Company: PCG-PB
Filing Date: 2025-10-23
Form Type: 10-Q
Source: 0001004980-25-000148
Chunk: 147

Company: PG&E Corp
Filing Date: 2025-10-23
Form: 10-Q
Item: Item 1A
Chunk 147
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 the Utility generally expects such costs to be recoverable, the CPUC may authorize the Utility to recover less than the full amount of its costs.

In recent years, the Utility has recorded significant amounts to these accounts.  Because rate recovery may require CPUC authorization of the costs in these accounts, there can be a delay between when the Utility incurs costs and when it may recover those costs.  As of September 30, 2025, the Utility had recorded an aggregate amount of approximately $2.6 billion in costs for the CEMA, WEMA, FRMMA, WMPMA, VMBA, WMBA, and MGMA.  Of these costs, approximately $0.2 billion was authorized for recovery and accounted for as current, and $2.4 billion was accounted for as long term as of September 30, 2025.  See Note 3 of the Notes to the Condensed Consolidated Financial Statements in Part I, Item 1.

If the amount of the costs recorded in these accounts increases, or the delay between incurring and recovering costs lengthens, PG&E Corporation and the Utility may incur additional financing costs.  If the Utility does not recover the full amount of its recorded costs, the difference between the recorded and recovered amounts would be written off as a non-cash disallowance.  Such disallowances could materially affect PG&E Corporation’s and the Utility’s financial condition, results of operations, liquidity, and cash flows.

For more information, see Note 3 of the Notes to the Condensed Consolidated Financial Statements in Part I, Item 1, and “Wildfire Mitigation and Catastrophic Events Cost Recovery Applications” and “Wildfire and Gas Safety Costs Recovery Application” below.

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The Utility’s cost recovery proceedings for the costs described above that are pending, have pending appeals, or were completed during the nine months ended September 30, 2025 are summarized in the following table:

ProceedingRequest (1)Status2021 WMCERevenue requirement of approximately $1.47 billionPartial settlement agreement to recover $721 million of revenue requirement approved August 2023.  Decision authorizing $429 million of revenue requirement for the VMBA related costs adopted December 2024.  Application for rehearing related to VMBA costs denied September 2025.2022 WMCERevenue requirement of approximately $1.29 billionFinal decision authorizing $1.06 billion