Campbell retention incentive program was $32 million. The regulatory assets for both programs will be collected from customers over three years.
Presented in the following table is a reconciliation of the retention benefit liability recorded in other liabilities on Consumers’ consolidated balance sheets:
In Millions
Nine Months Ended
September 3020232022
Retention benefit liability at beginning of period$21 $14 
Costs deferred as a regulatory asset1
14 14 
Costs paid or settled(13)— 
Retention benefit liability at the end of the period2
$22 $28 
1Includes $4 million for the three months ended September 30, 2023 and $11 million for the three months ended September 30, 2022.
2Includes current portion of other liabilities of $11 million at September 30, 2023 and $25 million at September 30, 2022.
Consumers Energy Company  
Restructuring Cost and Reserve [Line Items]  
Transition Activities Transition Activities
Asset Acquisition: In May 2023, Consumers purchased the Covert Generating Facility, a natural gas-fueled generation facility with 1,200 MW of nameplate capacity in Van Buren County, Michigan for $810 million. In August 2023, Consumers paid an additional $2 million as a result of a post-closing adjustment required under the purchase agreement.
Consumers accounted for the purchase as an asset acquisition, allocating the purchase price to the assets acquired and liabilities assumed based on their relative fair value. The original cost of the plant was $665 million and the seller had recognized $225 million of accumulated depreciation. Upon acquisition, Consumers recorded the net book value of $440 million and a plant acquisition adjustment of $370 million, resulting in an increase to plant, property, and equipment of $810 million. The remainder of the purchase price was allocated among various working capital accounts.
Exit Activities: In accordance with its Clean Energy Plan, Consumers retired the D.E. Karn coal-fueled electric generating units in June 2023. In 2019, when the MPSC approved the retirement of these units, Consumers removed from total plant, property, and equipment an amount representing the projected remaining book value of the two coal-fueled electric generating units upon their retirement, and recorded it as a regulatory asset. As of September 30, 2023, Consumers has recorded a regulatory asset of $655 million representing the remaining book value of these units.
Through a 2020 securitization financing order, the MPSC authorized Consumers to issue securitization bonds in order to finance the recovery of the remaining book value of the two coal-fueled electric generating units upon their retirement. Until securitization, which is expected in the fourth quarter of 2023, the book value of the generating units will remain in rate base and receive full regulatory returns in general rate cases.
Under its Clean Energy Plan, Consumers also plans to retire the J.H. Campbell coal-fueled generating units in 2025. In order to ensure necessary staffing at both D.E. Karn and J.H. Campbell through retirement, Consumers has implemented retention incentive programs. The aggregate cost of the D.E. Karn program, which is now complete, was $32 million. The aggregate cost of the J.H. Campbell program through 2025 is estimated to be $50 million. The MPSC has approved deferred accounting treatment for these costs; these expenses are deferred as a regulatory asset.
As of September 30, 2023, the cumulative cost incurred and charged to expense related to the D.E. Karn retention incentive program was $16 million. Additionally, an amount of $4 million was capitalized as a cost of plant, property, and equipment and an amount of $12 million was deferred as a regulatory asset. The cumulative cost incurred and deferred as a regulatory asset related to the J.H. Campbell retention incentive program was $32 million. The regulatory assets for both programs will be collected from customers over three years.
Presented in the following table is a reconciliation of the retention benefit liability recorded in other liabilities on Consumers’ consolidated balance sheets:
In Millions
Nine Months Ended
September 3020232022
Retention benefit liability at beginning of period$21 $14 
Costs deferred as a regulatory asset1
14 14 
Costs paid or settled(13)— 
Retention benefit liability at the end of the period2
$22 $28 
1Includes $4 million for the three months ended September 30, 2023 and $11 million for the three months ended September 30, 2022.
2Includes current portion of other liabilities of $11 million at September 30, 2023 and $25 million at September 30, 2022.
v3.23.3
Significant Accounting Policies (Policy)
 9 Months Ended
Sep. 30, 2023
Significant Accounting Policies [Line Items]  
EPS
Nonvested Stock Awards
CMS Energy’s nonvested stock awards are composed of participating and non‑participating securities. The participating securities accrue cash dividends when common stockholders receive dividends. Since the recipient is not required to return the dividends to CMS Energy if the recipient forfeits the award, the nonvested stock awards are considered participating securities. As such, the participating nonvested stock awards were included in the computation of basic EPS. The non‑participating securities accrue stock dividends that vest concurrently with the stock award. If the recipient forfeits the award, the stock dividends accrued on the non‑participating securities are also forfeited. Accordingly, the non‑participating awards and stock dividends were included in the computation of diluted EPS, but not in the computation of basic EPS.
Forward Equity Sale Contracts
CMS Energy has entered into forward equity sale contracts. These forward equity sale contracts are non‑participating securities. While the forward sale price in the forward equity sale contract is decreased on certain dates by certain predetermined amounts to reflect expected dividend payments, these price adjustments were set upon inception of the agreement and the forward contract does not give the owner the right to participate in undistributed earnings. Accordingly, the forward equity sale contracts were included in the computation of diluted EPS, but not in the computation of basic EPS. For further details on the forward equity sale contracts, see Note 3, Financings and Capitalization.
Convertible Securities
In May 2023, CMS Energy issued an aggregate principal amount of $800 million convertible senior notes. Potentially dilutive common shares issuable upon conversion of the convertible senior notes are determined using the if-converted method for calculating diluted EPS. Upon conversion, the convertible senior notes are required to be paid in cash with only amounts exceeding the principal permitted to be settled in shares. The convertible senior notes were anti-dilutive for the three and nine months ended September 30, 2023. For further details on CMS Energy’s convertible senior notes, see Note 3, Financings and Capitalization.
Accounts Receivable Accounts Receivable and Unbilled Revenues: Accounts receivable comprise trade receivables and unbilled receivables. CMS Energy and Consumers record their accounts receivable at cost less an allowance for uncollectible accounts. The allowance is increased for uncollectible accounts expense and decreased for account write-offs net of recoveries. CMS Energy and Consumers establish the allowance based on historical losses, management’s assessment of existing economic conditions, customer payment trends, and reasonable and supported forecast information. CMS Energy and Consumers assess late payment fees on trade receivables based on contractual past-due terms established with customers. Accounts are written off when deemed uncollectible, which is generally when they become six months past due.
Consolidation, Variable Interest Entity NWO Holdco, Aviator Wind Equity Holdings, and Aviator Wind are VIEs. In accordance with the associated limited liability company agreements, the tax equity investors are guaranteed preferred returns from these entities. However, NorthStar Clean Energy manages and controls the entities’ operating activities. As a result, NorthStar Clean Energy is the primary beneficiary, as it has the power to direct the activities that most significantly impact the economic performance of the companies, as well as the obligation to absorb losses or the right to receive benefits from the companies.CMS Energy has variable interests in T.E.S. Filer City, Grayling, Genesee, and Craven. While CMS Energy owns 50 percent of each partnership, it is not the primary beneficiary of any of these partnerships because decision making is shared among unrelated parties, and no one party has the ability to direct the activities that most significantly impact the entities’ economic performance, such as operations and maintenance, plant dispatch, and fuel strategy. The partners must agree on all major decisions for each of the partnerships.
Consumers Energy Company  
Significant Accounting Policies [Line Items]  
Consumers Utility Revenue
Consumers Utility Revenue: Consumers recognizes revenue primarily from the sale of electric and gas utility services at tariff-based rates regulated by the MPSC. Consumers’ customer base consists of a mix of residential, commercial, and diversified industrial customers. Consumers’ tariff-based sales performance obligations are described below.
•Consumers has performance obligations for the service of standing ready to deliver electricity or natural gas to customers, and it satisfies these performance obligations over time. Consumers recognizes revenue at a fixed rate as it provides these services. These arrangements generally do not have fixed terms and remain in effect as long as the customer consumes the utility service. The rates are set by the MPSC through the rate-making process and represent the stand-alone selling price of Consumers’ service to stand ready to deliver.
•Consumers has performance obligations for the service of delivering the commodity of electricity or natural gas to customers, and it satisfies these performance obligations upon delivery. Consumers recognizes revenue at a price per unit of electricity or natural gas delivered, based on the tariffs established by the MPSC. These arrangements generally do not have fixed terms and remain in effect as long as the customer consumes the utility service. The rates are set by the MPSC through the rate-making process and represent the stand-alone selling price of a bundled
product comprising the commodity, electricity or natural gas, and the service of delivering such commodity.
In some instances, Consumers has specific fixed-term contracts with large commercial and industrial customers to provide electricity or gas at certain tariff rates or to provide gas transportation services at contracted rates. The amount of electricity and gas to be delivered under these contracts and the associated future revenue to be received are generally dependent on the customers’ needs. Accordingly, Consumers recognizes revenues at the tariff or contracted rate as electricity or gas is delivered to the customer. Consumers also has other miscellaneous contracts with customers related to pole and other property rentals, appliance service plans, and utility contract work. Generally, these contracts are short term or evergreen in nature.
Accounts Receivable Accounts Receivable and Unbilled Revenues: Accounts receivable comprise trade receivables and unbilled receivables. CMS Energy and Consumers record their accounts receivable at cost less an allowance for uncollectible accounts. The allowance is increased for uncollectible accounts expense and decreased for account write-offs net of recoveries. CMS Energy and Consumers establish the allowance based on historical losses, management’s assessment of existing economic conditions, customer payment trends, and reasonable and supported forecast information. CMS Energy and Consumers assess late payment fees on trade receivables based on contractual past-due terms established with customers. Accounts are written off when deemed uncollectible, which is generally when they become six months past due.
Unbilled Revenues Consumers’ customers are billed monthly in cycles having billing dates that do not generally coincide with the end of a calendar month. This results in customers having received electricity or natural gas that they have not been billed for as of the month-end. Consumers estimates its unbilled revenues by applying an average billed rate to total unbilled deliveries for each customer class.
Alternative-revenue Programs
Alternative‑revenue Programs: Under a demand response incentive mechanism, Consumers earns a financial incentive when it meets demand response targets set by the MPSC. Consumers recognizes revenue related to this program once demand response incentive objectives are complete, the incentive amount is calculable, and the incentive revenue will be collected within a 24‑month period.
Under a gas revenue decoupling mechanism authorized by the MPSC, Consumers is allowed to adjust future gas rates for differences between Consumers’ actual weather‑normalized, non‑fuel revenues and the revenues approved by the MPSC. Consumers accounts for this program as an alternative‑revenue program that meets the criteria for recognizing the effects of decoupling adjustments on revenue as gas is delivered.
Consumers does not reclassify revenue from its alternative-revenue program to revenue from contracts with customers at the time the amounts are collected from customers.
v3.23.3
Contingencies and Commitments (Tables)
 9 Months Ended
Sep. 30, 2023
Site Contingency [Line Items]  
Schedule of Remediation and Other Response Activity Costs by Year CMS Energy expects to pay the following amounts for long-term leachate disposal and operating and maintenance costs during the remainder of 2023 and in each of the next five years:
In Millions
202320242025202620272028
CMS Energy
Long-term leachate disposal and operating and maintenance costs$1 $4 $4 $4 $4 $4 
Summary of Guarantees
Presented in the following table are CMS Energy’s and Consumers’ guarantees at September 30, 2023:
In Millions
Guarantee DescriptionIssue DateExpiration DateMaximum ObligationCarrying Amount
CMS Energy, including Consumers
Indemnity obligations from sale of membership interests in VIEs1
variousindefinite$318 $— 
Indemnity obligations from stock and asset sale agreements2
variousindefinite153 1 
Guarantee3
2011indefinite30 — 
Consumers
Guarantee3
2011indefinite$30 $— 
1These obligations arose from the sale of membership interests in NWO Holdco, Aviator Wind, and Newport Solar Holdings to tax equity investors. NorthStar Clean Energy provided certain indemnity obligations that protect the tax equity investors against losses incurred as a result of breaches of representations and warranties under the associated limited liability company agreements. These
obligations are generally capped at an amount equal to the tax equity investor’s capital contributions plus a specified return, less any distributions and tax benefits it receives, in connection with its membership interest. For any indemnity obligations related to Aviator Wind, NorthStar Clean Energy would recover 49 percent of any amounts paid to the tax equity investor from the other owner of Aviator Wind Equity Holdings. Additionally, Aviator Wind holds insurance coverage that would partially protect against losses incurred as a result of certain failures to qualify for production tax credits. For further details on NorthStar Clean Energy’s ownership interest in NWO Holdco, Aviator Wind, and Newport Solar Holdings, see Note 11, Variable Interest Entities.
