What could PG&E's PSPS warnings mean for businesses in Monterey?
Monterey businesses may face operational disruption from potential power shutoffs While the Public Safety Power Shutoff (PSPS) event was executed in Nipomo, the utility had previously warned that such shutoffs could affect areas including Monterey. If a shutoff were to occur in Monterey, businesses could face forced closures, similar to those seen in Nipomo. For example, businesses in Nipomo reported losing two days of sales and incurring additional costs to run generators to preserve perishable goods.
- Effect
- Mild negative
- How direct
- Brind's reasoning
- When
- Within weeks
- The story
- Gone quiet
How it reaches Monterey
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Pacific Gas and Electric Company executed Public Safety Power Shutoffs in San Luis Obispo County due to dry and windy conditions that increased wildfire risk. The utility shut off power to more than 8,000 customers, forcing local businesses in Nipomo to close for two days and lose sales. PG&E stated that decisions to shut off power are based on real-time wildfire conditions, including wind speeds and humidity levels.
The full event1independent outlet -
The utility had warned that potential power shutoffs could affect areas including Monterey, San Luis Obispo, and Santa Barbara. If a PSPS were to occur in Monterey, businesses could be forced to close, leading to lost sales and requiring them to spend additional money on backup generators to protect inventory, mirroring the experiences of businesses in Nipomo.
No report states this step directly. Brind drew it from the reporting on each side of it, so treat it as an informed guess.
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city in Monterey County, California, United States
Everything about Monterey
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The facts so far
As reported. Each one links to where it comes from.
- PG&E implemented PSPS due to dry and windy conditions that increased wildfire risk.ksby.com
- The PSPS affected more than 8,000 PG&E customers in San Luis Obispo County.ksby.com
- Businesses in Nipomo reported losing two days of sales when forced to close during the outage.ksby.com
- PG&E warned of potential power shutoffs in areas including Monterey, San Luis Obispo, and Santa Barbara.ksby.com
Why it matters
For businesses in Monterey, the risk of a PSPS represents a direct threat to revenue and operational stability. Like the businesses in Nipomo, they could face forced closures, leading to lost sales and the need to invest in expensive backup power systems to protect perishable goods.
This risk is part of a broader pattern of PG&E's operational decisions in California. The utility uses PSPS as a last resort to mitigate wildfire risk, a practice that has impacted thousands of customers across various counties, including San Luis Obispo and Santa Barbara.
What we don't know yet
- What specific conditions would trigger a PSPS in Monterey?
- What level of preparation do Monterey businesses have for extended power outages?
What would change this answer
Reporting
- ksby.comOct 20
Keep going
Brind's analysis is written by AI from the reporting linked above and can be wrong. This explainer is a possibility worth considering, not a forecast: steps marked as Brind's reasoning are not stated in the reporting. It is not investment advice; do your own research.