WEBVTT 00:00:00.000 --> 00:00:01.663 Thank you for your patience. 00:00:13.817 --> 00:00:14.930 Welcome to the 00:00:14.930 --> 00:00:17.580 California Public Utilities Commission 00:00:17.580 --> 00:00:21.100 and the office of energy safety infrastructure, 00:00:21.100 --> 00:00:25.560 energy safety public meeting on utility safety practices 00:00:25.560 --> 00:00:30.560 on this day, Wednesday, August 25th, 2021. 00:00:31.120 --> 00:00:32.683 Carolina you may begin. 00:00:34.770 --> 00:00:35.980 Good morning, everyone 00:00:35.980 --> 00:00:39.677 and welcome to Southern California Edison and San Diego gas 00:00:39.677 --> 00:00:42.370 and electric safety update briefing for the California 00:00:42.370 --> 00:00:45.170 public utilities Commission and the office of energy 00:00:45.170 --> 00:00:46.850 infrastructure safety. 00:00:46.850 --> 00:00:49.790 I am Carolina Contreras with the CPUC safety policy 00:00:49.790 --> 00:00:52.879 division, and I'll be moderating today's engagement, 00:00:52.879 --> 00:00:56.210 but today's briefing members of the board of directors of 00:00:56.210 --> 00:00:59.560 Southern California Edison and San Diego gas and electric 00:00:59.560 --> 00:01:02.210 will present updates on their electric safety-related 00:01:02.210 --> 00:01:03.830 efforts and answer questions 00:01:03.830 --> 00:01:06.720 from the CPUC and energy safety. 00:01:06.720 --> 00:01:08.580 Due to the Corona virus pandemic 00:01:08.580 --> 00:01:10.370 and the shelter in place order 00:01:10.370 --> 00:01:12.820 we are conducting today's meeting online 00:01:12.820 --> 00:01:15.613 and by remote application participation. 00:01:16.550 --> 00:01:19.330 The meeting is live-streamed on the CPUC website 00:01:19.330 --> 00:01:21.020 and can be viewed. 00:01:21.020 --> 00:01:26.020 You can view the meeting at www.adminmonitor.com/Ca/CPUC, 00:01:29.580 --> 00:01:31.510 close captioning is available in 00:01:31.510 --> 00:01:34.890 English and Spanish through the webcast. 00:01:34.890 --> 00:01:36.330 You can click on the green button 00:01:36.330 --> 00:01:38.760 to select your language of choice. 00:01:38.760 --> 00:01:40.910 Joining us on the virtual dais today 00:01:40.910 --> 00:01:42.470 are CPUC Commissioners, 00:01:42.470 --> 00:01:46.120 Rechtschaffen, Shiroma, Guzman Aceves, and Houck, 00:01:46.120 --> 00:01:48.660 and the director of the office of energy infrastructure 00:01:48.660 --> 00:01:52.250 safety, Caroline Thomas Jacob, unfortunately, 00:01:52.250 --> 00:01:54.220 President Batjer had a scheduling conflict 00:01:54.220 --> 00:01:55.893 and is unable to join us today. 00:01:56.970 --> 00:01:59.370 In terms of format for today's briefing 00:01:59.370 --> 00:02:01.560 after opening remarks from the diets, 00:02:01.560 --> 00:02:04.630 we'll hear safety update from Southern California Edison 00:02:04.630 --> 00:02:08.280 representative followed by discussion and Q and A for the 00:02:08.280 --> 00:02:11.300 Commissioners and energy safety directors. 00:02:11.300 --> 00:02:14.690 We will then move on to a safety update by San Diego Gas and 00:02:14.690 --> 00:02:17.870 Electric representative followed by another Q and A 00:02:17.870 --> 00:02:19.420 discussion from the Commissioners 00:02:19.420 --> 00:02:21.640 and energy safety director. 00:02:21.640 --> 00:02:25.770 We are scheduled to conclude today at 12:30 PM. 00:02:25.770 --> 00:02:28.170 We will have an opportunity for public comment 00:02:28.170 --> 00:02:30.100 following the presentation. 00:02:30.100 --> 00:02:32.400 If you wish to make a public comment, 00:02:32.400 --> 00:02:36.993 dial (800) 857 1917 and enter passcode 00:02:38.790 --> 00:02:43.790 1767567 and press star one, 00:02:44.760 --> 00:02:47.980 you will be placed into a queue and the operator will take 00:02:47.980 --> 00:02:49.900 your name and information. 00:02:49.900 --> 00:02:51.640 You will be called upon to speak, 00:02:51.640 --> 00:02:55.090 when you get to the public common period in today's agenda, 00:02:55.090 --> 00:02:58.200 we will provide two minutes to each speaker. 00:02:58.200 --> 00:03:01.230 So please be mindful of the time. 00:03:01.230 --> 00:03:04.880 I will repeat this directions when we get to that point, 00:03:04.880 --> 00:03:07.683 we also have Spanish interpretation available, 00:03:09.670 --> 00:03:14.670 dial 1 800 857 1917 and enter passcode 3799627 pound 00:03:21.000 --> 00:03:23.280 to be connected to the Spanish line. 00:03:23.280 --> 00:03:26.140 I asked that my colleagues in today's speakers remain 00:03:26.140 --> 00:03:28.670 mindful and speak clearly. 00:03:28.670 --> 00:03:31.010 We will now repeat information about 00:03:31.010 --> 00:03:33.653 public comment information in Spanish. 00:03:35.561 --> 00:03:39.478 (speaking in foreign language) 00:04:31.660 --> 00:04:34.660 I will now turn it over to Commissioner Rechtschaffen 00:04:34.660 --> 00:04:38.003 for some opening remarks, Commissioner Rechtschaffen. 00:04:42.670 --> 00:04:44.343 Thank you very much, Carolina. 00:04:46.520 --> 00:04:47.783 Good morning, everybody. 00:04:49.060 --> 00:04:51.600 I'd like to start by welcoming my fellow Commissioners 00:04:51.600 --> 00:04:53.763 and also director Thomas Jacobs, 00:04:54.660 --> 00:04:58.150 the office of energy infrastructure safety, 00:04:58.150 --> 00:05:02.853 always a pleasure to share the day with you director. 00:05:04.470 --> 00:05:09.170 This meeting is part of our regular efforts here at the PUC 00:05:10.600 --> 00:05:15.210 to hold meetings with utility leadership on wildfire 00:05:15.210 --> 00:05:18.225 mitigation and activities, public safety, 00:05:18.225 --> 00:05:23.210 power shut off and other matters to ensure that we have the 00:05:23.210 --> 00:05:27.670 maximum accountability and transparency 00:05:27.670 --> 00:05:29.803 on critical safety issues. 00:05:31.440 --> 00:05:34.560 Today's meeting is somewhat different in that we will hear 00:05:34.560 --> 00:05:38.860 from representatives of the utilities board of directors 00:05:38.860 --> 00:05:42.840 and I hope that the range of safety issues we discussed can 00:05:42.840 --> 00:05:47.053 be more holistic and comprehensive. 00:05:48.460 --> 00:05:52.790 I'd like to see us Institute that meet this meeting with the 00:05:52.790 --> 00:05:56.440 board members as an annual practice, 00:05:56.440 --> 00:06:01.440 as we work collectively to improve all aspects of the 00:06:01.580 --> 00:06:05.090 utility safety performance I should add 00:06:05.090 --> 00:06:08.640 I also think a process like this in meeting with board 00:06:08.640 --> 00:06:11.100 members is a reasonable 00:06:11.100 --> 00:06:14.180 and effective way for the utilities to 00:06:14.180 --> 00:06:19.180 meet one of the criteria that's set forth in AB 1054, 00:06:20.010 --> 00:06:22.710 the wildfire mitigation safety law 00:06:22.710 --> 00:06:24.740 for obtaining a safety certificate 00:06:25.810 --> 00:06:30.420 and that criteria is that the, "Electrical corporation 00:06:30.420 --> 00:06:33.940 has established board of director level reporting to the 00:06:33.940 --> 00:06:37.047 Commission on safety issues." 00:06:38.280 --> 00:06:39.870 I'd also like to see board members 00:06:39.870 --> 00:06:43.000 from the respective safety committee to the utilities 00:06:43.000 --> 00:06:45.440 being part of this discussion going forward. 00:06:45.440 --> 00:06:48.623 So that's an item that we can follow up on. 00:06:50.370 --> 00:06:55.020 Updates like the ones we will get today are critical 00:06:55.020 --> 00:06:59.582 to making sure that we are kept informed by the utilities 00:06:59.582 --> 00:07:02.980 on all of the various aspects to improve safety, 00:07:02.980 --> 00:07:06.203 public safety, employee safety, contractor safety, 00:07:07.447 --> 00:07:08.720 and in particular, 00:07:08.720 --> 00:07:13.720 the development of their organizational safety culture 00:07:13.800 --> 00:07:16.870 we have emphasized and we have proceedings 00:07:16.870 --> 00:07:19.156 that are working on this, 00:07:19.156 --> 00:07:22.150 that a strong safety cultures really essential for 00:07:24.060 --> 00:07:27.070 strong and effective safety performance 00:07:27.070 --> 00:07:32.070 and that culture is set by the leaders of a utility. 00:07:35.120 --> 00:07:38.530 We have been working since the middle of the last decade, 00:07:38.530 --> 00:07:43.530 to focus on various ways to significantly enhance the level 00:07:44.080 --> 00:07:48.210 of analysis that utilities engage in, 00:07:48.210 --> 00:07:52.850 in assessing the risks that they say and coming up with a 00:07:52.850 --> 00:07:56.490 more objective and quantifiable basis for 00:07:56.490 --> 00:07:58.630 how to spend money on those risks, 00:07:58.630 --> 00:08:03.630 kind of best mitigate the range of risks that utilities face 00:08:04.220 --> 00:08:07.110 we've ordered the development of risk assessment, 00:08:07.110 --> 00:08:10.620 methodologies and safety performance metrics. 00:08:10.620 --> 00:08:14.440 This work of course goes on in two or three major 00:08:14.440 --> 00:08:16.690 proceedings that we have open 00:08:16.690 --> 00:08:21.370 our safety model assessment proceeding also known as SMAP, 00:08:21.370 --> 00:08:25.801 our risk assessment and mitigation phase proceeding, 00:08:25.801 --> 00:08:30.620 the RAMP proceeding which feeds into our general rate cases. 00:08:30.620 --> 00:08:32.860 Also very importantly, and of course, 00:08:32.860 --> 00:08:35.850 more and more important every day now 00:08:35.850 --> 00:08:39.780 our climate adaptation rule making where we test 00:08:39.780 --> 00:08:44.780 utilities to use the best climate science available 00:08:49.230 --> 00:08:51.563 to help mitigate the risks from, 00:08:55.240 --> 00:08:56.540 Carolina do you want me to stop 00:08:56.540 --> 00:08:58.880 cause I'm hearing the translator? 00:08:58.880 --> 00:09:03.880 Yes, translator, will you please mute? 00:09:04.120 --> 00:09:06.913 We have had our portion of Spanish, thank you. 00:09:13.522 --> 00:09:15.840 Just to finish up the climate adaptation 00:09:15.840 --> 00:09:19.240 rulemaking is very important 00:09:19.240 --> 00:09:22.284 risk-based rulemaking that we need to, 00:09:22.284 --> 00:09:25.690 and we are integrating with the SMAP and RAMP proceedings 00:09:25.690 --> 00:09:29.340 because we want utilities to be thinking holistically about 00:09:29.340 --> 00:09:33.280 the range of risks they face and the risks from climate 00:09:33.280 --> 00:09:35.883 change or in escapable at this point. 00:09:37.210 --> 00:09:41.480 We of course have hundreds of experts safety staff 00:09:41.480 --> 00:09:44.770 that perform oversight and enforcement work. 00:09:44.770 --> 00:09:48.120 A lot of that happens outside the view of the public and 00:09:48.120 --> 00:09:51.010 these proceedings, but it's critically important. 00:09:51.010 --> 00:09:53.913 We have outstanding staff doing that all the time. 00:09:54.870 --> 00:09:59.170 Today's meeting fills a gap in our current practices by 00:09:59.170 --> 00:10:03.250 providing the public, to get an opportunity 00:10:03.250 --> 00:10:04.340 to hear a report, 00:10:04.340 --> 00:10:07.850 a discussion between the boards of the directors 00:10:07.850 --> 00:10:11.590 of the utilities, the CPUC and OEIS, 00:10:13.478 --> 00:10:17.170 and for getting a better public understanding, 00:10:18.770 --> 00:10:22.060 really the priorities and actions of the boards of 00:10:22.060 --> 00:10:25.150 directors and executive leadership. 00:10:25.150 --> 00:10:28.640 I look forward to further developing this reporting process. 00:10:28.640 --> 00:10:29.473 As I mentioned, 00:10:29.473 --> 00:10:32.760 I'd like to see board members from the respective committees 00:10:32.760 --> 00:10:34.123 appearing in going forward. 00:10:35.490 --> 00:10:38.390 I'd like to thank our safety policy division and the office 00:10:38.390 --> 00:10:41.930 of the Commission for a lot of work in preparing for today's 00:10:41.930 --> 00:10:44.690 meetings, Carolina included, 00:10:44.690 --> 00:10:47.690 and I look forward to the presentations from Southern 00:10:47.690 --> 00:10:50.653 California, Edison and San Diego Gas and electric. 00:10:51.550 --> 00:10:52.713 Carolina back to you. 00:11:08.390 --> 00:11:09.813 Carolina your on mute. 00:11:12.990 --> 00:11:14.330 Thank you everyone. 00:11:14.330 --> 00:11:17.210 My apologies thank you, Commissioner Rechtschaffen. 00:11:17.210 --> 00:11:18.463 Director Thomas Jacob. 00:11:21.500 --> 00:11:23.530 Thank you and thank you Commissioner. 00:11:23.530 --> 00:11:24.530 Good morning, everyone. 00:11:24.530 --> 00:11:26.900 I really appreciate the opportunity to hear from Southern 00:11:26.900 --> 00:11:30.160 California, Edison, San Diego, gas and electric today 00:11:30.160 --> 00:11:31.580 on the status of their critical 00:11:31.580 --> 00:11:34.600 safety initiatives and how those initiatives are 00:11:34.600 --> 00:11:36.000 improving safety outcomes. 00:11:36.000 --> 00:11:37.240 I couldn't agree more 00:11:37.240 --> 00:11:39.760 with Commissioner Rechtschaffen comments 00:11:39.760 --> 00:11:41.900 and look forward to integrating the office into the 00:11:41.900 --> 00:11:45.300 comprehensive efforts by the Commission on safety oversight 00:11:45.300 --> 00:11:47.560 of electrical infrastructure. 00:11:47.560 --> 00:11:50.360 As the impacts of climate change, continue to worsen 00:11:50.360 --> 00:11:53.990 and California's experience is a drought conditions that 00:11:53.990 --> 00:11:55.940 increase the risk of wildfire, 00:11:55.940 --> 00:11:58.760 the importance of building and maintaining a culture of 00:11:58.760 --> 00:12:02.060 safety and wildfire resilience for employees, customers, 00:12:02.060 --> 00:12:05.710 and the general public becomes ever more critical with over 00:12:05.710 --> 00:12:09.580 6,700 fires and more than 100 million and a half acre 00:12:09.580 --> 00:12:11.660 burn this year, the numbers, but more importantly, 00:12:11.660 --> 00:12:14.080 the impacts of those fires are staggering 00:12:14.080 --> 00:12:16.380 and the threat is only continuing to escalate. 00:12:17.460 --> 00:12:19.900 Safety and climate resilience must be considered 00:12:19.900 --> 00:12:21.880 and prioritized in every decision 00:12:21.880 --> 00:12:24.640 to ensure every opportunity to improve worker safety 00:12:24.640 --> 00:12:27.530 and reduce or eliminate the likelihood of emissions 00:12:27.530 --> 00:12:30.930 from electrical lines and equipment is maximized. 00:12:30.930 --> 00:12:33.010 Building a culture of safety or safety 00:12:33.010 --> 00:12:34.180 is not just what you do, 00:12:34.180 --> 00:12:37.830 but who you are is not easy nor does it happen overnight. 00:12:37.830 --> 00:12:40.530 It takes work and strong leadership. 00:12:40.530 --> 00:12:44.020 In December of 2020 as the wildfire safety division, 00:12:44.020 --> 00:12:47.440 we released a strategy for reducing utility related wildfire 00:12:47.440 --> 00:12:50.230 risk in which we set out a vision for a sustainable 00:12:50.230 --> 00:12:54.010 California with no catastrophic utility related wildfires 00:12:54.010 --> 00:12:55.500 that has access to safe, affordable, 00:12:55.500 --> 00:12:56.803 and reliable electricity, 00:12:57.650 --> 00:13:00.180 a foundational element to achieving this vision 00:13:00.180 --> 00:13:03.360 in building a culture based on safety and risk management, 00:13:03.360 --> 00:13:04.980 not focused solely on compliance, 00:13:04.980 --> 00:13:07.740 but a culture that drives towards reducing risks within your 00:13:07.740 --> 00:13:10.650 operations and from your infrastructure. 00:13:10.650 --> 00:13:12.580 I know Edison and San Diego has the gun, 00:13:12.580 --> 00:13:14.270 the work to build such a culture 00:13:14.270 --> 00:13:16.750 and I look forward to hearing today how that work is leading 00:13:16.750 --> 00:13:19.610 to improve safety outcomes for their workforce or their 00:13:19.610 --> 00:13:22.610 customers and the communities in which they operate. 00:13:22.610 --> 00:13:23.810 I'll leave it at that for now, 00:13:23.810 --> 00:13:26.210 as I'm sure I'll have questions for the presenters 00:13:26.210 --> 00:13:27.500 and as Commissioner Rechtschaffen 00:13:27.500 --> 00:13:28.940 and thank you to all of the staff 00:13:28.940 --> 00:13:31.800 that has helped organize this public briefing. 00:13:31.800 --> 00:13:34.470 I really appreciate all the work everyone's put into it 00:13:34.470 --> 00:13:39.390 and I look forward to hearing from San Diego and Edison 00:13:39.390 --> 00:13:40.440 back to you Carolina. 00:13:41.770 --> 00:13:44.130 Thank you, director Thomas Jacobs. 00:13:44.130 --> 00:13:46.800 Commissioners Shiroma, Guzman Aceves, and Houck, 00:13:46.800 --> 00:13:50.293 could you have any other opening remarks please go ahead. 00:13:52.018 --> 00:13:53.018 Oh yes, thank you. 00:13:54.120 --> 00:13:55.410 Yes good morning everybody. 00:13:55.410 --> 00:13:59.083 Thank you, Ms. Thomas and the Commissioner Rechtschaffen, 00:14:00.120 --> 00:14:02.470 like all of the Commissioners and participants today, 00:14:02.470 --> 00:14:06.087 I am keenly interested to hear from the representatives of 00:14:06.087 --> 00:14:09.510 the board of directors and executive management for Southern 00:14:09.510 --> 00:14:13.680 California Edison and San Diego gas and electric on your 00:14:13.680 --> 00:14:15.663 safety, priorities and activities. 00:14:17.160 --> 00:14:18.043 Certainly the safety issue 00:14:18.043 --> 00:14:22.200 at the top of everyone's mind is wildfires. 00:14:22.200 --> 00:14:26.240 I look forward to hearing the reinforcement in Spanish on 00:14:26.240 --> 00:14:30.530 the information shared with us in other forums on what is 00:14:30.530 --> 00:14:34.520 being done on the mitigation of wildfires. 00:14:34.520 --> 00:14:37.210 Additionally, and equally importantly, today, 00:14:37.210 --> 00:14:41.530 I look forward to hearing about the utilities overall 00:14:41.530 --> 00:14:45.900 safety, core values, and safety culture efforts, 00:14:45.900 --> 00:14:48.590 and the safety initiatives that augment and go beyond 00:14:48.590 --> 00:14:50.023 wildfire planning thank you. 00:14:55.020 --> 00:14:56.600 And Mrs. Houck, 00:14:56.600 --> 00:14:58.540 I just want to concur with the comments 00:14:58.540 --> 00:14:59.850 of my fellow Commissioners 00:14:59.850 --> 00:15:02.930 and I look forward to this important presentation 00:15:02.930 --> 00:15:07.023 and with that, I will turn it back over to Carolina. 00:15:09.870 --> 00:15:11.470 Thank you, Commissioner Houck. 00:15:12.900 --> 00:15:14.840 If no other opening remarks, 00:15:14.840 --> 00:15:19.270 then I think you Commissioners and director Thomas Jacob, 00:15:19.270 --> 00:15:21.840 we will now hear from Southern California Edison 00:15:21.840 --> 00:15:24.120 representative, Kevin Payne, 00:15:24.120 --> 00:15:27.720 chair of the board of directors and chief executive officer 00:15:27.720 --> 00:15:29.710 representative, Steven Powell, 00:15:29.710 --> 00:15:33.910 executive vice president of operations and representative 00:15:33.910 --> 00:15:36.800 Andrew Martinez, vice president of safety, 00:15:36.800 --> 00:15:41.200 security and business resiliency and chief safety officer. 00:15:41.200 --> 00:15:43.800 Welcome Mr. Payne, you have up to 30 minutes, 00:15:43.800 --> 00:15:45.573 I'm turning it over to you now. 00:15:48.530 --> 00:15:50.400 Thank you very much. 00:15:50.400 --> 00:15:52.353 Good morning Commissioner Rechtschaffen, 00:15:52.353 --> 00:15:54.450 Commissioner Guzman Aceves, Commissioner Shiroma, 00:15:54.450 --> 00:15:57.310 Commissioner Houck and director Thomas Jacobs. 00:15:57.310 --> 00:16:00.067 Thank you for inviting us here today to share progress 00:16:00.067 --> 00:16:03.853 and the challenges in SCE safety, performance and culture. 00:16:04.690 --> 00:16:06.390 I'm Kevin Payne, president and CEO 00:16:06.390 --> 00:16:08.980 of Southern California Edison and as was said, 00:16:08.980 --> 00:16:11.633 I serve as the chair of SCEs board of directors. 00:16:12.570 --> 00:16:14.020 I'm joined today by Steve Powell, 00:16:14.020 --> 00:16:17.760 Who's our executive vice president of operations 00:16:17.760 --> 00:16:20.540 effectively our chief operations officer 00:16:20.540 --> 00:16:23.850 and Andrew Martinez, our vice-presidents safety, 00:16:23.850 --> 00:16:24.927 security and business resiliency 00:16:24.927 --> 00:16:28.253 and as Carolina said chief safety officer. 00:16:29.360 --> 00:16:31.220 As I started marking my remarks, 00:16:31.220 --> 00:16:34.383 would you please turn the slide to slide number two? 00:16:44.540 --> 00:16:46.310 It's the deck now projecting, I'm sorry, 00:16:46.310 --> 00:16:47.627 I can't see it on my end. 00:16:49.970 --> 00:16:51.273 I can not see it either. 00:16:55.890 --> 00:16:56.723 There we go. 00:16:59.210 --> 00:17:01.210 All right, thank you very much. 00:17:01.210 --> 00:17:05.220 First of all, safety is integral to SCE business. 00:17:05.220 --> 00:17:08.540 It starts with our company values of which safety is the 00:17:08.540 --> 00:17:12.520 first, our values, our safety, integrity, excellence, 00:17:12.520 --> 00:17:15.053 respect, continuous improvement in teamwork. 00:17:16.250 --> 00:17:18.810 Safety is the top driver of all of our priorities, 00:17:18.810 --> 00:17:21.170 our investments, and our standards 00:17:21.170 --> 00:17:24.610 and I want to stress that our commitment to safety is broad. 00:17:24.610 --> 00:17:27.180 It starts with protecting our workers and the public and 00:17:27.180 --> 00:17:31.080 habits, but it also includes investments that replace aging 00:17:31.080 --> 00:17:34.750 infrastructure to prevent hazardous equipment failures. 00:17:34.750 --> 00:17:37.640 A major focus of it is preventing catastrophic wildfires, 00:17:37.640 --> 00:17:40.060 of course, by making the grid more resilient 00:17:40.060 --> 00:17:41.190 and capable of operating 00:17:41.190 --> 00:17:44.400 reliably and increasingly extreme weather conditions. 00:17:44.400 --> 00:17:47.710 But it also includes adapting more fully to climate change, 00:17:47.710 --> 00:17:50.573 to protect and serve our for many years to come. 00:17:51.550 --> 00:17:55.550 If you can please turn to look you're on the right slide. 00:17:55.550 --> 00:17:56.700 Slide three, thank you. 00:17:58.660 --> 00:18:02.240 SCE's commitment to safety starts at the very top our 00:18:02.240 --> 00:18:03.740 safety and operations committee 00:18:03.740 --> 00:18:06.170 or a SOC as I may refer to it today, 00:18:06.170 --> 00:18:08.850 maintains joint responsibility with our full board of 00:18:08.850 --> 00:18:11.097 directors for safety oversight at SCE. 00:18:12.050 --> 00:18:15.430 The SOC is made up of five independent directors and it's 00:18:15.430 --> 00:18:17.930 responsible for oversight of the company's safety 00:18:17.930 --> 00:18:21.400 performance and culture, our operational goals, 00:18:21.400 --> 00:18:23.300 safety and operational risks 00:18:23.300 --> 00:18:25.270 and significant safety related incidents 00:18:25.270 --> 00:18:28.563 involving employees, contractors, or members of the public. 00:18:29.800 --> 00:18:31.880 It means that at least six times per year, 00:18:31.880 --> 00:18:34.880 and it reports out regularly to the full board of directors. 00:18:35.870 --> 00:18:38.520 As we noted in our request for a safety certification, 00:18:38.520 --> 00:18:41.950 the chair of the SOC Tim O'Toole has extensive safety 00:18:41.950 --> 00:18:44.440 experience and has been recognized in the safety leader, 00:18:44.440 --> 00:18:46.680 both in the U.S. and internationally, 00:18:46.680 --> 00:18:48.300 and is currently a member of the board of directors 00:18:48.300 --> 00:18:50.083 of the national safety council. 00:18:51.210 --> 00:18:54.160 In addition to his SOC role, Mr. O'Toole engages directly 00:18:54.160 --> 00:18:56.520 with our operations and safety leadership team 00:18:56.520 --> 00:18:58.250 to understand our safety performance 00:18:58.250 --> 00:19:00.750 and programs, pressure tests, our approaches, 00:19:00.750 --> 00:19:03.443 and provide insights based on his experience. 00:19:04.510 --> 00:19:06.930 In my role, serving as chair of SCEs board, 00:19:06.930 --> 00:19:09.590 I am among other things responsible for representing the 00:19:09.590 --> 00:19:12.300 board for executive level reporting on safety issues 00:19:12.300 --> 00:19:13.220 with this Commission 00:19:13.220 --> 00:19:16.410 and with the office of energy infrastructure safety. 00:19:16.410 --> 00:19:18.680 As part of my managerial role at utility, 00:19:18.680 --> 00:19:20.840 I also attend each meeting of the board of director of 00:19:20.840 --> 00:19:25.060 safety and operations committee or a SOC as such our board 00:19:25.060 --> 00:19:28.263 is fully engaged on SCEs, most important safety issues. 00:19:29.200 --> 00:19:32.630 Our comments today are going to be primarily focused on our 00:19:32.630 --> 00:19:35.270 progress and challenges in wildfire, mitigation, 00:19:35.270 --> 00:19:38.010 worker safety and safety culture. 00:19:38.010 --> 00:19:40.480 Steve Powell will be discussing our progress on wildfire 00:19:40.480 --> 00:19:43.590 mitigation while Andrew Martinez will address worker safety 00:19:43.590 --> 00:19:45.650 issues and after that, 00:19:45.650 --> 00:19:48.100 I'll provide an update on our safety culture. 00:19:48.100 --> 00:19:50.370 So I'll turn it over to Steve Powell now 00:19:50.370 --> 00:19:52.773 to discuss wildfire mitigation, Steve. 00:19:53.919 --> 00:19:55.830 Yeah, thanks Kevin. 00:19:55.830 --> 00:19:58.200 So let's start by turning to slide four 00:19:58.200 --> 00:20:00.650 and discussing our highest priority public safety effort, 00:20:00.650 --> 00:20:02.730 which is wildfire mitigation. 00:20:02.730 --> 00:20:05.390 This is summarized in SCE's wildfire mitigation plan, 00:20:05.390 --> 00:20:07.463 or I'll refer to it as our WMP. 00:20:08.396 --> 00:20:10.310 SCE is long focused on wildfire Safety, 00:20:10.310 --> 00:20:13.040 but launched a re-imagining of our approach shortly after 00:20:13.040 --> 00:20:15.200 the 2017 wine country fires 00:20:15.200 --> 00:20:18.920 and prior to the 2017 Thomas and Comic stone fires. 00:20:18.920 --> 00:20:22.250 This led to originally our grid seeking resiliency program 00:20:22.250 --> 00:20:24.580 application that was filed in 2018, 00:20:24.580 --> 00:20:27.760 which was a startup key initiative like covered conductor, 00:20:27.760 --> 00:20:28.867 enhanced inspections, 00:20:28.867 --> 00:20:31.590 and our vegetation management practices. 00:20:31.590 --> 00:20:34.180 We've continued to refine our wildfire mitigation strategy 00:20:34.180 --> 00:20:37.363 with our subsequent WMP that we've been filing annually. 00:20:38.260 --> 00:20:40.140 At these WMP consists of activities 00:20:40.140 --> 00:20:42.220 that reduce the probability of consequence. 