2These obligations arose from stock and asset sale agreements under which CMS Energy or a subsidiary of CMS Energy indemnified the purchaser for losses resulting from various matters, including claims related to taxes. The maximum obligation amount is mostly related to an Equatorial Guinea tax claim.
3This obligation comprises a guarantee provided by Consumers to the U.S. Department of Energy in connection with a settlement agreement regarding damages resulting from the department’s failure to accept spent nuclear fuel from nuclear power plants formerly owned by Consumers.
Consumers Energy Company  
Site Contingency [Line Items]  
Schedule of Remediation and Other Response Activity Costs by Year Consumers expects to pay the following amounts for remediation and other response activity costs during the remainder of 2023 and in each of the next five years:
In Millions
202320242025202620272028
Consumers
Remediation and other response activity costs$1 $2 $1 $7 $10 $25 
Summary of Guarantees
Presented in the following table are CMS Energy’s and Consumers’ guarantees at September 30, 2023:
In Millions
Guarantee DescriptionIssue DateExpiration DateMaximum ObligationCarrying Amount
CMS Energy, including Consumers
Indemnity obligations from sale of membership interests in VIEs1
variousindefinite$318 $— 
Indemnity obligations from stock and asset sale agreements2
variousindefinite153 1 
Guarantee3
2011indefinite30 — 
Consumers
Guarantee3
2011indefinite$30 $— 
1These obligations arose from the sale of membership interests in NWO Holdco, Aviator Wind, and Newport Solar Holdings to tax equity investors. NorthStar Clean Energy provided certain indemnity obligations that protect the tax equity investors against losses incurred as a result of breaches of representations and warranties under the associated limited liability company agreements. These
obligations are generally capped at an amount equal to the tax equity investor’s capital contributions plus a specified return, less any distributions and tax benefits it receives, in connection with its membership interest. For any indemnity obligations related to Aviator Wind, NorthStar Clean Energy would recover 49 percent of any amounts paid to the tax equity investor from the other owner of Aviator Wind Equity Holdings. Additionally, Aviator Wind holds insurance coverage that would partially protect against losses incurred as a result of certain failures to qualify for production tax credits. For further details on NorthStar Clean Energy’s ownership interest in NWO Holdco, Aviator Wind, and Newport Solar Holdings, see Note 11, Variable Interest Entities.
2These obligations arose from stock and asset sale agreements under which CMS Energy or a subsidiary of CMS Energy indemnified the purchaser for losses resulting from various matters, including claims related to taxes. The maximum obligation amount is mostly related to an Equatorial Guinea tax claim.
3This obligation comprises a guarantee provided by Consumers to the U.S. Department of Energy in connection with a settlement agreement regarding damages resulting from the department’s failure to accept spent nuclear fuel from nuclear power plants formerly owned by Consumers.
v3.23.3
Financings and Capitalization (Tables)
 9 Months Ended
Sep. 30, 2023
Debt Instrument [Line Items]  
Schedule of Major Long-Term Debt Issuances and Retirements Presented in the following table is a summary of major long-term debt issuances during the nine months ended September 30, 2023:
Principal
(In Millions)		Interest Rate (%)Issuance DateMaturity Date
CMS Energy, parent only
Convertible senior notes$800 3.375 May 2023May 2028
Total CMS Energy, parent only$800 
NorthStar Clean Energy, including subsidiaries
Term loan facility1
$85 variableFebruary 2023November 2023
Total NorthStar Clean Energy, including subsidiaries$85 
Consumers
First mortgage bonds$425 4.650 January 2023March 2028
First mortgage bonds700 4.625 February 2023May 2033
First mortgage bonds115 5.240 May 2023May 2026
First mortgage bonds50 5.070 May 2023May 2029
First mortgage bonds95 5.170 May 2023May 2032
First mortgage bonds140 5.380 May 2023May 2037
First mortgage bonds500 4.900 August 2023February 2029
Total Consumers$2,025 
Total CMS Energy$2,910 
1    In December 2022, a subsidiary of NorthStar Clean Energy entered into a $185 million unsecured term loan credit agreement. Under this credit agreement, a subsidiary of NorthStar Clean Energy borrowed $85 million in 2023.
Presented in the following table is a summary of major long-term debt retirements during the nine months ended September 30, 2023:
Principal
(In Millions)		Interest Rate (%)Retirement DateMaturity Date
NorthStar Clean Energy, including subsidiaries
Term loan facility1
$14 variableAugust 2023November 2023
Total NorthStar Clean Energy, including subsidiaries$14 
Consumers
Term loan facility$1,000 variableFebruary 2023January 2024
First mortgage bonds300 0.350June 2023June 2023
First mortgage bonds325 3.375 August 2023August 2023
Total Consumers$1,625 
1    As of September 30, 2023, there was $171 million of loans outstanding bearing an interest rate of 6.416 percent under the unsecured term loan credit agreement.
During the nine months ended September 30, 2023, CMS Energy purchased the following Consumers’ first mortgage bonds for $192 million:
Repurchase Date
Principal
(In Millions)
Interest Rate
(%)
May 2023First mortgage bonds due 2060$150 2.500 
May 2023First mortgage bonds due 205288 2.650 
August 2023First mortgage bonds due 205023 3.750 
August 2023First mortgage bonds due 205215 2.650 
September 2023First mortgage bonds due 205018 3.100 
September 2023First mortgage bonds due 20513 3.500 
Schedule of Revolving Credit Facilities The following credit facilities with banks were available at September 30, 2023:
In Millions
Expiration DateAmount of FacilityAmount BorrowedLetters of Credit OutstandingAmount Available
CMS Energy, parent only
December 14, 20271
$550 $— $20 $530 
September 22, 2024
50 — 50 — 
NorthStar Clean Energy, including subsidiaries
September 25, 20252
$37 $— $37 $— 
Consumers3
December 14, 2027
$1,100 $— $27 $1,073 
November 18, 2024
250 — 68 182 
1There were no borrowings under this facility during the nine months ended September 30, 2023.
2This letter of credit facility is available to Aviator Wind Equity Holdings. For more information regarding Aviator Wind Equity Holdings, see Note 11, Variable Interest Entities.
3Obligations under these facilities are secured by first mortgage bonds of Consumers. There were no borrowings under these facilities during the nine months ended September 30, 2023.
Schedule of Forward Contracts Presented in the following table are details of CMS Energy’s forward sales contracts under its equity offering program at September 30, 2023:
Forward Price Per Share
Contract DateMaturity DateNumber of SharesInitialSeptember 30, 2023
August 3, 2022December 31, 20242,944,207$67.59 $68.54 
August 24, 2022December 31, 20241,677,93869.46 70.54 
August 29, 2022December 31, 20241,783,38868.18 69.18 
Consumers Energy Company  
Debt Instrument [Line Items]  
Schedule of Major Long-Term Debt Issuances and Retirements Presented in the following table is a summary of major long-term debt issuances during the nine months ended September 30, 2023:
Principal
(In Millions)		Interest Rate (%)Issuance DateMaturity Date
CMS Energy, parent only
Convertible senior notes$800 3.375 May 2023May 2028
Total CMS Energy, parent only$800 
NorthStar Clean Energy, including subsidiaries
Term loan facility1
$85 variableFebruary 2023November 2023
Total NorthStar Clean Energy, including subsidiaries$85 
Consumers
First mortgage bonds$425 4.650 January 2023March 2028
First mortgage bonds700 4.625 February 2023May 2033
First mortgage bonds115 5.240 May 2023May 2026
First mortgage bonds50 5.070 May 2023May 2029
First mortgage bonds95 5.170 May 2023May 2032
First mortgage bonds140 5.380 May 2023May 2037
First mortgage bonds500 4.900 August 2023February 2029
Total Consumers$2,025 
Total CMS Energy$2,910 
1    In December 2022, a subsidiary of NorthStar Clean Energy entered into a $185 million unsecured term loan credit agreement. Under this credit agreement, a subsidiary of NorthStar Clean Energy borrowed $85 million in 2023.
Schedule of Revolving Credit Facilities The following credit facilities with banks were available at September 30, 2023:
In Millions
Expiration DateAmount of FacilityAmount BorrowedLetters of Credit OutstandingAmount Available
CMS Energy, parent only
December 14, 20271
$550 $— $20 $530 
September 22, 2024
50 — 50 — 
NorthStar Clean Energy, including subsidiaries
September 25, 20252
$37 $— $37 $— 
Consumers3
December 14, 2027
$1,100 $— $27 $1,073 
November 18, 2024
250 — 68 182 
1There were no borrowings under this facility during the nine months ended September 30, 2023.
2This letter of credit facility is available to Aviator Wind Equity Holdings. For more information regarding Aviator Wind Equity Holdings, see Note 11, Variable Interest Entities.
3Obligations under these facilities are secured by first mortgage bonds of Consumers. There were no borrowings under these facilities during the nine months ended September 30, 2023.
v3.23.3
Fair Value Measurements (Tables)
 9 Months Ended
Sep. 30, 2023
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]  
Assets And Liabilities Measured At Fair Value On A Recurring Basis
Presented in the following table are CMS Energy’s and Consumers’ assets and liabilities recorded at fair value on a recurring basis:
In Millions
CMS Energy, including ConsumersConsumers
September 30
2023		December 31
2022		September 30
2023		December 31
2022
Assets1
Cash equivalents$8 $— $— $— 
Restricted cash equivalents27 18 27 17 
Nonqualified deferred compensation plan assets27 24 20 18 
Derivative instruments3 2 3 2 
Total assets$65 $44 $50 $37 
Liabilities1
Nonqualified deferred compensation plan liabilities$27 $24 $20 $18 
Total liabilities$27 $24 $20 $18 
1All assets and liabilities were classified as Level 1 with the exception of derivative contracts, which were classified as Level 3.
Consumers Energy Company  
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]  
Assets And Liabilities Measured At Fair Value On A Recurring Basis
Presented in the following table are CMS Energy’s and Consumers’ assets and liabilities recorded at fair value on a recurring basis:
In Millions
CMS Energy, including ConsumersConsumers
September 30
2023		December 31
2022		September 30
2023		December 31
2022
Assets1
Cash equivalents$8 $— $— $— 
Restricted cash equivalents27 18 27 17 
Nonqualified deferred compensation plan assets27 24 20 18 
Derivative instruments3 2 3 2 
Total assets$65 $44 $50 $37 
Liabilities1
Nonqualified deferred compensation plan liabilities$27 $24 $20 $18 
Total liabilities$27 $24 $20 $18 
1All assets and liabilities were classified as Level 1 with the exception of derivative contracts, which were classified as Level 3.
v3.23.3
Financial Instruments (Tables)
 9 Months Ended
Sep. 30, 2023
Financial Instruments [Line Items]  
Schedule Of Carrying Amounts And Fair Values Of Financial Instruments For information about assets and liabilities recorded at fair value and for additional details regarding the fair value hierarchy, see Note 4, Fair Value Measurements.
