Exhibit 12


               CENTERPOINT ENERGY RESOURCES CORP. AND SUBSIDIARIES
        (AN INDIRECT WHOLLY OWNED SUBSIDIARY OF CENTERPOINT ENERGY, INC.)

               COMPUTATION OF RATIOS OF EARNINGS TO FIXED CHARGES
                              (MILLIONS OF DOLLARS)

<Table>
<Caption>
                                                                   NINE MONTHS ENDED
                                                                     SEPTEMBER 30,
                                                                 ---------------------
                                                                   2005        2006
                                                                 --------    ---------
                                                                       
Net Income ...................................................    $ 127       $ 133
Income taxes .................................................       66          91
Capitalized interest .........................................       (1)         (3)
                                                                  -----       -----
                                                                    192         221
                                                                  -----       -----

Fixed charges, as defined:

   Interest ..................................................      136         125
   Capitalized interest ......................................        1           3
   Interest component of rentals charged to operating
     income ..................................................        7          12
                                                                  -----       -----
   Total fixed charges .......................................      144         140
                                                                  -----       -----



Earnings, as defined .........................................    $ 336       $ 361
                                                                  =====       =====

Ratio of earnings to fixed charges ...........................     2.33        2.58
                                                                  =====       =====