PG&E Focused on Achieving State Goal for LGBTQ+ Supplier Spending

(Pictured left to right) Natane Rogers (SR Diversified), Shawn Adderly (PG&E), Yvette Love (PG&E), Lora Jones (One Source) and Alejandro Serrudo (PG&E).

California has set several goals for its utilities aimed at continuously improving the diversity of their suppliers. One of those goals is to have 1.5% of supplier diversity dollars spent with LGBTQ+ business enterprises (LGBTBE), starting in 2024.

PG&E is working to hit that number and is encouraging LGBTBEs to jump in.

Last year, PG&E’s spending with LGBTBEs totaled $7.5 million, just 0.06% of the company’s record-setting diverse supplier spend of $4.79 billion.

Among the company’s outreach efforts, PG&E attends numerous networking events throughout the year, such as the recent Buildout California’s 2023 Founders Day, billed as “the world’s largest gathering of LGBTBE/Allied businesses and professionals in architecture, engineering and construction.”

It also offers a host of supplier diversity tools and development opportunities.  

Challenges and barriers

However, adding more LGBTBEs is a challenge. “There aren’t that many who work in the utility industry,” said PG&E Supply Chain Responsibility Principal Alejandro Serrudo.

Other barriers may be discouraging participation as well.

“There may be unconscious biases or a lack of understanding about the value diverse suppliers bring,” said Andrew Yoshimura, director of operations for Pride Resource Partners, a San Diego LGBTBE-owned project management consulting firm. “This can result in LGBTBEs feeling unwelcomed or undervalued.”

For a diverse supplier to be considered by PG&E or any utility, they must register with the company and develop a relationship with decision makers.

“The procurement process can be daunting and not easily accessible or clear, especially for smaller businesses,” said Yoshimura.

“It takes time, effort, tenacity and constant communication to establish a connection,” said Laner Electric Supply CEO Sandra Escalante, whose business is in Richmond. “A lot of businesses are unable to invest their time and effort to do so.”

Linda Tripp, a director in PG&E’s Undergrounding Program, stressed the importance of having LGBTBEs attend events like Buildout California. “It’s important for smaller businesses to network and have us help them succeed,” said Tripp. “It helps with overall supplier sustainability and ensures new resources are coming into the marketplace.”

How to work with PG&E’s supply chain

LGBTBEs are encouraged to learn more about PG&E’s supplier opportunities.

“Finding an opportunity to work closely with companies like PG&E who have excellent supplier support and a supplier diversity program greatly improves success in utility contracts,” said Cameron Hale, president of Alvah Group, Inc., a Concord diverse business working with PG&E on overhead and underground electric distribution.

“Don’t be afraid to put your ideas forward, ask for advice and be persistent,” said Yoshimura. “PG&E values diversity not just in their supply chain, but also in thought and perspective.”