| EXHIBIT 12.3
| SOUTHERN CALIFORNIA GAS COMPANY
| COMPUTATION OF RATIO OF EARNINGS TO COMBINED FIXED CHARGES
| AND PREFERRED STOCK DIVIDENDS
| (Dollars in millions)
|  |  | 2012 |  | 2013 |  | 2014 |  | 2015 |  | 2016
Fixed charges and preferred stock dividends: |  |  |  |  |  |  |  |  |  |
Interest |  | $ | 77 |  |  | $ | 76 |  |  | $ | 77 |  |  | $ | 96 |  |  | $ | 111 |
Interest portion of annual rentals |  | 1 |  |  | 1 |  |  | 2 |  |  | 1 |  |  | 2 |
Total fixed charges |  | 78 |  |  | 77 |  |  | 79 |  |  | 97 |  |  | 113 |
Preferred stock dividends(1) |  | 2 |  |  | 2 |  |  | 2 |  |  | 2 |  |  | 2 |
Combined fixed charges and preferred stock dividends for purpose of ratio |  | $ | 80 |  |  | $ | 79 |  |  | $ | 81 |  |  | $ | 99 |  |  | $ | 115 |
Earnings: |  |  |  |  |  |  |  |  |  |
Pretax income from continuing operations |  | $ | 369 |  |  | $ | 481 |  |  | $ | 472 |  |  | $ | 558 |  |  | $ | 493 |
Add: Total fixed charges (from above) |  | 78 |  |  | 77 |  |  | 79 |  |  | 97 |  |  | 113 |
Less: Interest capitalized |  | 1 |  |  | 1 |  |  | 1 |  |  | 1 |  |  | 1 |
Total earnings for purpose of ratio |  | $ | 446 |  |  | $ | 557 |  |  | $ | 550 |  |  | $ | 654 |  |  | $ | 605 |
Ratio of earnings to combined fixed charges |  |  |  |  |  |  |  |  |  |
and preferred stock dividends |  | 5.58 |  |  | 7.05 |  |  | 6.79 |  |  | 6.61 |  |  | 5.26 |
Ratio of earnings to fixed charges |  | 5.72 |  |  | 7.23 |  |  | 6.96 |  |  | 6.74 |  |  | 5.35 |
(1) | In computing this ratio, “Preferred stock dividends” represents the before-tax earnings necessary to pay such dividends, computed at the effective tax rates for the applicable periods.