Corporate Responsibility and Sustainability Report 2022

Our Approach

The state set a goal for 250,000 charging stations by 2025, including 10,000 fast chargers and 200 hydrogen fueling stations. The CEC projected a need for up to 1.2 million charging stations by 2030 to meet the state’s 2035 goals. As of 2021, California had over 78,000 chargers across the state, including more than 7,000 fast chargers, according to the California Energy Commission.

California’s Goals ^{Footnote 1}

• 100% sales of light-duty ZEV by 2035
• 100% medium- and heavy-duty ZEVs in operation by 2045
• 100% off-road ZEVs and equipment in operation by 2035

• 1. As laid out in Executive Order N-79-20 and reinforced in the state’s latest plan to achieve carbon neutrality by 2045; ZEV refers to zero emission vehicles.¹

Unleashing the Full Potential of Electric Vehicles

Through our EV Fleet program, PG&E is helping school districts in our service area as they transition to electric buses, supporting cleaner air, lower maintenance costs, and quieter rides.

Customer Programs and Pilots

• EV Charge Network installed Level 2 charging ports throughout PG&E’s service area at multi-unit dwellings and workplaces. PG&E paid for the infrastructure to supply electricity to each EV parking space, and for a portion of the charging equipment. This program is now completed.
• EV Fleet, a $236 million program, expands PG&E’s charging infrastructure programs to medium- and heavy-duty fleets. The program aims to install or rebate make-ready electrical infrastructure to support the adoption of 6,500 medium- and heavy-duty EVs. PG&E has committed that at least 25% of its infrastructure budget will be invested in disadvantaged communities.
• EV Fast Charge enables public fast charging—with PG&E paying for and building the infrastructure from the electric grid to the charging equipment for public fast chargers, complementing state and privately-funded initiatives. The $22 million program runs through 2025 and aims to install 30 to 40 sites for DC fast charging in corridor and urban sites. At least 25% of sites are planned to be located in or adjacent (within 5 miles) to disadvantaged communities and will receive additional incentives.
• EV Schools and Parks will invest approximately $12 million over two years in charging infrastructure at an estimated 22 schools and 15 state parks. At least 25% of the state park project sites and 40% of the school project sites will be focused on disadvantaged communities.
• Empower EV supports targeted community outreach to provide EV education and rebates for EV chargers, charger installation, and panel upgrades for income-qualified residential customers. The program will total $4 million over two years and aims to serve up to 2,000 households.

We also participate in California’s Low Carbon Fuel Standard (LCFS) program, which aims to lower the carbon impact of California’s transportation fuels by 20% by 2030. PG&E earns credits for supplying low-carbon fuel in the form of electricity and compressed natural gas for vehicles and uses the revenue from the sale of LCFS credits to fund customer programs. As part of the LCFS, the statewide California Clean Fuel Reward program was launched in 2020, which provides a point-of-purchase incentive for new EVs.

Our Vehicle Fleet

We are committed to exceeding federal and state vehicle emissions and alternative fuel requirements. We comply with federal regulations requiring that 90% of all light-duty vehicles purchased for our fleet are capable of using an alternative fuel—such as electricity or compressed natural gas—provided that the technology is commercially available.

To comply with California’s on-road diesel vehicle regulations, all of PG&E’s medium- and heavy-duty diesel vehicles met or exceeded 2007 standards for particulate levels by the end of 2016, and all vehicles in our fleet met 2010 standards for nitrogen oxide emissions by the end of 2018, five years ahead of the 2023 CARB regulatory requirement.

2021 Milestones

Enabling Access to Charging Infrastructure

• Completed construction of new charging stations under the EV Charge Network program—successfully installed 4,827 ports at workplaces and multi-family dwellings, with 39% of the units located in disadvantaged communities.
• Implemented the EV Fleet and EV Fast Charge programs—completing construction of 30 sites and 5 sites, respectively. Through our EV Fleet program, PG&E is helping school districts as they transition to electric buses, supporting cleaner air, lower maintenance costs, and quieter rides, including Clovis Unified School District in the Central Valley and Red Bluff Joint Union High School District in the North Valley. The first public EV fast chargers installed through the EV Fast Charge program opened at a 7-Eleven store in West Sacramento.
• Proposed EV Charge 2, a $276 million program that builds on PG&E's EV Charge Network and EV Fast Charge programs by supporting infrastructure installation for 16,000 additional Level 2 and DC Fast Charging ports. The program aims to support multi-family housing residents with onsite, workplace, and public destination charging options.
• Expanded the ChargeForward program with the BMW Group, focused on smart charging EVs with excess renewable energy to support grid reliability. We kicked off phase three of the program, targeting BMW EV drivers who are PG&E residential electric customers. Designed for about 3,000 EV drivers—compared to 100 and 400 in phases one and two—the pilot explores how incentivizing drivers to shift their EV charging times can help meet the needs of the grid and use excess renewable energy available during the day. Separately, we plan to collaborate with the BMW Group in a lab setting to explore the future potential of vehicle-to-grid technologies and functionalities.