00:20:42.220 --> 00:20:45.140 It probably, or consequence of ignitions 00:20:45.140 --> 00:20:47.320 improve situational awareness, 00:20:47.320 --> 00:20:50.360 provide local fire agencies with backpack staff, backing, 00:20:50.360 --> 00:20:52.620 fire fighting helicopters, 00:20:52.620 --> 00:20:55.803 and help customers prepare for power outages, 00:20:55.803 --> 00:20:58.470 I think the early evaluate each activity and its 00:20:58.470 --> 00:21:01.240 alternatives for risk reduction effectiveness, 00:21:01.240 --> 00:21:03.283 speed of deployment and cost. 00:21:04.130 --> 00:21:06.330 For example SCE identified the installation 00:21:06.330 --> 00:21:09.170 of carbon conductor is as the most effective way 00:21:09.170 --> 00:21:11.080 to quickly and efficiently and 00:21:11.080 --> 00:21:13.843 effectively reduce the risk of electrical equipment 00:21:13.843 --> 00:21:17.770 being involved in an admission during weather conditions, 00:21:17.770 --> 00:21:20.720 when fires can be particularly destructive. 00:21:20.720 --> 00:21:23.400 Since 2018 we've installed over 2000 circuit miles 00:21:23.400 --> 00:21:26.330 of cover conductor to prevent ignitions from objects, 00:21:26.330 --> 00:21:27.860 blowing into our lines or, 00:21:27.860 --> 00:21:29.980 wireless wires coming into contact with each other 00:21:29.980 --> 00:21:30.813 in high winds. 00:21:31.760 --> 00:21:32.640 At the same time, 00:21:32.640 --> 00:21:35.040 we've implemented several programs that complement cover 00:21:35.040 --> 00:21:37.320 conductors as they're detailed on slide five 00:21:37.320 --> 00:21:39.370 that we determined there. 00:21:39.370 --> 00:21:43.180 These include installing 13,000 fast mapping fuses 00:21:43.180 --> 00:21:45.840 and establishing fast curve settings for the majority of our 00:21:45.840 --> 00:21:48.163 protection devices in high-fire areas. 00:21:49.050 --> 00:21:51.780 This reduces the likelihood of ignition 00:21:51.780 --> 00:21:54.010 by limiting the energy release. 00:21:54.010 --> 00:21:56.760 When the overhead lines are damaged or equipment sales. 00:21:58.050 --> 00:22:00.740 Our vegetation line cleaning program expands clearances to 00:22:00.740 --> 00:22:04.770 12 feet where possible on distribution lines and expects and 00:22:04.770 --> 00:22:08.420 inspects and trims hundreds of thousands of trees each year. 00:22:08.420 --> 00:22:12.350 We've removed over 33,000 hazard trees since 2019, 00:22:12.350 --> 00:22:14.400 trees that could fall into our electrical equipment 00:22:14.400 --> 00:22:16.420 and result in potential ignitions. 00:22:16.420 --> 00:22:19.637 And we annually are clearing brush around poles on nearly a 00:22:19.637 --> 00:22:22.713 100,000 poles more than 100,000 poles. 00:22:23.720 --> 00:22:26.010 We've also redesigned our inspection programs, 00:22:26.010 --> 00:22:29.120 integrating with modeling and do our prioritization and move 00:22:29.120 --> 00:22:32.730 beyond just a time-based compliance based approach. 00:22:32.730 --> 00:22:36.810 We started these risk informed ground inspections in 2018, 00:22:36.810 --> 00:22:39.590 but experienced quickly caught up that we needed to expand 00:22:39.590 --> 00:22:43.330 these to include aerial inspections for a full 360 degree 00:22:43.330 --> 00:22:44.823 inspection of our facilities. 00:22:45.740 --> 00:22:47.990 Last year we performed these detailed inspections 00:22:47.990 --> 00:22:51.840 from the ground and air on nearly 200,000 facilities 00:22:51.840 --> 00:22:54.063 and we expect similar numbers this year. 00:22:55.540 --> 00:22:58.480 We currently expect that we'll be meeting nearly all of our 00:22:58.480 --> 00:23:00.500 WMP targets this year. 00:23:00.500 --> 00:23:03.170 So we are diligently working on welfare risk reduction, 00:23:03.170 --> 00:23:06.960 challenges persist in terms of its permitting time to permit 00:23:06.960 --> 00:23:09.687 supply chain issues and resource constraints. 00:23:09.687 --> 00:23:10.620 But as a company, 00:23:10.620 --> 00:23:13.000 we continue to find ways to surmount these challenges, 00:23:13.000 --> 00:23:15.420 to stay on track with our goals. 00:23:15.420 --> 00:23:17.960 If they just carefully selected set of mitigation, 00:23:17.960 --> 00:23:21.800 coupled with advances in risk modeling and prioritization 00:23:21.800 --> 00:23:24.230 are designed to compliment each other and to significantly 00:23:24.230 --> 00:23:26.443 mitigate the risk of catastrophic wildfires. 00:23:27.890 --> 00:23:29.390 So far, most of what I've talked about, 00:23:29.390 --> 00:23:31.230 really just activities. 00:23:31.230 --> 00:23:32.940 Let's talk a little bit more known outcomes 00:23:32.940 --> 00:23:35.093 if we can refer to slide six, please. 00:23:36.255 --> 00:23:39.690 So first in 2021 circuits with cover conductors have 00:23:39.690 --> 00:23:42.980 experienced 69% fewer electrical fault. 00:23:42.980 --> 00:23:45.590 Electrical fault being the source of ignition inducing 00:23:45.590 --> 00:23:49.833 sparks as compared to bear focus and our high fire areas. 00:23:50.800 --> 00:23:52.950 In fact, on those segments where we have covered, 00:23:52.950 --> 00:23:55.345 we're covered the bare conductor, 00:23:55.345 --> 00:23:57.720 we have not experienced a single CPUC reportable ignition 00:23:57.720 --> 00:24:01.040 from contact with objects or wired wire contacts, 00:24:01.040 --> 00:24:04.458 which are the major sources of ignition on our system 00:24:04.458 --> 00:24:07.370 and which is what covered conductor really is designed and 00:24:07.370 --> 00:24:08.970 what we're using it to put that. 00:24:09.860 --> 00:24:11.420 Second, there've been 50%, 00:24:11.420 --> 00:24:15.140 fewer vegetation cause fault than the historic average in 00:24:15.140 --> 00:24:17.100 SCE high fire risk areas. 00:24:17.100 --> 00:24:18.620 This can be attributed largely to 00:24:18.620 --> 00:24:20.940 our expanded vegetation management programs, 00:24:20.940 --> 00:24:23.270 but complemented with more frequent inspections 00:24:23.270 --> 00:24:26.230 and the grid hardening work that we're doing. 00:24:26.230 --> 00:24:29.110 Additionally due to our risk informed inspection program, 00:24:29.110 --> 00:24:32.840 we've remediated over 36,000 findings and year over year 00:24:32.840 --> 00:24:35.060 have reduced findings by two thirds, 00:24:35.060 --> 00:24:37.803 a strong indication of the program's effectiveness. 00:24:39.730 --> 00:24:41.580 If we can turn to slide seven please. 00:24:42.560 --> 00:24:43.910 On the other side of things, 00:24:43.910 --> 00:24:45.243 I wanna acknowledge that thus far, 00:24:45.243 --> 00:24:48.120 we have not seen a noticeable decline in the number of 00:24:48.120 --> 00:24:52.383 ignitions in 2020 and 2021 as compared to prior years, 00:24:53.360 --> 00:24:56.230 we believe that this is the result of the recent drought and 00:24:56.230 --> 00:24:58.603 dry fuel conditions that we've had across our system, 00:24:58.603 --> 00:25:01.090 as well as our improved ability to detect 00:25:01.090 --> 00:25:03.320 and report on smaller ignitions 00:25:03.320 --> 00:25:04.760 and the fact that we are not finished 00:25:04.760 --> 00:25:06.260 with our grid hardening efforts. 00:25:06.260 --> 00:25:08.702 In fact, we have still a fair amount more to go 00:25:08.702 --> 00:25:09.723 over the coming years. 00:25:10.580 --> 00:25:12.430 Also as you can see from the bar chart, 00:25:12.430 --> 00:25:15.630 ignitions outside high fire areas have grown more quickly 00:25:15.630 --> 00:25:16.983 than in high fire areas. 00:25:18.088 --> 00:25:20.152 This happens sometimes when abnormally high 00:25:20.152 --> 00:25:22.270 temperatures can cause equipment 00:25:22.270 --> 00:25:24.110 such as transformers to fail, 00:25:24.110 --> 00:25:26.523 which lead to sparks and can lead to ignition. 00:25:27.610 --> 00:25:28.860 Perhaps most importantly, 00:25:28.860 --> 00:25:32.010 the consequences of wildfires associated with our equipment 00:25:32.010 --> 00:25:34.190 have been substantially reduced 00:25:34.190 --> 00:25:37.920 and comparing 2019, the 2019-2020 period 00:25:37.920 --> 00:25:40.840 to the prior two years of 2017 and 18, 00:25:40.840 --> 00:25:43.340 we've had 60% less acres burned 00:25:43.340 --> 00:25:46.053 and 94% fewer structures destroyed. 00:25:47.040 --> 00:25:49.070 The implementation of our WMP going forward 00:25:49.070 --> 00:25:51.940 will substantially reduce more wildfire 00:25:51.940 --> 00:25:53.973 risks and help protect public safety. 00:25:55.030 --> 00:25:56.810 But it's not just about our mitigation. 00:25:56.810 --> 00:25:59.460 I do want to acknowledge the efforts of the state and our 00:25:59.460 --> 00:26:02.210 firefighters for the impact they have had in these 00:26:02.210 --> 00:26:05.250 improvements and managing the size of wildfires 00:26:05.250 --> 00:26:06.280 when they started. 00:26:07.782 --> 00:26:10.120 Supporting the public on welfare safety goes beyond just 00:26:10.120 --> 00:26:11.210 hardening the grid. 00:26:11.210 --> 00:26:13.600 We also helped keep our customers and community informed and 00:26:13.600 --> 00:26:16.330 prepared for wildfire related emergencies, 00:26:16.330 --> 00:26:19.450 supporting them with programs and services at the engages 00:26:19.450 --> 00:26:21.780 with approximately 1600 different 00:26:21.780 --> 00:26:23.170 community-based organizations, 00:26:23.170 --> 00:26:26.420 Statewide and locally and partners with many nonprofit 00:26:26.420 --> 00:26:29.300 organizations that it's this underserved communities to 00:26:29.300 --> 00:26:32.060 better support wildfire preparedness, first responders, 00:26:32.060 --> 00:26:35.273 capacity building and resiliency and disaster recovery. 00:26:36.450 --> 00:26:38.780 SCE is also supporting the readiness and response efforts 00:26:38.780 --> 00:26:40.750 of local fire agencies. 00:26:40.750 --> 00:26:42.760 In June, SCE paid for the leases 00:26:42.760 --> 00:26:45.020 of three suppression helicopters 00:26:45.020 --> 00:26:46.320 through the end of the year, 00:26:46.320 --> 00:26:49.200 two of which are among the world's largest capacity. 00:26:49.200 --> 00:26:51.980 These resources are unique and that they can fly day and 00:26:51.980 --> 00:26:53.980 night and are strategically stationed 00:26:53.980 --> 00:26:55.740 across SCE service area 00:26:55.740 --> 00:26:58.060 and made available to various jurisdictions, 00:26:58.060 --> 00:26:59.950 resisting fire agency partnerships 00:26:59.950 --> 00:27:01.860 and coordinating agreements. 00:27:01.860 --> 00:27:03.830 For example, the health needs will deploy 00:27:03.830 --> 00:27:06.840 to the Calgary fire on August 18th last week 00:27:06.840 --> 00:27:09.230 and I've conducted a number of day and night missions 00:27:09.230 --> 00:27:11.893 dropping over 100,000 gallons of water in retardant. 00:27:13.560 --> 00:27:15.580 Finally, I want to address the public safety power shut off. 00:27:15.580 --> 00:27:18.903 So PSPS, so I see move to slide eight appreciate that. 00:27:20.270 --> 00:27:22.500 PSPS remains an important tool of last resort 00:27:22.500 --> 00:27:24.820 in protecting the public safety in mitigating 00:27:24.820 --> 00:27:27.670 wildfire risk under extreme weather conditions, 00:27:27.670 --> 00:27:30.790 especially as grid hardening efforts are still underway. 00:27:30.790 --> 00:27:31.730 We recognize the burden, 00:27:31.730 --> 00:27:33.850 it places on our customers and communities. 00:27:33.850 --> 00:27:36.729 It made significant efforts ever to improve. 00:27:36.729 --> 00:27:37.960 In 2020, 00:27:37.960 --> 00:27:41.060 we could deploy more isolating devices and weather stations 00:27:41.060 --> 00:27:44.820 and develop an innocent switching playbook for every single 00:27:44.820 --> 00:27:46.493 circuit in high fire risk area. 00:27:47.460 --> 00:27:51.660 This helped us reduce PSPS event durations by 12% that year 00:27:51.660 --> 00:27:55.170 46% of the circuits that would be energized in 2019, 00:27:55.170 --> 00:27:57.390 we're not be-energized again in 2020. 00:27:57.390 --> 00:27:59.810 So those circuits be energized in both years. 00:27:59.810 --> 00:28:03.540 We impacted 36% fewer customers on average. 00:28:03.540 --> 00:28:06.560 With the ability to be more targeted in our DNR stations, 00:28:06.560 --> 00:28:10.420 our largest events in 2020 impacted 37% fewer customers 00:28:10.420 --> 00:28:12.323 than our largest event in 2019. 00:28:13.250 --> 00:28:14.620 Now, despite these strides forward, 00:28:14.620 --> 00:28:17.840 we recognize there is still room for improvement. 00:28:17.840 --> 00:28:20.900 In January President Batjer directed us to address 00:28:20.900 --> 00:28:24.630 several priority items for improvements to our PSPS program 00:28:24.630 --> 00:28:26.800 and invited us to a public meeting like one of these, 00:28:26.800 --> 00:28:29.361 to hear direct feedback from our agency partners 00:28:29.361 --> 00:28:31.795 and impacted communities, 00:28:31.795 --> 00:28:33.120 we appreciated the candid feedback 00:28:33.120 --> 00:28:35.270 received during the public meetings. 00:28:35.270 --> 00:28:39.000 We, I, Kevin listened intently to the Commission 00:28:39.000 --> 00:28:41.700 customers and our public safety partners, 00:28:41.700 --> 00:28:43.270 and we've been acting SWIFTly, 00:28:43.270 --> 00:28:46.470 double down on our efforts to enhance our PSPS program 00:28:46.470 --> 00:28:47.670 with that input in mind. 00:28:48.640 --> 00:28:52.150 The action plan we develop built upon the foundational work 00:28:52.150 --> 00:28:55.050 that SCE completed in 2019 and 2020 00:28:55.050 --> 00:28:58.150 to improve our PSPS program and increases our focus 00:28:58.150 --> 00:29:00.038 on the customer experience. 00:29:00.038 --> 00:29:02.700 Since January SCE has made significant progress 00:29:02.700 --> 00:29:05.330 on the execution of our PSPS action plan 00:29:05.330 --> 00:29:09.000 and at this time we are 78% complete with the deliverables. 00:29:09.000 --> 00:29:12.420 A key focus needs to be in reducing the need for PSPS, 00:29:12.420 --> 00:29:14.220 especially for the customers and communities 00:29:14.220 --> 00:29:15.470 impacted most frequently. 00:29:17.070 --> 00:29:18.860 As we rebuild of our efforts to celebrate the 00:29:18.860 --> 00:29:22.380 installation of 700 miles of coverage conducted this year, 00:29:22.380 --> 00:29:25.900 we expect to reduce customer outage time by 70% for the 00:29:25.900 --> 00:29:28.600 customer who've experienced four or more the energization 00:29:28.600 --> 00:29:31.990 since 2019, assuming the same weather and fuel conditions 00:29:31.990 --> 00:29:32.823 of last year. 00:29:33.960 --> 00:29:36.807 Additionally, we've removed 81,000 customers 00:29:36.807 --> 00:29:39.080 from PSPS consideration altogether for this year 00:29:39.080 --> 00:29:40.460 by reconfiguring circuits 00:29:40.460 --> 00:29:43.203 and analyzing latest location specific fire risk. 00:29:44.220 --> 00:29:46.100 We also focused on mitigating the impacts 00:29:46.100 --> 00:29:48.030 to our customers during events, 00:29:48.030 --> 00:29:51.690 especially for our AFN or access and functional needs 00:29:51.690 --> 00:29:54.760 customers, including through deployment of backup batteries. 00:29:54.760 --> 00:29:57.440 The qualified medical baseline customers 00:29:57.440 --> 00:30:00.140 were on track to achieve 5,000 battery installations 00:30:00.140 --> 00:30:02.050 by October, 2021. 00:30:02.050 --> 00:30:04.250 And we expect to be reaching 00:30:04.250 --> 00:30:05.580 a customer participation rate of 00:30:05.580 --> 00:30:07.840 40 to 50% by the end of the year, 00:30:07.840 --> 00:30:09.020 which is a significant increase 00:30:09.020 --> 00:30:10.470 from where we were last year. 00:30:11.360 --> 00:30:13.670 We're also working to improve coordination and communication 00:30:13.670 --> 00:30:15.640 with our partners and customers. 00:30:15.640 --> 00:30:18.450 We've launched the new public safety power public safety 00:30:18.450 --> 00:30:21.890 partner portal met with our 13 00:30:21.890 --> 00:30:25.084 county emergency management offices, 00:30:25.084 --> 00:30:27.350 met with our critical infrastructure customers, 00:30:27.350 --> 00:30:29.520 including water and telecoms. 00:30:29.520 --> 00:30:32.727 We've also automated much of our notifications to improve 00:30:32.727 --> 00:30:35.253 and improve the actual messaging for customers. 00:30:36.400 --> 00:30:39.290 Now that I've discussed the work that keeps the public safe, 00:30:39.290 --> 00:30:40.470 particularly around wildfires. 00:30:40.470 --> 00:30:41.720 We'll turn to the safety of the people 00:30:41.720 --> 00:30:43.310 who perform that work. 00:30:43.310 --> 00:30:45.730 I'll go ahead and hand it over to Andrew Martinez my 00:30:45.730 --> 00:30:49.010 colleague to discuss some of our efforts on worker safety, 00:30:49.010 --> 00:30:51.603 both for employees and contractors Andrew. 00:30:53.420 --> 00:30:55.970 Thank you, Steven good morning, everyone. 00:30:55.970 --> 00:30:57.700 Our safety programs are designed 00:30:57.700 --> 00:30:59.760 to minimize all types of injuries. 00:30:59.760 --> 00:31:01.310 The priority focus is to reduce the number 00:31:01.310 --> 00:31:03.839 of serious injuries and fatalities. 00:31:03.839 --> 00:31:07.370 Can we have the next slide, please, thank you. 00:31:07.370 --> 00:31:09.630 We do this by implementing a risk based safety program to 00:31:09.630 --> 00:31:11.660 continually assessing performance. 00:31:11.660 --> 00:31:13.100 We also balanced our safety programs 00:31:13.100 --> 00:31:15.560 they focus on culture and secure ownership, 00:31:15.560 --> 00:31:18.498 very holistic approach to advancing progress. 00:31:18.498 --> 00:31:22.689 Next slide please, thank you. 00:31:22.689 --> 00:31:24.720 I would like to open the performance discussion by saying we 00:31:24.720 --> 00:31:27.230 are grateful that we have not experienced a single employee 00:31:27.230 --> 00:31:29.270 or contractor fatality in over a year, 00:31:29.270 --> 00:31:30.710 and I have not encountered an 00:31:30.710 --> 00:31:32.393 employed fatality since 2016. 00:31:33.526 --> 00:31:34.930 This year through July, 00:31:34.930 --> 00:31:37.400 we continue to see measure improvement in contractors, 00:31:37.400 --> 00:31:40.530 serious injuries and fatalities and DART rate, 00:31:40.530 --> 00:31:43.110 including 14% and 48% respectively 00:31:43.110 --> 00:31:44.743 when compared to July, 2020. 00:31:45.770 --> 00:31:48.130 However, the contractor fatalities in the 2018 00:31:48.130 --> 00:31:50.697 to 2020 period and the near misses for both employees 00:31:50.697 --> 00:31:53.230 and contractors partly are a somber reminder 00:31:53.230 --> 00:31:55.233 that further improvement is still needed. 00:31:57.400 --> 00:31:58.840 We have made progress in reducing employee, 00:31:58.840 --> 00:32:00.970 serious injuries or fatalities over the past seven years 00:32:00.970 --> 00:32:04.370 barring the impact of the COVID-19 pandemic in 2020. 00:32:04.370 --> 00:32:07.390 This is reflected in our 20% improvement year to date 00:32:07.390 --> 00:32:10.390 compared to our seven year performance average in this area. 00:32:11.640 --> 00:32:13.410 Aside from the serious injuries and fatalities, 00:32:13.410 --> 00:32:16.160 we also measure OSHA classified workplace injuries, 00:32:16.160 --> 00:32:18.070 including DART level injuries, 00:32:18.070 --> 00:32:19.650 which are injuries that result in employees 00:32:19.650 --> 00:32:21.400 taking days off of work, 00:32:21.400 --> 00:32:23.730 having restrictions to the work they can perform for 00:32:23.730 --> 00:32:25.630 requiring transfer to a different job. 00:32:26.560 --> 00:32:30.820 Although our DART employee rate has significantly improved 00:32:30.820 --> 00:32:32.270 from 10 years ago, 00:32:32.270 --> 00:32:34.440 our performance has recently pled to falling short at the 00:32:34.440 --> 00:32:36.800 industry average and top porch health performance, 00:32:36.800 --> 00:32:38.620 which remains our goal. 00:32:38.620 --> 00:32:40.920 We continue focus on improving dark performance by 00:32:40.920 --> 00:32:42.270 strengthen our safety culture 00:32:42.270 --> 00:32:44.287 and our risk based safety programs. 00:32:45.330 --> 00:32:47.380 We have incurred some challenges and have identified a 00:32:47.380 --> 00:32:49.860 handful of drivers that are contributing to our work 00:32:49.860 --> 00:32:51.760 for safety performance. 00:32:51.760 --> 00:32:54.100 First, the significant increase in work volumes 00:32:54.100 --> 00:32:56.640 as we ramp up wildfire mitigation efforts 00:32:56.640 --> 00:32:58.220 alongside the unique pressures 00:32:58.220 --> 00:33:00.677 introduced by the COVID-19 pandemic has resulted in 00:33:00.677 --> 00:33:02.863 increased worker stress and fatigue. 00:33:04.330 --> 00:33:06.430 We are continuously learning while executing this new 00:33:06.430 --> 00:33:08.077 wildfire mitigation work, 00:33:08.077 --> 00:33:11.270 and we update our work methods and standards accordingly. 00:33:11.270 --> 00:33:12.930 These changes can introduce some certainty 00:33:12.930 --> 00:33:15.003 and distraction to our workforce. 00:33:15.003 --> 00:33:17.490 Also, we know rising temperatures, 00:33:17.490 --> 00:33:19.480 not only lead to more wildfire risks, 00:33:19.480 --> 00:33:23.020 but as a recent study from UCLA Luskin school showed they 00:33:23.020 --> 00:33:25.120 also lead to increase worker injury risks. 00:33:26.874 --> 00:33:27.990 So we continue to make progress 00:33:27.990 --> 00:33:29.430 on improving our safety culture. 00:33:29.430 --> 00:33:31.280 Our 2020 safety culture assessment 00:33:31.280 --> 00:33:33.980 indicates opportunities to increase leader safety, 00:33:33.980 --> 00:33:35.230 ownership and engagement. 00:33:36.520 --> 00:33:38.320 On the contractor side, 00:33:38.320 --> 00:33:40.600 we're experiencing challenges with resource limitations 00:33:40.600 --> 00:33:42.047 as we significantly scale up our wealth, 00:33:42.047 --> 00:33:45.580 our mitigation efforts further compounded by a migratory 00:33:45.580 --> 00:33:47.590 workforce that is unfamiliar with quirky and Southern 00:33:47.590 --> 00:33:49.290 California has been a territory 00:33:49.290 --> 00:33:51.090 or with our policies and procedures. 00:33:53.920 --> 00:33:56.853 Next slide please, thank you. 00:33:57.710 --> 00:33:59.610 First thank you approach is grounded in our leaders, 00:33:59.610 --> 00:34:02.410 learning from leading indicators then incident and using 00:34:02.410 --> 00:34:04.980 data to enhance our safety programs by systematically 00:34:04.980 --> 00:34:06.480 identifying and reducing this. 00:34:07.370 --> 00:34:09.650 Our leaders and workers have unfiltered discussions 00:34:09.650 --> 00:34:11.750 about thinking incidents and finding, 00:34:11.750 --> 00:34:13.990 creating this culture of being able to discuss issues 00:34:13.990 --> 00:34:17.030 candidly and in a timely manner is critical to improving 00:34:17.030 --> 00:34:20.610 psychological safety, for better outcomes 00:34:20.610 --> 00:34:22.360 for worker and public safety areas. 00:34:23.440 --> 00:34:25.620 As we do in our operational work and planning, 00:34:25.620 --> 00:34:28.110 we use a continuous learning and data driven approach in 00:34:28.110 --> 00:34:29.660 developing our safety programs, 00:34:31.250 --> 00:34:33.097 anchors of our approach to eliminate serious injuries 00:34:33.097 --> 00:34:35.400 and fatalities for employees including 00:34:36.290 --> 00:34:37.420 our risk based safety program, 00:34:37.420 --> 00:34:39.670 which evaluates and prioritizes serious injury 00:34:39.670 --> 00:34:41.620 and fatality risks to identify 00:34:41.620 --> 00:34:44.020 and implement risk mitigation strategies, 00:34:44.020 --> 00:34:46.900 systematically reducing risk across high hazard work. 00:34:46.900 --> 00:34:50.120 For example, working around energized electrical equipment 00:34:50.120 --> 00:34:51.220 or working at heights, 00:34:52.320 --> 00:34:55.280 our job houses for serious injury or fatality inventions, 00:34:55.280 --> 00:34:57.500 which equips frontline workers and leaders with critical 00:34:57.500 --> 00:35:00.020 controls to mitigate risks on the job 00:35:00.020 --> 00:35:01.920 and our cause evaluation program, 00:35:01.920 --> 00:35:04.190 which drives continuous learning through cause evaluations 00:35:04.190 --> 00:35:07.660 for serious injuries and fatalities and incidents as the 00:35:07.660 --> 00:35:10.280 potential to be serious injury or fatality. 00:35:10.280 --> 00:35:13.593 Implementing corrective actions, reducing future risks. 00:35:15.860 --> 00:35:16.937 Next slide please. 00:35:19.410 --> 00:35:22.140 Mr. Martinez, I'm just briefly going to interrupt you. 00:35:22.140 --> 00:35:24.610 I'm just gonna ask that at the presenters, 00:35:24.610 --> 00:35:27.750 please speak a little slower and clearly so that our Spanish 00:35:27.750 --> 00:35:31.630 interpreters are able to translate all the information. 00:35:31.630 --> 00:35:32.463 Thank you. 00:35:33.630 --> 00:35:34.463 No problem. 00:35:35.857 --> 00:35:37.520 So here on slide 12, 00:35:37.520 --> 00:35:40.500 we'll see how many of the challenges we are addressing in 00:35:40.500 --> 00:35:42.750 the worker's safety performance area, 00:35:42.750 --> 00:35:45.330 particularly with our contractors, 00:35:45.330 --> 00:35:48.280 we continue to see some contractors, safety, 00:35:48.280 --> 00:35:50.650 quality and compliance incidents, 00:35:50.650 --> 00:35:52.440 despite progress in strengthening 00:35:52.440 --> 00:35:55.425 and Southern California Edison's contractor program. 00:35:55.425 --> 00:35:58.870 This reinforces the need for further improvements 00:35:58.870 --> 00:36:01.090 for our contractor management process, 00:36:01.090 --> 00:36:03.810 specifically focused on three key areas to increase 00:36:03.810 --> 00:36:05.493 accountability and oversight. 00:36:06.970 --> 00:36:09.080 This includes standardizing processes 00:36:09.080 --> 00:36:12.100 to improve consistency of key functions, 00:36:12.100 --> 00:36:15.130 such as contractor quality assurance and Southern California 00:36:15.130 --> 00:36:17.643 Edison oversight of contractor fieldwork. 00:36:18.960 --> 00:36:20.836 Verifying roles of Southern California, 00:36:20.836 --> 00:36:23.550 independent contractor representative can improve 00:36:23.550 --> 00:36:27.200 identification and resolution of incidents and further 00:36:27.200 --> 00:36:30.260 integrating leading metrics to regular performance meetings 00:36:30.260 --> 00:36:33.480 and discussions prevent significant incidents and setting 00:36:33.480 --> 00:36:35.853 clear thresholds for action on negative trends. 00:36:38.790 --> 00:36:39.930 This year, we have updated 00:36:39.930 --> 00:36:42.210 our contractor safety management standards, 00:36:42.210 --> 00:36:46.140 to drive accountability through establishing procedures, 00:36:46.140 --> 00:36:49.580 training and improvements in safety performance oversight 00:36:49.580 --> 00:36:53.530 from prime contractors to their sub contractors 00:36:53.530 --> 00:36:54.740 and by year end, 00:36:54.740 --> 00:36:58.010 our tier one high risk contractors will be required to 00:36:58.010 --> 00:37:00.523 develop thinky culture training for their leaders. 00:37:01.810 --> 00:37:04.520 This includes high voltage electrical work, 00:37:04.520 --> 00:37:06.560 tree trimming and tree will Moodle activities 00:37:06.560 --> 00:37:08.183 as well as aircraft operations, 00:37:09.580 --> 00:37:12.250 which brings us to the topic of Southern California's 00:37:12.250 --> 00:37:13.880 own safety culture, 00:37:13.880 --> 00:37:16.213 which I will turn over to Kevin for discussion. 