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Economic Vitality

Investing in Our Operations
and Creating Jobs Locally

$4.8

billion

Amount PG&E invested in our system in 2012, including upgrades to natural gas pipelines, electric power lines, generation facilities and other key infrastructure

As one of the state’s largest employers and a key contributor to California’s economy, PG&E is focused on the economic health of our customers and California. The investments we are making to improve our operations are helping to make California stronger and supporting efforts to revitalize the state’s economy. We also understand that PG&E’s future success will depend on the success of the communities we serve—a fact that drives our continued focus on serving customers locally and fostering economic vitality among underserved constituencies.

Investing in Infrastructure

PG&E is making major investments to help deliver a safe, reliable and affordable energy future that will benefit our customers and facilitate a cleaner, more diverse energy supply. In 2012, capital investments in our system totaled $4.8 billion, including upgrades to our natural gas pipelines, electric power lines, generation facilities and other key infrastructure.

Looking forward, PG&E has asked state regulators for approval to make additional investments in the years 2014 to 2016 that will enable us to modernize our system and accelerate the progress we have already begun to make toward our long-term goal of being the safest utility in the country.

These investments are expected to generate new jobs and help stimulate economic growth throughout the state, in addition to creating a reliable and efficient 21st-century energy infrastructure that keeps California businesses competitive.

The proposed investments would help PG&E to:

  • Hire 2,200 more employees dedicated to improving system safety, reliability and customer service.
  • Support about 39,000 jobs in California and generate an estimated $9 billion each year in positive economic impact from sales of goods and services statewide.
  • Add an estimated $685 million per year in California state and local tax revenue as a consequence of the added worker income and business sales.

Partnering on Local Economic and Community Vitality

PG&E is also partnering in the state’s economic recovery through our community investments, which totaled more than $23 million in 2012. These donations to charitable organizations include assistance to help low-income families with their utility bills, investments in local job creation and economic development initiatives, and support for civic projects that vitalize local communities.

In 2013, PG&E piloted a new Economic Vitality Grant Program, designed to invest up to $200,000 in projects or programs to spur innovation and job creation in communities throughout the utility’s service area.

In 2012, we launched the PG&E Summer Jobs for Youth program as a pilot partnership between PG&E and the Boys & Girls Clubs of Fresno County. The program provided more than 200 youths from Fresno’s most underserved neighborhoods with nine weeks of career education and job readiness training. More than 150 youths participated in a competitive interview process and 55 were offered six weeks of paid employment. PG&E worked with the Boys & Girls Clubs of Fresno County, local nonprofits and local small- to medium-sized business customers to provide the employment opportunities.

Building on this success, PG&E expanded the program within Fresno County and two additional regions—Sacramento and Bakersfield—in 2013, providing nearly 800 underserved youths with training and 219 youths with paid summer employment opportunities.

Contributing to State and Local Revenues

As one of the largest companies operating within California, PG&E makes a significant contribution to the revenue that state and local governments depend on to fund critical public services.

In 2012, PG&E made franchise fee payments totaling more than $136 million. This sum is about $2 million less than payments in 2011, due to lower natural gas prices which also helped reduce gas bills for customers. PG&E makes these payments to cities and counties for the right to use public streets for its gas and electric facilities. The franchise fees are in addition to PG&E’s property tax payments, which totaled more than $314 million to 49 counties in 2012.