**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,****2005**
    
    **2004**
    
    **2003**
    
    **2002**
    
    **2001**
    
    **2000**Earnings
      Available For Fixed Charges:Pre-tax
      income:Income
      from continuing operations
    $
    130,760
    
    $
    125,411
    
    $
    119,750
    
    $
    108,429
    
    $
    119,069
    
    $
    194,374Income
      taxes
    
    83,742
    
    
    76,756
    
    
    70,775
    
    
    52,557
    
    
    76,882
    
    
    129,407Income
      taxes charged to other income - net
    
    504
    
    
    (17
    )
    
    (162
    )
    
    2,082
    
    
    4,590
    
    
    1,411Capitalized
      interest
    
    (2,993
    )
    
    (2,796
    )
    
    (2,272
    )
    
    (1,397
    )
    
    (883
    )
    
    (1,264
    )Total
    $
    212,013
    
    $
    199,354
    
    $
    188,091
    
    $
    161,671
    
    $
    199,658
    
    $
    323,928Fixed
      charges:Interest
      expense
    $
    169,973
    
    $
    172,050
    
    $
    182,902
    
    $
    192,830
    
    $
    190,849
    
    $
    184,217Other
      interest
    
    2,993
    
    
    2,796
    
    
    2,272
    
    
    1,397
    
    
    883
    
    
    1,264Portion
      of rentals representative of the interest factor
    
    5,798
    
    
    5,424
    
    
    4,669
    
    
    5,394
    
    
    5,633
    
    
    5,002Total
    $
    178,764
    
    $
    180,270
    
    $
    189,843
    
    $
    199,621
    
    $
    197,365
    
    $
    190,483Earnings
      available for combined fixed charges
    $
    390,777
    
    $
    379,624
    
    $
    377,934
    
    $
    361,292
    
    $
    397,023
    
    $
    514,411Ratio
      of Earnings to Fixed Charges
    
    2.19x
    
    
    2.11x
    
    
    1.99x
    
    
    1.81x
    
    
    2.01x
    
    
    2.70x
   **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,****2005**
    
    **2004**
    
    **2003**
    
    **2002**
    
    **2001**
    
    **2000**Earnings
      Available for Combined Fixed Charges andPreferred
      Dividend Requirements:Pre-tax
      income:Income
      from continuing operations
    $
    130,760
    
    $
    125,411
    
    $
    119,750
    
    $
    108,429
    
    $
    119,069
    
    $
    194,374Income
      taxes
    
    83,742
    
    
    76,756
    
    
    70,775
    
    
    52,557
    
    
    76,882
    
    
    129,407Income
      taxes charged to other income - net
    
    504
    
    
    (17
    )
    
    (162
    )
    
    2,082
    
    
    4,590
    
    
    1,411Subtotal
    
    215,006
    
    
    202,150
    
    
    190,363
    
    
    163,068
    
    
    200,541
    
    
    325,192Capitalized
      interest
    
    (2,993
    )
    
    (2,796
    )
    
    (2,272
    )
    
    (1,397
    )
    
    (883
    )
    
    (1,264
    )Total
    $
    212,013
    
    $
    199,354
    
    $
    188,091
    
    $
    161,671
    
    $
    199,658
    
    $
    323,928Fixed
      charges:Interest
      expense
    $
    169,973
    
    $
    172,050
    
    $
    182,902
    
    $
    192,830
    
    $
    190,849
    
    $
    184,217Other
      interest
    
    2,993
    
    
    2,796
    
    
    2,272
    
    
    1,397
    
    
    883
    
    
    1,264Portion
      of rentals representative of the interest factor
    
    5,798
    
    
    5,424
    
    
    4,669
    
    
    5,394
    
    
    5,633
    
    
    5,002Total
    $
    178,764
    
    $
    180,270
    
    $
    189,843
    
    $
    199,621
    
    $
    197,365
    
    $
    190,483Earnings
      Available for Combined Fixed Charges andPreferred
      Dividend Requirements
    $
    390,777
    
    $
    379,624
    
    $
    377,934
    
    $
    361,292
    
    $
    397,023
    
    $
    514,411Dividend
      Requirement:Fixed
      charges above
    $
    178,764
    
    $
    180,270
    
    $
    189,843
    
    $
    199,621
    
    $
    197,365
    
    $
    190,483Preferred
      dividend requirements below
    
    -
    
    
    -
    
    
    8,189
    
    
    11,777
    
    
    14,169
    
    
    15,047Total
    $
    178,764
    
    $
    180,270
    
    $
    198,032
    
    $
    211,398
    
    $
    211,534
    
    $
    205,530Ratio
      of Earnings to Combined Fixed Charges andPreferred
      Dividends Requirement
    
    2.19x
    
    
    2.11x
    
    
    1.91x
    
    
    1.71x
    
    
    1.88x
    
    
    2.50xComputation
      of Preferred Dividend Requirements:(a)
      Pre-tax income
    $
    215,006
    
    $
    202,150
    
    $
    190,363
    
    $
    163,068
    
    $
    200,541
    
    $
    325,192(b)
      Income from continuing operations
    $
    130,760
    
    $
    125,411
    
    $
    119,750
    
    $
    108,429
    
    $
    119,069
    
    $
    194,374(c)
      Ratio of (a) to (b)
    
    1.6443
    
    
    1.6119
    
    
    1.5897
    
    
    1.5039
    
    
    1.6842
    
    
    1.6730(d)
      Preferred dividends
    $
    -
    
    $
    -
    
    $
    5,151
    
    $
    7,831
    
    $
    8,413
    
    $
    8,994Preferred
      dividend requirements [(d) multiplied by (c)]
    $
    -
    
    $
    -
    
    $
    8,189
    
    $
    11,777
    
    $
    14,169
    
    $
    15,047