00:37:18.920 --> 00:37:22.000 Thanks Andrew so far today, 00:37:22.000 --> 00:37:24.960 you've heard a lot about our programs and projects, 00:37:24.960 --> 00:37:27.777 and we could talk about many more given more time, 00:37:27.777 --> 00:37:30.190 and we look forward to that opportunity in the future 00:37:30.190 --> 00:37:32.810 and all of those programs and projects that we discussed 00:37:32.810 --> 00:37:34.540 exist to keep people safe. 00:37:34.540 --> 00:37:37.163 But as the number of you said in opening comments, 00:37:37.163 --> 00:37:39.840 they can't be effective without a strong foundation 00:37:39.840 --> 00:37:41.770 of a safety focus culture 00:37:41.770 --> 00:37:45.900 and we've been on a journey at SCE of developing a strong 00:37:45.900 --> 00:37:47.790 safety culture for many years, 00:37:47.790 --> 00:37:50.190 and we have made meaningful progress. 00:37:50.190 --> 00:37:54.570 In 2017 we engaged the safety consulting firm 00:37:54.570 --> 00:37:56.390 Propulo to continue 00:37:56.390 --> 00:37:58.500 our triennial safety culture assessment, 00:37:58.500 --> 00:38:00.840 and to help us update and implement our roadmap 00:38:00.840 --> 00:38:02.190 for continued improvements. 00:38:03.030 --> 00:38:04.980 This assessment in 2017, 00:38:04.980 --> 00:38:07.460 it's indicated a culture where 00:38:07.460 --> 00:38:09.270 people were making safe choices, 00:38:09.270 --> 00:38:12.520 but they were driven to do that because it was expected 00:38:12.520 --> 00:38:13.730 in a maturity curve, 00:38:13.730 --> 00:38:17.170 kind of a context Propulo refers to that as a public 00:38:17.170 --> 00:38:21.240 compliance, rather than a culture of personal ownership, 00:38:21.240 --> 00:38:24.383 over safe choices which is called private compliance. 00:38:25.600 --> 00:38:27.500 Based on the results of the assessment, 00:38:27.500 --> 00:38:30.560 SCE created and implemented and updated safety culture 00:38:30.560 --> 00:38:32.890 roadmap and as part of this roadmap, 00:38:32.890 --> 00:38:36.160 all leaders and employees were provided safety, culture, 00:38:36.160 --> 00:38:37.690 language, concepts, 00:38:37.690 --> 00:38:40.470 and tools through cognitive behavioral training 00:38:40.470 --> 00:38:43.370 between 2018 and 2020. 00:38:43.370 --> 00:38:46.690 The safety culture was reassessed in 2020 as part of our 00:38:46.690 --> 00:38:50.410 standing tri-annual review and significant progress was made 00:38:50.410 --> 00:38:53.020 in moving our culture up the maturity curve to one, 00:38:53.020 --> 00:38:54.193 a private compliance. 00:38:55.410 --> 00:38:58.150 The results also identified the next series of action to 00:38:58.150 --> 00:39:01.570 continue supporting culture change such as increasing field 00:39:01.570 --> 00:39:02.800 leader, safety engagement, 00:39:02.800 --> 00:39:05.490 and further emphasizing a culture of speaking up 00:39:05.490 --> 00:39:07.610 to raise safety issues. 00:39:07.610 --> 00:39:09.680 I would note that many of the safety culture survey 00:39:09.680 --> 00:39:13.490 questions in OEIS is recently conducted safety culture 00:39:13.490 --> 00:39:16.427 assessment were included in SCEs 2017 00:39:16.427 --> 00:39:19.380 and 2020 safety culture assessments and surveys. 00:39:19.380 --> 00:39:20.913 So good alignment there. 00:39:22.420 --> 00:39:24.570 So SCE seems strong progress 00:39:24.570 --> 00:39:27.610 between the 2017 and 2020 assessments 00:39:27.610 --> 00:39:32.340 and 78% of the 2020 survey respondents indicated our safety 00:39:32.340 --> 00:39:36.300 culture has improved and 75% indicated that they've seen 00:39:36.300 --> 00:39:38.023 improvement in safety leadership. 00:39:39.750 --> 00:39:41.890 We also think that advancing diversity, 00:39:41.890 --> 00:39:45.570 equity and inclusion or DEI is also an important part of 00:39:45.570 --> 00:39:47.600 establishing a safety culture. 00:39:47.600 --> 00:39:48.920 That's not only physically safe, 00:39:48.920 --> 00:39:51.390 but also psychologically safe. 00:39:51.390 --> 00:39:54.250 A diverse workforce brings unique perspectives, skills, 00:39:54.250 --> 00:39:57.221 and strengths to the issues that we're trying to manage each 00:39:57.221 --> 00:39:59.310 day and our culture must enable inclusion 00:39:59.310 --> 00:40:02.080 so then each of those voices experience an environment where 00:40:02.080 --> 00:40:03.633 they're encouraged and valued. 00:40:04.720 --> 00:40:05.870 Part of enabling this kind of 00:40:05.870 --> 00:40:08.420 environment is by providing opportunities for people to 00:40:08.420 --> 00:40:11.467 engage with each other and leaders on tough issues with 00:40:11.467 --> 00:40:14.290 respectful and candid conversation. 00:40:14.290 --> 00:40:15.740 Just to share a few examples. 00:40:15.740 --> 00:40:18.020 One way we do this is through our annual 00:40:18.020 --> 00:40:20.470 and ad hoc safety standup events, 00:40:20.470 --> 00:40:22.810 which is where our work groups gather together to discuss 00:40:22.810 --> 00:40:25.730 safety issues and concerns and recommit themselves 00:40:25.730 --> 00:40:27.550 to safety ownership. 00:40:27.550 --> 00:40:30.580 We've also held a small handful of all company livestreams 00:40:30.580 --> 00:40:34.300 since the start of COVID that were dedicated to discussing 00:40:34.300 --> 00:40:36.020 mental wellbeing and strategies 00:40:36.020 --> 00:40:37.610 for managing stress and anxiety 00:40:38.930 --> 00:40:41.100 and the top leaders in the company hold monthly, 00:40:41.100 --> 00:40:44.410 all company live streams to provide key company updates 00:40:44.410 --> 00:40:46.470 and open the door to direct interaction 00:40:46.470 --> 00:40:47.943 and feedback from employees. 00:40:48.787 --> 00:40:51.460 Advancing DEI has been a priority for many years, 00:40:51.460 --> 00:40:53.890 and we're proud of the progress that we've made. 00:40:53.890 --> 00:40:57.290 Today we're nearly 70% total workforce diversity. 00:40:57.290 --> 00:41:00.220 So I'm a female and or racially or ethnically diverse 00:41:00.220 --> 00:41:03.040 and workforce diversity generally meets or exceeds the labor 00:41:03.040 --> 00:41:05.740 market availability at all levels. 00:41:05.740 --> 00:41:08.840 We were included in the 2020 disability equality index, 00:41:08.840 --> 00:41:10.360 the best places to work 00:41:10.360 --> 00:41:12.290 and have been on the human rights campaign, 00:41:12.290 --> 00:41:15.050 best places to work for LGBTQ equality 00:41:15.050 --> 00:41:16.463 for 13 years in a row. 00:41:18.330 --> 00:41:20.730 Let me shift now to the topic of accountability. 00:41:21.860 --> 00:41:25.320 Accountability obviously starts with the tone from the top, 00:41:25.320 --> 00:41:28.590 and that starts with our corporate goals, 00:41:28.590 --> 00:41:31.483 which are the same for all SCE employees, including me, 00:41:32.520 --> 00:41:36.220 a significant of our executive officers target total direct 00:41:36.220 --> 00:41:38.700 compensation is variable year to year, 00:41:38.700 --> 00:41:41.450 meaning that most of their compensation is at risk and 00:41:41.450 --> 00:41:44.600 dependent on meeting safety or financial stability goals, 00:41:44.600 --> 00:41:46.273 both short term and long-term. 00:41:47.540 --> 00:41:49.020 The safety and operations committee of the 00:41:49.020 --> 00:41:51.360 board provides input on operational goals. 00:41:51.360 --> 00:41:52.860 I mentioned earlier, 00:41:52.860 --> 00:41:55.850 which our directors include in our corporate goals 00:41:55.850 --> 00:41:57.700 after year end, they evaluate our performance 00:41:57.700 --> 00:41:59.100 and achieving these goals 00:41:59.100 --> 00:42:01.340 and in addition to the corporate goals, 00:42:01.340 --> 00:42:04.390 executives must also achieve individual goals. 00:42:04.390 --> 00:42:07.650 Each executive is held accountable for the results in their 00:42:07.650 --> 00:42:10.210 area and for the team as a whole, 00:42:10.210 --> 00:42:12.970 the performance of senior vice presidents and more senior 00:42:12.970 --> 00:42:15.930 officers is reviewed directly by the compensation and 00:42:15.930 --> 00:42:18.030 executive personnel committee of our boar. 00:42:19.428 --> 00:42:22.930 SCEs approved executive incentive compensation structure as 00:42:22.930 --> 00:42:27.190 required by AB 1054, promote safety as a priority insurers, 00:42:27.190 --> 00:42:30.090 public safety and utility financial stability, 00:42:30.090 --> 00:42:33.090 and includes measurable and enforceable performance metrics. 00:42:34.050 --> 00:42:36.290 As part of their review of bulk performance, 00:42:36.290 --> 00:42:39.280 the compensation and executive personnel committee has the 00:42:39.280 --> 00:42:41.080 discretion to deduct from executives, 00:42:41.080 --> 00:42:44.380 incentive compensation for significant safety events, 00:42:44.380 --> 00:42:47.123 which it has done in each of the past five years. 00:42:47.980 --> 00:42:49.340 As the CEO of this company, 00:42:49.340 --> 00:42:50.910 I'm directly involved in holding 00:42:50.910 --> 00:42:52.960 our executive officers accountable, 00:42:52.960 --> 00:42:55.460 and we are accountable for the safety of each of our 00:42:55.460 --> 00:42:58.600 coworkers, contractors, our customers 00:42:58.600 --> 00:43:00.400 and of course the public. 00:43:00.400 --> 00:43:02.493 Hey Kevin excuse me for one second. 00:43:03.691 --> 00:43:07.560 Could you give us specifics about the five instances 00:43:07.560 --> 00:43:09.390 where there've been deductions 00:43:09.390 --> 00:43:10.890 for significant safety events. 00:43:13.991 --> 00:43:17.824 Certainly, just a moment if I can get to, so 00:43:39.250 --> 00:43:40.950 Sorry, I'm trying to come up with the specifics of it, 00:43:40.950 --> 00:43:45.090 which I'll do Commissioner Rechtschaffen basically just to 00:43:45.090 --> 00:43:47.240 shine a little more light on this while I'm looking for the 00:43:47.240 --> 00:43:52.240 specific circumstances we have, of course, 50% of our goals, 00:43:52.522 --> 00:43:55.920 2021 are based on safety and resiliency 00:43:55.920 --> 00:43:57.740 and I think we've provided that information 00:43:57.740 --> 00:44:00.240 in some of our recent filings 00:44:00.240 --> 00:44:03.010 and so those things are scored 00:44:03.010 --> 00:44:06.150 based on our level of achievement, of course, 00:44:06.150 --> 00:44:08.700 but there are some things that may not get fully captured 00:44:08.700 --> 00:44:10.453 in those goals, such as, 00:44:11.290 --> 00:44:14.243 fatalities or injuries to the public based on system 00:44:14.243 --> 00:44:18.300 failure, those kinds of incidents 00:44:18.300 --> 00:44:20.800 and when those kinds of incidents occur, 00:44:20.800 --> 00:44:23.980 the compensation committee takes those into account 00:44:23.980 --> 00:44:27.390 and provides additional deductions in some cases 00:44:27.390 --> 00:44:29.050 for all employees 00:44:29.050 --> 00:44:32.739 and in some cases for officers of companies 00:44:32.739 --> 00:44:35.400 responsible for those particular areas. 00:44:35.400 --> 00:44:39.610 So for example, in some of the years, 00:44:39.610 --> 00:44:42.640 you saw the data earlier where we showed contractor 00:44:42.640 --> 00:44:47.640 fatalities or in earlier years, even employee fatalities 00:44:47.800 --> 00:44:51.550 and in those years there were deductions taken in some cases 00:44:52.830 --> 00:44:55.030 to the incentive compensation for the entire company 00:44:55.030 --> 00:44:59.910 and in some cases for officers and senior officers, 00:44:59.910 --> 00:45:01.683 I could give you some examples, 00:45:02.600 --> 00:45:03.910 maybe this would help and, 00:45:03.910 --> 00:45:05.420 you can tell me how much more you'd like to hear, 00:45:05.420 --> 00:45:09.240 but in 2020 there was a 13 point deduction. 00:45:09.240 --> 00:45:11.270 So this is based on an overall target for all, 00:45:11.270 --> 00:45:12.963 but corporate goals of the 100. 00:45:13.850 --> 00:45:16.537 There were, we had three contractor fatalities 00:45:16.537 --> 00:45:18.250 and a third-party contractor, 00:45:18.250 --> 00:45:21.100 serious injury who interacted with the electric system 00:45:21.100 --> 00:45:25.470 and our SIP injury weight rate for our employees 00:45:25.470 --> 00:45:27.410 was lower than our target. 00:45:27.410 --> 00:45:30.993 So in that case in 2020 there was a 13 point deduction. 00:45:32.220 --> 00:45:37.220 In 2019 similarly we have contractor fatalities 00:45:37.330 --> 00:45:39.270 and a transformer failure that injured 00:45:39.270 --> 00:45:40.880 a member of the public in that year, 00:45:40.880 --> 00:45:43.070 there was a 14 point deduction. 00:45:43.070 --> 00:45:44.880 So I could go through all of those if you like, 00:45:44.880 --> 00:45:46.153 but those are the. 00:45:46.153 --> 00:45:48.970 Okay no that's helpful. 00:45:48.970 --> 00:45:51.810 So for the scale, just for order of magnitude, 00:45:51.810 --> 00:45:56.810 is that essentially a 14% deduction of the 50% components 00:45:57.700 --> 00:45:59.610 for safety and resiliency? 00:45:59.610 --> 00:46:01.130 Is that or is that overly simplistic, 00:46:01.130 --> 00:46:03.810 just in terms of the overall impact 00:46:03.810 --> 00:46:05.680 on a compensation package, 00:46:05.680 --> 00:46:08.873 what does the 13 point deduction mean? 00:46:10.010 --> 00:46:11.560 Yeah, that's a good question. 00:46:12.688 --> 00:46:15.300 So if you think of the incentive compensation as the 00:46:15.300 --> 00:46:19.090 variable pay for a given year, 00:46:19.090 --> 00:46:22.470 the variable pay is adjusted up and down based on the, 00:46:22.470 --> 00:46:24.110 all of the corporate goals 00:46:24.110 --> 00:46:27.070 and there is a target, an overall target of 100. 00:46:27.070 --> 00:46:28.200 It could be less than that. 00:46:28.200 --> 00:46:31.160 It could be more based on performance against the goals, 00:46:31.160 --> 00:46:33.760 the adjustments that I just referred to are 00:46:33.760 --> 00:46:35.360 after that assessment is done, 00:46:35.360 --> 00:46:38.240 going back and looking at what kinds of safety outcomes may 00:46:38.240 --> 00:46:40.270 not have been adequately captured 00:46:40.270 --> 00:46:43.940 and further reductions taken and so this, 00:46:43.940 --> 00:46:47.080 in the case of I'll just use myself as an example, 00:46:47.080 --> 00:46:49.030 in the case of a 13 point deduction 00:46:49.030 --> 00:46:50.650 against the target of 100, 00:46:50.650 --> 00:46:53.950 that would be a 13% reduction in the variable pay or 00:46:53.950 --> 00:46:55.800 incentive compensation for that year. 00:46:58.060 --> 00:46:58.893 Thank you. 00:47:02.070 --> 00:47:05.420 Good well, I was just about to end and 00:47:05.420 --> 00:47:07.630 I do wanna say maybe the most important thing 00:47:07.630 --> 00:47:08.810 that I'm gonna say today, 00:47:08.810 --> 00:47:13.330 which is that our commitment to safety is unwavering 00:47:13.330 --> 00:47:15.710 and we are dedicated to continuously improving, 00:47:15.710 --> 00:47:18.030 I hope that through this meeting and all the other 00:47:18.030 --> 00:47:19.290 interactions that we have together, 00:47:19.290 --> 00:47:22.770 you see the depth and the breadth of the efforts 00:47:22.770 --> 00:47:24.030 that we're putting in, 00:47:24.030 --> 00:47:27.020 and we are driving until we get those outcomes that we're 00:47:27.020 --> 00:47:30.220 looking for safety and the work that we're doing 00:47:30.220 --> 00:47:32.230 pursuant to it is that the core of our business, 00:47:32.230 --> 00:47:36.680 whether it's employee safety, contractor safety, 00:47:36.680 --> 00:47:39.468 or public safety, and it is our highest priority. 00:47:39.468 --> 00:47:41.560 So I just wanna thank you for the opportunity 00:47:41.560 --> 00:47:43.040 to give you this information today. 00:47:43.040 --> 00:47:46.190 I know it probably triggers a lot of questions, 00:47:46.190 --> 00:47:47.970 which we're looking forward to taking. 00:47:47.970 --> 00:47:51.223 So I'll just end there and welcome your questions. 00:47:54.706 --> 00:47:57.770 Thank you, Mr. Payne, Mr. Powell, and Mr. Martinez, 00:47:57.770 --> 00:47:59.570 I will open it now to the questions 00:47:59.570 --> 00:48:04.570 from the virtual dais, Commissioner Rechtschaffen 00:48:07.535 --> 00:48:09.950 Kevin, could you go back to slide three? 00:48:09.950 --> 00:48:13.119 I wanna ask you a couple of some questions about the 00:48:13.119 --> 00:48:17.123 safety oversight committee, as this, 00:48:18.290 --> 00:48:20.793 so you said you meet six times a year. 00:48:22.180 --> 00:48:25.140 Let me ask you, has the composition, 00:48:25.140 --> 00:48:30.140 or mission of that changed after AB 1054 was passed and 00:48:31.537 --> 00:48:34.560 or in light of the past two or three years 00:48:34.560 --> 00:48:36.193 of wildfire activity? 00:48:39.260 --> 00:48:41.480 Do you mean a, Commissioner do you mean the composition 00:48:41.480 --> 00:48:44.140 in terms of the members or. 00:48:44.140 --> 00:48:46.850 Members the area of expert. 00:48:46.850 --> 00:48:48.410 Member the area of expertise, 00:48:48.410 --> 00:48:50.993 their interaction with executive leadership, 00:48:52.350 --> 00:48:53.950 the operation of that committee? 00:48:56.800 --> 00:48:58.140 I would maybe start by saying 00:48:58.140 --> 00:48:59.680 that our safety and operations committee 00:48:59.680 --> 00:49:02.990 has been with us for a long time. 00:49:02.990 --> 00:49:06.730 It has always been a very significant focus for our board 00:49:06.730 --> 00:49:10.620 and certainly over the last four to five years as, 00:49:10.620 --> 00:49:14.030 the risks associated with catastrophic wildfires 00:49:14.030 --> 00:49:15.910 became more and more evident, 00:49:15.910 --> 00:49:19.940 their focus became much more intense there as did the 00:49:19.940 --> 00:49:22.290 companies and the leadership of the company. 00:49:22.290 --> 00:49:24.420 We make sure that we have members 00:49:24.420 --> 00:49:26.170 from our overall board of directors. 00:49:26.170 --> 00:49:27.830 There are five members, as I mentioned 00:49:27.830 --> 00:49:31.970 of the safety and operations committee who have relevant 00:49:31.970 --> 00:49:36.390 and specific experience usually from other industries. 00:49:36.390 --> 00:49:38.050 But we actually also have one 00:49:38.050 --> 00:49:40.860 that has utility experience as well 00:49:40.860 --> 00:49:43.820 and they bring those kinds of leadership approaches 00:49:43.820 --> 00:49:47.160 to us and challenge and test our approach 00:49:47.160 --> 00:49:50.110 to improving our own safety, culture and safety performance 00:49:51.550 --> 00:49:56.310 by bringing that outside experience and it is a very deep 00:49:56.310 --> 00:50:01.170 and sort of challenging interaction that we have with them, 00:50:01.170 --> 00:50:03.630 because this is that important to us. 00:50:03.630 --> 00:50:07.730 And we have made some changes to the composition of it, 00:50:07.730 --> 00:50:10.930 but I wouldn't say that it was specifically because of 1054. 00:50:13.190 --> 00:50:16.350 It was our ongoing focus on employee 00:50:16.350 --> 00:50:17.700 or worker in public safety. 00:50:18.540 --> 00:50:21.310 Okay so for example, do you meet more frequently 00:50:21.310 --> 00:50:25.640 now that PSPS occur more frequently and that we're in a 00:50:25.640 --> 00:50:29.060 year long wildfire situation and then secondly, 00:50:29.060 --> 00:50:30.180 you alluded to this a little bit, 00:50:30.180 --> 00:50:34.210 do you have people who specialize in different types of 00:50:34.210 --> 00:50:36.363 risks that the utility faces? 00:50:40.210 --> 00:50:43.767 We don't, I mentioned we meet at least six times a year 00:50:43.767 --> 00:50:46.670 and the committee meetings like the 16 operations committee 00:50:46.670 --> 00:50:51.250 usually formally occur the day before the board meeting, 00:50:51.250 --> 00:50:53.170 we also have many other interactions. 00:50:53.170 --> 00:50:58.170 So I would say we have increased the number of meetings 00:50:58.610 --> 00:51:03.390 for things like reviewing the wildfire mitigation plans 00:51:03.390 --> 00:51:05.143 and before we submit them, 00:51:06.280 --> 00:51:09.957 you obviously had some interaction with Mr. O'Toole, 00:51:09.957 --> 00:51:12.740 who the chair of our safety and operations committee before 00:51:12.740 --> 00:51:16.670 today to ensure that we have alignment between management 00:51:16.670 --> 00:51:19.970 and across the board on our safety performance 00:51:19.970 --> 00:51:22.100 and how we characterize that. 00:51:22.100 --> 00:51:25.290 So we have, I would say many more interactions with them, 00:51:25.290 --> 00:51:29.150 but still roughly those six formal meetings that coincide 00:51:29.150 --> 00:51:30.750 with our board meeting schedule. 00:51:33.330 --> 00:51:36.370 Did they get out of the field, the board border directors, 00:51:36.370 --> 00:51:38.363 they meet with staff. 00:51:39.980 --> 00:51:43.100 They, I would say prior to COVID, 00:51:43.100 --> 00:51:46.113 there was significantly more of that. 00:51:47.130 --> 00:51:48.790 They are all, 00:51:48.790 --> 00:51:51.840 I wouldn't say it's something that they do every month, 00:51:51.840 --> 00:51:55.343 but prior to COVID and the concerns about travel and, 00:51:55.343 --> 00:51:58.225 making sure we keep our workforce safe and them safe, 00:51:58.225 --> 00:52:02.500 they would visit the field and they would 00:52:02.500 --> 00:52:04.403 talk to people about safety 00:52:05.550 --> 00:52:07.710 and many other issues and kind of make their 00:52:07.710 --> 00:52:11.080 own assessment of what they're hearing and seeing. 00:52:11.080 --> 00:52:12.620 I would say there's been less of that 00:52:12.620 --> 00:52:14.040 obviously with COVID, 00:52:14.040 --> 00:52:16.490 but I know they're looking forward to getting back to that 00:52:16.490 --> 00:52:17.490 as soon as they can. 00:52:19.330 --> 00:52:21.340 One last question about the board. 00:52:21.340 --> 00:52:25.150 Are you okay with my suggestion that members of the safety 00:52:25.150 --> 00:52:27.640 committee come to meet with us and accompany, 00:52:27.640 --> 00:52:31.293 you in future iterations of these discussions. 00:52:32.580 --> 00:52:33.523 Sure of course. 00:52:34.600 --> 00:52:39.600 Okay, I have two questions about safety culture 00:52:40.010 --> 00:52:41.650 are two things I wanted to say. 00:52:41.650 --> 00:52:43.290 First of all, I wanna compliment you 00:52:43.290 --> 00:52:45.820 about your emphasis about how diversity equity 00:52:45.820 --> 00:52:48.494 and inclusion is an important part of 00:52:48.494 --> 00:52:51.840 inculcating, a safety culture in the organization. 00:52:51.840 --> 00:52:55.260 It's really critical that that not be seen as isolated 00:52:55.260 --> 00:52:57.690 and that safety not be seen as isolated, 00:52:57.690 --> 00:53:01.780 and that they'd be part and parcel of a comprehensive 00:53:01.780 --> 00:53:05.120 discussions I think that's a point very well taken. 00:53:05.120 --> 00:53:06.083 Thank you for that. 00:53:07.440 --> 00:53:09.940 I think it was last year when we talked about safety 00:53:09.940 --> 00:53:12.310 culture, maybe it was a year and a half ago, 00:53:12.310 --> 00:53:17.310 and we asked you about where you are on the spectrum 00:53:17.330 --> 00:53:21.110 and you said Edison has a long way to go. 00:53:21.110 --> 00:53:24.090 Do you recall that or that you were very, 00:53:24.090 --> 00:53:26.990 you were very immature or immature or something like that? 00:53:27.910 --> 00:53:29.560 You mean, sorry, Commissioner, 00:53:29.560 --> 00:53:32.500 in terms of safety culture specifically? 00:53:32.500 --> 00:53:35.090 In terms of going beyond the letter of law, 00:53:35.090 --> 00:53:37.800 a letter of law and yes, 00:53:37.800 --> 00:53:40.390 and complying and doing things voluntarily, 00:53:40.390 --> 00:53:42.230 having a broad sense of safety culture. 00:53:42.230 --> 00:53:43.973 Do you recall that conversation? 00:53:45.170 --> 00:53:47.197 I don't recall the specifics of it, 00:53:47.197 --> 00:53:50.050 but I can see where you're headed 00:53:50.050 --> 00:53:51.743 and I may very well send that. 00:53:52.590 --> 00:53:56.090 Well, I take it from what you said today 00:53:56.090 --> 00:53:57.650 that you feel like 00:53:57.650 --> 00:54:00.702 there's now more private compliance and public compliance 00:54:00.702 --> 00:54:04.653 that you at a more mature stage, is that fair? 00:54:06.810 --> 00:54:10.979 Yes, absolutely that's what the results of our 2020 survey 00:54:10.979 --> 00:54:12.400 seemed to indicate. 00:54:12.400 --> 00:54:16.320 But I would also say that that puts us in a maturity curve 00:54:16.320 --> 00:54:20.023 perspective on safety culture that puts us to the, 00:54:21.050 --> 00:54:22.840 into the middle of the maturity curve 00:54:22.840 --> 00:54:24.630 and maybe slightly to the right of it. 00:54:24.630 --> 00:54:27.145 So there is significantly further for us to go 00:54:27.145 --> 00:54:28.950 and we're nowhere near the end of our 00:54:28.950 --> 00:54:30.100 safety culture journey. 00:54:31.410 --> 00:54:33.553 Thank you, that's all Carolina for me. 00:54:38.010 --> 00:54:39.580 Commissioner Shiroma. 00:54:39.580 --> 00:54:40.433 Yes thank you. 00:54:41.410 --> 00:54:43.830 Thank you, thank you, Mr. Payne 00:54:43.830 --> 00:54:47.047 and to your vice-president Powell and Martinez 00:54:47.047 --> 00:54:50.230 that a very excellent presentation 00:54:50.230 --> 00:54:55.170 and it's clear that there are many, many, 00:54:55.170 --> 00:54:57.240 many important efforts going on. 00:54:57.240 --> 00:55:01.150 Now in terms of overall governance, like I took a perusal 00:55:01.150 --> 00:55:05.190 of your bylaws, the compensation, 00:55:05.190 --> 00:55:07.640 executive personnel charter, 00:55:07.640 --> 00:55:12.193 the safety committee charter, 00:55:13.200 --> 00:55:17.031 and just a couple of observations in so far as 00:55:17.031 --> 00:55:18.980 (clears throat) 00:55:18.980 --> 00:55:21.530 well all of these tremendous efforts were going on. 00:55:24.020 --> 00:55:27.100 Any of us are here for a time 00:55:27.100 --> 00:55:28.850 and then somebody else takes their place 00:55:28.850 --> 00:55:33.140 and what governs are those words on the pages 00:55:33.140 --> 00:55:35.000 that are constantly referred to 00:55:35.950 --> 00:55:39.280 and so, for example,(clears throat) 00:55:39.280 --> 00:55:43.877 I did look to see if it's just simply the word safety was in 00:55:43.877 --> 00:55:47.510 the compensation and executive personnel charter 00:55:47.510 --> 00:55:48.673 in the bylaws. 00:55:49.960 --> 00:55:54.960 Just made a simple search, certainly risk is certainly, 00:55:55.540 --> 00:55:58.990 but I didn't find the word safety. 00:55:58.990 --> 00:56:02.020 Now it is, of course there's a safety committee. 00:56:02.020 --> 00:56:05.500 The safety committee does a lot of reviewing and monitoring 00:56:06.810 --> 00:56:11.110 and so I wanna hear just a little bit more about how the 00:56:11.110 --> 00:56:16.110 recommendations come about through that committee. 