PCG Q3'26 Earnings: revenue estimate is 6.82B USD

Pacific Gas & Electric (PG&E) cut power to nearly 70,000 customers across 25 California counties to reduce wildfire risks. The shutoffs, among the largest in years, affected areas like Calaveras, El Dorado, and Tuolumne counties. PG&E opened resource centers and distributed care packages, while residents questioned the timing of the outages. The utility expects the weather system to persist through Saturday, with power restoration dependent on line inspections.

Edison International and PG&E Corp. may cut power to over 345,000 homes and businesses in California due to high fire risk from strong winds and low humidity. The shutoffs could affect multiple counties, including areas impacted by past wildfires. Both companies' stocks fell over 3% on Wednesday.

PG&E estimates a $20B cost for San Francisco to acquire its grid, far higher than the city's $3.4B estimate. The utility's CEO said the takeover is not in the city's best interest, citing asset values and severance costs. The city must respond by Oct. 20, with PG&E arguing the city's offer is below market value.

California Governor Gavin Newsom signed a bill requiring a study on compensating victims of PG&E-caused wildfires. The legislation aims to address the 30% shortfall in compensation for victims of fires like the Camp Fire and 2017 North Bay wildfires. The CPUC must report recommendations by 2028, excluding rate hikes as a funding source. PG&E and Southern California Edison opposed the bill, warning of potential litigation and increased costs.

PG&E filed a 10-year plan to underground 5,000 miles of electric lines in high wildfire-risk areas, aiming to reduce risk by 98% and outages by 90%. The $117 billion plan, subject to approval, is expected to save $6 billion in long-term costs. PG&E has already undergrounded 1,900 miles and upgraded 2,000 miles since 2020.

PG&E proposed to underground nearly 500 miles of power lines on the Central Coast by 2037, part of a $11.4B plan to reduce wildfire risk and improve service. The company estimates $117B in long-term benefits and $6B in customer savings. Residents are divided on the plan's cost-effectiveness.