California regulators are proposing a $22 million settlement with PG&E, alleging the utility committed violations uncovered during the investigation into the 2022 Mosquito Fire in Placer County.
The Mosquito Fire, which ignited on September 6, 2022, near the Oxbow Reservoir, spread across 76,788 acres, destroying 78 structures and damaging 13 more, according to the California Public Utilities Commission (CPUC). The blaze burned for over 50 days, prompting Governor Gavin Newsom to declare a state of emergency in Placer and El Dorado counties. The U.S. Forest Service is conducting its own investigation into the fire's cause.
The CPUC's investigation indicated that PG&E allegedly failed to perform certain repairs or adequately maintain some of its power lines. However, these alleged failures were not found to be a contributing factor in the ignition of the Mosquito Fire, according to a notice sent to the utility. The commission also stated that PG&E delayed reporting the fire by two days and that the utility destroyed a pole and other equipment before investigators could examine them.
In response to the CPUC's findings, a PG&E official asserted that the destroyed pole and equipment were not involved in the fire's ignition. Daniel Kushner, the utility's director of risk and electric compliance, attributed the destruction of the equipment to "internal miscoordination" and stated the utility had fully cooperated with the investigation. Kushner noted that PG&E offered investigators access to the dumpsters where the pole was discarded, but the commission declined the inspection. Regarding the delayed notification, Kushner explained that the utility initially did not believe the fire met the criteria for a "reportable incident," which typically involves personal injury or significant property damage.
Under the terms of the proposed settlement, announced Friday, PG&E has agreed to pay a $21 million penalty to California's general fund and up to $1 million to a third-party organization tasked with reviewing the utility's policies. The CPUC, a five-member panel appointed by the governor, is scheduled to vote on the settlement proposal on August 13.