00:56:16.750 --> 00:56:21.750 Now in the corporate guidelines, here again no safety 00:56:22.320 --> 00:56:25.010 we've a mark of the company safety and legal compliance, 00:56:25.010 --> 00:56:27.660 and this is a hex program and its relationships 00:56:27.660 --> 00:56:29.522 with its stakeholders. 00:56:29.522 --> 00:56:32.830 That's good, I did notice though, 00:56:32.830 --> 00:56:36.550 in those corporate governance guidelines, 00:56:36.550 --> 00:56:40.933 that there are just, 00:56:42.050 --> 00:56:45.550 there are review and monitor financial operations 00:56:46.410 --> 00:56:51.410 review and evaluate major policies to keep those. 00:56:51.930 --> 00:56:55.080 When it comes to safety it's simply monitoring, 00:56:55.080 --> 00:56:59.770 again, what it is will the board of directors, 00:56:59.770 --> 00:57:01.303 or do the board of directors, 00:57:02.970 --> 00:57:07.970 review these guidelines, review their charters, 00:57:11.148 --> 00:57:15.970 and what have you towards looking at the updating 00:57:15.970 --> 00:57:17.940 and the emphasis with meaning is it, 00:57:17.940 --> 00:57:21.530 when you actually have the word safety in these things 00:57:21.530 --> 00:57:24.943 and whether they are raised in profile, 00:57:27.830 --> 00:57:29.470 that is the governing principles 00:57:29.470 --> 00:57:33.100 for those who are ultimately in charge. 00:57:33.100 --> 00:57:37.670 So my question for you is, well, 00:57:37.670 --> 00:57:40.886 the safety committee reviews and monitors, 00:57:40.886 --> 00:57:45.886 how do recommendations come about at the highest level 00:57:47.450 --> 00:57:50.823 of the governing hierarchy? 00:57:52.200 --> 00:57:54.887 Okay that's a great question. 00:57:54.887 --> 00:57:58.290 And is an opportunity to review these charters 00:57:59.685 --> 00:58:00.740 and update them, 00:58:00.740 --> 00:58:05.740 or at least consider updating with that emphasis on 00:58:06.510 --> 00:58:08.323 safety besides risk, thank you. 00:58:09.962 --> 00:58:11.730 Thank you, Commissioner Shiroma, 00:58:11.730 --> 00:58:13.780 We certainly will take the opportunity to review the 00:58:13.780 --> 00:58:15.810 charters and look at it through the lens 00:58:15.810 --> 00:58:17.335 that you're looking at it through. 00:58:17.335 --> 00:58:19.540 Hopefully this will shed a little bit of light 00:58:19.540 --> 00:58:23.283 on how the board interacts with management on safety. 00:58:24.860 --> 00:58:27.940 So foundationally as the CEO of the company, 00:58:27.940 --> 00:58:30.140 of course, I'm responsible with, 00:58:30.140 --> 00:58:33.635 along with my leadership team for safety performance, 00:58:33.635 --> 00:58:37.800 our job is to identify the risks, assess the risks, 00:58:37.800 --> 00:58:39.670 develop plans, develop programs, 00:58:39.670 --> 00:58:41.410 develop the things that we need to do 00:58:41.410 --> 00:58:44.280 to get good safety outcomes. 00:58:44.280 --> 00:58:48.590 So management's job is to the full range of things 00:58:48.590 --> 00:58:50.706 from identifying the risks 00:58:50.706 --> 00:58:53.156 to mitigating the risks and everything in between 00:58:54.280 --> 00:58:56.180 the board's job and the safety 00:58:56.180 --> 00:58:57.657 and operation committee's job is 00:58:57.657 --> 00:59:01.020 and it may be why you're seeing the words a little bit 00:59:01.020 --> 00:59:03.860 differently there, the board's job is oversight, 00:59:03.860 --> 00:59:07.570 which is a bit different from management. 00:59:07.570 --> 00:59:12.250 So, but I will tell you that our board overall, 00:59:12.250 --> 00:59:13.550 and also in particular, 00:59:13.550 --> 00:59:15.240 our safety and operations committee 00:59:15.240 --> 00:59:18.173 is very heavily engaged in challenging, 00:59:19.290 --> 00:59:21.990 and bringing us the breadth of their experience 00:59:21.990 --> 00:59:24.270 across the whole range of safety issues 00:59:24.270 --> 00:59:27.950 and what this looks like is that when we're facing, 00:59:27.950 --> 00:59:29.750 when we're identifying safety risks, 00:59:31.011 --> 00:59:35.120 when we're experiencing problems with safety or performance, 00:59:35.120 --> 00:59:37.747 that is not up to our standards, 00:59:37.747 --> 00:59:40.510 or if we're putting into place much bigger programs like 00:59:40.510 --> 00:59:42.490 wildfire mitigation, for example, 00:59:42.490 --> 00:59:45.410 the board and the safety and operations committee, 00:59:45.410 --> 00:59:47.990 their job is to make sure that we're thinking 00:59:47.990 --> 00:59:49.870 about all the right things that we've identified, 00:59:49.870 --> 00:59:52.880 all the right risks that we've assessed them appropriately, 00:59:52.880 --> 00:59:56.370 that we have thought about it in a broad enough context, 00:59:56.370 --> 01:00:00.990 and that we have put actions and programs into place that 01:00:00.990 --> 01:00:04.780 will ultimately get us better outcomes and reduce risk 01:00:04.780 --> 01:00:05.890 across the board. 01:00:05.890 --> 01:00:08.840 So subtle point that their, 01:00:08.840 --> 01:00:11.050 their job isn't to go do it and get it done. 01:00:11.050 --> 01:00:14.030 That's my job and my team's job, but their job is, 01:00:14.030 --> 01:00:18.510 is oversight to make sure that we have assessed it correctly 01:00:18.510 --> 01:00:20.110 and that we're addressing all the things 01:00:20.110 --> 01:00:21.120 that need to be addressed 01:00:21.120 --> 01:00:23.814 and I will tell you that they do it in a very, 01:00:23.814 --> 01:00:27.540 I will say, intrusive in a good way, 01:00:27.540 --> 01:00:29.840 intrusive and challenging manner 01:00:29.840 --> 01:00:32.620 and we get the full breadth of their experience 01:00:32.620 --> 01:00:34.390 as leaders of other companies 01:00:34.390 --> 01:00:36.460 and in some cases in other industries 01:00:36.460 --> 01:00:39.710 where they've faced really significant challenges, 01:00:39.710 --> 01:00:41.630 one thing just to maybe point to, 01:00:41.630 --> 01:00:44.460 as an example of that is Tim O'Toole, 01:00:44.460 --> 01:00:48.030 who's the chair of our SOC was in the transportation 01:00:48.030 --> 01:00:50.360 industry and he used to run the London underground 01:00:50.360 --> 01:00:53.050 and he was so obviously lots of 01:00:53.050 --> 01:00:54.760 sort of parallel safety issues 01:00:54.760 --> 01:00:56.960 and it was first worked for us and all that kind of thing 01:00:56.960 --> 01:00:59.670 that said he can bring us lots of insight on, 01:00:59.670 --> 01:01:00.503 on top of that, 01:01:00.503 --> 01:01:02.230 he's on the board of the national safety council, 01:01:02.230 --> 01:01:04.437 where he gets a tremendous amount of experience 01:01:04.437 --> 01:01:06.170 and other information 01:01:06.170 --> 01:01:08.800 and he also had to deal with really unusual things 01:01:08.800 --> 01:01:11.120 like the bombing in the London underground. 01:01:11.120 --> 01:01:12.800 He was running the London underground 01:01:12.800 --> 01:01:14.250 at the time that that happened. 01:01:14.250 --> 01:01:15.960 So those are the kinds of people 01:01:15.960 --> 01:01:17.930 that we have on our safety operations committee 01:01:17.930 --> 01:01:21.661 and they bring that breadth of experience to us to enhance 01:01:21.661 --> 01:01:24.920 what we're doing internally here within management, 01:01:24.920 --> 01:01:26.410 hope that, does that get a part 01:01:26.410 --> 01:01:28.740 of what you were looking for Commissioner? 01:01:28.740 --> 01:01:32.920 It does and really my perspective is that 01:01:33.944 --> 01:01:35.790 tremendous that Mr. O'Toole 01:01:35.790 --> 01:01:37.250 is part of the board of directors. 01:01:37.250 --> 01:01:39.530 He's chairing the safety committee. 01:01:39.530 --> 01:01:41.430 He brings his experience or what, 01:01:41.430 --> 01:01:46.160 but what happens when he's replaced 01:01:46.160 --> 01:01:50.730 and where's the continuity in the charters to really 01:01:50.730 --> 01:01:55.580 emphasize the core value, safety, it simply, 01:01:55.580 --> 01:01:59.400 it's worth a look by your board of directors 01:01:59.400 --> 01:02:03.020 to see that they are emphasizing the things you need to 01:02:03.020 --> 01:02:07.670 emphasize at the very highest levels in the bylaws, 01:02:07.670 --> 01:02:11.220 in the well, in the charters, in these guidelines. 01:02:11.220 --> 01:02:13.020 But thank you thank you. 01:02:13.020 --> 01:02:15.270 Thank you, thanks for making that point. 01:02:15.270 --> 01:02:18.780 our values endure safety is our number one value. 01:02:18.780 --> 01:02:21.390 We will take a look at the charters as I said, 01:02:21.390 --> 01:02:24.290 and we will also always make sure that on our board 01:02:24.290 --> 01:02:26.170 and on our safety and operations committee, 01:02:26.170 --> 01:02:29.360 that we have a relevant and valuable experience 01:02:29.360 --> 01:02:31.010 to help guide our safety journey. 01:02:33.720 --> 01:02:35.720 Thank you, thank you for your questions. 01:02:36.610 --> 01:02:37.793 Commissioner Houck. 01:02:40.342 --> 01:02:41.863 Two questions. 01:02:41.863 --> 01:02:43.500 One, I know you're talked 01:02:43.500 --> 01:02:45.760 in response to Commissioner Rechtschaffen 01:02:45.760 --> 01:02:48.883 question about committee members getting out in the field. 01:02:49.770 --> 01:02:54.210 What role or does executive leadership ever get out in the 01:02:54.210 --> 01:02:59.210 field beyond meeting with the safety committee and what kind 01:02:59.590 --> 01:03:03.230 of engagement do you have with the staff and the folks that 01:03:03.230 --> 01:03:07.830 are out in the field to see firsthand what's happening 01:03:07.830 --> 01:03:11.833 and then can you discuss a little bit how you're addressing 01:03:11.833 --> 01:03:14.970 the severe impacts we're seeing from climate change in 01:03:14.970 --> 01:03:17.850 regards to reconceptualizing 01:03:17.850 --> 01:03:20.723 operating conditions on safety issues? 01:03:23.540 --> 01:03:25.160 Okay, good questions. 01:03:25.160 --> 01:03:27.693 I'll take those in order Mr. Houck. 01:03:28.730 --> 01:03:33.460 So yes, part of our safety program is having 01:03:33.460 --> 01:03:36.300 even our top executives get out into the field. 01:03:36.300 --> 01:03:39.030 One of the foundational things about safety culture and a 01:03:39.030 --> 01:03:43.400 safety program is observations from leaders at all levels 01:03:43.400 --> 01:03:44.880 and just to give you an example, 01:03:44.880 --> 01:03:48.710 after we did the 2017 safety culture assessment, 01:03:48.710 --> 01:03:51.070 one of the big initiatives that we had was we brought in all 01:03:51.070 --> 01:03:54.597 of our executives and put them through a series of training, 01:03:54.597 --> 01:03:59.120 both in terms of how to visit the field and be around 01:03:59.120 --> 01:04:02.040 hazardous equipment and construction and do it safely. 01:04:02.040 --> 01:04:04.810 But also what kinds of questions to ask when they get there 01:04:04.810 --> 01:04:07.950 and how to do what we call safety observations 01:04:07.950 --> 01:04:10.210 in a way that is helpful. 01:04:10.210 --> 01:04:13.530 We think it's powerful for our employees to see the top 01:04:13.530 --> 01:04:17.880 leaders of the company in the field, talking to them, 01:04:17.880 --> 01:04:20.310 finding out what their attitudes are about safety, 01:04:20.310 --> 01:04:23.300 making sure that to some degree, they're, 01:04:23.300 --> 01:04:26.320 strict adherence to safety rules and, 01:04:26.320 --> 01:04:28.130 protective equipment and that sort of thing 01:04:28.130 --> 01:04:31.507 is typically more the role of first 01:04:31.507 --> 01:04:33.500 and second and third line supervision. 01:04:33.500 --> 01:04:36.830 But our executives know how to look for that as well. 01:04:36.830 --> 01:04:39.670 We have a term called critical observable actions, 01:04:39.670 --> 01:04:42.680 that we try to arm people with so that when they go out to 01:04:42.680 --> 01:04:44.510 the field, they know what to look for. 01:04:44.510 --> 01:04:47.060 They know how to kind of assess whether our people, 01:04:48.102 --> 01:04:51.052 are doing all the things that they're supposed to be doing. 01:04:52.280 --> 01:04:54.670 The more important part of that though, 01:04:54.670 --> 01:04:56.460 is seeing executives in the field, 01:04:56.460 --> 01:04:59.110 tells our employees that safety really is our number one 01:04:59.110 --> 01:05:01.070 value, and it is important 01:05:01.070 --> 01:05:03.110 and they know that we care about it deeply 01:05:03.110 --> 01:05:04.510 enough to spend our time on it 01:05:04.510 --> 01:05:07.000 and that may have been kind of the source of your question 01:05:07.000 --> 01:05:09.230 and if it was you're absolutely right. 01:05:09.230 --> 01:05:11.200 So we have that as part of our program, 01:05:11.200 --> 01:05:15.410 I will admit in full transparency that COVID has impacted 01:05:15.410 --> 01:05:18.540 our ability to do that over the year and a half, 01:05:18.540 --> 01:05:19.846 but many of our executives, 01:05:19.846 --> 01:05:23.730 are still going out to the field, still doing observations 01:05:23.730 --> 01:05:28.010 and as the pandemic subsides, 01:05:28.010 --> 01:05:30.810 and it's more safe to do it more broadly, 01:05:30.810 --> 01:05:32.390 we will go back to where we work for, 01:05:32.390 --> 01:05:34.813 which has significant presence out in the field. 01:05:36.740 --> 01:05:39.180 So climate changes was your second question 01:05:39.180 --> 01:05:41.900 and that's a very big topic of course, 01:05:41.900 --> 01:05:43.600 I mentioned at the beginning that, 01:05:45.810 --> 01:05:50.810 we see things that relate to climate adaptation that needs 01:05:50.820 --> 01:05:52.700 to be done urgently now 01:05:52.700 --> 01:05:54.920 and we see things that need to be planned for 01:05:54.920 --> 01:05:57.430 a much different future going forward. 01:05:57.430 --> 01:05:58.390 I think it's clear that 01:05:58.390 --> 01:05:59.760 from the extreme weather perspective, 01:05:59.760 --> 01:06:03.640 that we have seen a lot more of the impacts of climate 01:06:03.640 --> 01:06:07.670 change a lot sooner than anyone thought that we would. 01:06:07.670 --> 01:06:10.380 So there are near-term things we're doing like our wildfire 01:06:10.380 --> 01:06:13.580 mitigation plans and cover conductor and mitigating the 01:06:13.580 --> 01:06:16.760 risks of the extreme weather that we're seeing. 01:06:16.760 --> 01:06:18.830 So there is a whole set of things, 01:06:18.830 --> 01:06:21.160 in the sort of immediate timeframe, 01:06:21.160 --> 01:06:23.040 the next several years that we're doing to try to protect 01:06:23.040 --> 01:06:24.850 public and worker safety, 01:06:24.850 --> 01:06:27.160 but there's also a whole different body of work, 01:06:27.160 --> 01:06:30.380 which says we're gonna see things like sea level rise, 01:06:30.380 --> 01:06:33.050 and we're gonna see more, 01:06:33.050 --> 01:06:34.980 even more routine extreme weather. 01:06:34.980 --> 01:06:39.050 We're gonna see, higher highs in terms of wind, temperature 01:06:39.050 --> 01:06:42.600 and maybe lower lows and different kinds of conditions 01:06:42.600 --> 01:06:43.740 where we're gonna have to go back 01:06:43.740 --> 01:06:46.480 and look at our systems to make sure that it, 01:06:46.480 --> 01:06:49.070 is designed and capable of operating 01:06:49.070 --> 01:06:51.770 in those more extreme conditions. 01:06:51.770 --> 01:06:54.910 So, obviously we're very busy on the near term, 01:06:54.910 --> 01:06:56.900 immediate things right now to secure the system 01:06:56.900 --> 01:06:57.860 and make it safe, 01:06:57.860 --> 01:07:01.000 but we have a whole other stream of work that is focused on 01:07:01.000 --> 01:07:03.100 the future of how we adapt 01:07:03.100 --> 01:07:06.240 and I would just point out that this is incredibly important 01:07:06.240 --> 01:07:09.030 to us because it's important to the state 01:07:09.030 --> 01:07:12.570 And I think everybody has seen that we see a vision of the 01:07:12.570 --> 01:07:16.610 future that is highly electrified with clean energy flowing 01:07:16.610 --> 01:07:18.990 over the grid to fuel things like transportation, 01:07:18.990 --> 01:07:21.050 building heating, and cooling and other things, 01:07:21.050 --> 01:07:23.110 absolutely critical that we have a capable, 01:07:23.110 --> 01:07:27.250 resilient grid that customers will have confidence in 01:07:27.250 --> 01:07:31.210 and so we need to secure it and make it safe immediately 01:07:31.210 --> 01:07:34.180 and we also need to plan for that very different future 01:07:34.180 --> 01:07:36.910 that will come with even more climate change. 01:07:36.910 --> 01:07:40.310 So we see that as all part of our responsibility 01:07:41.282 --> 01:07:43.263 and things that we're actively working on. 01:07:46.171 --> 01:07:47.797 Mrs. Carolina I don't know 01:07:47.797 --> 01:07:49.060 if you have an order there, 01:07:49.060 --> 01:07:50.683 but I just want to let you know, 01:07:50.683 --> 01:07:52.000 I have a couple of questions, 01:07:52.000 --> 01:07:53.987 this is Commissioner Guzman Aceves. 01:07:56.050 --> 01:07:58.330 Absolutely Commissioner Guzman Aceves 01:07:58.330 --> 01:07:59.430 I cannot see your videos. 01:07:59.430 --> 01:08:01.219 So please do go ahead. 01:08:01.219 --> 01:08:02.650 Yes I apologize 01:08:02.650 --> 01:08:04.793 I had some technical issues this morning. 01:08:05.860 --> 01:08:09.307 Thank you and just to maybe build off of what 01:08:09.307 --> 01:08:11.240 was just said by Kevin, 01:08:11.240 --> 01:08:15.470 which is the need to adapt our practices, 01:08:15.470 --> 01:08:18.250 obviously major, wake up, call here, 01:08:18.250 --> 01:08:22.710 as you're saying on the pace of which we were behind on. 01:08:22.710 --> 01:08:26.360 And maybe this is a question for Andrew 01:08:26.360 --> 01:08:28.410 on the workforce side of it 01:08:28.410 --> 01:08:30.270 and one of the things that we're obviously 01:08:31.410 --> 01:08:33.338 in addition to safety, 01:08:33.338 --> 01:08:38.338 and also I'm gonna ask my questions are a little bit 01:08:39.209 --> 01:08:41.630 tangental to each other, but let me just, 01:08:41.630 --> 01:08:44.710 if you will ask them and you can take a shot at it, Andrew, 01:08:44.710 --> 01:08:49.710 or, but the issue obviously that you highlight here is the 01:08:51.170 --> 01:08:54.410 worker safety and the need to things like having less 01:08:54.410 --> 01:08:57.110 extended work hours for contractors 01:08:57.110 --> 01:09:01.057 and just as an example here, but my question is, 01:09:01.057 --> 01:09:04.990 are we at a place where we're recognizing that we need more 01:09:04.990 --> 01:09:07.970 employees, more direct hires? 01:09:07.970 --> 01:09:12.120 Is that a strategy instead of just more oversight of your 01:09:12.120 --> 01:09:14.910 contractors, which of course is important, 01:09:14.910 --> 01:09:19.740 but recognizing the need of a greater amount of workforce, 01:09:19.740 --> 01:09:22.430 not only to be hardening the system, 01:09:22.430 --> 01:09:26.340 but to be out in the field at all times, of course, 01:09:26.340 --> 01:09:28.590 where there's many investigations still occurring, 01:09:28.590 --> 01:09:32.930 but one of the questions I have is are these contractors is 01:09:32.930 --> 01:09:35.600 this workforce it's hardening the system, 01:09:35.600 --> 01:09:39.980 the same workforce that can respond to the identification 01:09:39.980 --> 01:09:42.260 of let's say an ignition source 01:09:42.260 --> 01:09:44.850 to try to prevent an ignition 01:09:44.850 --> 01:09:48.410 from becoming a catastrophic wildfire. 01:09:48.410 --> 01:09:53.410 Is this the kind of, just to say all of that one, 01:09:54.010 --> 01:09:57.160 are you hiring more employees directly? 01:09:57.160 --> 01:10:01.530 Are you stepping back and seeing we need to actually keep 01:10:01.530 --> 01:10:03.350 this workforce year round? 01:10:03.350 --> 01:10:05.240 And you've already said, 01:10:05.240 --> 01:10:09.090 of course the fire season is year round now 01:10:09.090 --> 01:10:11.700 should we reexamined the practice of contractors 01:10:11.700 --> 01:10:15.170 versus direct hire that's one question, second question 01:10:15.170 --> 01:10:17.120 is this the same workforce, 01:10:17.120 --> 01:10:21.330 is there overlap or is it the same workforce that is being 01:10:21.330 --> 01:10:26.330 responsive to ignitions and finding obviously prevention 01:10:26.800 --> 01:10:28.510 is highlighted in your presentation, 01:10:28.510 --> 01:10:31.510 but they also are, I assume, in the field 01:10:31.510 --> 01:10:35.370 and can be responsive to finding ignition 01:10:35.370 --> 01:10:38.550 sources and preventing spread 01:10:40.250 --> 01:10:42.760 and so those are two and then after that's the answer, 01:10:42.760 --> 01:10:46.110 they have very small question clarifying question for Steve 01:10:46.110 --> 01:10:49.283 on his comment on some of the helicopters, okay. 01:10:51.260 --> 01:10:53.580 Oh, great thank you Commissioner. 01:10:53.580 --> 01:10:56.850 If its okay I'd like to maybe get started with this one 01:10:56.850 --> 01:10:59.210 and then there's a portion of this that I think Steve would 01:10:59.210 --> 01:11:01.570 be well-suited to answer 01:11:01.570 --> 01:11:03.950 and then Andrew can fill in as well. 01:11:03.950 --> 01:11:07.580 So on your first point about contract versus direct, 01:11:07.580 --> 01:11:11.480 and are we hiring more employees we have with the increases 01:11:11.480 --> 01:11:15.620 in workload, we have hired some more employees. 01:11:15.620 --> 01:11:19.360 We still maintain a posture where about half of our 01:11:19.360 --> 01:11:20.860 distribution work, for example, 01:11:20.860 --> 01:11:24.730 is done by contractors and about half of it is 01:11:24.730 --> 01:11:29.010 done by our internal forces and from time to time, 01:11:29.010 --> 01:11:32.340 we think through and revisit the mix between our employees 01:11:32.340 --> 01:11:33.400 and our contractors 01:11:33.400 --> 01:11:36.830 and typically the reason why you would use a large number of 01:11:36.830 --> 01:11:38.100 contractors would be for work 01:11:38.100 --> 01:11:40.630 that you don't necessarily see going on forever. 01:11:40.630 --> 01:11:43.400 It would be maybe more cyclic work that would ramp up and 01:11:43.400 --> 01:11:44.973 then ramped down in, 01:11:46.597 --> 01:11:50.170 a several year period or repeats maybe even slightly longer 01:11:50.170 --> 01:11:51.793 and that avoids the, 01:11:52.710 --> 01:11:55.590 sort of the hiring and laying off kinds of 01:11:55.590 --> 01:11:56.430 things that you see, 01:11:56.430 --> 01:11:59.893 if you try to do a much higher percentage with employees. 01:12:00.982 --> 01:12:03.880 So maybe I would ask Steve to just make a few comments on 01:12:03.880 --> 01:12:07.600 our assessment of contract versus direct employees 01:12:07.600 --> 01:12:09.700 and then we can go from there into, is this, 01:12:09.700 --> 01:12:10.880 are these the same workers? 01:12:10.880 --> 01:12:12.970 We actually have linemen who do the work 01:12:12.970 --> 01:12:13.960 on the electric grid 01:12:13.960 --> 01:12:15.690 and then we also have inspectors 01:12:15.690 --> 01:12:17.220 and other kinds of job classifications, 01:12:17.220 --> 01:12:20.182 who help find potential sources of emissions. 01:12:20.182 --> 01:12:23.082 So Steve, would you mind weighing in on that a little bit? 01:12:24.190 --> 01:12:27.300 Sure Kevin, so with respect to, 01:12:27.300 --> 01:12:30.710 contract workforce versus internal employees, 01:12:30.710 --> 01:12:32.950 as Kevin mentioned, the programs that, 01:12:32.950 --> 01:12:33.993 we have to look at each program, 01:12:33.993 --> 01:12:36.330 and figure the right way to resource it, 01:12:36.330 --> 01:12:37.730 how long will it exist? 01:12:37.730 --> 01:12:39.060 Cover conductors is a great example, 01:12:39.060 --> 01:12:41.501 where we have a few years of a lot of work to do 01:12:41.501 --> 01:12:44.940 so to address that we really had to bring in 01:12:44.940 --> 01:12:47.280 a lot of contractors to help build up a workforce, 01:12:47.280 --> 01:12:50.420 to execute on that you can move to 01:12:50.420 --> 01:12:51.860 an employee-based workforce, 01:12:51.860 --> 01:12:53.980 if you have the ability to wanting to do it 01:12:53.980 --> 01:12:55.590 for many, many years, 01:12:55.590 --> 01:12:58.800 but we're constantly re-evaluating that the balance between 01:12:58.800 --> 01:13:00.480 how much do we hire internally 01:13:00.480 --> 01:13:03.350 and how much do we do we contract out. 01:13:03.350 --> 01:13:04.952 Now there's a lot of base, 01:13:04.952 --> 01:13:06.410 reliability and other work that will grow over time 01:13:06.410 --> 01:13:07.243 and so we will be, 01:13:07.243 --> 01:13:10.860 we will need to hire more field resources as well as support 01:13:10.860 --> 01:13:13.350 behind it to manage that. 01:13:13.350 --> 01:13:15.160 But every time we go in for I'd say, 01:13:15.160 --> 01:13:18.220 contract reevaluations or contract renewals 01:13:18.220 --> 01:13:19.270 with those contractors, 01:13:19.270 --> 01:13:22.090 we're looking again at that balance of resources. 01:13:22.090 --> 01:13:23.167 Now that the, as Kevin mentioned, 01:13:23.167 --> 01:13:25.253 the different classifications of work, 01:13:26.940 --> 01:13:29.442 you've got a separate set of inspectors that are out doing 01:13:29.442 --> 01:13:32.790 the risk informed inspections from the ground, 01:13:32.790 --> 01:13:36.980 from the air to identify potential sources of ignition. 01:13:36.980 --> 01:13:40.210 Then you've got the teams that are responding to faults 01:13:40.210 --> 01:13:42.390 or outages that happen on the ground. 01:13:42.390 --> 01:13:44.820 So you'll send a troubleman out, still investigate those. 01:13:44.820 --> 01:13:46.740 They're both looking at how do they fix the problem there, 01:13:46.740 --> 01:13:48.550 but they're also looking for other hazards 01:13:48.550 --> 01:13:49.700 that are on the system. 01:13:51.324 --> 01:13:53.670 The line workers that are out regularly, 01:13:53.670 --> 01:13:56.437 building new infrastructure, replacing infrastructure 01:13:56.437 --> 01:13:58.013 you know their primary job is, 01:13:59.480 --> 01:14:03.910 not to go identify hazard, but while they're out there, 01:14:03.910 --> 01:14:06.500 we're training all of our workers to be risk aware 01:14:06.500 --> 01:14:07.660 and habit aware. 01:14:07.660 --> 01:14:10.090 In fact, those line workers that are doing a lot of that 01:14:10.090 --> 01:14:12.140 construction for our, as our employees 01:14:12.140 --> 01:14:13.020 a couple of years ago, 01:14:13.020 --> 01:14:15.256 when we really launched our risk 01:14:15.256 --> 01:14:16.440 and performance inspections, 01:14:16.440 --> 01:14:18.670 we actually sent out those qualified electrical workers to 01:14:18.670 --> 01:14:20.260 perform the inspection. 01:14:20.260 --> 01:14:23.320 When we inspected all of the structures in high fire areas 01:14:23.320 --> 01:14:25.040 over about a six month period. 01:14:25.040 --> 01:14:28.690 So there's a balance of roles across there. 