Gas Operations Overview 2014 Supplier Conference

Kirk Johnson Vice President Major Projects and Programs

October 30th, 2014

Contents

• About Gas Operations

• PG&E Gas System Profile

• Gas System and Gas Operations

• Increasing Gas System Integrity

• Supplier Opportunity

• Q&A

About Gas Operations Gas Operations is on a mission to become the safest, most reliable gas company in the U.S. As a whole, Gas Operations is responsible for all aspects of PG&E’s gas distribution and transmission operations, including planning, engineering, maintenance and construction, restoration and emergency response.

Gas Operations

Asset & Risk Management Financial & Resource Management

Engineering, Construction, and Operations

• Asset Knowledge Management

• Integrity Management • Standards and

Procedures • Technology R&D and

Innovation • Training &

Implementation

• Contract Management • Investment Planning • Quality Assurance &

Quality Control • Risk Management • Strategy & Process

Excellence • Workforce Strategy &

Resource Management

• Engineering & Design • Major Projects &

Programs • Gas T&D Operations • Gas T&D Construction • Gas Systems

Operations • Process Safety

Management

Regulatory Update

General Rate Case –CPUC final decision issued August 14

Gas Transmission Rate Case – filed December 19, 2013

“Our plan to invest in 21st century infrastructure will serve

customers by helping PG&E become one of the safest and most

reliable gas utilities in the country. Our detailed filing identifies

the risks, sets clear priorities, and lays out the work that needs

to be done to modernize our system to meet some of the

strictest safety standards in the nation.” --Nick Stavropoulos, Executive Vice President of PG&E for Gas Operations

Gas System Operational Plan

*Amounts reflect planning estimates and are subject to change

Work Category 2015-17*

Trans’n. Pipe Replacement 59 miles

Strength Testing 510 miles

Dist’n. Main Replacement 74 miles

Plastic Main Replacement 128 miles

Pipe “Piggable” Upgrades 530 miles

In-line Inspection Analysis 985 miles

Supplier Opportunity

Work Safely and Share Best Practices

Drive Operating Efficiencies

Improve Quality

Alleviate Capacity Constraints

Promote Supplier Diversity