REDWOOD CITY, CA – Peninsula Clean Energy has received an upgraded credit rating of Baa1 from Moody’s Investors Service, the latest indication of the agency’s strong finances as it preserves discounted power rates and accelerates renewable power procurement.
The higher rating from Moody’s further underscores Peninsula Clean Energy’s robust post-pandemic growth, while keeping its ECOplus electric generation rate for all customers at least five percent below PG&E’s baseline electric generation rate. The agency “has shown strong resiliency as it demonstrated effective management through a volatile power market and pandemic shock over the last several years,” Moody’s said.
“These higher credit ratings further bolster our approach of robust renewable electricity procurement, while holding steady on ensuring affordability for our customers,” Peninsula Clean Energy CEO Jan Pepper said. “We hope this is another signal as well to the larger power sector that we can provide clean, affordable electricity and maintain a strong financial outlook.”
Moody’s initially gave Peninsula Clean Energy a rating of Baa2 in May 2019, and in 2022 upgraded the agency’s outlook from stable to positive. Peninsula Clean Energy on June 20 of this year received an A- rating from S&P Global, the highest the agency has received from a credit agency. Peninsula Clean Energy has also received a rating of BBB+ from Fitch.
The benefits of higher credit ratings include the potential for Peninsula Clean Energy to negotiate lower energy prices and improved credit terms for future power purchasing needs as it moves toward its utility sector-leading goal of achieving all-renewable power on an hourly basis. The higher rating also assures regulators and legislators that the Community Choice Aggregation business model provides a stable framework for serving customers and advancing California’s low-carbon energy future.
About Peninsula Clean Energy
Peninsula Clean Energy is a Community Choice Aggregation agency. It is the official electricity provider for San Mateo County and for the City of Los Banos. Founded in 2016 with a mission to reduce greenhouse gas emissions, the agency serves a population of 810,000 by providing more than 3,600 gigawatt hours annually of electricity that is 50 percent renewable, 100 percent clean and at lower cost than PG&E. As a community-led, not-for-profit agency, Peninsula Clean Energy makes significant investments in its communities to expand access to sustainable and affordable energy solutions. Peninsula Clean Energy is on track to deliver electricity that is 100 percent renewable by 2025. Follow us at PenCleanEnergy.com, Twitter, Facebook, and LinkedIn.