Pacific Gas and Electric Company (PG&E) filed testimony with the California Public Utilities Commission (CPUC) estimating that a government takeover of its San Francisco electric distribution grid would cost $22.5 billion. That is substantially more than the $3.4 billion valuation proposed by the City and County of San Francisco in April 2026.
PG&E's estimate includes $13.9 billion for the fair-market value of its assets. It also includes $8.6 billion in severance damages for business severance costs and the physical separation of the grid.
PG&E argues that a government takeover would not be financially viable for its San Francisco customers. The filing is a key step in the regulatory process that will determine the future of the city's electrical infrastructure.