California’s PG&E Plummets 19% Over Wildfire Liability Concerns

PG&E shares plummeted to a 52-week low on Monday due to intensifying wildfire liability concerns. Simultaneously, bond spreads for PG&E Corp. and Edison International widened as market confidence weakened. This downturn followed the decision by California lawmakers to reject a critical provision of Governor Gavin Newsom’s proposal, which aimed to shift wildfire liabilities away from the state's utilities. The legislative rebuff has significantly increased financial uncertainty for these energy companies regarding their potential legal obligations.