Diverse Suppliers Helping PG&E's Goal to Underground 10,000 Miles

By Tony Khing

More than a year ago, PG&E set the goal of undergrounding 10,000 miles of electric distribution lines within California, the largest effort in United States history to underground power lines as a way to reduce wildfire risk.

To accomplish this bold vision, PG&E is not only working with contractors who provide scale to support such a large effort, but also with diverse suppliers, who are often praised for their ingenuity.

Recently, PG&E partnered with BuildOut California, an organization that connects LGBT owned and certified businesses with companies such as PG&E, to play hosts to a networking event, “Let’s Go Underground,” for diverse suppliers. More than 200 enterprises met with PG&E officers and decision makers in San Francisco to talk about undergrounding project opportunities.

Paul Pendergast, one of the founders of BuildOut California, said the event was designed as a “high quality opportunity for ‘true’ connections to be developed.” He said most of the event was focused on networking between PG&E people involved in undergrounding, current Master Service Agreement holders and diverse suppliers who hold relevant specialty contractor licenses.

“This was a way for qualified LGBT, minority, women-owned, disabled veteran, persons with disabilities business enterprises, small businesses, and non-small business contractors to showcase their experience, capacity and qualifications,” said Pendergast.

A diverse supplier working with PG&E on the project is San Luis Obispo-based Radix Services, a full-service civil contractor specializing in undergrounding projects.

“We believe ‘Let’s Go Underground’ is the paramount project for California’s future,” said Radix co-founder Erica Beal. “The project tackles the hazards of climate change and sets the standard for how we serve our planet and protect our hometowns. It’s incredibly inspiring to play a small role in supporting such a bold and transformative initiative.

“A diverse supplier base allows PG&E to better serve our communities and deliver new and innovative solutions,” added Beal. “PG&E gets this and has consistently demonstrated a high commitment to growing its diverse supplier base.”

One area of supplier diversity PG&E wants to emphasize is having more LGBT suppliers. Actually, all utility companies want to increase involvement in that aspect.

“Many LGBT construction businesses haven’t been convinced of the business case when it comes to ‘stepping forward’ to self-identify,” said Pendergast. “We need to create and communicate the instances where LGBT businesses are winning meaningful and substantial work with PG&E and other utilities.

“Success in procurement programs with all utilities takes time, resources, tenacity, effective communication and a commitment to long-term success,” added Pendergast. “There are no short cuts. This is about moving at the speed of business and creating successes in the marketplace at all levels of the procurement pipeline.”

Beal said all diverse suppliers should consider being part of this project and working for PG&E in general.

“Radix, like so many other diverse suppliers, is purpose driven and wants to work for customers that believe in our larger mission,” she said. “PG&E leads with love and supports our social responsibility efforts. PG&E genuinely cares about diverse suppliers and increasing prosperity for all Californians.”