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 RESPONDS TO GOVERNOR'S ADDRESS

San Francisco, CA -- Pacific Gas and Electric Company issued the following statement, in response to the announcement by Governor Davis earlier this evening:

"We support all efforts to encourage energy conservation in California, because reducing energy usage is virtually the only way our state can to reduce the risk of extensive blackouts in the coming months. Pacific Gas and Electric Company has long been a leader in promoting energy conservation, and we have already expanded our efforts on this front, through an aggressive customer outreach and education campaign we launched last month.

"However, the state's power crisis has been ongoing for nearly a year now, with little relief in sight. Unfortunately, the steps the Governor announced tonight still do not appear to offer a comprehensive solution to resolve California's energy crisis."