SF lawmaker pitches bill aimed at streamlining takeover of electrical grid
State Sen. Scott Wiener announces PG&E breakup bill
State Sen. Scott Wiener, who represents San Francisco, is advancing a new bill aimed at allowing cities to break up with PG&E. He said the new legislation would end PG&Es attempts to stall a city effort to dump the utility company.
SAN FRANCISCO - San Francisco State Senator Scott Wiener is advancing a new bill aimed at allowing cities to break up from Pacific Gas & Electric. The senator said the new legislation would end PG&E's efforts to stall efforts to dump the utility company.
Can SF break free from PG&E?
Wiener said cities like San Francisco have been trying to look for a way to separate from PG&E for more than five years, but that the utility has used the bureaucracy to slow that process down.
San Francisco has been trying to take control of its own electrical grid since 2019.
The fire and subsequent power outages in December have added urgency to the matter.
Now, Sen. Wiener is looking to clear the red tape he said is slowing the process, and allowing the city to determine the value of the electrical infrastructure in San Francisco as a major step in breaking up with PG&E and running its own power company.
"San Francisco has been crystal clear for a long time that it wants to break up with PG&E," said Sen. Wiener. "San Francisco wants out of this broken bad relationship, and it is time for California to get serious about giving San Francisco and other cities the ability to make that break up a reality."
What's the holdup?
What they're saying:
The senator said the current holdup is at the California Public Utilities Commission, where he said PG&E is using the bureaucracy to slow the process down to a crawl. He said his legislation would streamline the process and be an important step toward energy independence and lower prices for customers.
"This will create a fair process for eminent domain in the same way it was for many many years before the utilities rigged the law," said Sen. Wiener.
Members of San Francisco's Board of Supervisors voiced their support for the legislation, saying the recent fire and power outages were part of an ongoing pattern of incompetence on the part of PG&E.
"Tomorrow I will be introducing a resolution of support for SB 875, and we look forward to working with you to get this passed," said President of the Board of Supervisors Rafael Mandelman.
A lowball offer?
The other side:
For its part, PG&E released a statement saying that San Francisco has been vague about which assets it would like to purchase, and has lowballed the value of the electrical system, valuing it at $2–3 billion, far below the cost the utility has invested in San Francisco's grid.
"Not only is that a lowball amount, but the California Public Utilities Commission (CPUC) has been clear that the City and County of San Francisco (CCSF) would have to pay far more than the value of the assets, which means a takeover will drive customers’ rates up, not lower them."
What's next:
Supporters of a municipal power grid point to other cities with successful programs, such as Los Angeles, Palo Alto and Sacramento. The senator's office said the bill is headed to committee and could be on the governor's desk by August.
