Could San Jose Break Free From PG&E? Its Mayor Has An Idea

SAN JOSE, CA — In the aftermath of the power shutoffs ordered by Pacific Gas & Electric Co. that left thousands of Bay Area residents in the dark, the mayor of San Jose said he wants to remove the city from PG&E's power grid and set up a new city-owned system in its place.

Mayor Sam Liccardo's plan calls for the city to take over distribution from PG&E and create a city-owned utility based around independent micro-grids.

Liccardo outlined the plan in a memo that he will present to the city's rules committee this week, the Mercury News reported.

The statewide utility has faced intense criticism for its handling of the shutoffs, including calls by Gov. Gavin Newsom to refund affected customers. The CEO of PG&E has apologized for the way the shutoffs were handled, but maintained that they were a public safety necessity.

Liccardo conceded that his plan would be expensive and require years of planning, NBC reported. But in the mayor's memo, he suggested that PG&E is likely to shut down power again in the future, since the utility faces more liability from wildfires than from power outages.

“PG&E’s ostensible exposure to only one side of the risk equation puts the well-being and safety of millions of Californians on the other side," the memo reads, according to the Mercury News. "It’s time to explore a San Jose without PG&E.”

PG&E, meanwhile, said it does not plan to sell its equipment in the San Jose area, saying that ceding control to the city “would not be consistent” with its charter.

Liccardo will present the plan to the rules committee on Wednesday, according to NBC.