EDITORS: Please do not use "Pacific Gas and Electric" or "PG&E" when referring to PG&E Corporation or its National Energy Group. The PG&E National Energy Group is not the same company as Pacific Gas and Electric Company, the utility, and is not regulated by the California Public Utilities Commission. Customers of Pacific Gas and Electric Company do not have to buy products or services from the National Energy Group in order to continue to receive quality regulated services from Pacific Gas and Electric Company.

PG&E CORPORATION SIGNS 'HISTORIC' CONSERVATION AGREEMENT

(Wilmington, VT) - PG&E Corporation (NYSE: PCG) this week joined Vermont Governor Howard Dean and the Vermont Land Trust in signing a conservation agreement that will set aside and permanently safeguard 15,730 acres of land surrounding PG&E National Energy Group's Deerfield River hydroelectric system. The agreement is among the most far-reaching ever signed in Vermont and in the electric industry.

Governor Dean called the signing "historic" and said, "This agreement conserves forever working forest and public access to this recreational and natural resource." The lands conserved under the agreement include popular recreational areas as well as valuable wildlife habitat that are home to black bears, deer, loons, peregrine falcons and some of Vermont's rarest plants.

This weekimages/news/newswas the result of a multiyear collaboration involving PG&E Corporation and 14 federal agencies and nonprofit organizations. The agreement was struck as part of the Company's fedeimages/news/newsnsing effort for the Deerfield hydroelectric system. The system consists of nine power stations along the river that together generate 94 megawatts of clean, renewable electricity, enough to power approximately 94,000 homes.

Steve Wolfgram, Vice President for PG&E National Energy Group in the Northeast, said, "This conservation agreement captures what it means to balance environmental and energy interests for a sustainable future. Here on the Deerfield River, we are generating one of the cleanest forms of electricity available. This agreement recognizes the value and importance of this clean, renewable energy source while ensuring that the lands around the river remain undeveloped in perpetuity."

In the re-licensing process, the Company brought together a broad range of interested parties to work collaboratively toward agreements that would facilitate the re-licensing and provide for important stewardship needs. Last year, the National Hydropower Association honored the Company with its Hydro Achievement Award for its efforts.

PG&E Corporation, with revenues of more than $20 billion and operations in 21 states, markets energy services and products throughout North America through its National Energy Group. PG&E Corporation's businesses also include Pacific Gas and Electric Company, the Northern and Central California utility that deliver natural gas and electricity to one in every 20 Americans.