Climate Change and Utility Wildfire Risk: A Proposal for a Federal Backstop


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The co-author of a new report on the dangers of wildfires is calling for the federal government to create a fund to compensate electric utilities if their power lines start wildfires, the Los Angeles Times reports.

"They also pose severe financial risks to utilities and threaten the affordability of electricity rates, the implementation of state and federal clean energy policies, and the housing market in several Western states," says Michael Brune, who wrote the report for the Natural Resources Defense Council.

According to the Natural Resources Defense Council, wildfires started by electric utilities have caused more than $100 billion in damage in the West over the past few years.

In California alone, there were more than 8,000 wildfires in 2017 alone, according to the Times.

The Natural Resources Defense Council's proposal would create a federal Utility Wildfire Fund to compensate electric utilities if their power lines start wildfires, the Times reports.

According to the Natural Resources Defense Council, the proposal would create a voluntary multistate and federal safety program to apply parts of California's utility wildfire mitigation program.

"We then propose a voluntary multistate and federal safety program to apply parts of this mitigation framework across the West, with participation incentivized by the creation of a federal Utility Wildfire Fund, an insurance-like backstop mechanism, access to which is conditioned on

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