Ferc Account 366

FERC Account 366 is used to record the installed cost of underground conduit systems in electric distribution operations.

Definition

Record in this account the cost installed of underground conduit and related structures used in electric distribution operations.

Account 366 generally captures the physical pathway that houses and protects underground distribution cables. This may include conduit, ducts, vaults, manholes, and similar structures associated with underground line construction.

What is typically included

• Conduit, duct lines, and raceways used for underground distribution
• Manholes, handholes, vaults, and related underground structures
• Concrete encasement and associated civil construction integral to the conduit system
• Installed cost, including excavation and direct labor when capitalized
• Capital replacements and betterments meeting utility capitalization policy

What is generally not included

• Underground conductors and devices recorded in Account 367
• Routine maintenance, pumping, inspection, and minor repairs
• Temporary construction facilities charged elsewhere or expensed
• Service lines recorded in Account 369 when separately classified there
• Land and land rights recorded in Account 360

Why Account 366 matters

• Separates underground civil structures from underground electrical cable and devices
• Supports clearer unit-cost tracking for underground construction work
• Improves retirement accounting and continuing property record accuracy
• Provides better visibility into the cost of undergrounding and system hardening projects

Utilities should apply their own capitalization policy, retirement procedures, and continuing property record practices when determining the final accounting treatment for a specific project or transaction.

Examples

New downtown underground project

A utility installs duct banks, vaults, and handholes for a new underground distribution project. These civil pathway costs would generally be recorded in Account 366.

Conduit extension for feeder relocation

A feeder relocation requires construction of new underground conduit. If the project is capital in nature, the installed conduit cost would generally be recorded in Account 366.

Minor manhole cleanup

Routine cleaning or pumping of an existing vault would generally be charged to expense rather than Account 366.

Related FERC distribution plant accounts

• Account 367 – Underground Conductors and Devices
• Account 369 – Services
• Account 360 – Land and Land Rights
• Account 361 – Structures and Improvements