SAN DIEGO, March 5, 2019 – San Diego Gas & Electric (SDG&E) today issued the following statement in response to Moody’s Investor Service (Moody’s) downgrading of its credit ratings:
“We’re very disappointed in today’s downgrade action by Moody’s. This is directly related to a statewide policy issue around wildfire risk, and not a reflection of SDG&E’s strong and stable financial performance and history of effective wildfire mitigation and prevention programs.
“Moody’s stated that California’s failure to pass legislation or enact regulatory measures to largely mitigate the impact of inverse condemnation risk exposure could lead to further negative credit actions.
“These downgrade actions will continue to negatively impact our customers and could jeopardize the economic stability of our state.
“While we’re encouraged by the formation of the Blue-Ribbon Commission and the governor’s ‘strike team,’ today’s downgrade by Moody’s underscores the need for immediate action.
“SDG&E is engaged with stakeholders across the state on solutions around wildfire safety and comprehensive liability reform. There is no greater energy issue facing our customers today.
“We will continue to focus on providing our customers with safe, reliable and affordable energy. SDG&E’s robust fire-risk mitigation program to improve our community’s resiliency is a direct reflection of this commitment to safety.”