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Enron Mail |
Jim and others,
I think we are suffering from not enough time to fully iterate this, as well as little information on what others are going present. The basic messages as I see them (and not having trued this up with Mary or others) are: 1. The markets are working consistent with physics and economics; demand is up, supplies are down and higher prices are resulting. 2. Characteristics of the retail markets have resulted in risks being passed to end users. Are such issues impeding wholesale markets? If so, perhaps FERC can influence movement in this area. 3. We shouldn't equate outcomes at the retail level with bad structure at wholesale level. The key is to distinguish the retail issues so that FERC can focus on the wholesale issues. 4. Any remaining concerns should be studied further rather than simply receiving blame for the outcomes we've seen: Whether there is market power? Whether rather it's a matter of scarcity rents? What are appropriate scarcity rents? Is monopsony power on the buyers' side (utilities) causing undesirable economic and reliability outcomes. (And out of this should be consideration of whether an across-the-board $250 cap is the right one, especially given that the ISO staff itself recognizes that this is a poor proxy for what buyers are willing to pay as scarcity rents.) That's my 2 cents. I don't know what Mary's additional thoughts are, nor how what other parties will say may affect what we should emphasize. Certainly, though, your feedback is invaluable. If you reply with feedback I'll do what I can to see that Enron's message reflects your preferences. Regards, Ellen. James D Steffes wrote: < Mary & Joe -- < < Given the time frame for our response (2 - 4 minutes), we need to prepare not < only our "leave behind" but also our "oral message". < < I want to make sure that everyone agrees with the theme and content of our < verbal discussions. Can you please put out an outline of the message and < details and then make sure the Trading desk and CA Govt Affairs agree with the < form and delivery (set up a conference call if necessary)? < < This is a very complicated issue and very short time frame to deliver. The more < we prepare I think the better we'll do. < < Thanks, < < Jim < < ------------------------------------------------------------------------ < Name: August 24 presentation to FERC1.ppt < August 24 presentation to FERC1.ppt Type: Microsoft PowerPoint Show (application/vnd.ms-powerpoint) < Encoding: base64 < Description: Microsoft PowerPoint 97 - ellen.vcf
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