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Researched by Industrial Info Resources (Sugar Land, Texas)--PG&E Corporation (NYSE:PCG) (Oakland, California) plans to spend $4.7 billion over the next four years to bury 1,230 miles of power lines and insulate another 778 miles with protective covering. PG&E, which plans to "underground" 350 miles of line this year, announced its spending plans following a decision from the California Public Utilities Commission (CPUC) that will allow it to hike customer bills an average of 13% next year. Industrial Info is tracking more than $1 billion worth of active and planned projects from PG&E, the bulk of which are transmission and distribution (T&D) projects in central California, between Sacramento and Bakersfield.

AttachmentClick on the image at right for a graph detailing PG&E's active and planned projects, by California county.

"The CPUC's [general rate case] process is designed to get the best outcome, and the state has been very clear about the infrastructure they want us to build," said Patti Poppe, the chief executive officer of PG&E, in a recent earnings-related conference call. "We stand by our filing and continue to view our undergrounding plan as the fastest and most affordable path to keep our customers safe."

PG&E says it has buried 197 of the 350 miles as of October 30. Among its projects under construction is the four-mile underground line from Redwood to San Francisco, which will run from the existing Jefferson Substation in Redwood to the new Egbert Switching Station in San Francisco. Construction on the underground line and the switching station began in early 2022 and is set to wrap up in about one year; they will be supported by a one-mile underground line linking the Egbert station to the existing Martin-Embarcadero line.

Subscribers to Industrial Info's Global Market Intelligence (GMI) Power Project Database can learn more from detailed reports on the four-mile line, Egbert station and one-mile line.

PG&E said the new line will reduce the risk of widespread power outages in the San Francisco area. "The project will reroute two existing underground, 230-kilovolt (kV) transmission lines connected to PG&E's Martin Substation in Daly City, and reconnect them to the new switching station," PG&E said in a press release announcing the project's kickoff. "Rerouting the existing underground, 230-kV lines will require the construction of approximately 3.9 miles of new underground transmission lines that will be installed mainly in paved areas."

The driving factor behind PG&E's statewide move toward underground line is California's notorious wildfires. Last week, the state's Department of Forestry and Fire Protection issued a report blaming Southern California Edison Company for the 2022 Fairview Fire, which killed two people, according to The Washington Post. The report said a sagging overhead line in Hemet, which is just south of San Bernadino, sparked a fire when it touched a communication line below it, igniting nearby vegetation. Southern California Edison is a subsidiary of Edison International (NYSE:EIX) (Rosemead, California).

PG&E also recently submitted a permit application to the CPUC for a proposed series of electrical upgrades in Northern San Joaquin County, known as the Northern San Joaquin Transmission Project, or the Lockeford-Lodi Area Development. The project includes a new, six-mile, double-circuit line running within Lodi, from the existing Lockeford Substation to the new Lodi Industrial II Substation, and a new, 15-mile, double-circuit line from Lodi to Stockton, where it will connect to the existing Eight Mile Substation. Subscribers can read detailed reports on the six-mile line, Lodi II Substation and 15-mile line.

PG&E's efforts come on the heels of an aggressive statewide push for better T&D. The California Independent System Operator (CAISO) recently approved a plan that sets aside about $7.3 billion for nearly four dozen transmission lines over the next decade. For more information, see May 26, 2023, article - California Injects $7.3 Billion into Power Transmission Projects.

Subscribers to Industrial Info's GMI Project Database can click here for a full list of detailed reports for projects mentioned in this article, and click here for a full list of related plant profiles.

Subscribers can click here for a full list of reports for active and planned projects from PG&E.

Industrial Info Resources (IIR) is the leading provider of industrial market intelligence. Since 1983, IIR has provided comprehensive research, news and analysis on the industrial process, manufacturing and energy related industries. IIR's Global Market Intelligence (GMI) platform helps companies identify and pursue trends across multiple markets with access to real, qualified and validated plant and project opportunities. Across the world, IIR is tracking more than 200,000 current and future projects worth $17.8 trillion (USD).

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