2002 Environmental Report
HomeCorporation ProfileMessage from the ChairmanContinouousPerformance ResultsStewardship and OutreachPerformance SummaryAwards in 2002
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To Our Shareholders, Customers and Neighbors:

PG&E Corporation again demonstrated its commitment to environmental excellence in 2002. We continued to find opportunities to lower emissions from power plants, help customers save more energy, manage greenhouse gases, reduce waste, protect endangered species and habitats and support environmental education, among other accomplishments.

This report details our 2002 performance results and achievements in these and other areas, and it highlights areas in which we are continuing to direct our efforts for the future.

PG&E Corporation’s corporate environmental policy is the foundation for all of our efforts to manage and improve environmental performance. Our policy commits us to environmental leadership. It drives us to look for ways to do more than what is required for compliance. It makes environmental standards and programs an integral part of our business plans. It states our view that environmental excellence contributes to shareholder value. And it recognizes that engaging the talents, dedication and commitment of our employees is a vital part of improving our environmental performance.

We put this policy in action in many ways last year. For example, we became a charter member of the California Climate Action Registry, avoided over 2 milion tons of carbon dioxide emissions through customer energy efficiency programs, launched a program to protect migratory birds from electrical hazards, and helped the U.S. Department of Energy conduct tests at our NEG facilities to better understand mercury emissions from power plants.

As we undertook these and other efforts, our industry continued to change substantially. Our commitment to environmental excellence remains as solid as ever, even as we make significant strategic and operational changes in response to the evolving market.

In 2003, those changes include commencing efforts to restructure NEG through the Chapter 11 process. At the conclusion of this process, NEG’s operations will no longer be part of PG&E Corporation. We remain proud of our environmental stewardship of these operations, and we are confident that track record will continue as those operations.

As customers, shareholders and neighbors, you have our commitment that the letter and spirit of our environmental policy will continue to guide us while we work to grow PG&E Corporation’s business. We’re proud of the successes outlined in this report, and we look forward to your continued interest in our performance as we build on those achievements in 2003 and beyond.

Robert D. Glynn, Jr.

Robert D. Glynn, Jr.
Chairman of the Board,
Chief Executive Officer and President
PG&E Corporation