Rating Agencies Affirm Their Ratings on SMMPA Bonds

The three major credit rating agencies, Moody's Investor Services, Standard & Poor’s (S&P), and Fitch Ratings, have affirmed their ratings and outlook on the Agency’s debt.   

  • Moody’s: A1, Stable outlook
  • S&P: A+, Stable outlook
  •  Fitch: A+, Stable outlook

In each case, those ratings are the highest single “A” rating available from the various rating agencies. 

 

The A1 rating by Moody’s reflects “the sound security provisions provided under all requirements, take-and-pay power purchase agreements with credit worthy participants, the weighted average credit quality of the participants in the A rating category, SMMPA's essentiality to municipal electric utilities, and high levels of liquidity,” Moody’s said in its report.

 

If you would like to read more about what the rating agencies have to say, visit the Financials section of our site.

Agency Signs 100 MW Wind Contract

Southern Minnesota Municipal Power Agency (SMMPA) recently signed a power purchase agreement with EDF Renewable Energy (EDF RE) to buy 100 megawatts (MW) of wind energy from the Stoneray Wind Project in Minnesota beginning in 2020.

 

Thanks in part to recent transmission upgrades throughout in rural areas of Minnesota, this project, located in Southwestern Minnesota was propelled forward. Construction is expected to commence in early 2018 on the nearly 50 wind turbine project, with hopes of having the facility commercial operational by December 2018.

 

The project should boost the local economy by bringing an expected 150+ construction jobs and 10 long-term, full-time positions in addition to the millions of dollars in economic benefits to the local area.

 

“Stoneray Wind is a big addition to SMMPA’s diverse renewable energy portfolio,” said SMMPA Executive Director and CEO Dave Geschwind, . “We’re glad to be working further with EDF RE to provide more Minnesota wind energy to our Members and economic benefits to southern Minnesota through this important project.”