SECURITIES AND EXCHANGE COMMISSION

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549


FORM 8-K

CURRENT REPORT

Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934

Date of Report: December 4, 2002


Commission File Number	Exact Name of Registrant as specified in its charter	State or other Jurisdiction of Incorporation	IRS Employer Identification Number
_____________	_____________	_____________	_____________
1-12609 1-2348	PG&E Corporation Pacific Gas and Electric Company	California California	94-3234914 94-0742640

Pacific Gas and Electric Company 77 Beale Street, P. O. Box 770000 San Francisco, California 94177		PG&E Corporation One Market, Spear Tower, Suite 2400 San Francisco, California 94105

(Address of principal executive offices) (Zip Code)

Pacific Gas and Electric Company (415) 973-7000		PG&E Corporation (415) 267-7000

(Registrant's telephone number, including area code)

Item 5. Other Events

A. Pacific Gas and Electric Company’s 2002 Attrition Revenue Adjustment

On December 3, 2002, an administrative law judge (ALJ) of the California Public Utilities Commission (CPUC) issued a draft decision proposing to deny Pacific Gas and Electric Company’s (Utility) request for a 2002 attrition revenue adjustment The Utility has requested an annual increase of $76.7 million to its electric distribution revenue requirement and an annual increase of $19.5 million to its gas distribution revenue requirement to allow for recovery of its capital investments and escalating costs of providing electric and gas distribution services in 2002.

The ALJ’s draft decision states that the Utility’s “recorded numbers are too stale and the escalation rates too uncertain to sustain a finding increasing rates” and that any increase in rates would require a general rate case.

Comments on the draft decision are due December 23, 2002. When the CPUC acts on the draft decision, it may adopt all or part of it as written, amend or modify it, or set it aside and prepare its own decision.

Neither PG&E Corporation nor the Utility can predict the outcome of this matter.

B. Pacific Gas and Electric Company Bankruptcy - Monthly Operating Report

On December 2, 2002, the Utility filed its monthly operating report for the month ended October 31, 2002 with the U.S. Bankruptcy Court for the Northern District of California. The Utility's monthly operating report includes an unaudited income statement for the month and an unaudited balance sheet dated as of the end of the month. These unaudited financial statements are attached as Exhibit 99 to this report. Although not included in Exhibit 99, the monthly operating report also includes a statement of receipts and disbursements, as well as other information. The preliminary financial statements were prepared using certain assumptions and estimates that are subject to revision. Any adjustments for these estimates (based upon changes in facts and circumstances, further analysis, and other factors) will be reflected in the financial statements in the period during which such adjustments are made. These adjustments could have a material impact on reported results in the future.

Item 7. Financial Statements, Pro Forma Financial Information, and Exhibits

Exhibit 99 - Pacific Gas and Electric Company Income Statement for the month ended October 31, 2002, and Balance Sheet dated October 31, 2002.

SIGNATURE

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrants have duly caused this report to be signed on their behalf by the undersigned thereunto duly authorized.

	PG&E CORPORATION
	By: CHRISTOPHER P. JOHNS

	CHRISTOPHER P. JOHNS Senior Vice President and Controller

	PACIFIC GAS AND ELECTRIC COMPANY
	By: LINDA Y.H. CHENG

	LINDA Y.H.CHENG Corporate Secretary

Dated: December 4, 2002

Exhibit 99
PACIFIC GAS AND ELECTRIC COMPANY
U.S. TRUSTEE BALANCE SHEET
AS OF OCTOBER 31, 2002
(in millions, except share amounts)

			October, 2002
ASSETS
Current Assets
	Cash and cash equivalents		$ 3,990
	Accounts receivable:
		Customers (net of allowance for doubtful accounts of $56 million)	1,795
		Related parties	33
		Regulatory balancing accounts	195
	Inventories:
		Gas stored underground and fuel oil	192
		Materials and supplies	120
	Prepaid expenses and other		81
	Total current assets		6,406

Property, Plant, and Equipment
	Electric		18,816
	Gas		8,050
	Construction work in progress		394
	Total property, plant, and equipment (at original cost)		27,260
	Accumulated depreciation and decommissioning		(13,372)
Net property, plant, and equipment			13,888

Other Noncurrent Assets
	Regulatory assets		2,008
	Nuclear decommissioning trust funds		1,276
	Other		1,809
	Total noncurrent assets		5,093
TOTAL ASSETS			$ 25,387

