Consumer Watchdog Reports: PG&E Says It Cannot Afford to Serve Customers. Legislature Must Demand Services Before Wall Street Payouts

Consumer Watchdog and Every Fire Survivor's Network Call For CPUC Enforcement Of PG&E's Duty To Serve & Under-Oath Answers About Its Financial State

SACRAMENTO, Calif., Oct. 26, 2026 /PRNewswire/ -- PG&E is warning 25,000 customers they may have to wait up to six extra months for electricity, while delaying $2 billion in planned investments, including connections for 68 renewable energy projects and approximately 200 large-capacity projects, and pushing Sacramento for a wildfire liability bailout.

Consumer Watchdog and Every Fire Survivor's Network called on the California Assembly and Senate utilities oversight committees to compel the California Public Utilities Commission (CPUC) to take action. They asked the CPUC stop PG&E from sending money needed to serve customers to its holding company and require the holding company to provide funding for the delayed services under existing CPUC rules. 

The groups also provided a list of questions for the Assembly committee's oversight hearing Wednesday, including requiring PG&E to prove the financial necessity of any delay. They pointed out the interconnection services being threatened are often largely paid for by customers and should not cost the utility any money. Read their letter.

"PG&E has an obligation to serve and when it cannot or won't its holding company should be prevented from receiving dividends and should fund the needed services under existing law," said Consumer Watchdog President Jamie Court. "The interconnection services in question should be largely paid for by its customers, so why are they being delayed if not simply as leverage for a legislative bailout?"

PG&E has a legal obligation to serve customers, including connecting new homes, housing developments, universities and renewable energy projects. CPUC Decision 02-01-039, as modified by Decision 02-07-043, requires that the utility's capital needs take first priority and establishes protections against transfers of utility assets to its holding company that impair service. The decisions also address the holding company's obligation to provide capital when necessary for the utility to meet its responsibilities.

The groups said CPUC must enforce these requirements: keep money needed for service at the utility and require holding-company contributions when legally required.

"PG&E cannot take money customers paid for service, divert it to Wall Street shareholders and then claim it cannot afford to serve those customers," said Joy Chen, executive director of Every Fire Survivor's Network. "Money needed to fulfill its duty to serve must stay at the utility. The Assembly must demand that the CPUC enforce its own rules."

The groups called on the committees to:

• Stop transfers that impair service and complete delayed connections. Direct the CPUC to enforce its holding-company rules, prevent utility dividends and other transfers that undermine PG&E's ability to serve customers, and compel holding-company funding when required under the "first priority" rules.
• Demand a full accounting of the $2 billion in delayed projects. Require PG&E to produce a project-by-project breakdown identifying who is paying for the work, how much funding has already been collected or committed from customers and developers, existing financing agreements, and how much PG&E must actually finance. 
• Require sworn testimony and financial disclosures from utility and holding-company executives. PG&E executives should disclose actual increases in borrowing costs, financing already secured, alternative financing options considered, and whether delaying these projects will produce measurable savings for ratepayers.
• Complete delayed connections. The committee should direct the PUC to require PG&E to complete the delayed connections with enforceable deadlines and a report to the legislature.

"No services for customers, no dividends for holding company shareholders," Court said. "The legislature must make PG&E prove these delays are necessary and require the CPUC to do its job. The Legislature must not reward threats to electricity service with another bailout. Wednesday's hearing is an opportunity to get answers from regulators and PG&E."

SOURCE Consumer Watchdog