By Kimberly Hayek
Southern California Edison (SCE) is offering to directly pay victims of the Eaton Fire, the company said on July 23.
The offer comes amid dozens of lawsuits filed against the utility company after videos surfaced showing a blaze igniting under one of its transmission lines on Jan. 7, the day the fire broke out.
The company’s Wildfire Recovery Compensation Program will cover owner and renter claims on total and partial structure loss, commercial property loss, business interruption, those harmed from smoke and ash, as well as those who suffered physical injuries, and family members of those killed in the fire. Those eligible also include renters and victims who held insurance policies.
“Even though the details of how the Eaton Fire started are still being evaluated, SCE will offer an expedited process to pay and resolve claims fairly and promptly,” Pedro Pizarro, CEO of Edison International, SCE’s parent company, said in a statement on July 23. “This allows the community to focus more on recovery instead of lengthy, expensive litigation.”
SCE spokesman David Eisenhauer told The Epoch Times that being a part of the lawsuits would not affect eligibility for direct compensation through the new program, though details are still being worked out.
The Eaton Fire killed 19 people and burned down over 9,400 homes and buildings in the Altadena area of Los Angeles in January. The cause of the fire is still under investigation. The latest remains were discovered earlier this week.
“This program will help eligible community members recover and rebuild faster,” Eisenhauer said.
The utility will begin accepting applications for the program, which is voluntary, in the fall. There will be no application, administrative, or legal fees. Details, including eligibility requirements, are still being developed, Eisenhauer said.
SCE is developing the program with consultants Kenneth Feinberg and Camille Biros, who worked on the September 11th Victim Compensation Fund of 2001.
“The goal for SCE’s Wildfire Recovery Compensation Program is to model the program after several successful direct claims programs we have designed,” said Feinberg. “These programs can quickly and fairly compensate individuals and businesses that have experienced losses resulting from these tragic events.”
The program, which the utility expects to remain active through 2026, said it will release more information before the program launches, such as eligibility, documentation, and residency verification requirements.
SCE also plans to consult with stakeholders, such as plaintiff attorneys and elected representatives, before finalizing the terms of the program.
“The architecture and timing of the SCE direct claims program will be instrumental in efficiently managing funding resources, mitigating interest costs and minimizing inflationary pressures so funds can address actual claims and fairly compensate community members for their losses,” Pizarro said.
No official determination of the Eaton Fire’s cause has been released by the California Department of Forestry and Fire Protection (Cal Fire) or the Los Angeles County Fire Department.
SCE reported to the California Public Utilities Commission (CPUC) that a fault was detected on its Eagle Rock-Gould transmission line, about 5 miles from where the Eaton Fire began, at about 6:11 p.m., around when the fire began.
On Feb. 6, 2025, SCE wrote a letter to the CPUC noting that photographic evidence of an idle Mesa-Sylmar transmission line showed potential arcing and damage on grounding equipment, prompting further investigation.
Los Angeles County, along with the cities of Pasadena and Sierra Madre, filed lawsuits against SCE on March 5.
