[Eds. note: Was reminded of this article while reading nuclear whistleblower Bob Rowen’s excellent MY HUMBOLDT DIARY: A True Story of the Betreyal of Public Trust ]

From the San Francisco Bay Guardian October 16, 2002

PG&E, corporate criminal

The utility likes to pretend it’s a good corporate citizen – but the record shows otherwise.
By Savannah Blackwell

WHEN IRISH IMMIGRANTS arrived on San Francisco’s shores during the first few decades of the past century, it wasn’t easy for them to find decent, stable jobs. John Hanley, the president of the local firefighters union, likes to say that for many the only options were the police department, the fire department and Pacific Gas and Electric Co.

PG&E has played hard on its reputation from those days, using stories like Hanley’s to push blue-collar workers to oppose public power. The company has spent millions on other public relations efforts: for years, PG&E representatives talked about all the widows and orphans who were living off company stock, and hyped the money the company gave to local charities.

But the image of PG&E as a fine, benevolent, and upstanding corporate citizen is long gone.

Today, with PG&E’s stock in free fall, the small shareholders who had hoped to use the utility’s stock as part of their retirement income are in trouble – while the same executives who drove the company into bankruptcy are earning multimillion-dollar bonuses.

The charitable contributions that once helped buy PG&E political protection have dried up.

And over the past few years, PG&E’s most lasting legacy has become that of a corporate criminal.

Consider:

� In 1997 PG&E was tried and convicted in criminal court for endangering the lives and property of gold country residents by failing to trim tree branches near electrical wires frequently enough to prevent major fires. Evidence showed that PG&E executives had diverted tree-trimming money to fatten profits and salaries of top corporate executives.

� The story of the company’s poisoning of community water supplies in Hinkley became a major Hollywood movie called Erin Brockovich, and a similar environmental disaster is still underway just south of San Francisco. Meanwhile, residents of the Bayview-Hunters Point district in San Francisco are suffering from alarmingly high rates of asthma and other illnesses that they link to PG&E’s dirty power plant in the neighborhood (see “Poison Power,” 1/28/98). In addition, the nearby Potrero power plant, which PG&E sold to Mirant Corp. in 1998, is scheduled for expansion.

� PG&E stole nearly $200,000 from San Francisco by illegally running its power lines to the Presidio, according to a 1995 lawsuit the city filed against the company. Indeed, PG&E’s service to San Francisco residents is illegal, according to the terms of the 1913 Raker Act, which requires the city to operate a public power system. The company’s monopoly has led to decades of structural corruption at City Hall (see “How PG&E Wires the City,” page 26)….
The list goes on…Read more

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