Bay Area/ San Francisco

San Francisco Businesses Face Major Losses After PG&E Power Outage During Holiday Rush

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Published on December 23, 2025
San Francisco Businesses Face Major Losses After PG&E Power Outage During Holiday RushSource: Rodion Kutsaiev on Unsplash

As San Francisco's businesses were gearing up for the holiday rush, a PG&E power outage has left them reeling from significant financial hits. On one of the year's busiest weekends for local enterprises, an outage caused by a substation fire resulted in losses and food spoilage that Mayor Daniel Lurie has deemed to potentially be in excess of "tens and tens of millions of dollars." According to the San Francisco Chronicle, businesses, particularly restaurants and retail shops, found themselves scrambling to mitigate the damage and recover from the lost activity.

While PG&E has acknowledged the severity of the outage and has pledged to simplify the claims process for the affected customers, the actual toll on each business's ledgers is still being assessed. Pacific Gas and Electric Co. CEO Sumeet Singh told the San Francisco Chronicle they are "committed to ensuring that we’re doing right by them," emphasizing their goal to leave no customer behind quickly. Several businesses, however, have expressed skepticism regarding adequate compensation. Jeannie Kim, the owner of Sams American Eatery, lamented what was supposed to be the "biggest season of the year" in a statement, per The SF Standard, which has now turned into an ongoing financial debacle.

Despite partial relief efforts in the form of automatic credits announced by PG&E, small business owners fear that the long-term repercussions could reverberate beyond immediate losses. Evan Rich of Rich Table articulated to The SF Standard the frustration felt by many: "We can’t dwell on it, but the most frustrating part was that it was totally out of our hands and control." This sentiment was echoed by a chorus of other business owners, who faced a tough recovery road ahead.

With power restoration timelines repeatedly being pushed back, there's a shared sentiment of unpredictability and unease among property owners. This has led to a crisis that will not be easily forgotten, especially as Mayor Lurie and Supervisor Alan Wong work to champion the plight of affected businesses and push for an investigation into the cause of the outage, as reported by the San Francisco Chronicle. District 4 Supervisor Wong, following a visit to BBQ King, highlighted the imperative need for compensation, emphasizing how such unexpected closures are particularly brutal for San Francisco eateries. Local restaurants are now faced with the daunting task of gathering documentation and filing claims in the hopes that PG&E's process lives up to its expedited promise.