In Millions
September 30, 2023December 31, 2022
Carrying AmountFair ValueCarrying AmountFair Value
TotalLevelTotalLevel
123123
CMS Energy, including Consumers
Assets
Long-term receivables1
$12 $12 $— $— $12 $14 $14 $— $— $14 
Liabilities
Long-term debt2
15,151 12,927 1,013 9,842 2,072 14,212 12,384 987 8,741 2,656 
Long-term payables3
13 13 — — 13 9 7 — — 7 
Consumers
Assets
Long-term receivables1
$12 $12 $— $— $12 $14 $14 $— $— $14 
Notes receivable – related party4
98 98 — — 98 101 101 — — 101 
Liabilities
Long-term debt5
10,260 8,463 — 6,562 1,901 10,183 8,728 — 6,172 2,556 
Long-term debt – related party294 170 — 170 — — — — — — 
Long-term payables6 6 — — 6 — — — — — 
1Includes current portion of long-term accounts receivable and notes receivable of $6 million at September 30, 2023 and $7 million at December 31, 2022.
2Includes current portion of long-term debt of $1,037 million at September 30, 2023 and $1,090 million at December 31, 2022.
3Includes current portion of long-term payables of $1 million at September 30, 2023 and $2 million at December 31, 2022.
4Includes current portion of notes receivable – related party of $7 million at September 30, 2023 and December 31, 2022.
5Includes current portion of long-term debt of $616 million at September 30, 2023 and $991 million at December 31, 2022.
Consumers Energy Company  
Financial Instruments [Line Items]  
Schedule Of Carrying Amounts And Fair Values Of Financial Instruments For information about assets and liabilities recorded at fair value and for additional details regarding the fair value hierarchy, see Note 4, Fair Value Measurements.
In Millions
September 30, 2023December 31, 2022
Carrying AmountFair ValueCarrying AmountFair Value
TotalLevelTotalLevel
123123
CMS Energy, including Consumers
Assets
Long-term receivables1
$12 $12 $— $— $12 $14 $14 $— $— $14 
Liabilities
Long-term debt2
15,151 12,927 1,013 9,842 2,072 14,212 12,384 987 8,741 2,656 
Long-term payables3
13 13 — — 13 9 7 — — 7 
Consumers
Assets
Long-term receivables1
$12 $12 $— $— $12 $14 $14 $— $— $14 
Notes receivable – related party4
98 98 — — 98 101 101 — — 101 
Liabilities
Long-term debt5
10,260 8,463 — 6,562 1,901 10,183 8,728 — 6,172 2,556 
Long-term debt – related party294 170 — 170 — — — — — — 
Long-term payables6 6 — — 6 — — — — — 
1Includes current portion of long-term accounts receivable and notes receivable of $6 million at September 30, 2023 and $7 million at December 31, 2022.
2Includes current portion of long-term debt of $1,037 million at September 30, 2023 and $1,090 million at December 31, 2022.
3Includes current portion of long-term payables of $1 million at September 30, 2023 and $2 million at December 31, 2022.
4Includes current portion of notes receivable – related party of $7 million at September 30, 2023 and December 31, 2022.
5Includes current portion of long-term debt of $616 million at September 30, 2023 and $991 million at December 31, 2022.
v3.23.3
Retirement Benefits (Tables)
 9 Months Ended
Sep. 30, 2023
Defined Benefit Plan Disclosure [Line Items]  
Schedule Of Net Benefit Costs Presented in the following table are the costs (credits) and other changes in plan assets and benefit obligations incurred in CMS Energy’s and Consumers’ retirement benefit plans:
In Millions
DB Pension PlansOPEB Plan
Three Months EndedNine Months EndedThree Months EndedNine Months Ended
September 3020232022202320222023202220232022
CMS Energy, including Consumers
Net periodic credit
Service cost$7 $9 $22 $32 $2 $4 $8 $13 
Interest cost27 21 80 59 11 7 33 21 
Expected return on plan assets(55)(51)(165)(155)(26)(29)(77)(87)
Amortization of:
Net loss2 5 8 32 3 — 9 1 
Prior service cost (credit)1 1 3 3 (10)(12)(31)(38)
Settlement loss3 2 8 6 — — — — 
Net periodic credit$(15)$(13)$(44)$(23)$(20)$(30)$(58)$(90)
Consumers
Net periodic credit
Service cost$7 $9 $21 $32 $2 $4 $8 $13 
Interest cost24 20 75 56 10 6 31 20 
Expected return on plan assets(52)(48)(156)(147)(23)(26)(71)(80)
Amortization of:
Net loss3 5 8 30 3 — 9 — 
Prior service cost (credit)1 1 3 3 (10)(13)(30)(38)
Settlement loss3 2 8 6 — — — — 
Net periodic credit$(14)$(11)$(41)$(20)$(18)$(29)$(53)$(85)
Consumers Energy Company  
Defined Benefit Plan Disclosure [Line Items]  
Schedule Of Net Benefit Costs Presented in the following table are the costs (credits) and other changes in plan assets and benefit obligations incurred in CMS Energy’s and Consumers’ retirement benefit plans:
In Millions
DB Pension PlansOPEB Plan
Three Months EndedNine Months EndedThree Months EndedNine Months Ended
September 3020232022202320222023202220232022
CMS Energy, including Consumers
Net periodic credit
Service cost$7 $9 $22 $32 $2 $4 $8 $13 
Interest cost27 21 80 59 11 7 33 21 
Expected return on plan assets(55)(51)(165)(155)(26)(29)(77)(87)
Amortization of:
Net loss2 5 8 32 3 — 9 1 
Prior service cost (credit)1 1 3 3 (10)(12)(31)(38)
Settlement loss3 2 8 6 — — — — 
Net periodic credit$(15)$(13)$(44)$(23)$(20)$(30)$(58)$(90)
Consumers
Net periodic credit
Service cost$7 $9 $21 $32 $2 $4 $8 $13 
Interest cost24 20 75 56 10 6 31 20 
Expected return on plan assets(52)(48)(156)(147)(23)(26)(71)(80)
Amortization of:
Net loss3 5 8 30 3 — 9 — 
Prior service cost (credit)1 1 3 3 (10)(13)(30)(38)
Settlement loss3 2 8 6 — — — — 
Net periodic credit$(14)$(11)$(41)$(20)$(18)$(29)$(53)$(85)
v3.23.3
Income Taxes (Tables)
 9 Months Ended
Sep. 30, 2023
Income Taxes [Line Items]  
Schedule Of Effective Income Tax Rate Reconciliation
Presented in the following table is a reconciliation of the statutory U.S. federal income tax rate to the effective income tax rate from continuing operations:
Nine Months Ended September 3020232022
CMS Energy, including Consumers
U.S. federal income tax rate21.0 %21.0 %
Increase (decrease) in income taxes from:
State and local income taxes, net of federal effect1
1.7 5.6 
Renewable energy tax credits(6.9)(5.8)
TCJA excess deferred taxes2
(3.9)(7.2)
Accelerated flow-through of regulatory tax benefits3
— (4.3)
Other, net0.8 0.7 
Effective tax rate12.7 %10.0 %
Consumers
U.S. federal income tax rate21.0 %21.0 %
Increase (decrease) in income taxes from:
State and local income taxes, net of federal effect1
2.9 5.3 
Renewable energy tax credits(4.5)(4.3)
TCJA excess deferred taxes2
(3.7)(5.9)
Accelerated flow-through of regulatory tax benefits3
— (3.5)
Other, net(0.1)0.1 
Effective tax rate15.6 %12.7 %
1CMS Energy initiated a plan to divest immaterial business activities in a non‑Michigan jurisdiction and will no longer have a taxable presence within that jurisdiction after 2023. As a result of these actions, CMS Energy reversed a $13 million non‑Michigan reserve, all of which was recognized at Consumers.
2In 2020, the MPSC authorized Consumers to accelerate the amortization of the gas portion of its regulatory liability associated with unprotected, non-property-related excess deferred income taxes resulting from the TCJA. This portion of the regulatory liability was fully amortized in 2022.
3In 2020, the MPSC authorized Consumers to accelerate the amortization of income tax benefits associated with the cost to remove gas plant assets. These tax benefits were fully amortized in 2022.
Consumers Energy Company  
Income Taxes [Line Items]  
Schedule Of Effective Income Tax Rate Reconciliation
Presented in the following table is a reconciliation of the statutory U.S. federal income tax rate to the effective income tax rate from continuing operations:
Nine Months Ended September 3020232022
CMS Energy, including Consumers
U.S. federal income tax rate21.0 %21.0 %
Increase (decrease) in income taxes from:
State and local income taxes, net of federal effect1
1.7 5.6 
Renewable energy tax credits(6.9)(5.8)
TCJA excess deferred taxes2
(3.9)(7.2)
Accelerated flow-through of regulatory tax benefits3
— (4.3)
Other, net0.8 0.7 
Effective tax rate12.7 %10.0 %
Consumers
U.S. federal income tax rate21.0 %21.0 %
Increase (decrease) in income taxes from:
State and local income taxes, net of federal effect1
2.9 5.3 
Renewable energy tax credits(4.5)(4.3)
TCJA excess deferred taxes2
(3.7)(5.9)
Accelerated flow-through of regulatory tax benefits3
— (3.5)
Other, net(0.1)0.1 
Effective tax rate15.6 %12.7 %
1CMS Energy initiated a plan to divest immaterial business activities in a non‑Michigan jurisdiction and will no longer have a taxable presence within that jurisdiction after 2023. As a result of these actions, CMS Energy reversed a $13 million non‑Michigan reserve, all of which was recognized at Consumers.
2In 2020, the MPSC authorized Consumers to accelerate the amortization of the gas portion of its regulatory liability associated with unprotected, non-property-related excess deferred income taxes resulting from the TCJA. This portion of the regulatory liability was fully amortized in 2022.
3In 2020, the MPSC authorized Consumers to accelerate the amortization of income tax benefits associated with the cost to remove gas plant assets. These tax benefits were fully amortized in 2022.
v3.23.3
Earnings Per Share - CMS Energy (Tables)
 9 Months Ended
Sep. 30, 2023
Earnings Per Share [Abstract]  
Basic And Diluted EPS Computations
Presented in the following table are CMS Energy’s basic and diluted EPS computations based on income from continuing operations:
In Millions, Except Per Share Amounts
Three Months EndedNine Months Ended
September 302023202220232022
Income available to common stockholders
Income from continuing operations$173 $163 $556 $646 
Less loss attributable to noncontrolling interests(3)(2)(21)(16)
Less preferred stock dividends2 2 7 7 
Income from continuing operations available to common stockholders – basic and diluted$174 $163 $570 $655 
Average common shares outstanding
Weighted-average shares – basic291.0 289.6 290.9 289.5 
Add dilutive nonvested stock awards0.4 0.4 0.4 0.4 
Add dilutive forward equity sale contracts— 0.1 — 0.1 
Weighted-average shares – diluted291.4 290.1 291.3 290.0 
Income from continuing operations per average common share available to common stockholders
Basic$0.60 $0.56 $1.96 $2.26 
Diluted0.60 0.56 1.96 2.26 
v3.23.3
Revenue (Tables)
 9 Months Ended
Sep. 30, 2023
Disaggregation of Revenue [Line Items]  
Disaggregation of Revenue Presented in the following tables are the components of operating revenue:
In Millions
Three Months Ended September 30, 2023Electric UtilityGas Utility
NorthStar Clean Energy1
Consolidated
CMS Energy, including Consumers
Consumers utility revenue$1,348 $243 $— $1,591 
Other— — 48 48 
Revenue recognized from contracts with customers$1,348 $243 $48 $1,639 
Leasing income— — 30 30 
Financing income2 1 — 3 
Consumers alternative-revenue programs1 — — 1 
Total operating revenue – CMS Energy$1,351 $244 $78 $1,673 
Consumers
Consumers utility revenue
Residential$666 $155 $821 
Commercial443 38 481 
Industrial175 5 180 
Other64 45 109 
Revenue recognized from contracts with customers$1,348 $243 $1,591 
Financing income2 1 3 
Alternative-revenue programs1 — 1 
Other non-segment revenue— — 1 
Total operating revenue – Consumers$1,351 $244 $1,596 
1Amounts represent NorthStar Clean Energy’s operating revenue from independent power production and its sales of energy commodities. Certain of NorthStar Clean Energy’s power sales agreements are accounted for as operating leases. In addition to fixed payments, these agreements have variable payments based on energy delivered. NorthStar Clean Energy’s leasing income included variable lease payments of $19 million for the three months ended September 30, 2023.
