S&P Global Ratings recently affirmed its “A” issuer credit rating with a Stable outlook for California community choice aggregator Silicon Valley Clean Energy.
The initial S&P credit rating was awarded in 2021 and affirmed for the first time in 2022.
The rating reflects SVCE’s stable, strong, and diverse customer base, financial strength, diverse clean energy portfolio, strong governance, proactive risk management, and strong policies and planning, SVCE said. These factors position SVCE well for the increasingly stringent emissions regulations and competitive and volatile wholesale energy markets, it said.
“SVCE values these credit ratings because they affirm the agency’s ability to have funds to cover long-term power purchase commitments while taking into consideration customer retention rate, competitiveness, and financial liquidity,” the CCA said.
In early 2023, SVCE received its sixth clean and unmodified financial audit from Pisenti & Brinker, another sign of financial strength for the agency.
During the 2021–2022 fiscal year, SVCE added nearly $47 million to reserves, as of September 30, 2022, total revenues were $363.5 million primarily from the sale of clean power.
SVCE received its first credit rating, Baa2, from Moody’s in 2020.
