PG&E Rates to Change Modestly at Start Of 2013

                PG&E Rates to Change Modestly at Start Of 2013

Gas Rates Will Dip, Electric Rates Will Rise in Line with Inflation to Pay for
Enhanced Safety, Reliability and Clean-Energy Programs

PR Newswire

SAN FRANCISCO, Dec. 31, 2012

SAN FRANCISCO, Dec. 31, 2012 /PRNewswire/ --Pacific Gas and Electric Company
(PG&E) said today that with the start of the new year, residential customers
will see a significant decline in natural gas rates, and a modest increase in
electric rates to cover the utility's costs of maintaining and modernizing its
system and of meeting a state mandate to buy more renewable energy. (See table
below for average estimated bill impacts.)

PG&E's average rates for residential gas customers will dip in January almost
six percent compared to January 2012, thanks in part to lower wholesale costs
for gas. However, customers should expect an increase in gas rates of about
two percent as early as February, reflecting spending approved this month by
the California Public Utilities Commission (CPUC) for PG&E's Pipeline Safety
Enhancement Plan. This plan, one of the most aggressive and comprehensive gas
pipeline modernization programs in the United States, will help PG&E achieve
its goal of operating the safest and most reliable natural gas system in the

Average residential electric rates will increase about 2.6 percent system-wide
compared to last January, close to the rate of inflation in Northern
California. The increase is driven primarily by higher costs for acquiring
clean, renewable energy to meet state mandates, and by spending previously
approved by the CPUC for operating, maintaining and upgrading PG&E's electric
generation and distribution systems. Thanks to such upgrades, electric
customers recently experienced the lowest rate of outages in the utility's

Customers will likely face another electric rate increase this May of about
two percent to pay for additional electric transmission infrastructure to
modernize California's power grid and deliver more renewable energy to

"We know our customers care more than ever about their energy bills during
these difficult economic times, so we continue to focus on keeping rate
increases as modest as possible while raising enough revenue to continue
improving our safety and reliability," said Tom Bottorff, Senior Vice
President of Regulatory Affairs for PG&E. "These revenues help us serve
customers by reducing the frequency of electrical outages, improving the
responsiveness of our call centers, providing more convenient services and,
above all, continuing to upgrade the safety of our gas and electric
operations. Although electric and gas rates fluctuate from year to year, our
average customer bills remain well below the national average."

Bottorff added, "We try to empower all of our customers with tools to help
them better understand and manage their energy needs so they can control their
bills and make the best use of our services."

SmartMeter-enabled online tools like MyEnergy, money-saving programs like
Winter Gas Savings, rebates for energy-efficient appliances and home
retrofits, and bill payment options make it easier than ever for customers the
get more value for their money.

Pacific Gas and Electric Company, a subsidiary of PG&E Corporation (NYSE:
PCG), is one of the largest combined natural gas and electric utilities in the
United States. Based in San Francisco, with 20,000 employees, the company
delivers some of the nation's cleanest energy to 15 million people in Northern
and Central California. For more information, visit


Customer Usage January2012 January 2013 Change
550 kWh        $89.31       $91.60       $2.29
850 kWh        $184.23      $188.05      $3.82
1,200 kWh      $301.54      $307.13      $5.59


January 2012 January 2013 Change
$82.37       $77.47       -$4.90

SOURCE Pacific Gas and Electric Company (PG&E)

Contact: PG&E External Communications, +1-415-973-5930
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