San Francisco Lawmaker Proposes Plan to Let Cities Break Away from PG&E

Legislation aims to allow San Francisco and other cities to form publicly owned utility companies

Published on Feb. 23, 2026

Got story updates? Submit your updates here. ›

Democratic Senator Scott Wiener plans to announce legislation that would allow San Francisco and other cities to break away from PG&E and form publicly owned utility companies. The move comes after a recent major power outage left parts of San Francisco in the dark for days, and Wiener says public power can bring lower rates for residents.

Why it matters

San Francisco has long sought to break away from PG&E, citing high rates and a desire for more local control over the power grid. This legislation could pave the way for San Francisco and other cities to form their own utilities, potentially reducing costs for residents. However, experts warn that this could shift wildfire costs onto the remaining PG&E ratepayers in more rural areas.

The details

Wiener's proposed legislation would allow cities to quickly break away from PG&E and form their own publicly owned utility companies. Currently, the process to do so is "unbelievably slow" and "very unfavorable" to cities, according to Wiener. The new legislation would streamline this process. Severin Borenstein, a professor at UC Berkeley, says this could allow San Francisco to buy out PG&E's poles and wires to become the distributor of electricity in the city. While this could reduce costs for San Francisco, Borenstein warns it may shift wildfire costs onto the remaining PG&E ratepayers in more rural areas.

  • Two months ago, a major power outage left parts of San Francisco in the dark for days.
  • Wiener plans to announce the new legislation on Monday.

The players

Scott Wiener

A Democratic state senator who plans to propose legislation allowing San Francisco and other cities to break away from PG&E and form publicly owned utility companies.

Severin Borenstein

A professor at UC Berkeley and faculty director of the Energy Institute at Haas School of Business, who explains how the proposed legislation could allow cities to buy out PG&E's infrastructure and become the electricity distributor.

PG&E

The investor-owned utility company that currently provides electricity to San Francisco and other areas of California.

Got photos? Submit your photos here. ›

What they’re saying

“San Francisco has been trying to break up with PG&E for a long time. The rates are extremely high and we know that public power can bring lower rates.”

— Scott Wiener, Democratic State Senator (CBS News)

“It means trying to buy out their poles and wires to be the distributor of electricity in the city. San Francisco is already its own entity in securing its electricity from generators. What would change, potentially, is they could own the specific distribution lines.”

— Severin Borenstein, Professor, UC Berkeley (CBS News)

“If the cities opt out, or could opt out of PG&E territory, what that's going to mean is all of those wildfire costs, which are really unavoidable, that's what climate change is doing to us, will be shifting on to the remaining rate payers.”

— Severin Borenstein, Professor, UC Berkeley (CBS News)

What’s next

Wiener plans to announce the new legislation on Monday that would allow San Francisco and other cities to break away from PG&E and form publicly owned utility companies.

The takeaway

This proposed legislation highlights the ongoing tensions between cities like San Francisco and the investor-owned utility PG&E. While the move towards public power could potentially lower rates for urban residents, it also raises concerns about shifting wildfire costs onto the remaining PG&E ratepayers in more rural areas.