Reducing Total Cost of Ownership

• Received approval for five new LCFS-funded programs and pilots, which are scheduled to launch in 2022:
  • Rebate for purchasing a pre-owned EV
  • Charger direct install pilot for multifamily housing and small businesses
  • Education and rebates for installing charging stations at residences without requiring panel upgrades
  • Resilient charging pilot for EV drivers in HFTDs and PSPS-impacted areas
  • Research and innovation fund to support small-scale studies to investigate new technologies and support future EV program development
• Continued to support the California Clean Fuel Reward program with CARB as part of a California utility working group. The program, which has issued about 200,000 rewards since its inception, reduces the upfront price of EVs by offering a point-of-sale rebate of up to $750 based on battery size. The program is available throughout the state and is co-funded by California utilities using LCFS proceeds.
• Offered commercial EV customers a Business EV (BEV) Rate with nearly 80 sites enrolled through 2021, including workplaces, fleets, and public fast charging sites. PG&E also gained CPUC approval to launch an optional day-ahead hourly real-time rate for non-residential EV customers, targeted for launch in 2023.

Innovation, R&D, and Vehicle-to-Grid Integration

• Proposed Vehicle-Grid Integration pilot programs involving residential and commercial customers, local microgrids, and school districts. The pilots focus on enabling large-scale customer adoption of bidirectional charging technology by providing financial incentives to customers, with added benefits to those located in disadvantaged communities. The programs will evaluate the cost-effectiveness of bidirectional charging technology in various grid-supporting applications such as renewable energy integration, deferral of distribution upgrades, and customer resilience during grid outages.

Greening Our Vehicle Fleet

Last year, PG&E invested in a number of new vehicles and technologies to further green our fleet. Among other efforts, we:

• Purchased a combination of Freightliner MT50e EV box vans, Ford F-150 Lightning EVs, and Chevrolet Silverado EVs.
• Promoted coworker electric vehicle adoption by installing chargers for coworker and PG&E-owned vehicles, reaching a total of 1,338 charge points at 118 locations across our service area.
• Integrated driver feedback technology by installing telematics in nearly 9,000 vehicles and pieces of equipment through 2021. In-cab alerts enabled on most of these vehicles can indicate hard braking, hard acceleration, exceeding the speed limit, and other actions that help promote safe driving behavior and fuel efficiency.
• Continued rolling out renewable diesel to every practical PG&E-owned fueling tank, using 3.4 million gallons of renewable diesel in our conventional vehicles in 2021 and reducing the associated carbon emissions.

Measuring Progress

The number of EVs in operation in PG&E’s service area reached over 300,000 in 2021, showing a significant rebound from the marked drop in registrations the prior year due to the COVID-19 pandemic. PG&E estimates that approximately 15% of new vehicles sold in 2021 in PG&E’s service area were electric.

Plug-In Electric Vehicles in PG&E’s Service Area ^{Footnote 1}

Approximate Number of EVs ^{Footnote 2}

Residential Electric Vehicle Rate Enrollment in PG&E’s Service Area

EV Rate Enrollments ^{Footnote 3}

Non-Residential Electric Vehicle Rate Enrollment in PG&E’s Service Area

EV Rate Cumulative Enrollments ^{Footnote 4}

• 1. Source: Electric Power Research Institute, based on external registration data, through December 2021.¹
• 2. These figures have been updated to represent EVs in operation instead of cumulative registrations as previously reported.²
• 3. Includes enrollments in all residential electric vehicle rate plans (EV-A, EV2-A, and EV-B).³
• 4. Includes enrollments in non-residential electric vehicle rate plans (BEV-1 and BEV-2).⁴

Across our vehicle fleet, PG&E managed approximately 13,900 on-road vehicles and related equipment at the end of 2021. Of those, about 1,200 were electric-based and more than 50 were powered by compressed natural gas (CNG). We also have a network of fleet and coworker electric charging stations with 1,338 charge points at 118 locations across our service area.

We also maintain a network of 32 CNG vehicle refueling facilities, 22 of which are open to customers. PG&E uses our expertise to help commercial customers take advantage of this relatively low-emitting domestic alternative fuel in their own fleets.

Fuel Use Statistics

PG&E uses petroleum and renewable diesel to power many of the vehicles in our fleet. The following chart shows PG&E’s fuel usage over the past three years.

Through our network of CNG vehicle refueling facilities open to customers, we refueled about 1,500 vehicles and fleets with about 900,000 gallons of gasoline equivalents in 2021. In 2019, PG&E began a three-year pilot to procure renewable natural gas (RNG) for our CNG vehicle customers. RNG is a lower carbon intensity fuel compared to CNG and results in greater greenhouse gas emission reductions than CNG as a replacement fuel for diesel.

• 1. Based on PG&E’s reported data to the CARB.¹