Pacific Gas & Electric Co.NYSE: PCG

Consumer Watchdog Alert Calls Out PG&E's Bailout And PG&E CEO's Misrepresentation

· Issued by Pacific Gas & Electric Co. via PR Newswire

Summary by 6ix AI

Consumer advocacy group Consumer Watchdog published a new Consumer Alert video accusing PG&E of what it calls "bailout blackmail". It has also petitioned the California Public Utilities Commission (PUC) to issue an order to show cause, which would require PG&E to explain why it is withholding the money.

Key details

  • Consumer Watchdog says PG&E is cutting back on $2 billion in infrastructure that ratepayers have already paid for unless the legislature approves a bailout in a special session. It says the legislature refused to do so in its regular session.
  • Consumer Watchdog says PG&E CEO Patti Poppe has said she will spend the $2 billion if the legislature approves liability relief in bailout legislation.
  • The video features former PUC President Loretta Lynch, who alleges that Poppe lied in a PG&E video. In that video, Poppe said customer rates are not enough to build new equipment and that PG&E must raise billions of dollars more every year.
  • Lynch says ratepayers already paid for the new equipment through approved rate hikes, which include a 10% markup and the cost of taxes on that equipment.
  • The petition asks the PUC to require PG&E to explain why it is withholding money ratepayers are already paying, and to either force a refund or have that money spent.

What’s still pending

  • The petition is a request to the PUC; any order to show cause, refund or required spending depends on the Commission's decision.
  • Any bailout or liability relief PG&E seeks would need approval by the legislature, which Consumer Watchdog says refused to approve a bailout in its regular session.

6ix AI wrote this summary from the release below and checked it against the release.

On 6ix: 6ix.com/news/consumer-watchdog-alert-calls-out-pgandes-bailout-and-pgande-ceos-misrepresentation

SACRAMENTO, Calif., Sept. 8, 2026 /PRNewswire/ -- A new Consumer Alert video published by Consumer Watchdog exposes the "bailout blackmail" that PG&E is engaging in to force the legislature to approve a bailout for the company in a special session. The company is cutting back on $2 billion in infrastructure that ratepayers have already paid for unless it gets a bailout, which the legislature has refused to do in its regular session.

The short video features an interview with former California Public Utilities Commission (PUC) President Loretta Lynch alleging that PG&E CEO Patti Poppe lied in a video. Poppe said that PG&E could not provide new services because it would cost it too much in borrowing costs. Lynch pointed out PG&E had already been paid for the new equipment in approved rate hikes with a 10% markup and the cost of taxes on the equipment.

Consumer Watchdog has petitioned the PUC to issue an order to show cause.

Watch the video.

"It's bailout blackmail," said former President of the California Public Utilities Commission Loretta Lynch in the Consumer Alert video. "The utility wanted, regardless of whether its negligence caused damage, to not be held liable for that damage, and thankfully the legislature said no. PG&E is trying to browbeat California policy makers into giving PG&E a get out of jail free card for its own liability."

The Consumer Alert takes issue with this video statement published by PG&E CEO Patti Poppe: "PG&E collects money from customers through rates every year. We use nearly all of that to operate and maintain the existing gas and electric equipment. But that is not enough to build new equipment to keep people safe and energy reliable. That's why we must raise billions of dollars more every year."

Lynch responds in the Consumer Alert: "That's bull. Ratepayers already pay for every single penny PG&E spends. Ratepayers pay $19 billion. In addition, ratepayers pay 10% on every single piece of equipment or power plant or physical infrastructure that they build, own, or maintain. We also pay the taxes on that 10%. So ratepayers end up paying 15 cents out of every dollar we pay for PG&E's profit and to pay PG&E taxes on their own profit."

Pope has said that if the legislature approves liability relief in bailout legislation she will spend the $2 billion she is withholding. Consumer Watchdog's petition to the PUC asks for the Commission to require PG&E to answer why it is withholding the use of dollars ratepayers are already paying for and force a refund or to have those dollars spent.

"PG&E is just choosing to hold us hostage in order to get legal changes that will exempt itself from liability for its own negligence," said Lynch. "So we need to just say no to PG&E. PG&E enjoys monopoly status because it has entered into a legal duty to serve all customers and to keep us safe. PG&E has plenty of money to do that. And if they don't, let's audit their books and see where they're stashing the cash."

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