PG&E Possibly Facing Significant Fines

PG&E could possibly be facing substantial amount in fines in regards to the 2010 San Bruno Fire; if they are guilty of systemic violations in both state and federal safety regulations. The California Public Utilities Commission stated that PG&E had failed to follow accepted industry practice when installing the pipeline, failed to comply with federal pipeline integrity management requirements, kept inadequate records, and poorly collected and reported data. CPUC also accused PG&E of excoriating the utility's emergency procedures and allegedly poor response to the incident.

PG&E President Chris Johns stated in a release statement that they are taking CPUC's finding seriously and are cooperating with the investigation. Johns also stated "It is clear that PG&E's past gas operations were not what they should have been. We have admitted these shortcomings, and we are committed to raising the level of pipeline safety to new, higher standards."

Last month, CPUC approved a $38 million fine against PG&E in another explosion that occurred in Rancho Cordova in 2008 that resulted in one fatality. It is anyone's guess what a leveled neighborhood, the death of eight people and the injury of dozens could possibly cost PG&E.


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