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Texas Sues Xcel Energy Over Smokehouse Creek Fire, Seeking More Than $1 Billion

The filing asks the court for penalties, mandated upgrades, plus a ban on customer pass‑throughs.

Overview

  • Attorney General Ken Paxton filed the civil case in Hemphill County against Southwestern Public Service Company, which operates as Xcel Energy in Texas.
  • State investigators concluded the 2024 Smokehouse Creek Fire began when a decayed utility pole snapped, dropping power lines onto dry grass during extreme conditions.
  • The lawsuit alleges Xcel neglected aging infrastructure in the Panhandle, including poles reportedly nearing 100 years old, and says one defective pole was flagged weeks before the fire but not replaced.
  • Xcel says its equipment appeared to be involved in the ignition but disputes negligence claims, reporting about $361 million paid to settle 212 of 254 private claims and vowing a vigorous defense.
  • Texas is also seeking civil penalties under the Public Utility Regulation Act and injunctive relief to force system upgrades, following legislative actions this year expanding state inspection authority over power lines.