Core Insights - The CEO of PG&E, Patty Poppy, discusses the complexities of managing utility demands, particularly in California, while ensuring safety and cost-effectiveness [1][4]. Infrastructure and Cost Management - PG&E has implemented a "simple affordable model" that allows for infrastructure investment offset by reductions in operating maintenance costs, resulting in significant savings [2][3]. - The company has lowered rates three times in the last 15 months and plans to continue this trend into 2026, with earnings growth projected at over 9% annually [4]. Safety and Fire Risk Mitigation - PG&E has buried 1,000 miles of power lines, reducing costs to $1 million per mile, which enhances safety and reduces fire risks [5]. - Ignition incidents have decreased by 35% compared to the previous year, indicating that the company's protective measures are effective [6]. Load Growth and Data Centers - The company is experiencing "rate reducing load growth," where large data centers pay their full utility costs, benefiting residential customers without subsidies [8][10]. - The demand for compute power from tech companies in the area is increasing, with PG&E positioned to support this growth [11][12]. Nuclear Energy and Regulatory Status - Diablo Canyon, California's only remaining nuclear plant, has received a 5-year extension from the state and a 20-year operational license from the Nuclear Regulatory Commission, pending further state legislative action [14][15][17].

Financial Performance & Strategy - The company has lowered rates three times in the last 15 months and expects to lower them again in 2026 while growing earnings at over 9% per year [3] - Infrastructure investment is offset by operating maintenance cost reductions, leading to significant cost savings [1] - Improving credit metrics results in lower cost financing, allowing the company to lower rates for customers [2] Infrastructure & Technology - The company has buried its 1,000th mile of power lines, at a million dollars a mile less than a couple of years ago [4] - Technology underpins situational awareness and responsiveness, leading to a 35% reduction in ignitions this year despite similar fire conditions [5] - The company is implementing layers of protection, starting with hardening the system to mitigate fire risk [4] Load Growth & Rate Design - The company is experiencing rate-reducing load growth due to increased compute demand, particularly from AI applications [7] - Residential customers do not subsidize large load; large load pays its full freight [7] - The company has rate designs in place so that residential customers only benefit from new and growing load [9] - Compute data centers are located throughout the service area, supporting companies using AI in their daily business [10]