"Pacific Gas and Electric Co. suggested to managers before the San Bruno pipeline explosion that downgrading more than 2,300 natural-gas leaks - and potentially not fixing them - would save the company nearly $5 million, according to an internal document obtained by The Chronicle."

"A March 2008 summary of potentially serious leaks in PG&E's distribution system in Northern and Central California - part of a leak database for engineers and managers of the company's regional divisions - detailed how costs could be avoided by downgrading leaks to a level where they only had to be monitored.

PG&E classifies pipeline leaks in three categories, with Grade 1 being the most serious and requiring immediate action, and Grade 3 needing only monitoring to ensure a problem does not worsen. The leaks dealt with in the monthly accounting were Grade 2 and Grade 2-plus, which are supposed to be repaired within three to 18 months, depending on their severity."

Jaxon Van Derbeken reports for the San Francisco Chronicle July 16, 2012. [2]