By Katherine Blunt
The City of San Francisco on Sunday said it has offered $2.5 billion to acquire PG&E Corp.'s electrical lines serving the city.
The offer is a significant step in San Francisco's effort to create a public utility that would change the fundamental structure of PG&E by removing hundreds of thousands of customers from the giant utility's service territory.
The city began exploring the possibility of a public takeover after PG&E sought chapter 11 bankruptcy protection in January, citing more than $30 billion in potential liability costs stemming from its role in sparking a series of deadly wildfires in 2017 and 2018.
City officials said they believed the bid was "competitive, fair and equitable." PG&E said it would engage with the offer.
Write to Katherine Blunt at Katherine.Blunt@wsj.com