Utilities Cite Losses Caused by Power Outage

Pacific Gas & Electric said the Aug. 10 power outage caused by the interstate electricity grid failure cost its customers $400 million in lost sales and manufacturing and that the utility lost $40 million. Testifying at a Los Angeles hearing held by the U.S. House subcommittee on water and power resources, PG&E; Vice President E. James Macias and other speakers blamed the outage on Bonneville Power Authority’s failure to keep trees trimmed and to communicate in time with its utility customers. Southern California Edison officials said it lost less than $10 million, and the Los Angeles Department of Water and Power said it suffered $1 million in losses. BPA administrator Randall Hardy told the hearing that his agency has instituted numerous management changes since the outage, including expanding his tree-trimming budget.