Fitch Affirms Grand River Dam Authority’s A+ Rating, Stable Outlook

October 19, 2021

by Paul Ciampoli
APPA News Director
October 19, 2021

Oklahoma-based Grand River Dam Authority’s (GRDA) continued strong financial performance and very low operating costs were among the key reasons that led Fitch Ratings to affirm GRDA’s A+ stable rating on Oct. 6.

Fitch noted that GRDA’s “very low rate anchors its competitive position and provides customers with an economic incentive to continue purchasing from the authority.”

Fitch also said that GRDA’s operating flexibility has benefited from a well-diversified resource mix. That mix includes GRDA’s gas, coal, water, and wind generation assets that combine to help keep operating costs low and reliability high.

Fitch assessed GRDA’s operating costs burden as “very low based on an operating cost that has remained consistently below 5 cents [per kilowatt-hour] during the past five years.”

GRDA noted that it currently maintains the highest credit ratings in its history from the three major credit rating agencies: Fitch, Moody’s Investor Service and Standard & Poor’s.

GRDA is a joint action agency that generates, transmits and sells electricity to Oklahoma municipalities, electric cooperatives and industrial customers, as well as off-system customers across a four-state region. At the same time, GRDA manages over 70,000 surface acres of lake waters in Oklahoma, as well as the waters of the scenic Illinois River.