CPUC Issues Proposed Safety Metrics for Use in Enhanced Oversight and Enforcement of PG&E
The California Public Utilities Commission (CPUC) today issued for public comment a proposed set of metrics to continually evaluate Pacific Gas & Electric Company’s (PG&E) operational safety performance and to inform the Enhanced Oversight and Enforcement Process imposed by the CPUC as a condition of approving PG&E’s plan for exiting bankruptcy in May 2020.
The Enhanced Oversight and Enforcement Process is a transparent, six-step enforcement framework established by the CPUC with escalating enforcement actions at each step, including placing conditions or revoking PG&E’s license to operate in California. These steps are triggered by specific findings or events. The proposed safety and operational metrics will be key in determining if a triggering event has occurred. The Enhanced Oversight and Enforcement Process is specific to PG&E due to its pattern of catastrophic safety and operational failures in recent years. It does not supplant existing CPUC regulatory or enforcement jurisdiction and does not limit the CPUC’s authority to pursue other enforcement actions.
The failure to make sufficient progress on safety and operational metrics could trigger placing PG&E in one of the six steps. The proposal issued today provides those metrics, which cover a broad array of topics including electric (wildfire) safety, electric reliability, and natural gas safety. The metrics cover important safety performance indicators such as reliability of service, ignitions caused by electric infrastructure, compliance with inspection requirements, and the number of natural gas dig-ins. The proposal was prepared following a public workshop, stakeholder engagement, and public comments.
The proposal is available at www.cpuc.ca.gov/pgeenforcement. Comments from the public may be submitted to the Public Comments portal for R.20-07-013 at apps.cpuc.ca.gov/c/R2007013.
In April 2020, the CPUC placed PG&E into step one of the Enhanced Oversight and Enforcement Process based on the company’s failure to sufficiently prioritize clearing vegetation on its highest-risk power lines as part of its wildfire mitigation work in 2020. PG&E was required to submit a corrective action plan, available at www.cpuc.ca.gov/pgeenforcement, which outlines its path to ensure it is prioritizing its enhanced vegetation management based on wildfire risk throughout its electric system. If PG&E successfully executes its corrective action plan without triggering other events, it could be removed from this step. If PG&E fails to demonstrate it is satisfying the corrective action plan requirements, the CPUC may pursue additional steps and escalate enforcement actions.
Follow the Enhanced Oversight and Enforcement Process at www.cpuc.ca.gov/pgeenforcement.
The CPUC regulates services and utilities, safeguards the environment, and assures Californians’ access to safe and reliable utility infrastructure and services. For more information on the CPUC, please visit www.cpuc.ca.gov.
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