In Millions
Three Months Ended September 30, 2022Electric UtilityGas Utility
NorthStar Clean Energy1
Consolidated
CMS Energy, including Consumers
Consumers utility revenue$1,591 $294 $— $1,885 
Other— — 70 70 
Revenue recognized from contracts with customers$1,591 $294 $70 $1,955 
Leasing income— — 68 68 
Financing income3 1 — 4 
Consumers alternative-revenue programs— (3)— (3)
Total operating revenue – CMS Energy$1,594 $292 $138 $2,024 
Consumers
Consumers utility revenue
Residential$767 $190 $957 
Commercial515 51 566 
Industrial226 10 236 
Other83 43 126 
Revenue recognized from contracts with customers$1,591 $294 $1,885 
Financing income3 1 4 
Alternative-revenue programs— (3)(3)
Total operating revenue – Consumers$1,594 $292 $1,886 
1Amounts represent NorthStar Clean Energy’s operating revenue from independent power production and its sales of energy commodities. Certain of NorthStar Clean Energy’s power sales agreements are accounted for as operating leases. In addition to fixed payments, these agreements have variable payments based on energy delivered. NorthStar Clean Energy’s leasing income included variable lease payments of $57 million for the three months ended September 30, 2022.
In Millions
Nine Months Ended September 30, 2023Electric UtilityGas Utility
NorthStar Clean Energy1
Consolidated
CMS Energy, including Consumers
Consumers utility revenue$3,552 $1,715 $— $5,267 
Other— — 134 134 
Revenue recognized from contracts with customers$3,552 $1,715 $134 $5,401 
Leasing income— — 88 88 
Financing income7 5 — 12 
Consumers alternative-revenue programs11 — — 11 
Total operating revenue – CMS Energy$3,570 $1,720 $222 $5,512 
Consumers
Consumers utility revenue
Residential$1,707 $1,160 $2,867 
Commercial1,183 353 1,536 
Industrial495 44 539 
Other167 158 325 
Revenue recognized from contracts with customers$3,552 $1,715 $5,267 
Financing income7 5 12 
Alternative-revenue programs11 — 11 
Other non-segment revenue— — 1 
Total operating revenue – Consumers$3,570 $1,720 $5,291 
1Amounts represent NorthStar Clean Energy’s operating revenue from independent power production and its sales of energy commodities. Certain of NorthStar Clean Energy’s power sales agreements are accounted for as operating leases. In addition to fixed payments, these agreements have variable payments based on energy delivered. NorthStar Clean Energy’s leasing income included variable lease payments of $57 million for the nine months ended September 30, 2023
In Millions
Nine Months Ended September 30, 2022Electric UtilityGas Utility
NorthStar Clean Energy1
Consolidated
CMS Energy, including Consumers
Consumers utility revenue$4,151 $1,809 $— $5,960 
Other— — 155 155 
Revenue recognized from contracts with customers$4,151 $1,809 $155 $6,115 
Leasing income— — 192 192 
Financing income8 5 — 13 
Consumers alternative-revenue programs1 (3)— (2)
Total operating revenue – CMS Energy$4,160 $1,811 $347 $6,318 
Consumers
Consumers utility revenue
Residential$1,955 $1,239 $3,194 
Commercial1,319 371 1,690 
Industrial601 53 654 
Other276 146 422 
Revenue recognized from contracts with customers$4,151 $1,809 $5,960 
Financing income8 5 13 
Alternative-revenue programs1 (3)(2)
Total operating revenue – Consumers$4,160 $1,811 $5,971 
1Amounts represent NorthStar Clean Energy’s operating revenue from independent power production and its sales of energy commodities. Certain of NorthStar Clean Energy’s power sales agreements are accounted for as operating leases. In addition to fixed payments, these agreements have variable payments based on energy delivered. NorthStar Clean Energy’s leasing income included variable lease payments of $154 million for the nine months ended September 30, 2022.
Consumers Energy Company  
Disaggregation of Revenue [Line Items]  
Disaggregation of Revenue Presented in the following tables are the components of operating revenue:
In Millions
Three Months Ended September 30, 2023Electric UtilityGas Utility
NorthStar Clean Energy1
Consolidated
CMS Energy, including Consumers
Consumers utility revenue$1,348 $243 $— $1,591 
Other— — 48 48 
Revenue recognized from contracts with customers$1,348 $243 $48 $1,639 
Leasing income— — 30 30 
Financing income2 1 — 3 
Consumers alternative-revenue programs1 — — 1 
Total operating revenue – CMS Energy$1,351 $244 $78 $1,673 
Consumers
Consumers utility revenue
Residential$666 $155 $821 
Commercial443 38 481 
Industrial175 5 180 
Other64 45 109 
Revenue recognized from contracts with customers$1,348 $243 $1,591 
Financing income2 1 3 
Alternative-revenue programs1 — 1 
Other non-segment revenue— — 1 
Total operating revenue – Consumers$1,351 $244 $1,596 
1Amounts represent NorthStar Clean Energy’s operating revenue from independent power production and its sales of energy commodities. Certain of NorthStar Clean Energy’s power sales agreements are accounted for as operating leases. In addition to fixed payments, these agreements have variable payments based on energy delivered. NorthStar Clean Energy’s leasing income included variable lease payments of $19 million for the three months ended September 30, 2023.
In Millions
Three Months Ended September 30, 2022Electric UtilityGas Utility
NorthStar Clean Energy1
Consolidated
CMS Energy, including Consumers
Consumers utility revenue$1,591 $294 $— $1,885 
Other— — 70 70 
Revenue recognized from contracts with customers$1,591 $294 $70 $1,955 
Leasing income— — 68 68 
Financing income3 1 — 4 
Consumers alternative-revenue programs— (3)— (3)
Total operating revenue – CMS Energy$1,594 $292 $138 $2,024 
Consumers
Consumers utility revenue
Residential$767 $190 $957 
Commercial515 51 566 
Industrial226 10 236 
Other83 43 126 
Revenue recognized from contracts with customers$1,591 $294 $1,885 
Financing income3 1 4 
Alternative-revenue programs— (3)(3)
Total operating revenue – Consumers$1,594 $292 $1,886 
1Amounts represent NorthStar Clean Energy’s operating revenue from independent power production and its sales of energy commodities. Certain of NorthStar Clean Energy’s power sales agreements are accounted for as operating leases. In addition to fixed payments, these agreements have variable payments based on energy delivered. NorthStar Clean Energy’s leasing income included variable lease payments of $57 million for the three months ended September 30, 2022.
In Millions
Nine Months Ended September 30, 2023Electric UtilityGas Utility
NorthStar Clean Energy1
Consolidated
CMS Energy, including Consumers
Consumers utility revenue$3,552 $1,715 $— $5,267 
Other— — 134 134 
Revenue recognized from contracts with customers$3,552 $1,715 $134 $5,401 
Leasing income— — 88 88 
Financing income7 5 — 12 
Consumers alternative-revenue programs11 — — 11 
Total operating revenue – CMS Energy$3,570 $1,720 $222 $5,512 
Consumers
Consumers utility revenue
Residential$1,707 $1,160 $2,867 
Commercial1,183 353 1,536 
Industrial495 44 539 
Other167 158 325 
Revenue recognized from contracts with customers$3,552 $1,715 $5,267 
Financing income7 5 12 
Alternative-revenue programs11 — 11 
Other non-segment revenue— — 1 
Total operating revenue – Consumers$3,570 $1,720 $5,291 
1Amounts represent NorthStar Clean Energy’s operating revenue from independent power production and its sales of energy commodities. Certain of NorthStar Clean Energy’s power sales agreements are accounted for as operating leases. In addition to fixed payments, these agreements have variable payments based on energy delivered. NorthStar Clean Energy’s leasing income included variable lease payments of $57 million for the nine months ended September 30, 2023
In Millions
Nine Months Ended September 30, 2022Electric UtilityGas Utility
NorthStar Clean Energy1
Consolidated
CMS Energy, including Consumers
Consumers utility revenue$4,151 $1,809 $— $5,960 
Other— — 155 155 
Revenue recognized from contracts with customers$4,151 $1,809 $155 $6,115 
Leasing income— — 192 192 
Financing income8 5 — 13 
Consumers alternative-revenue programs1 (3)— (2)
Total operating revenue – CMS Energy$4,160 $1,811 $347 $6,318 
Consumers
Consumers utility revenue
Residential$1,955 $1,239 $3,194 
Commercial1,319 371 1,690 
Industrial601 53 654 
Other276 146 422 
Revenue recognized from contracts with customers$4,151 $1,809 $5,960 
Financing income8 5 13 
Alternative-revenue programs1 (3)(2)
Total operating revenue – Consumers$4,160 $1,811 $5,971 
1Amounts represent NorthStar Clean Energy’s operating revenue from independent power production and its sales of energy commodities. Certain of NorthStar Clean Energy’s power sales agreements are accounted for as operating leases. In addition to fixed payments, these agreements have variable payments based on energy delivered. NorthStar Clean Energy’s leasing income included variable lease payments of $154 million for the nine months ended September 30, 2022.
v3.23.3
Reportable Segments (Tables)
 9 Months Ended
Sep. 30, 2023
Segment Reporting Information [Line Items]  
Schedule Of Financial Information By Reportable Segments
Presented in the following tables is financial information by segment:
In Millions
Three Months EndedNine Months Ended
September 302023202220232022
CMS Energy, including Consumers
Operating revenue
Electric utility$1,351 $1,594 $3,570 $4,160 
Gas utility244 292 1,720 1,811 
NorthStar Clean Energy78 138 222 347 
Total operating revenue – CMS Energy$1,673 $2,024 $5,512 $6,318 
Consumers
Operating revenue
Electric utility$1,351 $1,594 $3,570 $4,160 
Gas utility244 292 1,720 1,811 
Other reconciling items1 — 1 — 
Total operating revenue – Consumers$1,596 $1,886 $5,291 $5,971 
CMS Energy, including Consumers
Net income (loss) available to common stockholders
Electric utility$187 $194 $404 $501 
Gas utility4 (13)181 239 
NorthStar Clean Energy16 11 26 26 
Other reconciling items(33)(29)(40)(107)
Total net income available to common stockholders – CMS Energy$174 $163 $571 $659 
Consumers
Net income (loss) available to common stockholder
Electric utility$187 $194 $404 $501 
Gas utility4 (13)181 239 
Other reconciling items(13)8 (9)4 
Total net income available to common stockholder – Consumers$178 $189 $576 $744 
In Millions
September 30, 2023December 31, 2022
CMS Energy, including Consumers
Plant, property, and equipment, gross
Electric utility1
$18,802 $17,870 
Gas utility1
11,985 11,443 
NorthStar Clean Energy1,179 1,148 
Other reconciling items31 30 
Total plant, property, and equipment, gross – CMS Energy$31,997 $30,491 
Consumers
Plant, property, and equipment, gross
Electric utility1
$18,802 $17,870 
Gas utility1
11,985 11,443 
Other reconciling items38 29 
Total plant, property, and equipment, gross – Consumers$30,825 $29,342 
CMS Energy, including Consumers
Total assets
Electric utility1
$18,856 $17,907 
Gas utility1
11,934 11,873 
NorthStar Clean Energy1,575 1,464 
Other reconciling items148 109 
Total assets – CMS Energy$32,513 $31,353 
Consumers
Total assets
Electric utility1
$18,915 $17,968 
Gas utility1
11,979 11,918 
Other reconciling items47 30 
Total assets – Consumers$30,941 $29,916 
1Amounts include a portion of Consumers’ other common assets attributable to both the electric and gas utility businesses.
