UNITED STATES
             SECURITIES AND EXCHANGE COMMISSION
                  Washington, D.C. 20549


                         FORM 8-K

                   CURRENT REPORT


                  Pursuant to Section 13 or 15(d) of the
                      Securities Exchange Act of 1934


      DATE OF REPORT (DATE OF EARLIEST EVENT REPORTED) JUNE 24, 1998


                       Registrant; State of Incorporation; IRS Employer
COMMISSION FILE NUMBER ADDRESS; AND TELEPHONE NUMBER       IDENTIFICATION NO.

1-5532-99              PORTLAND GENERAL ELECTRIC COMPANY   93-0256820
                       (an Oregon Corporation)
                       121 SW Salmon Street
                       Portland, Oregon 97204
                       (503) 464-8000



        121 S.W. SALMON STREET, PORTLAND, OREGON            97204
        (Address of principal executive offices)         (zip code)

      Registrant's telephone number, including area code 503-464-8820






ITEM 5.  OTHER EVENTS - LEGAL MATTERS

CITIZENS'  UTILITY  BOARD  OF OREGON V. PUBLIC UTILITY COMMISSION OF OREGON and
UTILITY REFORM PROJECT, COLLEEN  O'NEILL  AND  LLOYD  MARBET  V.  OREGON PUBLIC
UTILITY COMMISSION, the Court of Appeals of the State of Oregon.

On  June 24, 1998, the Court of Appeals of the State of Oregon ruled  that  the
Oregon  Public  Utility  Commission (OPUC) does not have the authority to allow
Portland  General  Electric   (PGE)   to  recover  a  rate  of  return  on  its
undepreciated investment in the Trojan  generating  facility.  The court upheld
the OPUC's authorization of PGE's recovery of its investment in Trojan.

In April 1996, a circuit court judge in Marion County, Oregon ruled against the
OPUC,  contradicting a November 1994 ruling from the  same  court upholding the
OPUC's authority.  These decisions were appealed to the Court of Appeals.

The Company plans to file a petition for review with the Oregon  Supreme Court.
The  Company  does  not know if the OPUC will also appeal.  The Company  cannot
predict the outcome of  the  appeal.  Additionally, due to uncertainties in the
regulatory process, management  cannot  predict,  with certainty, what ultimate
rate making action the OPUC will take regarding PGE's  recovery  of  a  rate of
return on its Trojan investment.

Management  believes that the ultimate outcome will not have a material adverse
impact on the  financial  condition  of  the  Company.   However, it may have a
material impact on the results of operations for a future reporting period.



                            Signatures


Pursuant  to  the  requirements  of the Securities Exchange Act  of  1934,  the
registrants have duly caused this  report  to  be signed on their behalf by the
undersigned hereunto duly authorized.


                            Portland General Electric Company


June 26, 1998                      By          /S/ JOSEPH E. FELTZ
                                                       Joseph E. Feltz
                                                    Controller
                                         Chief Accounting Officer