Overview
- Senate Bill 875, introduced by Sen. Scott Wiener, would ease eminent domain, lower the burden of proof, set enforceable timelines, and limit CPUC oversight to employee impacts to help cities acquire PG&E distribution assets.
- San Francisco supervisors backed the push at City Hall and moved to file Board resolutions supporting SB 875, with the bill expected to get its first committee hearing this spring.
- The proposal follows December blackouts tied to a San Francisco substation fire and escalating complaints about PG&E maintenance and high bills, which lawmakers say justify a municipal option.
- PG&E opposes the effort, arguing a takeover would raise rates because cities must pay asset value plus separation and rebuild costs and business-severance damages, disputing San Francisco’s $2–$3 billion valuation and noting recent bill reductions.
- UC Berkeley’s Severin Borenstein warns municipalization could shift wildfire and rural service costs to remaining PG&E customers and entail lengthy legal fights, while Gov. Gavin Newsom has voiced skepticism about government takeovers.