Moody’s upgrades BPA credit rating

Moody's has upgraded the Bonneville Power Administration's credit rating from Aa2 to Aa1 with a stable outlook. Aa1 is the second highest rating issued by Moody's. This is BPA's first upgrade since 2009 when Fitch and S&P issued upgrades.

Moody's cited BPA's recent infusion of $10 billion of additional borrowing authority, the updated financial plan that includes reducing leverage over time, and competitive rates under long-term contracts as the principal justifications for the upgrade. Moody's also referenced BPA's strongly positioned and expansive network of hydropower and transmission assets and the carbon-free nature of its resources as support for the move.

“This reaffirms that BPA's financial reserves and leverage policies make us stronger. They position us well to continue providing low-cost, clean energy and to make necessary transmission service and expansion investments that will help customers greening their power supplies," said BPA Chief Financial Officer Marcus Harris. “A financially strong BPA is good for the region's economy and clean energy future."

Moody's is one of three major credit ratings agencies in the United States, along with S&P Global and Fitch.

The full report is available on Bonneville's website.