PG&E has agreed to pay $125 million for its role in the Kincade Fire under a proposed settlement that state regulators unveiled on Tuesday, which could be approved early next month.
PG&E agreed to the California Public Utility Commission's Safety and Enforcement Division proposal that it would pay $40 million to the state’s general fund and $85 million to remove abandoned transmission equipment within its service territory. The watchdog based the agreement on the findings of its own investigation, which determined the utility company had left abandoned equipment energized since 2006 and violated its regulatory requirements for the maintenance of electrical lines.
One of the abandoned tower’s suspended and unsecured jumper cables broke and arced against it on Oct. 23, 2019, sparking the ground vegetation. The Kincade Fire burned over 77,000 acres and destroyed 374 structures, and CAL FIRE investigators had previously determined PG&E's owned-and-operated electrical transmission lines were at fault.
In a statement to KCBS Radio, PG&E said it disagreed with the "alleged violations" but believed "the settlement will assist in allowing all parties to move forward from the fire, and permit us to focus on compensating victims and making our energy system safer."
The CPUC's five commissioners will vote on the proposed settlement at its Dec. 2 meeting. The public can offer comments on the proposed settlement by sending an email here, no later than Nov. 22.
PG&E faces criminal charges for its role in the Kincade Fire.
Sonoma County District Attorney Jill Ravitch announced in April she would charge the utility with five felonies and 28 misdemeanors over the fire, which prompted the largest evacuations in the county’s history. PG&E pleaded not guilty to all 33 counts last month.
In May, Sonoma County officials announced that PG&E would pay $31 million to the county, City of Santa Rosa, Town of Windsor, City of Cloverdale and City of Healdsburg for the utility’s role in the fire.
The Kincade Fire is not the only recent deadly blaze in which the utility company has faced criminal charges or paid significant fines.
Shasta County prosecutors charged PG&E with over 30 crimes, including manslaughter, stemming from its role in last year's Zogg Fire. PG&E previously pleaded guilty to 84 criminal counts for its role in the 2018 Camp Fire, the deadliest in state history.
It also set up a $13.5 billion fund to pay out victims of the Camp Fire and 23 others where its equipment played a role, a portion of which is funded by company stock. KQED and California Newsroom reported last month that 20 Wall Street hedge funds had dumped $2 billion in stock, lowering the company’s share price and, thus, ensuring fire victims' shares are yet to reach the value promised by their own lawyers and state regulators.
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