Southern California Edison pushes for wildfire liability deal before legislators depart
EIX•Southern California Edison is urging California lawmakers to hold a special session before year-end to consider limiting utilities’ future wildfire liabilities. CEO Pedro Pizarro said uncertainty is adding hundreds of millions of dollars in debt costs.
1. Call for special session
Southern California Edison is urging California lawmakers to hold a special session before year-end to consider limiting utilities’ exposure to future wildfire liabilities, Edison International CEO Pedro Pizarro said. Gov. Gavin Newsom would need to call the session in the coming months, but reaching a framework agreement could be challenging, Pizarro said.
2. Liability proposals stalled
California lawmakers last month failed to pass a plan for compensating wildfire victims and determining utilities’ responsibility when their equipment sparks fires. A separate, broader liability package backed by Newsom and investor-owned utilities also failed to materialize.
3. Costs and wildfire investigation
Fitch revised Southern California Edison’s credit outlook to negative from stable this month. Pizarro said uncertainty was resulting in hundreds of millions of dollars in additional debt costs. The utility’s grid equipment is under investigation for possibly causing the Eaton Fire, which began near Altadena during the January 2025 Los Angeles fires.