Consumers Energy Company  
Segment Reporting Information [Line Items]  
Schedule Of Financial Information By Reportable Segments
Presented in the following tables is financial information by segment:
In Millions
Three Months EndedNine Months Ended
September 302023202220232022
CMS Energy, including Consumers
Operating revenue
Electric utility$1,351 $1,594 $3,570 $4,160 
Gas utility244 292 1,720 1,811 
NorthStar Clean Energy78 138 222 347 
Total operating revenue – CMS Energy$1,673 $2,024 $5,512 $6,318 
Consumers
Operating revenue
Electric utility$1,351 $1,594 $3,570 $4,160 
Gas utility244 292 1,720 1,811 
Other reconciling items1 — 1 — 
Total operating revenue – Consumers$1,596 $1,886 $5,291 $5,971 
CMS Energy, including Consumers
Net income (loss) available to common stockholders
Electric utility$187 $194 $404 $501 
Gas utility4 (13)181 239 
NorthStar Clean Energy16 11 26 26 
Other reconciling items(33)(29)(40)(107)
Total net income available to common stockholders – CMS Energy$174 $163 $571 $659 
Consumers
Net income (loss) available to common stockholder
Electric utility$187 $194 $404 $501 
Gas utility4 (13)181 239 
Other reconciling items(13)8 (9)4 
Total net income available to common stockholder – Consumers$178 $189 $576 $744 
In Millions
September 30, 2023December 31, 2022
CMS Energy, including Consumers
Plant, property, and equipment, gross
Electric utility1
$18,802 $17,870 
Gas utility1
11,985 11,443 
NorthStar Clean Energy1,179 1,148 
Other reconciling items31 30 
Total plant, property, and equipment, gross – CMS Energy$31,997 $30,491 
Consumers
Plant, property, and equipment, gross
Electric utility1
$18,802 $17,870 
Gas utility1
11,985 11,443 
Other reconciling items38 29 
Total plant, property, and equipment, gross – Consumers$30,825 $29,342 
CMS Energy, including Consumers
Total assets
Electric utility1
$18,856 $17,907 
Gas utility1
11,934 11,873 
NorthStar Clean Energy1,575 1,464 
Other reconciling items148 109 
Total assets – CMS Energy$32,513 $31,353 
Consumers
Total assets
Electric utility1
$18,915 $17,968 
Gas utility1
11,979 11,918 
Other reconciling items47 30 
Total assets – Consumers$30,941 $29,916 
1Amounts include a portion of Consumers’ other common assets attributable to both the electric and gas utility businesses.
v3.23.3
Variable Interest Entities (Tables)
 9 Months Ended
Sep. 30, 2023
Variable Interest Entities [Abstract]  
Schedule of Variable Interest Entities
Presented in the following table are the carrying values of the VIEs’ assets and liabilities included on CMS Energy’s consolidated balance sheets:
In Millions
September 30, 2023December 31, 2022
Current
Cash and cash equivalents$34 $43 
Accounts receivable4 7 
Prepayments and other current assets3 7 
Non-current
Plant, property, and equipment, net835 850 
Construction work in progress242 156 
Total assets1
$1,118 $1,063 
Current
Current portion of long-term debt2
$— $100 
Accounts payable19 33 
Non-current
Non-current portion of finance leases23 23 
Asset retirement obligations32 24 
Total liabilities$74 $180 
1Assets may be used only to meet VIEs’ obligations and commitments.
2Following the sale of a Class A membership interest in Newport Solar Holdings, the associated term loan credit agreement remains outstanding at a separate subsidiary of NorthStar Clean Energy. For details on the term loan credit agreement, see Note 3, Financings and Capitalization.
Presented in the following table is information about these partnerships:
NameNature of the EntityNature of CMS Energy’s Involvement
T.E.S. Filer City Coal-fueled power generatorLong-term PPA between partnership and Consumers
Employee assignment agreement
Grayling Wood waste-fueled power generatorLong-term PPA between partnership and Consumers
Reduced dispatch agreement with Consumers1
Operating and management contract
Genesee Wood waste-fueled power generatorLong-term PPA between partnership and Consumers
Reduced dispatch agreement with Consumers1
Operating and management contract
Craven Wood waste-fueled power generatorOperating and management contract
1Reduced dispatch agreements allow the facilities to be dispatched based on the market price of power compared with the cost of production of the plants. This results in fuel cost savings that each partnership shares with Consumers’ customers.
v3.23.3
Transition Activities - (Tables)
 9 Months Ended
Sep. 30, 2023
Restructuring Cost and Reserve [Line Items]  
Schedule of Retention Benefit Liability Roll Forward
Presented in the following table is a reconciliation of the retention benefit liability recorded in other liabilities on Consumers’ consolidated balance sheets:
In Millions
Nine Months Ended
September 3020232022
Retention benefit liability at beginning of period$21 $14 
Costs deferred as a regulatory asset1
14 14 
Costs paid or settled(13)— 
Retention benefit liability at the end of the period2
$22 $28 
1Includes $4 million for the three months ended September 30, 2023 and $11 million for the three months ended September 30, 2022.
2Includes current portion of other liabilities of $11 million at September 30, 2023 and $25 million at September 30, 2022.
Consumers Energy Company  
Restructuring Cost and Reserve [Line Items]  
Schedule of Retention Benefit Liability Roll Forward
Presented in the following table is a reconciliation of the retention benefit liability recorded in other liabilities on Consumers’ consolidated balance sheets:
In Millions
Nine Months Ended
September 3020232022
Retention benefit liability at beginning of period$21 $14 
Costs deferred as a regulatory asset1
14 14 
Costs paid or settled(13)— 
Retention benefit liability at the end of the period2
$22 $28 
1Includes $4 million for the three months ended September 30, 2023 and $11 million for the three months ended September 30, 2022.
2Includes current portion of other liabilities of $11 million at September 30, 2023 and $25 million at September 30, 2022.
v3.23.3
Regulatory Matters - Quarterly Narrative (Details) - USD ($)
$ in Millions
 1 Months Ended
Jan. 31, 2023
Sep. 30, 2023
May 31, 2023
Apr. 30, 2023
Dec. 31, 2022
Public Utilities, General Disclosures [Line Items]          
Regulatory liabilities   $ 75     $ 104
Consumers Energy Company          
Public Utilities, General Disclosures [Line Items]          
Regulatory liabilities   $ 75     104
Consumers Energy Company | Electric Rate Case          
Public Utilities, General Disclosures [Line Items]          
Additional annual rate increase authorized $ 155        
Rate of return on equity authorized 9.90%        
Surcharge for the recovery of excess distribution investments $ 6        
Consumers Energy Company | Voluntary refund mechanism          
Public Utilities, General Disclosures [Line Items]          
Regulatory liabilities         $ 22
Consumers Energy Company | Contributions to programs assisting vulnerable gas customers          
Public Utilities, General Disclosures [Line Items]          
Regulatory liabilities       $ 5  
Consumers Energy Company | Bill assistance to support vulnerable electric customers          
Public Utilities, General Disclosures [Line Items]          
Regulatory liabilities     $ 9    
Consumers Energy Company | Incremental vegetation management          
Public Utilities, General Disclosures [Line Items]          
Regulatory liabilities     $ 8    
v3.23.3
Contingencies and Commitments (Narrative) (Details)
$ in Millions
 1 Months Ended 9 Months Ended
Jul. 31, 2022
USD ($)
Jun. 30, 2022
USD ($)
Sep. 30, 2023
USD ($)
site
Dec. 31, 2022
USD ($)
Loss Contingencies [Line Items]        
Environmental Loss Contingency, Statement Of Financial Position, Extensible Enumeration, Not Disclosed Flag     recorded liability  
Regulatory assets     $ 3,793 $ 3,595
Consumers Energy Company        
Loss Contingencies [Line Items]        
Regulatory assets     3,793 $ 3,595
Consumers Energy Company | MGP Sites        
Loss Contingencies [Line Items]        
Regulatory assets     $ 102  
Consumers Energy Company | Ludington        
Loss Contingencies [Line Items]        
Ownership share     51.00%  
Consumers Energy Company | Ludington Plant Overhaul Contract Dispute        
Loss Contingencies [Line Items]        
Damages sought   $ 15    
Consumers Energy Company | J.H. Campbell 3 Plant Retirement Contract Dispute        
Loss Contingencies [Line Items]        
Damages sought $ 37      
Bay Harbor        
Loss Contingencies [Line Items]        
Accrual for environmental loss contingencies     $ 44  
Discount rate     4.34%  
Accrual for environmental loss contingencies, inflation rate     1.00%  
Accrual for environmental loss contingencies, gross     $ 54  
NREPA | Electric Utility | Consumers Energy Company        
Loss Contingencies [Line Items]        
Accrual for environmental loss contingencies     2  
NREPA | Gas Utility | Consumers Energy Company        
Loss Contingencies [Line Items]        
Accrual for environmental loss contingencies     1  
NREPA | Minimum | Electric Utility | Consumers Energy Company        
Loss Contingencies [Line Items]        
Remediation and other response activity costs     2  
NREPA | Maximum | Electric Utility | Consumers Energy Company        
Loss Contingencies [Line Items]        
Remediation and other response activity costs     4  
NREPA | Maximum | Gas Utility | Consumers Energy Company        
Loss Contingencies [Line Items]        
Remediation and other response activity costs     3  
CERCLA Liability | Consumers Energy Company        
Loss Contingencies [Line Items]        
Accrual for environmental loss contingencies     3  
CERCLA Liability | Minimum | Consumers Energy Company        
Loss Contingencies [Line Items]        
Remediation and other response activity costs     3  
CERCLA Liability | Maximum | Consumers Energy Company        
Loss Contingencies [Line Items]        
Remediation and other response activity costs     8  
MGP Sites | Consumers Energy Company        
Loss Contingencies [Line Items]        
Accrual for environmental loss contingencies     $ 63  
Number of former MGPs | site     23  
Regulatory asset collection period     10 years  
v3.23.3
Contingencies and Commitments (Schedule of Remediation and Other Response Activity Costs by Year) (Details)
$ in Millions
Sep. 30, 2023
USD ($)
Bay Harbor  
Site Contingency [Line Items]  
2023 $ 1
2024 4
2025 4
2026 4
2027 4
2028 4
Consumers Energy Company | MGP Sites  
Site Contingency [Line Items]  
2023 1
2024 2
2025 1
2026 7
2027 10
2028 $ 25
v3.23.3
Contingencies and Commitments (Summary of Guarantees) (Details)
$ in Millions
 9 Months Ended
Sep. 30, 2023
USD ($)
Variable Interest Entity, Primary Beneficiary | Aviator Wind Class B Membership  
Guarantees And Other Contingencies [Line Items]  
Ownership percentage 49.00%
Guarantees  
Guarantees And Other Contingencies [Line Items]  
Expiration Date indefinite
Maximum Obligation $ 30
Carrying Amount $ 0
Guarantees | Consumers Energy Company  
Guarantees And Other Contingencies [Line Items]  
Expiration Date indefinite
Maximum Obligation $ 30
Carrying Amount $ 0
Indemnification agreement from sale of membership interests in VIEs  
Guarantees And Other Contingencies [Line Items]  