01:14:28.690 --> 01:14:31.360 Our roles are to inspect the system to maintain it, 01:14:31.360 --> 01:14:34.990 to build new infrastructure, generally speaking, 01:14:34.990 --> 01:14:38.320 but it's not the role of those employees to go and, 01:14:38.320 --> 01:14:41.830 put out fires as they start after an ignition. 01:14:41.830 --> 01:14:44.970 If they're out doing work and there's these small ignition, 01:14:44.970 --> 01:14:46.555 they are equipped, 01:14:46.555 --> 01:14:49.330 with fire extinguishers and other things to deal with it. 01:14:49.330 --> 01:14:51.703 But those can go rapidly in extreme conditions 01:14:51.703 --> 01:14:54.190 that are willing to rely on firefight resources 01:14:54.190 --> 01:14:56.470 to support that work. 01:14:57.790 --> 01:14:59.693 Just to clarify this. 01:15:01.180 --> 01:15:02.620 So go ahead Commissioner, I just want to, 01:15:02.620 --> 01:15:04.447 make a quick time check for everybody 01:15:04.447 --> 01:15:07.790 as we are running a 10 to 15 minutes behind. 01:15:07.790 --> 01:15:10.728 So just to be mindful of the time and we will be shifting to 01:15:10.728 --> 01:15:14.493 SDG&E presentation in 15, 10 minutes. 01:15:15.780 --> 01:15:16.980 Okay, thank you. 01:15:16.980 --> 01:15:19.440 The question wasn't to put out any ignition, 01:15:19.440 --> 01:15:22.213 the question is to identify the source, 01:15:23.160 --> 01:15:26.123 and since you could have a fault or power outage in one of 01:15:26.123 --> 01:15:27.990 your distribution lines 01:15:27.990 --> 01:15:31.090 and trying to identify the cause of that 01:15:31.090 --> 01:15:34.760 and so that's where who is the workforce 01:15:34.760 --> 01:15:35.950 that you deploy out there. 01:15:35.950 --> 01:15:38.590 Is it some of these contractors are they direct hires 01:15:38.590 --> 01:15:40.890 is it a completely separate team and all. 01:15:40.890 --> 01:15:42.083 Yeah thank you. 01:15:42.083 --> 01:15:43.727 So generally, those are employees 01:15:43.727 --> 01:15:46.990 and so the first responders in many cases to an outage or an 01:15:46.990 --> 01:15:49.700 ignition is the troublemen and the trouble men will 01:15:49.700 --> 01:15:52.180 do the initial diagnosis of what may have happened. 01:15:52.180 --> 01:15:54.690 Is there something that's obvious there, if the trouble man, 01:15:54.690 --> 01:15:56.723 isn't able to diagnose it, 01:15:56.723 --> 01:15:59.770 we have a team team of engineer and we have a common 01:15:59.770 --> 01:16:02.740 evaluation process and close assigned to an engineer that 01:16:02.740 --> 01:16:05.090 then is evaluating the data and the information to see if 01:16:05.090 --> 01:16:06.500 they can understand the cause 01:16:06.500 --> 01:16:08.640 and then there are tiers to that process 01:16:08.640 --> 01:16:12.180 and so we've really grown that inspection analysis process 01:16:12.180 --> 01:16:14.300 and cognitive evaluation process 01:16:14.300 --> 01:16:15.770 significantly over the last few years. 01:16:15.770 --> 01:16:18.530 So that every single ignition that happens is we're, 01:16:18.530 --> 01:16:20.700 we're getting to ultimately what the cause is and, 01:16:20.700 --> 01:16:22.970 there's tiers that we work through that that bring in more 01:16:22.970 --> 01:16:24.000 and more engineers, 01:16:24.000 --> 01:16:25.740 but there is a first responder workforce, 01:16:25.740 --> 01:16:27.300 that gets to initial cause, 01:16:27.300 --> 01:16:30.250 and then we've got engineers to support them. 01:16:33.758 --> 01:16:35.380 I know like those are the 01:16:35.380 --> 01:16:37.666 Southern California Edison generally. 01:16:37.666 --> 01:16:39.374 Okay thank you. 01:16:39.374 --> 01:16:41.343 So it sounds like it's a separate workforce? 01:16:43.272 --> 01:16:46.813 Than the ones that are constructing the equipment, yes. 01:16:50.090 --> 01:16:51.410 Yeah just for clarity. 01:16:51.410 --> 01:16:54.050 I mean, they just have different, slightly different roles. 01:16:54.050 --> 01:16:57.440 There are larger crews whose job it is to go out 01:16:57.440 --> 01:16:59.500 and string cover conductor, replace poles, 01:16:59.500 --> 01:17:00.730 do that kind of thing. 01:17:00.730 --> 01:17:03.520 There are what you see referred to as troublemen, 01:17:03.520 --> 01:17:06.320 who are the ones who are investigating, 01:17:06.320 --> 01:17:07.620 if there's an outage going out 01:17:07.620 --> 01:17:09.388 and making sure that it's safe, 01:17:09.388 --> 01:17:12.660 getting the power back on where they can kind of identifying 01:17:12.660 --> 01:17:13.590 the work that needs to be done. 01:17:13.590 --> 01:17:14.990 So they're kind of the, in a sense, 01:17:14.990 --> 01:17:17.990 they're kind of the first responders of alignment 01:17:17.990 --> 01:17:19.810 and maybe that's a good way to think about it. 01:17:19.810 --> 01:17:23.470 There are usually quite experienced and they understand how 01:17:23.470 --> 01:17:26.090 the system is designed and they're able to troubleshoot it 01:17:26.090 --> 01:17:28.813 to try to figure out where the problem might be coming from. 01:17:31.440 --> 01:17:32.540 Okay thank you. 01:17:32.540 --> 01:17:35.990 I'll keep my other ones we'll follow up via email. 01:17:35.990 --> 01:17:36.823 Thanks Carolina. 01:17:39.100 --> 01:17:41.100 Thank you, Commissioner Guzman Aceves. 01:17:42.287 --> 01:17:44.877 Are there any other questions from the virtual guys? 01:17:44.877 --> 01:17:46.747 Yes Carolina this is Caroline 01:17:46.747 --> 01:17:48.533 and I got a couple questions. 01:17:49.910 --> 01:17:50.743 Please. 01:17:50.743 --> 01:17:53.770 So Mr. Payne, appreciate that 01:17:53.770 --> 01:17:57.100 you've made several comments about how the board and the SOC 01:17:57.100 --> 01:18:00.570 specifically has comprehensive safety background 01:18:00.570 --> 01:18:02.880 and experience and offers recommendations. 01:18:02.880 --> 01:18:06.100 Can you give us a couple of specific examples 01:18:06.100 --> 01:18:08.070 of how they use, 01:18:08.070 --> 01:18:11.155 that experience and then provided specific recommendations 01:18:11.155 --> 01:18:13.690 that would actually detailed the recommendations 01:18:14.860 --> 01:18:17.090 and how that was then implemented by the, 01:18:17.090 --> 01:18:19.560 as you mentioned the folks that go 01:18:19.560 --> 01:18:22.167 and implement those at recommendations? 01:18:23.260 --> 01:18:28.260 Yes, certainly actually I can offer a few 01:18:29.710 --> 01:18:32.720 and then Steve can offer a few as well. 01:18:32.720 --> 01:18:36.280 Maybe, one that I would offer is 01:18:37.760 --> 01:18:42.490 when it comes to our employee safety data, 01:18:42.490 --> 01:18:47.490 one of the things that the SOC has pushed us a lot on is are 01:18:47.770 --> 01:18:52.330 we getting full value from using our metrics to identify 01:18:52.330 --> 01:18:56.340 leading indicators and there thereby having the ability to 01:18:56.340 --> 01:18:59.763 get out in front of safety issues and in particular, 01:19:01.240 --> 01:19:03.360 our board chair for example, 01:19:03.360 --> 01:19:06.360 is also on the SOC and he has extensive experience in 01:19:06.360 --> 01:19:08.480 manufacturing and the technology company 01:19:08.480 --> 01:19:10.620 and so one of the things that he has pushed us 01:19:10.620 --> 01:19:12.990 really hard on is, 01:19:12.990 --> 01:19:15.470 don't make sure you're looking at the metrics 01:19:15.470 --> 01:19:18.280 with the right level of granularity so that, 01:19:18.280 --> 01:19:22.580 you might look fairly good overall, 01:19:22.580 --> 01:19:24.620 but you might have pockets. 01:19:24.620 --> 01:19:27.490 Cause he's quite aware that we serve 50,000 square miles. 01:19:27.490 --> 01:19:30.760 We have 35 different service centers or regions that we 01:19:30.760 --> 01:19:34.080 operate and that you could have a number of them that are 01:19:34.080 --> 01:19:36.420 operating very well and getting very good safety outcomes, 01:19:36.420 --> 01:19:38.340 but then you might have some others that aren't, 01:19:38.340 --> 01:19:41.690 and those could be the places where you would see the 01:19:41.690 --> 01:19:44.820 leading indicators for potential serious injury 01:19:44.820 --> 01:19:46.550 or fatality coming. 01:19:46.550 --> 01:19:49.350 So he has if Steve, 01:19:49.350 --> 01:19:51.587 you could come in a little bit more on this too, 01:19:51.587 --> 01:19:52.780 but he's pushed us on, 01:19:52.780 --> 01:19:56.130 make sure you have all the metrics that you need that are 01:19:56.130 --> 01:19:58.960 real leading indicators and make sure you're looking at them 01:19:58.960 --> 01:20:02.050 in a granular enough way to where you can spot problems with 01:20:02.050 --> 01:20:06.220 culture, leadership practices, tools, 01:20:06.220 --> 01:20:08.670 anything that might be going on at one location that might 01:20:08.670 --> 01:20:10.654 be different from another location 01:20:10.654 --> 01:20:13.100 and we've gotten, I think, 01:20:13.100 --> 01:20:14.190 a fair amount of value from that. 01:20:14.190 --> 01:20:15.440 We've developed some new, 01:20:16.290 --> 01:20:20.070 some new Pete maps and charts 01:20:20.070 --> 01:20:24.320 and things that I think are giving us some more insight 01:20:24.320 --> 01:20:28.020 that maybe was being a little bit masked before. 01:20:28.020 --> 01:20:30.857 So that's one example they have, 01:20:34.900 --> 01:20:37.110 with some of the issue, I'll give just one other example, 01:20:37.110 --> 01:20:39.217 and then we'll see if Steve, if you have one, 01:20:39.217 --> 01:20:43.610 but another more recent one is we've actually done pretty 01:20:43.610 --> 01:20:47.382 well for a number of years in terms of employee fatalities 01:20:47.382 --> 01:20:50.770 and some improvements in serious injuries. 01:20:50.770 --> 01:20:52.690 But we struggled on the contractor side 01:20:52.690 --> 01:20:57.690 and so because these folks are in many cases, ex CEOs, 01:20:57.990 --> 01:21:00.730 who've dealt with some of these same kinds of contractor 01:21:00.730 --> 01:21:02.980 management issues or contracting issues, 01:21:02.980 --> 01:21:06.870 they've been able to give us some insight about how to look 01:21:06.870 --> 01:21:10.740 at our contractor management processes differently, 01:21:10.740 --> 01:21:13.270 or maybe in a more comprehensive way 01:21:13.270 --> 01:21:14.930 so that we could try to impact 01:21:14.930 --> 01:21:19.230 the safety performance of our contractors more effectively 01:21:19.230 --> 01:21:22.990 and so that's an area where that expertise from them 01:21:22.990 --> 01:21:25.020 has been, I think, particularly valuable 01:21:25.020 --> 01:21:27.520 and Steve could talk about it if you're interested. 01:21:27.520 --> 01:21:30.650 But we're in the process now of taking a much more holistic 01:21:30.650 --> 01:21:35.280 view of our contractor management to see how we could bring 01:21:35.280 --> 01:21:36.870 our safety focus to bear 01:21:36.870 --> 01:21:38.840 on the operations of our contractors. 01:21:38.840 --> 01:21:40.570 So I don't know, Steve, did I miss any, 01:21:40.570 --> 01:21:43.450 or do you have a quick example you wanna add. 01:21:43.450 --> 01:21:44.700 Maybe just interested at the time, 01:21:44.700 --> 01:21:48.027 I'll keep it brief and just point to maybe another area. 01:21:48.027 --> 01:21:51.610 So one of our directors has a lot of experience with 01:21:51.610 --> 01:21:54.480 and pensions for process engineering 01:21:54.480 --> 01:21:55.550 and process re-engineering 01:21:55.550 --> 01:21:58.940 and so he's constantly pushing on how are you engineering 01:21:58.940 --> 01:22:02.490 the risk out of these situations 01:22:02.490 --> 01:22:04.570 and so that's really helped inform what has become a risk 01:22:04.570 --> 01:22:07.833 based safety program, where we're taking our highest risk, 01:22:08.790 --> 01:22:11.630 most common, serious injury drivers 01:22:11.630 --> 01:22:13.990 Andrew had a chart that kind of pointed to some of those 01:22:13.990 --> 01:22:15.020 and then breaking them down 01:22:15.020 --> 01:22:16.570 and we brought in external expertise, 01:22:16.570 --> 01:22:19.540 we'll bring in our engineers together with process experts 01:22:19.540 --> 01:22:20.910 to really evaluate breakdown. 01:22:20.910 --> 01:22:24.140 What are the engineering solutions we can provide to reduce 01:22:24.140 --> 01:22:26.080 and so to reduce those injuries, 01:22:26.080 --> 01:22:28.120 we've spent a lot of time early this year on flash injury, 01:22:28.120 --> 01:22:29.960 flash incidents in particular 01:22:29.960 --> 01:22:34.080 and so coming up with engineering solutions where we can 01:22:34.080 --> 01:22:36.730 reduce the fault current that are they the amount of energy 01:22:36.730 --> 01:22:40.360 coming through the line much more quickly and set that up in 01:22:40.360 --> 01:22:42.270 a way so that the systems actually engineered that we're 01:22:42.270 --> 01:22:45.133 much less likely to have a significant energy release, 01:22:46.039 --> 01:22:46.872 with the vault. 01:22:46.872 --> 01:22:49.110 So we're now moving to execution of that 01:22:49.110 --> 01:22:51.900 and make an investment to improve our worker safety 01:22:51.900 --> 01:22:54.500 and then it's as well as the other practices around, 01:22:55.470 --> 01:22:57.748 I say, similarly, human performance elements 01:22:57.748 --> 01:22:59.980 that helped with flash incidents, 01:22:59.980 --> 01:23:01.110 but it's really they're pushing 01:23:01.110 --> 01:23:03.010 each of them brings a different lens and expertise 01:23:03.010 --> 01:23:04.830 based on how they've approached it 01:23:04.830 --> 01:23:07.380 and this particular director really forced that process 01:23:07.380 --> 01:23:10.890 engineering and has really driven us to go risk by risk 01:23:10.890 --> 01:23:14.107 and do a detailed analysis with all the experts 01:23:14.107 --> 01:23:16.750 and come up with a list of mitigation that we're deploying. 01:23:16.750 --> 01:23:19.167 So we'll kind of working our way through, 01:23:19.167 --> 01:23:20.983 our highest list type of sentiments right now. 01:23:22.520 --> 01:23:24.170 Thank you that's really helpful. 01:23:24.170 --> 01:23:27.230 Last second question and I'll keep it just to the two, 01:23:27.230 --> 01:23:29.370 kind of we're short on time. 01:23:29.370 --> 01:23:32.250 I appreciated the review. 01:23:32.250 --> 01:23:34.860 I think this was from Mr. Martinez of the metrics 01:23:34.860 --> 01:23:36.480 that you guys are tracking. 01:23:36.480 --> 01:23:39.780 Can you speak a little bit and Mr. Payne or whoever's 01:23:39.780 --> 01:23:42.730 the right person to answer on what your 01:23:42.730 --> 01:23:45.350 specific measurable goals are that you're targeting for 01:23:45.350 --> 01:23:48.060 either the end of this year or into 2022, 01:23:48.060 --> 01:23:50.390 I'm not quite sure what cycle time period you, 01:23:50.390 --> 01:23:51.670 you measure against, 01:23:51.670 --> 01:23:53.560 but can you talk us through a little bit of what your 01:23:53.560 --> 01:23:54.880 specific measurable goals are, 01:23:54.880 --> 01:23:57.580 the targets that you're shooting for in those metrics? 01:24:00.950 --> 01:24:03.090 Kevin you want me to step in? 01:24:03.090 --> 01:24:04.610 Yeah I can do it or you can do a Steve. 01:24:04.610 --> 01:24:06.810 I mean, the specific things that we have 01:24:06.810 --> 01:24:07.980 as measures of success on 01:24:07.980 --> 01:24:09.990 our corporate goals, probably a good place to start, 01:24:09.990 --> 01:24:11.730 but why don't you go ahead. 01:24:11.730 --> 01:24:14.900 Yeah So I'll point back to what was, 01:24:14.900 --> 01:24:18.060 I believe slide 10 and the table, 01:24:18.060 --> 01:24:21.030 that Andrew provided with the safety performance trends 01:24:21.030 --> 01:24:23.680 and so every single year, it's not an explicit goal, 01:24:23.680 --> 01:24:25.660 but it isn't our foundational ones. 01:24:25.660 --> 01:24:28.560 It's always the goal of zero fatalities and so, 01:24:28.560 --> 01:24:31.990 and we haven't had, we haven't had any this year 01:24:31.990 --> 01:24:32.823 and as Andrew mentioned, 01:24:32.823 --> 01:24:35.330 none in more than a year cost worker fatalities 01:24:35.330 --> 01:24:38.800 for the employee, serious injury and fatality rates, 01:24:38.800 --> 01:24:43.800 our goal for this year is I believe the number of 0.086, 01:24:45.249 --> 01:24:49.823 might have difference right Kevin. 01:24:51.180 --> 01:24:52.013 Sorry I was just, 01:24:52.013 --> 01:24:53.190 I have happened to have it on the screen. 01:24:53.190 --> 01:24:54.023 I was just agreeing with you yeah 01:24:54.023 --> 01:24:55.710 but you got the number, right? 01:24:55.710 --> 01:24:56.560 Okay, got it. 01:24:56.560 --> 01:24:59.440 So 2023, if we're currently, 01:24:59.440 --> 01:25:01.864 we're currently slightly ahead of that 01:25:01.864 --> 01:25:02.920 and that's our goal for this year, 01:25:02.920 --> 01:25:04.190 as we get to the end of the year, 01:25:04.190 --> 01:25:06.150 we look at what our performance is for that year 01:25:06.150 --> 01:25:07.140 and then we evaluate, 01:25:07.140 --> 01:25:09.390 how far do we wanna improve for the subsequent year. 01:25:09.390 --> 01:25:12.330 So every year we're looking for improvement over the prior 01:25:12.330 --> 01:25:14.850 year or the trajectory that we've seen before. 01:25:14.850 --> 01:25:15.683 So we don't have, 01:25:15.683 --> 01:25:18.790 we haven't set a number for our goal for 2022 yet, 01:25:18.790 --> 01:25:20.780 but we'll assess how big of an improvement do we want 01:25:20.780 --> 01:25:22.250 year over year. 01:25:22.250 --> 01:25:23.560 For our employee DART rates 01:25:23.560 --> 01:25:26.743 and our goal for this year is 0.77, 01:25:28.431 --> 01:25:29.743 which is and 01:25:31.690 --> 01:25:35.500 it would be a 15 like about 15% improvement over what we 01:25:35.500 --> 01:25:36.840 experienced in 2020. 01:25:36.840 --> 01:25:38.310 Similarly, every year we look at 01:25:38.310 --> 01:25:39.280 how much the improvement is. 01:25:39.280 --> 01:25:41.920 So I don't have set targets for the future years because it 01:25:41.920 --> 01:25:45.920 depends on how far we've been able to able to get this year. 01:25:45.920 --> 01:25:47.750 Those are the ones that are embedded 01:25:47.750 --> 01:25:49.020 into our corporate goals 01:25:49.020 --> 01:25:51.070 that directly impact compensation. 01:25:51.070 --> 01:25:52.900 We don't set specific targets 01:25:52.900 --> 01:25:57.900 for the contractor injury rates, but generally, similarly, 01:25:57.940 --> 01:26:00.110 we're looking for year over year improvement 01:26:00.110 --> 01:26:01.410 from what we've seen here. 01:26:04.270 --> 01:26:07.140 One follow on question then in terms of metrics. 01:26:07.140 --> 01:26:09.730 So those are all worker safety related, 01:26:09.730 --> 01:26:11.660 which is really important, 01:26:11.660 --> 01:26:14.670 but so safety culture is also all about the customer 01:26:14.670 --> 01:26:16.260 and the public that you serve. 01:26:16.260 --> 01:26:19.690 Do you guys have set targets on, 01:26:19.690 --> 01:26:21.450 let's call it wildfire safety 01:26:21.450 --> 01:26:23.530 or outcome-based metrics that 01:26:23.530 --> 01:26:25.303 you're targeting internally? 01:26:26.320 --> 01:26:28.900 And I guess in terms of number of ignored is put out there. 01:26:28.900 --> 01:26:31.050 I get that ignitions obviously could be determined by 01:26:31.050 --> 01:26:34.323 weather so from a normalized basis, right? 01:26:34.323 --> 01:26:37.820 that even with increase in extreme weather, 01:26:37.820 --> 01:26:40.320 that you're tracking that metric to drive down, 01:26:40.320 --> 01:26:42.400 improve or drive improvement. 01:26:42.400 --> 01:26:46.600 Yeah so I'd say we have not come up with a great way yet 01:26:46.600 --> 01:26:50.543 to normalize the ignitions in a way that we think gets to, 01:26:52.090 --> 01:26:54.060 to it really good goal. 01:26:54.060 --> 01:26:56.930 But that said ignitions are important 01:26:56.930 --> 01:26:58.500 and they're a really important indicator. 01:26:58.500 --> 01:27:00.140 We would hope that ignitions going down 01:27:00.140 --> 01:27:01.700 will lead to better outcomes. 01:27:01.700 --> 01:27:05.030 So CPUC reportable emissions in high fire areas 01:27:05.030 --> 01:27:05.880 is one of them, 01:27:05.880 --> 01:27:09.370 one of the measures and our corporate goals for this year, 01:27:09.370 --> 01:27:10.672 the last few years, 01:27:10.672 --> 01:27:12.309 we have to say to end earlier, but they, 01:27:12.309 --> 01:27:15.480 those ranged around slightly under 40 01:27:15.480 --> 01:27:18.690 last year in 2020 we had 50 01:27:18.690 --> 01:27:23.690 and our target this year is I want to say I don't 42 maybe. 01:27:25.625 --> 01:27:27.850 42 that's 42 yeah. 01:27:27.850 --> 01:27:28.683 Thank you. 01:27:31.447 --> 01:27:34.730 Thank you everyone thank you Commissioners and presenters. 01:27:34.730 --> 01:27:37.340 I just want to do another quick time check 01:27:37.340 --> 01:27:39.040 since we are running behind, 01:27:39.040 --> 01:27:43.513 we will be having our public common section at 12:15, 01:27:44.350 --> 01:27:47.663 just so our public is aware of when to come online. 01:27:49.490 --> 01:27:50.990 Are there any other questions? 01:27:56.330 --> 01:27:57.170 Thank you everyone. 01:27:57.170 --> 01:28:01.190 Commissioners, director, Jacob Thomas and presenters. 01:28:01.190 --> 01:28:03.077 We will now hear from San Diego gas 01:28:03.077 --> 01:28:05.920 and electric representative, Erbin Keith 01:28:05.920 --> 01:28:07.440 chair of the board of directors, 01:28:07.440 --> 01:28:09.730 safety committee and Kevin Geraghty, 01:28:09.730 --> 01:28:12.100 chief safety officer and senior vice president 01:28:12.100 --> 01:28:14.030 of electric operations. 01:28:14.030 --> 01:28:15.460 Mr. Geraghty welcome 01:28:15.460 --> 01:28:17.380 you are scheduled for 30 minutes 01:28:17.380 --> 01:28:19.023 and I will turn it to you now. 01:28:20.500 --> 01:28:24.260 I believe we're not, oh, go ahead. 01:28:24.260 --> 01:28:26.250 Yeah good morning Commissioners my name is Erbin Keith. 01:28:26.250 --> 01:28:28.440 I'm the deputy general counsel of Sempra energy 01:28:28.440 --> 01:28:30.410 SDG&E parent company. 01:28:30.410 --> 01:28:31.920 With me today is SDG&E, 01:28:31.920 --> 01:28:35.190 chief safety officer Kevin Geraghty is also senior vice 01:28:35.190 --> 01:28:36.940 president for electric operations. 01:28:36.940 --> 01:28:38.930 We are pleased to meet with you today 01:28:38.930 --> 01:28:40.483 for a safety update briefing. 01:28:41.427 --> 01:28:43.080 We established the safety committee of the 01:28:43.080 --> 01:28:46.210 SDG&E board of directors in July of 2019, 01:28:46.210 --> 01:28:48.610 following the indictment of the senate bill 254. 01:28:49.670 --> 01:28:51.930 The purpose of the committee is to advise and assist the 01:28:51.930 --> 01:28:53.310 company's board of directors 01:28:53.310 --> 01:28:56.080 the oversight of safely providing electric and natural gas 01:28:56.080 --> 01:28:58.860 service to our company's customers. 01:28:58.860 --> 01:29:00.910 I've served as the chairman of the safety committee 01:29:00.910 --> 01:29:02.520 since its inception. 01:29:02.520 --> 01:29:04.140 The other members of the committee currently 01:29:04.140 --> 01:29:05.300 included Rob Borthwick, 01:29:05.300 --> 01:29:08.187 deputy general counsel of Sempra energy and Caroline 01:29:08.187 --> 01:29:11.340 ran SDG&Es chief executive officer. 01:29:11.340 --> 01:29:13.841 Our committee members have held safety responsibilities 01:29:13.841 --> 01:29:16.910 across several companies over many years. 01:29:16.910 --> 01:29:19.450 I have held such responsibilities in various roles 01:29:19.450 --> 01:29:21.870 in superintendency since 2000. 01:29:21.870 --> 01:29:24.350 So our topic today is very near and dear to my heart, 01:29:24.350 --> 01:29:25.483 as is the cabinets. 01:29:26.490 --> 01:29:28.110 I'd like to share one observation with 01:29:28.110 --> 01:29:31.600 you at the outset forming the safety committee of SDG&Es 01:29:31.600 --> 01:29:34.250 board of directors was something we did to comply with 01:29:34.250 --> 01:29:37.620 AB 1054 however, it's not something we've used 01:29:37.620 --> 01:29:39.560 a compliance obligation, 01:29:39.560 --> 01:29:41.780 rather the committee as something we've come to view 01:29:41.780 --> 01:29:44.030 as an important and meaningful opportunity 01:29:44.030 --> 01:29:46.270 to allow the board to do a deep dive 01:29:46.270 --> 01:29:48.670 on safety issues with SDG&Es officers, 01:29:48.670 --> 01:29:50.123 directors, and managers. 01:29:51.060 --> 01:29:53.560 having quarterly meetings that are separate from the full 01:29:53.560 --> 01:29:57.060 board meetings in which we receive substantive presentations 01:29:57.060 --> 01:30:00.150 and engage in a dialogue with company personnel really 01:30:00.150 --> 01:30:04.380 allows the time to reflect upon and guide safety outcomes. 01:30:04.380 --> 01:30:06.280 In fact, because of the perceived benefits 01:30:06.280 --> 01:30:07.820 of the safety committee, 01:30:07.820 --> 01:30:11.330 our affiliate at SoCal gas on its own safety committee, 01:30:11.330 --> 01:30:12.730 you can move to slide three. 01:30:15.070 --> 01:30:17.450 What I like to discuss with you today is the ongoing work 01:30:17.450 --> 01:30:18.990 of the committee, 01:30:18.990 --> 01:30:21.840 the committee the key priority is respect to safety. 01:30:21.840 --> 01:30:24.600 Is that with respect to safety, is that SDG&Es safe, 01:30:24.600 --> 01:30:28.670 electric and gas facilities, work practices and protocols. 01:30:28.670 --> 01:30:30.107 So it's work with contractors 01:30:30.107 --> 01:30:32.620 and public always remain safe. 01:30:32.620 --> 01:30:35.280 As Kevin will discuss safety as a constant challenge in a 01:30:35.280 --> 01:30:37.330 business like SDG&E. 01:30:37.330 --> 01:30:40.750 SDG&E has thousands of miles of energized electric equipment 01:30:40.750 --> 01:30:42.160 and pressurized gas facilities 01:30:42.160 --> 01:30:44.760 scattered across a wide service territory. 01:30:44.760 --> 01:30:47.230 There are thousands of build employees constantly working at 01:30:47.230 --> 01:30:51.100 or near those facilities to operate and maintain them. 01:30:51.100 --> 01:30:52.710 Not to mention the fact that these facilities 01:30:52.710 --> 01:30:54.310 or any other customers we serve. 01:30:55.600 --> 01:30:58.050 Additional challenges are external California 01:30:58.050 --> 01:31:01.180 Wildfires are well-known to this Commission as are 01:31:01.180 --> 01:31:03.980 other risks associated with climate change. 01:31:03.980 --> 01:31:06.620 Our facilities can be impacted by Dig-ins or viewer 01:31:06.620 --> 01:31:08.270 contacts, reading Mylar balloons. 01:31:09.320 --> 01:31:12.150 We're fortunate to have Kevin as our chief safety officer 01:31:12.150 --> 01:31:13.660 dedicated to safety professionals 01:31:13.660 --> 01:31:15.000 in a company-wide culture 01:31:15.000 --> 01:31:17.610 of identifying and mitigating safety risks 01:31:17.610 --> 01:31:18.963 on a constant basis. 