PG&E Expects To Pay $2.5 Billion For Wine Country Wildfires
Portrait of GV Wire News Director Bill McEwen
By Bill McEwen, News Director
Published 7 years ago on
June 21, 2018

Share

SAN FRANCISCO — A Northern California utility said Thursday that it expects to pay at least $2.5 billion in connection with deadly wildfires that whipped through wine country last October — some of them ignited by its fallen power lines.
Pacific Gas & Electric Co. also warned that its liability could be considerably higher after state fire officials determine the cause of 21 major fires that devastated the region last year. They killed 44 people, destroyed thousands of homes and businesses, and wiped out vineyards, marijuana farms and other agricultural operations.
The California Department of Forestry and Fire Protection has determined the cause of 14 fires and found the utility’s downed power lines started several.

Santa Rosa Wildfire Cause Still Unknown

But state officials have not found what ignited California’s most destructive wildfire, which destroyed more than 5,000 buildings, including 2,800 homes in the town of Santa Rosa that was hardest hit by the deadly flames.
PG&E said it is facing more than 200 lawsuits and expects more. One of the law firms suing the utility has hired celebrity activist Erin Brockovich, whose legal fight against PG&E over water issues was portrayed in a 2000 movie starring Julia Roberts.

Criminal Probe of PG&E Underway

Prosecutors also are investigating whether PG&E should be charged with any crimes if it is found to have failed to follow state safety regulations.
A U.S. judge fined the utility $3 million after it was convicted of six felony charges for failing to properly maintain a natural gas pipeline that exploded under a neighborhood south of San Francisco in 2010.
The explosion killed eight people and wiped out a neighborhood in suburban San Bruno. The California Public Utilities Commission also fined PG&E $1.6 billion.
The utility said in a filing Thursday with the Securities and Exchange Commission that the $2.5 billion charge tied to the wildfires will be recorded in the quarter ending June 30.

Liability Could Climb to $10 Billion

PG&E said the figure is at the low end of its estimated liability, which could exceed $10 billon. The utility said it has about $840 million in insurance for the fires.
PG&E President Geisha Williams said California law holds utilities almost completely responsible for wildfires started by their equipment even if they followed all safety rules.
She called the law “bad public policy” and called on lawmakers to change it to bring the state more in line with the rest of the country, which takes into account the utilities’ safety record.

PG&E President Points to Climate Change

Williams said extreme weather conditions contributed to the wildfires.
“Years of drought, extreme heat and 129 million dead trees have created a ‘new normal’ for our state that requires comprehensive new solutions,” Williams said.
The San Francisco-based utility’s stock price on Thursday rose 97 cents a share, or 2.43 percent, to $40.97 in trading on the New York Stock Exchange.

DON'T MISS

23 for ’23: A Year in Photos

DON'T MISS

See How this Fresno roastery sends aid to Northern Thailand.

DON'T MISS

District Says Fresno Teachers Contract Proposal Would Bankrupt Budget Reserves by Year 3

DON'T MISS

Trump Vows to Ban Gaza Refugees, Expand Muslim Travel Ban If He Wins

DON'T MISS

The Supreme Court Orders Makers of Gun Parts to Comply with Rules on Ghost Guns

DON'T MISS

George W. Bush for Speaker? A Democratic Lawmaker Thinks It’s Possible

DON'T MISS

Former Navy IT Manager Gets Five Years for Hacking, ID Theft

DON'T MISS

Gunman Kills Two Swedes in Brussels, Prompting Terror Alert and Halt of Belgium-Sweden Soccer Match

DON'T MISS

Zakaria: The Best Response to Hamas Would Be to Keep the Saudi Deal Alive

DON'T MISS

Groundbreaking Human Brain Atlas Offers New Hope for Treating Neurological Disorders

UP NEXT

Fresno’s Famous Gourmet Hot Dog Shop Sells

UP NEXT

District to Fresno Teachers: Read Our Proposal Before Taking Strike Vote

UP NEXT

George W. Bush for Speaker? A Democratic Lawmaker Thinks It’s Possible

UP NEXT

City of Fresno’s Israeli Flag Raising Draws Supporters and Protesters

UP NEXT

Former Fresno CC Coach Ed Madec Arrested for Allegedly Threatening to Kill Chancellor

UP NEXT

Trump Vows to Ban Gaza Refugees, Expand Muslim Travel Ban If He Wins

UP NEXT

Former Navy IT Manager Gets Five Years for Hacking, ID Theft

UP NEXT

Newsom Signs Law to Slowly Raise Healthcare Minimum Wage to $25

UP NEXT

Fresno Politicians Say They Stand With Israel in Remarks at Cornerstone Church

UP NEXT

Oprah Winfrey Proposed 2020 Presidential Run with Mitt Romney, New Book Reveals

Portrait of GV Wire News Director Bill McEwen
Bill McEwen,
News Director
Bill McEwen is news director and columnist for GV Wire. He joined GV Wire in August 2017 after 37 years at The Fresno Bee. With The Bee, he served as Opinion Editor, City Hall reporter, Metro columnist, sports columnist and sports editor through the years. His work has been frequently honored by the California Newspapers Publishers Association, including authoring first-place editorials in 2015 and 2016. Bill and his wife, Karen, are proud parents of two adult sons, and they have two grandsons. You can contact Bill at 559-492-4031 or at Send an Email

You May like

Trump Vows to Ban Gaza Refugees, Expand Muslim Travel Ban If He Wins

1 year ago

The Supreme Court Orders Makers of Gun Parts to Comply with Rules on Ghost Guns

1 year ago

George W. Bush for Speaker? A Democratic Lawmaker Thinks It’s Possible

1 year ago

Former Navy IT Manager Gets Five Years for Hacking, ID Theft

1 year ago

Gunman Kills Two Swedes in Brussels, Prompting Terror Alert and Halt of Belgium-Sweden Soccer Match

1 year ago

Zakaria: The Best Response to Hamas Would Be to Keep the Saudi Deal Alive

1 year ago

Groundbreaking Human Brain Atlas Offers New Hope for Treating Neurological Disorders

1 year ago

Newsom Signs Law to Slowly Raise Healthcare Minimum Wage to $25

1 year ago

Former Fresno CC Coach Ed Madec Arrested for Allegedly Threatening to Kill Chancellor

1 year ago

Jim Jordan’s Rapid Rise Cheered by Trump and Far Right. Could It Make Him Speaker?

1 year ago

HOT OFF THE PRESS

23 for ’23: A Year in Photos

1 year ago

1 year ago

Trump Vows to Ban Gaza Refugees, Expand Muslim Travel Ban If He Wins

1 year ago

The Supreme Court Orders Makers of Gun Parts to Comply with Rules on Ghost Guns

Photo of a hacker typing on a laptop

1 year ago

Former Navy IT Manager Gets Five Years for Hacking, ID Theft

1 year ago

Gunman Kills Two Swedes in Brussels, Prompting Terror Alert and Halt of Belgium-Sweden Soccer Match

1 year ago

Zakaria: The Best Response to Hamas Would Be to Keep the Saudi Deal Alive