EXHIBIT 12 VIRGINIA ELECTRIC AND POWER COMPANY COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES (thousands of dollars) Dec-96 Dec-97 Dec-98 Dec-99 Dec-2000 ------ ------ ------ ------ -------- Net Income $ 457,304 $ 469,114 $ 229,873 $ 484,715 $ 557,729 Add: Income Taxes 243,993 249,293 157,298 258,033 279,683 --------------------------------------------------------------------------------- Total Pretax Net Income $ 701,297 $ 718,406 $ 387,171 $ 742,748 $ 837,412 ================================================================================= Fixed Charges: Interest on Long-Term Debt 287,928 274,850 308,200 279,080 286,068 Other Interest 22,380 30,703 0 0 0 Pfd Distribution of Affiliate-Gross 10,867 10,868 10,868 10,868 10,868 Estimated Interest Factor of Rents Charged to Operating Expenses, Clearing & Other Accounts 6,291 8,595 6,389 6,857 6,296 --------------------------------------------------------------------------------- Total Fixed Charges $ 327,466 $ 325,015 $ 325,457 $ 296,805 $ 303,232 ================================================================================= --------------------------------------------------------------------------------- Earnings as Defined $1,028,764 $1,043,421 $ 712,627 $1,039,553 $1,140,644 ================================================================================= Ratio of Earnings to Fixed Charges 3.14 3.21 2.19 3.50 3.76 =================================================================================