Leases (Tables)

12 Months Ended

Dec. 31, 2025

Schedule of Lease Assets and Liabilities Recorded in Consolidated Balance Sheets

At December 31, 2025 and 2024, DESC had the following lease assets and liabilities recorded in the Consolidated Balance Sheets:


At December 31,	2025		2024
(millions)
Lease assets:
Operating lease assets(1)	$	22	$	20
Finance lease assets(2)		2		3
Total lease assets	$	24	$	23
Lease liabilities:
Operating lease - current(3)	$	5	$	3
Operating lease - noncurrent(4)		20		18
Finance lease - current(5)		1		2
Finance lease - noncurrent		1		2
Total lease liabilities	$	27	$	25

(1)

Included in other deferred debits and other assets in the Consolidated Balance Sheets.

(2)

Included in utility plant, net, in the Consolidated Balance Sheets, net of $11 million and $15 million of accumulated amortization at December 31, 2025 and December 31, 2024, respectively.

(3)

Included in other current liabilities in the Consolidated Balance Sheets.

(4)

Included in other deferred credits and other liabilities in the Consolidated Balance Sheets.

(5)

Included in securities due within one year in the Consolidated Balance Sheets.

Summary of Total Lease Cost

For the years ended December 31, 2025, 2024 and 2023, total lease cost consisted of the following:


Year Ended December 31,	2025		2024		2023
(millions)
Finance lease cost:
Amortization	$	2	$	3	$	3
Interest		—		—		—
Operating lease cost		5		4		5
Short-term lease cost		3		1		2
Total lease cost	$	10	$	8	$	10

Cash Paid for Amounts Included in Measurement of Lease Liabilities

For the years ended December 31, 2025, 2024 and 2023, cash paid for amounts included in the measurement of lease liabilities consisted of the following amounts, included in the Consolidated Statements of Cash Flows:


Year Ended December 31,	2025		2024		2023
(millions)
Operating cash flows from finance leases	$	—	$	—	$	—
Operating cash flows from operating leases		5		4		4
Financing cash flows from finance leases		2		3		4

Summary of Weighted-average Remaining Lease Term And Discount Rate for Operating and Finance Leases

At December 31, 2025 and 2024, the weighted-average remaining lease term and weighted-average discount rate for finance and operating leases were as follows:


At December 31,	2025			2024
Weighted-average remaining lease term - finance leases	2 years			3 years
Weighted-average remaining lease term - operating leases	14 years			16 years
Weighted-average discount rate - finance leases		3.38	%		3.17	%
Weighted-average discount rate - operating leases		4.36	%		4.34	%

Schedule of Maturity Analysis of Operating and Finance Lease Liabilities

Lease liabilities have the following scheduled maturities:


(millions)	Operating			Finance
2026	$	5		$	1
2027		4			1
2028		3			—
2029		2			—
2030		2			—
After 2030		18			—
Total undiscounted lease payments		34			2
Present value adjustment		(9	)		—
Present value of lease liabilities	$	25		$	2

DOMINION ENERGY SOUTH CAROLINA, INC. 10-K