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Regulators, utilities debate how to measure 'cost per avoided ignition' under SB 254
Summary
At an Office of Energy Infrastructure Safety workshop, utilities described using budget codes, condition codes and asset-level modeling to track wildfire mitigation costs and estimate avoided ignitions; regulators sought input on proxies, counterfactuals and data gaps.
Nicole Dunlap, a program manager at the Office of Energy Infrastructure Safety, opened the workshop by citing a new SB 254 requirement that wildfire mitigation plans include "an estimate cost per avoided ignition for each risk or an explanation on why such a value cannot be assigned" and asked utilities to explain their accounting and modeling approaches.
Utility representatives said they separate wildfire-mitigation spending from routine work through accounting tags and targeted condition codes. "We have a, what we call a budget code that we assign to that initiative or that program, and also an internal order number," Jonathan Waldemar of SDG&E said, describing the company's SAP-based tracking system for distinguishing wildfire programs from routine operations and contractor versus in-house costs.
PG&E and SoCal Edison representatives described similar approaches. PG&E's Sean Holder said fields in SAP allow the company "to pull reports off that, for the WMP and other reporting purposes." SoCal Edison's Brian Landry noted the practical limits…
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