Embattled California utility spent most for 2018 lobbying
SACRAMENTO, Calif. (AP) — Pacific Gas & Electric Corp. spent nearly $10 million on California lobbying efforts in the year before the utility giant declared bankruptcy, spending more than any other entity seeking to influence California government in 2018.
The majority of that money — more than $5 million — was spent for lobbying on proposals involving wildfire safety and response, including whether to reduce the strict liability utilities face when their equipment sparks wildfires.
Lawmakers ultimately didn’t reduce the liability but passed a law making it easier for utilities to take out bonds to cover wildfire damages and pass some costs on to ratepayers.
PG&E, the nation’s largest utility, filed Chapter 11 bankruptcy Tuesday as it faces potentially tens of billions of dollars in liability from devastating wildfires that ripped through Northern California in 2017 and 2018. The bankruptcy filing could lead to smaller payouts to wildfire victims and increased costs for PG&E customers.
Of the nearly $10 million spent, about $9.6 million went toward general lobbying, which includes things such as hiring in-house lobbyists or major Sacramento firms to advocate on behalf of legislation as well as paying for meals or other perks for state lawmakers.
Between July and September the company spent $6 million lobbying, including buying meals and event tickets for a handful of public employees and giving more than $10,000 in campaign contributions to nine sitting lawmakers and one candidate.
The utility also spent about $350,000 lobbying the California Public Utilities Commission, the entity that regulates it and other utilities.
PG&E is facing 750 lawsuits, its lawyer said in a Thursday court hearing.
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