PG&E filing for bankruptcy
Fire claims prompt utility to seek Chapter 11 protection
Facing at least $7 billion in Camp Fire claims, PG&E announced Monday (Jan. 14) its intention to file for Chapter 11 bankruptcy protection. Under state law, it can petition the court after a 15-day notice period, ending on Jan. 29.
PG&E, an investor-owned utility, said in a news release that it “remains committed” to continuing electric and natural gas service, and to “make investments in system safety.” Chapter 11, a reorganization process, will allow “expeditious resolution of potential liabilities” from Northern California fires in 2017 (i.e., Santa Rosa) and 2018 (i.e., Butte County).
The news release said PG&E is negotiating $5.5 billion in financing to fund ongoing operations.