PG&E and The PG&E Corporation Foundation Support Local and Statewide Nonprofits Responding to Park Fire

Rhea-AI Summary

PG&E and The PG&E Foundation are providing $950,000 in charitable funding to support wildfire preparedness, relief, and recovery efforts in their service area this wildfire season. As part of this commitment, they are contributing $50,000 to the North Valley Community Foundation and $35,000 to the North Valley Animal Disaster Group in response to the ongoing Park Fire. Additionally, The Foundation is donating up to $750,000 to the American Red Cross for fire safety preparedness through mid-2025.

The Park Fire has become one of the largest in California's history, threatening communities in Butte, Plumas, Shasta, and Tehama counties. So far in 2024, 778,000 acres have burned in California wildfires, compared to 26,000 acres in the previous year. PG&E's charitable contributions aim to address immediate response needs, food insecurity, and assistance for youth, with a focus on underserved communities.

Positive

• PG&E and The Foundation are providing $950,000 in charitable funding for wildfire preparedness, relief, and recovery efforts
• Additional $750,000 donation to the American Red Cross for fire safety preparedness through mid-2025
• Immediate financial support for local nonprofits addressing urgent needs in affected communities

Negative

• The Park Fire has become one of the largest wildfires in California's history, threatening multiple counties
• 778,000 acres have burned in California wildfires so far in 2024, significantly higher than previous years

Insights

Corporate Social Responsibility Expert

PG&E's response to the Park Fire demonstrates a strong commitment to corporate social responsibility. The $950,000 charitable funding for wildfire relief shows proactive engagement in community support. However, this gesture, while commendable, should be viewed in context of PG&E's past controversies related to wildfire liability.

The partnership with the American Red Cross, including an additional $750,000 for fire safety preparedness, indicates a strategic approach to disaster management. This long-term investment in community resilience could potentially mitigate future risks and improve PG&E's public image. Investors should consider how these initiatives might impact the company's regulatory relationships and long-term financial stability in a region prone to wildfires.

Financial Analyst

While PG&E's charitable contributions are positive for its public image, the financial impact is relatively minor for a utility of its size. The $950,000 wildfire relief fund and $750,000 Red Cross partnership represent a small fraction of PG&E's operating expenses. However, these initiatives may help mitigate potential future liabilities related to wildfires, which have been a significant financial burden for the company in the past.

Investors should focus on PG&E's ongoing efforts to improve infrastructure resilience and reduce wildfire risks, as these factors have a more substantial impact on the company's financial health and regulatory standing. The dramatic increase in burned acreage this year (2892% increase over last year) underscores the growing wildfire risk in PG&E's service area, which remains a key concern for long-term investors.

Charitable Funding is Part of a Broader $950,000 Commitment this Wildfire Season

OAKLAND, Calif., Aug. 5, 2024 /PRNewswire/ -- As the Park Fire –now one of the largest in state history—continues to threaten homes and communities in Butte, Plumas, Shasta and Tehama counties, Pacific Gas and Electric Company (PG&E) and The PG&E Corporation Foundation (The Foundation) are providing charitable funding for emergency shelter, food and other needs.

PG&E and The Foundation are contributing $50,000 to the North Valley Community Foundation which provides grants to other nonprofit groups to support immediate fire response needs; $35,000 to the North Valley Animal Disaster Group for evacuation and shelter of small and large animals; and are working with several other community groups in the impacted counties that have requested funding.

"Our hearts are broken for the communities impacted by this fire, and we're sensitive to the trauma that all residents in the North Valley are suffering," said Alexa Benson-Valavanis, North Valley Community Foundation president and CEO. "We know there will be both immediate and long-term needs as a result of the Park Fire, and we will be here for as long as it takes. We cannot thank PG&E Foundation enough for its generosity to help in that difficult recovery."

These charitable contributions are part of a larger $950,000 charitable funding commitment to bolster wildfire preparedness, relief and recovery efforts in PG&E's service area this wildfire season. So far this year, 778,000 acres have burned in California wildfires. That's compared to nearly 26,000 acres total last year, and 166,200 acres on average the past five years.

Funding for local nonprofits and community-based organizations prioritizes immediate response needs, food insecurity and assistance for youth, focused on underserved communities. This commitment supports PG&E's and The Foundation's goals of preparing communities for natural disasters and responding to hometowns in need.

"Sadly, many people impacted by the Park Fire have experienced devastating wildfires before. We're grateful to those on the frontlines – the courageous firefighters working to save homes and put out the fire, and the nonprofits and their many volunteers who give care and comfort to those who've had to evacuate or lost their homes," said Joe Wilson, PG&E Vice President, North Valley and Sierra.

American Red Cross Partnership

In addition to the $950,000 to support wildfire relief and recovery efforts in 2024, The Foundation is giving up to $750,000 to the American Red Cross (Red Cross) to support fire safety preparedness in PG&E's service area through mid-2025, primarily in elevated and extreme high wildfire risk communities, and for emergency response when wildfires erupt.

"Keeping our customers and communities safe is PG&E's most important responsibility. When disaster strikes, our crews are working round-the-clock to restore power, just as our partners at the American Red Cross are providing basic needs like shelter and food to those impacted by the fire. And together, we're there for the long-haul, helping communities recover and rebuild," said Mark Quinlan, PG&E Senior Vice President, Wildfire and Emergency Operations and American Red Cross Northern California Coastal Region Board Member.

"PG&E's support of our disaster relief work is crucial to making our mission possible, especially during large events like the Park Fire," said Hanna Malak, regional CEO of the Northern California Coastal Region. "Equally as important is our work around preventing fires, both inside and outside the home. The Foundation's gift toward fire safety and preparedness will go a long way toward helping the Red Cross fortify our communities against disasters like home fires. We are grateful for their support."

Currently, The Foundation funding is helping serve Park Fire evacuees in a Red Cross shelter in Tehama county. More information on open Red Cross shelters throughout California is available here. You can donate to the American Red Cross relief efforts here.

PG&E and The Foundation have supported the Red Cross for more than 12 years for disaster relief, education and outreach.

PG&E's charitable donations come from PG&E shareholders and other sources, not PG&E customers.

About PG&E
Pacific Gas and Electric Company, a subsidiary of PG&E Corporation (NYSE: PCG), is a combined natural gas and electric utility serving more than sixteen million people across 70,000 square miles in Northern and Central California. For more information, visit pge.com and pge.com/news.

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SOURCE Pacific Gas and Electric Company

FAQ

How much is PG&E (PCG) donating for wildfire relief efforts in 2024?

PG&E and The PG&E Foundation are providing $950,000 in charitable funding for wildfire preparedness, relief, and recovery efforts in their service area for the 2024 wildfire season.

What specific donations has PG&E (PCG) made in response to the Park Fire?

PG&E and The Foundation have contributed $50,000 to the North Valley Community Foundation and $35,000 to the North Valley Animal Disaster Group in response to the Park Fire.

How many acres have burned in California wildfires in 2024 according to PG&E's (PCG) press release?

According to the press release, 778,000 acres have burned in California wildfires so far in 2024.

What additional support is PG&E (PCG) providing to the American Red Cross?

The PG&E Foundation is giving up to $750,000 to the American Red Cross to support fire safety preparedness in PG&E's service area through mid-2025.