FORM 8-K





               SECURITIES AND EXCHANGE COMMISSION



                     Washington, D.C.  20549

                         CURRENT REPORT


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



Date of Report . . . . . . . June 16, 1994 . . . . . . . . . . .



     . . . . . . . . . . .PECO ENERGY COMPANY. . . . . . . . . .
     (Exact name of registrant as specified in its charter)



. . . PENNSYLVANIA . . . . . . 1-1401. . . . . . . 23-0970240 . .
(State or other jurisdiction  (Commission           (IRS Employer
   or incorporation)           file number)         Identification
                                                        Number)





 230l Market Street, Philadelphia, Pennsylvania . . .19101. . . .
 (Address of principal executive offices)          (Zip Code)




Registrant's telephone number, including area code: (215) 841-4000

ITEM 5. OTHER EVENTS 
- --------------------
On June 15, 1994, Public Service Electric and Gas Company, operator
and owner of 42.59% of the Salem Nuclear Generating Station (of
which the Company owns 42.59%), filed the following Form 8-K with
the SEC.


"ITEM 5. OTHER EVENTS 
- ---------------------
     The following information updates certain matters previously
reported to the Securities and Exchange Commission under Item 1 -
Business of Part I of the Annual Reports on Form 10-K for 1993 and
Part II of the Reports on Form 10-Q for the quarter ended March 31,
1994, of Public Service Electric and Gas Company (PSE&G) and its
parent, Public Service Enterprise Group Incorporated (Enterprise).

NUCLEAR OPERATIONS
- ------------------
     As previously reported, Salem Nuclear Generating Station, Unit
1 (Salem 1) experienced an automatic reactor shutdown on April 7,
1994 due to excessive grass from the Delaware River clogging the
station's water intake structure.  Subsequent to the shutdown a
precautionary Alert was declared at 1:16 p.m. and this emergency
classification was terminated at 8:20 p.m.  No abnormal release of
radiation to the environment occurred during the event and there
was no threat to the public health and safety.  Salem 1 remained
out of service while PSE&G and the Nuclear Regulatory Commission
(NRC) investigated the event and PSE&G implemented remedial actions
required to be completed prior to returning the unit to service.

     On April 7, 1994 the NRC sent an augmented inspection team
(AIT) to Salem to investigate the event.  The AIT completed its on-
site investigation on April 15, 1994 and presented its preliminary
findings at a public meeting held at the station site on April 26,
1994.  The AIT concluded that the event had challenged the reactor
coolant system pressure boundary, that operator error had occurred
which complicated the event, that management had allowed equipment
problems to exist which made operations difficult for plant
operators, and that some equipment was degraded by the event, but
overall the plant performed as designed. The AIT further concluded
that operator use of the emergency operating procedures was good
and that investigation and trouble-shooting efforts were good. 
PSE&G's investigation of the event resulted in conclusions similar
to those of the AIT.

     On May 9, 1994, PSE&G and the NRC staff presented their
findings to the NRC Commissioners, and PSE&G described the actions
it had taken to prepare Salem 1 for restart.  On May 11, 1994,
Senator Joseph Biden, representing Delaware, wrote to the NRC
expressing his concerns regarding early restart of the unit and
requested assurances "that all outstanding mechanical and
management problems have been resolved and that a fine in the
maximum amount will be levied upon the licensee."  On May 14, 1994
the NRC authorized the restart of Salem 1, and the unit initially
returned to service on June 4, 1994.

     PSE&G is continuing to address matters to improve Salem's
operations identified by itself, the NRC and the Institute of
Nuclear Power Operations (INPO), an independent industry group
consisting of utilities, including PSE&G, that provides self
critical analysis of nuclear operations to member utilities.  As
has been previously reported, actions are being taken to improve
the plant's material condition, to upgrade procedures and to
enhance personnel performance, as well as other efforts.  However,
satisfactory operating performance on Salem 1 has not yet been
achieved, and the April 7, 1994 event indicates that to date the
corrective actions taken by PSE&G to address these long-standing
problems have not been fully effective, and that material condition
deficiencies continue to complicate plant recovery from transients
which place reliance on operator actions to mitigate the
consequences of the events.

     PSE&G's own assessments, as well as those by the NRC and INPO,
indicate that additional efforts are required to further improve
operating performance, and PSE&G is committed to taking the
necessary actions to address Salem's performance needs.  However,
no assurance can be given as to what, if any, further or additional
actions may be taken by PSE&G, or required by the NRC, to improve
Salem's performance.

     Salem Unit 2 and Hope Creek Generating Station, both located
adjacent to Salem 1 and operated by PSE&G, are presently in
operation."

                           SIGNATURES


          Pursuant to the requirements of the Securities Exchange
Act of 1934, the registrant has duly caused this report to be
signed on its behalf by the undersigned hereunto duly authorized.







                                      PECO ENERGY COMPANY





                                      /s/ M. W. Rimerman
                                      ------------------------- 
                                      M. W. Rimerman
                                      Vice President - Finance
                                          and Treasurer






June 16, 1994