I'd say, "What next?", but I'm afraid to ask....
Regarding our California strategy, preventing the merger would seem to be 
right up there with "end the price caps" in our list of priorities.  At 
today's FERC hearing, a hair-brained consumer advocate called for merging the 
PX and the ISO.  During the panel I was on, I made the point that a merger 
would make California's problems worse than they are today.  The FERC 
Commissioners seemed somewhat responsive to my concerns.
P.S. After the panel, Heber lobbied me hard to support transcos.
DJ Freeman Sees Cal/ISO, PX Merger, Lower Price Cap 
Copyright , 2000 Dow Jones & Company, Inc. 

By Jason Leopold 
     Of DOW JONES NEWSWIRES 
     SAN DIEGO (Dow Jones) -- David Freeman, seen a likely replacement for 
Marcie Edwards on the board of governors of the California Independent System 
Operator, said his first order of business would be to try and merge the ISO 
and the California Power Exchange. 
     Edwards resigned her post on the ISO Thursday. 
     An informal consensus among the board has already approved his 
membership. 
     Freeman told Dow Jones Newswires that the $250 per megawatthour 
wholesale power price cap in California is too high, and that he would like 
to see it reduced below $100/MWh. 
     "I think my role (on the board) will help the state solve it's serious 
generation shortage problem," Freeman said. 
     Some market participants said Freeman is expected to run for chair of 
the ISO's board of governors, a seat currently held by Jan Smutny-Jones. 
     The Los Angeles Department of Water and Power has this summer been able 
to sell the ISO power in the real time market, and make a great profit for 
itself in return. 
     By Jason Leopold (323)658-3874.