WEBVTT 00:00:01.940 --> 00:00:04.530 The feed for this streaming event, brought to you by 00:00:04.538 --> 00:00:07.940 adminmonitor.com will begin momentarily. Thank 00:00:07.948 --> 00:00:10.419 you for your. Commission Briefings on Utility Safety 00:00:10.429 --> 00:00:14.898 Practices for BVES and PG&E. On this day Thursday, 00:00:14.909 --> 00:00:19.379 July 13, 2023. Today's call is being recorded. If 00:00:19.388 --> 00:00:21.359 you have any objections, you may disconnect at this 00:00:21.370 --> 00:00:25.579 time. Thank you, you may get when ready. 00:00:25.579 --> 00:00:28.458 Thank you, Holly. And good afternoon and welcome to 00:00:28.469 --> 00:00:31.318 Bear Valley Electric Service and Pacific Gas and Electric, 00:00:31.530 --> 00:00:34.908 Third Annual Safety Update Briefing for the California 00:00:34.918 --> 00:00:37.279 Public Utilities Commission and the Office of Energy 00:00:37.289 --> 00:00:40.609 Infrastructure Safety. My name is Carolina Contreras, 00:00:40.618 --> 00:00:44.750 Senior Engineer with the CPUC Safety, uh Policy Division. 00:00:44.759 --> 00:00:48.139 And I'll be moderating today's engagement. Today, we 00:00:48.149 --> 00:00:51.079 are meeting at the CPUC's auditorium in San Francisco, 00:00:51.090 --> 00:00:54.478 California. This meeting is also live streamed on the 00:00:54.490 --> 00:00:59.859 CPUC's website. You can view the meeting at www. 00:00:59.868 --> 00:01:04.838 adminmonitor.com/ca/ 00:01:04.849 --> 00:01:09.454 cpuc Closed captioning is available in English and 00:01:09.463 --> 00:01:12.474 Spanish through the webcast. You can click on the green 00:01:12.484 --> 00:01:15.555 button to select your language of choice. We also have 00:01:15.564 --> 00:01:23.025 Spanish interpretation available, dial 1-800-857-1917, and 00:01:23.034 --> 00:01:30.474 enter passcode 3799627# to be connected to the Spanish 00:01:30.484 --> 00:01:34.659 line. I ask that today's speakers remain mindful and 00:01:34.668 --> 00:01:38.088 speak clearly to accommodate our Spanish interpreters. 00:01:38.668 --> 00:01:42.150 Before we get too far along, we are going to play a 00:01:42.159 --> 00:02:24.088 brief safety message. 00:02:24.088 --> 00:02:27.538 As you are aware, our number one priority is safety. 00:02:27.819 --> 00:02:30.580 As such, we will address certain safety concerns in 00:02:30.588 --> 00:02:34.669 this venue. In the event of an emergency, please calmly 00:02:34.679 --> 00:02:38.469 proceed toward the exits. We have 4 exits, 2 00:02:38.479 --> 00:02:41.919 in the rear and one on either side of the dice. In 00:02:41.929 --> 00:02:44.629 the event, we need to evacuate the building. Our assembly 00:02:44.639 --> 00:02:47.808 point is in the garden plaza area between the War Memorial 00:02:47.819 --> 00:02:51.069 Herbst Theater and the War Memorial Opera House on Van Ness. 00:02:51.770 --> 00:02:54.490 When going at the rear exits, head through the courtyard 00:02:54.500 --> 00:02:56.990 and down the front steps. Then head South on Van Ness 00:02:57.110 --> 00:03:00.528 by crossing McAllister Street. You'll find the garden 00:03:00.538 --> 00:03:03.058 plaza area on your right, immediately after walking 00:03:03.069 --> 00:03:06.740 past the Herbst Theater. When going out the site exits 00:03:06.750 --> 00:03:09.500 after heading out either exits. You'll find yourself 00:03:09.508 --> 00:03:13.558 on Golden Gate Avenue. From there, proceed East, turn 00:03:13.569 --> 00:03:16.240 South on Van Ness and walk towards McAllister Street. 00:03:16.969 --> 00:03:20.149 After crossing McAllister, the garden plaza area will 00:03:20.159 --> 00:03:22.479 be on your right after passing the War Memorial Herbst 00:03:22.490 --> 00:03:26.528 Theater. In the event of an emergency, Executive Director 00:03:26.538 --> 00:03:30.258 Alice Devins will call 911. And our Public Advisor Alison 00:03:30.270 --> 00:03:34.189 Brown is certified in CPR and First Aid. Thank you 00:03:34.199 --> 00:03:42.710 for your attention. 00:03:42.710 --> 00:03:46.599 Joining us on the dais today are CPUC President Reynolds 00:03:46.610 --> 00:03:49.460 and her fellow commissioners. Commissioner Shiroma, Commissioner 00:03:49.469 --> 00:03:52.800 Houck, Commissioner Reynolds and Commissioner Douglas, 00:03:52.960 --> 00:03:55.199 and as well as the Director of the Office of Energy 00:03:55.210 --> 00:03:58.729 Infrastructure Safety, Caroline Thomas Jacobs. For today's 00:03:58.740 --> 00:04:01.074 briefing, Members of the Board of Directors and Executive 00:04:01.085 --> 00:04:04.383 Leadership of Bear Valley Electric Service and Pacific 00:04:04.395 --> 00:04:07.433 Gas and Electric. Will present updates on their electric 00:04:07.444 --> 00:04:11.153 safety performance and safety efforts. Including corporate 00:04:11.163 --> 00:04:14.274 safety governance and culture, wildfire prevention 00:04:14.284 --> 00:04:18.233 actions, and management of utility safety. The utility 00:04:18.244 --> 00:04:20.954 representatives will also answer questions from the 00:04:20.963 --> 00:04:25.278 CPUC and Energy Safety. The briefings satisfy the requirement 00:04:25.290 --> 00:04:27.858 for Board of Director level reporting under Public 00:04:27.869 --> 00:04:32.939 Utilities Code Section 8389-E5 and partial fulfillment 00:04:32.949 --> 00:04:37.048 of the requirements for a safety certification. However, 00:04:37.059 --> 00:04:40.000 no official actions will be taken on either organization 00:04:40.009 --> 00:04:43.759 safety certificates at these briefings. In terms of 00:04:43.769 --> 00:04:47.069 a format after opening remarks from the dais, we will 00:04:47.079 --> 00:04:50.269 hear a safety update by Bear Valley Representatives 00:04:50.278 --> 00:04:55.009 at 1:20 p.m. And perhaps we can get the Agenda on the 00:04:55.019 --> 00:04:58.899 board. Thank you. So we'll hear uh, the Safety Update 00:04:58.910 --> 00:05:01.899 by Bear Valley Representatives at 1:20pm. Followed 00:05:01.910 --> 00:05:05.220 by a session for questions uh, by the Commissioners 00:05:05.230 --> 00:05:08.600 and Energy Safety Director. We have allotted one hour 00:05:08.608 --> 00:05:11.600 and 10 minutes for Bear Valley's portion of the briefing. 00:05:11.699 --> 00:05:15.108 We will take a brief 15 minute break at approximately 00:05:15.119 --> 00:05:17.850 2:30pm and we will then move on to a Safety 00:05:17.858 --> 00:05:20.660 Update by Pacific Gas and Electric Representatives. 00:05:20.670 --> 00:05:23.319 Followed by another discussion on Q&A from the 00:05:23.329 --> 00:05:26.689 dais. We have allotted an hour and 40 minutes for PG&E's 00:05:26.699 --> 00:05:29.269 portion of the briefing. We are scheduled to 00:05:29.278 --> 00:05:34.358 conclude today at 5pm. We will have an opportunity 00:05:34.369 --> 00:05:36.899 for Public Comment at the end of today's engagement. 00:05:37.019 --> 00:05:40.358 If you wish to make an in-person comment, please visit 00:05:40.369 --> 00:05:43.629 the Public Advisor's Office table to add your name to 00:05:43.639 --> 00:05:46.738 the Public Comment list. You will be provided a number 00:05:46.750 --> 00:05:49.088 and I will call that number when it's time for you 00:05:49.100 --> 00:05:53.399 to speak. If you wish to make a Public Comment by telephone 00:05:53.410 --> 00:06:03.910 please dial 800-857-1917. Enter passcode 1076756#, unmute 00:06:03.920 --> 00:06:07.608 your phone, press *1 and record your first and 00:06:07.619 --> 00:06:11.040 last name slowly and clearly when prompted. You will 00:06:11.048 --> 00:06:13.528 be placed into a queue and you will be called upon 00:06:13.540 --> 00:06:16.399 to speak in the order your call was received. When 00:06:16.410 --> 00:06:18.829 we get to the public comment period, I will repeat 00:06:18.838 --> 00:06:20.949 these directions when we get to that section of the 00:06:20.959 --> 00:06:25.160 Agenda. I will now turn it over to President Reynolds 00:06:25.170 --> 00:06:27.910 for opening remarks. President Reynolds, over to you. 00:06:28.220 --> 00:06:31.819 Thank you very much, Carolina and good afternoon everyone. 00:06:31.829 --> 00:06:35.278 I'm really pleased to be here in-person with my fellow 00:06:35.290 --> 00:06:39.149 Commissioners and Director Thomas Jacobs. Um, and looking 00:06:39.160 --> 00:06:42.399 forward to receiving the briefings from uh, Bear Valley 00:06:42.410 --> 00:06:46.149 Electric Service and Pacific Gas and Electric. Um, so 00:06:46.160 --> 00:06:49.259 first to the members of the public. Um, I really appreciate 00:06:49.269 --> 00:06:52.319 your dialing in to join us or being here in-person. 00:06:52.730 --> 00:06:56.160 Um, uh welcome and we look forward to hearing public 00:06:56.170 --> 00:06:59.928 comments today. And I did want to flag where the materials 00:06:59.939 --> 00:07:04.230 are available um, just for clarity. Um, that if you are 00:07:04.238 --> 00:07:06.798 a member of the public and you're looking for the materials 00:07:06.809 --> 00:07:10.149 that are being presented, um at today's briefings. You 00:07:10.160 --> 00:07:13.689 can go online to the CPUC's website and then go to 00:07:13.699 --> 00:07:16.829 the section of the website dedicated to the Safety 00:07:16.838 --> 00:07:20.459 Policy Division. And you'll find a link to the Safety, 00:07:20.470 --> 00:07:24.730 Culture and Governance section and links to the 2023 00:07:24.738 --> 00:07:28.559 Electric Investor-Owned Utility Safety Update Briefings. 00:07:28.569 --> 00:07:31.129 You'll find the Agenda and all of the materials that 00:07:31.139 --> 00:07:35.428 we're gonna be going over today. And then to our presenters, 00:07:35.439 --> 00:07:38.528 uh I am very much looking forward to hearing from you 00:07:38.540 --> 00:07:41.439 today. And look forward to hearing the key lessons you've 00:07:41.449 --> 00:07:45.738 learned since last year's 2023 Safety Update Briefings. 00:07:46.088 --> 00:07:49.420 Any advancements that you've realized since then and 00:07:49.428 --> 00:07:52.559 any of the challenges that you see ahead, both near 00:07:52.569 --> 00:07:57.470 and long term. We know that uh, this past Winter uh, 00:07:57.480 --> 00:08:01.189 brought us a, uh generous, was very generous from a 00:08:01.199 --> 00:08:06.119 precipitation standpoint. Um, but we also witnessed 00:08:06.129 --> 00:08:10.209 some emergent safety risks. And um, that can come with 00:08:10.220 --> 00:08:14.278 flash floods and atmospheric rivers. Um, and I think 00:08:14.290 --> 00:08:17.889 we're well aware that despite the wet Winter. Wildfire 00:08:17.899 --> 00:08:22.509 risk remains high and very central to our focus. So 00:08:22.519 --> 00:08:24.869 we've seen it this Summer already across the United 00:08:24.879 --> 00:08:28.259 States and in Canada. And we've of course, experienced 00:08:28.269 --> 00:08:31.129 it ourselves. And we know the catastrophic damage that 00:08:31.139 --> 00:08:34.768 wildfires can bring. We also know that the frequency 00:08:34.778 --> 00:08:37.457 intensity and variety of these extreme weather events 00:08:37.467 --> 00:08:40.888 is only going to increase as climate change evolves. 00:08:41.639 --> 00:08:44.000 Um, and then on the other hand earlier this year, the 00:08:44.009 --> 00:08:47.489 Commission held a workshop that PG&E participated 00:08:47.500 --> 00:08:51.320 in. On planned outages and newly emergent reliability 00:08:51.330 --> 00:08:54.440 issues. And in that workshop, we discuss what some 00:08:54.450 --> 00:08:58.538 refer to as the utilities Fast Trip Program. Um, these 00:08:58.548 --> 00:09:01.788 programs are of course a way to prevent wildfires, 00:09:01.798 --> 00:09:05.200 but they also lead to increased outages for some customers. 00:09:05.298 --> 00:09:09.168 Which itself creates a distinct set of safety concerns 00:09:09.178 --> 00:09:12.489 that we must address. So it's a challenge and it's 00:09:12.500 --> 00:09:16.359 a balance. Um, and we really look forward to hearing 00:09:16.369 --> 00:09:20.229 from you today. Um I am concerned that not only about 00:09:20.239 --> 00:09:24.080 mitigating welfare risk but also about enhancing reliability 00:09:24.109 --> 00:09:27.619 and of course affordability. And um, we know that there 00:09:27.629 --> 00:09:31.330 are safety concerns that emerge from the reliability 00:09:31.340 --> 00:09:35.700 standpoint, standpoint as well. Um, so a couple of uh, 00:09:35.710 --> 00:09:38.729 particular elements that I'm look looking forward to 00:09:38.739 --> 00:09:42.070 hearing about today. Grid hardening, um covered conductor 00:09:42.080 --> 00:09:44.719 work underground and vegetation management. And of 00:09:44.729 --> 00:09:47.918 course, as I mentioned Fast Trip and EPSS settings. 00:09:48.158 --> 00:09:51.729 Power safety, uh Public Safety Power Shut Off, situational 00:09:51.739 --> 00:09:55.779 awareness, corporate structure, um data analysis. All 00:09:55.788 --> 00:09:58.739 of these things are critical to ensuring safe practices 00:09:58.750 --> 00:10:03.080 and operations. Um and then finally, I'll note that 00:10:03.219 --> 00:10:08.389 today's presentations are part of a broader uh, um statewide 00:10:08.399 --> 00:10:11.769 commitment to improving utility safety. And this is 00:10:11.779 --> 00:10:15.830 a commitment that I'm sure our presenters share and 00:10:15.840 --> 00:10:18.950 um I'm looking forward to effective briefings today. 00:10:18.960 --> 00:10:22.019 And highlighting of specific actions that are being 00:10:22.029 --> 00:10:25.590 taken um, in to follow up uh, to follow through on this 00:10:25.599 --> 00:10:30.489 statewide commitment. Um, and so before I turn to Director 00:10:30.500 --> 00:10:33.619 Thomas Jacobs. I also want to thank our Safety Policy 00:10:33.629 --> 00:10:37.298 Division and especially uh today's moderator, Carolina 00:10:37.308 --> 00:10:41.658 Contreras. For facilitating um, and organizing today's 00:10:41.668 --> 00:10:45.590 event. Um and I also wanna more broadly, thank all 00:10:45.599 --> 00:10:49.899 of the PUC and Energy Safety Staff, um who continue 00:10:49.908 --> 00:10:52.529 to work on these important safety issues. I really 00:10:52.538 --> 00:10:56.759 appreciate the collaboration and the continued efforts 00:10:56.769 --> 00:11:00.690 on this very important subject. So with that, I will 00:11:00.700 --> 00:11:04.090 turn to Director Thomas Jacobs for opening remarks. 00:11:05.259 --> 00:11:07.500 Thank you, President Reynolds and thank you to the 00:11:07.509 --> 00:11:10.840 Commission for hosting this briefing today. And to the 00:11:10.849 --> 00:11:13.979 PUC Staff, specifically Carolina Contreras and the 00:11:13.989 --> 00:11:17.288 Safety Policy and IT teams who manage all the logistics. 00:11:17.298 --> 00:11:19.229 Very much, appreciate all the effort that's put into 00:11:19.239 --> 00:11:22.399 it and including us here today. Uh, this is an important 00:11:22.408 --> 00:11:25.710 forum to hear from PG&E and Bear Valley. On how they're 00:11:25.719 --> 00:11:28.029 investing in safety and changing the way that they 00:11:28.038 --> 00:11:31.379 build, operate and maintain California's grid. Given 00:11:31.408 --> 00:11:35.070 our evolving climate as the impacts of climate change 00:11:35.080 --> 00:11:38.090 continue to worsen. And California experiences climate 00:11:38.099 --> 00:11:41.808 extremes that increase the risk of wildfire. The importance 00:11:41.820 --> 00:11:44.139 of building and maintaining a culture of safety and 00:11:44.149 --> 00:11:47.869 wildfire resilience is ever more critical. This November 00:11:47.879 --> 00:11:50.629 will be the five year anniversary of the Camp Fire. 00:11:50.639 --> 00:11:53.090 A fire that has fundamentally changed the way that 00:11:53.099 --> 00:11:56.710 not only we California but all of the West. Oregon, 00:11:56.719 --> 00:11:59.580 Washington, British Columbia. Think about utility wildfire 00:11:59.590 --> 00:12:02.538 risk. I want to just take a moment to acknowledge the 00:12:02.548 --> 00:12:06.000 more than 100 lives lost and the tens of thousands 00:12:06.009 --> 00:12:09.710 of lives disrupted due to the statewide fires. In 2017, 00:12:09.719 --> 00:12:12.769 the Camp Fire in 2018 and all of the past California 00:12:12.779 --> 00:12:15.219 wildfires. 00:12:15.219 --> 00:12:17.599 Building a culture of safety where safety is not just 00:12:17.609 --> 00:12:20.558 what you do, but it is who you are is not easy 00:12:20.570 --> 00:12:24.460 nor does it happen overnight. It takes hard work, universal 00:12:24.469 --> 00:12:27.450 buy in and a strong commitment to leadership. Since 00:12:27.460 --> 00:12:30.889 2018, all the utilities most significantly PG&E have 00:12:30.899 --> 00:12:34.960 made massive investments. In to, reorient how they build 00:12:34.969 --> 00:12:37.739 operate and maintain the grid to reduce the risk that 00:12:37.750 --> 00:12:41.119 their equipment ignites wildfires. Now that we're five 00:12:41.129 --> 00:12:43.918 years in I and I'm sure my colleagues here in the Commission. 00:12:44.090 --> 00:12:47.428 Expect to see results given the costs Californians 00:12:47.440 --> 00:12:51.029 have experienced in lives lost, property damaged, increased 00:12:51.038 --> 00:12:53.820 rates, increased outages. We must start to feel the 00:12:53.830 --> 00:12:56.779 benefits of these safety investments. We need to see 00:12:56.788 --> 00:13:00.389 how the reinvigorated focus on safety is becoming embedded 00:13:00.399 --> 00:13:03.798 in your organizations in a sustainable way, and making 00:13:03.808 --> 00:13:08.129 the grid safer. This is no small task given the simultaneous 00:13:08.139 --> 00:13:11.359 demands that clean energy, that the clean energy transmission 00:13:11.369 --> 00:13:15.210 electrification decarbonisation require. But underlying 00:13:15.219 --> 00:13:18.109 all of these efforts, however is a requirement to 00:13:18.119 --> 00:13:21.119 run the grid safely and ensuring you're utilizing your 00:13:21.129 --> 00:13:24.678 resources to do. Uh, I too am looking forward to hearing 00:13:24.690 --> 00:13:27.408 about the updates on grid hardening and vegetation 00:13:27.418 --> 00:13:30.379 management and grid operations. How you guys are evolving 00:13:30.389 --> 00:13:33.580 all of the ways of doing your business, um to address 00:13:33.590 --> 00:13:37.399 safety. And uh, I appreciate the opportunity again here 00:13:37.408 --> 00:13:39.330 to be with the Commission and all of the work that 00:13:39.340 --> 00:13:42.038 was put in by the Commission Staff. And I'll leave it 00:13:42.048 --> 00:13:44.889 there for now, and we'll have questions after the briefing. 00:13:44.899 --> 00:13:48.678 Thank you. Thank you, Director Thomas Jacobs. I'd like 00:13:48.690 --> 00:13:50.629 to check if any other Commissioners have any brief 00:13:50.639 --> 00:13:53.450 opening comments. Please go ahead, Commissioner Shiroma. 00:13:55.509 --> 00:13:59.899 Thank you Carolina. President Reynolds and Director 00:14:01.269 --> 00:14:06.500 Thomas Jacobs. My name is Genevieve Shiroma. I, I happen 00:14:06.509 --> 00:14:09.879 to be the assigned Commissioner on the Bear Valley 00:14:09.889 --> 00:14:13.450 Electric Service General Rate Case. As well as a range 00:14:13.460 --> 00:14:16.149 of other proceedings affecting electric utilities. 00:14:16.500 --> 00:14:21.820 My pronouns are She/Her. I consider these safety updates 00:14:21.830 --> 00:14:25.619 of high importance as the established accountability 00:14:26.000 --> 00:14:29.899 at the highest levels of the utilities. And as we are 00:14:29.908 --> 00:14:34.298 regularly reminded, safety is at the core of what we 00:14:34.308 --> 00:14:37.580 at the Commission are responsible for. And it's vital 00:14:37.590 --> 00:14:42.080 that we remain focused with you on the safety as well 00:14:42.090 --> 00:14:46.349 as the reliability of our energy systems. The Boards 00:14:46.359 --> 00:14:50.200 of Directors and Senior Leadership of Bear Valley and 00:14:50.210 --> 00:14:55.250 Pacific Gas and Electric are key. Uh, it's key how you 00:14:55.259 --> 00:14:59.479 have developed your safety governance models, your 00:14:59.590 --> 00:15:04.119 core safety culture. Because leadership from the top 00:15:04.129 --> 00:15:09.408 is what informs the rest of the utility. Looking forward 00:15:09.418 --> 00:15:12.298 to learning how Bear Valley and Pacific Gas Electric 00:15:12.308 --> 00:15:16.259 have implemented your wildfire mitigation plans. Hear 00:15:16.269 --> 00:15:21.090 about new lower cost technologies that can reduce ignition 00:15:21.099 --> 00:15:24.359 risk and mitigate the impacts of Public Safety Power 00:15:24.369 --> 00:15:28.639 Shut Off events. Though Bear Valley and Pacific Gas 00:15:28.649 --> 00:15:32.519 Electric are different organizations in size, geography 00:15:32.529 --> 00:15:36.908 and customer base. In order to meet your respective 00:15:36.918 --> 00:15:40.879 safety needs, you must closely monitor the same things 00:15:40.889 --> 00:15:44.308 safety metrics, engaging closely with your employees 00:15:44.320 --> 00:15:48.200 on safety. Have structures in place to assure accountability 00:15:48.460 --> 00:15:52.710 and have trust you know with your, your customers. 00:15:52.719 --> 00:15:55.500 So I look forward to a robust and detailed discussion. 00:15:55.509 --> 00:15:59.469 Thank you back to you, Carolina. Thank you, Commissioner 00:15:59.580 --> 00:16:02.450 Shiroma. Any other Commissioners have brief remarks? 00:16:04.668 --> 00:16:08.320 Okay. Well, we can uh, go ahead. We will now hear from 00:16:08.330 --> 00:16:11.418 Bear Valley's President, Treasurer and Safety and Operations 00:16:11.428 --> 00:16:15.219 Committee Chairman Mr. Paul Marconi. Welcome Mr. Marconi, 00:16:15.729 --> 00:16:19.058 you are scheduled for 30 minutes. Turning it over to 00:16:19.070 --> 00:16:24.279 you now. 00:16:24.279 --> 00:16:28.250 Good afternoon, uh President Reynolds, Commissioner 00:16:28.259 --> 00:16:32.440 Shiroma, Commissioner Houck, Commissioner Reynolds, Commissioner 00:16:32.450 --> 00:16:38.879 Douglas and Director Thomas Jacobs. Uh, members of Staff 00:16:38.889 --> 00:16:42.590 and the public. Uh, thank you for giving me this opportunity 00:16:42.599 --> 00:16:46.210 to speak on public safety. Could you go to the next 00:16:46.219 --> 00:16:50.099 slide? 00:16:50.099 --> 00:16:54.190 So these are the topics I'm gonna discuss. Um, let's 00:16:54.200 --> 00:16:57.580 go to the next slide. 00:16:57.580 --> 00:17:01.859 So, key takeaway here is we're a small service area 00:17:02.048 --> 00:17:07.250 uh, 32 square miles. Subtract the lake even less uh, 00:17:08.009 --> 00:17:16.108 about 20 almost 25,000m. Um Our entire service area 00:17:16.118 --> 00:17:21.910 is in the tier two, tier three high fire uh threat 00:17:21.920 --> 00:17:28.098 district. Um, we're above 3000 ft so all of our facilities 00:17:28.108 --> 00:17:31.989 are built to the uh, high strength. The heavy loading 00:17:32.000 --> 00:17:37.949 uh, district standards. Um, 00:17:37.949 --> 00:17:41.410 someone asked me what makes Bear Valley different and 00:17:41.420 --> 00:17:44.529 I tell them, uh that was someone on Wall Street. I 00:17:44.549 --> 00:17:48.009 told them we have skin in the game. We all live in 00:17:48.019 --> 00:17:53.019 the service area. Uh and our families, our homes, our 00:17:53.029 --> 00:17:56.739 reputations there. There's three ways off the mountain 00:17:56.750 --> 00:17:59.759 and if you have ever seen a ski resort, uh leave 00:17:59.769 --> 00:18:02.858 in the afternoon. You know evacuation is not such 00:18:02.868 --> 00:18:09.469 a great idea. Uh, so we work hard to keep our system 00:18:09.479 --> 00:18:12.680 safe. Uh. 00:18:12.680 --> 00:18:17.250 on the numbers there on the circuits. I start differentiating 00:18:17.259 --> 00:18:21.380 this year, overhead facilities as covered conductors 00:18:21.390 --> 00:18:24.358 and bare conductors. I think it's important because 00:18:24.368 --> 00:18:29.078 it sends a message on the risk profile of the utility. 00:18:29.709 --> 00:18:34.180 And last month, we crossed an important milestone in 00:18:34.189 --> 00:18:38.598 my view over 50% of our sub transmission system is 00:18:38.608 --> 00:18:43.098 now either covered or underground. Uh, which is significant 00:18:43.108 --> 00:18:47.029 since that's the highest energy exposed to uh, creating 00:18:47.039 --> 00:18:52.410 sparks, potential sparks. Um, we go on to the next slide. 00:18:54.588 --> 00:18:59.130 So our, uh governance model, uh the Safety Committee 00:18:59.140 --> 00:19:02.729 of the Board. Uh, is very much involved in policy, and 00:19:02.739 --> 00:19:07.098 objectives, and making sure we have that safety culture 00:19:07.219 --> 00:19:12.529 um, and works closely with management. Uh, two important 00:19:12.539 --> 00:19:16.630 elements for me is accountability. Uh, you have all 00:19:16.640 --> 00:19:19.269 these programs. But if you can't pin a name to each 00:19:19.279 --> 00:19:21.959 one of those programs, you don't have accountability. 00:19:22.578 --> 00:19:26.259 Uh, so accountability is incredibly important at all 00:19:26.269 --> 00:19:30.328 levels of the organization. The other piece is empowerment. 00:19:30.338 --> 00:19:35.640 Everybody in the organization, everybody from uh employees 00:19:35.650 --> 00:19:40.289 who execute the day to day operations has to be empowered 00:19:40.299 --> 00:19:46.019 to step up to stop work. If they have to uh, not 00:19:46.029 --> 00:19:50.410 a problem with me, have to be empowered to ask questions. 00:19:50.989 --> 00:19:55.848 And to point out better ways of doing things. Um so 00:19:55.858 --> 00:20:01.479 in that oval, uh there's a lot of programs and I suppose 00:20:01.799 --> 00:20:04.180 different groups could come up with different lists. 00:20:04.559 --> 00:20:07.598 Uh, but these are the basic ones. The ones I really 00:20:07.608 --> 00:20:12.328 value, the ones I personally go to uh, is tailboards. 00:20:12.338 --> 00:20:15.818 I like to go to the tailboard with alignment and see 00:20:15.828 --> 00:20:18.439 what they're doing. And encourage them to make sure 00:20:18.449 --> 00:20:22.680 they all understand not only their own personal safety. 00:20:22.689 --> 00:20:26.439 But the impact of the quality of their work on public 00:20:26.449 --> 00:20:30.059 safety. In other words doing that job correctly. So 00:20:30.068 --> 00:20:36.180 that can, that line doesn't uh suffer damage, uh and 00:20:36.618 --> 00:20:39.759 taking pride in that. And understanding the impact they 00:20:39.769 --> 00:20:43.029 have. Uh, so the tailboards are incredibly important 00:20:43.039 --> 00:20:47.930 to me, that's a vital program. Another program is engaged 00:20:47.939 --> 00:20:52.289 leadership, prefer to use the word intrusive leadership. 00:20:52.299 --> 00:20:54.900 Because I think you need not only to be aware and in 00:20:54.910 --> 00:20:59.848 charge, but you need to be inside, uh those programs. 00:20:59.858 --> 00:21:04.368 And, uh really ask the hard questions and, and understand 00:21:04.380 --> 00:21:11.299 what's going on and see. Um also, uh training is an 00:21:11.309 --> 00:21:15.588 incredibly important part of our uh, program. Employees 00:21:16.098 --> 00:21:19.890 appreciate training, appreciate the opportunity uh, 00:21:19.900 --> 00:21:23.858 to understand what they're doing. Uh, that management 00:21:23.868 --> 00:21:29.098 uh gives them the opportunity, uh to get better at what 00:21:29.108 --> 00:21:33.098 they do. Uh and in the end, uh you get better results, 00:21:33.229 --> 00:21:37.088 uh if you take the time to train. It sometimes feels 00:21:37.098 --> 00:21:42.390 like uh, training might be uh you know, boss production 00:21:42.719 --> 00:21:46.400 you might say. Uh but in the long run, it's actually 00:21:46.410 --> 00:21:52.739 you, you gain uh, production. Um, 00:21:52.739 --> 00:21:57.848 safety risk management. Uh, and this is one that really 00:21:57.858 --> 00:22:01.769 employees have to understand, not just management. 00:22:01.779 --> 00:22:06.989 Uh, this is where uh you know, when I talk to employees 00:22:07.000 --> 00:22:12.640 I talk to them about working. Uh, I come from a nuclear 00:22:12.650 --> 00:22:16.670 Naval, nuclear background. Uh, so I used to in the shipyard 00:22:16.680 --> 00:22:19.160 we used to talk about working shipyard fast. That means 00:22:19.170 --> 00:22:23.180 doing it slow and doing it right the first time. Because 00:22:23.189 --> 00:22:27.098 we don't uh, so for them it's the same thing in production. 00:22:27.150 --> 00:22:31.140 You know, don't take risk. Don't try to get it done 00:22:31.150 --> 00:22:33.608 quickly, let's just get it done right. Get it done 00:22:33.618 --> 00:22:35.789 correctly. And if we have to lose a day of production 00:22:35.799 --> 00:22:38.529 to drive off the mountain to get the right tool. Then 00:22:38.539 --> 00:22:44.689 we do that even, two days. I mean, uh you know, if 00:22:44.699 --> 00:22:48.368 we miss targets, that's fine. As long as we do it correctly. 00:22:48.430 --> 00:22:52.049 Uh you know, I'm the shield. I'll take the, the spear 00:22:52.059 --> 00:22:55.689 from uh, Director Jacobs there if we miss the target. 00:22:55.729 --> 00:23:00.170 Okay. But my employees will go home every night with 00:23:00.180 --> 00:23:03.640 their both hands and, and safely and our community 00:23:03.650 --> 00:23:11.068 will sleep safely. Um okay, on the next slide. So the 00:23:11.078 --> 00:23:14.140 Safety Committee of the Board of Directors is very 00:23:14.150 --> 00:23:19.420 much involved and has some pretty strong discussions. 00:23:19.630 --> 00:23:26.009 We um for one thing, do all the approvals for the wildfire 00:23:26.019 --> 00:23:31.189 mitigation plan work. Uh, we approve the budgets, we 00:23:31.199 --> 00:23:36.250 prove the initiatives, we discuss the initiatives. 00:23:36.259 --> 00:23:44.880 So for the 2023-2025 plan, we are charged with approving 00:23:44.890 --> 00:23:50.578 those initiatives and the associated targets. Um, we 00:23:50.588 --> 00:23:55.939 also approved the capital expenditures and O&M 00:23:55.949 --> 00:24:02.949 initiatives associated with the WNP for 2023. Uh, the 00:24:03.098 --> 00:24:07.338 Safety Committee uh, approved management's recommendation 00:24:07.348 --> 00:24:12.900 to implement the uh, 2022 Safety Culture Assessment 00:24:13.368 --> 00:24:17.578 Recommendations which came out in early May. Uh, from 00:24:18.170 --> 00:24:23.759 and then uh, we brief at each meeting. Uh, quarterly 00:24:23.769 --> 00:24:29.509 meeting, we brief the current initiatives, the targets 00:24:29.519 --> 00:24:34.680 the progress and the challenges. Uh for example, uh 00:24:34.689 --> 00:24:40.019 in the first quarter, we were behind schedule for a (inaudible). 00:24:41.910 --> 00:24:46.078 Okay. Uh, so we were behind schedule on the bed management 00:24:46.088 --> 00:24:52.309 clearance, uh big red block on the chart. And, but 00:24:52.318 --> 00:24:54.838 you know, I explained to him you know we had 10 days 00:24:54.848 --> 00:24:57.759 where the roads were shut down. And it wasn't safe for 00:24:57.769 --> 00:25:01.660 vets crews to get out there in, in the snow. It 00:25:01.759 --> 00:25:05.519 just wasn't safe, so we're behind. But we, we'll do 00:25:05.529 --> 00:25:09.910 things to mitigate that and catch up. So we look at 00:25:09.920 --> 00:25:12.880 where we're falling behind and we also look at where 00:25:12.890 --> 00:25:17.809 we're ahead. And, uh and I get poked hey, was your 00:25:17.818 --> 00:25:22.000 target too easy? So, uh you know, we, we have 00:25:22.009 --> 00:25:24.709 those discussions and, and they're good and healthy. 00:25:25.170 --> 00:25:30.759 Um, we brief in detail each quarter on safety performance. 00:25:30.769 --> 00:25:34.059 Uh, and I'll go through some of the metrics there. Um, 00:25:34.838 --> 00:25:38.000 and then we debrief in detail on risk modeling. Uh, 00:25:38.009 --> 00:25:41.588 which is 00:25:41.588 --> 00:25:46.078 evolutionary, it's fast moving. Uh, it was very basic 00:25:46.088 --> 00:25:49.959 when I, when we were started this out. Uh, and now it's 00:25:49.979 --> 00:25:55.959 uh, getting complex. Uh, and I think the Board of Directors 00:25:55.969 --> 00:25:58.598 and, and the Safety Committee need to understand the 00:25:58.608 --> 00:26:02.098 models that we're using. Not necessarily mathematically 00:26:02.108 --> 00:26:06.650 how they uh, how they function. I have a hard time grappling 00:26:06.660 --> 00:26:11.400 with that myself. But uh you know, uh they need to 00:26:11.410 --> 00:26:13.910 understand the limitations of these models and, and 00:26:13.920 --> 00:26:15.868 what are the benefits of these models. And I'll, I'll 00:26:15.880 --> 00:26:20.229 show you some of that. Um, and what have we done? Well 00:26:20.239 --> 00:26:23.160 we achieved our initiative targets and you'll see later 00:26:23.170 --> 00:26:26.150 what that means, but it's quite a bit of progress. 