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California utility filing for bankruptcy after wildfires

by Kiley Crossland
Posted 1/14/19, 10:35 am

The Pacific Gas and Electric Company said Monday it will file for bankruptcy in the face of massive potential liabilities for deadly California wildfires in recent years. CEO Geisha Williams resigned Sunday, and the share price of the publicly traded utility plunged by 50 percent Monday morning. PG&E provides natural gas and electricity to about 16 million people in most of the northern two-thirds of California. State fire investigators have blamed the company for wildfires that broke out in Northern California in October 2017. The company faces potential liability for wildfires in 2018 affecting the same region.

PG&E said Monday it plans to file for Chapter 11 bankruptcy protection after the mandatory 15-day advance notice period. “We believe a court-supervised process under Chapter 11 will best enable PG&E to resolve its potential liabilities in an orderly, fair, and expeditious fashion,” said interim CEO John R. Simon. The company said it will continue providing service to its customers as it restructures.


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Kiley Crossland

Kiley reports on marriage, family, and sexuality for WORLD Digital. Follow Kiley on Twitter @KileyCrossland.

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Comments

  • news2me
    Posted: Mon, 01/14/2019 07:31 pm

    That's ok, I'm sure the Dems can pass some bill to get lots of money for California. That's what lawyers do.

    Or maybe they could use the money they demand for illegal sanctuary cities and then demand more money.

  • John Cogan's picture
    John Cogan
    Posted: Mon, 01/14/2019 09:14 pm

    How can a company that provides electric power be liable for wildfires? Is this because PG&E contributes to climate change through its emissions and climate change caused the wildfires? Or were some of the fires directly caused by negligent operation of PG&E facilities? 

  • JerryM
    Posted: Tue, 01/15/2019 03:35 am

    How soon until California declares bankruptcy?  The new governor appears to be accelerating the state along this path.

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