Report detailing PG&E’s Camp fire failures raises new hurdles for utility
A damning report about the cause of the deadliest wildfire in California history poses a huge setback to Pacific Gas & Electric as it tries to resolve a complex bankruptcy and prove to its customers and elected officials that it takes safety seriously.
PG&E repeatedly failed to properly maintain a power line built nearly a century ago even though it cuts through a heavily wooded and mountainous area that experiences strong winds, a 700-page report by the California Public Utilities Commission concluded. A live wire broke from the line, called the Caribou-Palermo, in November 2018 and ignited the Camp fire, which killed 85 people and destroyed the town of Paradise.
The report, which the commission posted on its website over the Thanksgiving holiday with no announcement, could jeopardize PG&E’s future as an independent business. The company was already on probation after being convicted of six federal criminal charges for causing another disaster — a gas pipeline explosion that killed eight people in San Bruno, south of San Francisco, in 2010.
Critics of the company, including a group of California mayors and Gov. Gavin Newsom, have proposed selling PG&E to Warren Buffett’s holding company, breaking it up, having the state take it over or turning it into a cooperative owned by its customers.
“The new information that is most telling is that it was based on the neglect and improper inspections and overall failure of PG&E to manage their transmission line,” said state Sen. Jerry Hill, D-San Mateo. “That is exactly what we learned 10 years ago with the San Bruno gas pipeline explosion.”
The report also has raised fresh questions about why the utilities commission did not identify PG&E’s safety lapses in previous investigations and audits of the company. The report did not address that issue but implied that the problems could have been discovered years earlier. It said that “long-duration exposure to higher winds, age and historical inspection methodologies likely all contributed” to the equipment failures that caused the fire.
A commission spokeswoman, Terrie Prosper, said the agency would now determine fines and penalties and “ensure that it incorporates any broader lessons learned into future work, especially as we work to implement wildfire legislation.”
Michael Aguirre, a former assistant U.S. attorney who has sued the governor and various state officials, claiming they have improperly committed ratepayers to helping utilities like PG&E, said that the utility “has failed to obey basic safety rules because there’s been a breakdown in enforcement in California for at least the last decade.”
“Unless something fundamental is done,” he added, “the utility will cause more death and home destructions in 2020.”
The commission’s findings could jeopardize the probation the company was placed on after the 2010 gas pipeline explosion.
Judge William Alsup of U.S. District Court ruled this year that PG&E had violated the probation, contending that the company had not adequately informed federal supervisors of a fire-related investigation by a state district attorney. Alsup threatened to force PG&E to carry out a far-reaching and costly overhaul of its power lines, but ultimately scaled back his demands.
The judge could now revisit that decision in light of the new report. PG&E has acknowledged that it could be in violation of its probation if “reckless operation or maintenance” of its power lines was responsible for a wildfire and if the company was found to have violated federal, state or local laws.