After 2018 Investment-Grade Rating from Moody’s, New Fitch Rating Indicates Continued Stable Outlook
FOR IMMEDIATE RELEASE: Aug. 30, 2019
Contacto de prensa de MCE:
Kalicia Pivirotto | Gerente de Marketing
(415) 464-6036 | kpivirotto@mceCleanEnergy.org
SAN RAFAEL and CONCORD, Calif. — On August 29, 2019, Fitch Ratings assigned a ‘BBB’ Issuer Default Rating to Marin Clean Energy (MCE), California’s first Community Choice Aggregation agency. Fitch cited several factors as contributing to this rating, including MCE’s solid financial profile, liquidity levels, robust and diverse power supplies, and adequately-priced power to support its operations.
Fitch’s rating marks MCE’s second investment-grade credit rating received in less than 18 months, further demonstrating MCE’s continued stable financial outlook, strong business and risk management practices, and leadership in the Community Choice marketplace. MCE was also the first CCA to receive an investment-grade credit rating, with a Baa2 Issuer Rating issued by Moody’s in May, 2018.
“MCE is pleased to have received our second investment-grade credit rating as further validation of MCE’s financial structure and California’s Community Choice Energy model. Receiving two investment-grade credit ratings in less than 18 months also demonstrates MCE’s strong operational practices and our continued ability to reliably purchase clean, renewable energy at competitive prices on behalf of our customers,” said Dawn Weisz, CEO of MCE.
Fitch’s new investment-grade credit rating generally reflects the ability of MCE to meet its financial obligations. MCE has no direct debt outstanding. The rating also incorporates higher reserves anticipated by the end of MCE’s current fiscal year.
The benefits of this BBB rating include:
- MCE’s ability to negotiate lower energy prices and improved credit terms for future contracts;
- further validation of the CCA business model from an internationally-recognized rating agency; and
- assurance for customers that MCE’s financial strength is sound and that it will continue to provide competitively-priced and reliable clean energy services over the long term.
MCE is a California joint powers authority (JPA) that was created in 2008 to implement a community choice aggregation (CCA) program. Since launching service in 2010, MCE has grown from its initial eight member communities to 34 communities across four Bay Area Counties, and currently serves over 470,000 electricity customers and approximately 86% of retail customers in its service area.
MCE offers a choice of three competitively-priced energy service options, including default 60% renewable and 100% renewable products. In 2018, MCE energy portfolio was approximately 87% GHG-free.
Beginning with MCE, California’s CCA market has grown to include 19 agencies operating throughout the State, serving over 10 million customers. Peninsula Clean Energy, another Community Choice agency serving customers in San Mateo County, also received an investment-grade credit rating from Moody’s in 2019.
Read Fitch’s Ratings Statement aquí.
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Acerca de MCEMCE es el primer Programa de Agregación de Opciones Comunitarias de California. Es una agencia pública sin fines de lucro que inició sus operaciones en 2010 con el objetivo de brindar energía más limpia a tarifas estables a sus clientes, reducir las emisiones de gases de efecto invernadero e invertir en programas energéticos específicos que satisfagan las necesidades energéticas de las comunidades. MCE es una entidad que gestiona la carga, con una capacidad de aproximadamente 1000 MW de carga máxima. MCE proporciona servicio eléctrico a aproximadamente 470 000 clientes y a más de un millón de residentes y empresas en 34 comunidades miembro en 4 condados del Área de la Bahía: Napa, Marin, Contra Costa y Solano. Para obtener más información sobre MCE, visite mceCleanEnergy.org.
