Pacific Gas and Electric Co. was authorized by state regulatorsThursday to borrow an additional $1.4 billion in short-term debt tocover under-collections caused by wholesale power prices exceedingfrozen retail rates the utility is allowed to charge itselectricity customers under the state’s restructuring program.

Added to its previous authorization levels, the SanFrancisco-based utility can use more than $3 billion in short-termborrowing to cover its growing revenue shortfalls. Longer term, theCalifornia Public Utilities Commission will hold hearing this fallto determine how to handle the utility under-collections.

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