The California Public Utilities Commission on Thursday formally approved a $150 million regulatory settlement with PG&E over the 2020 Zogg Fire, with the bulk of the sum to be dedicated to bolstering wildfire safety efforts.
The California Public Utilities Commission on Thursday formally approved a $150 million regulatory settlement with PG&E over the 2020 Zogg Fire, with the bulk of the sum to be dedicated to bolstering wildfire safety efforts.
Regulators had originally sought to fine the utility $155 million for two regulatory violations blamed in the fire that left four dead and destroyed more than 200 homes in Shasta and Tehama counties. The deal, as approved, will impose a $10 million fine and then specify that the $140 million balance be paid by shareholders to bolster record keeping and vegetation management in high fire risk areas.
The company is still facing criminal prosecution in Shasta County for the Sept. 27, 2020 fire.
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CPUC Regulators alleged the tree that leaned onto the line, triggering the fire, had been earmarked for removal but wasn’t removed due to PG&E’s poor recordkeeping.
PG&E disputed that interpretation and challenged the regulatory findings. The settlement does not resolve the dispute, but does require PG&E to better track trees to ensure those marked for removal are identified by a signed and dated record that includes precise geographic data. The $140 million settlement will also pay for more training, improved data management and investments in local fire safety councils and other fire education efforts.
In a statement, PG&E says it’s “a different company today” under CEO Patti Poppe, and outlined various initiatives during her tenure, including reconfiguring its equipment and a ten year plan to underground 10,000 miles of its power lines. The company says it is “working tirelessly to make our system safer every day.”
As for the specifics surrounding the fire, PG&E says it has accepted Cal Fire’s finding that a tree which fell onto its power line was the cause of the Zogg fire, and has resolved many of the civil claims.
“This settlement agreement allows us to continue focusing our time, resources and efforts to continue to make our system safer now, rather than on a hearing related to events several years ago,” the utility said. “Our objective is to focus on continuing to make things better for our communities.”
