CPUC Proposes $22 Million Penalty for PG&E Over 2022 Mosquito Fire Violations

The California Public Utilities Commission (CPUC) has proposed an administrative consent order that would penalize Pacific Gas & Electric Company (PG&E) $22 million for safety violations linked to the 2022 Mosquito Fire in Placer County.

The CPUC’s Safety and Enforcement Division issued the proposal on July 10, 2026, recommending that PG&E pay $21 million in shareholder funds to the state’s General Fund and $1 million to finance an independent expert review of the utility’s Transmission Centralized Inspection Review Team. The proposed penalty stems from violations of General Order 95 concerning overhead electrical line design, construction and maintenance. The Mosquito Fire, which started September 6, 2022, burned approximately 76,788 acres and destroyed 78 structures. The settlement is scheduled for consideration at the CPUC’s August 13, 2026 voting meeting. 

This development arrives amid growing regulatory scrutiny over wildfire-related utility safety in California. Although the CPUC proposal does not directly impact PG&E’s share price, it underscores the ongoing financial and operational risks the company faces, particularly given its history of wildfire liability.

PG&E’s stock (ticker PCG) recently traded at $16.60 per share, marking an 8.89% decline as of August 28, 2026. 

What to watch next:

• Whether the CPUC formally adopts the proposed settlement at its August 13 meeting.
• The outcome of the independent review of PG&E’s inspection practices, which may have broader implications for infrastructure oversight.
• Investor response, should any further regulatory or legal actions materialize from this episode or similar safety concerns.

This story highlights that wildfire safety remains a material concern for PG&E and its stakeholders, with regulatory outcomes like this potentially affecting its cost structure and risk profile.