Publicly owned utilities and electricity cooperatives are critical elements of U.S. infrastructure, providing power to 54 million U.S. households and businesses.

  • Wildfires in California and troubled nuclear plant construction projects in Georgia and South Carolina have focused investor attention on the public power sector of the municipal market.
  • The public power sector, which accounts for almost 5% ($86 billion) of the $1.6 trillion of municipal bonds in the Bloomberg Barclays Municipal Bond Index, has a stable outlook from Moody’s, S&P, and Fitch.
  • We take a look at several of the larger public power systems including state and city owned power providers as well as the South Carolina and Georgia issuers, which have divergent responses to the delays and cost overruns for the only nuclear projects currently under construction in the country.

U.S. public utilities range from large New York State-owned Long Island Power Authority and the city-owned Los Angeles Department of Water and Power to small municipal electric utilities, which may source power from larger electricity generators, reselling it on a retail basis to serve local communities.

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