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PG&E Corporation Units Respond To Ferc Investigation Into Natural Gas Trading Activity

06/05/2002

(San Francisco, CA) - PG&E Corporation (NYSE:PCG) units Pacific Gas and Electric Company and PG&E National Energy Group (PG&E NEG) today filed responses to a request by the Federal Energy Regulatory Commission (FERC) for information concerning natural gas trading activities in Texas and Western U.S. markets during 2000 and 2001. More than 100 companies were asked by FERC to provide information on trading activities involving the sale of natural gas to another company together with a simultaneous purchase of the same amount of natural gas at the same price.

Pacific Gas and Electric Company, and the PG&E National Energy Group informed the Commission that they did not engage in the activities outlined in the FERC's investigation.

We continue to welcome the opportunity to assist the FERC in its efforts as the Commission investigates events in the Western energy markets during 2000 and 2001.

Copies of Pacific Gas and Electric Company and the PG&E National Energy Group responses to FERC are available for viewing at www.pgecorp.com. Copies of the press releases summarizing the Companies' respective responses to FERC may also be viewed at www.pgecorp.com.

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