Pacific Gas & Electric Co. · NYSE:PCG
Pacific Gas & Electric — PG&E Corp (Pcg, Pcg-Pa, Pcg-Pb, Pcg-Pc, Pcg-Pd, Pcg-Pe, Pcg-Pg, Pcg-Ph, Pcg-Pi) — Power & Gas Leaders Conference 2010
11 slides from Pacific Gas & Electric's conference presentation, Sep 28, 2010
Slide 1: PG&E Corporation Power & Gas Leaders Conference
PG&E Corporation ® Power & Gas Leaders Conference Bank of America - Merrill Lynch September 28, 2010 Kent Harvey Chief Financial Officer, PG&E Corporation This presentation is not complete without the accompanying statements made by management on September 28, 2010. A replay is available on PG&E Cor
Slide 2: Summary of Accident
Summary of Accident Rupture of 30-inch gas transmission line Explosion and fire occurred 7 confirmed fatalities 6 serious injuries 37 homes destroyed 18 homes with major damage
Slide 3: Immediate Response
Immediate Response “If it is ultimately determined that we were responsible for the cause of the incident, we will take accountability.” Assistance to first responders making the area safe Temporary housing and other immediate needs Financial assistance including prepaid debit cards $1 million donat
Slide 4: Rebuild San Bruno Fund
Rebuild San Bruno Fund Relief fund for up to $100 million: Address expenses for impacted residents not covered by insurance or not yet available Restore the community by rebuilding or replacing public property Pay for certain costs incurred by emergency responders and government services
Slide 5: Insurance Coverage
Insurance Coverage Liability insurance coverage: $992 million Deductible: $10 million Expect liability insurance to be sufficient for all covered claims
Slide 6: Pipeline Safety Program
Pipeline Safety Program Transmission Lines • 6,400 miles • Surveyed for leaks annually • Regular integrity assessments (e.g. in-line investigation or direct assessment) • San Bruno segment surveyed for integrity in November 2009 and for leaks in March 2010 Distribution Lines • 42,100 miles • Surveye
Slide 7: Post-Event Actions
Post-Event Actions For all transmission lines in the area: • Reduced operating pressure by 20% • Resurveyed for leaks Resurveyed distribution system in San Bruno for leaks
Slide 8: What Happens Next - NTSB
What Happens Next - NTSB NTSB will investigate, determine cause, and issue recommendations Investigations typically take more than a year NTSB has said it will expedite its investigation NTSB to review: Physical evidence Integrity management Employee performance Emergency response
Slide 9: What Happens Next - CPUC
What Happens Next - CPUC CPUC will establish independent review panel to: • Investigate San Bruno accident • Evaluate safety of gas transmission lines • Make recommendations to CPUC Response to earlier CPUC requests underway
Slide 10: Financial Impact
Financial Impact Developing an initial estimate of costs Charge to GAAP income expected in Q3 2010 Insurance recoveries expected to be recorded in the future
Slide 11: Conclusion
Conclusion Fully cooperating with regulators to determine cause Working to assure customers of system safety Supporting the recovery effort in San Bruno