And from Standard & Poor's via Research Recap:
Credit quality for U.S. electric utilities remains strong despite rising fuel and construction costs, according to Standard & Poor’s.
Capital expenditure budgets are ratcheting upward, buffeted by double-digit increases in construction material costs and a tight labor market, S&P says in its latest Industry Report Card. “Additional cost pressure from rising fuel costs is a growing credit concern. To date, regulatory decisions have been supportive of the commodity pass-through via adjustments mechanisms. Still, the potential for regulatory fatigue is heightened as costs show no signs of abating in the near term and longer-term environmental compliance recovery will likely pressure customer rates.”>>>MORE