VI. PG&E SHALL COMPLETE ITS RESPONSES TO STAFF'S INQUIRIES INTO THE POTENTIAL VIOLATIONS IN THIS PROCEEDING BEFORE COMMENCEMENT OF ITS OWN DISCOVERY INTO STAFF'S INVESTIGATION

In Resolution L-403 the Commission explicitly noted that "public utilities in California are statutorily required to report any facts or expert opinions as to the cause of accidents to the Commission under the Public Utilities Code section 315." ((Resolution L-403 (Sept. 23, 2010) at p. 7).) Further, the Commission provided that PG&E "shall provide full cooperation to Commission staff and the Panel during the investigation into the cause of the San Bruno explosion and the safety of PG&E's gas transmission pipelines in general." (Id. at p. 5.) "Even without the compulsion of a subpoena, the Commission hereby confirms that under Public Utilities Code §§ 313, 314, 314.5, 315, 581, 582, 584, 701, 702, 771, 1794, and 1795, the Commission staff may obtain information from utilities and is already deemed to have the general investigatory authority of the Commission." (Id. at p. 6.)

The Commission also noted that it "expect[ed] that PG&E will not withhold facts or expert opinions under the guise of attorney-client privilege or the work product doctrine." (Id. at p. 7.) The Commission stated in Resolution L-403 that PG&E was:

on notice that it must promptly make available its employees and independent contractors for interviews requested by federal investigators (e.g., the National Transportation Safety Board ("NTSB")) and state investigators (e.g., Commission staff or the Panel), including examinations under oath pursuant to Public Utilities Code section 314.

(Ibid.)

Consequently, the staff's investigation in this proceeding must be completed before PG&E commences its own inquiries into the results and analysis of staff's report and/or allegations to this Commission. PG&E will be accorded all of the traditional judicial safeguards in the adjudicative hearings in this proceeding that will follow the completion of staff's investigation.

THEREFORE, IT IS ORDERED that:

1. An investigation on the Commission's own motion is hereby instituted to determine whether the Pacific Gas and Electric Company ("PG&E") violated any provision or provisions of the California Public Utilities Code, Commission rules, general orders, or decisions, federal regulations, or other applicable rules or requirements pertaining to the operation of its natural gas transmission pipeline system in class 2 locations, class 3 locations, class 4 locations, or near High Consequence Areas ("HCAs").

2. PG&E is named as the Respondent in this investigation.

3. Staff's investigation in this proceeding shall be completed before PG&E commences its discovery into the results and analysis of staff's investigation.

4. Respondent PG&E is directed to show at hearings why the Commission should not find it in violation of provisions of the Public Utilities Code (Pub. Util. Code), Commission rules, general orders, decisions, federal regulations, or other applicable rules or regulations, and why the Commission should not impose penalties.  If any violation by PG&E is found, PG&E is directed to show why penalties and/or any other form of remedial relief should not be applied. 

5. PG&E is hereby given notice that fines may be imposed in this matter pursuant to Public Utilities Code §§ 2107 and 2108.

6. Pursuant to Rule 7.1(c) of the Commission's Rules of Practice and Procedure, this proceeding is categorized as adjudicatory, deemed to require evidentiary hearings.  Ex parte communications are prohibited. The determination as to the category is appealable under Rule 7.6 of the Commission's Rules of Practice and Procedure.

7. A prehearing conference shall be convened before an Administrative Law Judge ("ALJ") for the purpose of establishing a schedule in this matter, including the dates, time, and location of an evidentiary hearing, and for good cause shown the ALJ and/or Assigned Commissioner may extend the report deadlines specified herein, for any particular responses required.

8. The Executive Director shall cause a copy of this Order to be served electronically and by certified mail on the Respondent, PG&E, at: 

Christopher P. Johns, President

Pacific Gas and Electric Company

77 Beale Street

San Francisco, CA 94105

cpj@pge.com

Lise H. Jordan, Law Department

Pacific Gas and Electric Company

77 Beale Street

San Francisco, CA 94105

Lhj2@pge.com

Brian K Cherry

Vice President, Regulatory Relations

Pacific Gas and Electric Company

77 Beale Street, Room 1087

San Francisco, CA 94105

Bkc7@pge.com

 

This order is effective today.

President

Commissioners

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