An Update from Our Firm about COVID-19

Abraham, Watkins, Nichols, Sorrels, Agosto, Aziz & Stogner remains fully operational and committed to serving our clients and colleagues throughout the Coronavirus (COVID-19) crisis. As we follow the CDC guidelines and practice social distancing, we remain available for phone consultations and scheduled in-person meetings with both current and prospective clients and colleagues. Please contact our office by email or by calling 713-222-7211 with any questions. We look forward to hearing from you.

New PG&E Gas Safety Plan Proposes Its Customers Foot The Bill

Photo of Randy Sorrels

In an effort to prevent a disaster as horrific as the deadly San Bruno pipeline explosion from occurring again, Pacific Gas & Electric (PG&E) is proposing a $5 billion gas safety plan that will increase pipeline safety throughout California.

The company's proposal is currently being considered by the California Public Utilities Commission (CPUC). The plan to boost safety aims at elevating the priority of leak surveys, pressure reductions and transmission line safety tests. Tom Bottorff, a senior vice president at PG&E, said that the focus is to provide citizens with "a gas system that's safer and more reliable than anything this country has ever seen."

But such a safety plan does not come without a price. And in this case, PG&E is proposing to pass most of the project's price tag onto its customers. The cost to upgrade pipelines throughout the state will cost an estimated $5 billion. Under the proposal being considered by CPUC, PG&E's customers would cover about 84 percent of the cost of the upgrades through increased pricing.

San Bruno assemblyman Jerry Hill was quick to point out that under the proposal PG&E would also earn a sizeable profit. Under the proposal, the gas company would be guaranteed 11.35 percent interest on all of its capital expenses. The assembly man noted, "They're profiting from what has occurred in San Bruno and that's what I will fight against. We shouldn't be paying for that, and they shouldn't be profiting from this."

Following the September 2010 explosion, the CPUC implemented the requirement that state utilities have to replace untested segments of their gas pipelines, or provide an explanation of how they would pressure test those lines. The pipeline that exploded in San Bruno was part of an untested segment.

The CPUC is currently reviewing proposal from PG&E and other state utilities. No new safety requirements will be set until all proposals have been considered.

Source: Insurance Journal, "PG&E Says New Gas Safety Plan Will Cost $5B," 3/1/12.

No Comments

Leave a comment
Comment Information
  • $50+ Million Fire & Explosion

    The firm successfully represented nearly 100 victims who suffered personal injuries and damages to property from a large fire and explosion resulting in a settlement of more than $50 million. The firm served as lead lawyers on the steering committee in this litigation.

  • $80 Million Plant Explosion

    The firm successfully represented 270 plaintiffs, taking a lead role in the plaintiffs’ steering committee, who suffered injuries in a large plant explosion resulting in a settlement of nearly $80 million.

  • $50+ Million Plant Fire & Explosion

    The firm successfully represented 45 personal injury victims in a plant fire and explosion, serving on the plaintiffs steering committee, concluding with a settlement of more than $50 million.

  • $22+ Million Worksite Accident

    The firm prevailed in a personal injury trial for a worksite injury client with the jury returning a verdict and resulting in a judgment of over $22 million for the firm’s client.

  • $12 Million 18-Wheeler Collision

    The firm successfully achieved a $12 million settlement for the family of a man who died in an 18 wheeler collision.

  • $48 Million Catastrophic Burns

    The firm prevailed on behalf of three burn victims with settlements totaling nearly $48 million.

Our Record Of Success

When you are hurt and you choose a law firm to represent you in court or at the negotiation table, you need to carefully consider the firm's record.

Read More Success Stories

Let Us Help You Request a Free Consultation Today

Get Help Now

Bold labels are required.

Contact Information

The use of the Internet or this form for communication with the firm or any individual member of the firm does not establish an attorney-client relationship. Confidential or time-sensitive information should not be sent through this form.


Privacy Policy

Back to top