Prosecutor: Pacific Gas ignored regulations to cut costs
Source: Associated Press
Prosecutor: Pacific Gas ignored regulations to cut costs
Sudhin Thanawala, Associated Press
Updated 6:28 pm, Saturday, June 18, 2016
SAN FRANCISCO (AP) Pacific Gas & Electric Co. ignored pipeline safety regulations to cut costs and tried to cover up its illegal practices by misleading federal officials investigating a deadly explosion of one of its natural gas pipelines in the San Francisco Bay Area, a prosecutor said Friday as a criminal trial against the utility giant got underway.
PG&E knew exactly what to do to comply with regulations but didn't do it, Assistant U.S. Attorney Hallie Hoffman said in her opening statement.
"Instead, it chose a cheaper method that did not ensure the safety of pipelines running through high-consequence areas," Hoffman said.
PG&E attorney Steven Bauer said the company's employees did what they could in the face of ambiguous regulations they struggled to understand.
Read more: http://www.chron.com/news/crime/article/Opening-statements-set-to-begin-in-pipeline-blast-8283562.php
PoliticAverse
(26,366 posts)Dustlawyer
(10,494 posts)Usually, when the rare event occurs where they are caught with violations (Regulatory Agencies have no money to hire inspectors), they plead them down to next to nothing. They used to pay big settlements when they cause deaths, but unless it's civilians they are protected by workman's comp. Any rules they get nailed with they have their politicians rewrite in the next legislative session.
Hate to sound cynical but it is all true!
radical noodle
(7,997 posts)To keep up with the changing demands, we needed to have someone full time to keep track of everything. We were a small company, but we were able to at least make the pipelines safe. What we didn't do was all the testing of the same people over and over again. But the company was relatively small and in comparison to PG&E, it was miniscule. I wonder if PG&E did their own pipeline work or if they hired subcontractors to do it. We worked as a sub to utility companies. Many do it that way these days.
shadowmayor
(1,325 posts)Why every good honest American business will honorably self regulate and save us all some money. Of course we can trust the powers that be - they'd never put people at risk in the pursuit of profits - why that would be unethical.
The same PG&E that rammed rates up Californian's noses after lil' Bush was elected with the help of Enron. FERC wasn't interested in seeing how these companies could keep raising rates even as demand for electricity was dropping (due to high prices no less). And Bush just giggled as the state that wouldn't carry him got screwed.