A federal jury found Pacific Gas & Electric Co. guilty of violations of pipeline safety regulations that led to the 2010 explosion of a natural gas pipeline in San Bruno which caused eight deaths and destroyed 38 homes.
California’s largest utility faces potential fines of $3 million. While the jury was deliberating, prosecutors decided not to pursue potential fines of up to $562 million. PG&E was previously fined a record $1.6 billion by the state’s Public Utilities Commission.
San Ramon-based Chevron Corporation (NYSE: CVX) reported a loss of $1.5 billion, or 78 cents per share, for the second quarter of fiscal 2016, compared with earnings of $571 million, or 30 cents per share, for the same period in 2015.
The company also declared a quarterly dividend of $1.07 per share, payable Sept. 12, to holders of record as of Aug. 19.
Preliminary draft permanent regulations for natural gas storage facilities in California have been released by the Department of Conservation’s Division of Oil, Gas and Geothermal Resources (DOGGR).
When finalized, the regulations will replace emergency regulations the agency issued earlier this year. The draft includes new safety and testing measures that would be required for the 12 gas storage fields in the state.
State regulators turned down a proposal to construct a natural gas pipeline that would have fed the Southern California Gas Co. distribution system.
The California Public Utilities Commission (CPUC) said that, in the wake of the prolonged shutdown of the SoCalGas Aliso Canyon storage facility, there is not enough spare natural gas in Northern California to make the pipeline worthwhile.
Pacific Gas & Electric said it has taken its McDonald Island natural gas facility out of service after the utility detected small leaks of methane from some of the wells on the island.
PG&E said the “low-level emissions” on the man-made island in an unpopulated area near the Sacramento River Delta, do not present any risk to the public or the environment.
The California Public Utilities Commission has approved $950 million in increased rates for Pacific Gas & Electric Co. to cover the costs of improvements to its natural gas storage facilities and pipeline capacity.
The rate hike for PG&E is separate from a pending rate disallowance of $850 million related to the utility’s alleged shortcomings in responding to the 2010 failure of a natural gas pipeline in San Bruno. Continue reading