Texas sues utility company to recover damages from historic wildfire
sparked by downed power lines
[December 17, 2025]
By JIM VERTUNO
AUSTIN,
Texas (AP) — Texas has sued the utility company whose downed power lines
sparked the largest wildfire in state history, a deadly blaze that
destroyed homes and livestock and charred miles of landscape, causing
more than $1 billion in damage. |

Land charred by the Smokehouse Creek fire is seen, Feb. 29, 2024, in
Canadian, Texas. (AP Photo/David Erickson, File) |
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The lawsuit filed Tuesday by state Attorney General Ken Paxton
accuses Southwestern Public Service Company, which operates in
Texas as Xcel Energy, of negligence in its upkeep of aging
utility poles. It seeks to recover economic damages incurred by
the state and prevent the company from passing those costs on to
customers.
The Smokehouse Creek fire killed three people in 2024, burning
through more than 1,500 square miles (3,885 square kilometers)
in Texas before spilling into neighboring Oklahoma. Texas A&M
Forest Service investigators determined it was ignited when a
decayed utility pole snapped and fell, dropping Xcel power lines
onto dry grass.
The Minnesota-based company has acknowledged its equipment
appeared to have sparked the wildfire. But the lawsuit claims
the company had neglected to replace aging utility poles in the
windswept Panhandle, some of which were nearly 100 years old and
more than twice their typical lifespan of 40 years.
“Xcel’s blatant negligence killed three Texans and caused
unfathomable destruction in the Texas Panhandle,” Paxton said.
“The company made false representations about its safety
commitments and ignored warnings that its aging infrastructure
needed immediate repair and to be updated.”
The fatalities related to the fire included a woman who was
overtaken by flames after getting out of her truck, and another
woman whose remains were found in her burned home. A fire chief
in one of the hardest hit towns died while responding to a house
fire.
The company disputed Paxton's claims of negligence and noted it
had already accepted responsibility for equipment failure. Xcel
said it has already paid out more than $361 million to settle
212 of 254 claims.
“When the Attorney General’s office approached us earlier this
year requesting information, we worked with them in good faith
to try and find a consensus solution,” Xcel said in a statement.
"They chose to file litigation instead. We will review this
litigation and vigorously defend ourselves against these
allegations.”
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