Gas Marketing Affiliate Rule

---------------------- Forwarded by Christi L Nicolay/HOU/ECT on 01/17/2001
05:05 PM ---------------------------
From: Leslie Lawner@ENRON on 01/17/2001 09:24 AM
To: Christi L Nicolay/HOU/ECT, Joe Hartsoe/Corp/Enron@ENRON
cc: James D Steffes/NA/Enron@Enron

Subject: Gas Marketing Affiliate Rule

Joe and Christi, I would like your reaction to this notion. On the gas side,
FERC is revisiting the marketing affiliate rule and code of conduct. One
repeated refrain coming from non-affiliated marketers is that the definition
of marketing affiliate needs to refined to include electric
generators/merchant plants affiliated with the pipeline. There is a concern
that since they are not covered by the existing rule, they get preferential
treatment (timing, info, rates) that gives an advantage to the affiliate's
projects over those planned by third parties. Would we object to changing
the definition so that these entities are considered marketing affiliates? I
would be inclined to go along with the change, if it doesn't hurt us. Let me
know. Thanks.