EXHIBIT 12



ALLEGHENY ENERGY, INC. AND SUBSIDIARIES



COMPUTATION IN SUPPORT OF RATIO OF EARNINGS TO FIXED CHARGES



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|----------------------------------------------------------------------------- |  | ---------------------------- | ------- | - | ---- | - | -------- | ---- |  | - | -------- | - |  | ---- | ------- | - |  | - | ------- | -
|                                                                              |  | For Years Ended December 31, |        
|($ in thousands)                                                              |  | 2004                         |         |   | 2003 |   |          | 2002 |  |   | 2001     |   |  | 2000 |        
|Earnings:                                                                     |  |                              |         |   |      |   |          |      |  |   |          |   |  |      |         |   |  |   |         |  
|Income (loss) from continuing operations                                      |  | $                            | 129,732 |   |      | $ | (308,875 | )    |  | $ | (465,749 | ) |  | $    | 458,134 |   |  | $ | 310,968 |  
|Exclude amounts reflected in line above:                                      |  |                              |         |   |      |   |          |      |  |   |          |   |  |      |         |   |  |   |         |  
|Income tax expense (benefit)                                                  |  |                              | 79,669  |   |      |   | (202,170 | )    |  |   | (313,112 | ) |  |      | 255,531 |   |  |   | 185,541 |  
|Minority interest in (loss) income of subsidiaries                            |  |                              | (882    | ) |      |   | (7,174   | )    |  |   | (13,509  | ) |  |      | 2,338   |   |  |   |        |  
|Preferred dividends of subsidiary                                             |  |                              | 5,037   |   |      |   | 5,037    |      |  |   | 5,037    |   |  |      | 5,037   |   |  |   | 5,040   |  
|Amortization of capitalized interest                                          |  |                              | 2,288   |   |      |   | 1,592    |      |  |   | 852      |   |  |      | 578     |   |  |   | 236     |  
|Loss (income) from unconsolidated equity investees                            |  |                              | 663     |   |      |   | 948      |      |  |   | 33,767   |   |  |      | (1,035  | ) |  |   | (2,263  | )
|Add fixed charges (see below)                                                 |  |                              | 419,448 |   |      |   | 454,461  |      |  |   | 299,343  |   |  |      | 273,341 |   |  |   | 237,060 |  
|Less amounts included in fixed charges:                                       |  |                              |         |   |      |   |          |      |  |   |          |   |  |      |         |   |  |   |         |  
|Capitalized interest                                                          |  |                              | (3,432  | ) |      |   | (15,394  | )    |  |   | (12,628  | ) |  |      | (9,417  | ) |  |   | (5,149  | )
|Preference security dividend requirements of consolidated subsidiary (Note 1) |  |                              | (7,967  | ) |      |   | (8,233   | )    |  |   | (8,284   | ) |  |      | (7,738  | ) |  |   | (7,931  | )
|                                                                              |  |                              |         |   |      |   |          |      |  |   |          |   |  |      |         |   |  |   |         |  
|Total Earnings (as defined)                                                   |  | $                            | 624,556 |   |      | $ | (79,808  | )    |  | $ | (474,283 | ) |  | $    | 976,769 |   |  | $ | 723,502 |  
|                                                                              |  |                              |         |   |      |   |          |      |  |   |          |   |  |      |         |   |  |   |         |  
|Fixed Charges:                                                                |  |                              |         |   |      |   |          |      |  |   |          |   |  |      |         |   |  |   |         |  
|Interest expensed and capitalized                                             |  | $                            | 404,505 |   |      | $ | 439,482  |      |  | $ | 280,298  |   |  | $    | 257,778 |   |  | $ | 224,226 |  
|Estimated interest component of rental expense                                |  |                              | 6,976   |   |      |   | 6,746    |      |  |   | 10,761   |   |  |      | 7,825   |   |  |   | 4,903   |  
|Preference security dividend requirements of consolidated subsidiary (Note 1) |  |                              | 7,967   |   |      |   | 8,233    |      |  |   | 8,284    |   |  |      | 7,738   |   |  |   | 7,931   |  
|                                                                              |  |                              |         |   |      |   |          |      |  |   |          |   |  |      |         |   |  |   |         |  
|Total Fixed Charges (as defined)                                              |  | $                            | 419,448 |   |      | $ | 454,461  |      |  | $ | 299,343  |   |  | $    | 273,341 |   |  | $ | 237,060 |  
|                                                                              |  |                              |         |   |      |   |          |      |  |   |          |   |  |      |         |   |  |   |         |  
|Ratio of Earnings to Fixed Charges                                            |  |                              | 1.49    | x |      |   | (Note 2  | )    |  |   | (Note 2  | ) |  |      | 3.57    | x |  |   | 3.05    | x
|                                                                              |  |                              |         |   |      |   |          |      |  |   |          |   |  |      |         |   |  |   |         |  

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|Notes: |  | 
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|1 |  | The preference security dividend requirement represents the amount of pre-tax earnings required to pay the dividends on outstanding preference securities of a subsidiary held by
non-affiliates.
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|2 |  | For the years ended December 31, 2003 and 2002, there are deficiencies of earnings to cover fixed charges of $534,269 and $773,626, respectively.
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