Pacific Gas and Electric Just Filed Bankruptcy Due to Climate Change
This Tuesday January 29th Pacific Gas and Electric otherwise known as PG&E filed for bankruptcy. PG&E was California’s large utility as well as one of the United States largest investor owned electric companies. They stated that bankruptcy was their option this was due all of the liabilities that came from California’s disastrous wild fires.
Most scientists are in agreement that the effects of global warming made this decade long drought much much worse. The drought made it so that any spark could cause immense damage to surrounding areas. PG&E sadly did too little to manage the growing dangers that where related to climate change.
The problem that PG&E is facing is not an isolated case. Worldwide corporations have not taken the consequences of global warming into account. A study produced but the Natural Climate Change showed that corporations are not speeding enough on management of physical risks from climate change. Companies are greatly underestimating the damages that climate change can do to their infrastructure, which in turn will stump the economy in the long run. The problem that PG&E faced was that it too, greatly underestimated the risks of future fire risks.
PG&E problems suggests that investors are changing their view on risks of global warming. If companies are exposed to higher than usual risks due to global warming. Investors are expecting to know what companies are doing about it. If you would like to read the original article head over to https://www.washingtonpost.com/news/monkey-cage/wp/2019/01/30/pacific-gas-and-electric-is-a-company-that-was-just-bankrupted-by-climate-change-it-wont-be-the-last/?noredirect=on&utm_term=.d081cc59411e