00:26:27.348 --> 00:26:30.410 We've improved our risk modeling capabilities. We have 00:26:30.420 --> 00:26:34.559 a strong public safety record, I think. Uh, you know 00:26:34.818 --> 00:26:38.689 and we've made significant progress in the areas of 00:26:38.699 --> 00:26:42.900 grid hardening, situational awareness, inspection. Uh, 00:26:42.910 --> 00:26:47.380 veg management and emergency response, including PSPS. 00:26:47.739 --> 00:26:52.269 And that's really preparedness for PSPS. Uh, we've 00:26:52.279 --> 00:26:57.000 never executed a PSPS. On to the next slide. Yeah, 00:26:57.009 --> 00:27:03.519 there we go. Safety performance. So um, that was when 00:27:03.529 --> 00:27:08.759 I made the slide on June 26. Um, those numbers still 00:27:08.769 --> 00:27:13.029 stand. Of course, it's 297 days now as of today that 00:27:13.039 --> 00:27:19.439 we're uh, accident/injury free. Um, 00:27:19.439 --> 00:27:21.838 these are the metrics on the, on the right side that 00:27:21.848 --> 00:27:25.890 we look at. Uh, but in following our safety culture 00:27:25.900 --> 00:27:29.900 assessment and some internal deliberations also with 00:27:29.910 --> 00:27:36.588 the uh, at the committee. Um, we're adding to this list 00:27:36.598 --> 00:27:39.709 some leading, more leading indicators. So we're gonna 00:27:39.719 --> 00:27:45.299 look at a number of pre-job briefs, safety training, 00:27:45.318 --> 00:27:50.250 uh completion rates. Number of JHAs, that's the job 00:27:50.259 --> 00:27:53.900 hazard analysis. That's where a Supervisor or a Manager 00:27:53.910 --> 00:27:56.838 or even myself. I love to do these, gets me out of 00:27:56.848 --> 00:28:01.229 the office. Uh, you go out and you check a job site 00:28:01.469 --> 00:28:06.750 or you check a facility, inspect a substation. Uh, and 00:28:06.759 --> 00:28:10.039 uh so how many of those, and what percent of those 00:28:10.049 --> 00:28:15.130 are being done by managers or above? Uh, not just I'm 00:28:15.140 --> 00:28:18.309 not just looking for the, the you know Field Level 00:28:18.318 --> 00:28:22.289 Supervisor. But how engaged is management in, in the 00:28:22.299 --> 00:28:29.309 process? Uh thing goes for VEG Management, QCs. How 00:28:29.318 --> 00:28:31.000 many are we doing, and how many of those are being 00:28:31.009 --> 00:28:35.098 done by leadership? Uh, so that we're actually getting 00:28:35.108 --> 00:28:37.729 out there looking at the quality of that management 00:28:37.739 --> 00:28:42.568 because that is public safety. Same thing for wildfire 00:28:42.578 --> 00:28:45.799 mitigation plan, work quality checks. How many are 00:28:45.809 --> 00:28:50.410 we doing? Who's doing them? So those are things that 00:28:50.420 --> 00:28:54.259 we're looking at as leading indicators. Uh, number of 00:28:54.269 --> 00:29:00.838 contractor Bear Valley meetings. Where we discuss safety 00:29:00.848 --> 00:29:06.809 issues and quality of work. Uh so, and so those are 00:29:06.818 --> 00:29:10.029 metrics that we're adding to our list here. Uh, to get 00:29:10.039 --> 00:29:14.189 more and get a more leading uh, sort of forward looking 00:29:14.199 --> 00:29:17.979 view of what's gonna happen or potentially where are 00:29:17.989 --> 00:29:24.160 we headed? Uh, if you go to the next slide, okay. Uh, 00:29:24.170 --> 00:29:31.750 this slide tests, uh our eyesight. Um, the implementation 00:29:31.759 --> 00:29:36.459 progress covered wires. We've done quite a bit started 00:29:36.469 --> 00:29:41.858 really in earnest in 2020 doing a little bit. I say 00:29:41.868 --> 00:29:45.689 every year turns out when you look back, we've accomplished 00:29:45.699 --> 00:29:49.848 quite a bit percentage wise. Uh we, we don't have any 00:29:49.858 --> 00:29:53.098 more expulsion fuses in our system. Those are the fuses 00:29:53.108 --> 00:29:58.608 that sort of uh, expel hot slag potentially cause uh, 00:29:58.618 --> 00:30:06.400 ignitions. Um, loading assessment we've assessed almost 00:30:06.680 --> 00:30:13.328 I'm sure as of today over 3700 poles. Uh, that's 00:30:13.328 --> 00:30:16.699 quite significant. It's almost, it's almost uh we 00:30:16.709 --> 00:30:20.229 we're about 9000 poles in our system. So quite a, quite 00:30:20.239 --> 00:30:25.750 a large number. Um, evacuation route. All the primary 00:30:25.759 --> 00:30:29.939 evacuation routes are either lightweight steel, underground 00:30:30.459 --> 00:30:35.750 fire resistant composite or have the wire mesh on them. 00:30:35.900 --> 00:30:39.459 So the primary evacuation routes are hardened. We're 00:30:39.469 --> 00:30:43.608 now working on secondary evacuation routes. Those are 00:30:43.618 --> 00:30:46.259 the main roads that lead to the evacuation routes. 00:30:47.088 --> 00:30:49.949 Uh, and the intent there is to prevent poles from falling 00:30:49.959 --> 00:30:53.529 into the road which would hinder first responders and 00:30:53.539 --> 00:30:57.809 also hinder people trying to leave. Uh, so very important 00:30:58.299 --> 00:31:01.598 tree attachments. 00:31:01.598 --> 00:31:03.769 Um, 00:31:03.769 --> 00:31:07.368 that's interesting. These are facilities attached to 00:31:07.380 --> 00:31:11.799 trees as the name implies. Uh, I'm new to this industry 00:31:11.809 --> 00:31:15.328 in 2014. So I was very surprised to see it back then. 00:31:16.328 --> 00:31:20.459 Uh, we started the program uh, removing them and got 00:31:20.469 --> 00:31:25.729 a little more aggressive in 2018. Uh, so right now of 00:31:25.739 --> 00:31:29.719 that 487 left on the trees, those are low voltage. 00:31:30.059 --> 00:31:36.578 Took care of all the high voltage ones, uh advanced 00:31:36.588 --> 00:31:39.039 inspection and I'll talk about that on another slide 00:31:39.049 --> 00:31:41.789 but quite a bit. Quite a bit of advanced inspection 00:31:41.799 --> 00:31:45.880 being done now in that area. This is fault 00:31:45.890 --> 00:31:50.140 localization isolation and service restoration. Our sub 00:31:50.150 --> 00:31:53.108 transmission system is in a loop. We install 10 in 00:31:53.118 --> 00:31:57.519 interrupter switches and they basically are self healing. 00:31:57.529 --> 00:32:00.578 So if a fault develops the switches figure out where 00:32:00.588 --> 00:32:04.039 the fault is. The tube surrounding the fault open, the 00:32:04.049 --> 00:32:07.479 other switch is closed to reroute power. So that it 00:32:07.489 --> 00:32:10.939 minimizes the number of customers that are out but 00:32:11.150 --> 00:32:16.390 does isolate the fault. Uh, all without an operator intervening 00:32:16.400 --> 00:32:20.979 at that point. Um grid automation, we've got a fiber 00:32:20.989 --> 00:32:27.789 optic network in our system. So that's 00:32:27.789 --> 00:32:30.390 really significant because it really is a backbone 00:32:30.400 --> 00:32:34.009 for us to install technology and tracking switches. 00:32:35.088 --> 00:32:42.588 Um, we have 20 weather stations. Uh, I think we uh if 00:32:42.598 --> 00:32:46.809 you. It's quite a concentration for a 32 square mile 00:32:46.818 --> 00:32:51.848 area. Um, and they're also available now. Uh, on open 00:32:51.858 --> 00:32:56.618 source for NOA to do their forecasting. Uh, and they're 00:32:56.630 --> 00:32:59.979 also available to our risk modeling consultant, Techno 00:33:00.068 --> 00:33:04.900 Silva. We worked with UCSD and got 15 cameras in 00:33:04.910 --> 00:33:11.338 7 locations on the alert wildfire system. Uh, we're 00:33:11.348 --> 00:33:15.199 doing enhanced vegetation management. Uh, we've got 00:33:15.309 --> 00:33:19.318 enhanced clearances, blue sky requirement for our uh, 00:33:19.519 --> 00:33:27.000 sub transmission and uh, we removed uh 667 hazard trees. 00:33:28.459 --> 00:33:34.818 Go to the next slide. Um, so we're making progress 00:33:35.059 --> 00:33:38.680 there's different models. This is on the left is Techno 00:33:38.699 --> 00:33:43.449 Silva showing where we were if you unmitigated and 00:33:43.459 --> 00:33:49.019 the red is bad. Uh, and then mitigated. That was as 00:33:49.029 --> 00:33:52.680 of the end of 2022. So you can see we made a 00:33:52.689 --> 00:33:59.459 difference out on the uh East side. Um, 00:33:59.459 --> 00:34:03.299 the, uh we have this fire safety model. Which is, even 00:34:03.309 --> 00:34:06.059 though it's got numbers, it's SME driven. I'll caution 00:34:06.068 --> 00:34:08.918 you that. So you know, it's a subject matter, expert 00:34:08.929 --> 00:34:14.949 driven model, but it does show decline. Uh, LiDAR 00:34:14.958 --> 00:34:18.739 shows that if you took a 12 ft corridor on each side 00:34:18.750 --> 00:34:22.679 of our lines and measure the vegetation density within 00:34:22.688 --> 00:34:26.668 that 12 ft cord. Not the, so the vegetation is in spec 00:34:26.679 --> 00:34:30.340 but the amount of vegetation in that corridor has decreased. 00:34:30.349 --> 00:34:34.159 Uh, since we've done enhanced management, uh which 00:34:34.168 --> 00:34:36.500 you know, shows that we're making a difference there. 00:34:37.360 --> 00:34:41.489 The pictures say a lot. Uh, one of the lower corner 00:34:41.500 --> 00:34:45.449 is just uh something from the manufacturer. Not, not 00:34:45.458 --> 00:34:49.349 in our service area, but it does show you that. Uh, you 00:34:49.360 --> 00:34:52.478 know, when vegetation contacts covered conductor, you 00:34:52.489 --> 00:34:56.679 don't get sparks. Uh and, and those apparently were 00:34:56.688 --> 00:35:02.159 up there for quite some time. That other one is a garbage 00:35:02.168 --> 00:35:05.530 truck where it's forked up, went through an intersection 00:35:05.539 --> 00:35:12.840 hit the uh, communications line. Caused a kind of um, 00:35:14.510 --> 00:35:16.628 humor 00:35:16.628 --> 00:35:19.139 cause it's like a slingshot. It caused the pole to 00:35:19.148 --> 00:35:25.668 snap. Uh, there was no face to face, um 00:35:25.668 --> 00:35:29.199 sure the lines touched, but there was no face to face 00:35:29.208 --> 00:35:33.780 contact because of the covered conductor. Uh, and so no 00:35:33.789 --> 00:35:38.688 outage occurred. Uh obviously, we put an outage to 00:35:38.699 --> 00:35:43.458 repair that. Uh but um, it shows you that there could 00:35:43.469 --> 00:35:45.849 have been an ignition, could have been sparks, but 00:35:45.860 --> 00:35:48.599 the covered conductor certainly prevented that cost 00:35:48.610 --> 00:35:54.449 from happening. Um, next slide. 00:35:54.449 --> 00:35:58.519 Um, every day we look at Technosylva, we have a process 00:35:58.530 --> 00:36:02.719 we send it out to key people. Uh, this is the wildfire 00:36:04.320 --> 00:36:09.659 and analyst, analyst enterprise application. About 00:36:09.668 --> 00:36:14.039 60% confidence level. So just bear that in mind when 00:36:14.050 --> 00:36:18.489 you, when you look at these things. Uh, so in this instance 00:36:18.500 --> 00:36:21.378 we're looking at a circuit it was orange. We went 00:36:21.389 --> 00:36:23.438 out when you drill down the circuit. The reason why 00:36:23.449 --> 00:36:27.780 it's orange was that little area up to the uh, North. 00:36:28.829 --> 00:36:33.478 And we send people out there to take a look uh, because 00:36:33.489 --> 00:36:36.989 we're that small. Uh, and we do this now daily and so 00:36:37.000 --> 00:36:40.458 we've learned where the spots are. So now we put those 00:36:40.469 --> 00:36:43.809 on the list of where we want to go do hardening. We 00:36:43.820 --> 00:36:47.599 also feed this back to the consultant Technosylva. 00:36:47.610 --> 00:36:50.458 Because sometimes we look at it and say hey, we drove 00:36:50.469 --> 00:36:53.478 further down where the model sits. The screen doesn't 00:36:53.489 --> 00:36:58.668 look any different to us. So, uh you know, we're not 00:36:58.679 --> 00:37:01.389 sure what the model is producing here, but it doesn't 00:37:01.398 --> 00:37:08.739 seem to be right. Um, okay. Next slide. Uh, so these are 00:37:08.750 --> 00:37:13.139 the things that we're looking in our 2023-2024 Wildfire 00:37:13.148 --> 00:37:17.519 Mitigation Plan which is under review. Uh, the cover 00:37:17.530 --> 00:37:21.708 conductors continuing that Radford line replacement 00:37:21.719 --> 00:37:25.750 that's a sub transmission line that comes up from Redlands. 00:37:26.728 --> 00:37:31.429 Continuing tree attachment removal, uh evacuation 00:37:31.438 --> 00:37:35.969 hardening. Uh, that's in the secondary roads. There's 00:37:35.978 --> 00:37:39.898 a lot of like capacitor bank upgrades now. Getting 00:37:39.909 --> 00:37:44.800 those replaced, uh switch and field device automation 00:37:45.780 --> 00:37:48.219 um, 00:37:48.219 --> 00:37:53.789 some substation work. Uh, those are the main items there 00:37:56.530 --> 00:37:59.458 I think it's, it's a lot of it is just continuing. The 00:37:59.469 --> 00:38:02.590 the online diagnostic I'll talk about at the end. That's 00:38:02.599 --> 00:38:05.989 kind of a newer technology. Um, if we go to the next 00:38:06.000 --> 00:38:10.559 slide. So I talked about inspections. So in addition 00:38:10.570 --> 00:38:13.789 to patrol and detailed inspections, which was the traditional 00:38:13.800 --> 00:38:21.378 165 the GO165. We do intrusive pole inspections using 00:38:21.389 --> 00:38:27.539 equipment that actually registered on and records. 00:38:27.610 --> 00:38:31.110 So before I used to intrusive inspection was done by 00:38:31.119 --> 00:38:34.820 drilling into the pole. And then someone looking at 00:38:34.829 --> 00:38:38.628 how much wood came out and making an evaluation that's 00:38:38.639 --> 00:38:43.438 gone by the wayside. It's using more digital ultrasonic 00:38:43.449 --> 00:38:47.079 testing equipment. Uh, and you also get objective quality 00:38:47.090 --> 00:38:50.860 evidence to put in your records of the inspection. 00:38:51.579 --> 00:38:55.398 Uh, UAV thermography and photography. So it's flying 00:38:55.409 --> 00:38:59.708 a drone. Uh, you can see in that lower picture, the 00:39:00.030 --> 00:39:03.309 heat signature of the transformer transformers do run 00:39:03.320 --> 00:39:07.550 hot, so don't get alarmed. Uh, just want that's for 00:39:07.559 --> 00:39:12.360 illustration purposes. One, one sidebar on the HD photography 00:39:12.369 --> 00:39:15.389 and videography. We get these pictures now and of every 00:39:15.398 --> 00:39:19.469 single asset. Which makes, so we take the most recent 00:39:19.478 --> 00:39:21.878 pictures. And linemen before they go out in the field. 00:39:21.889 --> 00:39:24.369 to work on a system. They can actually see what's on 00:39:24.378 --> 00:39:29.219 that pole and take a, a visual tour of the facility 00:39:29.228 --> 00:39:31.918 before they go out there. So it has more than inspection 00:39:31.929 --> 00:39:34.889 value. Uh, LiDAR 00:39:34.889 --> 00:39:40.809 is a very important uh, inspecting tool. Allows us to 00:39:41.139 --> 00:39:44.809 uh, rapidly assess where vegetation is close to the 00:39:44.820 --> 00:39:49.938 lines and, and get out there and resolve those issues. 00:39:49.949 --> 00:39:53.958 We also have an independent third party. So we do patrol 00:39:53.969 --> 00:39:55.809 inspections, but we also have an independent third 00:39:55.820 --> 00:39:58.708 party who does no construction work for us. So they 00:39:58.719 --> 00:40:03.378 don't uh, do the ground patrol as well. Uh, so it's kind 00:40:03.389 --> 00:40:06.559 of a QA. But it's also uh, just to get a 00:40:06.570 --> 00:40:12.800 independent set of eyes on, on the system. Um, of course 00:40:12.809 --> 00:40:18.309 we're working on uh, the uh enterprise systems that 00:40:18.320 --> 00:40:22.050 record all these discrepancies and tracks their correction 00:40:22.289 --> 00:40:26.039 and resolution. So these are the enterprise systems. 00:40:26.659 --> 00:40:30.139 Also, these systems allow you to do trend analysis. 00:40:31.559 --> 00:40:35.260 Quality assurance, extremely important in both asset 00:40:35.360 --> 00:40:38.099 and vegetation management. And we're trying to step 00:40:38.110 --> 00:40:43.090 up our game there and become a little more formal and 00:40:43.099 --> 00:40:47.030 get more formal and document these things and have 00:40:47.039 --> 00:40:51.958 more process control 00:40:51.958 --> 00:40:58.148 in these areas. Um, we go to the next slide. 00:40:58.148 --> 00:41:03.619 So I'm gonna shift over to the, uh safety culture assessments. 00:41:03.780 --> 00:41:10.329 So in 2021 we had a couple of recommendations and one 00:41:10.340 --> 00:41:14.099 was to embed skill leadership skills development uh 00:41:14.110 --> 00:41:18.898 into our, our objective to have more engaged leadership. 00:41:19.628 --> 00:41:23.418 Uh and we did that, we did a lot of training. Uh 00:41:23.429 --> 00:41:28.769 we uh, made uh safety performance. This is the first 00:41:28.780 --> 00:41:33.360 thing anybody reads about now in their uh, appraisals. 00:41:33.708 --> 00:41:37.159 All employees actually uh, that applies to now it's 00:41:37.168 --> 00:41:41.590 the opening statement. Uh, leadership engages in an 00:41:41.599 --> 00:41:48.389 open dialogue with employees. Uh, we uh 00:41:48.389 --> 00:41:51.269 in fact half my, uh leadership team now is going through 00:41:51.280 --> 00:41:54.688 a 12 month leadership course. Every month they do some 00:41:55.500 --> 00:42:00.090 training and I think that's important to develop them 00:42:01.418 --> 00:42:06.139 Also there was uh, a recommendation to uh, work with 00:42:06.148 --> 00:42:08.250 our contractor. And that was at the time, the vege 00:42:08.260 --> 00:42:11.530 management contractor developed an action plan to address 00:42:11.539 --> 00:42:15.050 some cultural safety issues. So we did work with them 00:42:15.059 --> 00:42:18.829 they did training with their crews. Uh, we improved 00:42:18.840 --> 00:42:23.188 our meetings with them. Um, 00:42:23.188 --> 00:42:25.539 that's correct. Those, let me go to the next slide. 00:42:29.239 --> 00:42:35.168 However I think in 2022, uh we didn't really see improvement 00:42:35.489 --> 00:42:41.550 um, in that area of the contractors. Uh, so we are now 00:42:41.559 --> 00:42:45.840 sitting down again with them. But we also uh, have implemented 00:42:45.849 --> 00:42:51.958 a formal contractor safety program. Uh, actual instruction 00:42:52.000 --> 00:42:56.599 that includes important onboarding steps, an annual 00:42:56.610 --> 00:43:00.688 assessment of their safety performance where they, 00:43:00.699 --> 00:43:04.219 they may not come back to our facilities. If you're 00:43:04.228 --> 00:43:10.369 not meeting certain standards. Uh, and uh so we're trying 00:43:10.378 --> 00:43:15.579 to get move that one up. I'm meeting uh, pretty much 00:43:15.590 --> 00:43:21.389 every month now with both our main power line construction 00:43:21.398 --> 00:43:26.989 company and our veg management companies uh, Chief 00:43:27.000 --> 00:43:31.079 Operating Officer or Chief Executive Officer. Uh, our 00:43:31.099 --> 00:43:35.840 supervisors are meeting frequently. We're keeping records 00:43:36.079 --> 00:43:39.269 of those meetings and documenting those so that we 00:43:39.280 --> 00:43:44.639 can uh, track them. Uh, and uh we're trying to work 00:43:44.648 --> 00:43:47.739 with our contractors to understand. Why they've lowered 00:43:47.750 --> 00:43:51.000 their opinion about safety culture, you know, just 00:43:51.010 --> 00:43:53.708 not. So we're trying to get to the bottom of that. 00:43:53.719 --> 00:43:57.949 Uh, these results came out in May. Uh And so we're 00:43:57.958 --> 00:44:01.110 still in the initial steps there of, of getting to 00:44:01.119 --> 00:44:06.059 the bottom of that. Uh, but I've made it clear that 00:44:06.070 --> 00:44:11.878 um, you know, they need to do things to and, and where 00:44:11.889 --> 00:44:16.909 we can help, we certainly want to. Uh, but it's important 00:44:16.918 --> 00:44:21.719 that their safety cultures be strong. Uh, if they're 00:44:21.728 --> 00:44:27.418 gonna work in our service area. Um, 00:44:27.418 --> 00:44:33.909 the uh, design and construction employees at Bear Valley 00:44:33.918 --> 00:44:38.369 had a less positive experience, safety culture than 00:44:38.789 --> 00:44:44.610 the average of our other employees. Uh so, uh we reach 00:44:44.619 --> 00:44:47.208 senior management that, that means me. I am sitting 00:44:47.219 --> 00:44:49.860 down with each one of them and just having an open 00:44:49.869 --> 00:44:56.228 discussion. Uh I've done that before, uh and uh trying 00:44:56.239 --> 00:44:58.829 to get to the bottom of where, where if, if there are 00:44:58.840 --> 00:45:02.579 any issues that I'm missing. Uh why, why they had a 00:45:02.590 --> 00:45:08.389 less you know why the their view where the front 00:45:08.398 --> 00:45:12.519 line, uh was lower than the average employee. Uh, so 00:45:12.530 --> 00:45:15.478 they're still pretty high. Don't get me wrong here 00:45:15.489 --> 00:45:18.728 they're still above four, you know. So it's not, uh 00:45:19.119 --> 00:45:22.878 but it's still of interest to me that the uh, that 00:45:22.889 --> 00:45:26.099 they were, uh lower than the average employee. Uh, 00:45:26.110 --> 00:45:33.860 so we're addressing that. Um, we're working to ensure 00:45:33.869 --> 00:45:37.079 we address their concerns. 00:45:37.079 --> 00:45:39.719 And, 00:45:39.719 --> 00:45:43.559 um, and make sure you know, some of the statements 00:45:43.570 --> 00:45:48.719 that were lower performing uh, that we improved, turned 00:45:48.728 --> 00:45:51.769 those around. Like, um one of the statements was my 00:45:52.079 --> 00:45:54.869 supervisor would go out of my, out of his way to help 00:45:54.878 --> 00:46:01.378 me. Uh and so that was, and so, you know I, I 00:46:01.550 --> 00:46:04.719 think uh, 00:46:04.719 --> 00:46:09.280 we need obviously turn that one around. But, um you 00:46:09.289 --> 00:46:12.260 know, just be honest with our Supervisors. And, uh 00:46:12.269 --> 00:46:15.519 it looks like I'm pretty close here. Uh, supervisors 00:46:15.530 --> 00:46:18.869 make sure they understand that, that's not where we 00:46:18.878 --> 00:46:22.659 want them to be. Uh, you know, we want them or their 00:46:22.668 --> 00:46:26.579 employees to understand. Uh, that uh, they have their 00:46:26.590 --> 00:46:32.909 back. Uh so, um next slide. The other two recommendations 00:46:32.918 --> 00:46:37.728 was one was to uh, take advantage of. So uh, there 00:46:37.739 --> 00:46:43.489 were some positive, uh where employees felt, uh that 00:46:43.570 --> 00:46:47.360 uh continuous improvement was available. And they're 00:46:47.369 --> 00:46:50.449 open to it, and so there's opportunities to improve 00:46:50.458 --> 00:46:55.070 our near miss program. Uh, and encourage employees 00:46:55.079 --> 00:46:58.878 to report things. Uh, so that and so that's where 00:46:58.889 --> 00:47:03.500 we're, we're headed. Uh, we do have a, a near 00:47:03.510 --> 00:47:08.070 miss program, And we're trying to, in fact reward employees 00:47:08.079 --> 00:47:13.260 uh report uh, near misses or hazards. Uh, and then the 00:47:13.269 --> 00:47:15.929 other one is uh, implement leading indicators which 00:47:15.938 --> 00:47:20.789 I already talked about. Um, 00:47:20.789 --> 00:47:27.070 on the next slide. Um, we don't we we've engaged in 00:47:27.079 --> 00:47:30.389 some lower class technologies. We're working on an 00:47:30.398 --> 00:47:35.628 online diagnostic system. Uh, we've installed this on 00:47:35.639 --> 00:47:40.969 uh a bare wires, two bare wire circuits. Uh, it basically 00:47:40.978 --> 00:47:47.090 monitors for um, 00:47:47.090 --> 00:47:51.219 disruptions. And, and basically you can tell us 00:47:51.228 --> 00:47:55.579 if say something's making contact but not quite causing 00:47:55.590 --> 00:48:00.559 an outage yet. Uh, so it's a kind of an online diagnostic 00:48:00.570 --> 00:48:05.659 system. Tells you if you ever current fluctuations or 00:48:05.668 --> 00:48:09.519 voltage fluctuations that may be due to a connector 00:48:09.530 --> 00:48:14.389 coming loose or some sort of fault. Uh and so, uh these 00:48:14.398 --> 00:48:18.918 are fairly new emerging technologies. Uh this particular 00:48:18.929 --> 00:48:23.699 one I think is an Israeli company. Uh, and we've installed 00:48:23.708 --> 00:48:27.889 it and it's up and running as of last week actually. 00:48:28.750 --> 00:48:34.260 Uh and uh we, we're monitoring it uh, and we will assess 00:48:34.269 --> 00:48:38.110 its effectiveness. Uh, 00:48:38.110 --> 00:48:43.849 so, um in the next slide. So that was last Thursday, 00:48:44.789 --> 00:48:48.688 uh about the same time. About a little over half a 00:48:48.699 --> 00:48:54.590 mile from my office. Um, helicopters were overhead flying 00:48:54.599 --> 00:49:02.228 dropping water from the lake. And uh, that's a very green 00:49:02.239 --> 00:49:06.059 day, if you looked at the BRIS map. 00:49:06.059 --> 00:49:10.728 Uh you know that morning, we looked at our Technosylva 00:49:10.769 --> 00:49:15.159 and everything was nice and everybody felt good. Yeah 00:49:15.179 --> 00:49:19.469 well, uh so uh this is gonna be an exciting Summer 00:49:19.478 --> 00:49:24.289 and Fall. Uh, and not a time to be complacent. Uh, 00:49:24.760 --> 00:49:30.519 and I really have emphasizing that to my employees 00:49:30.599 --> 00:49:34.449 to our, our team. That, uh we're really this year 00:49:34.458 --> 00:49:37.550 gonna have to be on top of our game. Uh, yeah. It's 00:49:37.559 --> 00:49:43.030 just, uh you know. Last year we had one of those on 00:49:43.039 --> 00:49:45.610 the other side of the peak. So we had a little bit 00:49:45.619 --> 00:49:49.159 of a mountain between us and that one there is pretty 00:49:49.168 --> 00:49:53.090 scary. Uh you know, and last year I actually put my 00:49:53.099 --> 00:49:57.128 prescriptions and valuables in my car 00:49:57.128 --> 00:50:00.289 during the Radford Fire. So uh it, it's a dangerous 00:50:00.300 --> 00:50:06.438 place. Uh, and uh I know, uh you know, we have proceedings 00:50:06.449 --> 00:50:11.070 and some folks are, are interested in looking. You 00:50:11.079 --> 00:50:14.019 know, for ways to get around some of the hardening 00:50:14.030 --> 00:50:18.599 that we're doing. Uh but, uh you know, sometimes you 00:50:18.610 --> 00:50:22.579 just got to do the hard thing, not the easy thing. 00:50:23.090 --> 00:50:29.628 Uh and to get the, the right results. Yeah, that's 00:50:29.639 --> 00:50:34.280 my uh, slides. Uh sorry, it went over by a couple of 00:50:34.289 --> 00:50:36.679 minutes. 00:50:36.679 --> 00:50:40.168 Thank you for that update, Mr. Marconi. Um, I will open 00:50:40.179 --> 00:50:43.179 it now to questions from the dais. President Reynolds, 00:50:43.188 --> 00:50:45.760 would you like to start us off with questions and discussion? 00:50:45.780 --> 00:50:48.619 Sure, I'll start with a few questions. And thank you 00:50:48.628 --> 00:50:52.019 very much for the presentation. Um, really appreciated 00:50:52.030 --> 00:50:56.039 it. Um I have a, a few uh just fairly detailed questions 00:50:56.050 --> 00:50:59.800 on the slides and then some broader. Um one I, I think 00:50:59.809 --> 00:51:04.010 I, I missed it. But on the slide that showed the graphic 00:51:04.019 --> 00:51:06.958 of the map with the unmitigated, and then mitigated 00:51:06.969 --> 00:51:11.760 as of 12-31-2022. I didn't understand the difference 00:51:11.769 --> 00:51:14.070 there. You said there were differences in the red parts 00:51:14.079 --> 00:51:17.239 of the slide. Can you just describe that a little better? 00:51:17.250 --> 00:51:19.148 And maybe if you say the slide number, we can put it 00:51:19.159 --> 00:51:25.079 back on the screen. Yes, slide number 8. So a it's 00:51:26.539 --> 00:51:29.559 these aren't the best uh, graphics. I'll be honest with 00:51:29.570 --> 00:51:34.978 you, but uh over on the uh, 00:51:34.978 --> 00:51:41.599 East side. Around the, the right there, uh you'll see 00:51:41.610 --> 00:51:43.978 what's called Lake Baldwin. It's actually a, actually 00:51:43.989 --> 00:51:46.090 there's water in there this year, but it's normally 00:51:46.099 --> 00:51:50.579 a dry lake. Uh, you'll see some reddish-orange in the 00:51:50.590 --> 00:51:55.398 top on the lines. And then if you look on the bottom 00:51:55.409 --> 00:52:01.429 those have turned more greenish-yellowish-blue that 00:52:01.438 --> 00:52:06.168 shows where covered wire has been installed. So, you 00:52:06.179 --> 00:52:10.110 know, they ran the models again. Now one, one thing just 00:52:10.119 --> 00:52:13.898 to understand about the worm, it's Technosylva's asset 00:52:13.909 --> 00:52:17.148 model. It doesn't actually, it just looks at probably 00:52:17.159 --> 00:52:19.349 a connection, but it doesn't look at the condition 00:52:19.360 --> 00:52:23.610 of the assets. Okay. Uh, so that is a weakness of that 00:52:23.619 --> 00:52:27.478 model. Uh so, so if the pole is old, let's say it's 00:52:27.489 --> 00:52:31.550 a 75 year old pole. It doesn't differentiate it from 00:52:31.559 --> 00:52:36.199 a 10 year old pole. Uh you know, so you have to 00:52:36.208 --> 00:52:39.239 look at these models and understand their limitations. 00:52:39.719 --> 00:52:43.478 Uh you know, and we are looking to incorporate some 00:52:43.489 --> 00:52:50.239 asset, uh modeling software and merged the two to get 00:52:50.250 --> 00:52:53.938 a better output. Uh. so the Technosylva is a very good 00:52:53.949 --> 00:52:57.510 model. It's what we have today, but it's not the answer 00:52:57.519 --> 00:53:02.179 to everything yet. Okay. Uh, and right now you still need 00:53:02.188 --> 00:53:05.300 a, a subject matter expert. To, to look at these things 00:53:05.309 --> 00:53:08.000 and make sure they understand what they're interpreting. 00:53:08.010 --> 00:53:12.809 It's um, yeah. Yeah, thanks for that. And, and just 00:53:12.820 --> 00:53:15.918 to dig a little bit deeper there. Um I, I think I 00:53:15.929 --> 00:53:19.978 heard you say for on modeling. That the models had, 00:53:19.989 --> 00:53:23.849 I, I shown different levels of risk. But then you went 00:53:23.860 --> 00:53:28.070 out in the field and um for the inspectors or whoever 00:53:28.079 --> 00:53:31.590 was out on the field. Didn't uh, observe different risk 00:53:31.599 --> 00:53:34.409 levels. Um, and you can correct me if I didn't hear 00:53:34.418 --> 00:53:37.898 you right. But I guess I was interested in how those 00:53:37.909 --> 00:53:42.840 observations versus modeling results. Drives prioritization 00:53:42.849 --> 00:53:46.039 of mitigation efforts or any kind of actions as you're 00:53:46.050 --> 00:53:49.708 thinking about welfare prevention. Yeah, that's a great 00:53:49.719 --> 00:53:54.320 question. So a lot of times the issue with the model 00:53:54.329 --> 00:54:03.610 is fuel sampling. So the models uh, rely on some fuel 00:54:03.619 --> 00:54:08.869 sampling that are done throughout the area. Uh, and 00:54:08.878 --> 00:54:11.070 they're pretty big areas. So they take a sample in 00:54:11.079 --> 00:54:14.719 a small area and that's considered representative of 00:54:14.728 --> 00:54:18.409 a very large area. Uh, and it drives a lot of the 00:54:18.418 --> 00:54:24.780 model uh, you know how the bias and the model. Uh, 00:54:24.789 --> 00:54:29.389 so fuel sampling and then, uh the fuel is assumed to 00:54:29.398 --> 00:54:34.168 be, you know, uniform over a certain area. So that 00:54:34.179 --> 00:54:37.489 corner of that area of a higher fuel, a drier fuel 00:54:37.500 --> 00:54:41.869 might intercept the line. Where most of the line is 00:54:41.878 --> 00:54:47.289 more moist fuel. And so you can get those little there 00:54:47.300 --> 00:54:52.929 it's basically a math driven, uh anomaly. Rather than 00:54:52.938 --> 00:54:55.820 an actual so, so you can, you can get that, you can 00:54:55.829 --> 00:54:58.978 get the reverse too. You could have uh, you get the 00:54:58.989 --> 00:55:02.269 model could show you're fine and you're not. Uh, so you 00:55:02.280 --> 00:55:04.438 you have to understand the limitations of those models. 00:55:04.449 --> 00:55:07.099 There's no substitute for going out and inspecting 00:55:07.360 --> 00:55:11.119 the lines and, and the areas as well. Uh you know, 00:55:11.128 --> 00:55:13.978 the models aren't gonna allow us to sit behind a computer 00:55:13.989 --> 00:55:17.510 screen for the rest of our lives. Uh that, that's not 00:55:17.519 --> 00:55:19.708 gonna happen. And I think the modelers are getting 00:55:19.719 --> 00:55:22.860 better at using satellite imagery to try and detect 00:55:22.869 --> 00:55:27.378 fuel uh and make better estimates. But with underground 00:55:27.389 --> 00:55:33.708 sampling, it's a limitation. Uh, and uh so it's important 00:55:33.719 --> 00:55:36.519 to understand these limitations. We provide feedback 00:55:36.530 --> 00:55:42.820 to the consultants. Uh, but we do use both a combination 00:55:42.829 --> 00:55:47.300 of the model for our prioritization. But we also use 00:55:47.309 --> 00:55:51.869 our uh our experience, our, you know, I, I have someone 00:55:51.878 --> 00:55:55.750 who's been doing this for 45 years, you know, and uh 00:55:56.260 --> 00:56:00.559 he, he, he knows where all high risk areas are. Um 00:56:00.760 --> 00:56:04.429 and we, you know, and my engineers also, we go out 00:56:04.438 --> 00:56:08.269 there. Uh, and we know where in alignment, uh know, 00:56:08.280 --> 00:56:12.530 know where high risk areas are. Um and I say hi, I 00:56:12.539 --> 00:56:15.469 I don't, I should say higher risk. Our entire area 00:56:15.478 --> 00:56:19.539 is high risk. Okay. Uh, so I don't want to imply that 00:56:19.550 --> 00:56:23.539 I have low risk areas. Just because I so, uh because 00:56:23.550 --> 00:56:27.110 I think sometimes people interpret that incorrectly. 00:56:27.699 --> 00:56:31.239 And then given that, can you talk a little bit more 00:56:31.250 --> 00:56:33.938 about how you're the prioritization? Whether it's based 00:56:33.949 --> 00:56:37.530 on modeling or observations or simply the fact that 00:56:37.539 --> 00:56:39.929 your entire area is high risk. How does that drive 00:56:39.938 --> 00:56:43.128 your decision making? How does it drive your actions? 