01:31:20.070 --> 01:31:22.480 The committee's role is somewhat different, 01:31:22.480 --> 01:31:23.890 we're not in the field. 01:31:23.890 --> 01:31:27.220 Our job is to oversee SDG&Es management of safety issues 01:31:27.220 --> 01:31:30.320 and to provide strategic guidance and advice. 01:31:30.320 --> 01:31:32.560 To date we've held nine committee meetings. 01:31:32.560 --> 01:31:35.390 There are several reoccurring themes to those meetings 01:31:35.390 --> 01:31:37.310 into the recommendations we make to the company 01:31:37.310 --> 01:31:40.453 after each meeting, I'll briefly cover those things. 01:31:41.490 --> 01:31:43.700 First wildfire prevention and mitigation. 01:31:43.700 --> 01:31:46.290 This is a topic we cover every meeting 01:31:46.290 --> 01:31:50.550 it includes fire season, outlooks red flag and PSPS events, 01:31:50.550 --> 01:31:53.390 wildfire mitigation tools, and technologies, 01:31:53.390 --> 01:31:55.937 wildfire mitigation plan updates. 01:31:55.937 --> 01:31:58.810 Second, we seek to identify and have the company alarm 01:31:58.810 --> 01:32:00.110 from safety incidents. 01:32:00.110 --> 01:32:03.510 For example, the camp fire, the kincaid fire, 01:32:03.510 --> 01:32:05.100 the Columbia gas explosion, 01:32:05.100 --> 01:32:07.000 and a battery storage fire in Arizona. 01:32:08.040 --> 01:32:10.130 Third, we work with and listen to the views 01:32:10.130 --> 01:32:11.900 of community stakeholders. 01:32:11.900 --> 01:32:14.380 The committee frequently attends the quarterly meetings of 01:32:14.380 --> 01:32:17.300 the wildfire safety community advisory council 01:32:17.300 --> 01:32:19.130 that was formed at around the same time 01:32:19.130 --> 01:32:20.670 as the committee itself, 01:32:20.670 --> 01:32:23.300 which has members from fire agencies, nonprofits, 01:32:23.300 --> 01:32:25.403 and local government tribes and academia. 01:32:26.370 --> 01:32:29.220 We've received a lot of valuable input from that council. 01:32:30.190 --> 01:32:32.730 Work we examine safety metrics, protocols, 01:32:32.730 --> 01:32:35.810 and systems for employees, contractors in the public, 01:32:35.810 --> 01:32:37.565 such as the safety management system, 01:32:37.565 --> 01:32:41.863 serious injury and fatality reporting line work locate Mark 01:32:41.863 --> 01:32:45.450 program safety and energized substations 01:32:45.450 --> 01:32:48.036 and communications during emergencies. 01:32:48.036 --> 01:32:51.720 Fifth we review a safety program through regular audits, 01:32:51.720 --> 01:32:54.040 six, we review SDG&Es proposed incentive 01:32:54.040 --> 01:32:55.980 compensation plan metrics 01:32:55.980 --> 01:32:58.290 to ensure the company's appropriately 01:32:58.290 --> 01:32:59.853 incentivizing safety outcomes. 01:33:00.810 --> 01:33:03.220 One constant theme across these dramatic areas 01:33:03.220 --> 01:33:05.730 is that the committee asks questions that often generate 01:33:05.730 --> 01:33:08.620 new presentation topics for upcoming meetings 01:33:08.620 --> 01:33:10.520 or new recommendations to the company. 01:33:11.490 --> 01:33:13.560 Finally, I'll note that even though it's been a challenge 01:33:13.560 --> 01:33:14.990 conducting our safety committee work 01:33:14.990 --> 01:33:18.270 in a virtual environment due to COVID, the COVID pandemic. 01:33:18.270 --> 01:33:19.410 I think we've been able to overcome 01:33:19.410 --> 01:33:21.360 that through our virtual meetings, 01:33:21.360 --> 01:33:22.847 the pandemics impact on the SDG&E 01:33:22.847 --> 01:33:25.007 and the health and safety of our workforce 01:33:25.007 --> 01:33:27.100 and the ability to safely do the kind of field 01:33:27.100 --> 01:33:28.600 work we routinely do. 01:33:28.600 --> 01:33:30.260 Has it been another issue we've been monitoring 01:33:30.260 --> 01:33:32.200 with the company since 2020, 01:33:32.200 --> 01:33:35.220 I'm proud of how the company responded to that issue 01:33:35.220 --> 01:33:37.160 and before I turn it over to Kevin, 01:33:37.160 --> 01:33:39.440 I wanna address the question about board level 01:33:39.440 --> 01:33:41.870 accountability for executive officers. 01:33:41.870 --> 01:33:43.330 'Cause I know at least one of the Commissioners 01:33:43.330 --> 01:33:44.630 had a question about that. 01:33:45.730 --> 01:33:49.970 Fundamentally the board has a final say on the CEO 01:33:49.970 --> 01:33:51.960 and influence on the selection of officers. 01:33:51.960 --> 01:33:54.323 So I think that elite which is fairly clear. 01:33:55.330 --> 01:33:57.300 SDG&E offers also have the 01:33:57.300 --> 01:34:00.620 compensation plan that includes the annual, variable at risk 01:34:00.620 --> 01:34:03.210 compensation that the board approves. 01:34:03.210 --> 01:34:07.320 For 2021 at risk compensation is linked as follows, 01:34:07.320 --> 01:34:11.850 59% is linked to safety goals 4% of customer service goals, 01:34:11.850 --> 01:34:14.407 which I would take a position that's closely related to 01:34:14.407 --> 01:34:16.813 safety goals as well, 01:34:16.813 --> 01:34:21.380 5% to being of DNA goals, 27% of the financial goals. 01:34:21.380 --> 01:34:24.610 I think this is consistent with a utility code codes goal of 01:34:24.610 --> 01:34:27.623 promoting safety and utility financial security. 01:34:28.520 --> 01:34:30.900 Of the 59% linked to safety goals, 01:34:30.900 --> 01:34:34.550 10% is linked to individual safety performance. 01:34:34.550 --> 01:34:37.700 Individual performance is evaluated based on the individual 01:34:37.700 --> 01:34:39.743 executives safety performance plan, 01:34:39.743 --> 01:34:42.670 and the other factors that we've set forth in the executive 01:34:42.670 --> 01:34:44.830 compensation compliance filing, 01:34:44.830 --> 01:34:49.690 and like SDG&E I mean like so yeah I mean SoCal Edison, 01:34:49.690 --> 01:34:52.750 we were trading negative discretion to adjust these numbers 01:34:52.750 --> 01:34:55.960 for if the facts and circumstances warranted 01:34:55.960 --> 01:34:59.117 and we have exercise that negative discretion in the past, 01:34:59.117 --> 01:35:00.760 and those examples are set forth 01:35:00.760 --> 01:35:03.480 in our executive compensation compliance filing 01:35:04.710 --> 01:35:06.423 with that I'll turnover to Kevin. 01:35:08.270 --> 01:35:10.010 Thank you Erbin, just a soundcheck. 01:35:10.010 --> 01:35:11.283 Am I coming across, okay? 01:35:18.020 --> 01:35:19.340 You are. 01:35:19.340 --> 01:35:23.007 Okay thank you and good morning, my name is Geraghty 01:35:23.007 --> 01:35:25.560 and I am the senior vice president for electric 01:35:25.560 --> 01:35:27.680 operations here at San Diego 01:35:27.680 --> 01:35:30.660 and I'm also honored to serve as its chief safety officer 01:35:30.660 --> 01:35:32.700 since January of this year. 01:35:32.700 --> 01:35:35.800 I started with the company in July of 2020 after more than 01:35:35.800 --> 01:35:39.450 30 years in utility operations, most recently, 01:35:39.450 --> 01:35:41.110 12 years in Nevada, 01:35:41.110 --> 01:35:44.170 where I was responsible for all utility operations there 01:35:44.170 --> 01:35:46.120 and I look forward to presenting 01:35:46.120 --> 01:35:48.330 all of our safety practices. 01:35:48.330 --> 01:35:50.640 Today I have four slides, 01:35:50.640 --> 01:35:54.520 one for each of the areas of examination that was requested 01:35:54.520 --> 01:35:56.223 and so we're on the first slide, 01:35:57.380 --> 01:35:59.250 whether in the area of personal safety 01:35:59.250 --> 01:36:01.640 contractor safety or public safety, 01:36:01.640 --> 01:36:05.440 SDG&E is focused on a system of safety and practices to 01:36:05.440 --> 01:36:09.170 meet our expectation of zero safety incidences. 01:36:09.170 --> 01:36:11.110 SDG&E safety management system, 01:36:11.110 --> 01:36:14.450 currently being implemented at our first site 01:36:14.450 --> 01:36:16.360 has been created using, 01:36:16.360 --> 01:36:19.280 many parts from the traditional safety management systems 01:36:19.280 --> 01:36:22.010 and you would see in the petrochemical industry, 01:36:22.010 --> 01:36:25.340 but also incorporates our experience with OSHA's voluntary 01:36:25.340 --> 01:36:26.990 protection program. 01:36:26.990 --> 01:36:29.820 Here in San Diego we have four power plant locations 01:36:29.820 --> 01:36:32.070 that have achieved OSHA's 01:36:32.070 --> 01:36:34.820 voluntary protection program, star status, 01:36:34.820 --> 01:36:37.860 and we're pursuing the same thing for our substation 01:36:37.860 --> 01:36:40.223 and trans mission infrastructure team. 01:36:41.630 --> 01:36:43.600 Regarding leading indicators. 01:36:43.600 --> 01:36:45.530 This is our primary focus yep. 01:36:45.530 --> 01:36:47.470 All across the safety spectrum. 01:36:47.470 --> 01:36:50.190 Things like whether an incident has a potential for serious 01:36:50.190 --> 01:36:52.990 injury or fatality things like near misses, 01:36:52.990 --> 01:36:55.170 things like peer to peer observations, 01:36:55.170 --> 01:36:58.093 behavioral based safety and wildfire risk events. 01:36:59.150 --> 01:37:03.220 You can not be the best in safety without changing your 01:37:03.220 --> 01:37:08.220 focus to more and more on leading indicators. 01:37:08.380 --> 01:37:12.140 Moving on a wildfire, situational awareness is critical, 01:37:12.140 --> 01:37:15.145 the most critical part of wildfire management 01:37:15.145 --> 01:37:16.830 and first and foremost, 01:37:16.830 --> 01:37:20.020 it's accomplished by completing at a minimum, 01:37:20.020 --> 01:37:20.990 all of the compliance 01:37:20.990 --> 01:37:23.550 vegetation management activities timely, 01:37:23.550 --> 01:37:27.310 but also expanding to the greatest extent possible enhanced 01:37:27.310 --> 01:37:30.890 vegetation management and secondaries as well in order to 01:37:30.890 --> 01:37:34.090 further reducing risk beyond compliance. 01:37:34.090 --> 01:37:37.630 Our system operating standard is geared towards wildfire 01:37:37.630 --> 01:37:40.070 prevention and not reliability. 01:37:40.070 --> 01:37:41.977 We do not allow automatic reclosing 01:37:41.977 --> 01:37:45.550 of distribution switches, I think that's important 01:37:45.550 --> 01:37:49.460 and the fire potential index guides operations in a way 01:37:49.460 --> 01:37:51.660 that requires a visual observation 01:37:51.660 --> 01:37:54.300 at the fault location before reclosing 01:37:54.300 --> 01:37:56.530 is permitted during elevated fire risk. 01:37:56.530 --> 01:37:59.077 Again, I think a very important attribute 01:37:59.077 --> 01:38:01.680 and finally when I think about situational awareness, 01:38:01.680 --> 01:38:04.290 your using drones for more detailed assessments 01:38:04.290 --> 01:38:07.020 of all poles in the high fire threat district 01:38:07.020 --> 01:38:09.960 makes a difference as does the expansion of our data 01:38:09.960 --> 01:38:12.110 collection capabilities and the tools 01:38:12.110 --> 01:38:15.050 we use to make critical last resort decisions 01:38:15.050 --> 01:38:16.410 to the energize customers 01:38:16.410 --> 01:38:20.080 when it's unsafe to operate overhead systems. 01:38:20.080 --> 01:38:22.940 Like to move on to our community collaboration 01:38:22.940 --> 01:38:24.890 and Erbin mentioned it already, 01:38:24.890 --> 01:38:28.000 but our wildfire safety community advisory council 01:38:28.000 --> 01:38:31.400 makes a great difference in innovation here at SDG&E, 01:38:31.400 --> 01:38:33.800 through this engagement in collaboration, 01:38:33.800 --> 01:38:35.960 we received tremendous guidance and feedback 01:38:35.960 --> 01:38:37.600 regarding community needs, 01:38:37.600 --> 01:38:39.180 which in turns leads to solutions 01:38:39.180 --> 01:38:41.050 that improve our communities. 01:38:41.050 --> 01:38:44.150 An example is our successful customer generator program. 01:38:44.150 --> 01:38:46.940 This idea originated and was refined through the advisory 01:38:46.940 --> 01:38:48.570 council, and I can tell you, 01:38:48.570 --> 01:38:50.370 in our most recent advisory council, 01:38:50.370 --> 01:38:54.050 the focus from the community was that our work in this space 01:38:54.050 --> 01:38:58.010 is not just helping for wildfire resiliency. 01:38:58.010 --> 01:39:01.010 One of our advisory committee members, 01:39:01.010 --> 01:39:02.150 it just said, hey, look, 01:39:02.150 --> 01:39:05.580 there's getting together in the community with SDG&E with 01:39:05.580 --> 01:39:08.990 public safety partners is making us more resilient 01:39:08.990 --> 01:39:11.823 to other threats our community faces like earthquakes. 01:39:12.720 --> 01:39:14.977 Moving to electric system hardening, 01:39:14.977 --> 01:39:17.100 our electric system hardening is focused 01:39:17.100 --> 01:39:19.500 on our most at-risk areas 01:39:19.500 --> 01:39:21.600 and areas that could be hard as it fits. 01:39:39.930 --> 01:39:41.230 Is that getting that feedback? 01:39:41.230 --> 01:39:43.523 I just wanna make sure whether I should pause. 01:39:45.480 --> 01:39:47.743 I think we are hearing you okay. 01:39:48.680 --> 01:39:49.827 Oh, okay thank you. 01:39:51.201 --> 01:39:55.810 SDG&E has about 98% of our overhead transmission 01:39:55.810 --> 01:39:59.170 infrastructure has been hardened in the most critical part 01:39:59.170 --> 01:40:00.860 of the high fire threat district 01:40:00.860 --> 01:40:04.650 and we expect to complete that in 2022, by 2026, 01:40:04.650 --> 01:40:08.080 we expect that all overhead transmission infrastructure 01:40:08.080 --> 01:40:11.140 within the high fire threat district will be completed 01:40:11.140 --> 01:40:13.990 and this is important because hardening the transmission 01:40:13.990 --> 01:40:15.830 assures that any last resort, 01:40:15.830 --> 01:40:19.940 the energy stations are surgical and precise and in specific 01:40:19.940 --> 01:40:22.100 areas where the threat can be predicted 01:40:22.100 --> 01:40:24.960 and then use it by SDG&E needs weather system 01:40:24.960 --> 01:40:26.360 and coordination with our 01:40:26.360 --> 01:40:29.074 almost 900 distribution based switches. 01:40:29.074 --> 01:40:32.460 I think our risk-based modeling has advanced to include 01:40:32.460 --> 01:40:35.430 the threat of a PSPS in the analysis of the risks, 01:40:35.430 --> 01:40:38.510 then efficiency in the projects we consider 01:40:38.510 --> 01:40:41.290 and this has led to more strategic undergrounding 01:40:41.290 --> 01:40:44.440 and more covered conductor systems being identified. 01:40:44.440 --> 01:40:47.810 And then finally just to focus on gas 01:40:47.810 --> 01:40:49.603 based on engagement with our emergency 01:40:49.603 --> 01:40:53.250 management team and between them and our public safety 01:40:53.250 --> 01:40:56.810 partners at the SDG&E created crews to be available for 01:40:56.810 --> 01:41:00.840 emergency response to any type of gas leak 24/7 01:41:00.840 --> 01:41:03.310 and today we have reduced our response time 01:41:03.310 --> 01:41:05.320 from what was two to three hours 01:41:05.320 --> 01:41:08.730 down to 30 or 40 minutes on average, 01:41:08.730 --> 01:41:09.773 next slide please. 01:41:11.870 --> 01:41:14.970 Regarding safety outcomes and goals. 01:41:14.970 --> 01:41:19.060 2020 was SDG&E best year for personnel safety. 01:41:19.060 --> 01:41:21.690 We had record numbers of near misses being reported, 01:41:21.690 --> 01:41:25.750 record numbers of jobs observations of being completed. 01:41:25.750 --> 01:41:28.360 Our OSHA incident rate, our lost time incident rate, 01:41:28.360 --> 01:41:31.530 and our days away restricted or transferred rate achieved 01:41:31.530 --> 01:41:33.230 all time best results. 01:41:33.230 --> 01:41:37.020 Our OSHA incident rate of 1.54 was an 01:41:37.020 --> 01:41:40.750 improvement of 30% from 2016 and similarly, 01:41:40.750 --> 01:41:43.960 the lost time incident rate of 0.54 01:41:43.960 --> 01:41:47.500 was a 33% improvement since 2016 01:41:47.500 --> 01:41:49.900 and then finally our days away restricted and transferred 01:41:49.900 --> 01:41:54.900 rate of 0.89 was a 25% improvement since 2016, 01:41:55.120 --> 01:41:57.300 we experienced no serious injuries 01:41:57.300 --> 01:42:01.750 and no fatalities our last vitality at SDG&E was 2015. 01:42:01.750 --> 01:42:04.620 And our goal from an OSHA incident rate perspective is to 01:42:04.620 --> 01:42:08.730 achieve top decile performance by the end of 2024 01:42:08.730 --> 01:42:12.350 and our targets, our goals, 01:42:12.350 --> 01:42:15.620 and future years reflect that glide path. 01:42:15.620 --> 01:42:16.453 And to achieve this, 01:42:16.453 --> 01:42:18.777 we're focused on reducing sprains and strains, 01:42:18.777 --> 01:42:21.080 and especially in new employees 01:42:21.080 --> 01:42:24.200 and employees new to their jobs, that is a source 01:42:24.200 --> 01:42:26.913 of a significant number of our minor injuries, 01:42:27.850 --> 01:42:30.320 pivoting to contractor safety performance. 01:42:30.320 --> 01:42:31.153 Likewise, 01:42:31.153 --> 01:42:33.630 even with a record number of contract hours 01:42:33.630 --> 01:42:36.380 in support of our wildfire mitigation plans, 01:42:36.380 --> 01:42:40.050 San Diego experienced its best ever contracted performance 01:42:40.050 --> 01:42:43.890 from an OSHA incident rate perspective in 2020, 01:42:43.890 --> 01:42:47.890 our class one contract to ocean incident rate was below 1.0, 01:42:47.890 --> 01:42:50.590 which is a 50% reduction from 2016 01:42:50.590 --> 01:42:53.160 and that was while increasing contract hours, 01:42:53.160 --> 01:42:54.600 nearly fourfold. 01:42:54.600 --> 01:42:57.020 We did not experience a fatality 01:42:57.020 --> 01:42:59.607 and there were three serious injuries. 01:42:59.607 --> 01:43:03.560 We use IAS net world to certify the contractors 01:43:03.560 --> 01:43:06.020 we work with our leaders in safety. 01:43:06.020 --> 01:43:08.260 If you're not familiar with IAS net world, 01:43:08.260 --> 01:43:11.000 it's a platform where contracted and performance data and 01:43:11.000 --> 01:43:14.020 incident data is collected and shared globally 01:43:14.020 --> 01:43:16.200 so that you can make an informed decision 01:43:16.200 --> 01:43:19.280 on who you're inviting to work for you and your communities 01:43:19.280 --> 01:43:22.390 and our goal with contractors is to deepen our engagement 01:43:22.390 --> 01:43:26.030 management and assessment of our contractors in a way that's 01:43:26.030 --> 01:43:28.560 really not too different from what's happening here today. 01:43:28.560 --> 01:43:30.030 Just this past Monday, 01:43:30.030 --> 01:43:33.110 we had a detailed safety review with our vegetation 01:43:33.110 --> 01:43:35.820 management contractor executives. 01:43:35.820 --> 01:43:38.390 to ensure that we understand that their safety culture 01:43:38.390 --> 01:43:40.980 will continue to produce safe results 01:43:40.980 --> 01:43:43.690 and not have any ignitions. 01:43:43.690 --> 01:43:45.980 Regarding gas system safety, 01:43:45.980 --> 01:43:49.620 we made the decision to insource locate and mark work 01:43:49.620 --> 01:43:52.540 last year in response to studying our events, 01:43:52.540 --> 01:43:53.910 our compliance history, 01:43:53.910 --> 01:43:56.980 and that team is performing amazingly well. 01:43:56.980 --> 01:43:59.320 2020 we had our most every year 01:43:59.320 --> 01:44:01.020 for replacement of gas pipe and 01:44:01.020 --> 01:44:03.460 our distribution integrity management plan 01:44:03.460 --> 01:44:05.540 that was 51 miles 01:44:05.540 --> 01:44:08.870 and we increased our leak check frequency for modern pipe 01:44:08.870 --> 01:44:10.910 from every five years to every three years 01:44:10.910 --> 01:44:13.910 and then I would note that we also completed our first 01:44:13.910 --> 01:44:18.030 pipeline taking enhancement plan project on our line 1600 01:44:19.180 --> 01:44:21.600 and something I would love to highlight, 01:44:21.600 --> 01:44:24.620 we also ended the year with zero link inventory, 01:44:24.620 --> 01:44:26.730 which means at the end of the year, 01:44:26.730 --> 01:44:29.490 the calendar moved from 2020 to 2021. 01:44:29.490 --> 01:44:32.350 There were no leaks in the San Diego system 01:44:32.350 --> 01:44:33.930 requiring to be addressed 01:44:33.930 --> 01:44:35.720 and that is a multi-year achievements 01:44:35.720 --> 01:44:37.220 of the team here at San Diego. 01:44:38.290 --> 01:44:41.210 I'd like to talk about a wildfire risk events. 01:44:41.210 --> 01:44:43.060 Our goal is zero emissions 01:44:43.060 --> 01:44:45.780 and as we focus on driving down ignition events, 01:44:45.780 --> 01:44:49.760 we must find new data to focus our programs on and wildfire 01:44:49.760 --> 01:44:51.940 risk events does this for us. 01:44:51.940 --> 01:44:55.900 A wildfire risk events is to wildfire risk management. 01:44:55.900 --> 01:44:59.030 What near misses are to personnel safety. 01:44:59.030 --> 01:44:59.950 Fire risk events, 01:44:59.950 --> 01:45:03.720 are outages on our electric system that had the possibility 01:45:03.720 --> 01:45:04.700 to create an ignition, 01:45:04.700 --> 01:45:06.490 there wasn't actually an ignition 01:45:06.490 --> 01:45:09.140 and we think we focus on wildfire risk events, 01:45:09.140 --> 01:45:12.560 It gives us the opportunity to learn from all events that 01:45:12.560 --> 01:45:15.143 may lead to an ignition much like focusing on 01:45:15.143 --> 01:45:16.450 a leading indicator 01:45:16.450 --> 01:45:19.340 and it gives us a larger pool of events to better identify 01:45:19.340 --> 01:45:22.880 possible trends and issues that can help us on our electric 01:45:22.880 --> 01:45:26.450 system in tracking and measuring fires events allows us to 01:45:26.450 --> 01:45:29.490 measure the efficacy of our hardening efforts and to 01:45:29.490 --> 01:45:32.410 continuously learn from the type of events that are 01:45:32.410 --> 01:45:34.140 happening on our system 01:45:34.140 --> 01:45:36.190 to improve mitigations going forward, 01:45:36.190 --> 01:45:37.790 for instance, we know our work on hardening 01:45:37.790 --> 01:45:40.460 our transmission system thus far has reduced 01:45:40.460 --> 01:45:43.793 wildfire risk events by almost 83%. 01:45:44.947 --> 01:45:47.713 I'd like to talk about emergency management excellence. 01:45:48.620 --> 01:45:51.440 We believe our emergency management team is what drives our 01:45:51.440 --> 01:45:54.050 excellence in managing public safety, 01:45:54.050 --> 01:45:56.700 whether that is from a gas leak to a load curtailment 01:45:56.700 --> 01:45:58.866 or to a PSPS of that. 01:45:58.866 --> 01:46:00.950 This team is what enables us to work 01:46:00.950 --> 01:46:02.510 across company organizations, 01:46:02.510 --> 01:46:07.020 to focus on event preparedness management and recovery. 01:46:07.020 --> 01:46:10.310 This team is deeply engaged with our public safety partners, 01:46:10.310 --> 01:46:12.707 our customer teams, our communication teams, 01:46:12.707 --> 01:46:14.810 and our operational teams. 01:46:14.810 --> 01:46:18.790 We will hold nine unique tabletop exercises this year 01:46:18.790 --> 01:46:20.240 and SDG&E is on track 01:46:20.240 --> 01:46:22.840 to become the first investor on utility 01:46:22.840 --> 01:46:25.830 in the United States to obtain the only nationally 01:46:25.830 --> 01:46:28.620 internationally recognized emergency management 01:46:28.620 --> 01:46:30.607 accreditation program in 2022 01:46:31.670 --> 01:46:32.503 and in California, 01:46:32.503 --> 01:46:35.620 there's only two other agencies that have achieved that 01:46:35.620 --> 01:46:38.630 we're not satisfied with being good in that space. 01:46:38.630 --> 01:46:40.710 This team, our goal is to be amongst 01:46:40.710 --> 01:46:42.180 the very best in the country 01:46:42.180 --> 01:46:43.610 and internationally for that matter 01:46:43.610 --> 01:46:45.913 and go to the next slide, please. 01:46:48.660 --> 01:46:51.190 Regarding challenges and actions. 01:46:51.190 --> 01:46:52.940 When I think of the biggest challenge, 01:46:52.940 --> 01:46:55.200 I think about the most critical part of safety 01:46:55.200 --> 01:46:56.943 and reliability and that's people, 01:46:56.943 --> 01:46:59.670 the demand for utility workers is high, 01:46:59.670 --> 01:47:00.920 especially in California, 01:47:00.920 --> 01:47:03.200 as we focus on the safety of our systems, 01:47:03.200 --> 01:47:04.890 building resilience into them, 01:47:04.890 --> 01:47:07.420 more also planning and building out those systems of 01:47:07.420 --> 01:47:09.960 tomorrow, as we think about climate change 01:47:09.960 --> 01:47:13.970 and this is especially true with lines workers competition 01:47:13.970 --> 01:47:17.390 for these available resources can put projects at risk and 01:47:17.390 --> 01:47:19.180 can limit throughput times. 01:47:19.180 --> 01:47:22.361 Retention of our journeymen is important 01:47:22.361 --> 01:47:24.590 SDG&E is responding by growing its class of 01:47:24.590 --> 01:47:28.010 local line systems and apprentices while also attracting 01:47:28.010 --> 01:47:30.050 experienced journeymen where possible 01:47:30.050 --> 01:47:31.560 and making sure these new colleagues 01:47:31.560 --> 01:47:33.240 are ready to work safely 01:47:33.240 --> 01:47:35.500 and to construct safely is critical 01:47:35.500 --> 01:47:37.670 and we're blessed to have the best safety partner 01:47:37.670 --> 01:47:38.503 in the world, 01:47:38.503 --> 01:47:41.390 the international brotherhood of electrical workers. 01:47:41.390 --> 01:47:43.320 It can take four to five years to develop 01:47:43.320 --> 01:47:45.530 these important line workers. 01:47:45.530 --> 01:47:48.168 I'd like to just briefly talk about COVID. 01:47:48.168 --> 01:47:51.110 SDG&E has worked with brilliant medical professionals 01:47:51.110 --> 01:47:55.050 to stay on top of all the occupational safety measures, 01:47:55.050 --> 01:47:58.050 as well as following California OSHA guidance in order to 01:47:58.050 --> 01:48:00.340 keep our service and our projects 01:48:00.340 --> 01:48:03.150 and support of our communities unimpacted, 01:48:03.150 --> 01:48:05.150 to the greatest extent possible we have all, 01:48:05.150 --> 01:48:08.710 but our field teams working from home still to this day, 01:48:08.710 --> 01:48:12.620 we work intently to keep our field teams in fixed crews 01:48:12.620 --> 01:48:14.290 so that we can keep them also isolated 01:48:14.290 --> 01:48:17.540 from other crews to the greatest extent possible 01:48:17.540 --> 01:48:21.110 and one measurement I think that shows the success of that 01:48:21.110 --> 01:48:22.470 is we measure the percentage 01:48:22.470 --> 01:48:24.610 of our unavailable field personnel 01:48:24.610 --> 01:48:27.360 and so those are colleagues who have either contracted 01:48:27.360 --> 01:48:29.930 or been exposed and cannot work from home 01:48:29.930 --> 01:48:33.600 and I reached about 3% in the January, February timeframe. 