Pacific Gas & Electric (PCG+A) 10-Q 2003 Q1 Quarterly report

EXHIBIT 12.2
PACIFIC GAS AND ELECTRIC COMPANY
A DEBTOR-IN-POSSESSION
COMPUTATION OF RATIOS OF EARNINGS TO COMBINED
FIXED CHARGES AND PREFERRED STOCK DIVIDENDS

(in millions)	Three months ended March 31,	Year ended December 31,
	----------------	---------------------------------------------------------------
	2003	2002	2001	2000	1999	1998
	----------------	---------------------------------------------------------------
Earnings:
Net income (loss)	$  (73)	$ 1,819	$ 1,015	$(3,483)	$   788	$   729
Adjustments for minority interest in   losses of less than 100% owned   affiliates and the Company's equity   in undistributed income (losses) of   less than 50% owned affiliates	- -	- -	- -	- -	- -	- -
Income taxes provision (benefit)	(84)	1,178	596	(2,154)	648	629
Net fixed charges	227      - --------	1,029 - ----------	1,019 - ----------	648    - ----------	637 - --------	673 - --------
Total Earnings (Loss)	$    70      =====	$ 4,026 ======	$ 2,630 ======	$(4,989)   ======	$2,073 =====	$2,031 =====
Fixed Charges:
Interest on short-term borrowings   and long-term debt, net	$  222	$    996	$    981	$    616	$   604	$   635
Interest on capital leases	-	2	2	2	3	2
AFUDC debt	5	21	12	6	7	12
Earnings required to cover the preferred   stock dividend and preferred security   distribution requirements of majority   owned trust	- -      - --------	10 - ----------	24 - ----------	24    - ----------	24 - --------	24 - --------
Total Fixed Charges	227      - --------	1,029 - ----------	1,019 - ----------	648    - ----------	638 - --------	673 - --------
Preferred Stock Dividends:
Tax deductible dividends	2	9	9	9	9	9
Pretax earnings required to cover   non-tax deductible preferred stock   dividend requirements	7      - --------	28 - ----------	27 - ----------	27    - ----------	27 - --------	31 - --------
Total Preferred Stock Dividends	9      - --------	37 - ----------	36 - ----------	36    - ----------	36 - --------	40 - --------
Total Combined Fixed Charges and   Preferred Stock Dividends	$  236      =====	$ 1,066 ======	$ 1,055 ======	$    684    ======	$   674 =====	$   713 =====
Ratios of Earnings (Loss) to   Combined Fixed Charges and   Preferred Stock Dividend	0.30      =====	3.78 ======	2.49 ======	(7.29)(1) ======	3.08 =====	2.85 =====

Note:

For the purpose of computing Pacific Gas and Electric Company's ratios of earnings to combined fixed charges and preferred stock dividends, "earnings" represent net income adjusted for the minority interest in losses of less than 100% owned affiliates, cash distributions from and equity in undistributed income or loss of Pacific Gas and Electric Company's less than 50% owned affiliates, income taxes and fixed charges (excluding capitalized interest). "Fixed charges" include interest on long-term debt and short-term borrowings (including a representative portion of rental expense), amortization of bond premium, discount and expense, interest on capital leases, interest of subordinated debentures held by trust, and earnings required to cover the preferred stock dividend requirements of majority owned subsidiaries. "Preferred stock dividends" represent pretax earnings that is required to pay the dividends on outstanding preference securities.

(1) The ratio of earnings to combined fixed charges and preferred stock dividends indicates a deficiency of less than one-to-one coverage aggregating $5,673 million.