00:56:43.139 --> 00:56:47.235 And uh, I saw you have some covered conductor miles 00:56:47.244 --> 00:56:49.313 that have been done. You've done some undergrounding. 00:56:49.844 --> 00:56:52.675 What are your future plans and how do you take into 00:56:52.684 --> 00:56:57.594 account prioritization? So we, we do continue to 00:56:57.603 --> 00:57:04.989 push covered wire that's where we're headed. We prioritize 00:57:05.000 --> 00:57:09.550 obviously based on trying to get the covered wire up 00:57:09.559 --> 00:57:12.668 in areas where there is more vegetation. Where the chances 00:57:12.679 --> 00:57:15.840 of blowins or high trees falling into lines where 00:57:15.849 --> 00:57:19.489 we have higher winds. Historically, we try to get uh 00:57:19.500 --> 00:57:24.188 the, the covered wire up there. Uh, but we also are 00:57:24.199 --> 00:57:29.019 uh have to be realistic too. There's mobilization issues 00:57:29.030 --> 00:57:32.708 if I'm doing a high risk area, but it's small. But 00:57:32.719 --> 00:57:36.019 while I'm there. I might as well knock out because 00:57:36.030 --> 00:57:39.269 it just due to cost. It's, you know if I, if I 00:57:39.280 --> 00:57:43.019 try to move from segment to segment to segment. It's 00:57:43.030 --> 00:57:48.409 not very cost effective. Uh so, uh there's also permitting 00:57:48.418 --> 00:57:52.728 like the Radford is my highest risk line. I haven't 00:57:52.739 --> 00:57:56.269 been able to do it for 3 years. Uh because of, uh 00:57:56.280 --> 00:58:00.699 you know, the forest service is a very lengthy uh permitting 00:58:00.708 --> 00:58:06.889 process. Uh, and so I'm not gonna not do hardening while 00:58:06.898 --> 00:58:09.539 I'm waiting for the, uh Radford to get approved. I'll 00:58:09.550 --> 00:58:12.849 just do it elsewhere for, you know, my second priority. 00:58:13.648 --> 00:58:17.708 And, uh you know that's how we have to do it. Uh. 00:58:17.719 --> 00:58:23.398 we also have to order material now uh, at least if 00:58:23.409 --> 00:58:27.458 you're not ordering material at least 12 to 18 months 00:58:27.469 --> 00:58:30.898 out ahead of time. You're, you're behind you you're 00:58:30.909 --> 00:58:34.949 never gonna catch up. Uh, so it's just a supply chain 00:58:34.958 --> 00:58:40.989 reality. Uh and, uh you know our, our bigger partners 00:58:41.000 --> 00:58:43.949 are, are driving are eating up a lot of material. And 00:58:43.958 --> 00:58:48.389 it's very, so we're not ahead on top of that. Uh we, 00:58:48.398 --> 00:58:52.429 we have to, you know, we would be behind. The good news 00:58:52.438 --> 00:58:56.389 is, uh for example, I have a yard stocked full of 00:58:56.398 --> 00:59:00.219 uh um, lightweight steel and covered wire for next 00:59:00.228 --> 00:59:03.010 year. If something were to happen this year, I could 00:59:03.019 --> 00:59:09.119 rebuild in new stuff. Not as, you know, not replaced 00:59:09.128 --> 00:59:12.820 with like I would rebuild with hardened materials now. 00:59:13.489 --> 00:59:17.199 So it kind of serves two purposes. I, I've got my material 00:59:17.208 --> 00:59:20.659 for future work. But I've also got contingency material 00:59:20.668 --> 00:59:24.708 if a line were to uh you know, be damaged in a 00:59:24.719 --> 00:59:27.559 wildfire for whatever the cause of the wildfire is. 00:59:28.438 --> 00:59:30.699 I don't have to rebuild it with wood poles and bare 00:59:30.708 --> 00:59:34.878 water. Uh so, you know, that's we try to think out 00:59:34.889 --> 00:59:39.070 that way too. Uh so that we're not, you know, in that 00:59:39.079 --> 00:59:42.329 situation. 00:59:42.329 --> 00:59:44.878 And then I had a question about the online diagnostic 00:59:44.889 --> 00:59:48.550 system that you mentioned. Um, you said that it resulted 00:59:48.559 --> 00:59:52.079 in 15 sensors being placed. Is that, did that cover 00:59:52.090 --> 00:59:56.469 the entire um, uh issue that was being studied? Or is 00:59:56.478 --> 00:59:58.199 that a pilot? Do you have plans? 00:59:58.308 --> 01:00:01.428 To expand the number of sensors. Could you talk a little 01:00:01.439 --> 01:00:06.107 bit more about? Yeah, so that's a pilot. Uh, and it's also 01:00:06.118 --> 01:00:12.028 what I call an interim, uh initiative measure. So we 01:00:12.038 --> 01:00:15.578 picked uh bare wire circuits that are not scheduled 01:00:15.587 --> 01:00:19.299 to have covered wire installed on them for the next 01:00:19.308 --> 01:00:24.438 three or four years. Uh, and so we said, you know, in 01:00:24.449 --> 01:00:28.008 the interim, let's is a pilot. This is the first circuit 01:00:28.017 --> 01:00:30.759 that we're doing it on. But the idea would be hey, 01:00:30.768 --> 01:00:33.208 these circuits that we're not, you know, we just can't 01:00:33.219 --> 01:00:36.699 do it all at once. Uh these circuits, we're not going 01:00:36.708 --> 01:00:38.699 to be able to do it on. We can go put these 01:00:38.708 --> 01:00:43.427 sensors on them. Uh if you saw the picture of the sensors 01:00:43.439 --> 01:00:46.808 it took about a day and then it took them like two 01:00:46.817 --> 01:00:51.058 days to get the data link working. But the actual clamping 01:00:51.067 --> 01:00:56.357 them on 15 sensors, it doesn't take very long and then 01:00:56.367 --> 01:00:59.297 getting that out. So, you know, we could get those 01:00:59.308 --> 01:01:03.739 up in the air pretty quickly. Uh obviously, we want 01:01:03.748 --> 01:01:06.397 to see that they're actually working. You know, we're 01:01:06.408 --> 01:01:09.418 not getting a lot of false alarms or we're not missing 01:01:09.748 --> 01:01:12.397 things. So we want to see how well they work over the 01:01:12.408 --> 01:01:16.599 next couple of months. Uh and uh, but that's, you 01:01:16.608 --> 01:01:20.179 know, a good way and it's not expensive. I think that 01:01:20.188 --> 01:01:26.837 installs $75,000. Uh that's, that's less than the span 01:01:26.849 --> 01:01:30.188 of covered wire. No, I'm sorry, it was less than a 01:01:30.199 --> 01:01:32.679 circuit model. 01:01:32.679 --> 01:01:38.647 Uh so that's definitely, uh you know, inexpensive. 01:01:38.658 --> 01:01:41.828 It's not the, the monitor doesn't prevent a blow in 01:01:41.837 --> 01:01:44.518 from coming into the line and causing a spark. So it's 01:01:44.528 --> 01:01:49.757 not the final answer. Uh, but it's a good interim solution 01:01:49.768 --> 01:01:53.828 to some of ignition sources. It doesn't prevent them 01:01:53.837 --> 01:01:55.989 all though. It doesn't prevent a car from hitting a 01:01:55.998 --> 01:02:00.319 pole and causing a wire down or an animal climbing 01:02:00.328 --> 01:02:04.748 up on the lines. I want to turn to other members 01:02:04.757 --> 01:02:08.969 of the dais. So back to you Carolina. 01:02:08.969 --> 01:02:14.159 Go ahead Commissioner Houck. 01:02:14.159 --> 01:02:16.768 Thank you for the presentation. I really appreciate 01:02:16.779 --> 01:02:20.388 all of the information today. Um I had a question, 01:02:20.398 --> 01:02:24.018 uh well, two questions. The first one is about um, safety 01:02:24.029 --> 01:02:27.957 culture and quality assessment. Um, and I'm wanting 01:02:27.969 --> 01:02:29.817 to know a little bit about how you're monitoring the 01:02:29.828 --> 01:02:33.858 quality and effectiveness of specific initiatives. That 01:02:33.868 --> 01:02:36.178 you're doing in regards to safety culture. I know you 01:02:36.189 --> 01:02:39.824 mentioned like senior management had led a company wide 01:02:39.832 --> 01:02:43.723 training on near misses and hazards, for example. And 01:02:43.733 --> 01:02:47.162 then um, is senior management or board of directors 01:02:47.173 --> 01:02:50.293 going out in the field and meeting with line employees? 01:02:50.303 --> 01:02:53.434 And, um just how do you measure the quality of those 01:02:53.442 --> 01:02:56.773 interactions? And whether um, it's been effective in 01:02:56.784 --> 01:03:01.213 improving safety, safety culture for, for your IOU? 01:03:03.178 --> 01:03:07.048 Um so, uh 01:03:07.048 --> 01:03:10.279 senior management is definitely goes out in the field 01:03:10.287 --> 01:03:15.878 quite a bit. Uh and uh interact with employees. Uh, 01:03:16.338 --> 01:03:20.727 board of directors uh, have gone out once in the last 01:03:20.737 --> 01:03:27.428 12 months. Uh, just because we haven't, uh 01:03:27.428 --> 01:03:29.918 you know, coming out of COVID. We haven't had as many 01:03:29.928 --> 01:03:33.567 in-person type things. Although we last June, we did 01:03:33.578 --> 01:03:37.328 have an in-person meeting. Uh, our we were supposed 01:03:37.338 --> 01:03:41.118 to have an in-person meeting last uh, February. But 01:03:41.817 --> 01:03:46.567 uh, the heavy snows 01:03:46.567 --> 01:03:53.118 prevented all that from happening. Uh, but uh, we 01:03:53.128 --> 01:03:56.999 we are looking to get the boards, our board meetings 01:03:57.007 --> 01:04:01.499 uh in, in, at our facility and, and bringing the boards 01:04:01.507 --> 01:04:05.439 uh, out to the field. Uh, and allowing them to interact 01:04:05.449 --> 01:04:09.868 with employees. Um, 01:04:09.868 --> 01:04:12.898 without, and without management also being present 01:04:12.909 --> 01:04:17.078 you know. Without me being there or other, you know 01:04:17.088 --> 01:04:20.687 let them have an honest conversation. So generally 01:04:20.699 --> 01:04:24.199 when I take the Board out for tours. We split up into 01:04:24.208 --> 01:04:29.799 different cars and I put a lineman or uh, a supervisor 01:04:29.807 --> 01:04:32.877 with a board member and I go in a different vehicle. So 01:04:32.888 --> 01:04:37.388 that they can have a conversation, uh without me there. 01:04:37.537 --> 01:04:41.458 Uh, so and then I always like to hear what, 01:04:41.468 --> 01:04:44.359 what was said, you know. It's always, it's always good 01:04:44.369 --> 01:04:47.119 they're always surprised. 01:04:47.119 --> 01:04:51.627 So uh but it, it's good to take both, you know. Good 01:04:51.638 --> 01:04:55.218 feedback and, and also learn about stuff that where 01:04:55.227 --> 01:05:00.669 I can improve. Uh, do you feel you're able to 01:05:00.679 --> 01:05:03.537 measure the, the quality of those interactions and 01:05:03.549 --> 01:05:06.037 that you're gonna be. I know you've said that you're 01:05:06.049 --> 01:05:11.179 planning to include the um quality of, of these reports. 01:05:11.187 --> 01:05:16.598 and so you feel. Yeah, on the near misses. So the quality of near misses 01:05:16.727 --> 01:05:21.328 reporting. So uh, you know, there's all sorts of near 01:05:21.338 --> 01:05:24.318 misses that are reported. I mean, I'll get things from 01:05:25.449 --> 01:05:29.258 someone left an extension cord in the conference room. 01:05:29.968 --> 01:05:33.369 From one chair to whatever it's, it's a trip hazard. 01:05:33.747 --> 01:05:38.028 Okay, great. I got to be an issue, we need to deal 01:05:38.037 --> 01:05:41.127 with it. But, you know hey, we almost dropped the 01:05:41.138 --> 01:05:44.138 switch today because it was improperly rigged. Okay. 01:05:44.148 --> 01:05:48.037 That's rare. People don't like to admit that. Okay. Because 01:05:48.049 --> 01:05:51.388 they think, oh my God that was a big. But when I 01:05:51.398 --> 01:05:53.799 start getting a report like that, I know my people 01:05:53.807 --> 01:05:57.949 are, are open and honest now. Uh, and we can have 01:05:57.958 --> 01:06:01.179 a discussion about why that was? Why we, why we had 01:06:01.187 --> 01:06:05.807 an improper rigging? Uh and, uh you know, and what 01:06:05.818 --> 01:06:10.227 we can do to prevent it. Uh, so having quality near 01:06:10.239 --> 01:06:15.179 misses is important. Uh and, and when you see an employee 01:06:15.187 --> 01:06:19.187 that makes a report. That, you know, other employees 01:06:19.199 --> 01:06:23.568 might feel like. Hey uh, they put my you know I could 01:06:23.578 --> 01:06:27.508 get fired over that. I tell, I tell people that. 01:06:28.299 --> 01:06:31.848 What's terminal to me is in lack of integrity or keep 01:06:31.859 --> 01:06:34.537 making the same mistake over and over again. Those 01:06:34.549 --> 01:06:38.898 are the two things that make the terminal here. 01:06:38.898 --> 01:06:42.109 We all make mistakes, okay. And we'll learn from them. 01:06:42.869 --> 01:06:45.989 No, thank you very much for, for that. And then just 01:06:45.997 --> 01:06:50.578 my last question is, um has your Board thought about 01:06:50.588 --> 01:06:54.497 um, AI? In regards to how that can contribute to improving 01:06:54.508 --> 01:07:00.648 safety? Um no, I mean we, we haven't had discussions 01:07:00.658 --> 01:07:07.088 on AI. Um, so we are looking to, you know, management 01:07:07.098 --> 01:07:11.609 is looking at AI with our um, grid modeling. Uh, 01:07:11.619 --> 01:07:15.528 we're, we're talking to a company right now that can 01:07:15.537 --> 01:07:19.638 take some of the techno solar models and asset, uh 01:07:19.648 --> 01:07:24.458 models. And learn from our assets uh and, and incorporate 01:07:24.468 --> 01:07:30.388 AI into that. Uh, and once I, uh once we are 01:07:30.398 --> 01:07:32.877 working with them. We'll, we'll talk to the Safety 01:07:32.888 --> 01:07:35.848 Committee about that. But I haven't been ready to do 01:07:35.859 --> 01:07:39.078 that yet. 01:07:39.078 --> 01:07:43.699 Yeah. Thank you. Thank you, Commissioner Houck. And 01:07:43.708 --> 01:07:46.227 um, Director Thomas Jacobs you have some questions? 01:07:46.299 --> 01:07:48.989 Yes I have uh, three questions. So first, can you 01:07:48.997 --> 01:07:53.359 speak a little bit to how you address potential complacency 01:07:53.369 --> 01:07:56.877 because of not having had an ignition in 20 years? 01:07:56.888 --> 01:07:59.763 Um you know, you talk a lot about sort of the renewed 01:07:59.773 --> 01:08:03.633 focus on safety. And you have impressive metrics in 01:08:03.643 --> 01:08:07.312 terms of um no, no ignitions. And you know the, the 01:08:07.324 --> 01:08:10.653 one injury. But so how do you keep the team focused 01:08:10.662 --> 01:08:15.287 on it and avoid complacency? That's a great question. So I used 01:08:15.299 --> 01:08:19.098 to be a Submarine Captain, believe it or not. And someone 01:08:19.109 --> 01:08:21.187 told me, when are you most worried? And I said when 01:08:21.199 --> 01:08:25.419 everything's going well. Uh yeah, that's the scariest 01:08:25.429 --> 01:08:30.889 time. Uh, because complacency sets in and God, that's 01:08:30.899 --> 01:08:36.478 when people make mistakes. Uh, so keeping people engaged 01:08:36.487 --> 01:08:40.558 uh asking questions, uh sometimes acting like you're 01:08:40.568 --> 01:08:43.068 not satisfied. 01:08:43.068 --> 01:08:46.487 Uh, but just trying to keep people on their toes. Getting 01:08:46.497 --> 01:08:49.718 out there, showing you're interested. Uh, explaining to 01:08:49.728 --> 01:08:53.367 them what the difference they're making and how important 01:08:53.377 --> 01:08:59.127 it is. Uh I, uh I actually brief all of our wildfire 01:08:59.139 --> 01:09:03.458 mitigation plan initiatives to all our employees every 01:09:03.468 --> 01:09:08.889 two months. Uh, so that even the person who 01:09:08.889 --> 01:09:12.127 talks to customers, customer service rep. Understands 01:09:12.139 --> 01:09:14.688 what covered wire is and why we're doing it. And what 01:09:14.699 --> 01:09:17.649 evacuate what this wire mesh is. You know people ask, 01:09:17.899 --> 01:09:20.478 what's all this wire mesh going up on the polls? Why, 01:09:20.487 --> 01:09:24.058 why is that? So keeping people informed on what we're 01:09:24.068 --> 01:09:30.487 doing and why it's so important. Uh, we talk uh, at our 01:09:30.497 --> 01:09:33.389 meeting of uh change of sites. I'm sorry, the little 01:09:33.399 --> 01:09:36.798 fire we had the other day, uh not caused by us. But 01:09:36.808 --> 01:09:40.899 it's a reality in our valley, uh that we have to be 01:09:40.909 --> 01:09:45.808 on our toes. But you have to constantly be on message 01:09:45.818 --> 01:09:49.007 and remind people. And the near miss program helps. 01:09:49.019 --> 01:09:52.088 And that's why I am excited to get that going and, 01:09:52.098 --> 01:09:55.328 and really encourage people. Because it reminds people 01:09:55.478 --> 01:09:58.468 yeah, things are good. But you know, we make mistakes 01:09:58.478 --> 01:10:03.318 too. We just haven't, they haven't gone up to the point 01:10:03.328 --> 01:10:06.598 where they cause a catastrophe. So we just have to 01:10:06.607 --> 01:10:13.399 be on our game. Uh, and you know it's important. Thank 01:10:13.409 --> 01:10:15.789 you. Um, second question you mentioned the additional 01:10:15.798 --> 01:10:17.867 inspections and the different types of inspections 01:10:17.877 --> 01:10:19.199 that you're doing. I was wondering if you could speak 01:10:19.208 --> 01:10:22.247 a little bit to whether you saw an increase in fine 01:10:22.257 --> 01:10:24.718 rates then, because of those additional inspections. 01:10:24.728 --> 01:10:29.068 Um and your ability to respond to the additional workload, 01:10:29.078 --> 01:10:31.519 um and any resource um, concerns or constraints you 01:10:31.529 --> 01:10:35.769 may have had? So yes. We did when we started doing 01:10:35.779 --> 01:10:40.507 uh, the additional inspections. Which I think are, you 01:10:40.519 --> 01:10:44.857 know, that's one of the huge benefits of our initiatives 01:10:44.867 --> 01:10:53.889 starting in uh, I think 2019. Uh, these LiDAR, UADs 01:10:54.247 --> 01:10:57.848 are really adding a lot to what was traditionally just 01:10:57.857 --> 01:11:02.978 a, a foot patrol. Uh, and we found quite a bit in 01:11:02.987 --> 01:11:06.568 the beginning as you would expect. Uh And now, you 01:11:06.578 --> 01:11:09.568 know, we've corrected them and now we're finding less 01:11:09.578 --> 01:11:13.578 which is a good thing. Uh, tells me our hardening's 01:11:13.588 --> 01:11:17.438 working, you're having less fault, you know. Less things 01:11:17.449 --> 01:11:21.449 are degrading in the field. Also, we've sort of cleared 01:11:21.458 --> 01:11:26.909 the backlog that initial where you know. Uh, when you 01:11:26.918 --> 01:11:30.659 fly a UAB and you look down on facilities, you see 01:11:30.668 --> 01:11:35.857 things that you never saw before. Uh, and so we've uh, 01:11:35.867 --> 01:11:41.058 you know, cleared those. Uh, but I think the inspections 01:11:41.068 --> 01:11:46.019 are important uh, to keep going. Uh number one, they 01:11:46.029 --> 01:11:52.598 provide uh, that additional uh inspection is an important 01:11:52.607 --> 01:11:58.308 element of maintenance. Uh number two, uh it allows 01:11:58.318 --> 01:12:04.487 us really to detect if something is a problem uh out 01:12:04.497 --> 01:12:10.428 there. Uh, and um and allows us to figure out where 01:12:10.438 --> 01:12:14.237 to focus where, where are we having issues. Um, now 01:12:15.257 --> 01:12:18.958 periodicity of inspections, I think. You know, as we 01:12:18.968 --> 01:12:22.418 gain more data, uh we might be able to pack off on 01:12:22.428 --> 01:12:26.568 some. You know, maybe we only need to do LiDAR every 01:12:26.578 --> 01:12:28.548 other year. I don't know that, that's probably a bad 01:12:28.558 --> 01:12:31.737 example. I, I like doing LiDAR every year. Maybe 01:12:31.747 --> 01:12:35.269 the UAB though only needs to be every other year. The 01:12:35.328 --> 01:12:40.399 the, the you know. Right now on thermography 01:12:41.127 --> 01:12:45.757 we're probably only finding about three or four faults 01:12:45.769 --> 01:12:49.159 or things that are investigated are not. They're not 01:12:49.168 --> 01:12:52.668 necessarily false. So it's not, it's low numbers now. 01:12:53.668 --> 01:12:56.798 Uh, so maybe we can increase the periodicity on that. 01:12:56.808 --> 01:13:01.779 Uh so, um we did increase the periodicity on 01:13:01.789 --> 01:13:07.649 detailed inspections. That's the standard GEO uh, 01:13:07.659 --> 01:13:12.168 165. You're supposed to do every circuit every five years 01:13:12.178 --> 01:13:16.519 Uh, so we're now doing it about every three years. Uh, 01:13:16.548 --> 01:13:21.497 essentially, uh so we felt that there was value in 01:13:21.507 --> 01:13:25.468 doing that. Uh, in addition to the patrols every year. 01:13:26.127 --> 01:13:28.548 And then last question, you mentioned the 01:13:28.558 --> 01:13:32.497 Radford Line. So and that's your highest risk um, uh 01:13:32.507 --> 01:13:35.789 circuit or miles. Um, can you speak a little bit about 01:13:35.798 --> 01:13:38.938 what you're doing to address the delays that have happened? 01:13:38.949 --> 01:13:41.149 That has been part of your mitigation plan every year 01:13:41.159 --> 01:13:44.789 since 2020. Um, so can you speak to what you're doing 01:13:44.798 --> 01:13:49.039 to try and address that? Yeah so, well I wrote letters 01:13:49.048 --> 01:13:51.857 to our Senators and Congressmen. I've met with our 01:13:51.867 --> 01:13:55.659 congressman. Uh, his office has intervened with the 01:13:55.668 --> 01:14:01.688 Forest Service are, uh, folks that even spoke to the 01:14:01.699 --> 01:14:05.168 house speaker about this issue with Forest Service 01:14:05.377 --> 01:14:08.478 Uh, somehow it has come back to the Forest Service 01:14:08.507 --> 01:14:11.639 since the district Rangers told me that that project 01:14:11.649 --> 01:14:17.798 is now on the top five of the Forest Service, uh, priorities 01:14:17.808 --> 01:14:23.007 Uh So I don't know, maybe that worked. Uh, we, we work 01:14:23.019 --> 01:14:25.539 closely with the forest Service to get their attention 01:14:25.548 --> 01:14:28.828 They had some leadership issues in our district. Uh, 01:14:29.877 --> 01:14:33.757 the Ranger, previous Ranger left. It was gaped and they 01:14:33.769 --> 01:14:38.507 had some interim rangers. Who didn't really want to 01:14:38.519 --> 01:14:42.149 take it, uh I don't know, didn't want to process it. 01:14:43.029 --> 01:14:46.088 And now the current district Ranger is on board. He 01:14:46.098 --> 01:14:51.818 understands its importance and, uh they basically the 01:14:51.828 --> 01:14:54.779 next step and it should be going within the next week 01:14:54.789 --> 01:15:00.068 to what's called the um, state uh historical preservation 01:15:00.078 --> 01:15:02.458 office at shipboat. 01:15:02.458 --> 01:15:05.987 Which is one of the final steps in getting our clearance. 01:15:06.867 --> 01:15:11.188 So I'm hoping we're gonna be flying helicopters in 01:15:11.199 --> 01:15:16.048 September to uh, install that line. 01:15:16.048 --> 01:15:22.149 Great, thank you. No more questions? 01:15:22.149 --> 01:15:25.389 Thank you, Director Thomas Jacobs. Do uh, any other 01:15:25.399 --> 01:15:28.997 Commissioners have questions for Mr. Marconi? Go ahead, 01:15:29.007 --> 01:15:31.199 Commissioner Shiroma. 01:15:31.199 --> 01:15:35.328 Uh, two questions. Thank you, Mr. Marconi. As I recall, 01:15:35.338 --> 01:15:39.529 last time you were briefing us. You said that the 01:15:39.539 --> 01:15:42.997 uh, fire station is next door to your office. Did I? 01:15:43.247 --> 01:15:47.838 It's close. It's close okay, okay. Have the, have you reached 01:15:47.848 --> 01:15:52.769 out to them or garnered any feedback from them? On their 01:15:52.949 --> 01:15:57.968 uh, recommendations for you uh, in terms of 01:15:57.978 --> 01:16:02.607 coordination and so forth? Yes. So we do work closely 01:16:02.617 --> 01:16:06.348 with them. Uh, they point out. They're probably, uh 01:16:06.357 --> 01:16:10.997 another set of I'd say vegetation inspectors. I mean 01:16:11.007 --> 01:16:12.918 they're, they're out in the field all the 01:16:12.928 --> 01:16:17.987 time. And they point out trees that they think are issues. 01:16:18.468 --> 01:16:21.678 Uh, we work closely with them. Uh, we've shown them 01:16:21.688 --> 01:16:26.367 what we're doing, uh what our initiatives are. And 01:16:26.377 --> 01:16:29.168 ask them and if they thought we should do something 01:16:29.178 --> 01:16:34.568 different, uh or have their input. Um, we did provide 01:16:34.699 --> 01:16:39.889 and they use it actually uh, uh an app. A mobile 01:16:39.899 --> 01:16:44.688 app on their, so they, it's called Diverstore. So 01:16:44.699 --> 01:16:47.357 basically on, I've got it on my phone actually. They 01:16:48.348 --> 01:16:50.828 open the app and let's say that there's a wire down. They 01:16:50.838 --> 01:16:54.377 click wire down. Uh, the camera opens up, they take 01:16:54.389 --> 01:16:57.269 a picture of it and it automatically goes to our dispatch. 01:16:57.808 --> 01:17:02.978 So I've got a picture, geographic location, brief description 01:17:02.988 --> 01:17:06.537 of the issue wire down. And I've got the phone number 01:17:06.547 --> 01:17:10.579 of who sent it. Uh you know, so we're collaborating 01:17:10.589 --> 01:17:14.369 with them closely on things. Um, 01:17:14.369 --> 01:17:18.099 but yeah no, we meet with them quite a bit. Uh, and 01:17:18.109 --> 01:17:21.748 uh yes. Okay and, and you know what you're describing 01:17:21.758 --> 01:17:27.277 is artificial intelligence. Uh and, and also your see 01:17:27.287 --> 01:17:30.619 it's called, what do you call it here? About the um, 01:17:31.658 --> 01:17:39.699 uh the um, devices that you've got to um, uh loop and 01:17:39.708 --> 01:17:44.758 detect and close. Okay, yeah. Yeah that's, I would say that's 01:17:44.767 --> 01:17:48.777 also artificial intelligence. So, uh if you've got 01:17:48.787 --> 01:17:51.129 some things going on there. Well, I'm happy to hear 01:17:51.138 --> 01:17:56.359 about the uh, collaboration with uh, uh your, your compatriots 01:17:56.369 --> 01:18:00.329 at the, at the fire district. Now, my other 01:18:00.339 --> 01:18:03.449 question is simply this. You know, a lot of entities 01:18:03.458 --> 01:18:08.099 including the CPUC are experiencing vacancies and the 01:18:08.109 --> 01:18:14.248 the, the search for qualified uh, folks. Uh and, and 01:18:14.258 --> 01:18:19.228 the search for, you know, um building a bench really. 01:18:19.238 --> 01:18:23.297 Whether it's at community colleges or and, uh partnership 01:18:23.307 --> 01:18:26.188 programs or what have you? And are you experiencing 01:18:26.199 --> 01:18:33.148 that at Bear Valley? So, um on right now, I'm actually 01:18:33.158 --> 01:18:36.369 at my highest uh, staffing level. I've been since I 01:18:37.517 --> 01:18:41.859 been here since 2014. So for some reason, we've overcome 01:18:41.869 --> 01:18:44.928 that. Although I will say some of the linemen positions 01:18:44.938 --> 01:18:51.408 are apprentices. Uh, so we did about four years ago 01:18:51.418 --> 01:18:54.599 we institute, we used to not do apprentices in the 01:18:54.609 --> 01:18:58.317 lineman. Because we're small and it was easier for us 01:18:58.329 --> 01:19:02.958 to just hire linemen. Uh, we recognized that, that wasn't 01:19:03.047 --> 01:19:07.188 feasible anymore. And we've actually been uh, have an 01:19:07.199 --> 01:19:12.047 apprenticeship program. In fact we've uh, had one who's 01:19:12.057 --> 01:19:16.248 now full journeyman lineman uh, last December. We 01:19:16.258 --> 01:19:19.307 got another one who's close. Uh, it takes three years, 01:19:19.547 --> 01:19:24.527 uh so it's a long process. Uh we have two, we have 01:19:24.537 --> 01:19:28.208 an engineer report, another engineer reporting on Monday. 01:19:29.067 --> 01:19:32.199 And another IT person reporting on Monday. So I'll 01:19:32.208 --> 01:19:35.718 be up at near full staffing let, let's say report. 01:19:35.728 --> 01:19:40.248 Uh so it's, it we have had vacancies for long periods, 01:19:40.258 --> 01:19:47.158 especially during COVID. Uh but, um 01:19:47.158 --> 01:19:51.758 I works out. It's tough for us to retain people up 01:19:51.767 --> 01:19:55.699 in Big Bear Lake, uh I'll be honest with you. Because 01:19:55.708 --> 01:20:00.248 especially younger folks. Uh, they come up to the mountain 01:20:00.258 --> 01:20:04.119 community, it's a fun ski resort. But it gets old after 01:20:04.129 --> 01:20:06.758 two years. 01:20:06.758 --> 01:20:09.129 Especially when you have, you're about an hour and 01:20:09.138 --> 01:20:14.849 15 minutes from any other population area. Uh, so it 01:20:14.859 --> 01:20:20.109 is challenging. Um but uh 01:20:20.109 --> 01:20:25.978 we, we make it work. Um, you know uh I, I am 01:20:25.988 --> 01:20:32.807 happy that uh, all of my supervisors now and managers 01:20:33.218 --> 01:20:36.508 have been in the Big Bear area for quite some time. 01:20:36.527 --> 01:20:40.839 So they're not, you know, someone who might only be 01:20:40.849 --> 01:20:44.777 there for two years. Uh, so because it's hard to invest 01:20:44.787 --> 01:20:48.277 a lot into a person, get them trained up, like you 01:20:48.287 --> 01:20:53.557 say. Good news is uh, even if they leave they usually 01:20:53.567 --> 01:20:56.807 leave to another utility. So it helps our business 01:20:57.238 --> 01:20:58.797 and 01:20:58.797 --> 01:21:05.408 it's sad to see him go. But hey, still. 01:21:05.408 --> 01:21:10.307 Okay, thank you. Thank you. Thank you, Carolina. Please go 01:21:10.317 --> 01:21:13.888 ahead, Commissioner Reynolds. Thank you and thank you 01:21:13.898 --> 01:21:16.428 for the briefing. I'd like to add on to Director Thomas 01:21:16.438 --> 01:21:19.218 Jacobs' question about complacency. Could you talk 01:21:19.228 --> 01:21:23.978 a little bit more specifically about um, leading change? 01:21:23.988 --> 01:21:28.807 In spite of having a, a good safety record and, and 01:21:28.817 --> 01:21:31.668 good quantitative metrics. You know, engaging in new 01:21:31.678 --> 01:21:36.079 kinds of inspections, buying materials uh to support 01:21:36.089 --> 01:21:38.869 hardening on a different timescale than you used to 01:21:38.879 --> 01:21:41.968 I imagine there are lots of uh lots of requirements 01:21:41.978 --> 01:21:45.869 to lead change. Um And can you speak about how you've 01:21:45.879 --> 01:21:50.079 been able to do that successfully as a company? So 01:21:50.089 --> 01:21:56.767 we have done quite a bit of uh, improvements with uh 01:21:56.898 --> 01:22:00.908 you know, the wildfire mitigation efforts. And a lot 01:22:00.918 --> 01:22:05.119 of that has put a lot of uh, stress on people. Uh, 01:22:05.129 --> 01:22:08.938 you know, all these inspections. Even though there's 01:22:08.949 --> 01:22:11.379 third parties that are doing the inspections. We have 01:22:11.388 --> 01:22:15.537 to interpret them and go fix them and process the information. 01:22:15.638 --> 01:22:22.047 Uh, we have a whole new regulatory requirement uh, in 01:22:22.057 --> 01:22:26.638 our wildfire mitigation plan. Uh, so uh, managing our 01:22:26.648 --> 01:22:30.898 folks and, uh you know. Helping them roll up their 01:22:30.908 --> 01:22:33.329 sleeves and get the work done has been challenging 01:22:33.339 --> 01:22:39.339 Uh, but uh at the same time making sure they understand 01:22:39.349 --> 01:22:42.817 the importance of what we're doing. Uh, helps and, 01:22:43.638 --> 01:22:47.129 and keeps them and, and our safety record helps 01:22:47.138 --> 01:22:52.109 them, uh understand. That what they're doing is making 01:22:52.119 --> 01:22:57.148 a difference. And that with climate change and the droughts 01:22:57.158 --> 01:23:01.599 and so forth, you know. We're still, things are getting 01:23:01.609 --> 01:23:05.158 worse and our environment is getting more challenging. 01:23:05.168 --> 01:23:08.129 And so we need to step up our game. We can't just 01:23:08.668 --> 01:23:12.129 stay where we are, you know. Sure, we didn't have an 01:23:12.138 --> 01:23:15.978 ignition 20 years ago in the, you know, in 10 years 01:23:15.988 --> 01:23:21.349 after that. But we've always been, uh following improved 01:23:21.359 --> 01:23:25.918 requirements. Uh you know, I think after the 2007 and 01:23:25.928 --> 01:23:29.638 8 events. Vegetation management started taking 01:23:29.648 --> 01:23:40.849 a whole new uh, uh track uh in 2018, December 01:23:40.859 --> 01:23:45.267 2018. Vege requirements changed again quite a bit. 01:23:45.277 --> 01:23:49.619 Uh and so, uh despite not having ignitions. Everybody 01:23:49.629 --> 01:23:54.109 sees the value. It's, it's obvious to everybody. Mr. 01:23:54.119 --> 01:23:56.619 Marconi, do you mind getting closer to the microphone? 01:23:56.688 --> 01:23:59.508 Having trouble picking up your voice? It's obvious 01:23:59.517 --> 01:24:02.267 to everybody, you know, that these things are necessary. 01:24:02.277 --> 01:24:06.168 And when we see things that happen in other areas of 01:24:06.178 --> 01:24:10.787 California. Uh, and now we see it outside of California 01:24:10.797 --> 01:24:14.829 you know. I, I was up at uh, utility they asked me 01:24:14.839 --> 01:24:17.547 to come up there and talk to them about wildfire mitigation. 01:24:17.557 --> 01:24:21.787 Uh, up at uh, public utilities district up in Washington 01:24:21.797 --> 01:24:27.928 State. Um, you know, they're, they're experiencing 01:24:27.938 --> 01:24:33.329 wildfires up there, okay. Montana, Washington, Colorado, 01:24:33.449 --> 01:24:38.567 now, Canada. And honestly, uh, you know, California 01:24:38.579 --> 01:24:42.218 is we're, we're learning. We know we're a little bit 01:24:42.228 --> 01:24:46.168 ahead of them. Uh, and but you know we have to, 01:24:46.178 --> 01:24:49.277 it's all changing. And we need to stay on top of the 01:24:49.287 --> 01:24:52.978 game. And uh, that helps fight complacency too. If 01:24:52.988 --> 01:24:56.109 you recognize that things are getting more challenging 01:24:56.188 --> 01:24:58.609 uh, and that you got to do better. It's not good enough 01:24:58.619 --> 01:25:04.468 to just come in and do what you did yesterday. 