See Utilities Die at PG&E — Market Mad House

Pacific Gas & Electric (PCG) or PG&E shows why utilities are no longer a widow and orphan stocks.

PG&E (PCG) just emerged from a $59 billion Chapter 11 Bankruptcy and it already faces a lawsuit over another wildfire, GreenTechMedia reports. The suit arises from the October 2019 Kincade Fire, which burned 77,528 acres and destroyed 374 buildings.

The California Department of Forestry and Fire Protection alleges that a PG&E transmission line started the Kincade fire in Sonoma County, GreenTechMedia reports. Attorneys for property owners sued PG&E in July. The suit alleges that PG&E’s failure to maintain its power lines caused the fire.

Can PG&E Survive?

Survival could be impossible for Pacific Gas & Electric (NYSE: PCG). GreenTechMedia claims PG&E can only survive by reducing wildfire risk to zero.

To explain P&GE will have to prove all of its electric lines are clear of overhanging tree limbs and well-maintained, Stanford Professor Michael Wara claims. I cannot see how PG&E can achieve that goal.

I think zero-wildfire risk is impossible for PG&E. Frighteningly zero-wildfire risks is just one of four impossible goals GreenTechMedia’s Jeff St. John thinks PG&E needs to accomplish to survive. The other goals are: