New Reports Raise Questions About Utility Influence As Wildfire Recovery Debate Intensifies

As California lawmakers prepare to consider new wildfire legislation, a new report from Consumer Watchdog and coverage by the Los Angeles Times are drawing renewed attention to the growing debate over who should bear the financial responsibility for catastrophic wildfires. The reports allege that California’s three largest investor-owned utilities — Pacific Gas & Electric (PG&E), Southern California Edison (Edison), and Sempra Energy (Sempra) — have spent a record $16.7 million lobbying state officials during the current legislative session over proposals relating to wildfire survivors’ ability to obtain full compensation.

Consumer Watchdog and the advocacy group Every Fire Survivor’s Network have expressed concern that potential proposals could limit compensation for wildfire victims. Previous legislation has already shifted billions of dollars in wildfire costs from utility shareholders to ratepayers and taxpayers. The reports also note that investor-owned utilities opposed legislation requiring greater financial accountability for wildfire mitigation funds, even as Edison reported record profits.

“Families who lost everything in the Eaton Fire deserve to have their claims decided under the law, not under rules rewritten after the fact,” said Walkup shareholder Michael A. Kelly, who represents numerous families pursuing claims against Edison. “If a utility is ultimately found responsible for causing a catastrophic wildfire, victims should have the opportunity to recover the full measure of their damages. Any proposal that limits accountability or shifts those costs away from the responsible parties deserves careful public scrutiny.

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