Expiration Date indefinite
Maximum Obligation $ 318
Carrying Amount $ 0
Indemnity obligations from stock and asset sale agreements  
Guarantees And Other Contingencies [Line Items]  
Expiration Date indefinite
Maximum Obligation $ 153
Carrying Amount $ 1
v3.23.3
Financings and Capitalization (Major Long-Term Debt Issuances and Retirements) (Details) - USD ($)
$ in Millions
 9 Months Ended
Sep. 30, 2023
May 31, 2023
Dec. 31, 2022
Debt Instrument [Line Items]      
Principal (In Millions) $ 2,910    
CMS Energy      
Debt Instrument [Line Items]      
Principal (In Millions) 800    
NorthStar Clean Energy, Including Subsidiaries      
Debt Instrument [Line Items]      
Repayments of debt 14    
Principal (In Millions) 85    
Consumers Energy Company      
Debt Instrument [Line Items]      
Repayments of debt 1,625    
Principal (In Millions) 2,025    
Convertible debt | 3.375% Convertible Senior Notes Due 2028 | CMS Energy      
Debt Instrument [Line Items]      
Principal (In Millions) $ 800 $ 800  
Interest rate 3.375% 3.375%  
Term loan facility | Term Loan Facility Due 2023 | NorthStar Clean Energy, Including Subsidiaries      
Debt Instrument [Line Items]      
Principal (In Millions) $ 85    
Interest rate 6.416%    
Maximum borrowing capacity     $ 185
Total principal amount outstanding $ 171    
Term loan facility | Term Loan Facility Due October 2025 | NorthStar Clean Energy, Including Subsidiaries      
Debt Instrument [Line Items]      
Repayments of debt 14    
Term loan facility | Term Loan Facility Due 2024 | Consumers Energy Company      
Debt Instrument [Line Items]      
Repayments of debt 1,000    
First mortgage bonds | 4.650% First Mortgage Bonds Due March 2028 | Consumers Energy Company      
Debt Instrument [Line Items]      
Principal (In Millions) $ 425    
Interest rate 4.65%    
First mortgage bonds | 4.625% First Mortgage Bonds Due May 2033 | Consumers Energy Company      
Debt Instrument [Line Items]      
Principal (In Millions) $ 700    
Interest rate 4.625%    
First mortgage bonds | 5.240% First Mortgage Bonds Due May 2026 | Consumers Energy Company      
Debt Instrument [Line Items]      
Principal (In Millions) $ 115    
Interest rate 5.24%    
First mortgage bonds | 5.070% First Mortgage Bonds Due May 2029 | Consumers Energy Company      
Debt Instrument [Line Items]      
Principal (In Millions) $ 50    
Interest rate 5.07%    
First mortgage bonds | 5.170% First Mortgage Bonds Due May 2032 | Consumers Energy Company      
Debt Instrument [Line Items]      
Principal (In Millions) $ 95    
Interest rate 5.17%    
First mortgage bonds | 5.380% First Mortgage Bonds Due May 2037 | Consumers Energy Company      
Debt Instrument [Line Items]      
Principal (In Millions) $ 140    
Interest rate 5.38%    
First mortgage bonds | 4.900% First Mortgage Bonds Due February 2029 | Consumers Energy Company      
Debt Instrument [Line Items]      
Principal (In Millions) $ 500    
Interest rate 4.90%    
First mortgage bonds | 0.350% First Mortgage Bonds Due June 2023 | Consumers Energy Company      
Debt Instrument [Line Items]      
Repayments of debt $ 300    
Interest rate 0.35%    
First mortgage bonds | 3.375% First Mortgage Bonds Due August 2023 | Consumers Energy Company      
Debt Instrument [Line Items]      
Repayments of debt $ 325    
Interest rate 3.375%    
v3.23.3
Financings and Capitalization (Issuance of Convertible Senior Notes) (Details)
$ / shares in Units, $ in Millions
 1 Months Ended
May 31, 2023
USD ($)
d
$ / shares
Sep. 30, 2023
USD ($)
Debt Instrument [Line Items]    
Principal (In Millions)   $ 2,910
CMS Energy    
Debt Instrument [Line Items]    
Principal (In Millions)   800
3.375% Convertible Senior Notes Due 2028 | Convertible debt | CMS Energy    
Debt Instrument [Line Items]    
Principal (In Millions) $ 800 $ 800
Interest rate 3.375% 3.375%
Unamortized issuance costs $ 12  
Conversion ratio 0.0135194  
Conversion price (in dollars per share) | $ / shares $ 73.97  
Threshold percentage of stock price trigger 130.00%  
Threshold trading days | d 20  
Threshold consecutive trading days | d 30  
Redemption price percentage 100.00%  
v3.23.3
Financings and Capitalization (First Mortgage Bond Purchase) (Details) - USD ($)
$ in Millions
 1 Months Ended 3 Months Ended 9 Months Ended
Oct. 26, 2023
Sep. 30, 2023
Sep. 30, 2023
Aug. 31, 2023
May 31, 2023
Dec. 31, 2022
Debt Instrument [Line Items]            
Principal (In Millions)   $ 2,910 $ 2,910      
Gain on debt extinguishment   17 101      
Long-term debt   14,114 14,114     $ 13,122
Consumers Energy Company            
Debt Instrument [Line Items]            
Repayments of debt     1,625      
Principal (In Millions)   2,025 2,025      
Related Party | Consumers Energy Company            
Debt Instrument [Line Items]            
Long-term debt   294 294     $ 0
CMS Energy            
Debt Instrument [Line Items]            
Payment for purchase of first mortgage bonds     192      
Principal (In Millions)   800 800      
Term Loan Facility Due 2023 | Subsequent Event | NorthStar Clean Energy            
Debt Instrument [Line Items]            
Repayments of debt $ 66          
First mortgage bonds due 2060 | First mortgage bonds | Consumers Energy Company            
Debt Instrument [Line Items]            
Principal (In Millions)         $ 150  
Interest rate         2.50%  
First mortgage bonds due 2052 | First mortgage bonds | Consumers Energy Company            
Debt Instrument [Line Items]            
Principal (In Millions)       $ 15 $ 88  
Interest rate       2.65% 2.65%  
First mortgage bonds due 2050 | First mortgage bonds | Consumers Energy Company            
Debt Instrument [Line Items]            
Principal (In Millions)   $ 18 $ 18 $ 23    
Interest rate   3.10% 3.10% 3.75%    
First mortgage bonds due 2051 | First mortgage bonds | Consumers Energy Company            
Debt Instrument [Line Items]            
Principal (In Millions)   $ 3 $ 3      
Interest rate   3.50% 3.50%      
v3.23.3
Financings and Capitalization (Schedule of Revolving Credit Facilities) (Details)
 9 Months Ended
Sep. 30, 2023
USD ($)
Consumers Energy Company | Letter of Credit  
Line of Credit Facility [Line Items]  
Borrowings $ 0
Consumers Energy Company | Revolving Credit Facilities December 14, 2027  
Line of Credit Facility [Line Items]  
Amount of Facility 1,100,000,000
Amount Borrowed 0
Letters of Credit Outstanding 27,000,000
Amount Available 1,073,000,000
Consumers Energy Company | Revolving Credit Facilities November 18, 2024  
Line of Credit Facility [Line Items]  
Amount of Facility 250,000,000
Amount Borrowed 0
Letters of Credit Outstanding 68,000,000
Amount Available 182,000,000
CMS Energy | Revolving Credit Facilities December 14, 2027  
Line of Credit Facility [Line Items]  
Amount of Facility 550,000,000
Amount Borrowed 0
Letters of Credit Outstanding 20,000,000
Amount Available 530,000,000
CMS Energy | Revolving Credit Facilities December 14, 2027 | Letter of Credit  
Line of Credit Facility [Line Items]  
Borrowings 0
CMS Energy | Revolving Credit Facilities September 22, 2024  
Line of Credit Facility [Line Items]  
Amount of Facility 50,000,000
Amount Borrowed 0
Letters of Credit Outstanding 50,000,000
Amount Available 0
NorthStar Clean Energy, Including Subsidiaries | Revolving Credit Facilities September 25, 2025  
Line of Credit Facility [Line Items]  
Amount of Facility 37,000,000
Amount Borrowed 0
Letters of Credit Outstanding 37,000,000
Amount Available $ 0
v3.23.3
Financings and Capitalization (Narrative) (Details) - USD ($)
 1 Months Ended 9 Months Ended
Dec. 31, 2022
Sep. 30, 2023
Financing And Capitalization [Line Items]    
Notes payable $ 20,000,000 $ 247,000,000
Limitation on payment of stock dividends   7,000,000,000
Dividends paid   $ 461,000,000
Consumers Energy Company    
Financing And Capitalization [Line Items]    
Supplier financing program, payment period   60 days
Supplier financing program, termination period   30 days
Payables under supplier finance program 1,000,000 $ 0
Unrestricted retained earnings   2,000,000,000
Consumers Energy Company | Related Party    
Financing And Capitalization [Line Items]    
Notes payable 75,000,000 75,000,000
Consumers Energy Company | Credit Agreement | Related Party    
Financing And Capitalization [Line Items]    
Maximum borrowing capacity $ 500,000,000  
Notes payable   $ 63,000,000
Interest rate at period end   5.218%
Consumers Energy Company | Credit Agreement | Related Party | SOFR    
Financing And Capitalization [Line Items]    
Basis spread on variable rate (0.10%)  
Consumers Energy Company | Credit Agreement | Subsidiaries    
Financing And Capitalization [Line Items]    
Maximum borrowing capacity   $ 40,000,000
Notes payable   $ 12,000,000
Interest rate at period end   7.079%
Consumers Energy Company | Credit Agreement | Subsidiaries | SOFR    
Financing And Capitalization [Line Items]    
Basis spread on variable rate   1.75%
Consumers Energy Company | Commercial Paper    
Financing And Capitalization [Line Items]    
Short-term debt authorized borrowings   $ 500,000,000
Short-term borrowings outstanding   $ 247,000,000
Interest rate   5.529%
v3.23.3
Financings and Capitalization (Schedule of Forward Stock Contracts) (Details) - $ / shares
Sep. 30, 2023
Aug. 29, 2022
Aug. 24, 2022
Aug. 03, 2022
Forward contracts entered into 8/3/2022        
Debt and Equity Securities, FV-NI [Line Items]        
Number of Shares (in shares)       2,944,207
Initial forward price (in dollars per share) $ 68.54     $ 67.59
Forward contracts entered into 8/24/2022        
Debt and Equity Securities, FV-NI [Line Items]        
Number of Shares (in shares)     1,677,938  
Initial forward price (in dollars per share) 70.54   $ 69.46  
Forward contracts entered into 8/29/2022        
Debt and Equity Securities, FV-NI [Line Items]        
Number of Shares (in shares)   1,783,388    
Initial forward price (in dollars per share) $ 69.18 $ 68.18    
v3.23.3
Fair Value Measurements (Assets And Liabilities Measured At Fair Value On A Recurring Basis) (Details) - USD ($)
$ in Millions
Sep. 30, 2023
Dec. 31, 2022
Assets    
Restricted cash equivalents $ 27 $ 18
Derivative instruments 3 2
Consumers Energy Company    
Assets    
Restricted cash equivalents 27 17
Derivative instruments 3 2
Level 1    
Assets    
Cash equivalents 8 0
Restricted cash equivalents 27 18
Nonqualified deferred compensation plan assets 27 24
Liabilities    
Nonqualified deferred compensation plan liabilities 27 24
Level 1 | Consumers Energy Company    
Assets    
Cash equivalents 0 0
Restricted cash equivalents 27 17
Nonqualified deferred compensation plan assets 20 18
Liabilities    
Nonqualified deferred compensation plan liabilities 20 18
Fair Value, Inputs, Level 1, 2 and 3    
Assets    
Total assets 65 44
Liabilities    
Total liabilities 27 24
Fair Value, Inputs, Level 1, 2 and 3 | Consumers Energy Company    
Assets    
Total assets 50 37
Liabilities    
Total liabilities $ 20 $ 18
v3.23.3
Financial Instruments (Schedule Of Carrying Amounts And Fair Values Of Financial Instruments) (Details) - USD ($)
$ in Millions
Sep. 30, 2023
Dec. 31, 2022
Liabilities    
