PEFINDO: Perusahaan Perseroan (Persero) PT Perusahaan Listrik Negara (PPLN) rated idAAA with stable outlook
Friday, June 10 2022 - 11:00 PM WIB
(June 9, 2022)-- PEFINDO has also affirmed its idAAA rating for PPLN’s Bonds and its idAAA(sy) for its Sukuk Ijarah.
The rating reflects PPLN’s critical role in providing electricity for the country, its strong financial flexibility, its superior market position, and potential room for domestic electricity demand in the medium term. The rating is constrained by its aggressive financial leverage to support its significant capital expenditure (capex) plan and exposure to the energy transition risk.
The rating may be lowered if PEFINDO views a material weakening of the government support. Delays in subsidy and/or compensation payments or liquidity pressure on PPLN may indicates such weakening of support.
PPLN is a wholly owned state company engaged in the generation, transmission, and distribution of electricity throughout the country. It is the only integrated electricity producer in Indonesia, with an installed capacity of 45,831 megawatts (MW) (including rental) at the end of 2021. (ends)