Moody’s Investors Service recently upgraded Great River Energy’s credit rating to A3 with a stable outlook.
In its report, Moody’s commented that Great River Energy’s power supply plans and projected rate reductions stand to improve the cooperative’s credit and risk profile.
Great River Energy announced plans May 7 to retire the 1,151-megawatt (MW) Coal Creek Station in the second half of 2022; add 1,100 MW of wind energy purchases by the end of 2023; and modify the 99-MW, coal and natural gas-based Spiritwood Station power plant to be fueled by natural gas. Great River Energy also plans install a 1-MW, long-duration battery demonstration system in Cambridge, Minnesota.
The portfolio changes will significantly reduce Great River Energy’s member-owner power supply costs and virtually eliminate carbon risk.
“This credit rating upgrade will have a positive impact on Great River Energy’s capital market activities and help keep costs competitive for member-owners,” said Great River Energy President and Chief Executive Officer David Saggau.
S&P also recently affirmed its A- rating of Great River Energy with a stable outlook. According to S&P, Great River Energy’s power supply transformation largely improves the cooperative’s position.