EXHIBIT 12.3
PG&E CORPORATION
COMPUTATION OF RATIOS OF EARNINGS TO FIXED CHARGES

   
Three Months
Ended
September 30,
    
Nine Months Ended
September 30,
    
Year Ended December 31,
  
   
2009
    
2009
    
2008
    
2007
    
2006
    
2005
    
2004
  
Earnings:
                                          
Incoming from continuing operations
   $ 321     $ 957     $ 1,198     $ 1,020     $ 1,005     $ 920     $ 3,841  
Income taxes provision
     136       376       425       539       554       544       2,466  
Net fixed charges
     220       664       907       937       845       639       855  
Pre-tax earnings required to cover the preferred stock dividend of consolidated subsidiaries
     (4 )      (11 )      (16 )      (17 )     (15 )      (20 )      (29 ) 
Total Earnings
   $ 673     $ 1,986     $ 2,514     $ 2,479     $ 2,389     $ 2,083     $ 7,133  
Fixed Charges:
                                                        
Interest and amortization of premiums, discounts and capitalized expenses related to short-term borrowings and long-term debt, net
   $ 200     $ 605     $ 825     $ 865     $ 799     $ 603     $ 813  
Interest on capital leases
     5       15       22       23       11       1       1  
AFUDC debt
     11       33       44       32       20       15       12  
Pre-tax earnings required to cover the preferred stock dividend of consolidated subsidiaries
     4       11       16       17       15       20       29  
Total Fixed Charges
   $ 220     $ 664     $ 907     $ 937     $ 845     $ 639     $ 855  
Ratios of Earnings to
Fixed Charges
     3.06       2.99       2.77       2.65       2.83       3.26       8.34  

Note:
For the purpose of computing PG&E Corporation's ratios of earnings to fixed charges, “earnings” represent income from continuing operations adjusted for income taxes, fixed charges (excluding capitalized interest), and pre-tax earnings required to cover the preferred stock dividend of consolidated subsidiaries.   “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, AFUDC debt, and earnings required to cover preferred stock dividends of consolidated subsidiaries.  Fixed charges exclude interest on tax liabilities in accordance with the Income Tax Topic of the FASB ASC.