|                                                                                               |   |                               |     |                                                                    |   |     |   |     |     | **Exhibit                12.1** |   |
|----------------------------------------------------------------------------------------------------|--------|------------------------------------|----------|-------------------------------------------------------------------------|--------|----------|--------|----------|----------|---------------------------------|--------|
| **PUGET                ENERGY**                                                                    |
| **STATEMENT                SETTING FORTH COMPUTATIONS OF RATIOS OF**                               |   |
| **EARNINGS                TO FIXED CHARGES**                                                       |   |
| **(Dollars                in Thousands)**                                                          |   |
|                                                                                               |   |                               |     |                                                                    |   |     |   |     |     |                            |   |   |   |
|                                                                                               |   | **12                Months**       |     |                                                                    |   |     |   |     |     |                            |   |   |   |
|                                                                                               |   | ** Ended**                    |     |                                                                         |   |
|                                                                                               |   | **March                31,**       |     | **Years                  Ended** **December                  31,** |
|                                                                                               |   | **2006**                           |     | **2005**                                                                |   | **2004** |   | **2003** |     | **2002**                        |   | **2001** |   |
| Earnings                Available For Fixed Charges:                                               |   |                               |     |                                                                    |   |     |   |     |     |                            |   |   |   |
| Pre-tax                income:                                                                     |   |                               |     |                                                                    |   |     |   |     |     |                            |   |   |   |   |   |   |   |   |   |
|    Income                from continuing operations                                 |   | $                                  | 147,761  |                                                                    | $      | 146,282  |   | $        | 125,411  |                            | $      | 119,750 |   | $ | 108,429 |   | $ | 119,069 |   |
|    Income                taxes                                                      |   |                               | 82,815   |                                                                    |   | 88,608   |   |     | 76,756   |                            |   | 70,775 |   |   | 52,557 |   |   | 76,882 |   |
|    Income                taxes charged to other income - net                        |   |                               | 1,459    |                                                                    |   | 2,142    |   |     | (17      | )                               |   | (162 | ) |   | 2,082 |   |   | 4,590 |   |
|    Capitalized                interest                                              |   |                               | (4,768   | )                                                                       |   | (3,800   | )      |     | (2,796   | )                               |   | (2,272 | ) |   | (1,397 | ) |   | (883 | ) |
| Total                                                                                              |   | $                                  | 227,267  |                                                                    | $      | 233,232  |   | $        | 199,354  |                            | $      | 188,091 |   | $ | 161,671 |   | $ | 199,658 |   |
| Fixed                charges:                                                                      |   |                               |     |                                                                    |   |     |   |     |     |                            |   |   |   |   |   |   |   |   |   |
|    Interest                expense                                                  |   | $                                  | 177,328  |                                                                    | $      | 174,682  |   | $        | 172,050  |                            | $      | 182,902 |   | $ | 192,830 |   |   | 190,849 |   |
|    Other                interest                                                    |   |                               | 4,768    |                                                                    |   | 3,800    |   |     | 2,796    |                            |   | 2,272 |   |   | 1,397 |   |   | 883 |   |
|    Portion                of rentals representative of the interest factor          |   |                               | 6,219    |                                                                    |   | 5,234    |   |     | 5,424    |                            |   | 4,669 |   |   | 5,394 |   |   | 5,633 |   |
| Total                                                                                              |   | $                                  | 188,315  |                                                                    | $      | 183,716  |   | $        | 180,270  |                            | $      | 189,843 |   | $ | 199,621 |   | $ | 197,365 |   |
| Earnings                available for combined fixed charges                                       |   | $                                  | 415,582  |                                                                    | $      | 416,948  |   | $        | 379,624  |                            | $      | 377,934 |   | $ | 361,292 |   | $ | 397,023 |   |
| Ratio                of Earnings to Fixed Charges                                                  |   |                               | 2.21x    |                                                                    |   | 2.27x    |   |     | 2.11x    |                            |   | 1.99x |   |   | 1.81x |   |   | 2.01x |   |
|                                                                                               |   |                               |     |                                                                    |   |     |   |     |     |                            |   |   |   |   |   |   |   |   |   |
| **PUGET                ENERGY**                                                                    |
| **STATEMENT                SETTING FORTH COMPUTATIONS OF RATIOS OF**                               |
| **EARNINGS                TO COMBINED FIXED CHARGES AND PREFERRED STOCK                DIVIDENDS** |
| **(Dollars                in Thousands)**                                                          |   |
|                                                                                               |   |                               |     |                                                                    |   |     |   |     |     |                            |   |   |   |   |   |   |   |   |   |
|                                                                                               |   | **12                Months**  |     |                                                                    |   |     |   |     |     |                            |   |   |   |   |   |   |   |   |
|                                                                                               |   |  **Ended**               |     |                                                                    |   |     |   |     |     |                            |   |   |   |   |   |   |   |
|                                                                                               |   |  **March                31,** |     |  **Years                Ended December 31,**                       |
|                                                                                               |   |                               | **2006** |                                                                    |   | **2005** |   |     | **2004** |                            |   | **2003** |   |   | **2002** |   |   | **2001** |   |
