How much profit does SDGE make from its

How much profit does SDGE make from its wildfire infrastructure upgrades?

Legal & Financial 1w ago 4 answers •

I've been following the news about SDGE's $6 billion infrastructure upgrade after the 2007 wildfires. I'm curious to know how much profit the company makes from these upgrades, which were funded by ratepayers. I've read that the company earns an estimated $312 million in annual net profit from these upgrades.

Write an Answer

4 Answers

Alexis Martel • 1w ago

SDGE isn't guaranteed a 10% profit. They're able to earn up to 10% profit on a project, but they can earn much less or even lose money on a project. It's a cap, not a promise.

Yuna • 1w ago

The $379 million denial of liability led to Sacramento's passage of AB 1054, which now assumes a certified utility acted prudently. This shift in policy likely means ratepayers will be held responsible for the costs of the next fire.

Dmitri Alexeev • 1w ago

This issue seems to be closely tied to the CPUC's regulatory decisions.

Gaston • 1w ago

SDGE reimburses costs at a rate of cost plus. This means that the more expensive a project is, the higher the reimbursement will be. It's puzzling why the company would incentivize solar installations on rooftops in the western mountains when they could invest in building transmission lines to the desert instead.

Your Answer

How much profit does SDGE make from its wildfire infrastructure upgrades?

4 Answers

Explore More

Related Questions