01:25:04.468 --> 01:25:09.728 Thank you. 01:25:09.728 --> 01:25:14.738 Are there any other questions from the dais? Okay. Well 01:25:14.748 --> 01:25:17.879 thank you Commissioners and Director Thomas Jacobs, 01:25:17.888 --> 01:25:22.708 and Mr. Marconi for your safety update. Um, I think we 01:25:22.718 --> 01:25:27.067 will now take a 15 minute break. Uh, just want to remind 01:25:27.079 --> 01:25:29.527 everybody this being our first in-person meeting in 01:25:29.537 --> 01:25:33.579 some time. Uh, please give yourself enough time to get 01:25:33.589 --> 01:25:36.629 through security when returning from the break. We'll 01:25:36.638 --> 01:25:44.508 reconvene promptly at, let me just check 01:25:44.508 --> 01:25:48.609 43 pass. So we will be back here at 2:43, but 01:25:48.619 --> 01:25:52.787 we can keep on schedule and be back at 2:45. Thank 01:25:52.797 --> 01:25:55.168 you everybody. 01:25:55.168 --> 01:26:16.138 Thank you for your patience. 01:26:16.138 --> 01:26:21.339 Okay. So it is now 2:45pm, so we'll go ahead and 01:26:21.349 --> 01:26:26.067 continue. Uh, before we go on to PG&E's presentation, 01:26:26.079 --> 01:26:28.839 I just want to make a brief announcement. We have a 01:26:28.849 --> 01:26:33.158 correction on the English line passcode. So I just 01:26:33.168 --> 01:26:35.599 want to repeat it for all our, for whoever wants to 01:26:35.609 --> 01:26:39.767 make a public comment on the phone. And that passcode 01:26:39.777 --> 01:26:54.148 is 1765767#. I repeat 1765767#. Um, so welcome back 01:26:54.158 --> 01:26:57.037 everyone. For this section of the briefing, we will 01:26:57.047 --> 01:27:00.027 hear from Pacific Gas and Electric representatives. 01:27:00.359 --> 01:27:04.258 Miss Cheryl Campbell, Board Director for PG&E, and 01:27:04.267 --> 01:27:07.349 PG&E Corp and the Chair of the Safety and Operations 01:27:07.359 --> 01:27:11.849 Committee. And Mr. Samit Singh, Executive VP of Operations 01:27:11.859 --> 01:27:16.148 and Chief Operating Officer. Welcome PG&E representatives. 01:27:16.158 --> 01:27:19.287 Uh, you're scheduled for 35 minutes. I will turn it 01:27:19.297 --> 01:27:23.988 over to you, Miss Campbell. Thank you very much. Good 01:27:23.998 --> 01:27:26.849 afternoon, President Reynolds, Commissioners, Director 01:27:26.859 --> 01:27:29.438 Thomas Jacobs. It's great to be here this afternoon 01:27:29.449 --> 01:27:33.027 to talk to you about safety of PG&E. I do 01:27:33.037 --> 01:27:34.949 want to thank you for the opportunity to meet with 01:27:34.958 --> 01:27:38.567 you today to talk about safety. Joining me to present 01:27:38.579 --> 01:27:42.248 is Samit Singh, who I think most of you know. PG&E's 01:27:42.258 --> 01:27:45.369 Chief Operating Officer and also available for Q&A 01:27:45.379 --> 01:27:50.057 is our Chief Safety Officer, Matt Hayes. Before we 01:27:50.067 --> 01:27:53.158 begin, I'd like to acknowledge our continued collaboration 01:27:53.168 --> 01:27:55.938 and the important role it plays in the safety focus 01:27:55.949 --> 01:28:00.527 at PG&E. As we'll discuss today, we have made many 01:28:00.537 --> 01:28:03.339 changes when it comes to safety. And while we still 01:28:03.349 --> 01:28:06.228 have more work to do. We're proud to say that safety 01:28:06.238 --> 01:28:09.047 is at the heart of everything that we do everyday. 01:28:09.369 --> 01:28:12.408 It remains our absolute highest priority for PG&E 01:28:12.418 --> 01:28:15.218 and guides all of the decisions we make. For both 01:28:15.228 --> 01:28:18.898 our coworkers, our contractors and the hometowns that 01:28:18.908 --> 01:28:22.629 we are privileged to serve. We look forward to today's 01:28:22.638 --> 01:28:26.047 engagement and your feedback and questions. Next slide 01:28:26.057 --> 01:28:30.287 please. Our presentation will highlight our continued 01:28:30.297 --> 01:28:34.359 safety efforts in four categories: governance and safety 01:28:34.369 --> 01:28:38.199 monitoring, our safety culture, safety management 01:28:38.208 --> 01:28:42.629 systems and performance, and wildfire safety. Our approach 01:28:42.638 --> 01:28:46.168 to safety is guided by our safety stand that we are 01:28:46.178 --> 01:28:50.517 focused on every day. Everyone, everything is always 01:28:50.527 --> 01:28:54.037 safe. We have this commitment embedded at all levels 01:28:54.047 --> 01:28:56.988 of our company and we welcome your questions or comments 01:28:56.998 --> 01:29:00.648 throughout the duration of our presentation today. 01:29:02.027 --> 01:29:06.938 Next slide, please. To get started, I will discuss our 01:29:06.949 --> 01:29:09.638 safety governance and how we monitor safety throughout 01:29:09.648 --> 01:29:13.898 our company. Next slide, please. 01:29:13.898 --> 01:29:16.188 PG&E has made a stand that the safety of our 01:29:16.199 --> 01:29:19.248 customers, contractors and coworkers is at the heart 01:29:19.258 --> 01:29:22.527 of everything that we do. Our presentation will demonstrate 01:29:22.537 --> 01:29:26.027 how seriously we approach our safety performance. For 01:29:26.037 --> 01:29:29.488 example, our wildfire mitigation work relies on layers 01:29:29.498 --> 01:29:33.287 of protection to make our system safer and more resilient. 01:29:34.057 --> 01:29:37.488 We also focus on our organizational safety culture. 01:29:37.688 --> 01:29:42.199 Safety is no longer an ideal based on compliance. Our 01:29:42.208 --> 01:29:45.188 culture is built around safety and safety permeates 01:29:45.199 --> 01:29:49.008 through everything that we do. 01:29:49.008 --> 01:29:52.339 Our philosophy is that safety at PG&E means that 01:29:52.349 --> 01:29:55.898 the presence of controls, not the absence of events. 01:29:57.349 --> 01:30:00.879 Safe, embedded and effective controls offer us manageable 01:30:00.888 --> 01:30:03.797 and predictable outcomes that protect our coworkers, 01:30:04.339 --> 01:30:09.248 contractors and customers. 01:30:09.248 --> 01:30:13.589 Next slide, please. 01:30:13.589 --> 01:30:16.859 We monitor safety at PG&E through two governance 01:30:16.869 --> 01:30:19.908 bodies: our Board of Directors and the Safety and Nuclear 01:30:19.918 --> 01:30:23.248 Oversight Committee, which we know as the SNO Committee. 01:30:23.958 --> 01:30:27.067 This paired structure was successfully implemented 01:30:27.079 --> 01:30:32.037 in 2021 and we have not altered, altered it since that 01:30:32.047 --> 01:30:36.938 implementation. Both entities work in concert to ensure 01:30:36.949 --> 01:30:41.008 a unified approach and effective and sustainable performance. 01:30:41.708 --> 01:30:44.129 Within this model, we are continually investing in 01:30:44.138 --> 01:30:46.619 our leadership teams through leadership development 01:30:46.629 --> 01:30:49.238 training. We've revamped our performance management 01:30:49.248 --> 01:30:53.099 process and enhanced our succession planning process. 01:30:53.708 --> 01:30:57.398 The Board and SNO Committee members are very active 01:30:57.408 --> 01:31:01.017 and engaged in our safety governance. It's a 15 member 01:31:01.027 --> 01:31:05.317 board and it's active in the governance and monitoring 01:31:05.329 --> 01:31:09.579 safety and tying those results to executive compensation. 01:31:10.888 --> 01:31:14.158 The independent six member SNO Committee serves to 01:31:14.168 --> 01:31:17.119 advise and assist the Board with respect to this over, 01:31:17.129 --> 01:31:20.478 oversight and review of safety policies, practices 01:31:20.488 --> 01:31:24.859 goals, risks and compliance. Committee members have 01:31:24.869 --> 01:31:28.879 a deep demonstrated experience in safety spanning multiple 01:31:28.888 --> 01:31:33.508 critical safety industries. The committee meets formally 01:31:33.517 --> 01:31:36.849 at least six times a year and meets informally on a 01:31:36.859 --> 01:31:40.379 number of other occasions. 01:31:40.379 --> 01:31:42.908 Committee and Board Members regularly conduct field 01:31:42.918 --> 01:31:46.287 visits, observe the company's wildfire command center, 01:31:46.297 --> 01:31:49.449 and meet with operational staff and senior management. 01:31:50.168 --> 01:31:53.199 These opportunities provide key insights and on the 01:31:53.208 --> 01:31:56.089 ground intelligence that members need to make informed 01:31:56.099 --> 01:32:00.648 decisions related to safety. So in short, our members 01:32:00.658 --> 01:32:03.099 don't sit on the sidelines and observe. We're active 01:32:03.109 --> 01:32:05.807 participants in living our stand, that everything and 01:32:05.817 --> 01:32:11.998 everything is always safe. Next slide, please. 01:32:11.998 --> 01:32:14.498 our Board has a wide range of experience and skills, 01:32:14.508 --> 01:32:17.888 which you can see detailed on this slide. And as we 01:32:17.898 --> 01:32:20.688 bring in new directors, we continue to focus on finding 01:32:20.699 --> 01:32:24.829 diverse expertise in safety and risk. Our latest Board 01:32:24.839 --> 01:32:28.307 Member joined earlier this year and he brings a wealth 01:32:28.317 --> 01:32:31.438 of experience in key areas. Including enterprise risk 01:32:31.449 --> 01:32:35.067 management, audits, and financial. 01:32:35.067 --> 01:32:38.398 We also are looking for ways to continue to improve. 01:32:39.168 --> 01:32:43.228 Next year, we anticipate adopting annual director elections, 01:32:43.238 --> 01:32:45.949 which has become a governance best practice. That will 01:32:45.958 --> 01:32:49.258 eliminate the classified Board that we now have. And 01:32:49.267 --> 01:32:52.599 just as a reminder, we're split into two classes of 01:32:52.609 --> 01:32:55.178 directors and we stand for election every other year. 01:32:55.517 --> 01:32:59.797 So starting in 2024, all the directors will stand for 01:32:59.807 --> 01:33:02.968 election every year. 01:33:02.968 --> 01:33:06.138 Those elections add an additional layer of transparency 01:33:06.148 --> 01:33:08.638 and an opportunity among a Board that's already committed 01:33:08.648 --> 01:33:11.668 to fostering safety. 01:33:11.668 --> 01:33:15.658 Next slide, please. With that, I'm going to hand this 01:33:15.668 --> 01:33:20.089 over to my colleague, Samit Singh. 01:33:20.089 --> 01:33:23.527 Thank you, Cheryl. And uh thank you, President Reynolds 01:33:23.537 --> 01:33:26.668 respected Commissioners and Director Thomas Jacobs. 01:33:26.678 --> 01:33:30.438 For engaging in a very important safety performance 01:33:30.449 --> 01:33:34.949 and progress conversation and discussion by PG&E. As 01:33:34.958 --> 01:33:38.517 Cheryl mentioned, safety is at the heart of all of our 01:33:38.527 --> 01:33:42.938 decisions and actions. And let me start by reinforcing 01:33:43.537 --> 01:33:47.129 that the Board's Safety and Nuclear Oversight Committee. 01:33:47.267 --> 01:33:51.849 Plays a key role in governing safety and our operations. 01:33:51.859 --> 01:33:55.178 And we implement their recommendations on an ongoing 01:33:55.188 --> 01:34:00.238 basis. The SNO members also meet periodically and 01:34:00.248 --> 01:34:04.859 separately with external observers. To obtain insight 01:34:04.869 --> 01:34:08.858 and feedback on company performance. And this ongoing 01:34:08.867 --> 01:34:13.177 feedback is critical to our efforts to improve safety 01:34:13.688 --> 01:34:18.188 and we are taking action in response to these recommendations. 01:34:19.086 --> 01:34:22.177 There's three specific examples that I'll cover throughout 01:34:22.188 --> 01:34:26.017 the course of our discussion today. One is to address 01:34:26.028 --> 01:34:29.697 the root cause of the serious workforce safety incidents. 01:34:30.438 --> 01:34:34.289 The second as President Reynolds who kicked off the 01:34:34.298 --> 01:34:38.749 day today. Is on the actions we're taking to minimize 01:34:38.758 --> 01:34:42.597 the disruptions from the Fast Trip or Enhanced Power 01:34:42.608 --> 01:34:45.378 Line Safety Settings program. And what we're doing to 01:34:45.387 --> 01:34:49.249 continue to evolve and mitigate the risk of wildfires. 01:34:51.407 --> 01:34:55.077 So if we go to the next slide. Let me first start 01:34:55.088 --> 01:34:59.157 with our safety performance and I will touch on our 01:34:59.168 --> 01:35:03.637 safety culture in our progress. So three key areas 01:35:04.039 --> 01:35:09.008 um again, as Cheryl highlighted. We're in the evolution 01:35:09.468 --> 01:35:14.648 to shift safety from being compliance focused at PG&E 01:35:14.718 --> 01:35:19.407 To one that's a value based safety culture. So what 01:35:19.418 --> 01:35:22.588 that means is that all of our decisions and actions 01:35:22.597 --> 01:35:26.548 are derived from safety. The second area that I'll 01:35:26.559 --> 01:35:31.039 touch on is the implementation of our enterprise safety 01:35:31.048 --> 01:35:35.218 management system. And this is based on industry standards 01:35:35.229 --> 01:35:38.918 and demonstrated best practices that we've seen in 01:35:38.927 --> 01:35:43.008 our own nuclear and gas operations, sustained safety 01:35:43.019 --> 01:35:47.338 excellence. And this is a systematic approach to managing 01:35:47.347 --> 01:35:51.959 both high risk assets and tasks with a proven approach 01:35:51.968 --> 01:35:57.218 that we know will keep our customers, our contractors 01:35:57.229 --> 01:36:00.358 and our coworkers safe. 01:36:00.358 --> 01:36:04.648 And finally, we touch on the work that we're doing 01:36:04.657 --> 01:36:08.539 to continue to uphold our organization stands. Which 01:36:08.548 --> 01:36:12.588 is the catastrophic wildfire shall stop. We know we've 01:36:12.597 --> 01:36:16.608 made progress, but we have more work to do. Both on a 01:36:16.617 --> 01:36:21.338 day to day basis and in the long term. Thank you, we're 01:36:21.347 --> 01:36:24.568 on the right slide now. Yep. So if you go to the 01:36:24.577 --> 01:36:29.809 next slide, please. Great, thank you. So one way of 01:36:29.818 --> 01:36:34.148 how we measure the performance of our safety culture, 01:36:34.519 --> 01:36:38.438 uh is by performing a safety culture uh, survey assessment 01:36:38.449 --> 01:36:41.677 from a third party. The first time we performed this 01:36:41.688 --> 01:36:47.148 assessment was in 2020 and the subsequent time we performed 01:36:47.157 --> 01:36:51.218 it was 2022. And that's what you see in terms of results 01:36:51.499 --> 01:36:56.488 on this slide. The survey is performed by a third party 01:36:56.968 --> 01:37:00.318 known as the National Safety Council and this is actually 01:37:00.327 --> 01:37:03.668 the same entity that was used by Energy Safety for 01:37:03.677 --> 01:37:08.418 the Wildfire Safety Culture Assessment in 2022. And 01:37:08.427 --> 01:37:11.847 over the course of the two years, we saw a positive 01:37:11.858 --> 01:37:18.887 overall score uh, improve uh from 10% points. And the 01:37:18.898 --> 01:37:23.418 survey measures six different categories really focused 01:37:23.427 --> 01:37:27.898 on management's commitment to safety. Supervisor's engagement 01:37:27.907 --> 01:37:31.499 when it comes to safety. The coworker and employee 01:37:31.508 --> 01:37:35.347 involvement, safety support activities, safety support 01:37:35.358 --> 01:37:39.938 climate and organizational climate. And the current 01:37:39.949 --> 01:37:44.588 performance uh, represents second quartile performance. 01:37:45.378 --> 01:37:49.568 And when we compared the results from Energy Safeties 01:37:49.628 --> 01:37:54.588 Wildfire Safety Culture Assessment between 2021 and 01:37:54.597 --> 01:38:01.097 2022. We similarly saw an improvement in terms of our 01:38:01.108 --> 01:38:05.508 safety culture. There's 30 response statements that 01:38:05.519 --> 01:38:08.918 are included in the Wildfire Safety Culture Assessment. 01:38:09.309 --> 01:38:14.097 And between 2021 and 2022 we experienced a 97% improvement. 01:38:14.108 --> 01:38:17.718 Meaning that 29 of the 30 response statements showed 01:38:17.729 --> 01:38:21.438 a year over year improvement and the overall score 01:38:21.918 --> 01:38:28.668 uh, improved from 4.12 to 4.39 from a scale of 1 to 01:38:28.677 --> 01:38:30.668 5. 01:38:30.668 --> 01:38:33.699 The survey also showed which also is accompanied by 01:38:33.709 --> 01:38:38.677 focus groups of PG&E employees and leadership. That 01:38:38.688 --> 01:38:42.068 leadership values safety and the organization is moving 01:38:42.077 --> 01:38:45.008 in the right direction, but we have more work to do. 01:38:46.528 --> 01:38:50.718 And we are taking steps to address the key areas for 01:38:50.729 --> 01:38:54.988 improvement. Three specific areas that I'll highlight. 01:38:55.548 --> 01:38:59.459 One is to further improve our safety communications 01:38:59.637 --> 01:39:03.059 including improving our event investigation and sharing 01:39:03.068 --> 01:39:06.548 those results. Especially on workforce safety incidents 01:39:06.559 --> 01:39:10.979 that have occurred across both PG&E employees and contractors 01:39:10.988 --> 01:39:13.608 consistently. 01:39:13.608 --> 01:39:17.218 Second is we've actually launched a safety leadership 01:39:17.229 --> 01:39:21.959 training and this is the first year that we are administrating 01:39:22.088 --> 01:39:25.699 that training. And this training is required for all 01:39:25.709 --> 01:39:29.459 of our leaders of field crews that perform high hazard 01:39:29.468 --> 01:39:33.177 work. And it really focuses on the key attributes and 01:39:33.188 --> 01:39:37.278 behavior of an effective safety leader. Leaders learn 01:39:37.289 --> 01:39:40.479 to identify and control exposures for their teams and 01:39:40.488 --> 01:39:44.778 how to conduct effective job safety briefings. To properly 01:39:44.789 --> 01:39:48.249 plan for and communicate any exposures to improve safety, 01:39:48.258 --> 01:39:52.077 and this is a multiday training. And then lastly, 01:39:52.709 --> 01:39:57.309 we're developing a policy to mitigate employee impairment 01:39:57.318 --> 01:40:00.907 or fatigue, distracted driving. And training supervisors 01:40:00.918 --> 01:40:06.148 to identify and use our current corrective action program 01:40:06.157 --> 01:40:08.548 or what we call a near miss program. So that we can 01:40:08.559 --> 01:40:14.459 identify those issues earlier on from a leading indicator 01:40:14.468 --> 01:40:17.077 perspective. Do the intervention and make sure we're 01:40:17.088 --> 01:40:20.729 implementing the appropriate corrective actions. 01:40:20.729 --> 01:40:26.229 If we go to the next slide. In terms of outcomes, what 01:40:26.238 --> 01:40:28.927 you can see on this slide is that we've made significant 01:40:28.938 --> 01:40:32.508 progress in improving our safety performance when it 01:40:32.519 --> 01:40:37.528 comes to days away and restricted time. This is a common 01:40:37.657 --> 01:40:41.318 safety metric that's used by many operators in the 01:40:41.327 --> 01:40:45.367 industry. And you can see our trajectory from 2019 01:40:46.059 --> 01:40:48.699 to 2023 is on the right track. From fourth quartile 01:40:48.709 --> 01:40:53.548 performance to second quartile. And the improvements 01:40:53.559 --> 01:40:57.157 that we're making is by really engaging our teams that 01:40:57.168 --> 01:41:00.338 are doing the work. To identify the highest workforce 01:41:00.347 --> 01:41:03.688 injury risk. We've been able to optimize how coworkers 01:41:03.699 --> 01:41:07.108 and contractors perform their jobs. Provide engineered 01:41:07.117 --> 01:41:11.077 controls and solutions so that they can reduce strain 01:41:11.088 --> 01:41:14.927 and injury risk as they're performing important work. 01:41:16.269 --> 01:41:19.269 Now, if we go to the next slide. Although we've made 01:41:19.278 --> 01:41:22.938 significant progress in reducing slips, trips, falls 01:41:23.898 --> 01:41:28.019 and sprain injuries. Our performance when it comes 01:41:28.028 --> 01:41:31.608 to serious injuries and fatalities for our coworkers 01:41:31.617 --> 01:41:36.809 and contractors is unacceptable. And we know that and 01:41:36.818 --> 01:41:39.758 when we actually look at the trend that we just looked 01:41:39.769 --> 01:41:42.949 at in the prior chart. And the trend that we see here 01:41:42.959 --> 01:41:45.559 of serious injuries and fatalities, it's actually very 01:41:45.568 --> 01:41:49.688 consistent across the industry. Industry has made tremendous 01:41:49.699 --> 01:41:53.827 progress in reducing slips, trips and falls. And there's 01:41:53.838 --> 01:41:55.858 a significant amount of more work that needs to be 01:41:55.867 --> 01:41:59.729 done to reduce serious injuries and fatalities. And 01:41:59.738 --> 01:42:02.188 I'll touch on the approach that we're taking there. 01:42:03.218 --> 01:42:10.608 Between 2022 and 2023, we saw four incidents that resulted 01:42:10.617 --> 01:42:14.479 in a serious injury or fatality. And unfortunately, 01:42:14.488 --> 01:42:17.688 two of them were fatal incidents. One of our contractor 01:42:18.137 --> 01:42:21.979 and one of our own coworker. And one of the factors 01:42:21.988 --> 01:42:26.559 that contributed to an increase in the serious injuries 01:42:26.568 --> 01:42:30.068 and incidents this year. Is the elevated risk in working 01:42:30.077 --> 01:42:33.327 conditions that we experienced in the first half of 01:42:33.338 --> 01:42:36.309 the year. Due to the unprecedented number of Winter 01:42:36.318 --> 01:42:40.229 storms and atmospheric river events. Which did offer 01:42:40.238 --> 01:42:43.327 some relief to California's drought, but presented 01:42:43.338 --> 01:42:46.077 some significant challenges for our field teams that 01:42:46.088 --> 01:42:48.979 were restoring power to our customers in treacherous 01:42:48.988 --> 01:42:52.387 conditions. We had nearly 7 million customers that 01:42:52.398 --> 01:42:55.729 were impacted over the course of the three months. 01:42:55.959 --> 01:42:59.718 The 15 atmospheric river events and we were able to 01:42:59.729 --> 01:43:02.938 restore nearly 90% of our customers impacted within 01:43:02.949 --> 01:43:05.539 24 hours. 01:43:05.539 --> 01:43:08.059 The incidents have included both our coworkers and 01:43:08.068 --> 01:43:11.068 contractors that I mentioned in our vegetation management. 01:43:11.479 --> 01:43:15.188 Our system hardening and electric operations part 01:43:15.199 --> 01:43:18.269 of the organization and reducing the risk within these 01:43:18.278 --> 01:43:20.898 functional areas is something that we're taking incredibly 01:43:20.907 --> 01:43:25.128 seriously. And if you go to the next slide, the approach 01:43:25.137 --> 01:43:29.418 that we are taking is one that's a proven industry 01:43:29.427 --> 01:43:34.028 approach for performing high hazard work. It's based 01:43:34.039 --> 01:43:38.148 on a concept called serious injuries and fatality capacity 01:43:38.157 --> 01:43:43.157 model of what's called a fail safe approach. And it's 01:43:43.758 --> 01:43:49.019 really coming down to enabling our coworkers and contractors. 01:43:49.028 --> 01:43:54.229 To ensure they recognize the specific hazards that 01:43:54.238 --> 01:43:57.249 could result in a serious injury or fatality. As part 01:43:57.258 --> 01:44:00.508 of conducting the prejob briefing before they commence 01:44:00.519 --> 01:44:03.249 work at a job site. 01:44:03.249 --> 01:44:06.798 Make sure that they identify what is the barrier or 01:44:06.809 --> 01:44:10.418 essential control. That when the failure happens will 01:44:10.427 --> 01:44:15.008 prevent a catastrophic outcome from occurring. And validating 01:44:15.019 --> 01:44:19.378 that, that control is in place before the work is commenced. 01:44:20.289 --> 01:44:25.418 And that really starts with our three pronged focus 01:44:25.688 --> 01:44:31.407 on keys to life. So we've identified the 10 keys, key 01:44:31.418 --> 01:44:34.519 learnings to live by for coworkers and contractors. 01:44:34.608 --> 01:44:37.519 That can prevent incidents on the job through smart 01:44:37.528 --> 01:44:40.999 safety first decisions. So examples of this include 01:44:41.008 --> 01:44:45.338 working in confined space, working at heights and having 01:44:45.347 --> 01:44:50.327 specific controls. Which is the next step in the process 01:44:50.407 --> 01:44:54.699 and technical standards that are in place. And barriers 01:44:54.709 --> 01:44:57.269 making sure the fault protection for example, when 01:44:57.278 --> 01:45:01.539 folks are working in heights are in good working condition. 01:45:01.907 --> 01:45:05.519 And we're not relying on only one layer of protection 01:45:05.528 --> 01:45:09.608 of the fall protection. But also having a secondary 01:45:09.617 --> 01:45:12.918 layer called a fall arrester. So if the fall protection 01:45:12.927 --> 01:45:16.769 fails, the fall arrester creates the ability to be 01:45:16.778 --> 01:45:20.438 able to feel safe. So it's taking that same reference 01:45:20.449 --> 01:45:24.048 that Cheryl talked about on wildfire safety of multiple 01:45:24.059 --> 01:45:27.699 layers of control and protection. To create that fail 01:45:27.709 --> 01:45:32.488 safe capacity. And then lastly, we're implementing 01:45:33.039 --> 01:45:35.778 what we call a hazard wheel. This helps coworkers 01:45:35.789 --> 01:45:39.568 and contractors recognize hazards based on potential 01:45:39.577 --> 01:45:44.108 energy sources arising on a specific job. And this 01:45:44.117 --> 01:45:48.617 requires a engaging discussion with the crew that's 01:45:48.628 --> 01:45:52.148 doing the work to identify. Do I potentially have pressure 01:45:52.157 --> 01:45:54.789 that may be involved at this job site? For example, 01:45:54.798 --> 01:45:58.918 if work is happening on our gas system. Do I have suspended 01:45:58.927 --> 01:46:03.289 load, because if I do gravity is a potential hazard. 01:46:03.749 --> 01:46:06.347 And then recognizing that hazard and making sure the 01:46:06.358 --> 01:46:09.798 right controls are in place throughout the job. Before 01:46:09.809 --> 01:46:12.398 we start the work and stop the job. If one of those 01:46:12.407 --> 01:46:17.548 controls are no longer in place. And as we looked at 01:46:17.559 --> 01:46:21.688 the hazard wheel, this is not something that we have 01:46:21.699 --> 01:46:25.789 developed in a vacuum. It's something that's inspired 01:46:25.798 --> 01:46:29.309 from high hazard industries and their science behind 01:46:29.318 --> 01:46:33.778 and cognitive science behind how individuals and humans 01:46:33.789 --> 01:46:36.718 have a limitation to be able to identify and only see 01:46:36.729 --> 01:46:39.809 a certain number of hazards when you're on a job site. 01:46:39.949 --> 01:46:42.867 And with the use of the hazard wheel engaged in the 01:46:42.878 --> 01:46:47.039 prejob safety briefing. Implementing the essential 01:46:47.048 --> 01:46:50.878 controls, improves the hazard recognition typically 01:46:50.887 --> 01:46:56.019 by 45%. From 45% closer to 75% of the high hazards. 01:46:56.289 --> 01:46:59.758 So that's a proven science that we're leveraging as 01:46:59.769 --> 01:47:03.959 part of uh the, the capabilities. 01:47:03.959 --> 01:47:09.398 If we um, go to the next slide. 01:47:09.398 --> 01:47:15.468 It starts to get into a systematic approach and consistent 01:47:15.479 --> 01:47:18.468 set of safety standards we're implementing across the 01:47:18.479 --> 01:47:21.427 entire enterprise. And it's a framework that we call 01:47:21.758 --> 01:47:25.539 our safety management system or PG&E Safety Excellence 01:47:25.548 --> 01:47:30.628 Management System. And the next slide shows the framework 01:47:30.959 --> 01:47:34.709 and it's a three part framework with the foundation 01:47:34.718 --> 01:47:39.077 that's really built upon the culture. We talked about 01:47:39.088 --> 01:47:41.137 safety culture and the progress we're making. But 01:47:41.148 --> 01:47:44.128 we know our work is not done because culture is made 01:47:44.309 --> 01:47:48.188 every single day. Through engagement of hearts and minds 01:47:48.199 --> 01:47:50.887 of all of our coworkers and our contractors. So our 01:47:50.898 --> 01:47:53.867 work is never done when it comes to safety culture. 01:47:53.878 --> 01:47:57.249 But safety culture speaks to the mindset that our 01:47:57.258 --> 01:48:00.479 coworkers and contractors bring every single day to the 01:48:00.488 --> 01:48:04.758 work that they're doing. Sitting on top of safety culture 01:48:05.059 --> 01:48:09.309 is a set of safety standards that are consistent across 01:48:09.318 --> 01:48:13.249 the organization and are aligned with international 01:48:13.367 --> 01:48:18.628 and industry standards. And these standards are based 01:48:18.637 --> 01:48:23.519 on asset management, process safety, safety culture, 01:48:23.858 --> 01:48:28.459 and occupational health and safety. And we've drawn 01:48:28.468 --> 01:48:32.668 the inspiration of the safety management system. Through 01:48:32.677 --> 01:48:36.059 the sustained operational excellence that we have seen 01:48:36.068 --> 01:48:39.019 at our own double canyon power plant in nuclear operations. 01:48:39.378 --> 01:48:44.028 as well as in gas operations. Post, the San Bruno incident 01:48:44.039 --> 01:48:48.867 that happened in 2010. And then at the top of the pyramid 01:48:49.298 --> 01:48:53.637 we're utilizing our human performance tools. Which help 01:48:53.648 --> 01:48:57.847 us to reduce individual errors and mitigate a consequential 01:48:57.858 --> 01:49:02.548 safety outcome as a result of a human error. And if 01:49:02.559 --> 01:49:06.117 we go to the next slide. This slide starts to outline 01:49:06.238 --> 01:49:11.637 the 13 specific elements. So we now have issued a safety 01:49:11.648 --> 01:49:15.749 excellence policy for the company. And each of these 01:49:15.758 --> 01:49:20.949 13 elements has a manual or a standard that describes 01:49:20.959 --> 01:49:24.827 the expectation for every single one of these elements. 01:49:25.068 --> 01:49:27.298 And again, they're based on the international and industry 01:49:27.309 --> 01:49:33.539 standards. This framework is based on a plan do check 01:49:33.548 --> 01:49:36.858 act approach. Which really starts with, do we have a 01:49:36.867 --> 01:49:40.548 plan that's risk informed? Is the work that we're doing 01:49:40.887 --> 01:49:44.758 consistent with implementing and reducing the risk 01:49:45.019 --> 01:49:47.898 that's included in the plan? Is the work that we're 01:49:47.907 --> 01:49:51.229 conducting being done with the properly trained qualified 01:49:51.238 --> 01:49:55.289 individuals? Are the individuals ensuring that we have 01:49:55.298 --> 01:49:58.559 traceable, verifiable, accurate, complete records when 01:49:58.568 --> 01:50:02.968 the job is completed? And then we check to validate 01:50:02.979 --> 01:50:07.059 or check or confirm that is the execution consistent 01:50:07.068 --> 01:50:09.979 with the plan. That's really a lot of where our quality 01:50:09.988 --> 01:50:13.729 control and quality assurance steps are built in for 01:50:13.738 --> 01:50:16.278 the work that we're doing across our operating assets. 01:50:16.617 --> 01:50:19.769 And then the act gives us the ability to identify the 01:50:19.778 --> 01:50:24.188 gap to our plan and then continuously improve. So this 01:50:24.199 --> 01:50:27.688 is really intended to be a continuous improvement journey 01:50:27.918 --> 01:50:30.778 that's never ending. Because when it comes to safety 01:50:30.847 --> 01:50:36.128 we know our work never ends. Our 13 elements, it begins 01:50:36.137 --> 01:50:39.077 with our leaders communicating the safety vision. And 01:50:39.088 --> 01:50:41.898 establishing clear safety objectives because we know 01:50:41.907 --> 01:50:46.519 that leadership is what drives and sets the tone on 01:50:46.528 --> 01:50:48.668 the culture. 01:50:48.668 --> 01:50:52.898 And then it ends with our assurance, which is the check 01:50:52.907 --> 01:50:56.028 part of our plan. To check, act and establishes the necessary 01:50:56.039 --> 01:51:00.028 controls to ensure we're not just achieving compliance 01:51:00.039 --> 01:51:03.548 with our legal regulatory requirements. But also the 01:51:03.559 --> 01:51:07.059 risk and the safety practices that are needed. And 01:51:07.068 --> 01:51:09.988 as I mentioned, the implementation here is based on 01:51:09.999 --> 01:51:12.449 our experience from sustained excellence and safety 01:51:12.459 --> 01:51:16.327 performance both in our nuclear and gas operations. 01:51:16.729 --> 01:51:18.847 And as part of the implementation, we have brought 01:51:18.858 --> 01:51:23.617 a third party in LRQA. That is currently, as we speak 01:51:23.628 --> 01:51:27.729 performing an assessment of all 13 elements across 01:51:27.738 --> 01:51:30.418 every functional area within the organization. That 01:51:30.427 --> 01:51:34.289 will help inform our current state against these standards, 01:51:34.668 --> 01:51:40.059 and inform a gap closure plan for implementation. 