01:48:33.600 --> 01:48:37.360 Unfortunately, Delta is causing that to tick back up 01:48:37.360 --> 01:48:40.103 this morning, we were just right about 2%, 01:48:41.489 --> 01:48:43.120 but in addition to personnel safety, 01:48:43.120 --> 01:48:47.220 we've had to be very mindful that our crew about being 01:48:47.220 --> 01:48:51.300 supportive of critical facilities that support the fight 01:48:51.300 --> 01:48:54.950 against COVID hospitals, labs, testing, 01:48:54.950 --> 01:48:57.950 and vaccine storage and distribution centers receive 01:48:57.950 --> 01:49:01.140 additional patrols and inspections and our emergency manager 01:49:01.140 --> 01:49:03.980 team and our public affairs team stay in contact 01:49:03.980 --> 01:49:05.690 with San Diego and Orange county 01:49:05.690 --> 01:49:07.680 to maintain awareness of these facilities 01:49:07.680 --> 01:49:11.370 and that was heightened during a fire season last year, 01:49:11.370 --> 01:49:13.190 I'd like to talk about challenges 01:49:13.190 --> 01:49:15.620 and actions in Hardening projects. 01:49:15.620 --> 01:49:18.760 The speed for which we can complete Hardening projects is 01:49:18.760 --> 01:49:22.199 necessarily limited by the speed for which public project 01:49:22.199 --> 01:49:25.960 stakeholders need to review and provide critical input 01:49:25.960 --> 01:49:27.740 or approval of those projects. 01:49:27.740 --> 01:49:30.180 You know, our ability to execute on more projects 01:49:30.180 --> 01:49:33.200 and more rapidly reduce the risk of wildfires 01:49:33.200 --> 01:49:35.070 and PSPS will depend on the 01:49:35.070 --> 01:49:38.810 ability to find ways to complete these reviews timely 01:49:38.810 --> 01:49:41.430 and in parallel with multiple projects 01:49:41.430 --> 01:49:43.360 and SDG&Es working with stakeholders 01:49:43.360 --> 01:49:45.200 and advancing our planning horizon 01:49:45.200 --> 01:49:46.310 to address this, 01:49:46.310 --> 01:49:49.760 but risks from climate change and the need to electrify 01:49:49.760 --> 01:49:54.400 more of our economy is making this critical reviews, 01:49:54.400 --> 01:49:57.520 just a critical step as we look to more rapidly, 01:49:57.520 --> 01:49:59.930 make our grid resilience. 01:49:59.930 --> 01:50:04.250 I think it's important to know there's also customer fatigue 01:50:04.250 --> 01:50:08.450 regarding all of the work necessary to make our grid safer, 01:50:08.450 --> 01:50:10.560 more resilient and prepared for wildfires 01:50:10.560 --> 01:50:14.190 and climate change, planned outages, vegetation management, 01:50:14.190 --> 01:50:18.280 patrols, inspections, helicopter's drones being in the road, 01:50:18.280 --> 01:50:22.380 it can and is wearing on communities and customers. 01:50:22.380 --> 01:50:25.320 But that is another area where our work with our wildfire 01:50:25.320 --> 01:50:27.710 safety and community advisory council 01:50:27.710 --> 01:50:29.713 will help us find solutions. 01:50:30.810 --> 01:50:33.697 I'll finish in challenges and actions 01:50:33.697 --> 01:50:35.550 by talking resources. 01:50:35.550 --> 01:50:38.580 Resources are stretched thin right now from contractor 01:50:38.580 --> 01:50:42.600 availability to the lines workers and now supply chain. 01:50:42.600 --> 01:50:44.610 I just, this morning receiving an update, 01:50:44.610 --> 01:50:48.710 on transformers in the supply chain at risk, 01:50:48.710 --> 01:50:50.960 but something as simple as getting iPads, 01:50:50.960 --> 01:50:54.260 to help our field teams do patrols is starting to be a 01:50:54.260 --> 01:50:56.880 challenging lead times are expanding 01:50:56.880 --> 01:50:59.610 and it seems like anything with a computer chip these days 01:50:59.610 --> 01:51:03.990 is taking longer, much longer to get to the dock. 01:51:03.990 --> 01:51:06.530 But our supply management team has stayed on top of all of 01:51:06.530 --> 01:51:09.053 these challenges to the greatest extent possible. 01:51:09.970 --> 01:51:12.180 I'd like to move to the, to the last line 01:51:13.300 --> 01:51:17.070 and this is our safety culture assessment. 01:51:17.070 --> 01:51:18.970 So we have not yet received the results. 01:51:18.970 --> 01:51:20.230 Actually I think we were seeing them 01:51:20.230 --> 01:51:22.023 just minutes before this meeting. 01:51:22.950 --> 01:51:26.010 Plus we've not yet received the results recommendations from 01:51:26.010 --> 01:51:29.540 the OEIS safety culture assessment at this point, 01:51:29.540 --> 01:51:31.380 but we look forward to reviewing it. 01:51:31.380 --> 01:51:34.050 I won't set discuss aspects of SDG&Es 01:51:34.050 --> 01:51:37.093 safety culture initiative that drives performance. 01:51:38.150 --> 01:51:40.800 I think culture is a very hard thing to measure, 01:51:40.800 --> 01:51:43.600 and it has many definitions I prefer to, 01:51:43.600 --> 01:51:45.150 and they're both from the international 01:51:45.150 --> 01:51:47.300 nuclear power operations group 01:51:47.300 --> 01:51:50.080 and the first one was around organizational culture. 01:51:50.080 --> 01:51:53.840 Organization culture is the shared basic assumptions that 01:51:53.840 --> 01:51:56.560 are developed in an organization as it learns 01:51:56.560 --> 01:51:57.700 and copes with problems 01:51:57.700 --> 01:52:00.850 and I think that's an important part of that learns and 01:52:00.850 --> 01:52:02.360 copes with problems. 01:52:02.360 --> 01:52:04.980 The basic assumptions that have worked well enough to be 01:52:04.980 --> 01:52:08.150 considered valid are taught to new members of the 01:52:08.150 --> 01:52:11.810 organization as the correct way to perceive 01:52:11.810 --> 01:52:13.660 think, act and feel 01:52:13.660 --> 01:52:16.062 and if you notice in that section of that sentence, 01:52:16.062 --> 01:52:19.240 it doesn't mention do their jobs or tasks, right? 01:52:19.240 --> 01:52:21.250 Proceed, think, act and feel the grit, 01:52:21.250 --> 01:52:23.860 the things that lead to great safety culture 01:52:24.790 --> 01:52:28.090 and culture is really the sum total of groups learn, right? 01:52:28.090 --> 01:52:30.740 It is to the group where character and personality are for 01:52:30.740 --> 01:52:33.690 the individual and then further from info or the 01:52:33.690 --> 01:52:37.570 international nuclear power organization, 01:52:37.570 --> 01:52:41.560 safety culture that is defined as an organization's values 01:52:41.560 --> 01:52:45.170 and behaviors modeled modeled by its leaders 01:52:45.170 --> 01:52:46.920 and internalized by its members 01:52:46.920 --> 01:52:50.730 and that serves to make a safety overriding priority 01:52:50.730 --> 01:52:52.580 and I think at San Diego, 01:52:52.580 --> 01:52:55.550 we exhibit these traits and safety culture every day 01:52:55.550 --> 01:52:57.803 and we do have some recent affirmation. 01:52:58.890 --> 01:53:02.050 SDG&E has participated in the national safety councils 01:53:02.050 --> 01:53:05.786 biannual safety barometer survey for several years. 01:53:05.786 --> 01:53:08.670 The SDG&E has used the results from that survey and 01:53:08.670 --> 01:53:11.710 specific comments from previous surveys to improve our 01:53:11.710 --> 01:53:13.520 safety culture over time. 01:53:13.520 --> 01:53:17.070 In 2020, the results from the survey place SDG&E 01:53:17.070 --> 01:53:20.810 within the top 1% of the more than 580 companies 01:53:20.810 --> 01:53:23.090 that participated in that survey. 01:53:23.090 --> 01:53:26.862 Over 96% of our colleagues at SDG&E participated 01:53:26.862 --> 01:53:30.020 in that survey and that's just incredible. 01:53:30.020 --> 01:53:33.210 SDG&E has improved in all 58 questions 01:53:33.210 --> 01:53:35.840 from the 2018 survey results 01:53:35.840 --> 01:53:39.023 and I would point out a few top line notices, 01:53:40.310 --> 01:53:42.910 SDG&Es organizational climate was in the top 3% 01:53:42.910 --> 01:53:45.310 of participants in the survey 01:53:45.310 --> 01:53:48.870 and management participation was in the top 2% 01:53:48.870 --> 01:53:52.910 and as info states leaders must model values and behaviors 01:53:52.910 --> 01:53:55.760 before forged members will internalize them actions speak 01:53:55.760 --> 01:53:56.900 louder than words 01:53:56.900 --> 01:53:59.180 and the leaders actions are always being observed 01:53:59.180 --> 01:54:01.890 for any conflict with stated values. 01:54:01.890 --> 01:54:04.380 At SDG&E senior executives are engaged 01:54:04.380 --> 01:54:06.903 in everything about safety every day, 01:54:06.903 --> 01:54:10.050 and we meet them and participate in employee safety 01:54:10.050 --> 01:54:13.710 committees, weekly and field walks, doc meetings, 01:54:13.710 --> 01:54:15.430 literally every month. 01:54:15.430 --> 01:54:18.600 Our CEO, Caroline Winn is unwavering 01:54:18.600 --> 01:54:21.580 regarding safety and all employees notice 01:54:21.580 --> 01:54:23.880 from her direct engagement as CEO 01:54:23.880 --> 01:54:25.820 and importantly her career and dedication 01:54:25.820 --> 01:54:27.750 at SDG&E and to our communities. 01:54:27.750 --> 01:54:31.300 She is driven by zero injuries and zero wildfires 01:54:31.300 --> 01:54:32.580 and you will hear that from her, 01:54:32.580 --> 01:54:35.280 anytime you're around her and in any meeting you're in. 01:54:35.280 --> 01:54:37.870 Her personal engagement makes the greatest of difference in 01:54:37.870 --> 01:54:40.810 safety culture at SDG&E. 01:54:40.810 --> 01:54:42.260 I can tell you personally that, 01:54:42.260 --> 01:54:44.280 vast majority of our communications, 01:54:44.280 --> 01:54:47.080 are in regards to us safety, 01:54:47.080 --> 01:54:52.080 and it is not uncommon for Caroline to review a near miss, 01:54:52.140 --> 01:54:54.410 not an injury, not an event, 01:54:54.410 --> 01:54:57.690 but a near miss and particularly follow up on it, 01:54:57.690 --> 01:55:02.033 which is sets your sales with culture. 01:55:02.930 --> 01:55:05.090 Target zero is our mindset. 01:55:05.090 --> 01:55:06.530 We want zero injuries, 01:55:06.530 --> 01:55:08.877 zero vehicle incidents, zero wildfires, 01:55:08.877 --> 01:55:11.520 and zero emissions and zero gas leaks, 01:55:11.520 --> 01:55:14.390 importantly, however, is that we want to get there 01:55:14.390 --> 01:55:16.940 by doing the right thing every step of the way. 01:55:16.940 --> 01:55:20.330 Measuring safety takes great care by leadership. 01:55:20.330 --> 01:55:21.430 You must have the right mix 01:55:21.430 --> 01:55:24.420 of leading and lagging indicators, 01:55:24.420 --> 01:55:27.320 and you must have a culture where everything good or bad 01:55:27.320 --> 01:55:30.430 is reported and examined without fear. 01:55:30.430 --> 01:55:33.980 Leaders must be engaged to show mistakes messages 01:55:33.980 --> 01:55:35.810 are not received. 01:55:35.810 --> 01:55:38.880 We wanna earn achieving zero over time because of the way 01:55:38.880 --> 01:55:41.940 we go about doing it through making sure we are looking at 01:55:41.940 --> 01:55:45.120 leading indicators and showing that there is no minor issue 01:55:45.120 --> 01:55:47.650 that can be ignored if your goal is zero 01:55:47.650 --> 01:55:50.270 and we create maintaining unquestioned value for our 01:55:50.270 --> 01:55:52.890 organization, like some of the by, 01:55:52.890 --> 01:55:57.890 our, one of our key values do the right thing always 01:55:58.183 --> 01:56:00.550 and as imposed that stayed on culture, 01:56:00.550 --> 01:56:03.860 it is developed through learning shared basic assumptions, 01:56:03.860 --> 01:56:06.380 as the organization learns and coach with problems, 01:56:06.380 --> 01:56:09.780 you have to accept that there will be imperfections and to 01:56:09.780 --> 01:56:13.013 get to be the best you have to learn and cope with those. 01:56:14.230 --> 01:56:16.460 I'd like to mention psychological safety. 01:56:16.460 --> 01:56:18.500 I think I heard a little bit of that in some of the 01:56:18.500 --> 01:56:20.340 questions in the last presentation, 01:56:20.340 --> 01:56:23.700 we are firmly focused on psychological safety across the 01:56:23.700 --> 01:56:28.623 spectrum, not just a DEI, but also as we focus in safety 01:56:29.960 --> 01:56:32.360 and it really is around our fundamental message 01:56:32.360 --> 01:56:37.032 of stopping stop when you're unsure stop when unsettled 01:56:37.032 --> 01:56:39.830 and stop, when situations change, 01:56:39.830 --> 01:56:42.960 it is critical to develop this cultural attribute as there 01:56:42.960 --> 01:56:45.830 is no way to prepare for everything 01:56:45.830 --> 01:56:49.670 and it is impossible to pass along the an organization's 01:56:49.670 --> 01:56:52.160 experiences to all new employees, 01:56:52.160 --> 01:56:55.730 but new employees will see your culture and your 01:56:55.730 --> 01:56:58.090 demonstrated values on day one, 01:56:58.090 --> 01:57:00.080 even without you having to tell them, 01:57:00.080 --> 01:57:03.840 even without them having to crack one book or policy, 01:57:03.840 --> 01:57:07.370 we emphasize near misreporting even anonymously 01:57:07.370 --> 01:57:10.270 and the expectation that more near misreporting 01:57:10.270 --> 01:57:11.530 is a good thing 01:57:11.530 --> 01:57:16.250 and it's absolutely required we get to our journey to zero. 01:57:16.250 --> 01:57:17.083 And finally, the last thing. 01:57:17.083 --> 01:57:20.040 Mr. Geraghty I'm gonna do just a quick time check, 01:57:20.040 --> 01:57:21.990 sorry to interrupt we're getting very close 01:57:21.990 --> 01:57:25.620 to the 30 minute timeframe so it just wanna let you know. 01:57:25.620 --> 01:57:26.620 And then I just have one minute, 01:57:26.620 --> 01:57:28.020 thank you I appreciate that. 01:57:29.180 --> 01:57:30.300 Under human factors, 01:57:30.300 --> 01:57:33.000 we're talking about human performance and those are things 01:57:33.000 --> 01:57:36.650 like errors, late organizational weaknesses. 01:57:36.650 --> 01:57:39.570 It's the recognition that people in organizations can 01:57:39.570 --> 01:57:43.500 and do make errors and to truly be safe from bad incidents, 01:57:43.500 --> 01:57:45.920 we have to put barriers in place, simple things, 01:57:45.920 --> 01:57:49.460 stopping, checklists, conducting challenge sessions, 01:57:49.460 --> 01:57:51.980 investing in behavioral based safety, quality assurance, 01:57:51.980 --> 01:57:53.570 quality control programs, 01:57:53.570 --> 01:57:56.780 and our PSPS decision dashboard this year has undergone 01:57:56.780 --> 01:57:59.200 the human factors engineering to make sure 01:57:59.200 --> 01:58:01.600 that the decisions that come out of that process 01:58:01.600 --> 01:58:04.140 and made in real time have the benefit of design 01:58:04.140 --> 01:58:06.290 to provide focus and finally, 01:58:06.290 --> 01:58:09.593 I would just commend the state of California and the CPUC 01:58:09.593 --> 01:58:12.060 and OEIS for making sure public utilities 01:58:12.060 --> 01:58:14.520 are assessing and addressing enterprise risk 01:58:14.520 --> 01:58:16.390 as part of the regulatory process. 01:58:16.390 --> 01:58:19.310 This is precisely why choice chose to join a California 01:58:19.310 --> 01:58:22.137 utility, the safety culture inside the company, 01:58:22.137 --> 01:58:25.030 and the risk informed process is outside the utility 01:58:25.030 --> 01:58:26.370 make for excellence. 01:58:26.370 --> 01:58:30.270 It is important to transparently present and discuss risk, 01:58:30.270 --> 01:58:33.290 and it must be quantified and characterized as a 01:58:33.290 --> 01:58:35.317 distribution of potential outcomes 01:58:35.317 --> 01:58:38.800 and that same thing is for this true for risk mitigation. 01:58:38.800 --> 01:58:42.014 I believe SDG&E is demonstrating leadership in this space 01:58:42.014 --> 01:58:44.700 through our wildfire modeling and through the RAMP process 01:58:44.700 --> 01:58:46.280 and my very first meeting at this company, 01:58:46.280 --> 01:58:50.510 I attended an SDG&E, as an SDG&E employee a year ago, 01:58:50.510 --> 01:58:52.960 it was a focus session on wildfire 01:58:52.960 --> 01:58:55.440 and PSPS risk in our modeling. 01:58:55.440 --> 01:58:58.102 I've been part of commodity risk 01:58:58.102 --> 01:58:59.830 and mitigation throughout my utility career, 01:58:59.830 --> 01:59:02.720 but what is in place in California makes the safety of our 01:59:02.720 --> 01:59:04.460 service, the commodity, 01:59:04.460 --> 01:59:06.690 and that is what is being studied and managed, 01:59:06.690 --> 01:59:07.980 and it's refreshing 01:59:07.980 --> 01:59:10.450 and I do thank you for your time and attention 01:59:10.450 --> 01:59:14.283 and engagement and that concludes my presentation thank you. 01:59:16.680 --> 01:59:18.984 Thank you, Mr. Keith, and Mr. Geraghty 01:59:18.984 --> 01:59:22.370 just a quick update on public comment time. 01:59:22.370 --> 01:59:25.690 We are shooting to probably have those around 12:25, 01:59:25.690 --> 01:59:28.740 so just to keep that in mind for other speakers, 01:59:28.740 --> 01:59:31.390 I will open it now to questions for the virtual dais. 01:59:38.260 --> 01:59:40.160 Commissioner Shiroma, please go ahead. 01:59:41.070 --> 01:59:42.660 Yes, thank you. 01:59:42.660 --> 01:59:46.540 Thank you, Mr. Keith, Mr. Geraghty, 01:59:46.540 --> 01:59:48.280 again, tremendous efforts 01:59:50.405 --> 01:59:54.540 San Diego Gas Electric has already deserved replication for 01:59:55.610 --> 01:59:58.920 really (clears throat) spearheading many of 01:59:58.920 --> 02:00:03.030 the safety efforts, particularly with wildfire mitigation 02:00:04.490 --> 02:00:08.440 even some years before other utilities. 02:00:08.440 --> 02:00:11.715 So I have a similar question for you in terms of the 02:00:11.715 --> 02:00:14.020 boardroom governance site. 02:00:14.020 --> 02:00:17.960 I did a quick perusal(clears throat) of both your website 02:00:17.960 --> 02:00:19.850 and also Sempra's website, 02:00:19.850 --> 02:00:22.570 looking at the governance documents that are there 02:00:25.626 --> 02:00:28.969 and so for example (clears throat) 02:00:28.969 --> 02:00:33.969 on the, let me see it's the governance guidelines. 02:00:38.830 --> 02:00:42.370 There is a mention of safety systems. 02:00:42.370 --> 02:00:47.370 We know where I found really amazingly wonderful stuff 02:00:47.970 --> 02:00:51.683 was in the employee and contract your code of conduct, 02:00:54.040 --> 02:00:59.040 but not in the business code of conduct for the directors. 02:01:02.310 --> 02:01:07.310 So my query is as (clears throat) as executives, 02:01:07.950 --> 02:01:10.503 that report to the board room, 02:01:12.290 --> 02:01:15.870 do you have a latitude to recommend 02:01:15.870 --> 02:01:17.693 to the governing board of directors, 02:01:18.770 --> 02:01:23.103 that they take a fresh look at the governing principles and 02:01:24.020 --> 02:01:29.020 determine whether there should be a greater written emphasis 02:01:30.060 --> 02:01:34.940 on safety because the team, it could be very strong today, 02:01:34.940 --> 02:01:38.670 but what about the team of tomorrow for continuity? 02:01:38.670 --> 02:01:43.370 I'm a firm believer that those top echelon folks in the 02:01:43.370 --> 02:01:48.120 boardroom have very strong governance 02:01:50.580 --> 02:01:53.563 adopted criteria for themselves. 02:01:55.120 --> 02:01:55.953 That's my question. 02:01:55.953 --> 02:01:58.670 Do you have that kind of working relationship with the 02:01:58.670 --> 02:02:01.403 governing board of directors as Sempra? 02:02:03.925 --> 02:02:04.923 Erbin I can enter that. 02:02:06.110 --> 02:02:08.240 Yeah Unequivocally yes. 02:02:08.240 --> 02:02:13.050 I'm the liaison to Sempra energy's sustainability safety 02:02:13.050 --> 02:02:16.100 and technology subcommittee of the board of directors 02:02:16.100 --> 02:02:18.170 and that is the primary sub committee 02:02:18.170 --> 02:02:19.870 that deals with these issues 02:02:19.870 --> 02:02:24.008 and I actually had the latitude to make recommendations 02:02:24.008 --> 02:02:29.008 or bring input from the Commission to the committee. 02:02:31.570 --> 02:02:35.647 Okay cause again, if you look at their materials, 02:02:35.647 --> 02:02:39.370 the code of business conduct and ethics for directors 02:02:39.370 --> 02:02:42.710 and principal executive officers is very different 02:02:42.710 --> 02:02:45.570 from the code of conduct for the employees, 02:02:45.570 --> 02:02:49.223 and the contractors this is the stark difference. 02:02:50.780 --> 02:02:52.090 It's noticeable. 02:02:52.090 --> 02:02:53.790 All right thank you, 02:02:53.790 --> 02:02:56.833 microphone now to back to Carolina, thank you. 02:03:09.492 --> 02:03:12.690 I'd like Caroline, to get a chance to go 02:03:12.690 --> 02:03:16.040 before me this time, Dr. Thomas Jacob, 02:03:16.040 --> 02:03:17.020 if you want to go first, 02:03:17.020 --> 02:03:19.103 I have some questions that can wait. 02:03:20.260 --> 02:03:24.670 I appreciate that Commissioner so I was wondering Kevin, 02:03:24.670 --> 02:03:26.530 if you could go into a little bit more detail, 02:03:26.530 --> 02:03:29.630 I think you said something really critically important in 02:03:29.630 --> 02:03:32.980 your part of the brief around how you guys have reoriented 02:03:32.980 --> 02:03:37.130 grid operations around safety, as opposed to reliability. 02:03:37.130 --> 02:03:40.130 Can you talk us through a little bit more of what that means 02:03:41.170 --> 02:03:42.660 in a detailed level, 02:03:42.660 --> 02:03:44.230 in terms of what kinds of changes 02:03:44.230 --> 02:03:46.163 and how that changes your operations? 02:03:48.000 --> 02:03:49.250 So of course, I can't talk to it 02:03:49.250 --> 02:03:50.750 from a change perspective. 02:03:50.750 --> 02:03:54.680 It exists here SDG&E at the time I joined the company and I 02:03:54.680 --> 02:03:58.130 think at some point the idea was we were putting operators 02:03:58.130 --> 02:04:02.010 in a spot to where having to make and use discretion to make 02:04:02.010 --> 02:04:05.500 some decisions on reclosing switches and how you operate 02:04:05.500 --> 02:04:09.610 decisions or operate the system based on information they 02:04:09.610 --> 02:04:12.930 may have available, we simply removed that factor. 02:04:12.930 --> 02:04:15.860 It was, we will not automatically reclose switches. 02:04:15.860 --> 02:04:19.510 We will not allow that if a system actually trips, 02:04:19.510 --> 02:04:20.730 we will pause, 02:04:20.730 --> 02:04:23.377 we will examine all the conditions and things that we know 02:04:23.377 --> 02:04:25.440 are making them form decisions, 02:04:25.440 --> 02:04:28.287 whether or not to reclose those customers and the points of 02:04:28.287 --> 02:04:32.740 where it's located in a system that has elevated risk, 02:04:32.740 --> 02:04:36.880 we will not reclose it no matter what we will pass the truck 02:04:36.880 --> 02:04:39.133 past a person, get eyes on the fault, 02:04:39.133 --> 02:04:42.790 understand the fault location before we will reclose 02:04:42.790 --> 02:04:45.550 that requires just discipline and reinforcement. 02:04:45.550 --> 02:04:47.480 I'm sure years ago that focused on the drive 02:04:47.480 --> 02:04:49.340 towards safety and reliability, 02:04:49.340 --> 02:04:51.870 and knowing that there's impacts the customer sometimes can 02:04:51.870 --> 02:04:54.900 drive a behavior that could lead for a risky outcome. 02:04:54.900 --> 02:04:57.770 So it's very important for leadership for management to 02:04:57.770 --> 02:05:00.509 remove that, remove that and enforce it. 02:05:00.509 --> 02:05:02.710 That operators are required to make 02:05:02.710 --> 02:05:04.460 a non-discretionary decisions. 02:05:04.460 --> 02:05:07.860 They shall not have a switch on automatic reclose, 02:05:07.860 --> 02:05:11.430 and they shall not as closing a switch during risky 02:05:11.430 --> 02:05:14.920 conditions and you enforce it just each and every day, 02:05:14.920 --> 02:05:16.160 not through just written policy, 02:05:16.160 --> 02:05:19.280 but we talk about it every day in our daily obstacle every 02:05:19.280 --> 02:05:22.470 day, the team that runs that part of the grid, 02:05:22.470 --> 02:05:25.320 make sure it's clear, hey, here's our current conditions. 02:05:27.860 --> 02:05:29.980 Thank you another question was, 02:05:29.980 --> 02:05:31.470 is actually more of a request. 02:05:31.470 --> 02:05:35.160 So really appreciated the run-through on the metrics that 02:05:35.160 --> 02:05:38.470 you guys are tracking and the current statistics on those, 02:05:38.470 --> 02:05:41.107 as well as the goals would have loved to have seen those in 02:05:41.107 --> 02:05:43.090 the presentation so that we could keep a copy. 02:05:43.090 --> 02:05:48.000 Could we get a copy of those of those metrics? 02:05:48.000 --> 02:05:51.180 'Cause I think was talk through in your briefing 02:05:51.180 --> 02:05:53.200 that it sounds like you guys are really 02:05:53.200 --> 02:05:54.860 making a lot of decisions based on 02:05:54.860 --> 02:05:57.150 the data and making data informed decisions. 02:05:57.150 --> 02:05:58.610 So it'd be helpful to see that. 02:05:58.610 --> 02:06:00.860 So if I could just put that request out there 02:06:01.920 --> 02:06:06.110 and then finally, this is the same question 02:06:06.110 --> 02:06:09.180 I asked the Edison 02:06:10.175 --> 02:06:12.330 and maybe Mr. Keith, this might be you, 02:06:12.330 --> 02:06:15.700 if you guys could walk us through a couple of examples of 02:06:15.700 --> 02:06:19.410 directly how the board safety committee has been offering 02:06:19.410 --> 02:06:22.800 recommendations and how that is then operationalized 02:06:22.800 --> 02:06:24.153 into the organization. 02:06:25.440 --> 02:06:28.295 Yes well, first of all, at the safety committee meetings, 02:06:28.295 --> 02:06:31.270 Kevin always attends me, our senior officers attend, 02:06:31.270 --> 02:06:34.170 and we do a deep dive on the topics 02:06:34.170 --> 02:06:36.140 that are being presented 02:06:36.140 --> 02:06:37.600 and out of that discussion, 02:06:37.600 --> 02:06:41.896 the safety committee makes just by asking questions, 02:06:41.896 --> 02:06:46.896 focusing on certain issues makes recommendations to the 02:06:47.320 --> 02:06:51.380 organization about things they need to focus more effort on, 02:06:51.380 --> 02:06:56.380 or be clear on about the way we go about managing safety and 02:06:56.580 --> 02:06:58.480 mitigating safety risk. 02:06:58.480 --> 02:06:59.480 After that, 02:06:59.480 --> 02:07:04.480 we take input from the advisory council from we're informed 02:07:04.500 --> 02:07:06.370 by Commission activity, for example, 02:07:06.370 --> 02:07:09.653 they will make on PSPS and we ask our, 02:07:10.760 --> 02:07:12.810 we asked SDG&E to make presentations to us 02:07:12.810 --> 02:07:15.063 about how they're dealing the PSPS, 02:07:15.063 --> 02:07:17.015 what the best practices are, 02:07:17.015 --> 02:07:21.130 give our input to those best practices based upon our 02:07:21.130 --> 02:07:25.750 individual experiences, whether it be in an operating role, 02:07:25.750 --> 02:07:28.820 a legal role or a regulatory role 02:07:28.820 --> 02:07:30.693 that really answered the question. 02:07:31.890 --> 02:07:34.500 I can share a recent experience that I think maybe 02:07:34.500 --> 02:07:35.560 highlights the question. 02:07:35.560 --> 02:07:38.570 So when were reviewing a particular project 02:07:38.570 --> 02:07:40.170 to substation upgrades, 02:07:40.170 --> 02:07:43.440 and one of the questions came from the board was that 02:07:43.440 --> 02:07:46.070 how do you know you're safely performing work 02:07:46.070 --> 02:07:47.920 in an energized substation? 