| Earnings                Available for Combined Fixed Charges and                                   |   |                               |     |                                                                    |   |     |   |     |     |                            |   |   |   |   |   |   |   |   |   |
|    Preferred                Dividend Requirements:                                  |   |                               |     |                                                                    |   |     |   |     |     |                            |   |   |   |   |   |   |   |   |   |
| Pre-tax                income:                                                                     |   |                               |     |                                                                    |   |     |   |     |     |                            |   |   |   |   |   |   |   |   |   |
|    Income                from continuing operations                                 |   | $                                  | 147,761  |                                                                    | $      | 146,282  |   | $        | 125,411  |                            | $      | 119,750 |   | $ | 108,429 |   | $ | 119,069 |   |
|    Income                taxes                                                      |   |                               | 82,815   |                                                                    |   | 88,608   |   |     | 76,756   |                            |   | 70,775 |   |   | 52,557 |   |   | 76,882 |   |
|    Income                taxes charged to other income - net                        |   |                               | 1,459    |                                                                    |   | 2,142    |   |     | (17      | )                               |   | (162 | ) |   | 2,082 |   |   | 4,590 |   |
| Subtotal                                                                                           |   |                               | 232,035  |                                                                    |   | 237,032  |   |     | 202,150  |                            |   | 190,363 |   |   | 163,068 |   |   | 200,541 |   |
|    Capitalized                interest                                              |   |                               | (4,768   | )                                                                       |   | (3,800   | )      |     | (2,796   | )                               |   | (2,272 | ) |   | (1,397 | ) |   | (883 | ) |
| Total                                                                                              |   | $                                  | 227,267  |                                                                    | $      | 233,232  |   | $        | 199,354  |                            | $      | 188,091 |   | $ | 161,671 |   | $ | 199,658 |   |
| Fixed                charges:                                                                      |   |                               |     |                                                                    |   |     |   |     |     |                            |   |   |   |   |   |   |   |   |   |
|    Interest                expense                                                  |   | $                                  | 177,328  |                                                                    | $      | 174,682  |   | $        | 172,050  |                            | $      | 182,902 |   | $ | 192,830 |   | $ | 190,849 |   |
|    Other                interest                                                    |   |                               | 4,768    |                                                                    |   | 3,800    |   |     | 2,796    |                            |   | 2,272 |   |   | 1,397 |   |   | 883 |   |
|    Portion                of rentals representative of the interest factor          |   |                               | 6,219    |                                                                    |   | 5,234    |   |     | 5,424    |                            |   | 4,669 |   |   | 5,394 |   |   | 5,633 |   |
| Total                                                                                              |   | $                                  | 188,315  |                                                                    | $      | 183,716  |   | $        | 180,270  |                            | $      | 189,843 |   | $ | 199,621 |   | $ | 197,365 |   |
| Earnings                Available for Combined Fixed Charges and                                   |   |                               |     |                                                                    |   |     |   |     |     |                            |   |   |   |   |   |   |   |   |   |
|    Preferred                Dividend Requirements                                   |   | $                                  | 415,582  |                                                                    | $      | 416,948  |   | $        | 379,624  |                            | $      | 377,934 |   | $ | 361,292 |   | $ | 397,023 |   |
| Dividend                Requirement:                                                               |   |                               |     |                                                                    |   |     |   |     |     |                            |   |   |   |   |   |   |   |   |   |
|    Fixed                charges above                                               |   | $                                  | 188,315  |                                                                    | $      | 183,716  |   | $        | 180,270  |                            | $      | 189,843 |   | $ | 199,621 |   | $ | 197,365 |   |
|    Preferred                dividend requirements below                             |   |                               | -        |                                                                    |   | -        |   |     | -        |                            |   | 8,189 |   |   | 11,777 |   |   | 14,169 |   |
| Total                                                                                              |   | $                                  | 188,315  |                                                                    | $      | 183,716  |   | $        | 180,270  |                            | $      | 198,032 |   | $ | 211,398 |   | $ | 211,534 |   |
| Ratio                of Earnings to Combined Fixed Charges and                                     |   |                               |     |                                                                    |   |     |   |     |     |                            |   |   |   |   |   |   |   |   |   |
| Preferred                Dividends Requirement                                                     |   |                               | 2.21x    |                                                                    |   | 2.27x    |   |     | 2.11x    |                            |   | 1.91x |   |   | 1.71x |   |   | 1.88x |   |
| Computation                of Preferred Dividend Requirements:                                     |   |                               |     |                                                                    |   |     |   |     |     |                            |   |   |   |   |   |   |   |   |   |
|     (a)                Pre-tax income                                          |   | $                                  | 232,035  |                                                                    | $      | 237,032  |   | $        | 202,150  |                            | $      | 190,363 |   | $ | 163,068 |   | $ | 200,541 |   |
|     (b)                Income from continuing operations                       |   | $                                  | 147,761  |                                                                    | $      | 146,282  |   | $        | 125,411  |                            | $      | 119,750 |   | $ | 108,429 |   | $ | 119,069 |   |
|     (c)                Ratio of (a) to (b)                                     |   |                               | 1.5703   |                                                                    |   | 1.6204   |   |     | 1.6119   |                            |   | 1.5897 |   |   | 1.5039 |   |   | 1.6842 |   |
|     (d)                Preferred dividends                                     |   | $                                  | -        |                                                                    | $      | -        |   | $        | -        |                            | $      | 5,151 |   | $ | 7,831 |   | $ | 8,413 |   |
|   Preferred                dividend requirements [(d) multiplied by (c)]                 |   | $                                  | -        |                                                                    | $      | -        |   | $        | -        |                            | $      | 8,189 |   | $ | 11,777 |   | $ | 14,169 |   |