EXHIBIT 11
                                      PG&E CORPORATION
                          COMPUTATION OF EARNINGS PER COMMON SHARE


- -----------------------------------------------------------------------------------------
                                                         Three Months Ended March 31,  
                                                       ----------------------------------
(in millions, except per share amounts)                      1999          1998
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BASIC EARNINGS PER SHARE (EPS) (1)  

Earnings available for common stock                         $    156      $    139  
                                                            ========      ========  
Average common shares outstanding                                373           381  
                                                            ========      ========  
Basic EPS                                                   $     42      $     36  
                                                            ========      ========  

DILUTED EARNINGS PER SHARE (EPS) (1) 

Earnings available for common stock                         $    156      $    139
Less: assumed cash settlement of forward
  contract that may be settled in Company
  stock or cash                                                   19             -
                                                            --------      --------
Earnings available for common stock as
  adjusted                                                       137           139
                                                            ========      ========



Average common shares outstanding                                373           381 
Add: outstanding options, reduced by the
  number of shares that could be 
  repurchased with the proceeds from
  such exercise (at average market price)                          2             1  
                                                            --------      --------  
Average common shares outstanding as  
  adjusted                                                       375           382  
                                                            ========      ========  
Diluted EPS                                                 $    .37      $    .36  
                                                            ========      ========  



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<FN>

(1)  This presentation is submitted in accordance with Item 601(b)(11) of Regulation S-K and 
Statement of Financial Accounting Standards No. 128.