Pacific Gas and Electric Company
Climate Impact & Sustainability Data (2022, 2024 to 2040)
Reporting Period: 2022
Environmental Metrics
Renewable Energy Share:93% from greenhouse gas-free sources in 2021 (electricity)
ESG Focus Areas
- Climate Change
- Clean Energy
- Wildfire Mitigation
- Equity and Affordability
- Workforce Development
Environmental Achievements
- Delivered electricity to customers in 2021 that was 93% greenhouse gas emissions-free.
- Reduced CO2 emission rate for delivered electricity by ~90% compared to the national average in 2021.
- National leader in gas leak reduction
Social Achievements
- One in every five solar rooftops in the country is in PG&E’s service area.
- One in six electric vehicles in the nation plugs into PG&E’s grid.
- PowerPathway™ program graduated 1,000+ people, 83% hired by PG&E or within the utility industry.
Governance Achievements
- Robust governance, operational, and strategic structures in place to manage the transition to a lower carbon economy and build climate resilience.
- Sustainability and Governance Committee of the PG&E Corporation Board of Directors has primary oversight over ESG issues, including climate change.
Climate Goals & Targets
Long-term Goals:
- Climate- and nature-positive energy system by 2050
Medium-term Goals:
- Net zero energy system by 2040
Short-term Goals:
- Reduce Scope 1 and 2 emissions by 50% from 2015 levels by 2030
- Reduce Scope 3 emissions by 25% from 2015 levels by 2030
- Underground approximately 3,600 miles of powerlines between 2022 and 2026
Environmental Challenges
- Extreme weather events (heat waves, storms, wildfires, drought, subsidence, rising sea levels)
- Increasing wildfire risk in service area
- Balancing decarbonization with affordability for customers
- Workforce transition to a net-zero energy system
Mitigation Strategies
- Integrating climate resilience into planning, investment, and operation of the energy system
- Community Wildfire Safety Program (vegetation management, line hardening, PSPS, undergrounding)
- Enhanced Powerline Safety Settings (EPSS)
- Climate Vulnerability Assessment to identify and prioritize climate-driven physical hazards
- Cost-effective execution of climate goals with minimal impact to customer bills
- Workforce education and training programs focusing on electrification
Supply Chain Management
Supplier Audits: Annual sustainability assessment
Responsible Procurement
- Requests for proposals
- Supplier scorecards
- Greenhouse gas emissions training for suppliers
Climate-Related Risks & Opportunities
Physical Risks
- Heat waves
- Wildfires
- Storms
- Flooding
- Drought
- Subsidence
- Rising sea levels
Transition Risks
- Balancing decarbonization with affordability
Opportunities
- Clean energy technologies
- EV adoption
- Energy storage
- Renewable natural gas
Reporting Standards
Frameworks Used: TCFD
Reporting Period: 2024 to 2040
Environmental Metrics
ESG Focus Areas
- Climate Change
- Renewable Energy
- Energy Efficiency
- Building Decarbonization
- Methane Abatement
- Hydrogen
- RNG
Environmental Achievements
- Reduced methane emissions from intentional and unintentional releases (details in report)
- Increased RNG deliveries to the system (details in report)
Social Achievements
- Actively working with RNG developers to interconnect their projects
- Participation in various Research and Development (R&D) efforts to further understand and develop new methods and technologies to produce RNG
Governance Achievements
- Actively participating in the OIR to Establish Policies, Processes, and Rules to Ensure Safe and Reliable Gas Systems in California and Perform Long-Term Gas System Planning (Gas System Planning OIR, R.20-01-007)
Climate Goals & Targets
Long-term Goals:
- Net zero energy system by 2040
Environmental Challenges
- Forecasted demand decline due to decarbonization policies leading to potential rate increases
- Uncertainty in the pace and magnitude of building electrification
- Uncertainty in renewable energy generation and transmission constraints
- Competition for natural gas supply
- Need for policy and regulatory solutions for affordable energy transition
Mitigation Strategies
- Developing programs to reduce gas system costs
- Accelerating work on RNG and hydrogen
- Strategic investment in gas system to increase load with cleaner fuels
- Leveraging innovative financial mechanisms
- Working with regulators and stakeholders to minimize customer bill impacts
Supply Chain Management
Responsible Procurement
- Procuring RNG for all PG&E-owned CNG fueling stations
Climate-Related Risks & Opportunities
Opportunities
- Use of RNG and hydrogen