Enron Mail

From:leslie.lawner@enron.com
To:rebecca.cantrell@enron.com, donna.fulton@enron.com, phillip.allen@enron.com,harry.kingerski@enron.com, paul.kaufman@enron.com, jeff.dasovich@enron.com, stephanie.miller@enron.com, roger.ponce@enron.com, jess.hewitt@enron.com, don.black@enron.com
Subject:California state regulatory matters
Cc:rubena.buerger@enron.com
Bcc:rubena.buerger@enron.com
Date:Thu, 5 Jul 2001 02:05:00 -0700 (PDT)

Let's try and set up a call to talk about the California intrastate gas
issues noted below (LDC hedging, rate unbundling and system
upgrades/expansions). Does Tues. July 10 at 3:00 Central work for everyone?

(Roger please pass on to EES folks who should be on).

Thanks.

----- Forwarded by Leslie Lawner/NA/Enron on 07/05/01 08:54 AM -----

James D Steffes
07/03/01 03:23 PM

To: Leslie Lawner/NA/Enron@Enron
cc:
Subject: California state regulatory matters

Leslie --

Can you organize a call that goes through these issues and begins to
rationalize the information requested by Phillip? While these issues are
important, I don't see the CPUC doing anything in the near-term to help fix
the problems.

Jim

---------------------- Forwarded by James D Steffes/NA/Enron on 07/03/2001
03:22 PM ---------------------------
From: Leslie Lawner on 06/27/2001 12:59 PM
To: Paul Kaufman/Enron@EnronXGate, Jeff Dasovich/NA/Enron@Enron, James D
Steffes/NA/Enron@Enron
cc: Harry Kingerski/NA/Enron@Enron, Rebecca W Cantrell/HOU/ECT@ECT, Donna
Fulton/Corp/Enron@ENRON, Phillip K Allen/Enron@EnronXGate

Subject: California state regulatory matters

Paul and Jeff,

Becky, Donna and I (gas girls) met with Phillip Allen (ENA West) to discuss
FERC gas issues today, and Phillip had some issues that were more state than
federal, and I told him I would bring them to your attention.

He is interested in seeing incentive rates or more hedging on the part of the
CA LDC's so that all their needs are not being served by the spot market. In
the current market, hedges (longer term contracting and financial) are being
done primarily by the producers and marketers, which results in a thin and
probably off-kilter market (the LDCs buying for the customers are not
participating). I know we have to square this with the EES positions, but I
am not up to speed on what is going on in CA on this issue.

Phillip also made that point that while the LDCs are focusing on their core
load, no one is doing system planning on the macro basis, taking into account
the ability of the physical systems to meet the needs of all customers, core
and non-core and making sure the system will be adequate.

Finally, he is very interested in seeing the CA LDC rates unbundled.

Any updates we can provide to Phillip (and the gas girls) would be
appreciated, as well as what our plans are to address these issues.

From our side, El Paso is having a conference in July and we will be taking
up a number of allocation and transportation issues at that time.

Thanks.