(June 4, 2025)--PEFINDO has also affirmed its idAAA rating for PPLN’s Bonds and its idAAA(sy) rating for its Sukuk Ijarah. The rating is mainly driven by very strong likelihood of support from the government. PPLN’s standalone credit profile reflects its superior market position and extensive national penetration, strong financial flexibility as well as potential growth in domestic electricity demand.
The rating is constrained by its high financial leverage and exposure to risks associated with the ongoing energy transition. The rating may be lowered if PEFINDO views a material weakening of the government support, as indicated by significant delays in subsidy or compensation payments, which could lead to liquidity pressures for PPLN.
PPLN is a fully government-owned enterprise and serves as Indonesia’s sole integrated electricity utility, overseeing the end-to-end process of power generation, transmission, and distribution nationwide. As of March 31, 2025, the Company operated a total installed capacity of 48,304 megawatts (MW) (including rental). (ends)
