Berkshire Hathaway Energy

[gfp]

Yeah, they have really built a wonderful diversified and BIG company, brick by brick.  And to think - just a few months ago I had people sending me notes that BHE was going to be bankrupted by liabilities and drive down the price of BRK stock.  Okie dokey

[Cigarbutt]

...

Across various US states, there has been (mostly unrecognized) progress, some spearheaded by Pacificorp and some not, to limit, somehow, wildfire liabilities.

As long as the (imperfect) rule of law persists..

Example:

https://www.governing.com/resilience/utility-company-pushing-bills-limiting-wildfire-liability-in-multiple-states

 

[gfp]

https://www.insurancejournal.com/news/west/2025/09/08/838395.htm

[Munger_Disciple]

Thanks for the article @gfp! 

 

Sounds like an ominous development for regulated utility business.

[73 Reds]

1 hour ago, gfp said:

https://www.insurancejournal.com/news/west/2025/09/08/838395.htm

The article leaves out some important information.  Namely why is the company confident it will prevail on appeal and what are the specific grounds for appealing the original verdict?  For both sides settlement seems like it makes a lot of sense.  In fact, why would  Plaintiffs' lawyers want to spend years trying cases that even if they win, will be tied in appellate courts for years?  How long should folks who suffered damages be willing to wait to be compensated?  Sometimes litigation is a lose, lose prospect for both sides.  

[Cigarbutt]

5 hours ago, 73 Reds said:

 

Concerning these recent Pacificorp developments, in general, these large awards ruled in lower courts are generally significantly reduced or eliminated in higher courts. In this specific case, there is one piece of evidence that came out last March (2025) which will likely contribute to a less 'ominous' outcome for the utility.

The report came out from a relatively independent group (Oregon Department of Forestry) and revealed that fires linked to Pacificorp lines did not contribute materially to the damages for the majority of the plaintiffs' cases.

https://odffire.com/2025/03/19/odf-publishes-2020-santiam-canyon-wildfire-event-investigation-report/

[73 Reds]

8 hours ago, Cigarbutt said:

Concerning these recent Pacificorp developments, in general, these large awards ruled in lower courts are generally significantly reduced or eliminated in higher courts. In this specific case, there is one piece of evidence that came out last March (2025) which will likely contribute to a less 'ominous' outcome for the utility.

The report came out from a relatively independent group (Oregon Department of Forestry) and revealed that fires linked to Pacificorp lines did not contribute materially to the damages for the majority of the plaintiffs' cases.

https://odffire.com/2025/03/19/odf-publishes-2020-santiam-canyon-wildfire-event-investigation-report/

Yeah, one would hope that this report would curtail future litigation but if the article is accurate about years' worth of trials already scheduled it doesn't look that way.  The Plaintiffs and their lawyers may also present evidence to the contrary.  Unfortunately the report won't help the company in appealing the verdict in original case because appeals are limited to the evidence presented in that case and available at that time.  Hopefully both sides see the benefit of a swift global settlement.

[Cigarbutt]

15 hours ago, 73 Reds said:

... Unfortunately the report won't help the company in appealing the verdict in original case because appeals are limited to the evidence presented in that case and available at that time. 

I think this is at least partially incorrect:

From the appeal document (page 25 of 129):

"By pursuing this case as a class action, Plaintiffs assumed a fundamental threshold burden: to present common proof establishing that PacifiCorp’s negligent conduct caused all the property damage to every parcel within the four fire boundaries, without the need for any individualized inquiries. Plaintiffs failed to meet that burden, particularly in the Santiam Canyon area, where it is undisputed that a pre-existing lightning-caused wildfire damaged property within the class boundary and where Plaintiffs did not even attempt to present any proof of class-wide or individual causation. Indeed, a recent Oregon Department of Forestry (ODF) investigation report completely exonerated PacifiCorp, concluding that the lightning-caused Beachie Creek Fire alone caused the harm throughout the Santiam Canyon."

Pacificorp's legal team is strengthening one component of the appeal related to the initial trial with new evidence, which is fair game because it is relevant and was not reasonably discoverable with due diligence at trial . Also, it even really opens up the possibility to ask for a re-trial (opinion) if the appeal is unsuccessful.

As with any legal action, the Oregon Forestry report is important because it is material, rational, independent and competent. Are these characteristics still valued?

As far as fault, there was evidence of unusual activity at Pacificorp (apparently, compared to peers, inconsistent or absent de-energizing policy/action) but (at least when the rule of law is promoted and applied) there needs to be evidence between the fault and the (huge) damages (causation) that were incurred. Overall, the possibility of reasonable settlements over time seems to take form (opinion).