LIABILITIES AND EQUITY
Liabilities
	Accounts payable
		Trade creditors	$ 429
		Related parties	90
		Regulatory Balancing Accounts	477
		Other	214
	Accrued taxes		710
	Rate reduction bonds		1,473
	QUID's		- -
	Deferred income taxes		1,191
	Deferred tax credits		145
	Pre-petition secured debt		3,108
	Pre-petition liabilities		3,795
	Pre-petition financing debt		5,663
	Other liabilities		3,368
	Total liabilities		20,663

Preferred Stock With Mandatory Redemption Provisions			137

Stockholders' Equity
	Preferred stock without mandatory redemption provisions
		Nonredeemable--5% to 6%, outstanding 5,784,825 shares	145
		Redeemable--4.36% to 7.04%, outstanding 5,973,456 shares	149
	Common stock, $5 par value, authorized 800,000,000 shares;
		issued 321,314,760 shares	1,606
	Additional paid in capital		1,964
	Reinvested earnings (Accumulated deficit)		723
	Total stockholders' equity		4,587

TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY			$ 25,387

___________________________________________________________________________________________

PACIFIC GAS AND ELECTRIC COMPANY
U.S. TRUSTEE BALANCE SHEET
AS OF OCTOBER 31, 2002

Notes

1		These unaudited financial statements are prepared for the U.S. Trustee and differ from the requirements of generally accepted accounting principles in that they exclude certain financial statements (statements of cash flows, stockholders equity, and other comprehensive income), relevant footnotes and certain reclassifications.

2		These unaudited financial statements were prepared using certain assumptions and estimates. These assumptions and estimates are subject to revision. Further, the amounts shown in this statement, when reported on a quarterly basis, may differ materially due to adjustments in accruals, changes in facts and circumstances, changes in estimates, further analysis, and other factors.

3		Cash and cash equivalents have been reduced for uncleared checks. On the balance sheet included with the Utility's Annual Report, Form 10-K and 10-Q, uncleared checks are treated as an accounts payable liability.

_______________________________________________________________________________________________

PACIFIC GAS AND ELECTRIC COMPANY
U.S. TRUSTEE INCOME STATEMENT
FOR THE MONTH ENDED OCTOBER 31, 2002
AND THE NINETEEN MONTHS ENDED OCTOBER 31, 2002
(in millions)
		Case to date
	Month	nineteen months
	ended	ended
	October 31, 2002	October 31, 2002
OPERATING REVENUES	$ 969	$ 16,985

OPERATING EXPENSES:
Cost of Electric Energy	187	1,555
Cost of Gas	59	1,641
Operating and Maintenance	258	4,477
Depreciation, Decommissioning, and Amortization	102	1,641
Total Operating Expenses	606	9,314

OPERATING INCOME (LOSS)	363	7,671

Interest Income (Expense)	(69)	(1,437)
Professional Fees	(4)	(48)
Other Income and (Expense)	0	(13)

PRE-TAX INCOME (LOSS)	290	6,173

Income Taxes	118	2,399

EARNINGS (LOSS)	172	3,774

Preferred Dividend Requirement	2	40

EARNINGS (LOSS) AVAILABLE FOR (ALLOCATED TO) COMMON STOCK	$ 170	$ 3,734

_______________________________________________________________________________________________

PACIFIC GAS AND ELECTRIC COMPANY
U.S. TRUSTEE INCOME STATEMENT
FOR THE MONTH ENDED OCTOBER 31, 2002
AND THE NINETEEN MONTHS ENDED OCTOBER 31, 2002


Notes

1		These unaudited financial statements are prepared for the U.S. Trustee and differ from the requirements of generally accepted accounting principles in that they exclude certain financial statements (statements of cash flows, stockholders equity, and other comprehensive income), relevant footnotes and certain reclassifications.

2		These unaudited financial statements were prepared using certain assumptions and estimates. These assumptions and estimates are subject to revision. Further, the amounts shown in this statement, when reported on a quarterly basis, may differ materially due to adjustments in accruals, changes in facts and circumstances, changes in estimates, further analysis, and other factors.

		The results for the month of October 2002 are not indicative of future earnings. Future earnings could differ materially.

3		These unaudited financial statements were prepared using certain assumptions and estimates, including the estimated amount payable to the California Department of Water Resources (DWR). The estimated amount recorded is subject to revision and actual results could differ materially. Revenues collected on behalf of the DWR and the related costs are not reflected in these unaudited financial statements as Pacific Gas and Electric Company is a collection agent for the DWR.

4		Case to date results reflect the entire nineteen month period ended October 31, 2002. The bankruptcy petition date is April 6, 2001.