TOP 10 PRIORITIES                                    1.  Alberta Power 
Purchase Agreements -  If Enron Canada is successful in the PPA auction, 
Enron Canada will have a very long position in the Alberta wholesale market; 
continued risk mitigation efforts, advocacy of  good transmission and 
distribution tariffs,  and development of rules for Plan "B" ( for those 
units that received no bids) will be 
critical.                                   2.  Continued support for  
ongoing commercial transactions other than the PPAs and help in 
identification of where commercial opportunities are. (An example of the 
later, work  with commercial people to analyze how recent initiative re 
transmission tariff and wholesale market design in Ontario enhance 
opportunities for "Power by the Hour" and other distributed generation 
projects.)                              3. Ontario Electricity Market Opening 
- work to avoid further delay in market opening and advise on the development 
of procedures and practices for the new market. (As an example of the later, 
working with traders in Toronto and Houston to understand mechanisms for 
interregional trade and transmission rights, and the commercial  
opportunities that exist.)                                  4. Enhancement of 
wholesale market design in Alberta and Ontario.                              
5. Assist Enron Canada and EES Canada  in better understanding rules 
applicable   to wholesale and retail transactions in Ontario and 
Alberta.                     6. Alberta Natrural Gas 
Unbundling.                                  7. Renewed focus on potential 
for restructuring of power markets in British Columbia in the event that the 
New Democrats (socialists) are defeated and replaced  by a Liberal  
(pro-business) government in the province.                                
RECOMMENDATIONS TO MAKE GOVERNMENT AFFAIRS MORE 
EFFECTIVE                                              1. Encourage 
government affairs staff based outside of Houston to make periodic visits to 
Houston to meet with Houston based group and to meet with commercial groups 
in Houston. (In our case this would include 
Calgary).                               2. Replace or supplement the large 
group meetings with smaller meetings/seminars in which smaller groups can 
focus on issues of particular interest or enhance their understanding of a 
particular issue.  Seminars would be more in depth than what is possible in 
current group meeting format.                        3. Continue to enhance 
the information retrieval system so it  is easier to locate useful material 
(i.e. submissions, filings, etc.).                        4. Continue to 
emphasize to the commercial group  (at all levels) the value to Enron of  
involving  government affairs in every major transaction  (value enhancing, 
risk mitigating) -  this should become the practice rather than the 
exception.