Current accounts receivable and notes receivable $ 6 $ 7
Current portion of long term debt 1,037 1,090
Current portion of long-term payables 1 2
Carrying Amount    
Assets    
Long-term receivables 12 14
Liabilities    
Long-term debt 15,151 14,212
Long-term payables 13 9
Fair Value    
Assets    
Long-term receivables 12 14
Liabilities    
Long-term debt 12,927 12,384
Long-term payables 13 7
Consumers Energy Company    
Liabilities    
Current accounts receivable and notes receivable 6 7
Current portion of long term debt 616 991
Consumers Energy Company | Related Party    
Liabilities    
Current portion of notes receivable, related party 7 7
Consumers Energy Company | Carrying Amount    
Assets    
Long-term receivables 12 14
Notes receivable related party 98 101
Liabilities    
Long-term payables 6 0
Consumers Energy Company | Carrying Amount | Nonrelated Party    
Liabilities    
Long-term debt 10,260 10,183
Consumers Energy Company | Carrying Amount | Related Party    
Liabilities    
Long-term debt 294 0
Consumers Energy Company | Fair Value    
Assets    
Long-term receivables 12 14
Notes receivable related party 98 101
Liabilities    
Long-term payables 6 0
Consumers Energy Company | Fair Value | Nonrelated Party    
Liabilities    
Long-term debt 8,463 8,728
Consumers Energy Company | Fair Value | Related Party    
Liabilities    
Long-term debt 170 0
Level 1 | Fair Value    
Assets    
Long-term receivables 0 0
Liabilities    
Long-term debt 1,013 987
Long-term payables 0 0
Level 1 | Consumers Energy Company | Fair Value    
Assets    
Long-term receivables 0 0
Notes receivable related party 0 0
Liabilities    
Long-term payables 0 0
Level 1 | Consumers Energy Company | Fair Value | Nonrelated Party    
Liabilities    
Long-term debt 0 0
Level 1 | Consumers Energy Company | Fair Value | Related Party    
Liabilities    
Long-term debt 0 0
Level 2 | Fair Value    
Assets    
Long-term receivables 0 0
Liabilities    
Long-term debt 9,842 8,741
Long-term payables 0 0
Level 2 | Consumers Energy Company | Fair Value    
Assets    
Long-term receivables 0 0
Notes receivable related party 0 0
Liabilities    
Long-term payables 0 0
Level 2 | Consumers Energy Company | Fair Value | Nonrelated Party    
Liabilities    
Long-term debt 6,562 6,172
Level 2 | Consumers Energy Company | Fair Value | Related Party    
Liabilities    
Long-term debt 170 0
Level 3 | Fair Value    
Assets    
Long-term receivables 12 14
Liabilities    
Long-term debt 2,072 2,656
Long-term payables 13 7
Level 3 | Consumers Energy Company | Fair Value    
Assets    
Long-term receivables 12 14
Notes receivable related party 98 101
Liabilities    
Long-term payables 6 0
Level 3 | Consumers Energy Company | Fair Value | Nonrelated Party    
Liabilities    
Long-term debt 1,901 2,556
Level 3 | Consumers Energy Company | Fair Value | Related Party    
Liabilities    
Long-term debt $ 0 $ 0
v3.23.3
Financial Instruments (Narrative) (Details)
Sep. 30, 2023
Consumers Energy Company | CMS Energy Note Payable  
Financial Instruments [Line Items]  
Interest rate 4.10%
v3.23.3
Retirement Benefits (Schedule Of Net Benefit Costs) (Details) - USD ($)
$ in Millions
 3 Months Ended 9 Months Ended
Sep. 30, 2023
Sep. 30, 2022
Sep. 30, 2023
Sep. 30, 2022
DB Pension Plans        
Defined Benefit Plan, Roll Forwards [Abstract]        
Service cost $ 7 $ 9 $ 22 $ 32
Interest cost 27 21 80 59
Expected return on plan assets (55) (51) (165) (155)
Amortization of        
Net loss 2 5 8 32
Prior service cost (credit) 1 1 3 3
Settlement loss 3 2 8 6
Net periodic credit (15) (13) (44) (23)
DB Pension Plans | Volatility Mechanism        
Amortization of        
Deferred costs (credits)     (9)  
DB Pension Plans | Consumers Energy Company        
Defined Benefit Plan, Roll Forwards [Abstract]        
Service cost 7 9 21 32
Interest cost 24 20 75 56
Expected return on plan assets (52) (48) (156) (147)
Amortization of        
Net loss 3 5 8 30
Prior service cost (credit) 1 1 3 3
Settlement loss 3 2 8 6
Net periodic credit (14) (11) (41) (20)
OPEB Plan        
Defined Benefit Plan, Roll Forwards [Abstract]        
Service cost 2 4 8 13
Interest cost 11 7 33 21
Expected return on plan assets (26) (29) (77) (87)
Amortization of        
Net loss 3 0 9 1
Prior service cost (credit) (10) (12) (31) (38)
Settlement loss 0 0 0 0
Net periodic credit (20) (30) (58) (90)
OPEB Plan | Volatility Mechanism        
Amortization of        
Deferred costs (credits)     17  
OPEB Plan | Consumers Energy Company        
Defined Benefit Plan, Roll Forwards [Abstract]        
Service cost 2 4 8 13
Interest cost 10 6 31 20
Expected return on plan assets (23) (26) (71) (80)
Amortization of        
Net loss 3 0 9 0
Prior service cost (credit) (10) (13) (30) (38)
Settlement loss 0 0 0 0
Net periodic credit $ (18) $ (29) $ (53) $ (85)
v3.23.3
Income Taxes (Schedule Of Effective Income Rate Reconciliation) (Details) - USD ($)
$ in Millions
 9 Months Ended
Sep. 30, 2023
Sep. 30, 2022
Income Taxes [Line Items]    
U.S. federal income tax rate 21.00% 21.00%
Increase (decrease) in income taxes from:    
State and local income taxes, net of federal effect 1.70% 5.60%
Renewable energy tax credits (6.90%) (5.80%)
TCJA excess deferred taxes (3.90%) (7.20%)
Accelerated flow-through of regulatory tax benefits 0.00% (4.30%)
Other, net 0.80% 0.70%
Effective tax rate 12.70% 10.00%
Consumers Energy Company    
Income Taxes [Line Items]    
U.S. federal income tax rate 21.00% 21.00%
Increase (decrease) in income taxes from:    
State and local income taxes, net of federal effect 2.90% 5.30%
Renewable energy tax credits (4.50%) (4.30%)
TCJA excess deferred taxes (3.70%) (5.90%)
Accelerated flow-through of regulatory tax benefits 0.00% (3.50%)
Other, net (0.10%) 0.10%
Effective tax rate 15.60% 12.70%
Consumers Energy Company | Non-Michigan Jurisdiction    
Increase (decrease) in income taxes from:    
Reversal of tax reserve $ 13  
v3.23.3
Earnings Per Share - CMS Energy (Basic And Diluted EPS Computations) (Details) - USD ($)
$ / shares in Units, shares in Millions, $ in Millions
 3 Months Ended 9 Months Ended
Sep. 30, 2023
Sep. 30, 2022
Sep. 30, 2023
Sep. 30, 2022
Income available to common stockholders        
Income from continuing operations $ 173 $ 163 $ 556 $ 646
Loss attributable to noncontrolling interests (3) (2) (21) (16)
Preferred stock dividends 2 2 7 7
Income from continuing operations available to common stockholders – basic and diluted $ 174 $ 163 $ 570 $ 655
Average common shares outstanding        
Weighted average shares - basic (in shares) 291.0 289.6 290.9 289.5
Dilutive nonvested stock awards (in shares) 0.4 0.4 0.4 0.4
Dilutive forward equity sale contracts (in shares) 0.0 0.1 0.0 0.1
Weighted average shares - diluted (in shares) 291.4 290.1 291.3 290.0
Income from continuing operations per average common share available to common stockholders        
Basic (in dollars per share) $ 0.60 $ 0.56 $ 1.96 $ 2.26
Diluted (in dollars per share) $ 0.60 $ 0.56 $ 1.96 $ 2.26
v3.23.3
Earnings Per Share - CMS Energy - Narrative (Details) - USD ($)
$ in Millions
Sep. 30, 2023
May 31, 2023
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]    
Principal (In Millions) $ 2,910  
CMS Energy    
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]    
Principal (In Millions) 800  
CMS Energy | 3.375% Convertible Senior Notes Due 2028 | Convertible debt    
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]    
Principal (In Millions) $ 800 $ 800
v3.23.3
Revenue (Disaggregation of Revenue) (Details) - USD ($)
$ in Millions
 3 Months Ended 9 Months Ended
Sep. 30, 2023
Sep. 30, 2022
Sep. 30, 2023
Sep. 30, 2022
Disaggregation of Revenue [Line Items]        
Revenue recognized from contracts with customers $ 1,639 $ 1,955 $ 5,401 $ 6,115
Leasing income 30 68 88 192
Financing income 3 4 12 13
Consumers alternative-revenue programs     11 (2)
Total operating revenue 1,673 2,024 5,512 6,318
Electric Utility | Operating Segments        
Disaggregation of Revenue [Line Items]        
Revenue recognized from contracts with customers 1,348 1,591 3,552 4,151
Financing income 2 3 7 8
Consumers alternative-revenue programs     11 1
Total operating revenue 1,351 1,594 3,570 4,160
Gas Utility | Operating Segments        
Disaggregation of Revenue [Line Items]        
Revenue recognized from contracts with customers 243 294 1,715 1,809
Financing income 1 1 5 5
Consumers alternative-revenue programs     0 (3)
Total operating revenue 244 292 1,720 1,811
NorthStar Clean Energy | Operating Segments        
Disaggregation of Revenue [Line Items]        
Revenue recognized from contracts with customers 48 70 134 155
Leasing income 30 68 88 192
Total operating revenue 78 138 222 347
Variable lease income 19 57 57 154
Consumers Energy Company        
Disaggregation of Revenue [Line Items]        
Revenue recognized from contracts with customers 1,591 1,885 5,267 5,960
Financing income 3 4 12 13
Consumers alternative-revenue programs 1 (3) 11 (2)
Other non-segment revenue 1   1  
Total operating revenue 1,596 1,886 5,291 5,971
Consumers Energy Company | Electric Utility | Operating Segments        
Disaggregation of Revenue [Line Items]        
Revenue recognized from contracts with customers 1,348 1,591 3,552 4,151
Financing income 2 3 7 8
Consumers alternative-revenue programs 1 0 11 1
Total operating revenue 1,351 1,594 3,570 4,160
Consumers Energy Company | Gas Utility | Operating Segments        
Disaggregation of Revenue [Line Items]        
Revenue recognized from contracts with customers 243 294 1,715 1,809
Financing income 1 1 5 5
Consumers alternative-revenue programs 0 (3) 0 (3)
Total operating revenue 244 292 1,720 1,811
Residential | Consumers Energy Company        
Disaggregation of Revenue [Line Items]        
Revenue recognized from contracts with customers 821 957 2,867 3,194
Residential | Consumers Energy Company | Electric Utility | Operating Segments        
Disaggregation of Revenue [Line Items]        
Revenue recognized from contracts with customers 666 767 1,707 1,955
Residential | Consumers Energy Company | Gas Utility | Operating Segments        
Disaggregation of Revenue [Line Items]        
Revenue recognized from contracts with customers 155 190 1,160 1,239
Commercial | Consumers Energy Company        
Disaggregation of Revenue [Line Items]        
Revenue recognized from contracts with customers 481 566 1,536 1,690
Commercial | Consumers Energy Company | Electric Utility | Operating Segments        
Disaggregation of Revenue [Line Items]        
Revenue recognized from contracts with customers 443 515 1,183 1,319
Commercial | Consumers Energy Company | Gas Utility | Operating Segments        
Disaggregation of Revenue [Line Items]        
Revenue recognized from contracts with customers 38 51 353 371
Industrial | Consumers Energy Company        
Disaggregation of Revenue [Line Items]        
Revenue recognized from contracts with customers 180 236 539 654
Industrial | Consumers Energy Company | Electric Utility | Operating Segments        
Disaggregation of Revenue [Line Items]        
Revenue recognized from contracts with customers 175 226 495 601