01:51:40.059 --> 01:51:42.188 One other thing I'll highlight is that not only are 01:51:42.199 --> 01:51:45.407 we leveraging the safety management system from areas 01:51:45.418 --> 01:51:47.968 of excellence within the company itself. But we have 01:51:47.979 --> 01:51:51.028 brought in key leadership from the nuclear part of 01:51:51.039 --> 01:51:55.039 our business at the beginning of this year to drive 01:51:55.048 --> 01:51:58.559 enterprise safety and risk improvements. So Matt Hayes 01:51:58.568 --> 01:52:01.269 who will be joining us here, our Chief Safety Officer 01:52:01.278 --> 01:52:03.979 has more than two decades of experience in nuclear 01:52:03.988 --> 01:52:07.999 operations. And he obviously is accountable for our 01:52:08.008 --> 01:52:12.068 enterprise safety efforts and programs. And Russ Prentis, 01:52:12.077 --> 01:52:15.097 who is part of our enterprise risk team and he has 01:52:15.108 --> 01:52:18.019 more than a decade of experience in nuclear operations. 01:52:18.028 --> 01:52:21.438 So we're taking areas of safety excellence where we've 01:52:21.449 --> 01:52:25.157 seen that and embedding that across every aspect of 01:52:25.168 --> 01:52:28.838 operations and the enterprise. 01:52:28.838 --> 01:52:32.338 So then I like to uh, shift gears and share some additional 01:52:32.347 --> 01:52:36.309 outcomes. So if we go to the next slide. Uh, we'll do a 01:52:36.318 --> 01:52:39.097 quick review of our key safety and operational metrics. 01:52:39.108 --> 01:52:42.108 That we monitor to evaluate our performance against 01:52:42.117 --> 01:52:45.548 our safety objectives across our core operations areas. 01:52:46.168 --> 01:52:49.979 And for the six pacific measures that you see here, 01:52:50.177 --> 01:52:53.449 there's four that we are continuing to show improvement 01:52:53.459 --> 01:52:57.077 as compared to last year. Which is a continued reduction 01:52:57.229 --> 01:53:01.668 in dig-ins on our gas operation system and maintaining 01:53:01.677 --> 01:53:05.778 first quartile performance. We've reduced the number 01:53:05.789 --> 01:53:07.758 of large overpressure events that have occurred on 01:53:07.769 --> 01:53:11.398 our gas system by more than 44% as compared to last 01:53:11.407 --> 01:53:15.617 year. Our nuclear operations at Dabo Canyon, which 01:53:15.628 --> 01:53:19.367 is both a safety and reliability indicator improved 01:53:19.378 --> 01:53:24.418 from 97 last year to 100 this year. And that's the 01:53:24.427 --> 01:53:27.548 best you could do on that scale. And then in our power 01:53:27.559 --> 01:53:30.559 generation fleet, we have also further improved the 01:53:30.568 --> 01:53:34.199 safety of our facilities. And you can see the improvement 01:53:34.209 --> 01:53:39.128 by 0.4%/ The area where we've seen some degradation 01:53:39.137 --> 01:53:41.979 as compared to last year in terms of performance. Is 01:53:41.988 --> 01:53:45.677 our electric wires down and our 911 electric emergency 01:53:45.688 --> 01:53:49.999 response. We've seen about a 2% point reduction, but 01:53:50.008 --> 01:53:52.718 still, we're presenting top decile performance. And 01:53:52.729 --> 01:53:56.048 the reason why we've seen that reduction. Is because 01:53:56.059 --> 01:53:59.488 in the beginning of this year, with the number of storms. 01:53:59.738 --> 01:54:04.269 We saw a 25% increase in the number of wires down and 01:54:04.278 --> 01:54:09.637 also given the challenging conditions to access where 01:54:09.648 --> 01:54:12.907 we had some wires down. From a workforce safety risk 01:54:12.918 --> 01:54:16.798 perspective, it took us longer than our 60 minute threshold 01:54:17.048 --> 01:54:19.407 to reach those locations safely. And that's one of 01:54:19.418 --> 01:54:23.949 the reasons why we saw that performance decline. And 01:54:23.959 --> 01:54:27.188 in gas operations, we saw a very slight increase in 01:54:27.199 --> 01:54:29.778 our response timeline for gas emergencies. And again 01:54:29.789 --> 01:54:32.488 that had to do with the ability to get safe access 01:54:32.499 --> 01:54:34.898 to roadways in the first half of the year from the 01:54:34.907 --> 01:54:38.117 storm conditions. But for both of these metrics, the 01:54:38.128 --> 01:54:40.878 work that we're doing, we continue to stay on track 01:54:40.968 --> 01:54:43.789 to be within the top decile and quartile performance 01:54:43.798 --> 01:54:46.209 respectively. 01:54:46.209 --> 01:54:49.918 So if we go to the next slide. I'll, I'll touch on 01:54:49.927 --> 01:54:53.019 the last big topical area. And then we'll open it to 01:54:53.028 --> 01:54:57.789 uh, Q&A which is wildfire safety. And, um I want 01:54:57.798 --> 01:55:01.769 to begin this section by affirming another one of our 01:55:01.778 --> 01:55:04.597 stands, that catastrophic wildfire shall stop. And I 01:55:04.608 --> 01:55:07.338 will walk through our multiple layers of protection 01:55:07.347 --> 01:55:11.499 and control that we have implemented. Yet highlight 01:55:11.508 --> 01:55:13.668 the additional work that we have in front of us to 01:55:13.677 --> 01:55:16.898 continue to reduce the risk of catastrophic fires. 01:55:17.798 --> 01:55:24.019 Um, if we go to the next slide, thank you. Uh, I think 01:55:24.327 --> 01:55:28.148 as the Commissioners, as well as Director Thomas Jacobs 01:55:28.157 --> 01:55:31.449 and President Reynolds started us off. We did experience 01:55:31.459 --> 01:55:34.568 significant rains and precipitation that did help alleviate 01:55:34.577 --> 01:55:38.298 the drought conditions. But we know that, that has not 01:55:38.309 --> 01:55:41.718 resulted in mitigating the wildfire risk for the entirety 01:55:41.729 --> 01:55:44.327 of the year and we continue to remain vigilant in this 01:55:44.338 --> 01:55:48.238 capacity. What you see as a side-by-side comparison 01:55:48.249 --> 01:55:51.858 here on the map is our service area that highlights 01:55:51.867 --> 01:55:54.809 the high fire risk areas. The left side of the map 01:55:54.818 --> 01:55:58.229 shows a view from last year. When we had significant 01:55:58.238 --> 01:56:04.157 drought conditions and we measure our fuel conditions 01:56:04.168 --> 01:56:08.898 on 129 hour forecasting, look ahead basis. And 01:56:08.907 --> 01:56:12.128 measure it on a scale of 1 to 5. We call R1 01:56:12.137 --> 01:56:16.309 to R5. And R1 being the lowest in terms of 01:56:16.318 --> 01:56:19.068 the highest moisture content, lowest fire risk. And 01:56:19.077 --> 01:56:22.108 R5 being the highest fire risk. And you can see 01:56:22.117 --> 01:56:25.249 there's quite a bit of R4 and R5 conditions 01:56:25.499 --> 01:56:29.617 this time last year. As compared to where we are this 01:56:29.628 --> 01:56:33.999 year, 12 months from that time frame. But we do know 01:56:34.008 --> 01:56:36.927 that the low level moisture that we've received presents 01:56:36.938 --> 01:56:39.809 challenges in terms of significant growth of trees 01:56:39.818 --> 01:56:43.769 plants, grasses that have grown from these storms. And 01:56:43.778 --> 01:56:46.367 they're drying out. Now, given the heat wave that we 01:56:46.378 --> 01:56:49.289 experienced coming in through the 4th of July weekend. 01:56:49.907 --> 01:56:53.128 And this is why despite all the moisture, we're already 01:56:53.137 --> 01:56:57.699 seeing some large fires in our state. And as I mentioned, 01:56:57.709 --> 01:57:00.488 we're constantly monitoring these diverse locations 01:57:00.499 --> 01:57:03.539 across our service area. And we use artificial intelligence 01:57:03.548 --> 01:57:07.218 and machine learning models to process 8 to 10 billion 01:57:07.229 --> 01:57:13.289 data points a day. And that helps inform a hourly forecast 01:57:13.298 --> 01:57:16.418 over 129 hour look ahead basis. Which is what we use 01:57:16.427 --> 01:57:19.298 to be able to help inform our situational intelligence 01:57:19.309 --> 01:57:22.668 capabilities from a prediction and prevention perspective. 01:57:23.818 --> 01:57:29.577 If we go to the next slide. We're using advanced technologies 01:57:29.588 --> 01:57:32.128 and rebuilding the electric system from the underground 01:57:32.137 --> 01:57:34.809 up. And I will touch on our system resiliency plans. 01:57:35.168 --> 01:57:38.269 But the simplest way to think about our wildfire mitigation 01:57:38.278 --> 01:57:42.938 strategy is really three areas of focus. One is constructing 01:57:42.949 --> 01:57:45.858 and operating the physical infrastructure. To minimize 01:57:45.867 --> 01:57:48.798 the risk of catastrophic utility caused wildfires. 01:57:49.199 --> 01:57:52.199 Second is implementing programs that limit service 01:57:52.209 --> 01:57:55.488 disruption to our customers, as a result of implementing 01:57:55.499 --> 01:57:58.818 our mitigation strategies. And third is constantly improving 01:57:58.827 --> 01:58:02.488 our situational awareness and intelligence capabilities. 01:58:03.137 --> 01:58:07.559 We go to the next slide. We estimate that we have reduced 01:58:07.568 --> 01:58:11.157 the wildfire risk posed by our equipment by nearly 01:58:11.168 --> 01:58:14.878 90%, and this is a combination of our layers of protection. 01:58:14.887 --> 01:58:18.519 Which includes our system hardening, our vegetation 01:58:18.528 --> 01:58:22.769 management, enhanced inspections and repairs and also 01:58:22.778 --> 01:58:25.039 our enhanced power line safety settings. That turn off 01:58:25.048 --> 01:58:28.387 power automatically within 1/10 of a second or less, 01:58:28.398 --> 01:58:31.898 if there's a potential issue that's detected. And as 01:58:31.907 --> 01:58:34.568 a last resort in case of severe weather, we use our 01:58:34.577 --> 01:58:38.289 public safety power shut offs. And last year, we actually 01:58:38.298 --> 01:58:41.479 did not have to implement PSPS in our service area. 01:58:41.488 --> 01:58:44.148 Because we did have some favorable conditions and did 01:58:44.157 --> 01:58:46.729 not experience the same level of dive low or offshore 01:58:46.738 --> 01:58:52.218 wind conditions that we have seen in 2017 to 2021. 01:58:54.367 --> 01:58:58.347 This year, we estimate that we'll be further reducing 01:58:58.358 --> 01:59:02.039 our wildfire risk to 94%. By implementing additional 01:59:02.048 --> 01:59:04.999 technologies on the operational side. Things like using 01:59:05.097 --> 01:59:09.898 our 550,000 network of smart meters to detect voltage 01:59:09.907 --> 01:59:13.309 anomalies. What we call our partial voltage force out. 01:59:13.318 --> 01:59:15.628 So that's a capability that's fully operational now 01:59:15.637 --> 01:59:18.949 going into this fire season. And then also our down 01:59:18.959 --> 01:59:22.907 conductor capability which mitigates lower current 01:59:22.918 --> 01:59:28.418 faults. That uh, EPSS actually was not effective at mitigating 01:59:28.749 --> 01:59:31.468 So that's how we're continuing to further reduce the 01:59:31.479 --> 01:59:34.838 risk of ignitions and wildfires. If we go to the next 01:59:34.847 --> 01:59:39.137 slide. This highlights some of the progress we've made 01:59:39.148 --> 01:59:43.648 on our key mitigation programs largely since the inception 01:59:43.657 --> 01:59:48.318 or their inception. Since 2019, we have underground 01:59:48.327 --> 01:59:51.729 at nearly 300 miles to date and I'll touch on that 01:59:51.738 --> 01:59:52.488 further because we. 01:59:52.497 --> 01:59:56.327 Have plans to dramatically increase our pace of underground 01:59:56.337 --> 02:00:01.247 Starting this year, we have uh, performed covered conductor 02:00:01.257 --> 02:00:06.548 for more than 200 miles. We have sectionalized and implemented 02:00:06.557 --> 02:00:10.768 sectionalization devices, more than 1300. To further reduce 02:00:10.777 --> 02:00:14.738 the impact and target the impact both for EPSS and 02:00:14.748 --> 02:00:16.637 for PSPS. 02:00:16.637 --> 02:00:19.417 And we're continuing to leverage our multiple layers 02:00:19.428 --> 02:00:24.088 of control to mitigate the risk of fires. From a situational 02:00:24.097 --> 02:00:28.238 awareness perspective, we have largely completed our 02:00:28.247 --> 02:00:30.856 implementation and installation of the high definition 02:00:30.868 --> 02:00:34.036 cameras. We have more than 600 now within our service 02:00:34.048 --> 02:00:39.637 area and they cover 90% of the high fire risk area view 02:00:39.646 --> 02:00:43.286 sheds. And now we're continuing to optimize and install 02:00:43.417 --> 02:00:46.978 additional cameras where needed and appropriate. And 02:00:46.988 --> 02:00:49.767 this year going into the fire season, we have also 02:00:49.777 --> 02:00:53.317 implemented artificial intelligence technology for 02:00:53.328 --> 02:00:57.927 automated detection on all 600 of those cameras. And 02:00:57.936 --> 02:01:01.436 that's fully operational today. Uh, we have also reached 02:01:01.447 --> 02:01:04.367 our long term goal of installing 1300 weather stations. 02:01:04.376 --> 02:01:07.278 That equates to about one weather station every 29 02:01:07.287 --> 02:01:10.567 miles in the high fire risk area. And now we're continuing 02:01:10.576 --> 02:01:14.057 to further optimize and install weather station at 02:01:14.067 --> 02:01:19.457 additional select locations where needed. 02:01:19.457 --> 02:01:22.257 If we go to the next slide. I know there was a 02:01:22.266 --> 02:01:26.358 question about how do we prioritize our wildfire safety 02:01:26.367 --> 02:01:30.197 efforts. And there's a lot that's included on this 02:01:30.207 --> 02:01:36.406 slide. What I will hone in on is we not only look 02:01:36.418 --> 02:01:41.587 at the prioritization program by program. But we also 02:01:41.597 --> 02:01:44.918 look at the cross prioritization of our wildfire mitigations. 02:01:44.927 --> 02:01:49.516 So one example is as we continue to evolve our operational 02:01:49.528 --> 02:01:53.358 mitigations on things like EPSS, our down conductor, 02:01:53.367 --> 02:01:57.638 our smart meter network. We have further evolved our 02:01:57.647 --> 02:02:00.818 enhanced vegetation management program. And now we 02:02:00.826 --> 02:02:02.948 have integrated our enhanced vegetation management 02:02:02.957 --> 02:02:07.856 program into three risk focused programs. Because when 02:02:07.867 --> 02:02:12.198 we initially started our EVM program in 2019, we did 02:02:12.207 --> 02:02:15.207 not have the risk models and the sophistication of 02:02:15.217 --> 02:02:18.448 the risk models that we have today. And the sophistication 02:02:18.457 --> 02:02:21.538 of the risk models gives us greater insights on what 02:02:21.546 --> 02:02:24.927 do we potentially see. A likelihood of a tree that may 02:02:24.937 --> 02:02:28.377 be tall enough, not far enough. That if it fails, could 02:02:28.387 --> 02:02:31.038 result in a potential catastrophic fire. So in those 02:02:31.046 --> 02:02:34.978 instances, we are performing a more intrusive type 02:02:34.988 --> 02:02:37.766 of expanded vegetation management program through our 02:02:37.776 --> 02:02:43.068 focused tree program. One other thing I'll highlight 02:02:43.076 --> 02:02:47.326 here is if you focus on the 2023 Risk Reduction Column. 02:02:47.738 --> 02:02:53.157 Uh, this gives you a view into the contribution that currently 02:02:53.167 --> 02:02:56.127 each of the programs are contributing to the overall 02:02:56.137 --> 02:03:00.348 estimation of 94% risk reduction. And one thing you 02:03:00.356 --> 02:03:03.367 can see is that there's a significant reliance on our 02:03:03.377 --> 02:03:06.467 operational mitigations today. Of enhanced power line 02:03:06.478 --> 02:03:09.627 safety settings and public safety power shut offs. 02:03:09.637 --> 02:03:12.187 And I'll talk more about what we're doing to improve 02:03:12.198 --> 02:03:15.796 the reliability impact coming in from those programs. 02:03:16.258 --> 02:03:19.758 But overall, our system hardening efforts are showing 02:03:19.766 --> 02:03:22.826 a smaller percentage of risk reduction so far. But 02:03:22.837 --> 02:03:26.387 as we continue to ramp up the pace of system hardening 02:03:26.397 --> 02:03:28.228 and underground. Which I'll talk about in the next 02:03:28.238 --> 02:03:32.397 slide. The contribution of risk reduction is going 02:03:32.407 --> 02:03:35.356 to be much higher from our grid hardening efforts than 02:03:35.367 --> 02:03:38.526 it is our operational mitigations over time. So that's 02:03:38.538 --> 02:03:42.988 really the key takeaway from this specific slide. Um, 02:03:42.996 --> 02:03:47.106 if we go to the next slide. This starts to provide 02:03:47.967 --> 02:03:52.157 insights into a ramp up for underground. So between 02:03:52.167 --> 02:03:57.557 2021 and 2022, we more than doubled the miles of undergrounding. 02:03:57.687 --> 02:04:03.758 From 75 and 2021, 280 miles that we completed in 2022. 02:04:04.167 --> 02:04:07.617 And then going into this year, we have also doubled 02:04:07.637 --> 02:04:12.158 our target and our own pace to complete the 350 miles. 02:04:12.468 --> 02:04:16.757 And over the time period between now and 2026, we estimate 02:04:16.988 --> 02:04:22.137 to complete 2300 miles. And these elements of our program 02:04:22.338 --> 02:04:26.286 are pending a final decision with both the Commission 02:04:26.297 --> 02:04:30.326 on the 2023 General Rate Case, and our 2023 Wildfire 02:04:30.338 --> 02:04:33.326 Mitigation Plan. We're not waiting for approval, we 02:04:33.338 --> 02:04:36.127 are continuing down the path of the execution of what 02:04:36.137 --> 02:04:40.416 we have submitted in both of those filings. So by the 02:04:40.427 --> 02:04:43.346 end of this year, we estimate we'll have 600 miles 02:04:43.357 --> 02:04:46.357 of undergrounding completed. And undergrounding is not only 02:04:46.367 --> 02:04:50.588 providing us the benefit of wildfire risk reduction, 02:04:50.887 --> 02:04:54.666 but also it's improving the reliability. And when we 02:04:54.677 --> 02:04:56.877 think about the extreme weather conditions that we 02:04:56.887 --> 02:05:01.286 experienced earlier this year. Provides further improvements 02:05:01.297 --> 02:05:05.317 from a grid resiliency perspective during storms or 02:05:05.326 --> 02:05:09.708 low snow type of events. If we go to the next slide, 02:05:09.718 --> 02:05:11.797 please. 02:05:11.797 --> 02:05:16.266 With our focus on the 10,000 mile underground program. 02:05:16.627 --> 02:05:20.916 We estimate and this is about a third of our overhead 02:05:20.927 --> 02:05:23.208 distribution lines in the high fire risk area. That's 02:05:23.218 --> 02:05:27.607 what the 10,000 equates to. We estimate a wildfire 02:05:27.617 --> 02:05:30.968 risk reduction from just undergrounding to mitigate a 02:05:30.976 --> 02:05:35.408 risk of about 70 to 80%. So the prior slide that we 02:05:35.416 --> 02:05:38.838 were seeing in terms of the risk contribution. Undergrounding 02:05:38.846 --> 02:05:41.607 and system hardening would drive that number from 1 02:05:41.617 --> 02:05:45.528 to 2% to closer to 70 to 80% over this time frame. 02:05:48.357 --> 02:05:51.187 One other item I'll share is that we're continuing 02:05:51.197 --> 02:05:55.107 to see efficiencies in terms of the reduction in the 02:05:55.117 --> 02:05:59.666 cost to perform undergrounding. So our cost structure 02:05:59.997 --> 02:06:03.898 historically was more than 4.5 million per mile. And 02:06:03.908 --> 02:06:07.458 last year we were at 3.75 million this year. We estimate 02:06:07.468 --> 02:06:11.238 we'll be at 3.3 million per mile. And with line of site 02:06:11.247 --> 02:06:15.887 to get to 2.8 million per mile by 2026. And some of 02:06:15.898 --> 02:06:17.846 the ways that we are actually reducing these costs 02:06:17.857 --> 02:06:20.937 is through significant benchmarking with our peer utilities 02:06:21.158 --> 02:06:24.166 in Southern California. We're updating our design and 02:06:24.177 --> 02:06:26.726 construction standards. Such as looking at the tension 02:06:26.738 --> 02:06:30.916 within the cable, be able to extend the cable length 02:06:30.927 --> 02:06:35.596 that we are able to obtain during undergrounding. Reduce 02:06:35.607 --> 02:06:39.177 the trench depth and make the trench depth shallower. 02:06:39.488 --> 02:06:43.738 So all of those elements are continuing to drive efficiencies 02:06:43.747 --> 02:06:48.468 including our construction methods. So if I flip over 02:06:48.476 --> 02:06:51.898 to the next slide, we start to get into our operational 02:06:51.908 --> 02:06:54.507 mitigations of enhanced power line safety settings. 02:06:55.127 --> 02:06:58.088 So one thing that we experienced in a significant way 02:06:58.096 --> 02:07:03.387 as a result of implementing EPSS is nearly a 68% reduction 02:07:03.617 --> 02:07:07.177 in ignitions in the high fire risk area in 2022. When 02:07:07.187 --> 02:07:10.377 we were at the height of the drought conditions. And 02:07:10.387 --> 02:07:14.718 this is in comparison to our average of 2018 to 2020. 02:07:14.958 --> 02:07:18.028 And we also experienced a 99% reduction in terms of 02:07:18.036 --> 02:07:24.076 acres impacted. If we um, go to the next slide. We start 02:07:24.088 --> 02:07:27.677 to get a little bit more into the improvements we're 02:07:27.687 --> 02:07:30.997 making from a reliability perspective. And there's 02:07:31.007 --> 02:07:35.137 two areas that I would highlight for EPSS. I'm nearly 02:07:35.148 --> 02:07:39.427 complete here with our presentation. One is that we 02:07:39.437 --> 02:07:43.158 dramatically improved the ability for us to be able 02:07:43.166 --> 02:07:47.187 to restore our customers from an outage duration perspective. 02:07:47.197 --> 02:07:52.107 So in 2021 when we implemented our EPSS as a pilot. We 02:07:52.117 --> 02:07:55.266 were seeing restoration times well over seven hours. 02:07:55.516 --> 02:08:00.266 And through our engineering innovation and localized 02:08:00.278 --> 02:08:04.408 coordination, using our regional service models. We've 02:08:04.416 --> 02:08:06.778 been able to dramatically reduce that on the tune of 02:08:06.786 --> 02:08:12.218 56% between 2021 and 2022. And the average outage now 02:08:12.226 --> 02:08:15.927 is a little more than three hours and we're continuing 02:08:15.937 --> 02:08:20.958 to maintain that performance going into 2023. 02:08:20.958 --> 02:08:25.207 If we uh, go to the next slide. One of the things that uh, 02:08:25.217 --> 02:08:28.497 we have also seen is as a result of the wet Spring. 02:08:28.818 --> 02:08:34.957 Uh, we have enabled EPSS on 20% fewer circuits this year, 02:08:34.967 --> 02:08:38.026 year to date. As compared to what we did last year. 02:08:38.337 --> 02:08:42.757 And that has actually resulted in 60% fewer outages 02:08:43.097 --> 02:08:47.796 in 2023, as compared to 2022. And if you look at the 02:08:47.808 --> 02:08:50.957 overall frequency of outages, the second digration of 02:08:50.967 --> 02:08:55.406 reliability. Over 80% of our customers experienced 02:08:55.416 --> 02:09:00.026 two or fewer EPSS outages through the course of last 02:09:00.036 --> 02:09:03.678 year. However, we're focused on reducing the number 02:09:03.688 --> 02:09:07.046 of outages and we're performing a review of every outage 02:09:07.058 --> 02:09:10.646 daily at the local level using our regional service 02:09:10.656 --> 02:09:14.957 model. One way that we've been able to achieve faster 02:09:14.967 --> 02:09:18.997 restoration time is through installation of fault indicators. 02:09:19.007 --> 02:09:22.997 This is actually a technology that gives the ability 02:09:23.026 --> 02:09:26.156 when we have our qualified electrical workers or when 02:09:26.166 --> 02:09:28.558 we perform an aerial patrol. To be able to identify 02:09:28.568 --> 02:09:32.156 and pinpoint where the potential trouble issue or outage 02:09:32.166 --> 02:09:35.678 is. And do that in a much, much more efficient manner 02:09:35.747 --> 02:09:39.357 than having the need to patrol and inspect every inch 02:09:39.367 --> 02:09:43.087 of that line before we restore. We're also installing 02:09:43.387 --> 02:09:48.666 preventative mitigations for animal contact. To be able 02:09:48.678 --> 02:09:51.938 to mitigate things like squirrel impact, turkey vultures. 02:09:51.948 --> 02:09:54.467 That could come in contact and result and cause an 02:09:54.477 --> 02:09:57.967 ignition. We are also performing expanded vegetation 02:09:57.977 --> 02:10:02.198 management. To be able to help reduce the frequency 02:10:02.207 --> 02:10:05.257 of the outages and for the 1% of our customers. Which 02:10:05.267 --> 02:10:09.526 is about 18,000 that experienced eight or more outages. 02:10:09.546 --> 02:10:13.337 We are providing and expanding our playbook for the 02:10:13.347 --> 02:10:17.457 PSPS protocols on deployment of portable battery solutions. 02:10:17.863 --> 02:10:20.492 We have increased the incentives for the generator 02:10:20.502 --> 02:10:24.921 rebate programs. We have fixed solutions in terms of 02:10:24.933 --> 02:10:29.053 customer premise battery storage solutions. So these 02:10:29.063 --> 02:10:31.521 are the actions that we are taking to be able to help 02:10:31.531 --> 02:10:37.308 minimize the impact for our customers. Um, the last 02:10:37.318 --> 02:10:41.678 thing I'll cover, we can actually skip the next slide. 02:10:41.688 --> 02:10:45.357 Because um, this really talks about PSPS. And I mentioned 02:10:45.367 --> 02:10:48.267 we did not have a PSPS event last year. We continue 02:10:48.507 --> 02:10:52.146 making progress on improving our program. Refining our 02:10:52.156 --> 02:10:55.828 methodologies investing in sectional devices so that 02:10:55.837 --> 02:10:59.416 we can be more and more targeted. And we have been 02:10:59.428 --> 02:11:03.847 able to show that from an outcomes perspective, uh as 02:11:03.857 --> 02:11:09.207 compared to 2019, and every year thereafter. If we go 02:11:09.217 --> 02:11:12.007 to um, actually 02:11:12.007 --> 02:11:15.707 the next slide, please. I've covered this. This is 02:11:15.717 --> 02:11:18.967 a lot of details in terms of the many customer resource 02:11:18.977 --> 02:11:22.808 support programs that we have implemented. And this 02:11:22.818 --> 02:11:25.276 is a suite of all of our programs that we have for 02:11:25.286 --> 02:11:28.007 our public safety power shut off program. And we've 02:11:28.017 --> 02:11:33.396 expanded this to our EPSS customers as well. That experience 02:11:33.406 --> 02:11:37.747 the most frequent outages. And then the last slide, 02:11:37.757 --> 02:11:41.257 I think there's a question about what are some of the 02:11:41.267 --> 02:11:43.776 innovative and lower cost technologies that we're looking 02:11:43.786 --> 02:11:47.227 at. Um, I mentioned our network of smart meters that 02:11:47.238 --> 02:11:51.137 we have fully deployed going into this year. We're 02:11:51.146 --> 02:11:55.568 also piloting similar to what Bear Valley had mentioned. 02:11:55.786 --> 02:11:59.078 What we call early fault detection sensors on the line, 02:11:59.087 --> 02:12:02.357 and we're doing a field pilot of this. Which gives us 02:12:02.367 --> 02:12:05.517 the ability to be able to identify potential failing 02:12:05.526 --> 02:12:09.776 equipment and also detect any vegetation encroachment 02:12:09.786 --> 02:12:13.517 on infrastructure. We're pretty excited about the results 02:12:13.526 --> 02:12:17.467 of this pilot and look forward to further scaling and 02:12:17.477 --> 02:12:20.387 implementing this technology going forward. We've also 02:12:20.396 --> 02:12:24.107 developed a new innovation on system hardening and 02:12:24.117 --> 02:12:26.347 we're doing a pilot of this called the ground level 02:12:26.357 --> 02:12:30.058 distribution system. And this basically places and 02:12:30.068 --> 02:12:33.558 safely places fireproof lines at ground level in a 02:12:33.568 --> 02:12:36.786 safe location without the need for trenching or fully 02:12:36.796 --> 02:12:41.087 undergrounding, and provides a very comparable level of 02:12:41.097 --> 02:12:44.026 risk reduction. And then finally, the last thing I'll 02:12:44.036 --> 02:12:47.916 share is that we're a co-sponsor to a global competition 02:12:47.928 --> 02:12:52.286 called X Prize. And the focus of this competition is 02:12:52.296 --> 02:12:55.068 to bring the best scientists and innovators across 02:12:55.078 --> 02:12:59.318 the globe. To be able to detect wildfires from space 02:12:59.328 --> 02:13:02.847 within 60 seconds or less and autonomously suppress 02:13:02.857 --> 02:13:07.497 them within 10 minutes or less. And we've actually 02:13:07.507 --> 02:13:09.707 are very excited about the level of interest that we 02:13:09.717 --> 02:13:13.507 have received. There's 107 teams across 27 countries 02:13:13.747 --> 02:13:17.747 that have expressed interest in participating in this 02:13:17.757 --> 02:13:21.693 global competition. Which not only brings safety to 02:13:21.703 --> 02:13:24.972 PG&E's service area. Our customers that we're privileged 02:13:24.982 --> 02:13:29.482 to serve. But really helps the broader global wildfire 02:13:29.492 --> 02:13:33.411 risk. So with that I'll invite Matt Hayes, our Chief 02:13:33.421 --> 02:13:37.563 Safety Officer to join Charlotte myself here. And we're 02:13:37.573 --> 02:13:40.757 open to Q&A. 02:13:40.757 --> 02:13:45.767 Thank you, Mr. Singh and Ms. Campbell. Um as Mr. Singh 02:13:45.776 --> 02:13:48.568 mentioned, um Matt Hayes, Chief Safety Officer will 02:13:48.578 --> 02:13:52.207 join for the Q&A. And so with that, I want 02:13:52.217 --> 02:13:55.046 to turn it into questions. Uh President Reynolds, would 02:13:55.058 --> 02:13:58.146 you like to start us off? Sure, I'll get us started. 02:13:58.156 --> 02:14:01.558 Um, thank you very much for the presentation. I did 02:14:01.568 --> 02:14:06.536 really appreciate the um, the tone of urgency and commitment 02:14:06.546 --> 02:14:09.308 that I heard from both of you. Miss Campbell and Mr 02:14:09.318 --> 02:14:14.396 Singh. Um at the same time, um you noted Mr. Singh. The 02:14:14.406 --> 02:14:19.776 conditions um look uh, uh present a high level of risk 02:14:19.786 --> 02:14:22.877 for this upcoming Summer and into the future. And with 02:14:22.887 --> 02:14:25.698 climate change, we're facing even more and more uncertainty 02:14:25.988 --> 02:14:28.906 So there's certainly a lot to be worried about and 02:14:28.916 --> 02:14:33.337 concerned about. Um, we've also seen welfare mitigation 02:14:33.347 --> 02:14:38.477 driving uh, rates and have impacts on repairs. And 02:14:38.488 --> 02:14:43.286 uh starting to show up in, in bills. And so, um that's 02:14:43.296 --> 02:14:47.578 something also, uh you know to it is a very big consideration 02:14:47.587 --> 02:14:51.357 here. And so I appreciate the discussion of uh different 02:14:51.367 --> 02:14:55.286 types of mitigation measures and seeking constant improvement. 02:14:55.296 --> 02:14:59.757 Um, I did have a question about the enhanced mitigation, 02:14:59.767 --> 02:15:03.646 uh enhanced vegetation management, EVM. Um, and 02:15:03.656 --> 02:15:07.546 that program getting integrated into the three programs 02:15:07.558 --> 02:15:10.808 that you described. Can you talk a little bit about 02:15:10.818 --> 02:15:15.156 why you think that that will be an effective way, um 02:15:15.166 --> 02:15:19.517 to uh, to conduct vegetation management. We have seen 02:15:19.526 --> 02:15:22.747 issues in the past as you know, with hazard trees, and 02:15:23.046 --> 02:15:26.818 um, so in particular the identification of hazard trees. 02:15:26.828 --> 02:15:30.646 Do you feel that um, that transition is something that 02:15:30.656 --> 02:15:35.666 is going to ensure um, a high level of uh risk mitigation. 02:15:36.286 --> 02:15:40.227 President Reynolds, thank you so much for that question. 02:15:40.707 --> 02:15:45.666 And one of the elements that we really looked at is 02:15:45.678 --> 02:15:49.017 risk, spend efficiency. In terms of what's the level 02:15:49.026 --> 02:15:53.296 of risk that is being reduced by each of our mitigations. 02:15:53.837 --> 02:15:56.988 Compared to the dollars that are being invested. Again 02:15:56.997 --> 02:15:59.896 keeping in mind the point that you were talking about 02:15:59.948 --> 02:16:02.837 regarding safety and affordability. These aren't trade 02:16:02.847 --> 02:16:06.578 offs, but they go hand in hand. And as we evaluated 02:16:06.587 --> 02:16:10.078 the effectiveness of our enhanced vegetation management 02:16:10.087 --> 02:16:13.517 program and the process that we were following starting 02:16:13.526 --> 02:16:16.896 in 2019. And again, keep in mind at that point in time 02:16:17.166 --> 02:16:20.597 we did not have the risk models that we do today. And 02:16:20.607 --> 02:16:24.238 the risk models we have today give us insights into 02:16:24.367 --> 02:16:28.497 within our 25,500 miles of overhead distribution lines 02:16:28.727 --> 02:16:33.457 Which areas do we estimate forecast where we're going 02:16:33.467 --> 02:16:37.536 to have the highest potential risk of a strike tree 02:16:37.627 --> 02:16:40.637 or a hazard tree. That could come in contact and create 02:16:40.857 --> 02:16:44.656 and result in a catastrophic fire. So in those areas 02:16:44.666 --> 02:16:48.046 we're continuing a very similar type of a program, 02:16:48.058 --> 02:16:50.837 we call it a focus tree program or areas of concern. 02:16:51.207 --> 02:16:54.906 And that's a very similar program and comparable to 02:16:54.916 --> 02:16:58.217 enhanced vegetation management. The other piece that's 02:16:58.227 --> 02:17:02.687 different that we did not have in place back in 2019. 02:17:02.697 --> 02:17:05.086 When we embarked on enhanced vegetation management 02:17:05.096 --> 02:17:09.257 is the suite of our operational mitigations. The only 02:17:09.267 --> 02:17:12.408 mitigation that we were able to rely on was the public 02:17:12.418 --> 02:17:15.586 safety power shut off program. But that is only an 02:17:15.596 --> 02:17:20.306 effective measure of last resort during high wind conditions. 