Newsom seeks legal shield for utilities against escalating wildfire costs

California Gov. Gavin Newsom is pushing a plan to shield electric utilities from ballooning wildfire liabilities and to rethink who bears wildfire recovery costs, with lawmakers facing an Aug. 31 deadline to craft a deal. The effort follows Newsom’s prior push for funding to bolster a wildfire fund, including an $18 billion proposal that the Legislature already approved last year. Economists and survivors’ advocates warn that liability could be shifted away from utilities and onto ratepayers or communities, while supporters say a liability shift is needed to avoid destabilizing power reliability and funding for fire recovery.