EXHIBIT 12.1
                     PACIFIC GAS AND ELECTRIC COMPANY AND SUBSIDIARIES                        
                     COMPUTATION OF RATIOS OF EARNINGS TO FIXED CHARGES                        
           

- ---------------------------------------------------------------------------------------------------
                                      
                           Nine Months                                       Year ended December 31,
                              Ended      ----------------------------------------------------------
(dollars in thousands)   Sept. 30, 1995        1994        1993        1992        1991        1990
- ---------------------------------------------------------------------------------------------------
                                                                       
Earnings:
  Net income                 $1,111,800  $1,007,450  $1,065,495  $1,170,581  $1,026,392  $  987,170
  Adjustments for minority
    interests in losses of
    less than 100% owned
    affiliates and the
    Company's equity in
    undistributed losses
    (income) of less than
    50% owned affiliates            830      (2,764)      6,895      (3,349)     26,671      (2,799)
  Income tax expense            783,735     836,767     901,890     895,126     851,534     881,647
  Net fixed charges             538,396     730,965     821,166     802,198     776,682     812,568
                             ----------  ----------  ----------  ----------  ----------  ----------
      Total Earnings         $2,434,761  $2,572,418  $2,795,446  $2,864,556  $2,681,279  $2,678,586
                             ==========  ==========  ==========  ==========  ==========  ==========
Fixed Charges:              
  Interest on long-term 
    debt                     $  478,571  $  651,912  $  731,610  $  739,279  $  697,185  $  699,849
  Interest on short-term
    borrowings                   57,485      77,295      87,819      61,182      77,760     110,982
  Interest on capital
    leases                        1,833       1,758       1,737       1,737       1,737       1,737
  Capitalized Interest              528       2,660      46,055       6,511       6,107       7,214
  Pretax earnings required to
    cover the preferred stock
    dividend requirements of
    majority owned subsidiaries     864           -           -           -           -           -
                               --------  ----------  ----------  ----------  ----------  ----------
      Total Fixed 
      Charges                $  539,281  $  733,625  $  867,221  $  808,709  $  782,789  $  819,782
                             ==========  ==========  ==========  ==========  ==========  ==========
Ratios of Earnings to 
  Fixed Charges                    4.51        3.51        3.22        3.54        3.43        3.27

- ---------------------------------------------------------------------------------------------------
<FN>
Note:  For the purpose of computing the Company's ratios of earnings to fixed charges, "earnings"
       represent net income adjusted for the minority interest in losses of less than 100% owned
       affiliates, the Company's equity in undistributed income or loss of 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 and the pretax earnings required to cover the preferred stock dividend requirements of
       majority owned subsidiaries.