02:17:20.547 --> 02:17:23.447 And as the condition changed, especially given the 02:17:23.457 --> 02:17:27.586 drought and wildfires resulting from a fuels and terrain 02:17:27.596 --> 02:17:30.717 driven risk. That's where enhanced power line safety 02:17:30.727 --> 02:17:34.927 settings has been very effective. The partial voltage 02:17:34.937 --> 02:17:38.168 force out which is the smart meters that we're using. 02:17:38.326 --> 02:17:41.047 The down conductor technology we're implementing this 02:17:41.056 --> 02:17:43.738 year. So we're relying on not just one operational 02:17:43.747 --> 02:17:48.066 mitigation, but multiple layers of operational mitigations. 02:17:48.076 --> 02:17:51.477 That have driven down ignitions on the tune of 68%. 02:17:52.197 --> 02:17:55.638 When you compare it to the 2018 to 2020 average. And 02:17:55.648 --> 02:17:57.937 what we were experiencing on the vegetation management 02:17:57.947 --> 02:18:01.217 side, the approach we were taking was closer to 7%. 02:18:01.687 --> 02:18:06.066 So that's the quantitative and the risk based approach 02:18:06.247 --> 02:18:08.797 that we have taken. And that's why we feel confident 02:18:09.047 --> 02:18:12.297 that what we have proposed in terms of layers of protection 02:18:12.556 --> 02:18:16.927 is the appropriate path forward. Both in terms of reducing 02:18:16.937 --> 02:18:20.066 risk and ensuring we are doing it in the most cost 02:18:20.076 --> 02:18:23.447 effective manner for our customers. 02:18:23.447 --> 02:18:27.027 Okay, thank you. Um, and then I also had a question about 02:18:27.037 --> 02:18:31.027 undergrounding. Um in the presentation, you had a very 02:18:31.037 --> 02:18:35.806 high risk reduction um, metric for I think it was 99% 02:18:35.816 --> 02:18:40.086 for undergrounding. Sure. Um is that, and I understand that 02:18:40.096 --> 02:18:43.687 there are uh, um you know, undergrounding is tricky. For 02:18:43.697 --> 02:18:47.527 many ways and, and that as part of your proposal. There 02:18:47.537 --> 02:18:52.047 are undergrounding being proposed for um, for primary lines. 02:18:52.056 --> 02:18:55.707 But potentially not secondary, not the the line drop. 02:18:55.717 --> 02:18:58.707 Um is, is that an issue that we should be worried about 02:18:58.717 --> 02:19:02.027 So, in other words, do we lose some of the risk reduction? 02:19:02.037 --> 02:19:06.826 As well as the avoidance of cost of vegetation management, 02:19:06.836 --> 02:19:12.658 and avoidance of the possibility of PSPS? If there 02:19:12.668 --> 02:19:16.056 are some lines that remain above ground, can you explain 02:19:16.066 --> 02:19:18.467 to me how that works. Sure, President Reynolds. So 02:19:18.477 --> 02:19:22.066 as part of our design, you're absolutely right. That 02:19:22.076 --> 02:19:25.497 the current focus is the underground of the primary 02:19:25.507 --> 02:19:28.888 overhead distribution lines. But when we do have our 02:19:28.898 --> 02:19:31.648 secondary lines which tend to be much lower voltage 02:19:31.658 --> 02:19:35.836 at 750 volts or less. We do underground those as well. 02:19:36.517 --> 02:19:41.346 And for our service drops, we just recently was six 02:19:41.356 --> 02:19:45.207 months ago, approved an engineered control called a 02:19:45.217 --> 02:19:48.467 breakaway service connector. So where we're doing undergrounding 02:19:48.898 --> 02:19:51.856 we're installing these breakaway service connectors. 02:19:52.086 --> 02:19:55.816 And uh, the work is actually very similar in nature to 02:19:55.846 --> 02:19:59.388 the excess flow valve that does on the gas system that's 02:19:59.398 --> 02:20:01.898 on a customer service line. So the way excess flow 02:20:01.908 --> 02:20:05.197 valve works is if there's a dig in that happens and 02:20:05.207 --> 02:20:09.066 it experiences the unequal pressure. It automatically 02:20:09.076 --> 02:20:12.856 shuts off in a similar capacity. A breakaway service 02:20:12.868 --> 02:20:16.177 connector. If a tree branch hits the service connector 02:20:16.187 --> 02:20:19.056 and it disconnects from the pole, it automatically 02:20:19.066 --> 02:20:23.467 deenergizes. So that's part of our undergrounding, uh 02:20:23.596 --> 02:20:27.658 design from an engineering perspective. Now that said 02:20:27.697 --> 02:20:30.517 President Reynolds, we're currently evaluating as part 02:20:30.527 --> 02:20:35.488 of our 10,000 undergrounding plan that is due to be filed. 02:20:35.556 --> 02:20:38.937 To make a determination that is it more effective and 02:20:38.947 --> 02:20:41.888 appropriate for us to also underground all the service 02:20:41.898 --> 02:20:45.566 drops as well. So that is currently something that 02:20:45.576 --> 02:20:49.047 we are considering evaluating. Both the risk reduction 02:20:49.056 --> 02:20:51.918 we're getting from our current approach, as compared 02:20:51.927 --> 02:20:56.017 to the proposed approach of undergrounding. All the secondary 02:20:56.027 --> 02:20:59.677 and services as well. Ok, thank you. And then we heard 02:20:59.687 --> 02:21:02.816 Mr. Marconi mention that there are no expulsion fuses 02:21:02.826 --> 02:21:06.556 on the Bear Valley system. Is that a risk that remains 02:21:06.566 --> 02:21:09.517 in PG&E's system, could you address that? Sure. President 02:21:10.066 --> 02:21:15.106 Reynolds. Uh so we, when we started both our wildfire mitigation programs 02:21:15.138 --> 02:21:21.066 in all earnest in 2019. We had 13,000 known explosion 02:21:21.076 --> 02:21:25.697 fuses. Since then, we have replaced and mitigated 7,700, 02:21:26.707 --> 02:21:30.707 we have 5,300 that are remaining. And this is actually 02:21:30.717 --> 02:21:33.648 one of our WMP commitments going into this year and 02:21:33.658 --> 02:21:36.846 next year. And we intend to mitigate that risk over 02:21:36.856 --> 02:21:41.547 the course of the next 24-30 months. And then I 02:21:41.556 --> 02:21:44.816 have a question for Ms. Campbell. We heard from Mr. Marconi 02:21:44.826 --> 02:21:49.076 that he is actually worried about the problem of complacency. 02:21:49.418 --> 02:21:52.658 Um, I assume that that is not a worry that you have 02:21:52.668 --> 02:21:55.717 uh for the because of the differences in experiences 02:21:55.727 --> 02:21:59.707 of Bear Valley and PG&E. Um what worries you? Uh, what 02:21:59.717 --> 02:22:04.586 would you say is something that worries you? 02:22:04.586 --> 02:22:08.677 It's, that's a really good question. And I'd say there's 02:22:08.687 --> 02:22:12.118 still a lot to be done, right? I mean it's, there's 02:22:12.128 --> 02:22:15.777 been tremendous progress. I joined this Board in April 02:22:15.787 --> 02:22:23.638 of 2019 and, um it's so different today. The company 02:22:23.648 --> 02:22:27.336 and the, and the Board. Um, but there's still a lot 02:22:27.346 --> 02:22:33.457 to be done. And we're not we, you know, we don't, we 02:22:33.467 --> 02:22:35.937 don't believe we've solved the problem. I guess is 02:22:35.947 --> 02:22:38.477 is the other thing to say. You hear some talk about 02:22:38.488 --> 02:22:42.037 the risk and the evaluating the risk for the dollar 02:22:42.047 --> 02:22:45.846 and things of that nature. And I think he would probably 02:22:45.856 --> 02:22:49.596 tell you that the Board and the SNO committee are 02:22:49.606 --> 02:22:54.677 constantly after him about what else can we do? Can 02:22:54.687 --> 02:22:59.007 we go faster, things of that nature. So we recognize 02:22:59.017 --> 02:23:03.836 we still have a lot of work to be done. And that's 02:23:03.846 --> 02:23:06.306 probably my biggest concern. I have a great deal of 02:23:06.316 --> 02:23:09.707 confidence in the people that are planning this and 02:23:09.717 --> 02:23:14.507 uh, working through it. But you know there's, there's things 02:23:14.517 --> 02:23:17.547 like the. We lost what, three or four months of work 02:23:17.556 --> 02:23:21.297 earlier this year. So there's things like that, that 02:23:21.306 --> 02:23:24.388 just, you know, how do you, how do you keep moving 02:23:24.398 --> 02:23:28.596 forward? So it's, it's still a pile of stuff. I guess 02:23:28.606 --> 02:23:32.378 is the non technical way to put it. I took my engineer 02:23:32.388 --> 02:23:35.408 hat off, sorry. But yeah, it's there's just a lot left 02:23:35.418 --> 02:23:41.447 to be done. But, but in fairness I will tell you. The 02:23:41.457 --> 02:23:44.556 day that Pattie called me and said Cheryl, we've found 02:23:44.566 --> 02:23:47.997 a solution to drop the ignition rate by what did you 02:23:48.007 --> 02:23:52.346 say, 68%. It was like hallelujah, right. We finally 02:23:52.356 --> 02:23:55.217 found something, right? That was going to make a step 02:23:55.227 --> 02:23:59.106 change in what was going on. Without just having to 02:23:59.118 --> 02:24:02.767 underground everything and cover everything. Because 02:24:02.777 --> 02:24:07.297 that just takes a long time. So the team continues 02:24:07.306 --> 02:24:12.576 to push on, you know, innovative ways to solve some 02:24:12.586 --> 02:24:16.066 of these problems in a cost effective and faster manner. 02:24:16.076 --> 02:24:20.566 And I appreciate their efforts in doing that. But I 02:24:20.576 --> 02:24:22.747 think the Board is going to continue to be nipping 02:24:22.757 --> 02:24:25.507 at their heels. 02:24:25.507 --> 02:24:27.586 Thank you. I'm sure others have questions. So I'll 02:24:27.596 --> 02:24:30.527 turn back to you, Carolina. 02:24:30.527 --> 02:24:32.777 Please go ahead, Director Thomas Jacobs. Thank you. 02:24:32.787 --> 02:24:35.497 I'd like to build off of actually. I mean both um, 02:24:35.566 --> 02:24:37.908 Mr. Singh and you building off of President Reynolds, 02:24:37.918 --> 02:24:42.027 um question of that there's more to do. Uh, so there 02:24:42.037 --> 02:24:44.977 are so many simultaneous demands is how I think of 02:24:44.988 --> 02:24:49.221 them on PG&E right now, and you have done so much. And 02:24:49.231 --> 02:24:51.981 there's still so much more to do. Can you speak a little 02:24:51.993 --> 02:24:56.993 bit to how you're managing the resources, people, equipment, 02:24:57.003 --> 02:24:59.632 funding? How are you managing the resources to be able 02:24:59.642 --> 02:25:03.172 to balance all of those, um all of those simultaneous 02:25:03.181 --> 02:25:09.128 demands? Thank you, Dr. Thomas Jacobs for that question. 02:25:09.497 --> 02:25:14.846 Yes, there are a lot of demands. Um, but we're continuing 02:25:14.856 --> 02:25:19.738 to make sure that we're not compromising on our first 02:25:19.747 --> 02:25:24.168 and foremost obligation of delivering safe and reliable 02:25:24.177 --> 02:25:28.868 service to our customers. And I know last year there 02:25:28.878 --> 02:25:31.967 were concerns about some of the customer connections 02:25:31.977 --> 02:25:35.148 as well. And the one thing that we're really focused 02:25:35.158 --> 02:25:39.988 on from a resources perspective. Is how do we get more 02:25:39.997 --> 02:25:45.727 efficient at executing everything that we do. And there's 02:25:45.738 --> 02:25:50.398 tremendous amount of opportunities for us to ensure 02:25:50.408 --> 02:25:54.227 we're planning more effectively. We're obtaining the 02:25:54.238 --> 02:25:57.106 permits, including the dependencies at the right time. 02:25:57.118 --> 02:26:00.977 Making sure that all of the work, the materials, the 02:26:00.988 --> 02:26:04.316 permits are available to the crews. So that when we 02:26:04.326 --> 02:26:07.556 do the work, they're only doing one truck roll. They 02:26:07.566 --> 02:26:09.547 have the procedures and the training. And when they 02:26:09.556 --> 02:26:13.177 do the work, they're doing it right the first time around. 02:26:13.388 --> 02:26:16.217 And one of the things that we've been able to do, and 02:26:16.227 --> 02:26:19.638 I'll use the example from our vegetation management 02:26:19.797 --> 02:26:25.037 part of the business. In 2021, I think we spent nearly 02:26:25.047 --> 02:26:30.826 $1.8 billion. And going into 2022, one of the things that 02:26:30.836 --> 02:26:35.297 the team recognized is we're sending different contract 02:26:35.306 --> 02:26:38.447 crews to the same location to do a different scope 02:26:38.457 --> 02:26:42.306 of vegetation management. But we're doing it at different 02:26:42.316 --> 02:26:45.677 points in time. And we also have those contractors 02:26:45.687 --> 02:26:50.086 on a different competitive structure. One contractor 02:26:50.096 --> 02:26:53.437 we're paying on a time and material basis. One contractor 02:26:53.447 --> 02:26:56.177 that we're playing on a unit price basis. So one of 02:26:56.187 --> 02:26:58.586 the things that we've done is instead of having four 02:26:58.596 --> 02:27:02.257 or five different programs, we're trying to align the 02:27:02.267 --> 02:27:05.238 vegetation management program. So we send one contractor 02:27:05.257 --> 02:27:09.356 to do the holistic scope at the one location, one time 02:27:09.368 --> 02:27:13.388 or twice a year as needed. And based on that, we were 02:27:13.398 --> 02:27:18.836 able to reduce the cost structure by nearly 25% in 02:27:18.846 --> 02:27:24.247 a 12 month time period. Without having any impact on 02:27:24.257 --> 02:27:26.628 the scope of work itself. We were able to get the same 02:27:26.638 --> 02:27:30.868 scope of work done at a lower cost structure. So we've 02:27:30.878 --> 02:27:34.047 got a big focus on what we call waste elimination. 02:27:34.056 --> 02:27:37.556 It's part of our implementation of our lean operating 02:27:37.566 --> 02:27:41.477 system. And this is also a great way to engage our 02:27:41.488 --> 02:27:44.727 teams that are closest to the work. That are doing the 02:27:44.738 --> 02:27:49.056 work. To be able to help give them the capability on 02:27:49.066 --> 02:27:52.888 identifying the problem. And we've actually had 26,000 02:27:52.937 --> 02:27:56.757 PG&E coworkers and we love them for it. That can identify 02:27:56.767 --> 02:28:00.507 the problem, but we don't have enough individuals that 02:28:00.517 --> 02:28:03.767 can solve the problem, and this really unleashes that 02:28:03.777 --> 02:28:07.638 capability. So now we have 26,000 problem solvers. 02:28:07.648 --> 02:28:10.937 That's what we're trying to aspire to get to. So those 02:28:10.947 --> 02:28:14.908 individuals that have the issues, know the issues. Also 02:28:14.918 --> 02:28:18.238 have the best solutions and they need to be engaged 02:28:18.247 --> 02:28:20.927 and empowered. And that's exactly what we're working 02:28:20.937 --> 02:28:25.047 on. And we're identifying issues where at times we have 02:28:25.056 --> 02:28:27.677 a construction team that may be waiting on a piece 02:28:27.687 --> 02:28:31.177 of material. Because they may be sitting at a yard in 02:28:31.187 --> 02:28:33.717 Fremont and it needs to be done in Fresno part of our 02:28:33.727 --> 02:28:37.576 system. But get our materials team engaged in the daily 02:28:37.586 --> 02:28:40.856 operating review with the team and the crews. So that 02:28:40.868 --> 02:28:43.648 that material is there at the ready when the crews 02:28:43.658 --> 02:28:46.326 are actually rolling their trucks. So that's how we're 02:28:46.336 --> 02:28:50.967 creating capacity within our current financial and 02:28:50.977 --> 02:28:55.697 resource structure to do more with the same. 02:28:55.697 --> 02:28:58.908 Thank you. Uh, my second question kind of is zeroing 02:28:58.918 --> 02:29:03.106 in on one particular work stream. Um, so the backlog 02:29:03.118 --> 02:29:05.757 of repairs. And I was wondering Ms. Kimmel, if maybe 02:29:05.767 --> 02:29:08.477 you could speak a little bit. To how the Board, what 02:29:08.488 --> 02:29:11.227 your awareness is of that backlog. And what the board 02:29:11.238 --> 02:29:14.707 um is driving to help address the backlog of repairs? 02:29:17.388 --> 02:29:21.606 The Board is very aware of the backlog of repairs. And 02:29:21.618 --> 02:29:26.306 we've had a number of conversations about how do we 02:29:26.316 --> 02:29:32.868 again make a step change. And I think Simit or his 02:29:32.878 --> 02:29:38.767 team has spoken with you or others. About how they are 02:29:38.777 --> 02:29:41.988 reevaluating some of those tags and the risk associated 02:29:41.997 --> 02:29:49.096 with those tags. Uh, so that they can reduce the risk faster 02:29:49.527 --> 02:29:53.868 but also work the backlog down. We know that we will 02:29:53.878 --> 02:29:56.738 continue to get new tags come in. That's the nature 02:29:56.747 --> 02:30:00.217 right of, of this kind of equipment. It does wear over 02:30:00.227 --> 02:30:05.247 time. Um, so we think the best way to do it and the 02:30:05.257 --> 02:30:10.437 Board is supportive of this is reduce the risk quickly 02:30:10.556 --> 02:30:15.187 and get caught up. And I think, I think we get regular 02:30:15.197 --> 02:30:20.277 reports on the wildfire mitigation plan at every meeting. 02:30:20.287 --> 02:30:23.007 If I remember correctly at every, at every SNO committee 02:30:23.017 --> 02:30:30.447 meeting. Uh we are also, we attend one of the WORs quarterly 02:30:30.457 --> 02:30:34.118 with the wildfire team. And we are hearing the, the 02:30:34.128 --> 02:30:39.517 progress and how things are moving along. So we're 02:30:39.527 --> 02:30:42.037 monitoring it, we're watching it, we're asking a lot 02:30:42.047 --> 02:30:46.596 of questions. And we feel good about the plan that they've 02:30:46.606 --> 02:30:49.277 got in place. And we're looking forward to seeing, 02:30:49.757 --> 02:30:53.738 you know, significant reduction in risk and tags by 02:30:53.747 --> 02:30:58.488 this year and then also into next year. 02:30:58.488 --> 02:31:01.638 Thank you. And then one last question, um this is more 02:31:01.648 --> 02:31:06.257 of a organizational culture question. Um, PG&E has historically 02:31:06.267 --> 02:31:10.197 had sort of come to things from a reactive mode. I'm wondering 02:31:10.207 --> 02:31:14.037 if any of you can speak to or all of you. What 02:31:14.047 --> 02:31:16.547 efforts you're putting into really shifting that to 02:31:16.556 --> 02:31:19.267 being more proactive and anticipatory? As opposed to 02:31:19.277 --> 02:31:21.566 reactive to the various issues? Whether it's repair 02:31:21.576 --> 02:31:24.247 backlogs or new service connects or whatever the issue 02:31:24.257 --> 02:31:27.437 is. Um, if you could speak a little bit to that? Yeah, 02:31:27.447 --> 02:31:31.517 I am happy to start. And then Matt, I'd invite you to 02:31:31.527 --> 02:31:34.556 chime in as well. Um, you know the, the fundamental 02:31:34.566 --> 02:31:37.947 philosophy, Director Thomas Jacobs that we're taking 02:31:37.957 --> 02:31:41.918 is it's all about predict and prevent. And you know 02:31:41.927 --> 02:31:45.957 when I talk about the fail safe capacity and layers 02:31:45.967 --> 02:31:51.086 of control. Um, we're shifting that engagement about 02:31:51.096 --> 02:31:56.356 safety. Because safety is not about the absence of incidents, 02:31:56.368 --> 02:31:59.878 it's about the presence of controls. And it becomes 02:31:59.888 --> 02:32:02.488 hard to be able to prove the negative. But it's really 02:32:02.497 --> 02:32:06.997 unlocking that culture and embedding in the mindset. 02:32:07.287 --> 02:32:11.937 That safety and risk is not the obligation of individuals 02:32:11.947 --> 02:32:15.086 that have that in their title in the organization. 02:32:15.517 --> 02:32:19.217 But it's every individual in the company that's a safety 02:32:19.227 --> 02:32:23.128 and risk manager. So it's our 26,000 PG&E coworkers 02:32:23.227 --> 02:32:27.648 and our 15,000 plus contractors. So that's a fundamental 02:32:27.658 --> 02:32:31.576 approach that we are taking. And we're enabling and 02:32:31.586 --> 02:32:34.388 empowering each of them. To be able to when they see 02:32:34.398 --> 02:32:36.727 something, to say something and do something. And there's 02:32:36.738 --> 02:32:39.507 multiple channels to be able to escalate and raise 02:32:39.517 --> 02:32:42.556 the issue. If they themselves can't solve it, their 02:32:42.566 --> 02:32:47.118 supervisor can't solve it. And every day we have thousands 02:32:47.128 --> 02:32:51.346 of daily oping reviews. And it leads up to a daily oping 02:32:51.356 --> 02:32:55.388 review that I participate in with our CEO Patty. To 02:32:55.398 --> 02:32:57.566 give them an update on what happened in the last 24 02:32:57.576 --> 02:33:00.908 hours. And if there's any issue that's escalated from 02:33:00.918 --> 02:33:04.757 our teams closest to the work. that need help resolution 02:33:04.767 --> 02:33:08.106 in resolving that issue. We also have our corrective 02:33:08.118 --> 02:33:12.207 action program. It's worked really, really well in 02:33:12.267 --> 02:33:15.297 our Diablo Canyon part of the organization. I'm sure Matt 02:33:15.306 --> 02:33:17.777 can speak to that. It's worked really well in our gas 02:33:17.787 --> 02:33:20.806 operations, part of the organization. And we're continuing 02:33:20.816 --> 02:33:24.787 to implement that effectively across every part of 02:33:24.797 --> 02:33:27.257 our organization. And that provides another mechanism 02:33:27.267 --> 02:33:30.717 and vehicle by which our coworkers and contractors 02:33:30.727 --> 02:33:33.227 can raise an issue when they see something. And those 02:33:33.238 --> 02:33:36.427 are all the different elements from a cultural perspective. 02:33:36.596 --> 02:33:39.356 That gives us the ability to be able to identify the 02:33:39.368 --> 02:33:44.227 issue before it materializes, so we can predict and 02:33:44.238 --> 02:33:47.148 prevent. And that's the fundamental shift that we are 02:33:47.158 --> 02:33:49.747 also taking from a mindset perspective for all of our 02:33:49.757 --> 02:33:53.836 safety and risk professionals. So I'll hold my questions 02:33:53.846 --> 02:33:56.566 for now, um because I'm sure others have questions. Just 02:33:56.576 --> 02:33:59.687 um, uh facilitator if you don't mind. Um, I do have one 02:33:59.697 --> 02:34:01.607 more if we can come back if we happen to have time. 02:34:01.616 --> 02:34:04.087 That'd be great, thank you. Certainly, we can do that. 02:34:04.248 --> 02:34:07.078 Um, so I'd like to check in Commissioner Houck. Please 02:34:07.087 --> 02:34:11.348 go ahead. Thank you, Carolina and thank you for the 02:34:11.357 --> 02:34:14.957 presentation. Um, I just want to echo some of the comments 02:34:14.966 --> 02:34:17.906 of President Reynolds and Director um, Jacob Thomas. 02:34:17.917 --> 02:34:21.797 And also, um note the significant improvements from 02:34:21.808 --> 02:34:25.288 the prior years and just recognize all of the hard 02:34:25.297 --> 02:34:30.306 work that PG&E has done. In regards to um, lowering the 02:34:30.317 --> 02:34:34.696 risk and, um being on top of these issues. With the understanding 02:34:34.705 --> 02:34:37.665 and recognition that there's significant more work 02:34:37.676 --> 02:34:41.256 to do. Um, but just really wanted to recognize that. 02:34:41.527 --> 02:34:47.277 Um, also I wanted to um, ask about some of the regionalization 02:34:47.286 --> 02:34:51.016 efforts and how that is affecting your ability to work 02:34:51.027 --> 02:34:53.656 closer with local and Tribal governments, particularly 02:34:53.665 --> 02:34:58.076 in some of the high risk areas. Also um, last year 02:34:58.087 --> 02:35:01.036 there were some concerns that RCRC raised regarding, 02:35:01.047 --> 02:35:05.556 um some of the woody debris. And um I think, PG&E responded 02:35:05.567 --> 02:35:09.607 to that directly and, um quickly met with them. So I 02:35:09.616 --> 02:35:12.238 wanted to recognize the efforts that you made there. 02:35:12.357 --> 02:35:15.386 Um, ask for an update on where some of those issues 02:35:15.397 --> 02:35:19.966 are. And again how the regionalization efforts, um are 02:35:19.977 --> 02:35:23.498 working with your efforts to improve safety, particularly 02:35:23.507 --> 02:35:27.897 for those high risk areas. And then I, I have a question 02:35:27.906 --> 02:35:31.518 about the lien operating system and also about the capas. 02:35:31.527 --> 02:35:36.167 Uh, but also let you answer the first question. Thank 02:35:36.176 --> 02:35:38.937 you, Commissioner. First of all, for sharing your sentiments. 02:35:39.317 --> 02:35:43.848 And in regards to our regional service model, we're 02:35:43.857 --> 02:35:46.977 continuing to mature our regional service model. We're 02:35:47.078 --> 02:35:51.857 in year 3, and they bring a tremendous dimension 02:35:52.877 --> 02:35:57.547 to us now. For example, for every EPSS outage that 02:35:57.558 --> 02:36:01.406 happens. We do a daily operating review with those 02:36:01.417 --> 02:36:04.808 Regional Vice Presidents, with the Regional teams. And 02:36:04.817 --> 02:36:09.196 the teams are evaluating other specific circuits areas 02:36:09.607 --> 02:36:14.328 communities. That are adversely impacted based on repeat 02:36:14.337 --> 02:36:18.176 outages and are deploying solutions in a very rapid 02:36:18.297 --> 02:36:22.477 and targeted way. So one of the things that, that it's 02:36:22.488 --> 02:36:25.587 really helped enable for us. Is the ability to be able 02:36:25.598 --> 02:36:30.442 to have a rapid pulse on where the issue is. Where there's 02:36:30.453 --> 02:36:34.473 a deviation from our expected performance. And be able 02:36:34.482 --> 02:36:39.163 to react and respond in a much more nimble and agile 02:36:39.172 --> 02:36:41.882 fashion that we were able to do previously. So that's 02:36:41.893 --> 02:36:45.363 one key area that the regional service model has helped 02:36:45.373 --> 02:36:50.042 enable. The other thing I'll share is that. Um, it's been 02:36:50.051 --> 02:36:54.107 very helpful in being able to provide us insights in 02:36:54.116 --> 02:36:58.656 terms of what are the specific needs of the local communities. 02:36:58.667 --> 02:37:03.357 Uh, the local Tribes. What are the specific areas that 02:37:03.366 --> 02:37:06.538 they may need support on? For example, when we actually 02:37:06.547 --> 02:37:09.598 are in a PSPS type of a posture. In regards to 02:37:09.607 --> 02:37:12.716 temporary generation, because a community may rely 02:37:12.727 --> 02:37:17.038 on a well water type of a system. That no longer has 02:37:17.047 --> 02:37:19.837 power during PSPS. And we have the ability to be able 02:37:19.848 --> 02:37:22.127 to identify those issues and be able to deploy and 02:37:22.136 --> 02:37:24.238 implement our solutions very quickly. Because when 02:37:24.248 --> 02:37:28.018 we do activate now, as part of our emergency response 02:37:28.027 --> 02:37:31.797 our incident command structure, our regional leads 02:37:31.808 --> 02:37:35.727 are engaged in the county. Uh, 02:37:35.727 --> 02:37:38.897 EOC as well, the Emergency Operations Center. So we're 02:37:38.906 --> 02:37:41.977 trying to minimize the daylight that exists. In regards 02:37:41.988 --> 02:37:45.788 to the local communities as well as our regional teams. 02:37:45.797 --> 02:37:48.966 And identify those issues and proactively engage. One 02:37:48.977 --> 02:37:54.587 example this year, we did a full scale PSPS exercise 02:37:54.687 --> 02:37:57.377 just to make sure there's no loss of muscle memory. 02:37:57.817 --> 02:38:02.232 In case uh, the tool and measure is needed this year, able 02:38:02.241 --> 02:38:05.473 to engage all five of our regions. We had more than 02:38:05.482 --> 02:38:11.241 335 participants and, uh they were many of them external 02:38:11.252 --> 02:38:16.982 partners. Which included Tribes as well as public safety 02:38:16.991 --> 02:38:21.042 force responders to ensure that they were observers 02:38:21.051 --> 02:38:24.482 and gave us insights on our performance on the exercise 02:38:24.491 --> 02:38:27.192 and the execution and how we can continue to improve. 02:38:27.203 --> 02:38:33.216 So it's really helping in that regard. 02:38:33.216 --> 02:38:37.837 No, thank you for that. Um, and then if you can just 02:38:37.848 --> 02:38:39.906 give an update on where you are and working with the 02:38:39.917 --> 02:38:42.156 counties on some of the debris issues. And then the 02:38:42.167 --> 02:38:45.277 question regarding the lien operating system. Um you 02:38:45.288 --> 02:38:49.397 implemented that in 2021, to provide best practices 02:38:49.406 --> 02:38:52.116 um, and get information across the organization. Can 02:38:52.127 --> 02:38:56.558 you talk about how that's impacted PG&E's um, systems? 02:38:56.567 --> 02:39:00.047 Um, how your reporting outcomes and, um what metrics 02:39:00.058 --> 02:39:03.687 indicators um, that you have regarding the monitoring 02:39:03.696 --> 02:39:06.406 of the effectiveness of the lien operating system? 02:39:07.018 --> 02:39:10.268 Sure. Um, I think you have two part question. So, in regards 02:39:10.277 --> 02:39:14.216 to uh, the debris removal. We continue to work closely 02:39:14.227 --> 02:39:18.587 with RCRC. And uh, respond to the specific needs that they 02:39:18.598 --> 02:39:22.906 have uh for wood and debris removal. I don't have the 02:39:22.917 --> 02:39:26.067 specific numbers here in front of me in terms of uh, the 02:39:26.078 --> 02:39:30.107 uh, fires that were impacted in the areas. That uh, we need 02:39:30.116 --> 02:39:32.446 to continue to remove the debris on. But I know our 02:39:32.457 --> 02:39:36.007 veggie management team is very engaged. And so is our 02:39:36.027 --> 02:39:39.446 Sacramento State Affairs Team directly with RCRC. We've 02:39:39.457 --> 02:39:43.817 been engaging and making sure we have representatives 02:39:43.828 --> 02:39:47.268 in some of their sessions and forums. So we'd be happy 02:39:47.277 --> 02:39:49.607 to take any other feedback that you may be receiving. 02:39:49.738 --> 02:39:52.578 Um, if there's things that we need to do better or faster 02:39:52.587 --> 02:39:56.507 and completely open to that. Um, in regards to the lead 02:39:56.518 --> 02:40:02.607 operating system, it's been a multi-phase kind of deployment 02:40:02.616 --> 02:40:07.567 for us. And, uh the first step in the process was to ensure 02:40:07.707 --> 02:40:11.167 that we were bringing visibility and transparency to 02:40:11.176 --> 02:40:15.886 performance very, very quickly and rapidly. And I would 02:40:15.897 --> 02:40:18.027 say one of the things that we have, you know, I've 02:40:18.038 --> 02:40:22.196 seen myself is previously, we used to get updates every 02:40:22.207 --> 02:40:25.227 month in terms of our performance on all of the key 02:40:25.238 --> 02:40:28.098 measures. Some of the metrics we talked about in terms 02:40:28.107 --> 02:40:31.357 of serious injuries and fatalities. The six operational 02:40:31.366 --> 02:40:34.426 metrics I talked about with 911 emergency response 02:40:34.437 --> 02:40:37.607 the gas dig ins the large overpressure events. These 02:40:37.616 --> 02:40:43.527 are all key safety operational metrics that we weren't 02:40:43.538 --> 02:40:47.426 getting visibility into until the month has already 02:40:47.437 --> 02:40:50.598 lapsed. And we were basically talking in arrears. What 02:40:50.607 --> 02:40:52.988 the lead operating system has done is we have visibility 02:40:52.998 --> 02:40:55.437 into these metrics at every level in the organization 02:40:55.446 --> 02:40:58.988 on a daily basis. And we actually talk about what is 02:40:58.998 --> 02:41:03.127 that gap to that daily target so that we can continue 02:41:03.216 --> 02:41:06.078 to close that gap on a day in and day out basis 02:41:06.087 --> 02:41:09.707 because that then helps us ensure that we're on track 02:41:09.716 --> 02:41:12.687 for the week and help ensure that we're on track for 02:41:12.696 --> 02:41:17.446 the month. So the cadence of visibility, granularity 02:41:17.558 --> 02:41:20.547 and the speed of information and action that that's 02:41:20.558 --> 02:41:24.558 translated to has rapidly and dramatically increased 02:41:24.567 --> 02:41:27.857 And some of the metrics that I shared with you on the 02:41:27.866 --> 02:41:31.547 operational side of continuing to maintain first quartile 02:41:31.567 --> 02:41:34.906 performance, top decal performance. And even though 02:41:34.917 --> 02:41:36.627 we're in first quartile performance for some of these 02:41:36.636 --> 02:41:39.906 metrics. We're continuing to improve year over year 02:41:39.988 --> 02:41:42.687 as I shared in the power slide with you. So that's 02:41:42.696 --> 02:41:45.038 the way I would characterize kind of how we're measuring 02:41:45.047 --> 02:41:48.268 the effectiveness of the lean operating system. 02:41:48.268 --> 02:41:51.007 No thank you, I appreciate that overview. And then 02:41:51.018 --> 02:41:54.598 the last question is just um, looking at how you, um 02:41:55.777 --> 02:41:59.426 PG&E is integrating their climate adaption and vulnerability 02:41:59.437 --> 02:42:01.837 assessments. As far as the elements that are standing 02:42:01.848 --> 02:42:05.788 out. And, um how you've considered whether and how the 02:42:06.038 --> 02:42:09.308 could be integrated with other major regulatory processes 02:42:09.317 --> 02:42:12.808 like the ramp and the GRC? Thank you, Commissioner 02:42:12.817 --> 02:42:18.866 for that. So we're in the midst of the ram filing that 02:42:18.877 --> 02:42:23.027 we're going to be doing May of 2024. So we're in the 02:42:23.038 --> 02:42:26.636 process of looking at the CAVA Assessment and the results 02:42:26.647 --> 02:42:29.477 that have come out of that. To be able to help identify 02:42:29.607 --> 02:42:33.647 how they actually impact our enterprise risks. So one 02:42:33.656 --> 02:42:37.587 example, I'll share with you from a wildfire perspective. 