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PG&E gets sole right to file reorganization plan

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PG&E gets sole right to file reorganization plan

PG&E Corp. plans to file its reorganization plan by Sept. 9, after a bankruptcy judge granted it the sole right to submit its proposal.

Investors have offered competing reorganization plans, but Judge Dennis Montali believed that letting PG&E Corp. lead the process would result to a speedier resolution for wildfire victims in California, Reuters reported Aug. 17.

Montali also allowed a jury to decide if the company and its utility subsidiary Pacific Gas and Electric Co., or PG&E, are liable for the 2017 Tubbs Fire in Napa and Sonoma counties, according to an Aug. 16 San Francisco Chronicle report.

The companies filed for bankruptcy protection on Jan. 29, due to potential liabilities from wildfires.

California Gov. Gavin Newsom signed a wildfire bill in July to stabilize investor-owned utilities in the state. PG&E Corp. has opted to participate in a fund under the legislation to pay eligible claims for liabilities from future wildfires.