Edison Move to Keep LA Power Lines Operating Draws Scrutiny

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(Bloomberg) -- Edison International’s decision to leave some Los Angeles power lines operating during a historic windstorm last week is under scrutiny as an investigation into the city’s devastating wildfires gathers pace.

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Three lawsuits filed against the company’s Southern California Edison utility cite its failure to de-energize all electrical equipment in Eaton Canyon, the northern LA locale where the deadly Eaton Fire is believed to have started Jan. 7.

Californian power providers have grown accustomed to shutting off electricity amid dry and windy conditions after years of deadly fires caused by sparks from malfunctioning or poorly maintained infrastructure.

Yet Edison has acknowledged that its transmission lines near the start of the Eaton fire were energized, but says no issues were detected. Data also show consumers immediately west of the ignition site were still receiving power just before the blaze started, despite advance warnings of a life-threatening and destructive Santa Ana wind event.

“Utilities have sprawling networks and it can be difficult to keep track of every single asset as severe conditions unfold,” said Mishal Thadani, co-founder and chief executive officer of Rhizome, which uses artificial intelligence to help utilities manage climate risks.

Investigators have yet to determine the cause of the Eaton Fire, which has affected more than 14,000 acres and led to at least 15 fatalities. It was still burning Tuesday.

Edison’s shares have fallen 24% since the Eaton Fire and other major conflagrations first broke out in LA. Its bonds have also slumped.

Even though preemptive power shutoffs is a practice pioneered by Californian utilities, it’s far less common for them to turn off transmission lines versus more local distribution lines, according to Michael Wara, a utility wildfire expert and director of the Climate and Energy Policy Program at Stanford University.

“The transmission lines are larger and stronger and can operate safely at higher wind speeds,” Edison Chief Executive Officer Pedro Pizarro said on Bloomberg Television Monday.

De-energizing a transmission line can lead to much greater disruption. Limited power generation within Southern California also means the region relies on imported electricity, which arrives via transmission lines that transverse mountains, Wara said.

“This is sort of Monday morning quarterbacking on a particular line, where Edison would have had to make multiple decisions,” Wara said.