Exhibit 12.1
Pacific Gas and Electric Company
Computation of Ratios of Earnings to Fixed Charges
			Three Months Ended September 30,			Year Ended December 31,
(dollars in millions)			2004			2003			2002		2001		2000		1999
Earnings (1)
	Pre-tax income (loss) from continuing operations		$	400		$	1,451		$	2,997	$	1,611	$	(5,637)	$	1,436
Add:
	Fixed Charges		147			964			1,029		1,019		648		637
Less:
	Preferred dividend requirements of subsidiaries		-			-			-		-		-		-
	Total Earnings (Loss)		$	547		$	2,415		$	4,026	$	2,630	$	(4,989)	$	2,073
Fixed Charges (2)
	Interest expense, net, including amortization of
	debt issue costs, premiums and discounts		$	141		$	939		$	990	$	976	$	609	$	595
	AFUDC Debt		2			16			21		12		6		7
	Estimate of interest expense within rents		4			9			8		7		9		11
	Preferred dividend requirements of subsidiaries		-			-			-		-		-		-
	Preferred security requirements of wholly-owned trust		-			-			10		24		24		24
	Total Fixed Charges		$		147	$		964	$	1,029	$	1,019	$	648	$	637
Ratio of Earnings (Loss) to Fixed Charges (3)			3.72			2.51			3.91		2.58		(7.70)		3.25
(1)		For purposes of computing the ratio of earnings to fixed charges, "earnings" represents pre-tax income from continuing operations adjusted for minority interest in consolidated subsidiaries and equity in income or loss from subsidiaries accounted for using the equity method plus fixed charges, as computed, less the pre-tax earnings required to cover the preferred dividend requirements of subsidiaries.
(2)		"Fixed charges" include interest, including amortization of debt issue costs, premiums and discounts, the debt portion of the allowance for funds used during construction, an estimate of the amount of interest within rents, and the preferred security requirements of consolidated subsidiaries.
(3)		The ratio of earnings to fixed charges for the year 2000 indicates a ratio of less than one-to-one. The dollar amount of the deficiency is approximately $5.6 billion.