EXHIBIT 11

PG&E CORPORATION

COMPUTATION OF EARNINGS PER COMMON SHARE

	Year Ended December 31,
(in millions, except per share amounts)	2007		2006		2005
Net Income	$	1,006	$	991	$	917
Less: distributed earnings to common shareholders		508		460		449
Undistributed earnings		498		531		468
Less: undistributed earnings from discontinued operations		-		-		13
Undistributed earnings from continuing operations	$	498	$	531	$	455
Common shareholder earnings
Basic
Distributed earnings to common shareholders	$	508	$	460	$	449
Undistributed earnings allocated to common shareholders - continuing operations		472		503		433
Undistributed earnings allocated to common shareholders - discontinued operations		-		-		12
Total common shareholders earnings, basic	$	980	$	963	$	894
Diluted
Distributed earnings to common shareholders	$	508	$	460	$	449
Undistributed earnings allocated to common shareholders - continuing operations		473		504		433
Undistributed earnings allocated to common shareholders - discontinued operations		-		-		12
Total common shareholders earnings, diluted	$	981	$	964	$	894
Weighted average common shares outstanding, basic		351		346		372
9.50% Convertible Subordinated Notes		19		19		19
Weighted average common shares outstanding and participating securities, basic		370		365		391
Weighted average common shares outstanding, basic		351		346		372
Employee stock-based compensation and accelerated share repurchases (1)		2		3		6
Weighted average common shares outstanding, diluted		353		349		378
9.50% Convertible Subordinated Notes		19		19		19
Weighted average common shares outstanding and participating securities, diluted		372		368		397
Net earnings per common share, basic
Distributed earnings, basic (2)	$	1.45	$	1.33	$	1.21
Undistributed earnings - continuing operations, basic		1.34		1.45		1.16
Undistributed earnings - discontinued operations, basic		-		-		0.03
Total	$	2.79	$	2.78	$	2.40
Net earnings per common share, diluted
Distributed earnings, diluted	$	1.44	$	1.32	$	1.19
Undistributed earnings - continuing operations, diluted		1.34		1.44		1.15
Undistributed earnings - discontinued operations, diluted		-		-		0.03
Total	$	2.78	$	2.76	$	2.37
(1) Includes approximately one million and two million shares of PG&E Corporation common stock treated as outstanding in connection with accelerated share repurchase agreements (-ASRs-) for 2006 and 2005, respectively. The remaining shares of approximately two million at December 31, 2006 and four million at December 31, 2005 relate to share-based compensation and are deemed to be outstanding under SFAS No. 128 for the purpose of calculating EPS. PG&E Corporation has no remaining obligation under these ASRs as of December 31, 2007.
(2) -Distributed earnings, basic- differs from actual per share amounts paid as dividends, as the EPS computation under GAAP requires the use of the weighted average, rather than the actual number of, shares outstanding.