Investor-owned utilities and other publicly traded companies typically finance their capital needs with a combination of debt and equity. Municipal utilities and co-ops do not have equity and must depend on debt for most of their capital needs. Given the high capital requirements of operating a utility, access to debt is critical. Utility debt comes from a variety of sources:
Here is an example of debt from CenterPoint Energy 2018 Annual 10K (click on table to enlarge in new window):