Southern California Edison (SCE) has agreed to a significant settlement of $82.5 million to resolve claims related to the 2020 Bobcat Fire, one of the largest wildfires in California’s history. The fire, which burned through 178 square miles of the San Gabriel Mountains, destroyed homes, caused massive environmental damage, and forced the evacuation of thousands of residents in the foothills of Los Angeles County. The settlement, which was announced on May 20, 2025, was reached after months of legal proceedings and accusations that SCE’s power lines were responsible for sparking the blaze.
According to the U.S. government’s lawsuit, the Bobcat Fire started when high winds caused tree branches to come into contact with SCE’s power lines. The utility, which has faced multiple legal challenges over the years due to its role in causing wildfires, had been accused of failing to adequately maintain its power lines and equipment in the fire-prone areas of Southern California. The fire led to the closure of multiple campgrounds, hiking trails, and impacted local wildlife habitats.
The settlement represents a major financial commitment by SCE to resolve the federal claims related to the fire. The funds will be used for environmental restoration and wildlife recovery efforts in the areas affected by the blaze. The U.S. Forest Service, which oversees the land impacted by the fire, will receive the settlement money to help rebuild critical infrastructure, restore ecosystems, and improve forest resilience against future wildfires.
“This settlement is a step toward holding utility companies accountable for their role in the destruction caused by wildfires,” said U.S. Attorney General Xavier Becerra in a statement. “We will continue to seek accountability and take action to protect the environment and communities from the devastating impact of climate change and corporate negligence.”
SCE did not admit liability in the settlement, but the company acknowledged that it would continue to invest in wildfire prevention measures, including improved maintenance of power lines, the installation of fire-resistant equipment, and enhanced vegetation management efforts. These measures come in response to California’s increasing vulnerability to wildfires, which have been exacerbated by prolonged droughts, rising temperatures, and climate change.
The settlement is part of a broader effort by California’s utilities to address the growing wildfire threat. In recent years, utilities have faced intense scrutiny for their role in causing fires, especially after devastating incidents like the 2018 Camp Fire, which was blamed on faulty PG&E equipment. As part of its wildfire mitigation plan, SCE has committed to enhancing its infrastructure and working more closely with local governments and fire agencies to reduce fire risks.
While the settlement is seen as a victory for environmental and community advocates, some residents affected by the fire argue that the compensation is not enough to fully address the losses they endured. Many homeowners, whose properties were destroyed in the fire, are still seeking compensation for the emotional and financial toll the disaster took on their lives.
The Bobcat Fire settlement is one of several recent agreements made by California utilities in the wake of devastating wildfires. As the state continues to grapple with the realities of a hotter, drier climate, the focus on preventing and mitigating wildfire damage will likely remain a top priority for both government officials and utility companies.
