Enron Mail

From:dave.perrino@enron.com
To:alan.comnes@enron.com, susan.mara@enron.com
Subject:RE: CAISO Board Meeting - Report
Cc:kit.blair@enron.com, jeff.dasovich@enron.com, steve.hall@enron.com
Bcc:kit.blair@enron.com, jeff.dasovich@enron.com, steve.hall@enron.com
Date:Thu, 29 Nov 2001 15:29:49 -0800 (PST)

Alan,

The Board has now adjourned to Executive Session (2:55 PM) with NO public d=
iscussion about Enron and our Scheduling Coordinator status (althought ther=
e was some brief reference to SCE not going into bankruptcy but there may b=
e other participants they need to deal with - comment made during the budge=
t discussion). Below are some of the issues that may be of interest:

Information Policy. They are trying to "Streamline" dissemination of infor=
mation to Federal and State agencies. They are going to be trying to chang=
e the tariff language to create a "Safe harbor" for entities like FERC and =
EOB (or whatever State agency has current oversight authority of the ISO) =
What this safe harbor does is, assuming all parties have signed an appropri=
ate confidentiality agreement with the ISO, when the EOB requests "confiden=
tial" information the ISO would deliver this information ASAP - there would=
be a 5 day delay before the government agency could release this "confiden=
tial" information to the public, during which time the market participant(s=
) involved could petition to stop public disclosure of this information (it=
seems to set backwards the process today, where they have to subpoena us f=
or the data) The other catch here is, if the EOB gets the data, and ANY ot=
her government agency asks the EOB for the information, assuming the confid=
entiality agreements have been signed, allow for the EOB to pass this data =
on to the requestor. I believe the 5-day restriction on that entity then s=
tarts. No matter what, this policy would seem problematic - to date I don'=
t believe there is any state agency which has proved to be particularly tru=
stworthy when it comes to keeping information confidential.

Congestion Management - Mr. Kristov has outlined several steps to a new con=
gestion management mechanism. There are 3 phases to this proposal, interim=
with the ISO imposing limits on scheduling by generators and bids (no more=
negative dec bids), Develop a mechanism for the Day Ahead and Hour Ahead p=
rocess (which was not described - apparently it is still in the formative s=
tages) and finally develop and implement protocols and software which can d=
eal with congestion in Real-Time. Mr. K points to the addition of new Gen =
to the ISO system which is causing much of this new congestion and the nega=
tive dec bids. They will be filing this plan with the FERC soon.

FTR Auction - the presentation was just to show how FTRs are derived and to=
get a "rubber-stamp" approval to hold the auction in April. Well, it didn=
't seem to work out that way. Apparently Mr. Florio doesn't like the FTR m=
arket, there is concern that the ISO will not get the "right market value" =
for the FTRs and there was concern about congestion payments. The Board vo=
ted to "move" this item and leave it open for further review prior to the n=
ext Board meeting, where they may vote to ask FERC to allow them to suspend=
or reduce the term of the auctioned FTRs. We need to watch this for furth=
er developments.

CERS Relationship - Ziad Alaywan outlined the current and pending changes m=
ade as a result of FERC action on 11/20. Transition: As of 11/13 CERS has=
not been getting proprietary views of the BEEP stack. As of 11/16 CERS is=
no longer being supplied with previews of the D/A and H/A scheduling resul=
ts and by 11/30 at 2359, CERS - CAISO will no longer be providing any remai=
ning D/A, H/A and R/T information and presumably by 12/6 CERS payments will=
be made and will halt all OOM calls to CERS and the ISO will resume only m=
aking OOM calls to all participants when necessary as per their Tariff. Yo=
u can expect a market notice to this effect sometime tomorrow.

That's it!

Dave=20

-----Original Message-----
From: =09Perrino, Dave =20
Sent:=09Thursday, November 29, 2001 12:04 PM
To:=09Comnes, Alan; Mara, Susan
Cc:=09Blair, Kit; Dasovich, Jeff; Hall, Steve
Subject:=09RE: CAISO Board Meeting

Listening now. I will keep an ear open for the ESP issue.

-----Original Message-----
From: =09Comnes, Alan =20
Sent:=09Thursday, November 29, 2001 11:57 AM
To:=09Mara, Susan; Perrino, Dave
Cc:=09Blair, Kit; Dasovich, Jeff; Hall, Steve
Subject:=09CAISO Board Meeting

Is going on as we speak. Sue or Dave: can you listen in?

Board of Governors
Location: California ISO; 877-381-5998 Passcode: ISO