02:42:37.777 --> 02:42:41.538 Uh, we directly take the output of a lot of the climate 02:42:41.547 --> 02:42:46.866 science in terms of the intensity of heat. And overlay 02:42:46.877 --> 02:42:50.897 that with our service area to identify what are those 02:42:50.906 --> 02:42:53.337 potential areas that are a non-high fire risk area 02:42:53.348 --> 02:42:57.917 today. That tomorrow or several years from now could 02:42:57.926 --> 02:43:00.636 be a high fire risk area. So those are some of the 02:43:00.647 --> 02:43:04.946 things that we are taking input of from the CAVA, the 02:43:04.957 --> 02:43:07.828 climate vulnerability assessment. Directly tying it 02:43:07.837 --> 02:43:11.393 to our enterprise risk framework. And then identifying 02:43:11.491 --> 02:43:13.582 and working through what are some of the design standards 02:43:13.591 --> 02:43:15.212 that we need to contemplate? For example, if we're 02:43:15.223 --> 02:43:18.212 going to go out and do a rebuild of the electric circuit 02:43:18.223 --> 02:43:20.873 in the non-high fire risk area. Maybe for reliability 02:43:20.882 --> 02:43:24.082 or capacity purposes. But we forecast that that potentially 02:43:24.091 --> 02:43:27.643 could be a high fire risk area considering applying 02:43:27.882 --> 02:43:31.953 our high fire risk area electric resiliency design 02:43:32.212 --> 02:43:35.828 to that specific location. So we're still in the process 02:43:35.837 --> 02:43:39.156 of fully operationalizing that. But we have actually closed 02:43:39.167 --> 02:43:42.317 that gap of taking the climate assessments from a 02:43:42.348 --> 02:43:44.886 CAVA perspective. And starting to evaluate it from an 02:43:44.897 --> 02:43:47.277 enterprise risk standpoint and identify which risk 02:43:47.288 --> 02:43:50.998 drivers further magnify our current enterprise risk. 02:43:53.656 --> 02:43:57.257 Thank you. Sure. 02:43:57.257 --> 02:44:02.047 Commissioner Shiroma, please go ahead. Thank you. Uh, 02:44:02.058 --> 02:44:07.038 thank you. You know I, I've been serving on the Commission 02:44:07.047 --> 02:44:11.738 uh since 2019. And so I've been able to observe the 02:44:11.748 --> 02:44:17.058 evolution of your work. Uh and your presentations and 02:44:17.257 --> 02:44:23.107 and, um you know it, it is it's pretty remarkable 02:44:23.176 --> 02:44:28.176 in a few short years. Where uh PG&E has, has arrived 02:44:28.187 --> 02:44:31.837 and continues to feel the urgency and, and the need 02:44:31.848 --> 02:44:34.817 to do more. So I very much appreciate that. I have 02:44:34.828 --> 02:44:38.248 a question for each of you. I'll start with you, Matt. 02:44:38.457 --> 02:44:41.926 Now if I heard correctly, you come from the nuclear 02:44:41.937 --> 02:44:45.578 industry? Yes. So in terms of being a safety officer 02:44:45.857 --> 02:44:52.018 uh, uh and um. What would you say you know from, from 02:44:52.027 --> 02:44:54.426 the nuclear industry. Which, which has been held as 02:44:54.437 --> 02:45:00.808 a, uh as a, um the standard for safety culture. Uh, and 02:45:00.817 --> 02:45:04.366 and it must it has to, has to. I, I recall when 02:45:05.156 --> 02:45:09.406 we were decommissioning the Rancho Seco nuclear power plant. 02:45:09.837 --> 02:45:15.067 And the um the, the top manager out there who 02:45:15.288 --> 02:45:17.917 was a manager during the operation, the nuclear power 02:45:17.926 --> 02:45:20.716 plant. But also was overseeing the decommissioning. 02:45:21.277 --> 02:45:26.018 You said that the employees um, had to both respect 02:45:26.027 --> 02:45:30.817 the uh, radiation and also not be afraid of it. In order 02:45:30.828 --> 02:45:33.507 to operate effectively. But anyway, what would you 02:45:33.518 --> 02:45:37.377 say is a key principle from your experience in the 02:45:37.386 --> 02:45:41.297 nuclear industry. That is being infused into the safety 02:45:41.308 --> 02:45:47.676 culture at PG&E? Thank you for your question. In wildfire mitigation perspective? Yeah, thank 02:45:47.687 --> 02:45:50.488 you for the question, Commissioner. I would say um, one 02:45:50.498 --> 02:45:53.587 of the key things and for the last five years at Diablo 02:45:53.598 --> 02:45:56.328 Canyon. I own the safety culture monitoring process 02:45:56.337 --> 02:45:59.317 for the plant and have been to probably half of the 02:45:59.328 --> 02:46:02.727 plants in the United States doing safety culture assessments. 02:46:02.957 --> 02:46:06.848 Um, one of the key areas where we need to, we need 02:46:06.857 --> 02:46:10.578 to adopt and push across the enterprise. Is our ability 02:46:10.587 --> 02:46:15.098 to become comfortable with critical feedback. So, you 02:46:15.107 --> 02:46:17.797 know, when you go to a nuclear plant. They're very 02:46:17.808 --> 02:46:22.897 self critical, you know. And we'll accept and thank you 02:46:22.906 --> 02:46:25.238 for the praise, but let's move on to where we can get 02:46:25.248 --> 02:46:29.257 better. And you know, for the rest of our enterprise 02:46:29.268 --> 02:46:32.297 you know, I'd like to see us make more progress there. 02:46:32.308 --> 02:46:36.187 I know that, you know, we've made significant progress 02:46:36.196 --> 02:46:40.667 you know, in the last 3-4 years as you stated. But 02:46:40.676 --> 02:46:42.488 you know, we should be comparing ourselves against 02:46:42.498 --> 02:46:45.538 the best in the industry. Not about, you know, where 02:46:45.547 --> 02:46:47.696 we were. I think it's important to acknowledge where 02:46:47.707 --> 02:46:49.906 we were, but compare ourselves against the best. And 02:46:49.917 --> 02:46:52.406 I am seeing us do that now. I'm seeing the Board of 02:46:52.417 --> 02:46:55.328 Directors challenge us. And our senior leadership team 02:46:55.337 --> 02:46:58.136 that's come in and implemented things like the lean 02:46:58.147 --> 02:47:02.107 operating system to help us do that. But now it's time 02:47:02.116 --> 02:47:05.906 to drive that down to each and every PG&E employee. 02:47:05.917 --> 02:47:08.647 So we are taking things like the corrective action 02:47:08.656 --> 02:47:11.308 program from nuclear. That was in my 100 day plan. 02:47:11.687 --> 02:47:15.446 Um, and I think it was day one in my new job. Um, you 02:47:15.457 --> 02:47:18.018 know, I wanted to see a complete revamp and rehaul 02:47:18.027 --> 02:47:22.018 of the overhaul of the PG&E's Corrective Action Program, 02:47:22.027 --> 02:47:24.857 and we've seen significant improvement. I think that 02:47:24.866 --> 02:47:28.567 that's a direct tie to culture. In May alone, we saw 02:47:28.578 --> 02:47:33.837 a 28% increase in caps or issues reported. Uh, from May 02:47:33.848 --> 02:47:37.196 of this year compared to May of last year. In January, 02:47:37.207 --> 02:47:40.317 when I took over in the first week of January. We had 02:47:40.328 --> 02:47:44.098 over 400 overdue corrective actions as a company, and 02:47:44.107 --> 02:47:47.058 last week we were down to 2 overdue corrective actions. 02:47:47.067 --> 02:47:50.176 And they, you know, not to accept that. But they went 02:47:50.187 --> 02:47:52.238 over due that weekend, so they were not long standing 02:47:52.248 --> 02:47:55.667 issues. We still have work to do with it. But um, you 02:47:55.676 --> 02:47:58.357 know, I think when we do that, we're showing our employees. 02:47:58.366 --> 02:48:00.788 That, you know, when they speak up, we will listen 02:48:00.797 --> 02:48:05.127 up. And follow up our average age of our, our open corrective 02:48:05.136 --> 02:48:08.988 actions has reduced. And then we've gone in to verify 02:48:08.998 --> 02:48:11.107 that, you know, through effectiveness reviews that 02:48:11.116 --> 02:48:14.366 we're not just closing out those actions to promises 02:48:14.377 --> 02:48:17.317 or no actions taken. And we're seeing, I think we did 02:48:17.328 --> 02:48:20.917 a random sampling of 96 out of the 300 issues that 02:48:20.926 --> 02:48:23.946 were addressed that had been overdue. And out of the 02:48:23.957 --> 02:48:29.386 96 only 6 needed to be reopened. Four of which just 02:48:29.397 --> 02:48:32.788 lacked objective evidence submitted or attached to 02:48:32.797 --> 02:48:35.547 the corrective action, and only 2 were closed out 02:48:35.558 --> 02:48:40.087 to promises. So I'm happy to see that we have made 02:48:40.098 --> 02:48:43.667 significant progress there, but I'm excited to see 02:48:43.676 --> 02:48:46.437 where we will be a year from now. When compared against 02:48:46.446 --> 02:48:49.027 the nuclear industry. 02:48:49.027 --> 02:48:54.196 Thank you. Okay. So uh now on, on the vegetation management. 02:48:54.207 --> 02:48:59.687 The enhanced and, um and overall vegetation manager. 02:48:59.696 --> 02:49:04.538 You had a couple of tables there and, and I just wonder 02:49:04.547 --> 02:49:08.768 uh, uh you know in, in the face of the experience with 02:49:08.777 --> 02:49:13.196 catastrophic wildfire. And the, and the aspect of uh 02:49:13.207 --> 02:49:19.248 vegetation caused catastrophic wildfire. Uh, I mean 02:49:19.257 --> 02:49:22.587 I, I think I understand some of the context. But for 02:49:22.598 --> 02:49:27.558 example in saying that that PG&E is taking um, enhanced 02:49:27.567 --> 02:49:31.386 vegetation management to, is transitioning it. Okay. 02:49:31.866 --> 02:49:34.598 Uh, and I think to the lay public, you kind of wonder 02:49:34.607 --> 02:49:39.446 what, what do you mean? When the, this caused you know 02:49:39.488 --> 02:49:43.828 loss of life and property and so forth? Also in the 02:49:43.837 --> 02:49:47.567 table where it says vegetation management, uh, compliance 02:49:47.578 --> 02:49:54.018 driven wildfire risk models. And approximately 7% 02:49:54.018 --> 02:49:58.656 if, uh 7% effectiveness. And then, then it says 1% 02:49:58.877 --> 02:50:02.348 risk reduction, and then it says limited public safety 02:50:02.357 --> 02:50:07.018 benefit. Now, I'm wondering if that needs to be put 02:50:07.027 --> 02:50:13.558 into context. Can you put it into context? Sure. Give a 02:50:13.716 --> 02:50:17.257 backdrop, you know for, for us and the public. Yeah 02:50:17.738 --> 02:50:19.828 sure, Commissioner. Uh, thank you for that question. 02:50:19.837 --> 02:50:23.917 I think you were reading from Slide 25. Um, I believe 02:50:23.926 --> 02:50:29.386 yeah. So what it's basically um, showing you there 02:50:29.397 --> 02:50:32.417 Commissioner. Is the work that we've done um, in vegetation 02:50:32.426 --> 02:50:36.426 management since 2019 for enhanced vegetation management. 02:50:36.808 --> 02:50:41.058 Um from an effectiveness perspective, we experienced 02:50:41.067 --> 02:50:45.578 and were able to observe about a 7% reduction in ignitions. 02:50:45.848 --> 02:50:50.768 When you compare it to a baseline. And that's, uh you 02:50:50.777 --> 02:50:53.116 know what the effectiveness column is showing there. 02:50:53.457 --> 02:50:57.738 And then the translation into the 2023 risk reduction 02:50:57.748 --> 02:51:02.808 is the contribution. Uh, that vegetation management is providing 02:51:02.817 --> 02:51:07.998 for the overall 94% reduction that we're forecasting. 02:51:08.007 --> 02:51:11.926 And the way to kind of think about simply is that. Uh, the 02:51:11.937 --> 02:51:14.027 enhanced vegetation management work that we did. We 02:51:14.038 --> 02:51:19.676 did about 8,000 miles out of the 25,500. So it's taking 02:51:19.687 --> 02:51:23.998 the 7% effectiveness over those respective miles, right. 02:51:24.007 --> 02:51:29.886 And uh, we have a total of 25,500 miles of overhead, uh 02:51:29.897 --> 02:51:33.738 primary distribution lines. So said another way, there 02:51:33.748 --> 02:51:37.437 was about 17,000 miles where enhanced vegetation management 02:51:37.446 --> 02:51:39.598 work was not performed, right? So that's how you get 02:51:39.607 --> 02:51:43.248 to the translation of the 7% to the 1%. And what we're 02:51:43.257 --> 02:51:48.636 trying to say is when you compare that approach of 02:51:48.647 --> 02:51:51.937 vegetation management that we're taking. In relationship 02:51:51.946 --> 02:51:56.277 to our operational mitigations, like EPSS, like our 02:51:56.288 --> 02:52:00.357 down conductor, like a partial voltage. The level of 02:52:00.366 --> 02:52:03.437 risk reduction for the dollars that are being spent 02:52:03.788 --> 02:52:07.257 is far lower for vegetation management in relationship 02:52:07.268 --> 02:52:09.317 to the other operational mitigation. So that, that's 02:52:09.328 --> 02:52:13.127 what we are saying. Because you know the fires, you 02:52:13.136 --> 02:52:16.647 are pointing to Commissioner. Um, we did not have any of 02:52:16.656 --> 02:52:19.917 these operational mitigations in place at that point 02:52:19.926 --> 02:52:24.297 in time, right? So that provides another layer of control. 02:52:24.477 --> 02:52:26.937 And what we are not saying is that we're not doing 02:52:26.946 --> 02:52:29.047 any enhanced vegetation management we are, right. 02:52:29.058 --> 02:52:32.507 And I mentioned the focus tree program. And that's where 02:52:32.518 --> 02:52:35.757 we're using the risk models to identify a subset of 02:52:35.768 --> 02:52:40.107 25,500 miles that pose the highest risk from a hazard 02:52:40.116 --> 02:52:43.937 tree perspective. And are doing expanded vegetation 02:52:43.946 --> 02:52:47.007 management work in that, in that area. That that's 02:52:47.018 --> 02:52:51.167 that's what, that's trying to highlight that table. And, 02:52:51.176 --> 02:52:54.727 and does this, this analysis also account for of, 02:52:54.738 --> 02:52:58.257 um you know. Where you've done vegetation management 02:52:58.268 --> 02:53:01.777 and enhanced vegetation management stuff grows back. 02:53:01.877 --> 02:53:06.007 Yes. And, uh, you know and there needs to be a constant 02:53:06.018 --> 02:53:09.437 assessment and maintenance of that. That, that's correct 02:53:09.446 --> 02:53:12.058 Commissioner. And, and you know when we look at vegetation 02:53:12.067 --> 02:53:14.656 management. Um you know, we don't look at that as 02:53:14.667 --> 02:53:17.877 a permanent risk reduction, right? When we look at 02:53:17.886 --> 02:53:19.738 things like system hardening, whether it's covered 02:53:19.748 --> 02:53:23.988 conductor or undergrounding. We're really looking at those 02:53:23.998 --> 02:53:27.558 as permanent risk production. And as we did this analysis 02:53:27.567 --> 02:53:30.058 and when we completed our enhanced vegetation management 02:53:30.067 --> 02:53:33.386 work and we did about 1,800 to 2,000 miles per year. 02:53:34.107 --> 02:53:37.857 The subsequent year, we also had a maintenance program 02:53:37.866 --> 02:53:40.848 to make sure that we're left in that same condition 02:53:41.038 --> 02:53:45.527 of the initial work that was completed. Okay. Well, thank 02:53:45.538 --> 02:53:48.147 you. I, I continue to be interested. Um, many of us are 02:53:48.156 --> 02:53:52.707 interested in this area. And the um, Safety Policy Division, 02:53:52.716 --> 02:53:56.248 the OAS and, and so forth. I mean, you will no 02:53:56.257 --> 02:53:59.477 doubt continue to be doing the deep dive in, in this 02:53:59.488 --> 02:54:03.687 area, as as you are. Um, okay. Cheryl, here's my question 02:54:03.696 --> 02:54:08.147 for you. As, as Chair of the Board, lots of resources 02:54:08.156 --> 02:54:15.207 being put into the PG&E grid hardened the grid. To um, you 02:54:15.216 --> 02:54:18.107 know, bring in innovation and what have you. All geared 02:54:18.116 --> 02:54:23.366 towards uh, uh preventing uh, preventing wildfires. Towards 02:54:23.377 --> 02:54:26.147 uh, what happens you know if there's a wildfire not 02:54:26.156 --> 02:54:28.386 caused by your equipment and, and what have you. 02:54:28.397 --> 02:54:31.047 The, the all, all the things that have been outlined 02:54:31.058 --> 02:54:36.238 you know, today. Uh how, how do you as, as Chair of 02:54:36.248 --> 02:54:40.437 the Board and your colleagues. Look at that, in terms 02:54:40.446 --> 02:54:46.018 of are there also those opportunities as, as a 02:54:46.027 --> 02:54:51.848 state. We're looking at um, um transportation electrification 02:54:52.176 --> 02:54:57.738 uh at, uh additional tools to smarten the grid. Uh, as 02:54:57.966 --> 02:55:02.647 you know, the prospect of additional um, uh distributed 02:55:02.656 --> 02:55:06.627 energy. I mean are you, do you, are you looking at 02:55:06.636 --> 02:55:10.848 this more as a holistic effort? Uh I mean yes, there 02:55:10.857 --> 02:55:13.788 must be the focus on catch up on all those tags and 02:55:13.797 --> 02:55:17.837 what have you. The undergrounding, the cover inductor and 02:55:17.848 --> 02:55:23.107 on and on. But in around all that, do you have folks 02:55:23.116 --> 02:55:28.348 looking at in, in doing this. That it does it also help 02:55:28.357 --> 02:55:32.027 to reduce some costs in terms of putting in new transmission 02:55:32.038 --> 02:55:35.647 lines or, or what have you. And, and I'm not sure 02:55:35.656 --> 02:55:38.937 if you're familiar with the in the micro grid effort 02:55:38.946 --> 02:55:43.738 the North Coast Resiliency Initiative. Um and, and 02:55:43.748 --> 02:55:46.248 if you aren't, that's okay. But it is where, you know 02:55:46.257 --> 02:55:51.788 your, your teams at PG&E and our teams at, at the CPUC 02:55:51.797 --> 02:55:56.187 plus the CCAs and local government. We were looking 02:55:56.196 --> 02:56:00.087 at um, what could be done in the face of the, the 02:56:00.098 --> 02:56:04.308 part, the prospect of many PSPSs. Okay. Uh, did there 02:56:04.317 --> 02:56:09.136 need to be focused effort in, in that area. And through 02:56:09.147 --> 02:56:12.757 lots of this work uh there, there's an anticipation 02:56:12.768 --> 02:56:17.616 of far less PSPSs. And so, you know, there's more 02:56:17.627 --> 02:56:22.116 laser like um analysis of, of that area. Uh so, so 02:56:22.127 --> 02:56:27.426 I'm asking is, is your Board looking also to the 02:56:27.437 --> 02:56:32.216 future as far as all these investments? And what else 02:56:32.227 --> 02:56:35.946 value added is there to all of these investments for 02:56:35.957 --> 02:56:40.248 the grid of the future? Um I'm, I'm happy to answer 02:56:40.257 --> 02:56:43.547 that. And Simit will either correct me where I'm wrong or 02:56:43.558 --> 02:56:49.676 kick me under the table, Commissioner. Um yes is a short 02:56:49.687 --> 02:56:53.607 answer. The Board is very interested in the broader 02:56:53.616 --> 02:56:57.857 picture and solving the problems in different ways, 02:56:57.866 --> 02:57:00.417 right? Microgrids, we've talked about microgrids. 02:57:00.727 --> 02:57:04.277 I will say that I think it's only been what a year 02:57:04.337 --> 02:57:09.156 or 18 months when we got a view of the broader strategy 02:57:09.176 --> 02:57:14.457 for PG&E. Again, you know, recall that the leadership 02:57:14.466 --> 02:57:18.277 team showed up. It's just been 2.5 years ago, right. 02:57:18.288 --> 02:57:21.147 So the first thing they needed to do was was solve 02:57:21.156 --> 02:57:28.337 some immediate challenges. Um, so uh we got a view of 02:57:28.348 --> 02:57:32.757 the broader strategy. Um, that addresses a lot of the 02:57:32.768 --> 02:57:36.768 things you're talking about EV adoption, electrification, 02:57:36.777 --> 02:57:41.647 microgrids, things of that nature. And the Board routinely 02:57:41.656 --> 02:57:44.136 over the course of the year in our meetings. We do 02:57:44.147 --> 02:57:46.707 have a theme for our different board meetings. Where 02:57:46.716 --> 02:57:50.386 we talk about specific aspects of the strategy and 02:57:50.397 --> 02:57:54.857 we do deep dives. And we learn about what the company 02:57:54.866 --> 02:58:00.127 is thinking, we ask questions. I will say that we push 02:58:00.136 --> 02:58:03.607 continually on benchmarking and looking at what other 02:58:03.616 --> 02:58:06.587 people are doing. Not only in the United States, but 02:58:07.038 --> 02:58:09.966 in other parts of the world. Where, you know, they have 02:58:09.977 --> 02:58:13.437 similar types of challenges that we have here on the 02:58:13.446 --> 02:58:16.107 in the Western US. And I will say it's a Western US 02:58:16.116 --> 02:58:20.167 problem, it's not just a California challenge. These 02:58:20.176 --> 02:58:24.647 wildfires and everything is, is much more extensive. 02:58:24.656 --> 02:58:28.257 So there's a lot of collaboration going on right now 02:58:28.268 --> 02:58:33.136 between some of the larger utilities in the US. Um 02:58:33.788 --> 02:58:40.687 got a session later this Summer on some of the challenges 02:58:40.696 --> 02:58:46.288 of um you know, moving forward with electrification 02:58:46.297 --> 02:58:51.176 and EV adoption. Um and, and I'm, I'm going to 02:58:51.187 --> 02:58:53.627 attend that. So I think that's going to be an interesting 02:58:53.636 --> 02:58:58.187 session. Uh, so we are working towards that. We are 02:58:58.196 --> 02:59:01.707 trying to keep our eye on the bigger, the bigger picture, 02:59:01.716 --> 02:59:04.957 right? As you know, the two big things for Boards, 02:59:04.966 --> 02:59:08.946 right is to hire the right CEO and then, you know, 02:59:08.957 --> 02:59:12.116 help with the strategy and what the view, the broader 02:59:12.127 --> 02:59:17.738 vision of the company. So we are moving smartly in 02:59:17.748 --> 02:59:21.406 that direction and I would expect us to continue to 02:59:21.417 --> 02:59:25.937 move in the same direction. Of continuing to do deep 02:59:25.946 --> 02:59:29.357 dives at regular Board Meetings and learning more wherever 02:59:29.366 --> 02:59:34.156 we can. Okay, thank you. Did I mess any of that up? No. Cheryl, you 02:59:34.167 --> 02:59:37.417 stated that perfectly. But the only thing I'd, I'd highlight 02:59:37.426 --> 02:59:40.627 is the way we're operationalizing that Commissioner is 02:59:40.636 --> 02:59:43.288 through a process called integrated grid planning. 02:59:43.917 --> 02:59:47.257 And, uh we're evaluating and super imposing multiple. 02:59:47.266 --> 02:59:51.055 Pull data layers on our electric grid. To identify where 02:59:51.066 --> 02:59:53.466 are we seeing obviously the wildfire risk, where are 02:59:53.476 --> 02:59:57.106 we seeing the need for capacity. So that where we can 02:59:57.116 --> 03:00:00.356 get, you know, the 2 first and 3 first from a solution 03:00:00.365 --> 03:00:02.875 perspective. As we're going to do the design for the 03:00:02.887 --> 03:00:05.665 grid and construct it. Let's make sure we're not doing 03:00:05.677 --> 03:00:08.575 it for 5 or 10 years. But we're doing it for the 03:00:08.586 --> 03:00:11.706 full asset life cycle with keeping all of those dimensions 03:00:11.715 --> 03:00:14.546 and elements on top of mind. And we're doing another 03:00:14.555 --> 03:00:16.267 deep dive with the Board coming up in the September 03:00:16.276 --> 03:00:22.887 meeting on that specific topic. 03:00:22.887 --> 03:00:26.527 Commissioner Reynolds, please go ahead. 03:00:26.527 --> 03:00:30.805 Thank you and thank you all for the briefing. Um, as 03:00:30.817 --> 03:00:33.457 well as for your continuing commitment and urgency 03:00:33.466 --> 03:00:37.175 around reducing risk on the system and in the organization. 03:00:37.625 --> 03:00:40.896 Um, I really appreciated your answer to President Reynolds 03:00:40.906 --> 03:00:45.735 about using risk, spend efficiency. To um, to push for 03:00:45.747 --> 03:00:48.625 both affordability and safety at the same time. And 03:00:48.637 --> 03:00:51.616 the emphasizing the the critical importance of that. 03:00:52.026 --> 03:00:55.017 I also appreciate that there is a pile of work to do. 03:00:55.425 --> 03:00:58.285 And that work fundamentally represents risk on the 03:00:58.297 --> 03:01:01.886 system. But I know you're all really focused on bringing 03:01:01.895 --> 03:01:04.856 down as effectively as possible. What I'd like to hear 03:01:04.866 --> 03:01:08.866 a little bit more about is um. How you think about 03:01:08.877 --> 03:01:12.285 the speed of risk reduction in the context of your 03:01:12.297 --> 03:01:14.866 overall planning? And you know as we've, we've talked 03:01:14.877 --> 03:01:16.716 about hardening here. You've shared with us some of 03:01:16.726 --> 03:01:19.267 your progress on undergrounding as one of your hardening 03:01:19.276 --> 03:01:24.017 strategies. Um, can you tell us a little bit more about 03:01:24.496 --> 03:01:27.157 how you're thinking about not only the effectiveness 03:01:27.166 --> 03:01:30.007 of any particular mitigation measure in a particular 03:01:30.017 --> 03:01:33.687 location? But also the speed with which you can effectuate 03:01:33.696 --> 03:01:35.937 that mitigation measure? And how you're, how you're 03:01:35.946 --> 03:01:41.987 navigating those sorts of decisions? Thank you, Commissioner 03:01:41.996 --> 03:01:44.886 for that question. Actually, the slide we're looking 03:01:44.895 --> 03:01:49.487 at perfectly highlights that. And this is actually one 03:01:49.496 --> 03:01:52.157 of the reasons why when you look at the top line for 03:01:52.166 --> 03:01:56.406 EPSS. The effectiveness is 68%, but the risk reduction 03:01:56.416 --> 03:01:59.785 is also 64%. It's not much of a difference. The reason 03:01:59.795 --> 03:02:04.976 is that capability exists for 100% of our high fire 03:02:04.986 --> 03:02:07.676 risk area miles, right? So when we talk about risk 03:02:08.095 --> 03:02:11.795 we look at both. What's the level of risk that we reduce 03:02:11.807 --> 03:02:14.226 based on that mitigation, that's kind of the effectiveness 03:02:14.236 --> 03:02:18.666 column. And then the point you're making about exposure 03:02:18.765 --> 03:02:22.007 which is how much of that mitigation can be applied 03:02:22.247 --> 03:02:27.946 over the 25,500 miles is what gives us that risk reduction. 03:02:27.956 --> 03:02:31.257 So one of the approaches we've taken and it's been 03:02:31.265 --> 03:02:33.826 a shift, it's been a fundamental shift in how we've 03:02:33.837 --> 03:02:37.696 approached wildfire safety. The approach that we were 03:02:37.706 --> 03:02:41.576 taking in 2019 was really continue to enhance situational 03:02:41.587 --> 03:02:45.307 awareness which hasn't changed. Moved to action on 03:02:45.625 --> 03:02:48.247 our rebuilding the system. It was pretty much covered 03:02:48.257 --> 03:02:51.856 conductor, right? So we've now added undergrounding to 03:02:51.867 --> 03:02:55.307 that given this level of effectiveness. And then really 03:02:55.315 --> 03:02:58.295 from a controls perspective, because we know that the 03:02:58.307 --> 03:03:01.146 hardening wasn't going to happen overnight. We relied 03:03:01.156 --> 03:03:05.277 on our enhanced maintenance practices, right? Both 03:03:05.285 --> 03:03:08.625 inspections and repairs and our vegetation management. 03:03:08.986 --> 03:03:12.595 We really did not have any type of operational mitigation 03:03:12.606 --> 03:03:16.867 and solutions in place. And that's where when the innovation 03:03:16.875 --> 03:03:22.625 of EPSS really gave us that catalyst. Because we recognized 03:03:22.636 --> 03:03:26.265 we can actually implement that broadly very quickly 03:03:26.277 --> 03:03:29.367 for the entirety of our high fire risk area. The partial 03:03:29.375 --> 03:03:31.936 voltage for which is another operational mitigation. 03:03:32.206 --> 03:03:35.886 We realized we have 550,000 smart meters and we have 03:03:35.896 --> 03:03:39.337 to install a hardware component which we did over the 03:03:39.345 --> 03:03:42.217 last year or so the last two years. And now we have 03:03:42.226 --> 03:03:45.476 the ability to be able to detect any voltage fluctuations 03:03:45.486 --> 03:03:48.636 remotely and the signal is sent to our control center. 03:03:48.646 --> 03:03:51.747 And the control center technicians can actually proactively 03:03:51.757 --> 03:03:54.456 deenergize if there's at risk situation. And that's 03:03:54.467 --> 03:03:58.136 fully operational for 100% of the high fire risk area. 03:03:58.456 --> 03:04:00.257 It's the same thing for the down conductor. So we're 03:04:00.265 --> 03:04:03.816 really shifting to the fact that we know it takes time 03:04:03.826 --> 03:04:05.987 to do the permanent risk reduction with the system 03:04:05.995 --> 03:04:08.805 redesigned and the rebuild. How do we put those controls 03:04:08.816 --> 03:04:11.745 in place as interim measures. Recognizing that they 03:04:11.757 --> 03:04:14.966 come with that reliability trade off. And then really 03:04:14.977 --> 03:04:18.831 laser in and hone in on improving the customer experience 03:04:18.841 --> 03:04:22.391 both from out of frequency and minimizing the disruption 03:04:22.401 --> 03:04:24.632 for our customers. So that's really the fundamental 03:04:24.761 --> 03:04:29.112 shift I would say in our wildfire strategy from 2019. 03:04:29.120 --> 03:04:32.271 And this shift really started to happen in 2021 and 03:04:32.281 --> 03:04:35.115 in all earnest last year. 03:04:35.115 --> 03:04:38.206 Think it's really helpful to understand as a, a follow 03:04:38.216 --> 03:04:41.636 on. I'm, I'm really curious about how you will think 03:04:41.646 --> 03:04:45.836 about your longer term asset hardening plans. As you 03:04:45.845 --> 03:04:49.336 get more experience with them and have some more observations 03:04:49.345 --> 03:04:51.826 about how quickly you can perform that work. What sort 03:04:51.836 --> 03:04:56.227 of what will go into your decisions about um, the speed 03:04:56.237 --> 03:04:58.305 with which you can carry out that work? And whether 03:04:58.316 --> 03:05:02.196 or not it's appropriate to rely on operational mitigations? 03:05:02.206 --> 03:05:05.547 Given the timeline that you are observing in the future. 03:05:06.107 --> 03:05:08.995 Thank you, Commissioner. So again, I think you know 03:05:09.007 --> 03:05:14.146 what are the factors that go into that. Is first making 03:05:14.156 --> 03:05:18.035 sure that the speed does not compromise the ability 03:05:18.047 --> 03:05:21.626 to be able to safely execute that work. So that's always 03:05:21.636 --> 03:05:23.995 our non negotiable as a starting point when we start 03:05:24.007 --> 03:05:28.516 to redesign any of our processes. The elements that 03:05:28.526 --> 03:05:33.477 we're really looking at to further improve the execution 03:05:33.487 --> 03:05:37.396 efficiency. I would say of our system hardening work 03:05:37.406 --> 03:05:40.766 is really around bringing innovative construction methods 03:05:40.776 --> 03:05:44.167 and techniques to bear and also challenging some of 03:05:44.177 --> 03:05:47.216 the design standards that have existed for quite some 03:05:47.227 --> 03:05:50.836 time. And uh, you know it's interesting how in organizations. 03:05:50.845 --> 03:05:53.716 Where something that may be a standard, which is much 03:05:53.727 --> 03:05:57.896 more conservative Than what's required by our regulations 03:05:57.906 --> 03:06:01.737 becomes that institutional standard. And uh you know, 03:06:01.745 --> 03:06:05.516 we've realized for example, the depth of the trench 03:06:05.526 --> 03:06:08.845 for undergrounding. Is something that we can actually reduce 03:06:08.857 --> 03:06:12.876 from 36 inches to 30 inches to 24 inches safely. And 03:06:12.886 --> 03:06:14.935 our peers in Southern California are doing that, we 03:06:14.946 --> 03:06:18.326 learned that from them. And that dramatically increases 03:06:18.336 --> 03:06:23.035 the pace at which we can actually install some of the 03:06:23.047 --> 03:06:27.107 lines underground. The mention and the reference I 03:06:27.115 --> 03:06:31.576 talked about with a ground level, uh kind of a distribution 03:06:31.586 --> 03:06:34.376 system. I know that sounds maybe out of the box, but 03:06:34.386 --> 03:06:36.495 it's actually a pilot that we're doing in Woodside. 03:06:36.785 --> 03:06:41.107 And uh you know, it's basically a fireproof covering that 03:06:41.115 --> 03:06:45.805 gets installed at a 6 inch depth of cover. It's resilient 03:06:45.816 --> 03:06:48.156 to excavation damage and it gives the ability to be 03:06:48.167 --> 03:06:52.646 able to pull in that conductor through that covered 03:06:52.656 --> 03:06:56.595 section, protective section. Very, very quickly and 03:06:56.607 --> 03:06:59.776 rapidly. So those are the types of innovations that 03:06:59.785 --> 03:07:03.115 we're bringing to bear. To be able to help increase 03:07:03.126 --> 03:07:06.196 the pace at which we could do the system hardening 03:07:06.206 --> 03:07:09.727 the redesign. Yet, not compromise safety because we 03:07:09.737 --> 03:07:12.535 know that that not only provides the risk reduction 03:07:12.547 --> 03:07:17.120 from wildfires. But also provides reduction in PSPS 03:07:17.160 --> 03:07:21.060 mitigates the EPSS outages. And when we see the extreme 03:07:21.172 --> 03:07:25.141 Winter or snow storms is resilient in that and improves 03:07:25.151 --> 03:07:27.901 reliability for our communities and customers. So those 03:07:27.910 --> 03:07:29.542 are the things that we're looking at to be able to 03:07:29.552 --> 03:07:33.591 help really drive the pace of both the innovation and 03:07:33.602 --> 03:07:35.641 the speed at which we're able to do permanent risk 03:07:35.651 --> 03:07:40.636 reduction faster. 