From The San Francisco Standard · · 1m 50s
City officials call PG&E’s $20B grid price 'absurd'
San Francisco officials dismiss PG&E’s $20 billion grid valuation as 'absurd' amid ongoing public power debate.
In brief
San Francisco officials dismiss PG&E’s $20 billion grid valuation as 'absurd' amid ongoing public power debate. San Francisco city officials reject PG&E’s $20 billion grid price tag as inflated, claiming the city’s $3.4 billion estimate includes key costs PG&E says are missing. Originally reported by The San Francisco…
City officials react to PG&E’s $20B grid price
City leaders called PG&E’s $20 billion figure for San Francisco’s grid 'absurd', 'fantasy', and 'inflated'.
“Absurd. Fantasy. Inflated.”
City’s $16.9B budget vs PG&E’s $20B claim
The city’s annual budget is $16.9 billion, while PG&E’s grid price tag is nearly six times higher than the city’s estimate.
PG&E CEO Patti Poppe’s $20B figure
PG&E CEO Patti Poppe announced the $20 billion figure Wednesday, claiming it reflects the true value of San Francisco’s grid assets.
City’s $3.4B grid valuation
The city estimates San Francisco’s grid at $3.4 billion, stating it includes updated cost estimates and asset details from PG&E.
PG&E’s justification for $20B price
PG&E says the city’s estimate leaves out key costs like severance payments for remaining customers and wildfire risk reduction programs.
City’s public power takeover push
The city has argued that a municipal-owned utility would be cheaper for ratepayers than PG&E’s investor-owned model.
PG&E’s opposition to takeover
PG&E has opposed city-led grid takeover for years, claiming the city lacks the capacity to manage infrastructure.
CPUC valuation process timeline
The city has until February 22 to respond to PG&E’s CPUC filing, with a second response due by March 24.
Loretta Lynch’s warning
Former CPUC president Loretta Lynch warned state regulators might be too deferential to PG&E during valuation proceedings.
Mayor Lurie’s stance
Mayor Daniel Lurie said all options are on the table but remains unhappy with PG&E’s performance, especially after December’s blackout.
What it means
San Francisco city officials reject PG&E’s $20 billion grid price tag as inflated, claiming the city’s $3.4 billion estimate includes key costs PG&E says are missing.