Industrial | Consumers Energy Company | Gas Utility | Operating Segments        
Disaggregation of Revenue [Line Items]        
Revenue recognized from contracts with customers 5 10 44 53
Other        
Disaggregation of Revenue [Line Items]        
Revenue recognized from contracts with customers 48 70 134 155
Other | NorthStar Clean Energy | Operating Segments        
Disaggregation of Revenue [Line Items]        
Revenue recognized from contracts with customers 48 70 134 155
Other | Consumers Energy Company        
Disaggregation of Revenue [Line Items]        
Revenue recognized from contracts with customers 109 126 325 422
Other | Consumers Energy Company | Electric Utility | Operating Segments        
Disaggregation of Revenue [Line Items]        
Revenue recognized from contracts with customers 64 83 167 276
Other | Consumers Energy Company | Gas Utility | Operating Segments        
Disaggregation of Revenue [Line Items]        
Revenue recognized from contracts with customers $ 45 $ 43 $ 158 $ 146
v3.23.3
Revenue (Narrative) (Details) - USD ($)
$ in Millions
 3 Months Ended 9 Months Ended
Sep. 30, 2023
Sep. 30, 2022
Sep. 30, 2023
Sep. 30, 2022
Dec. 31, 2022
Disaggregation of Revenue [Line Items]          
Unbilled receivables $ 321   $ 321   $ 663
Incentive revenue collection period 24 months   24 months    
Consumers Energy Company          
Disaggregation of Revenue [Line Items]          
Unbilled receivables $ 321   $ 321   $ 663
Accounts Receivable          
Disaggregation of Revenue [Line Items]          
Bad debt expense 15 $ 13 32 $ 31  
Accounts Receivable | Consumers Energy Company          
Disaggregation of Revenue [Line Items]          
Bad debt expense $ 15 $ 13 $ 32 $ 31  
v3.23.3
Reportable Segments (Details) - USD ($)
$ in Millions
 3 Months Ended 9 Months Ended
Sep. 30, 2023
Sep. 30, 2022
Sep. 30, 2023
Sep. 30, 2022
Dec. 31, 2022
Segment Reporting Information [Line Items]          
Operating Revenue $ 1,673 $ 2,024 $ 5,512 $ 6,318  
Net income (loss) available to common stockholders 174 163 571 659  
Plant, property, and equipment, gross 31,997   31,997   $ 30,491
Total assets 32,513   32,513   31,353
Consumers Energy Company          
Segment Reporting Information [Line Items]          
Operating Revenue 1,596 1,886 5,291 5,971  
Net income (loss) available to common stockholders 178 189 576 744  
Plant, property, and equipment, gross 30,825   30,825   29,342
Total assets 30,941   30,941   29,916
Other reconciling items          
Segment Reporting Information [Line Items]          
Net income (loss) available to common stockholders (33) (29) (40) (107)  
Plant, property, and equipment, gross 31   31   30
Total assets 148   148   109
Other reconciling items | Consumers Energy Company          
Segment Reporting Information [Line Items]          
Operating Revenue 1 0 1 0  
Net income (loss) available to common stockholders (13) 8 (9) 4  
Plant, property, and equipment, gross 38   38   29
Total assets 47   47   30
Electric Utility | Operating Segments          
Segment Reporting Information [Line Items]          
Operating Revenue 1,351 1,594 3,570 4,160  
Net income (loss) available to common stockholders 187 194 404 501  
Plant, property, and equipment, gross 18,802   18,802   17,870
Total assets 18,856   18,856   17,907
Electric Utility | Operating Segments | Consumers Energy Company          
Segment Reporting Information [Line Items]          
Operating Revenue 1,351 1,594 3,570 4,160  
Net income (loss) available to common stockholders 187 194 404 501  
Plant, property, and equipment, gross 18,802   18,802   17,870
Total assets 18,915   18,915   17,968
Gas Utility | Operating Segments          
Segment Reporting Information [Line Items]          
Operating Revenue 244 292 1,720 1,811  
Net income (loss) available to common stockholders 4 (13) 181 239  
Plant, property, and equipment, gross 11,985   11,985   11,443
Total assets 11,934   11,934   11,873
Gas Utility | Operating Segments | Consumers Energy Company          
Segment Reporting Information [Line Items]          
Operating Revenue 244 292 1,720 1,811  
Net income (loss) available to common stockholders 4 (13) 181 239  
Plant, property, and equipment, gross 11,985   11,985   11,443
Total assets 11,979   11,979   11,918
NorthStar Clean Energy | Operating Segments          
Segment Reporting Information [Line Items]          
Operating Revenue 78 138 222 347  
Net income (loss) available to common stockholders 16 $ 11 26 $ 26  
Plant, property, and equipment, gross 1,179   1,179   1,148
Total assets $ 1,575   $ 1,575   $ 1,464
v3.23.3
Variable Interest Entities (Narrative) (Details)
$ in Millions
 1 Months Ended 9 Months Ended
Oct. 26, 2023
USD ($)
Aug. 31, 2023
USD ($)
MW
Sep. 30, 2023
USD ($)
MW
Dec. 31, 2022
USD ($)
Variable Interest Entity [Line Items]        
Investments     $ 74 $ 71
Newport Solar Holdings        
Variable Interest Entity [Line Items]        
Nameplate capacity (in MW) | MW   180    
Tax equity investor contribution   $ 17    
Newport Solar Holdings | Subsequent Event        
Variable Interest Entity [Line Items]        
Tax equity investor contribution $ 69      
NWO Holdco, L.L.C        
Variable Interest Entity [Line Items]        
Nameplate capacity (in MW) | MW     100  
Variable Interest Entity, Primary Beneficiary | Aviator Wind        
Variable Interest Entity [Line Items]        
Nameplate capacity (in MW) | MW     525  
Ownership interest     51.00%  
Variable Interest Entity, Primary Beneficiary | Aviator Wind Class B Membership        
Variable Interest Entity [Line Items]        
Noncontrolling ownership interest     49.00%  
Variable Interest Entity, Not Primary Beneficiary        
Variable Interest Entity [Line Items]        
Investments     $ 74 $ 71
Variable Interest Entity, Not Primary Beneficiary | T.E.S. Filer City        
Variable Interest Entity [Line Items]        
Ownership interest     50.00%  
Variable Interest Entity, Not Primary Beneficiary | Grayling        
Variable Interest Entity [Line Items]        
Ownership interest     50.00%  
Variable Interest Entity, Not Primary Beneficiary | Genesee        
Variable Interest Entity [Line Items]        
Ownership interest     50.00%  
Variable Interest Entity, Not Primary Beneficiary | Craven        
Variable Interest Entity [Line Items]        
Ownership interest     50.00%  
v3.23.3
Variable Interest Entities (Consolidated Information of Variable Interest Entity) (Details) - USD ($)
$ in Millions
Sep. 30, 2023
Dec. 31, 2022
Variable Interest Entity [Line Items]    
Cash and cash equivalents $ 157 $ 164
Prepayments and other current assets 91 113
Plant, property, and equipment, net 24,694 22,713
Construction work in progress 1,626 1,182
Total Assets 32,513 31,353
Current portion of long term debt 1,037 1,090
Non-current portion of finance leases 63 68
Asset retirement obligations 768 746
Variable Interest Entity, Primary Beneficiary    
Variable Interest Entity [Line Items]    
Cash and cash equivalents 34 43
Accounts receivable 4 7
Prepayments and other current assets 3 7
Plant, property, and equipment, net 835 850
Construction work in progress 242 156
Total Assets 1,118 1,063
Current portion of long term debt 0 100
Accounts payable 19 33
Non-current portion of finance leases 23 23
Asset retirement obligations 32 24
Total liabilities $ 74 $ 180
v3.23.3
Transition Activities - Narrative (Details)
$ in Millions
 1 Months Ended 3 Months Ended 9 Months Ended 15 Months Ended 48 Months Ended
Aug. 31, 2023
USD ($)
May 31, 2023
USD ($)
MW
Sep. 30, 2023
USD ($)
coal_fueled_electric_generating_unit
Sep. 30, 2022
USD ($)
Sep. 30, 2023
USD ($)
coal_fueled_electric_generating_unit
Sep. 30, 2022
USD ($)
Sep. 30, 2023
USD ($)
coal_fueled_electric_generating_unit
Sep. 30, 2023
USD ($)
coal_fueled_electric_generating_unit
Dec. 31, 2022
USD ($)
Covert Plant Acquisition                  
Restructuring Cost and Reserve [Line Items]                  
Consideration transferred $ 2 $ 810     $ 812 $ 0      
Consumers Energy Company | Covert Plant Acquisition                  
Restructuring Cost and Reserve [Line Items]                  
Consideration transferred         $ 812 0      
New Covert Generating Facility | Consumers Energy Company                  
Restructuring Cost and Reserve [Line Items]                  
Nameplate capacity (in MW) | MW   1,200              
Net book value of plant   $ 440              
Plant acquisition adjustment   370              
Increase to property, plant, and equipment   810              
New Covert Generating Facility | Seller                  
Restructuring Cost and Reserve [Line Items]                  
Original cost of plant   665              
Accumulated depreciation   $ 225              
D.E. Karn Generating Complex | Consumers Energy Company | Costs of coal-fueled electric generating units to be retired                  
Restructuring Cost and Reserve [Line Items]                  
Regulatory assets, number of units | coal_fueled_electric_generating_unit     2   2   2 2  
Regulatory asset     $ 655   $ 655   $ 655 $ 655  
Retention Benefits                  
Restructuring Cost and Reserve [Line Items]                  
Cost deferred     $ 4 $ 11 $ 14 $ 14      
Retention Benefits | D.E. Karn Generating Complex and J.H. Campbell Generating Units | Retention Incentive Program                  
Restructuring Cost and Reserve [Line Items]                  
Regulatory asset collection period     3 years   3 years   3 years 3 years  
Retention Benefits | D.E. Karn Generating Complex                  
Restructuring Cost and Reserve [Line Items]                  
Aggregate cost incurred                 $ 32
Retention and severance costs               $ 16  
Retention Benefits | D.E. Karn Generating Complex | Retention Incentive Program                  
Restructuring Cost and Reserve [Line Items]                  
Cost deferred               12  
Retention Benefits | D.E. Karn Generating Complex | Property, Plant and Equipment                  
Restructuring Cost and Reserve [Line Items]                  
Costs incurred and capitalized               4  
Retention Benefits | J.H. Campbell Generating Units                  
Restructuring Cost and Reserve [Line Items]                  
Expected cost     $ 50   $ 50   $ 50 $ 50  
Retention Benefits | J.H. Campbell Generating Units | Retention Incentive Program                  
Restructuring Cost and Reserve [Line Items]                  
Cost deferred             $ 32    
v3.23.3
Transition Activities - Schedule of Retention Benefit Liability Roll Forward (Details)
$ in Millions
 3 Months Ended 9 Months Ended
Sep. 30, 2023
USD ($)
Sep. 30, 2022
USD ($)
Sep. 30, 2023
USD ($)
Sep. 30, 2022
USD ($)
Dec. 31, 2022
USD ($)
Restructuring Reserve [Roll Forward]          
Other current liabilities $ 163   $ 163   $ 166
Retention Benefits          
Restructuring Reserve [Roll Forward]          
Retention benefit liability at beginning of period     21 $ 14  
Costs deferred as a regulatory asset 4 $ 11 14 14  
Costs paid or settled     (13) 0  
Retention benefit liability at the end of the period 22 28 22 28  
Other current liabilities $ 11 $ 25 $ 11 $ 25