03:07:40.636 --> 03:07:44.727 Thank you. Sure. 03:07:44.727 --> 03:07:48.816 Commissioner Douglas, please go ahead. 03:07:48.816 --> 03:07:51.107 All right. Well, thank you very much and I appreciate 03:07:51.115 --> 03:07:56.227 the presentation. Um, I wanted to ask more about what 03:07:56.237 --> 03:08:01.446 community vulnerability factors you consider in wildlife, 03:08:01.487 --> 03:08:06.026 wildlife wildfire mitigation planning? How you use 03:08:06.035 --> 03:08:09.297 those factors to inform your planning and decision 03:08:09.305 --> 03:08:15.757 making? And you know, in particular how you apply those 03:08:15.766 --> 03:08:19.757 factors when you look at uh, consequences of wildfire 03:08:20.286 --> 03:08:24.587 on, on communities? Sure. Um thank you, Commissioner 03:08:24.597 --> 03:08:28.976 for that question. So, um one of the areas that um we're 03:08:28.986 --> 03:08:32.406 actually working on developing. It's not fully operational 03:08:32.415 --> 03:08:35.376 yet, but we're actively, you know, developing and we're 03:08:35.386 --> 03:08:39.055 actually working with uh the UCLAS Risk Institute uh 03:08:39.065 --> 03:08:44.347 to be able to do this. Is to also evaluate the demographics 03:08:44.636 --> 03:08:48.386 the population, the vulnerabilities that exist in some 03:08:48.396 --> 03:08:52.476 of our urban wildland interfaces. And the one way that 03:08:52.486 --> 03:08:57.587 we're considering that additional consequential risk 03:08:57.597 --> 03:09:00.795 factors through implications of ingress and egress 03:09:00.996 --> 03:09:05.491 into a community. And it's not just about the evacuation 03:09:05.501 --> 03:09:09.072 procedures, right? That that respective community has 03:09:09.082 --> 03:09:12.430 their effectiveness. The ability to be able to safely 03:09:12.440 --> 03:09:16.001 evacuate and to be able to get the first responders 03:09:16.011 --> 03:09:18.021 into the community at the same time. Which obviously 03:09:18.031 --> 03:09:21.231 was a significant challenge in the community of Paradise, 03:09:21.241 --> 03:09:24.741 when the Camp Fire broke out in 2018. But also based 03:09:24.751 --> 03:09:27.332 on the demographics and the vulnerabilities that exist 03:09:27.342 --> 03:09:30.011 of the population there. Do they even have the ability 03:09:30.310 --> 03:09:34.675 to be able to, um evacuate? So those are some of the factors 03:09:34.766 --> 03:09:37.847 that we're currently working on. To be able to further 03:09:37.856 --> 03:09:41.837 integrate into our consequence dimension of our risk 03:09:41.847 --> 03:09:44.866 model. So that's somewhat forthcoming in terms of that 03:09:44.876 --> 03:09:47.435 prioritization. But one of the things that we do, do 03:09:47.545 --> 03:09:50.736 as part of when there's an outage that happens. As a 03:09:50.746 --> 03:09:53.986 result of a public safety power shut off program or 03:09:53.996 --> 03:09:57.507 enhanced power line safety setting. Medical baseline 03:09:57.516 --> 03:10:00.435 customers or those that are self identified, vulnerable 03:10:00.447 --> 03:10:05.106 customers. Um we actually have their information in our 03:10:05.116 --> 03:10:08.286 customer billing system. We do reach out to them. We 03:10:08.295 --> 03:10:11.415 offer the portable batteries if they obviously are 03:10:11.425 --> 03:10:16.425 relying on a medical device from electric or energy 03:10:16.435 --> 03:10:19.685 source perspective. To be able to provide them with 03:10:19.697 --> 03:10:23.305 a replacement when you know an outage happens. We're 03:10:23.315 --> 03:10:27.337 working with, uh and we've got a engagement with nearly 03:10:27.347 --> 03:10:29.906 all of the counties in the high fire risk area through 03:10:29.915 --> 03:10:33.175 a community based organization. On things like the California 03:10:33.185 --> 03:10:37.055 Foundation of Independent Living Centers or CFILC. 03:10:37.435 --> 03:10:40.996 Where uh, they actually in turn work with the local communities 03:10:41.007 --> 03:10:44.016 to understand what is the specific need, when there 03:10:44.026 --> 03:10:47.036 may be an outage. We may need to have individuals that 03:10:47.045 --> 03:10:51.536 have been transported to a hotel. So we actually provide 03:10:51.577 --> 03:10:56.136 subsidize the transportation as well as the relocation 03:10:56.146 --> 03:10:58.386 from a hotel voucher perspective. So just making sure 03:10:58.396 --> 03:11:00.957 that the needs that the community and those individuals 03:11:00.967 --> 03:11:05.007 have that may be most vulnerable is specific. For individual 03:11:05.016 --> 03:11:08.295 to individual and try to be very, very specific in 03:11:08.305 --> 03:11:10.947 that capacity and responsive as well. One of the other 03:11:10.957 --> 03:11:12.786 things that we've done is created that partnership 03:11:12.795 --> 03:11:16.986 through the statewide 211 process. Which actually provides 03:11:17.065 --> 03:11:19.415 again the ability to be able to mobilize some of these 03:11:19.425 --> 03:11:24.636 resources during these types of events. Okay, thank you. 03:11:24.646 --> 03:11:27.226 What's your time frame for the work, you said that's 03:11:27.236 --> 03:11:30.915 in progress to integrate these factors more? Yeah, 03:11:30.925 --> 03:11:33.507 we're, we're working on the commissioner that uh the 03:11:33.516 --> 03:11:38.116 the, the the modules now and we have a process whereby 03:11:38.126 --> 03:11:40.396 we actually do the development that we do the testing 03:11:40.406 --> 03:11:43.185 that we actually do the validation of the data. So 03:11:43.197 --> 03:11:46.636 I expect, you know, the modules to be, you know, implemented 03:11:46.646 --> 03:11:50.315 into the next iteration of our risk models going into 03:11:50.327 --> 03:11:55.376 2024 and 2025 timeframe. Okay. Um, since you brought 03:11:55.386 --> 03:11:59.236 up EPSS. I had a question or two about that too. Um, 03:11:59.707 --> 03:12:04.935 it seems to cover a very large area. Are there steps 03:12:04.947 --> 03:12:10.746 that you're taking to consider whether it really needs 03:12:10.757 --> 03:12:14.425 to be kind of that large an area? Or otherwise to just 03:12:14.435 --> 03:12:20.587 factor in impacts on customers from the power outages? 03:12:20.685 --> 03:12:24.197 As you think about where those areas are appropriate 03:12:24.837 --> 03:12:27.886 So Commissioner, one of the things that we do is um, 03:12:27.935 --> 03:12:31.185 you know, there's a key distinction between what's 03:12:31.197 --> 03:12:36.165 called EPSS capable and what's EPSS enabled. So I'll 03:12:36.175 --> 03:12:38.876 just give you a quick distinction. So the capable is 03:12:39.246 --> 03:12:41.847 what you've mentioned, right? That we have coverage 03:12:41.856 --> 03:12:44.165 for the entirety of our high fire risk area. Plus the 03:12:44.175 --> 03:12:46.776 adjacent areas, in case there's a fire that happens 03:12:47.036 --> 03:12:50.467 next to a high fire risk area. And traverses into that 03:12:50.476 --> 03:12:54.217 specific area itself. And this is basically setting 03:12:54.226 --> 03:12:57.616 the devices going out in the field and uploading them 03:12:57.626 --> 03:13:01.016 with a smart algorithm. So we completed that in its 03:13:01.026 --> 03:13:07.077 entirety in 2022. And then what I call cape enabled 03:13:07.425 --> 03:13:11.717 and we only enable when the fire risk is elevated. 03:13:11.925 --> 03:13:17.376 It's no different than having a remotely controlled 03:13:17.386 --> 03:13:21.425 ability to be able to arm and disarm your home alarm 03:13:21.435 --> 03:13:24.776 system. So similar to that in our control centers, 03:13:24.886 --> 03:13:27.447 our control technicians can push a button. And they 03:13:27.457 --> 03:13:32.366 can actually enable or arm the EPSS, a specific circuit. 03:13:32.376 --> 03:13:34.156 It doesn't have to be the entirety of the circuit. 03:13:34.376 --> 03:13:37.236 It's actually a circuit section from device to device. 03:13:37.526 --> 03:13:41.236 And we enable and disable based on what we're forecasting 03:13:41.246 --> 03:13:44.786 in terms of fuel conditions. As well as potential fire 03:13:44.795 --> 03:13:48.315 risks. So we don't have the system enabled 100% of 03:13:48.327 --> 03:13:52.376 the time, all the time. It's really predicated on what 03:13:52.386 --> 03:13:54.847 is the fire risk that we're seeing. And for example 03:13:54.947 --> 03:13:58.435 today we're seeing fog and higher humidity levels on 03:13:58.447 --> 03:14:02.366 the coast. Those circuits are not EPSS enabled, but they 03:14:02.376 --> 03:14:06.795 are capable. So if we see a heat wave that's forecasted 03:14:06.805 --> 03:14:09.616 over the next three days. We have the ability to be 03:14:09.626 --> 03:14:13.286 able to put and implement the system in that posture 03:14:13.295 --> 03:14:17.636 before that weather risk starts to materialize. 03:14:17.636 --> 03:14:21.356 Ok, thank you. Sure. 03:14:21.356 --> 03:14:24.507 I do wanna circle back to Director Thomas Jacobs. So 03:14:24.516 --> 03:14:26.925 please go ahead with your questions. Oh, thank you. 03:14:26.935 --> 03:14:30.097 Um so we, you've talked a lot about that, there's so 03:14:30.106 --> 03:14:33.935 much that you're working on. Um what are you, what 03:14:33.947 --> 03:14:37.226 have you chosen not to work on? Given that you have 03:14:37.236 --> 03:14:40.376 so many high priority concerns or initiatives? What 03:14:40.386 --> 03:14:44.146 are you not focused on? 03:14:44.146 --> 03:14:49.356 That's a great question. I'm trying to uh, reflect on 03:14:49.526 --> 03:14:52.847 what is it that I'm not focused on. So, um you know 03:14:52.856 --> 03:14:58.386 I would say. Uh the, the three key areas that um, I'm 03:14:58.396 --> 03:15:03.545 focused on. And obviously we've got, you know, a significant 03:15:03.555 --> 03:15:07.146 and tremendous team within the organization. My biggest 03:15:07.156 --> 03:15:11.685 focus is uh, culture. And it's enabling and empowering 03:15:12.055 --> 03:15:16.516 our 26,000 PG&E co-workers. To be safety managers, to 03:15:16.526 --> 03:15:19.467 be risk managers, to be good financial stewards of 03:15:19.476 --> 03:15:21.376 the dollars. That our friends, families and neighbors 03:15:21.386 --> 03:15:25.976 are entrusted and trusting us to spend. That is actually 03:15:26.026 --> 03:15:32.065 my key and singular focus. Um, as an example we do and I 03:15:32.077 --> 03:15:35.496 personally engage in this every 2 weeks across our 03:15:35.507 --> 03:15:38.915 service area. I go out to each of our regions and I 03:15:38.925 --> 03:15:41.435 started up in Eureka, and I'm going to hit every single 03:15:41.447 --> 03:15:45.295 part of our entire service area. And meet with one on 03:15:45.305 --> 03:15:49.226 one personally, right? It's typically 100-120 people, which 03:15:49.236 --> 03:15:53.467 is our first line supervisors and line managers. To 03:15:53.476 --> 03:15:57.347 have the discussion about the expectations on our stands 03:15:57.356 --> 03:16:00.016 about virtues, about purpose, about culture, about 03:16:00.026 --> 03:16:02.837 their leadership. Because to change fundamentally 03:16:02.847 --> 03:16:05.827 the culture at every level within the organization. 03:16:06.146 --> 03:16:08.536 We've got to get to the heart of our first line leaders. 03:16:08.545 --> 03:16:12.366 Because they're directly contacting and in touch with 03:16:12.376 --> 03:16:15.906 our first line teams. That are directly interfacing 03:16:15.915 --> 03:16:19.315 with all of our customers and our assets. So that's 03:16:19.327 --> 03:16:23.496 what I would say. I've got you know a key area of 03:16:23.507 --> 03:16:27.587 focus on, and that's what I look at as my primary responsibility. 03:16:27.597 --> 03:16:30.746 Because I know that once we unleash that potential 03:16:30.757 --> 03:16:35.226 and when we do that really starts to move the culture 03:16:35.236 --> 03:16:40.577 in every single facet of our business. 03:16:40.577 --> 03:16:45.347 One last question. Sure. Um, everything that we've talked 03:16:45.356 --> 03:16:48.856 about today, all is driven by data. Collecting the data, 03:16:48.866 --> 03:16:51.417 analyzing the data. Making decisions based on that data. 03:16:51.726 --> 03:16:54.746 How are you guys improving your data enterprise or 03:16:54.757 --> 03:16:57.625 your data governance to address the the exponential 03:16:57.637 --> 03:17:02.075 needs and demand on the way you manage data? 03:17:02.075 --> 03:17:05.825 You know a great question. So um, I made a reference 03:17:05.835 --> 03:17:09.625 to the amount of data that our meteorology team manages, 03:17:09.637 --> 03:17:13.397 right? So every day we process 8-10 billion data 03:17:13.407 --> 03:17:18.766 points, right? So we obviously have built up our capability 03:17:18.776 --> 03:17:21.887 but we have a lot more work to do in this space. 03:17:21.897 --> 03:17:25.216 And the place and, and how we have started this is 03:17:25.226 --> 03:17:29.276 to look at. One of those critical data attributes that 03:17:29.286 --> 03:17:34.157 drive key business decisions. So for example, when 03:17:34.167 --> 03:17:37.677 it comes to assets. It's looking at what do we know 03:17:37.687 --> 03:17:40.316 about the characteristics of the assets on things like. 03:17:40.325 --> 03:17:43.407 What's the material of the wire? The condition of the 03:17:43.417 --> 03:17:47.716 wire? When was it installed? Similar right to our poles 03:17:47.726 --> 03:17:51.157 on the electric side. And then what is the geospatial 03:17:51.167 --> 03:17:55.125 accuracy of our assets, that we have within our asset 03:17:55.137 --> 03:17:58.736 management systems? Compared to what you actually see 03:17:58.746 --> 03:18:02.585 in the field. Because those three key inputs of characteristics 03:18:02.595 --> 03:18:05.796 condition and geospatial accuracy are key inputs. To 03:18:05.806 --> 03:18:07.855 be able to help provide insights on what do we see 03:18:07.865 --> 03:18:11.105 the highest risk. And that's actually what we're basing 03:18:11.387 --> 03:18:15.236 a significant amount of our investments. In to be able 03:18:15.246 --> 03:18:18.625 to continue to help reduce the risk profile. So where 03:18:18.637 --> 03:18:21.105 we have started is for example, on the electric side. 03:18:21.286 --> 03:18:24.875 We started with our overhead distribution lines in 03:18:24.887 --> 03:18:29.187 the high fire risk areas. So we did a LiDAR in 2019, 03:18:29.196 --> 03:18:32.066 which I think you're aware of. And we captured the geospatial 03:18:32.075 --> 03:18:34.996 accuracy of those lines. And we actually went through 03:18:35.007 --> 03:18:38.746 a fairly significant effort to align the LiDAR data 03:18:38.897 --> 03:18:43.085 to our GIS system. And through that process, we identified 03:18:43.095 --> 03:18:46.016 2000 poles that were in the field and that were actually 03:18:46.095 --> 03:18:48.466 not in our records, in our system right? So that's 03:18:48.657 --> 03:18:51.966 a way of how we went about chewing up what's in the 03:18:51.976 --> 03:18:55.716 field versus what's in our asset management systems. 03:18:55.726 --> 03:19:00.671 And then we've actually worked with a entity nameless. 03:19:00.681 --> 03:19:03.812 But uh, we're the leading you know entities in terms 03:19:03.821 --> 03:19:07.802 of data integration in the Silicon Valley. And we implemented 03:19:07.812 --> 03:19:10.851 their solution 2 years ago. Where now we're able to 03:19:10.861 --> 03:19:14.831 take many of our disparate systems, whether it's GIS, 03:19:15.161 --> 03:19:19.066 SAP which includes our condition information. Uh, some 03:19:19.075 --> 03:19:22.375 of our veg management systems. And be able to integrate 03:19:22.387 --> 03:19:26.316 all of that into one user interface. That we then use 03:19:26.325 --> 03:19:29.516 to be able to help feed into our risk models. So that's 03:19:29.526 --> 03:19:33.516 one way of how we've accelerated the data management 03:19:33.556 --> 03:19:37.647 side of things. We hired a Chief Data Officer two years 03:19:37.657 --> 03:19:41.075 ago. Through a Chief Data Officer, we've established 03:19:41.085 --> 03:19:44.855 what we call data stores. In every part of our function 03:19:45.095 --> 03:19:47.816 that actually have a key role to define what are the 03:19:47.825 --> 03:19:51.375 critical data attributes for every aspect of our business. 03:19:51.387 --> 03:19:54.566 What is the systems that we store that data in? What's 03:19:54.575 --> 03:19:57.137 our knowledge about the accuracy and quality of that 03:19:57.147 --> 03:20:00.976 data. And then we have a multi-year plan that's risk 03:20:00.986 --> 03:20:03.696 prioritized to go after and improve the quality and 03:20:03.706 --> 03:20:06.526 completeness of the most critical data attributes first. 03:20:06.556 --> 03:20:10.335 So it's a multi-pronged approach that we have taken. 03:20:10.507 --> 03:20:13.306 To be able to help address this issue and challenge. 03:20:15.907 --> 03:20:19.615 Thank you, no more questions. 03:20:19.615 --> 03:20:21.966 Please go ahead, President Reynolds. Thank you. I just 03:20:21.976 --> 03:20:25.546 have a follow-up to um Director Thomas Jacobs' question. 03:20:25.556 --> 03:20:30.075 Um, you talked about uh safety culture and really working 03:20:30.085 --> 03:20:36.296 with the 26,000 employees at PG&E. Um, but you also 03:20:36.306 --> 03:20:41.407 mentioned earlier 15,000 contractors. How do you, uh 03:20:41.417 --> 03:20:45.226 you know, achieve the same standards of safety culture 03:20:45.236 --> 03:20:48.177 and you know, the importance of, of that aspect of 03:20:48.187 --> 03:20:51.147 what you do. How does that work with the contractors? 03:20:51.157 --> 03:20:53.657 Yeah great question, President Reynolds. I'll start it off 03:20:53.667 --> 03:20:57.167 and I'll invite uh, Matt to also you know chime in. 03:20:57.177 --> 03:20:59.966 So, you know, one of the things President Reynolds 03:20:59.976 --> 03:21:02.966 that we've actually started to implement. Is what we 03:21:02.976 --> 03:21:06.687 call a contractor safety assurance review. It's something 03:21:06.696 --> 03:21:09.816 that we've implemented here in the last six months 03:21:09.825 --> 03:21:13.316 or so. And it's a process that we have undertaken. And 03:21:13.325 --> 03:21:17.177 it's our safety team that does this, we actually evaluate. 03:21:17.687 --> 03:21:21.276 Does that respective contract partner have a safety 03:21:21.286 --> 03:21:24.456 management system? So what does that mean? Our teams 03:21:24.466 --> 03:21:28.865 actually go out with them and we evaluate, and we sit 03:21:28.875 --> 03:21:32.046 with their leadership. Including their respective safety 03:21:32.056 --> 03:21:35.845 managers, chief safety officers. And we have them walk 03:21:35.855 --> 03:21:39.736 us through, how do they approach safety in their organization? 03:21:40.365 --> 03:21:46.417 Do they have a near miss program? Do they track observations 03:21:46.427 --> 03:21:49.706 of near misses? Do they have leadership that goes out 03:21:49.716 --> 03:21:51.937 in the field? The same questions you're asking of us. 03:21:51.946 --> 03:21:56.316 And engage with their respective co-workers to understand 03:21:56.325 --> 03:22:00.956 what's on top of mind for them. And we develop, we 03:22:00.966 --> 03:22:04.365 have a standard now on what we expect in terms of elements 03:22:04.375 --> 03:22:09.085 of having a sound contractor safety program. And we 03:22:09.095 --> 03:22:12.855 evaluate their effectiveness. Against that including 03:22:12.966 --> 03:22:15.855 the areas where they may have a gap. In addition to 03:22:15.865 --> 03:22:18.946 that, we do independent confirmation and validation. 03:22:19.257 --> 03:22:23.667 We have our own field safety observers that go out 03:22:23.677 --> 03:22:27.736 and engage with the contract crews. And we identify 03:22:27.746 --> 03:22:31.605 that we determine a high risk observation. Or observation 03:22:31.615 --> 03:22:33.696 that could have been life threatening because someone 03:22:33.996 --> 03:22:37.897 was either unknowingly or knowingly taking a shortcut 03:22:37.907 --> 03:22:40.796 and violating a safety procedure and a protocol, and 03:22:40.806 --> 03:22:43.387 we stand that crew down. We stand the leadership down. 03:22:43.397 --> 03:22:45.605 We stand the company down and we've done that on multiple 03:22:45.615 --> 03:22:50.167 occasions. We've transitioned several contract companies 03:22:50.257 --> 03:22:53.246 that we no longer partner with. Because their safety 03:22:53.257 --> 03:22:57.687 values are not aligned with our safety values. So that's 03:22:57.696 --> 03:23:00.456 the approach that we're taking. That uh, you know, the 03:23:00.466 --> 03:23:03.575 standards that we're holding our teams up to. Is the 03:23:03.585 --> 03:23:06.956 same standards that we expect our contract partners 03:23:07.125 --> 03:23:10.637 to uphold as well. And one of the things we're also 03:23:10.647 --> 03:23:14.585 initiating is a best practice safety sharing forum. 03:23:14.637 --> 03:23:17.316 Because when it comes to safety, there's no competition 03:23:17.325 --> 03:23:20.546 from our perspective, right? Even between the contractors. 03:23:20.556 --> 03:23:22.966 And there's things that we can do to learn from them 03:23:23.075 --> 03:23:26.056 and things they can do to learn from us. So that's 03:23:26.066 --> 03:23:28.897 really the way that we're approaching it, President 03:23:28.907 --> 03:23:32.286 Reynolds. And taking a much more hands on type of an 03:23:32.296 --> 03:23:34.816 approach with them. And I don't know, Matt, if you 03:23:34.825 --> 03:23:37.355 want to add to that. Yeah, I just, I would add one 03:23:37.365 --> 03:23:41.036 thing that I think has been instrumental in where we're 03:23:41.046 --> 03:23:43.757 headed. Ad the improvements we've seen in our contractor 03:23:43.766 --> 03:23:47.845 safety. So since December, we've partnered with our 03:23:47.855 --> 03:23:51.236 contractors post event and they're now leading root 03:23:51.246 --> 03:23:55.417 cause evaluations to our standards. So that's a, that's 03:23:55.427 --> 03:23:58.507 a significant shift. And one thing I will say is we've 03:23:58.516 --> 03:24:01.507 changed our standards and root cause evaluations to 03:24:01.516 --> 03:24:04.605 match that of nuclear. So it's been a learning curve 03:24:04.615 --> 03:24:07.345 for them. So we're partnered with each of the contractors. 03:24:07.355 --> 03:24:11.796 But post serious injury or fatality with the contractor 03:24:11.806 --> 03:24:16.196 or even if it's a potential. The contractor will lead 03:24:16.206 --> 03:24:18.615 the cause evaluation and it will go through our corrective 03:24:18.625 --> 03:24:22.056 action review board that will include organizational 03:24:22.066 --> 03:24:26.605 and cultural reviews using against similar tools, same 03:24:26.615 --> 03:24:29.806 or similar tools to nuclear. And how we assess and evaluate 03:24:29.816 --> 03:24:33.736 culture within it and any contributing or direct causes 03:24:33.746 --> 03:24:37.726 from our contractor. And in fact, in early first quarter 03:24:37.736 --> 03:24:40.647 of this year, we had a contractor submit a root cause 03:24:40.657 --> 03:24:44.375 evaluation. We provided them feedback along the way, 03:24:45.266 --> 03:24:47.887 didn't meet our standards. We failed it at their carb, 03:24:47.897 --> 03:24:50.507 we stood down their work, and kicked it back to them. 03:24:50.516 --> 03:24:53.125 And said, you can either go back and do the specifically 03:24:53.137 --> 03:24:56.855 you can do the culture work. Or you can work with us 03:24:56.865 --> 03:24:59.456 and they went back and, and dug deep and looked at 03:24:59.466 --> 03:25:02.196 their culture. And took corrective actions around their 03:25:02.206 --> 03:25:04.306 leadership engagement in the field with their front 03:25:04.316 --> 03:25:07.786 line workers as well. So I'm very proud of that. Like 03:25:07.796 --> 03:25:09.825 I said, cap was one of the first things I wanted to 03:25:09.835 --> 03:25:12.986 go after with the with the team. And we've implemented 03:25:12.996 --> 03:25:16.075 that this year. And so we still again still a journey 03:25:16.085 --> 03:25:18.056 that we're on with our teams. But I thought that was 03:25:18.066 --> 03:25:23.187 another one worth highlighting. 03:25:23.187 --> 03:25:26.335 Thank you. 03:25:26.335 --> 03:25:28.825 Thank you Commissioners, Director Thomas Jacobs and 03:25:28.835 --> 03:25:32.266 PG&E representatives. We will now turn to the public 03:25:32.276 --> 03:25:35.316 comment portion of today's agenda. I asked that Bear 03:25:35.325 --> 03:25:37.927 Valley and PG&E representatives, please remain toward 03:25:37.937 --> 03:25:39.976 this portion. So that you may hear what the public may 03:25:39.986 --> 03:25:43.585 say. Comments from those, uh of the public who are here 03:25:43.595 --> 03:25:46.806 in-person will be taken first. Followed by comments 03:25:46.816 --> 03:25:50.446 on the public comment telephone line. If you are in- 03:25:50.456 --> 03:25:52.996 person and wish to make a public comment, please visit 03:25:53.007 --> 03:25:56.187 the Public Adviser's Office table. To add your name 03:25:56.196 --> 03:25:59.677 to the public comment list. If you wish to make a public 03:25:59.687 --> 03:26:06.696 comment by telephone dial into 1-800-857-1917, and enter 03:26:06.706 --> 03:26:14.736 passcode 1765767# for the English line. And passcode 03:26:14.746 --> 03:26:22.085 3799627# for the Spanish line. And unmute your phone, 03:26:22.095 --> 03:26:25.427 press *1 and record your first and last name 03:26:25.437 --> 03:26:28.677 slowly and clearly when prompted. You will be placed 03:26:28.687 --> 03:26:31.566 into a queue and you will be called upon to speak in 03:26:31.575 --> 03:26:35.375 the order your call was received. With that guidance 03:26:35.387 --> 03:26:39.546 in mind, I welcome today's speakers. Is there anyone 03:26:39.556 --> 03:26:41.845 in the room who would like to make a public comment? 03:26:44.286 --> 03:26:46.507 Well, with no speakers in the room. I will now turn 03:26:46.516 --> 03:26:48.927 to the operator to open the public comment telephone 03:26:48.937 --> 03:26:51.816 line. Operator, do we have any speakers on the line? 03:26:53.387 --> 03:26:55.865 Thank you. And at this time, we have no callers in 03:26:55.875 --> 03:26:58.407 queue. But if if you would like to make a comment, 03:26:58.446 --> 03:27:01.716 please unmute your phone, press *1 and record 03:27:01.726 --> 03:27:05.036 your first and last name slowly and clearly when prompted. 03:27:06.095 --> 03:27:08.496 It will take a few moments for question, for comments 03:27:08.507 --> 03:27:39.516 to be in queue one moment. 03:27:39.516 --> 03:27:43.085 And at this time, we have no callers in queue. Thank 03:27:43.095 --> 03:27:47.397 you Operator. With no more comments on the line or no 03:27:47.407 --> 03:27:50.875 comments on the line. Um, the public comment period 03:27:50.887 --> 03:27:54.956 is closed. Thank you to uh, Commissioners and I will 03:27:54.966 --> 03:27:58.637 turn it over to uh, President Reynolds for some closing 03:27:58.647 --> 03:28:00.907 remarks. 03:28:00.907 --> 03:28:05.456 Sure. Um I wanted to first of all, thank the presenters 03:28:05.466 --> 03:28:09.806 today. Um, really appreciated the presentations and 03:28:09.816 --> 03:28:13.696 also the answers to our questions. I think it's um, 03:28:13.855 --> 03:28:16.835 uh obvious from, you know, the nature of our questions. 03:28:16.845 --> 03:28:20.937 And the time that we spend um on, on these presentations. 03:28:20.946 --> 03:28:25.407 That, that uh as regulators, um Commissioners and Director 03:28:25.417 --> 03:28:28.546 Thomas Jacobs. This is an issue that we take very seriously. 03:28:28.556 --> 03:28:31.835 We're very interested and concerned about the actions 03:28:31.845 --> 03:28:35.446 that your companies are taking um, related to safety. 03:28:35.796 --> 03:28:38.845 Um, so I'm not gonna go through and, and reiterate all 03:28:38.855 --> 03:28:41.306 of the things that we talked about today. But I will 03:28:41.316 --> 03:28:44.816 just note that um, each one of the, the subjects 03:28:44.825 --> 03:28:49.147 we covered is very important. Um, and we look forward 03:28:49.157 --> 03:28:52.365 to continued efforts throughout the year and to seeing 03:28:52.375 --> 03:28:56.246 you again next year to hear about updates. I did want 03:28:56.257 --> 03:29:01.462 to just um, emphasize two points. Um one is the uh, the 03:29:01.471 --> 03:29:04.641 need to connect with communities. And so you heard 03:29:04.651 --> 03:29:07.682 that point made by some of the questions from Commissioners 03:29:07.692 --> 03:29:12.022 today. And just, you know, I wanted to emphasize how 03:29:12.033 --> 03:29:14.543 um, that's something that, that we do focus on in our 03:29:14.553 --> 03:29:18.313 work um, as regulators. And appreciated the comments 03:29:18.323 --> 03:29:22.932 that I heard both not just the focusing on the communities 03:29:22.942 --> 03:29:25.849 at the company, but your your employee community, but 03:29:25.859 --> 03:29:29.468 the communities you serve. And as leaders of the company 03:29:29.478 --> 03:29:33.218 whose job is, is to serve customers and communities. 03:29:33.228 --> 03:29:36.218 Um, I wanted to emphasize the importance of connecting 03:29:36.228 --> 03:29:39.218 with them and talking to them about your work and paying 03:29:39.228 --> 03:29:43.369 attention to the impacts of what you're doing. Um, as 03:29:43.378 --> 03:29:46.908 well as the uh, the needs um as you move forward on 03:29:46.918 --> 03:29:50.105 your safety work. Um, and then the second thing is uh, 03:29:50.115 --> 03:29:53.546 the discussion we had about planning for the future. 03:29:53.816 --> 03:29:56.927 And um, I don't want to be in a situation where all 03:29:56.937 --> 03:29:59.345 of us have been so busy staring at what's in front 03:29:59.355 --> 03:30:02.716 of us that we're not prepared for the future. We don't 03:30:02.726 --> 03:30:06.137 have a crystal ball, um I wish we did especially because 03:30:06.147 --> 03:30:08.496 we know that conditions are changing and they're changing 03:30:08.507 --> 03:30:11.796 very rapidly. Um, but we do know to some extent what 03:30:11.806 --> 03:30:15.236 to expect. And so the, the work that you're doing on 03:30:15.246 --> 03:30:19.946 the um, and the integrated grid planning. Um, is something 03:30:19.956 --> 03:30:23.335 that um I expect will be a continued focus at the Commission. 03:30:23.625 --> 03:30:27.016 And um, so I wanted to emphasize that as something that 03:30:27.026 --> 03:30:29.507 I appreciated hearing that you're working on and taking 03:30:29.516 --> 03:30:34.325 into account. So with that, I don't have any additional 03:30:34.335 --> 03:30:36.946 remarks, but I wanted to turn to Director Thomas Jacobs. 03:30:36.956 --> 03:30:39.825 To see if she wanted to make some remarks. Thank you, 03:30:39.835 --> 03:30:42.845 I appreciate that President Reynolds. And I just want 03:30:42.855 --> 03:30:45.966 to second my appreciation for all the speakers to come. 03:30:45.976 --> 03:30:49.446 And the level of depth and sincerity you brought to 03:30:49.456 --> 03:30:51.927 all of the issues that we're talking about today. I 03:30:51.937 --> 03:30:54.167 don't need to repeat what President said. But 03:30:54.177 --> 03:30:58.016 certainly second all of what she said. Um when I, when 03:30:58.026 --> 03:31:00.766 I think about the future, because I do. I can't emphasize 03:31:00.776 --> 03:31:03.236 enough how much I agree with that comment. That we have 03:31:03.246 --> 03:31:07.007 to be and we need you to be getting to anticipating 03:31:07.115 --> 03:31:10.157 right? Proactively anticipating what we're, what we're 03:31:10.167 --> 03:31:12.956 going to need. And being able to address those needs 03:31:12.966 --> 03:31:15.427 ahead of time as opposed to reacting after the issues 03:31:15.437 --> 03:31:18.306 happen. And that's, that's very difficult with the 03:31:18.316 --> 03:31:20.706 evolving climate. And I know that through the work 03:31:20.716 --> 03:31:25.226 that we're doing with CAVA. The risk modeling in looking 03:31:25.236 --> 03:31:27.657 at climate adaptation and integrating climate adaptation 03:31:27.667 --> 03:31:30.397 forecasts into the risk modeling is going to be critical 03:31:30.407 --> 03:31:34.615 to that, to that effort. So again, I appreciate all 03:31:34.625 --> 03:31:36.956 the effort you put into the presentations today. And 03:31:36.966 --> 03:31:39.157 just want to thank again the Commission for hosting 03:31:39.167 --> 03:31:41.887 this annual meeting. That we've now been doing for a 03:31:41.897 --> 03:31:44.726 few years. Uh, I appreciate the level of effort and 03:31:44.736 --> 03:31:48.736 all that you put into that. Thank you. 03:31:48.736 --> 03:31:52.825 Do other Commissioners, have any closing remarks? 03:31:52.825 --> 03:31:56.456 Okay. Well thank you Commissioners, Director Thomas 03:31:56.466 --> 03:32:00.026 Jacobs, and PG&E Representatives and Bear Valley. 03:32:00.036 --> 03:32:03.236 With that, um thank you for presentations, of your time. 03:32:03.246 --> 03:32:05.917 And with that, this meeting is adjourned. Thank you. 03:32:08.216 --> 03:32:10.206 And this concludes today's conference. Thank you for 03:32:10.216 --> 03:32:11.105 participating.