[73 Reds]

8 hours ago, Cigarbutt said:

I think this is at least partially incorrect:

From the appeal document (page 25 of 129):

"By pursuing this case as a class action, Plaintiffs assumed a fundamental threshold burden: to present common proof establishing that PacifiCorp’s negligent conduct caused all the property damage to every parcel within the four fire boundaries, without the need for any individualized inquiries. Plaintiffs failed to meet that burden, particularly in the Santiam Canyon area, where it is undisputed that a pre-existing lightning-caused wildfire damaged property within the class boundary and where Plaintiffs did not even attempt to present any proof of class-wide or individual causation. Indeed, a recent Oregon Department of Forestry (ODF) investigation report completely exonerated PacifiCorp, concluding that the lightning-caused Beachie Creek Fire alone caused the harm throughout the Santiam Canyon."

Pacificorp's legal team is strengthening one component of the appeal related to the initial trial with new evidence, which is fair game because it is relevant and was not reasonably discoverable with due diligence at trial . Also, it even really opens up the possibility to ask for a re-trial (opinion) if the appeal is unsuccessful.

As with any legal action, the Oregon Forestry report is important because it is material, rational, independent and competent. Are these characteristics still valued?

As far as fault, there was evidence of unusual activity at Pacificorp (apparently, compared to peers, inconsistent or absent de-energizing policy/action) but (at least when the rule of law is promoted and applied) there needs to be evidence between the fault and the (huge) damages (causation) that were incurred. Overall, the possibility of reasonable settlements over time seems to take form (opinion).

Thanks for that.  Normally appeals are limited to mistakes made by the trier of fact based solely on the evidence presented.  But again, I hope it leads to a swift settlement because it costs a lot of money to try years' worth of cases even if when you are successful.

[Spooky]

I was thinking about BHE building out energy infrastructure for the A.I. boom and wanted to share this image Gemini created. Let’s go.

[zzzyx]

LOL!

[gfp]

Another bit of progress on the settlement front ->

 

https://www.pacificorp.com/about/newsroom/news-releases/warren-allen-settlement.html

[gfp]

In case some missed it, Pacificorp has a plan to raise capital without piercing the corporate veil.  Selling its interest in an unfinished transmission line to a BHE subsidiary who can finance the completion of the line and lease the use of the line back to Pacificorp long-term.

 

https://www.oregonlive.com/environment/2025/12/pacificorp-wants-to-sell-its-share-of-300-mile-power-line-to-related-company.html

[gfp]

Its been pretty quiet lately but I did notice this proposal by Berkshire Hathaway Energy for a new LNG liquefaction facility in Brevard County Florida

 

https://marcellusdrilling.com/2026/01/chesapeake-berkshire-canaveral-fl-lng-plan-continues-to-advance/

 

https://floridapolitics.com/archives/776942-fueling-the-space-coast-with-liquified-natural-gas/

 

https://www.clickorlando.com/news/local/2026/01/28/im-horrified-more-merritt-island-neighbors-speak-against-proposed-lng-plant-near-homes/

Edited January 30 by gfp

[gfp]

Decently large asset sale announced at Pacifcorp - 

 

https://www.connectcre.com/stories/berkshire-owned-pacificorp-sells-wa-assets-to-portland-general-electric-for-1-9b/

[UK]

 

https://www.reuters.com/business/energy/berkshire-owned-pacificorp-citing-liquidity-sells-washington-assets-portland-2026-02-17/

 

Damages claims could total $52 billion, PacifiCorp has said, but would likely be lower. Trials could last into 2028. PacifiCorp has asked an Oregon state appeals court to undo a class action and eliminate liability for fire victims' emotional distress.

[gfp]

https://investor.ormat.com/news-events/news/news-details/2026/Ormat-Technologies-Announces-the-Signing-of-Geothermal-Portfolio-PPA-of-Up-to-150-MW-to-Support-Googles-Data-Center-Operations-Through-NV-Energy/default.aspx

[gfp]

https://www.insurancejournal.com/news/west/2026/02/23/859018.htm

 

Another big settlement ($575m) from PacifiCorp

 

*edit:  my understanding of these claims is that the US Government was seeking over $900m in damages FWIW

Edited February 23 by gfp

[Cigarbutt]

Positive development:

April 8 (Reuters) - An Oregon appeals court on Wednesday ruled in favor of PacifiCorp in litigation over a series of Oregon wildfires in 2020, saying a trial judge erred in letting the case against the Berkshire Hathaway-owned utility proceed as a class action.

The decision by the Oregon Court of Appeals in Salem could reduce PacifiCorp’s overall liability, which the utility has estimated could total tens of billions of dollars.

PacifiCorp has denied claims by thousands of Oregon residents and business owners who accused it of causing several wildfires by negligently failing to shut off power lines during a Labor Day weekend windstorm in 2020.

 

The appeals court said a trial judge overseeing the litigation erred in instructing jurors they could "assume that the evidence at the trial applies to all class members," and that the error was prejudicial to PacifiCorp.

Lawyers for fire victims did not immediately respond to requests for comment. PacifiCorp did not immediately respond to similar requests.

[DooDiligence]

https://www.reuters.com/sustainability/boards-policy-regulation/berkshire-unit-must-face-brokerage-commission-lawsuit-despite-250-million-2026-04-09/

[DooDiligence]

 

https://www.cnbc.com/2026/04/11/berkshire-electric-utilitys-court-win-could-save-it-billions.html