EXHIBIT 11

PG&E CORPORATION

COMPUTATION OF EARNINGS PER COMMON SHARE

	Three Months Ended
	March 31,
(in millions, except share amounts)	2008		2007
Net income	$	224	$	256
Less: distributed earnings to common shareholders		139		126
Undistributed earnings	$	85	$	130
Common shareholders earnings
Basic
Distributed earnings to common shareholders	$	139	$	126
Undistributed earnings allocated to common shareholders		81		123
Total common shareholders earnings, basic	$	220	$	249
Diluted
Distributed earnings to common shareholders	$	139	$	126
Undistributed earnings allocated to common shareholders		81		123
Total common shareholders earnings, diluted	$	220	$	249
Weighted average common shares outstanding, basic		355		349
9.50% Convertible Subordinated Notes		19		19
Weighted average common shares outstanding and participating securities, basic		374		368
Weighted average common shares outstanding, basic		355		349
Employee share-based compensation		1		2
Weighted average common shares outstanding, diluted		356		351
9.50% Convertible Subordinated Notes		19		19
Weighted average common shares outstanding and participating securities, diluted		375		370
Net earnings per common share, basic
Distributed earnings, basic(1)	$	0.39	$	0.36
Undistributed earnings, basic		0.23		0.35
Total	$	0.62	$	0.71
Net earnings per common share, diluted
Distributed earnings, diluted	$	0.39	$	0.36
Undistributed earnings, diluted		0.23		0.35
Total	$	0.62	$	0.71
(1) Distributed earnings, basic may differ from actual per share amounts paid as dividends, as the EPS computation under GAAP requires the use of the weighted average, rather than the actual number of, shares outstanding.