02:07:47.920 --> 02:07:49.730 Well, the ops teams and obsolete, 02:07:49.730 --> 02:07:52.120 it's very easy to take that for granted 02:07:52.120 --> 02:07:55.232 and, but the request was, look, 02:07:55.232 --> 02:07:58.070 I want you to demonstrate to the board that you understand 02:07:58.070 --> 02:08:00.970 and all the things that you're doing that assure safe 02:08:00.970 --> 02:08:04.290 operations and energized switch yards and getting some of 02:08:04.290 --> 02:08:07.310 our teams closest to that work to actually make that 02:08:07.310 --> 02:08:10.267 presentation to a board really just creates what you want 02:08:10.267 --> 02:08:13.700 and safety is that two way kind of affirmation 02:08:13.700 --> 02:08:15.270 it's important and yes, 02:08:15.270 --> 02:08:17.220 we know it's important and here's how we 02:08:17.220 --> 02:08:18.570 are doing that work today 02:08:18.570 --> 02:08:20.143 and that's a recent example of that, 02:08:20.143 --> 02:08:22.663 where it's is very fluid and very engaging. 02:08:23.950 --> 02:08:26.940 Yeah I like that example that there are others, 02:08:26.940 --> 02:08:30.540 but I liked this quote about what the role of board is. 02:08:30.540 --> 02:08:32.710 The board influences the tone of, 02:08:32.710 --> 02:08:34.983 in safety culture of an organization 02:08:34.983 --> 02:08:36.090 through the questions they ask, 02:08:36.090 --> 02:08:38.617 the focus they place on key organizational issues 02:08:38.617 --> 02:08:39.840 and the message they give 02:08:39.840 --> 02:08:42.070 during direct interactions with employees. 02:08:42.070 --> 02:08:46.850 That is the purpose of this committee is to give a sense of 02:08:46.850 --> 02:08:49.920 the focus of the board through those interactions 02:08:49.920 --> 02:08:53.880 and getting, tensioning the organization I mean, 02:08:53.880 --> 02:08:56.800 it's pretty intimidating to come to the board after a 02:08:56.800 --> 02:08:59.570 presentation that how you're managing risk 02:08:59.570 --> 02:09:01.520 and often I give Kevin credit for this. 02:09:01.520 --> 02:09:03.440 Often, these are presentations are done, 02:09:03.440 --> 02:09:05.900 are led by directors and managers 02:09:05.900 --> 02:09:07.370 with the support of the officers. 02:09:07.370 --> 02:09:09.440 So we're kind of embedding that tension 02:09:09.440 --> 02:09:12.310 in the organization to know that the board considers this 02:09:12.310 --> 02:09:14.813 to be important to the organization. 02:09:17.351 --> 02:09:21.350 Thank you and then last question, target zeros. 02:09:21.350 --> 02:09:25.420 So clearly a commendable sort of aspirational goals, right? 02:09:25.420 --> 02:09:27.480 To have zero across the board. 02:09:27.480 --> 02:09:29.420 I would imagine that there's going to be a timeline 02:09:29.420 --> 02:09:32.423 in terms of getting to that are there any immediate, 02:09:34.250 --> 02:09:38.250 initial goals to move towards target zero for at the end 02:09:38.250 --> 02:09:42.690 of this year or in 2022 that you can walk us through? 02:09:42.690 --> 02:09:45.160 Yeah so, and when I send the data, 02:09:45.160 --> 02:09:47.880 I can show you our next three or four years goals on 02:09:47.880 --> 02:09:49.830 personnel safety, right? 02:09:49.830 --> 02:09:52.070 To where those are the things we know, 02:09:52.070 --> 02:09:54.400 the rate that we think we can improve to actually 02:09:54.400 --> 02:09:56.260 achieve top this out performance. 02:09:56.260 --> 02:09:59.800 So the answers as is clearly yes in personnel safety 02:09:59.800 --> 02:10:01.410 every year we also take a look 02:10:01.410 --> 02:10:05.520 and say our wildfire risk mitigation measurements as well 02:10:05.520 --> 02:10:08.775 and this year we added four onto 02:10:08.775 --> 02:10:11.220 our ICP plan this year, 02:10:11.220 --> 02:10:15.430 we added average days for tier three level one corrections. 02:10:15.430 --> 02:10:19.110 We added vegetation contacts in HFTV. 02:10:19.110 --> 02:10:22.330 We added PSPS average circuit restoration time 02:10:22.330 --> 02:10:24.420 for located patrol and we added, 02:10:24.420 --> 02:10:27.020 and I mentioned it in my prepared remarks, 02:10:27.020 --> 02:10:29.180 our wildfire risk events, right? 02:10:29.180 --> 02:10:32.900 And so we are measuring these and simply measuring within 02:10:32.900 --> 02:10:35.210 the bounds of whether you hit them or miss them 02:10:35.210 --> 02:10:37.250 will guide us towards driving the things 02:10:37.250 --> 02:10:38.540 to improve all those. 02:10:38.540 --> 02:10:41.030 So in those areas just simply this year for the first time, 02:10:41.030 --> 02:10:43.770 putting them on, we actually had to establish min and max 02:10:43.770 --> 02:10:44.640 and where do we want to go? 02:10:44.640 --> 02:10:47.140 So I think I can share those for you 02:10:47.140 --> 02:10:50.217 within the data requests that actually shows where we're at, 02:10:50.217 --> 02:10:52.000 but they absolutely lead us 02:10:52.000 --> 02:10:53.743 in the actions that we're taking. 02:10:56.670 --> 02:10:58.010 Thank you, those are all my questions 02:10:58.010 --> 02:10:59.260 back to you Commissioner. 02:11:02.390 --> 02:11:04.110 Commissioner Rechtschaffen. 02:11:12.826 --> 02:11:14.070 Commissioner Rechtschaffen would you like us 02:11:14.070 --> 02:11:15.393 to get back to you later? 02:11:21.850 --> 02:11:25.310 Maybe still cognitive cause he seems to have 02:11:25.310 --> 02:11:26.643 be having audio problems. 02:11:32.330 --> 02:11:35.143 I don't think we can hear you Commissioner Rechtschaffen. 02:11:45.723 --> 02:11:49.260 Is there perhaps Commissioner Houck, 02:11:49.260 --> 02:11:51.360 do you have any questions in the meantime? 02:11:53.440 --> 02:11:55.890 I do not have any questions at this time I know 02:11:58.170 --> 02:11:59.480 Commissioner Guzman Aceves 02:11:59.480 --> 02:12:01.943 or Commissioner Rechtschaffen audio. 02:12:03.576 --> 02:12:06.210 Thank you I wasn't to just ask 02:12:06.210 --> 02:12:10.180 a little bit more about one of the descriptions 02:12:10.180 --> 02:12:12.850 that you had around the community, 02:12:12.850 --> 02:12:15.593 I forget the title of the community advisory. 02:12:20.225 --> 02:12:22.110 While about her safety thank you 02:12:22.110 --> 02:12:24.270 and the recognition that you said, 02:12:24.270 --> 02:12:26.420 maybe it came from some of the locals on the benefit for 02:12:26.420 --> 02:12:31.420 coordination for other safety and emergency incidents 02:12:33.250 --> 02:12:37.940 and I wonder, has there been thought in expanding that also, 02:12:37.940 --> 02:12:40.010 when did you begin that effort? 02:12:40.010 --> 02:12:43.090 I know and I'll let you answer here, 02:12:43.090 --> 02:12:47.540 but I know part of our discussions have been in 02:12:47.540 --> 02:12:50.420 particularly, you obviously have the benefit 02:12:50.420 --> 02:12:52.100 of the smaller territory, 02:12:52.100 --> 02:12:55.403 but really to be able to replicate that model, 02:12:56.530 --> 02:12:59.620 much of our guidance has given some discretion 02:12:59.620 --> 02:13:03.120 on how to do this with locals in particular. 02:13:03.120 --> 02:13:06.450 Can you give a little more detail on the inception, 02:13:06.450 --> 02:13:08.490 the frequency, the makeup 02:13:08.490 --> 02:13:12.023 and the potential feature of expanding the purpose. 02:13:14.835 --> 02:13:17.767 The advisory council, go ahead Erbin. 02:13:20.936 --> 02:13:22.140 I was just gonna point out it was, 02:13:22.140 --> 02:13:25.400 it was created about the same time we created the safety 02:13:25.400 --> 02:13:28.040 committee and it was intended to be complimentary to the 02:13:28.040 --> 02:13:30.857 committee by providing outside input to the 02:13:30.857 --> 02:13:33.720 committee as to safety issues 02:13:33.720 --> 02:13:35.353 that are important to the community. 02:13:37.150 --> 02:13:39.350 Kevin if you want to add to that? 02:13:39.350 --> 02:13:40.220 Yeah, I would say, 02:13:40.220 --> 02:13:43.820 and I think maybe Erbin mentioned it earlier, 02:13:43.820 --> 02:13:46.880 every meeting has an attendance by one of our safety 02:13:46.880 --> 02:13:49.570 committee, if not all of our board safety committee, 02:13:49.570 --> 02:13:52.870 which I think makes for an impact. 02:13:52.870 --> 02:13:57.420 The makeup includes from community-based organizations 02:13:57.420 --> 02:13:59.583 to public safety partners, 02:14:00.670 --> 02:14:03.975 to obviously fire first responders, 02:14:03.975 --> 02:14:06.130 tribal interests as well. 02:14:06.130 --> 02:14:08.880 So what I think is probably the complete fabric 02:14:08.880 --> 02:14:11.810 of our communities here in San Diego county 02:14:11.810 --> 02:14:16.810 and while we were not intended to grow beyond wildfire 02:14:17.550 --> 02:14:19.883 mitigation to reality gets to be, 02:14:19.883 --> 02:14:22.220 is that the introduction of resiliency that we're building 02:14:22.220 --> 02:14:24.210 into our community through engagement 02:14:24.210 --> 02:14:26.100 is gonna make a difference, 02:14:26.100 --> 02:14:29.010 we had a earthquake tabletop exercise for instance, 02:14:29.010 --> 02:14:32.930 this year became very easy to reach out to that team for 02:14:32.930 --> 02:14:37.223 input into our tabletop exercise. 02:14:39.112 --> 02:14:41.300 I think we're always open to grow it, 02:14:41.300 --> 02:14:43.070 we include academia in that, 02:14:43.070 --> 02:14:45.480 which is I think critically important because that's a 02:14:45.480 --> 02:14:47.220 fabric of our community and quite frankly, 02:14:47.220 --> 02:14:49.950 one of our strongest partners in figuring out 02:14:49.950 --> 02:14:51.060 how to innovate 02:14:52.000 --> 02:14:53.856 and I think it's one of those things, 02:14:53.856 --> 02:14:57.710 as far as how to do it, it's gotta be smaller. 02:14:57.710 --> 02:15:00.850 It's gotta be representative other community such that the 02:15:00.850 --> 02:15:03.460 folks that are participating in that know each other 02:15:03.460 --> 02:15:06.890 and work with each other outside of that committee, 02:15:06.890 --> 02:15:10.640 outside of that council on a large list of items. 02:15:10.640 --> 02:15:12.440 So for a very large utility, 02:15:12.440 --> 02:15:14.780 it may take having many of these councils, 02:15:14.780 --> 02:15:16.580 I can understand the breadth 02:15:16.580 --> 02:15:18.651 of the territory could impact that, 02:15:18.651 --> 02:15:20.915 but we do have the benefit of being condensed here 02:15:20.915 --> 02:15:22.344 within San Diego county 02:15:22.344 --> 02:15:24.080 and I've never seen anything like it, 02:15:24.080 --> 02:15:25.280 it's a difference maker. 02:15:26.370 --> 02:15:27.203 Oh, thank you 02:15:27.203 --> 02:15:29.560 and thank you for pointing out that your 02:15:29.560 --> 02:15:31.550 board committee members attend, 02:15:31.550 --> 02:15:33.050 that's also very significant 02:15:33.050 --> 02:15:36.690 and one quick flip on that. 02:15:36.690 --> 02:15:38.223 Oh, sorry was there another? 02:15:39.213 --> 02:15:41.420 Good well just one quick follow-up which is, 02:15:41.420 --> 02:15:44.880 do you also include the critical facility, 02:15:44.880 --> 02:15:46.890 particularly water and telecommunications 02:15:46.890 --> 02:15:49.210 have been such chronic issues, 02:15:49.210 --> 02:15:51.253 are those also in attendance? 02:15:53.220 --> 02:15:55.870 I think the answer that is yes, whether they're, 02:15:55.870 --> 02:15:58.970 always there or just at different times there, but yes. 02:15:58.970 --> 02:16:02.740 That even if they're not there, obviously not today 02:16:02.740 --> 02:16:05.610 'cause I think we have a pretty good handle on that, 02:16:05.610 --> 02:16:07.890 but I think in the early parts of this council 02:16:07.890 --> 02:16:08.980 advisory council, 02:16:08.980 --> 02:16:11.210 things like water and comms were issues 02:16:11.210 --> 02:16:13.000 that we had to get on top of 02:16:13.000 --> 02:16:16.145 and I think we have really excellent relationships, 02:16:16.145 --> 02:16:17.440 with our communication providers 02:16:17.440 --> 02:16:20.563 and our water providers in our communities. 02:16:21.580 --> 02:16:23.930 Yeah to add color to that. 02:16:23.930 --> 02:16:26.681 We've had members on the committee from cost communication, 02:16:26.681 --> 02:16:29.220 the San Diego county water authority 02:16:29.220 --> 02:16:32.523 and California, San Diego, so it's very inclusive. 02:16:33.695 --> 02:16:35.293 Excellent thank you. 02:16:38.400 --> 02:16:41.719 I think we've Commissioner Rechtschaffen back in the line. 02:16:41.719 --> 02:16:43.840 Commissioner Rechtschaffen. 02:16:43.840 --> 02:16:46.953 Thank you I apologize I lost audio for a little bit. 02:16:47.940 --> 02:16:50.560 I know we want to get to the public comment, 02:16:50.560 --> 02:16:52.820 Mr. Keith I was gonna ask you a question 02:16:52.820 --> 02:16:55.040 and sounds like you got into it a little bit with 02:16:55.040 --> 02:16:57.125 Commissioners Guzman Aceves. 02:16:57.125 --> 02:16:59.737 How often do you and other board members of the 02:16:59.737 --> 02:17:02.753 members of the safety committee get into the field? 02:17:03.853 --> 02:17:05.898 And if like I had asked that already. 02:17:05.898 --> 02:17:09.040 Please speak on it. No no its fine. 02:17:09.040 --> 02:17:10.590 I'll catch up with my camera. 02:17:11.550 --> 02:17:13.587 Yeah no I can't give you a quick answer to that. 02:17:13.587 --> 02:17:15.430 One of the members of the committee is Carolina 02:17:15.430 --> 02:17:16.670 and she's the CEO of the company 02:17:16.670 --> 02:17:19.610 so obviously she's intimate with appeal. 02:17:19.610 --> 02:17:21.770 I'm the former general counsel for SDG&E 02:17:21.770 --> 02:17:24.700 and the risk function reported to me as well. 02:17:24.700 --> 02:17:29.700 So I've spent plenty of hours in EOC for red flag events 02:17:30.190 --> 02:17:33.930 and other, critical events, I've traveled to the facilities. 02:17:33.930 --> 02:17:35.600 I've been to San Antonio for a year I mean, 02:17:35.600 --> 02:17:38.420 all the things you expect from general counsel at SDG&E. 02:17:38.420 --> 02:17:40.270 So I'm very familiar with those activities 02:17:40.270 --> 02:17:43.253 and Rob Borthwick our other committee member, 02:17:44.130 --> 02:17:47.553 same thing spent plenty of time in the EOC, 02:17:48.566 --> 02:17:52.720 the weather center, he was involved in wildfire mitigation 02:17:52.720 --> 02:17:56.100 in the past is very familiar with root cause analysis 02:17:56.100 --> 02:17:58.453 and in our facilities as a result of that. 02:17:59.870 --> 02:18:02.793 Thank you I wanted to ask about near miss requirements. 02:18:04.210 --> 02:18:07.343 Mr. Geraghty, you talked about it and you talked about, 02:18:08.409 --> 02:18:11.840 you talked about how Caroline Winn reviews, 02:18:11.840 --> 02:18:15.910 some of those who are people reflect the normal 02:18:15.910 --> 02:18:18.320 chain of reporting for near miss requirements 02:18:18.320 --> 02:18:19.700 that's the first question. 02:18:19.700 --> 02:18:20.840 How many, and secondly, 02:18:20.840 --> 02:18:24.263 how many near-miss reports do you get a year roughly? 02:18:25.950 --> 02:18:28.780 So the, we actually have an app 02:18:28.780 --> 02:18:31.350 it's actually available online 02:18:31.350 --> 02:18:34.780 and anybody can afford that the system 02:18:34.780 --> 02:18:37.360 there is no limitations, right? 02:18:37.360 --> 02:18:39.550 And so those don't get filtered in any way, 02:18:39.550 --> 02:18:42.980 shape or form that near miss ends up going to Ron Corolla, 02:18:42.980 --> 02:18:45.500 who reports to me and those all get published 02:18:45.500 --> 02:18:47.297 and an email that he puts out 02:18:47.297 --> 02:18:50.090 and the only reason we put a stop there is occasionally, 02:18:50.090 --> 02:18:53.240 sometimes people may have some personally identifiable 02:18:53.240 --> 02:18:55.190 information that we probably shouldn't identify, 02:18:55.190 --> 02:18:57.620 but then those goes straight out. 02:18:57.620 --> 02:19:00.730 I think last year we had a total of 100, 02:19:00.730 --> 02:19:03.550 our goal this year for nearly 300 02:19:03.550 --> 02:19:06.240 and I think right now we're right at about 200 02:19:06.240 --> 02:19:09.180 subject to check and I'll follow up with the data on that. 02:19:09.180 --> 02:19:12.830 But we emphasize that 02:19:12.830 --> 02:19:17.370 and for me near misses are a report on the psychological 02:19:17.370 --> 02:19:19.410 safety of your organization. 02:19:19.410 --> 02:19:21.700 Are people willing to provide information 02:19:21.700 --> 02:19:22.990 because when they don't 02:19:22.990 --> 02:19:24.930 neither means because it's frowned upon 02:19:24.930 --> 02:19:26.230 or you don't follow up on. 02:19:31.860 --> 02:19:34.650 Thank you and then if you could provide 02:19:34.650 --> 02:19:37.310 any more specific information of an instance 02:19:37.310 --> 02:19:39.810 where you've adjusted compensation negatively 02:19:39.810 --> 02:19:42.700 based on an adverse safety outcome, 02:19:42.700 --> 02:19:46.340 you mentioned in general that that's been done, 02:19:46.340 --> 02:19:51.080 but there were no specifics of when the level of executive 02:19:51.080 --> 02:19:54.743 for whom it was adjusted, the degree of adjustment. 02:19:56.330 --> 02:19:57.960 Yes we provided a summary of that 02:19:57.960 --> 02:19:59.650 in our compliance filing, but you're right. 02:19:59.650 --> 02:20:02.040 It doesn't get down to that level of granularity 02:20:02.040 --> 02:20:03.863 and we can supplement that for you. 02:20:05.610 --> 02:20:10.610 Thank you, Carolina those are all my questions. 02:20:11.400 --> 02:20:13.693 I know we wanna get to the public. 02:20:15.370 --> 02:20:17.590 Thank you, Commissioner Rechtschaffen. 02:20:17.590 --> 02:20:19.670 if we don't have any other questions, 02:20:19.670 --> 02:20:23.530 then I will move on to our public comment 02:20:23.530 --> 02:20:25.223 portion of the today's agenda. 02:20:26.340 --> 02:20:30.080 I asked that is the representatives of SDG&E and SCE 02:20:30.080 --> 02:20:31.620 please remain for this portion 02:20:31.620 --> 02:20:34.400 so that you may hear what the public has to say. 02:20:34.400 --> 02:20:38.410 And thank you again for the Commissioners and presenters 02:20:38.410 --> 02:20:43.410 and director Jacob Thomas, for questions and comments. 02:20:45.630 --> 02:20:48.760 As a reminder, if you wish to make a public comment, 02:20:48.760 --> 02:20:53.760 dial into (800) 857 1917 and enter passcode 1767567 02:20:58.080 --> 02:21:00.120 for the English line pass line 02:21:00.120 --> 02:21:05.120 and passcode 3799627 for the Spanish line, 02:21:06.377 --> 02:21:09.900 unmute your phone and press star one. 02:21:09.900 --> 02:21:13.210 You will be placed into a queue and the operator will take 02:21:13.210 --> 02:21:15.170 your name and information. 02:21:15.170 --> 02:21:17.770 You will be called upon to speak in the order, 02:21:17.770 --> 02:21:19.460 your call was received. 02:21:19.460 --> 02:21:22.620 You will have two minutes to speak. 02:21:22.620 --> 02:21:25.730 You will hear a bell sound when your time is up. 02:21:25.730 --> 02:21:28.540 Please be mindful of other speakers in the queue 02:21:28.540 --> 02:21:30.930 and keep to your allotted time. 02:21:30.930 --> 02:21:32.630 I will now turn to the operator 02:21:32.630 --> 02:21:34.903 to open public comment, telephone lines. 02:21:37.414 --> 02:21:40.970 The public comment line is now open. 02:21:40.970 --> 02:21:44.050 Our first speaker is Mr. Dan Courtney. 02:21:44.050 --> 02:21:45.953 Your line is now open. 02:21:48.414 --> 02:21:50.030 Hello my name is Dan Courtney. 02:21:50.030 --> 02:21:53.293 I have my feet in a couple of different things. 02:22:01.675 --> 02:22:02.508 And I have to tell you, 02:22:02.508 --> 02:22:05.960 I am impressed throughout the course about the rate increase 02:22:05.960 --> 02:22:08.300 coming up, but haven't lived through the, 02:22:08.300 --> 02:22:10.150 which fire the Cedar fire in the rim fire, 02:22:10.150 --> 02:22:13.300 which burned through my property up North. 02:22:13.300 --> 02:22:17.070 I understand that wildfire safety is number one with it, 02:22:17.070 --> 02:22:18.395 current conditions, 02:22:18.395 --> 02:22:23.170 we have to go to every extent possible to prevent these 02:22:25.140 --> 02:22:30.140 and I appreciate what I'm hearing from Southern California 02:22:30.292 --> 02:22:32.960 the SCE and SDG&E but I know the contrast between 02:22:32.960 --> 02:22:36.840 that and what's going on up North with PG&E and I would 02:22:36.840 --> 02:22:41.840 urge the Commission to really get that situation in line 02:22:42.245 --> 02:22:44.510 and for example, the reclosers, 02:22:44.510 --> 02:22:47.750 it's great that a SDG&E is going to 02:22:47.750 --> 02:22:49.750 is eliminating those automatic reclosers 02:22:50.600 --> 02:22:54.150 and I believe they've already converted 90% 02:22:56.300 --> 02:22:58.770 lines in the high fire threat districts 02:22:58.770 --> 02:23:03.150 to covered conductor and also have 02:23:03.150 --> 02:23:08.150 eliminated a similar percentage of the explosion 02:23:08.200 --> 02:23:09.810 non-exempt explosion fuses, 02:23:09.810 --> 02:23:12.360 which we wouldn't be surprised to see 02:23:12.360 --> 02:23:15.080 possibly play a part in the Dixie fire. 02:23:15.080 --> 02:23:17.180 So we really want to see that the, 02:23:17.180 --> 02:23:22.097 same effort in the same things I've been in a PG&E 02:23:22.097 --> 02:23:24.460 and I realized that's not the subject of today's meeting, 02:23:24.460 --> 02:23:28.730 but I want to just note and point out the contrast that 02:23:28.730 --> 02:23:33.730 we're seeing here and to congratulate SCE and SDG&E in 02:23:34.560 --> 02:23:38.350 taking such a serious and a productive approach 02:23:38.350 --> 02:23:40.253 towards 12 hour safety thank you. 02:23:45.080 --> 02:23:47.980 Thank you, caller operator. 02:23:47.980 --> 02:23:49.033 Next caller, please. 02:23:50.787 --> 02:23:52.720 As a reminder to speak 02:23:52.720 --> 02:23:54.620 during this public comment period, 02:23:54.620 --> 02:23:57.790 please unmute your phone, press star one, 02:23:57.790 --> 02:24:01.453 and record your name and organization clearly when prompted. 02:24:08.110 --> 02:24:09.340 Thank you operator, 02:24:09.340 --> 02:24:11.290 if we can have the next caller, please. 02:24:17.081 --> 02:24:18.880 I'm currently showing 02:24:18.880 --> 02:24:20.893 no additional callers in the queue. 02:24:26.170 --> 02:24:29.690 Thank you with no more comments on the line 02:24:29.690 --> 02:24:32.710 the public common period is closed. 02:24:32.710 --> 02:24:36.070 Thank you to all who did provide comments. 02:24:36.070 --> 02:24:38.710 I will turn it now to Commissioner Rechtschaffen, 02:24:38.710 --> 02:24:41.473 and director Thomas Jacobs for closing remarks. 02:24:45.460 --> 02:24:50.050 I wanna thank the folks at Edison and SDG&E 02:24:50.050 --> 02:24:53.773 for their participation today, for your insights, 02:24:54.670 --> 02:24:59.660 this level of close examination of your safety efforts, 02:24:59.660 --> 02:25:02.820 particularly your efforts on safety culture 02:25:02.820 --> 02:25:04.515 are very, very important 02:25:04.515 --> 02:25:06.620 and we look forward to continuing the discussion, 02:25:06.620 --> 02:25:09.666 maybe with some different participation, as I mentioned, 02:25:09.666 --> 02:25:12.180 and to continuing to work with you, 02:25:12.180 --> 02:25:14.530 to ensure that we have the most accountability 02:25:14.530 --> 02:25:17.270 and transparency for everything you do. 02:25:17.270 --> 02:25:18.443 Thank you very much. 02:25:21.860 --> 02:25:25.530 I too I would like to thank all the assistance, 02:25:25.530 --> 02:25:27.030 from Southern California Edison 02:25:27.030 --> 02:25:28.830 and San Diego Gas and Electric, 02:25:28.830 --> 02:25:32.370 appreciate the detail and look forward to 02:25:32.370 --> 02:25:34.540 continuing these on an annual basis 02:25:34.540 --> 02:25:36.910 and I wanna thank the Commission for taking lead on 02:25:36.910 --> 02:25:39.510 hosting this meeting and all the work that's gone into that 02:25:39.510 --> 02:25:43.150 very much appreciate getting to participate with you all 02:25:43.150 --> 02:25:45.350 and look forward to the continuing conversations 02:25:45.350 --> 02:25:48.890 and focus on safety and driving wildfire safety 02:25:48.890 --> 02:25:50.990 and safety culture in general, 02:25:50.990 --> 02:25:55.990 significantly across all of our electrical corporations. 02:25:57.130 --> 02:25:59.540 So appreciate the time 02:25:59.540 --> 02:26:01.663 and look forward to the follow-up thank you. 02:26:05.240 --> 02:26:06.740 Sorry to interrupt. 02:26:07.940 --> 02:26:10.805 Yeah go ahead Commissioner Guzman Aceves. 02:26:10.805 --> 02:26:12.823 Thank you Carolina. 02:26:12.823 --> 02:26:16.100 I also just wanna recognize that, oh, 02:26:16.100 --> 02:26:19.780 what I see as a much more dedicated 02:26:21.810 --> 02:26:26.810 leadership from this effort and really just be a direct 02:26:27.800 --> 02:26:30.920 involvement of the leadership and hearing about that is very 02:26:30.920 --> 02:26:34.400 critical and how we can see that continuously 02:26:35.420 --> 02:26:38.570 as Commissioner Shiroma has really reinforced 02:26:38.570 --> 02:26:40.653 to really institutionalize this 02:26:40.653 --> 02:26:43.341 and really hearing about the importance of 02:26:43.341 --> 02:26:47.800 both the workforce and the public in ensuring that. 02:26:47.800 --> 02:26:50.210 So I wanna thank you for that and really encourage us 02:26:50.210 --> 02:26:53.980 to look at because we have a new normal, 02:26:53.980 --> 02:26:58.980 what really is the future of the workforce in terms of 02:26:59.290 --> 02:27:01.060 the longevity and the duration, 02:27:01.060 --> 02:27:03.640 the retention, the recruitment of course 02:27:03.640 --> 02:27:06.830 and I'm glad to hear that that's a big focus of, 02:27:06.830 --> 02:27:08.720 of everyone's planning. 02:27:08.720 --> 02:27:09.733 Thank you very much. 02:27:18.010 --> 02:27:18.890 Anybody else in the dais 02:27:18.890 --> 02:27:21.523 would like to have any closing comments. 02:27:22.680 --> 02:27:24.333 Simply to say, thank you. 02:27:25.312 --> 02:27:29.700 Very good conversation, presentations. 02:27:29.700 --> 02:27:32.080 Of course, we all have much more work to do. 02:27:32.080 --> 02:27:32.913 Yeah thank you. 02:27:35.400 --> 02:27:37.810 And just also thank you for the presentations 02:27:38.940 --> 02:27:40.640 was a good discussion, 02:27:40.640 --> 02:27:44.160 so we'll look forward to more information 02:27:44.160 --> 02:27:45.833 and continuing these discussions. 02:27:50.380 --> 02:27:54.850 Okay so thank you, Commissioners director Jacob Thomas, 02:27:54.850 --> 02:27:56.990 and thank you to Southern California, 02:27:56.990 --> 02:27:58.690 Edison and San Diego Gas and Electric 02:27:58.690 --> 02:28:00.920 for your presentations and your time. 02:28:00.920 --> 02:28:02.633 This meeting is now adjourned.