SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the
Securities Exchange Act of 1934
Date of Report: October 13, 1994
PACIFIC GAS AND ELECTRIC COMPANY
(Exact name of registrant as specified in its charter)
California 1-2348 94-0742640
(State or other juris- (Commission (IRS Employer
diction of incorporation) File Number) Identification Number)
77 Beale Street, P.O. Box 770000, San Francisco, California 94177
(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code:(415) 973-7000
ITEM 5: Other Events
A. Helms Pumped Storage Plant - Proposed Settlement
On October 4, 1994, the Company and the California Public Utilities
Commission's (CPUC) Division of Ratepayer Advocates (DRA) filed a
joint motion seeking CPUC approval of a proposed settlement
resolving the treatment of remaining unrecovered Helms Pumped
Storage Plant (Helms) costs. Helms, a three-unit hydroelectric
combined generating and pumped storage facility, became operable in
1984. Completion of Helms was delayed due to a water conduit
rupture in 1982 and various start-up problems related to the
plant's generators. As a result of the damage caused by the
rupture and the delay in the operational date, the Company incurred
additional costs, which are currently excluded from rate base, and
lost revenues during the period while the plant was under repair.
In 1991, the Company had filed an application for rate recovery of
the unrecovered Helms costs relating to start-up problems, the
associated revenue requirement on such costs since 1984 and lost
revenues during the time the generators were being repaired.
The proposed settlement adopts an aggregate amount of Helms rate
base related to plant costs, prior years' revenue requirements and
lost revenue balances of $98.8 million, resulting in a 1995 revenue
requirement of $14.5 million. As such, the settlement provides for
recovery of substantially all of the remaining net unrecovered
Helms costs (after adjustment for depreciation) and revenues, which
totaled $104 million at September 30, 1994. The settlement would
permit $48.9 million of Helms rate base related to plant costs, and
$14.6 million of associated revenue requirement on such amount
since 1984, to be included in the Company's rate base on January 1,
1995. In connection with the Company's rate freeze for 1995, the
revenue requirement associated with these assets would be offset by
other base revenue reductions and inclusion of this amount would
have no impact on electric rates in 1995. An additional amount of
$35.3 million, representing lost revenues during the time the
generators were being repaired, would be transferred to the
Electric Revenue Adjustment Mechanism account and amortized through
2034, the remaining life of Helms. Under the settlement the
Company would also agree not to seek recovery of the costs
associated with the 1982 water conduit rupture, estimated to be
$72.4 million. The Company took a charge against earnings for such
costs in 1990.
The proposed settlement is subject to CPUC approval, and the
parties have requested an expedited resolution of the matter by the
CPUC. If the settlement is adopted by the CPUC, it will not have
a significant impact on the Company's financial position or results
of operations.
SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of
1934, the registrant has duly caused this report to be signed on
its behalf by the undersigned thereunto duly authorized.
PACIFIC GAS AND ELECTRIC COMPANY
GORDON R. SMITH
By ________________________________
GORDON R. SMITH
Vice President and
Chief Financial Officer
Dated: October 13, 1994
