The rating agency Moody’s Investors Service (“Moody’s”) has affirmed the A3 issuer rating of Fluvius System Operator CV (‘Fluvius’), but changed its rating outlook from negative to stable. This change of outlook is based on the approval by the Fluvius Economic Group entities of measures to mitigate the impact of lower allowed returns in the 2021-2024 tariff period, as well as the allowance by the regulator of advances for accelerated investments in the digital metering roll-out.
According to Moody’s, Fluvius’s A3-stable rating continues to reflect the robust credit quality of the Fluvius Economic Group, underpinned by the low business risk profile of the regulated electricity and gas distribution network operations in Flanders within a transparent and generally supportive though relatively new and untested regulatory framework.