PG&E’s primary responsibility is to deliver safe and reliable energy to the more than 15 million people who live and work in communities throughout northern and central California. We are mindful that we not only provide a vital service to these communities, but that we are also a part of them. We are committed to conducting our business in a way that provides for the safety of our employees and our communities, protects our environment, allows local economies to grow and flourish, respects the individuals who both deliver and consume our products and use our services, and engenders the trust of everyone with whom we interact and do business.

To ensure that we are meeting these objectives, we are continually assessing our performance and progress across a variety of indicators. Our Third Annual Corporate Responsibility Report is our way of sharing with our stakeholders the progress we made and the steps we took in 2005 to serve our customers better, to make PG&E a great place to work, to give back to our communities, and to protect the environment. We do this by reporting on the following facets of our business:

As we strive to provide additional transparency about how we conduct our business and to communicate our progress and performance effectively, we appreciate hearing from our stakeholders about ways in which we can improve this report. Please send us your comments through the "Feedback" button that appears at the top of the page. And thank you for your interest in PG&E.

This Corporate Responsibility Report and Letter from the Chairman contain forward-looking statements that are necessarily subject to various risks and uncertainties, the realization or resolution of which are outside of management’s control. These statements are based on current expectations and projections about future events, and assumptions regarding these events and management’s knowledge of facts and the date of this report. Actual results could differ materially from those expressed or implied in the forward-looking statements. Please see our reports filed with the Securities and Exchange Commission for a discussion of some of the more significant risks and uncertainties the resolution of which could materially affect actual results.

This Summary Report includes highlights from PG&E’s Third Annual Corporate Responsibility Report. PG&E’s complete Third Annual Corporate Responsibility Report can be viewed and downloaded at www.fengding45.cn, where stakeholders can also offer comments and suggestions on this and future reports. The information contained in this report is for calendar year 2005 and relates to PG&E Corporation and its subsidiary, Pacific Gas and Electric Company (together, “PG&E”).