Dear Generation/Power Marketing Executive:

At its brief meeting yesterday, FERC approved a stripped-down consent agenda, 
without discussion, as described below.  Following this summary is an updated 
listing of filings at FERC.

In particular, FERC:

(1) Approved, 3-1, with Comm. Hebert dissenting, an extension of the existing 
temporary $1,000/MWh bid caps in the ISO-NE energy, automatic generation 
control and operating reserve markets through March 31, 2001.

(2) Rejected an aspect of ISO-NE's July 28 CMS/MSS compliance filing, namely 
its proposed Installed Capacity (ICAP) deficiency charge, and directed the 
ISO to reinstitute the previous, administratively-determined deficiency 
charge that the Commission required the ISO to revert to in its June 28 
Order; other aspects of the filing will be addressed separately, FERC 
indicated.

(3) Accepted in part, and rejected in part, American Transmission Company, 
LLC.'s (ATC) proposed OATT and rates, with Comm. Massey concurring.  Among 
other things, FERC rejected ATC's innovative rate proposal, without prejudice 
to ATC submitting a new FPA Section 205 rate filing, based on its finding 
that ATC's ROE and other rate proposals amounted to a "request for the 
innovative rates that we have indicated we would consider in an RTO 
context."  ATC sought such rates prior to joining an approved RTO, FERC 
specified, distinguishing this case from its September 28 Order authorizing 
innovative rate treatment for International Transmission Company.

(4) Accepted for filing TransEnergie's two filed compliance reports on its 
procedures for reassignment of transmission rights and the results of its 
open season, respectively.

(5) Rejected proposed amendments filed by two Southern Energy parties to 
their respective Reliability Must Run (RMR) Agreements with CA ISO, after 
finding the amendments were inconsistent with the terms of a prior RMR 
settlement.

Numerous significant items were stricken, including the Alliance RTO 
compliance filing (CAE-27), the Southern petition concerning its RTO plans 
(CAE-23), and the Illinois Power-MISO withdrawal docket (CAE-16).

                                == RECENT FERC FILINGS ==

(1)  RTO DEVELOPMENTS

*  TENASKA filed a motion to intervene out of time regarding ALLIANCE's pro 
forma generator interconnection procedures and agreement contained in the 
proposed ALLIANCE RTO OATT.  ER99-3144-004 and EC99-80-004.  Filed December 
8, 2000.

*  CONSOLIDATED EDISON OF NEW YORK, ORANGE AND ROCKLAND UTILITIES filed a 
request for rehearing and clarification of the Commission's November 8, 2000 
Order regarding market problems in the New York market.  ER00-3591-005 and 
ER00-1969-005.  Filed December 8, 2000.

*  The following entities filed comments to the CITY OF VERNON's compliance 
filing regarding transmission revenue requirements and its proposed 
transmission owner tariff.  EL00-105-001.  Filed December 8, 2000.

-  CITIES OF REDDING, SANTA CLARA and PALO ALTO, CA and the
   M-S-R PUBLIC POWER AGENCY
-  SEMPRA ENERGY
-  CA ISO

*  SOUTHERN CALIFORNIA EDISON CO. filed a motion for an immediate 
modification and to intervene regarding the Commission's emergency order 
December 8 approving the CA ISO's tariff amendments.  ER01-607-000, 
ER00-95-000 et. al.  Filed December 11, 2000.

*  CAL PX filed a motion to intervene and a motion for emergency expedited 
modification regarding the CA ISO's Tariff Amendment No. 33.  ER01-607-000.  
Filed December 11, 2000.

*  AUTOMATED POWER EXCHANGE filed reply comments to the CA ISO's "Analysis of 
'Order Proposing Remedies for California Wholesale Electric Markets (Issued 
November 20, 2000).'"  EL00-95-000 et. al.  Filed December 11, 2000.

*  CONSUMERS ENERGY CO. filed a protest to the filing made by MISO that 
proposes to allow some additional transmission owners who are members of MAPP 
the option of electing network transmission service for their bundled retail 
customers while withholding this option for other transmission owners.  
ER98-1438-007.  Filed December 11, 2000.

*  The following entities filed motions to intervene and protest regarding 
NEPOOL's revised Market Rules for Rule 3 support implementation of electronic 
dispatch, Rule 5 regarding uplift payments at low operating limits and Rule 
11 regarding installed capacity responsibility as well as a revised 
Implementation Date for Electronic Dispatch.  ER01-493-000.  Filed December 
12, 2000.

-  PG&E
-  NORTHEAST UTILITIES
-  DUKE ENERGY NORTH AMERICA
-  NRG POWER MARKETING

*  CA ISO withdrew its application for an Order to compel SAN DIEGO GAS & 
ELECTRIC CO. (SDG&E) to perform those transmission services necessary to 
fulfill the terms of the Transmission Control Agreement between SDG&E and the 
CA ISO, the Transmission Owners tariff and the CA ISO tariff.  TX01-1-000.  
Comments due by January 2, 2001.

*  The Commission released a Notice of Technical Conference related to the 
NYISO in the following Dockets:  ER00-3591-000, ER00-1969-001, ER01-94-000 
and ER01-180-000.  The conference has been scheduled for January 22 and 23, 
2001.

(2) OATT/TRANSMISSION

*  AMERICAN ELECTRIC POWER SERVICE (AEP), on behalf of APPALACHIAN POWER CO., 
filed a motion for rehearing regarding the Commission's November 9, 2000 
Order which accepted the interconnection agreement between AEP and WOLF HILLS 
ENERGY but did not waive the prior notice requirement.  ER00-3688-001.  Filed 
December 7, 2000.

*  COMMONWEALTH EDISON CO. filed revisions to its OATT to reflect the 
creation of a new generation subsidiary of EXCELON CORP., COMED's holding 
company.  ER01-628-000.  Filed December 8, 2000.

*  DAYTON POWER & LIGHT CO. (DP&L) filed an answer to the INDUSTRIAL ENERGY 
USERS - OHIO's motion to intervene and protest regarding DP&L's proposed 
changes to its OATT for the purpose of Ohio's retail competition laws.  
ER01-317-000.  Filed December 7, 2000.

*  ARIZONA CONSUMER-OWNED ELECTRIC SYSTEMS filed a motion to intervene and 
for clarification regarding ARIZONA PUBLIC SERVICE CO.'s proposed revisions 
to its OATT regarding terms and conditions for interconnection and a pro 
forma interconnection and operating agreement.  ER01-463-000.  Filed December 
7, 2000.

*  PANDA GILA RIVER filed a motion to intervene regarding ARIZONA PUBLIC 
SERVICE CO.'s filed proposed revisions to its OATT for terms and conditions 
for interconnection and a pro forma interconnection and operating agreement.  
ER01-143-000.  Filed December 7, 2000.

*  WOLVERINE POWER SUPPLY COOP. filed a motion to intervene regarding 
CONSUMERS ENERGY CO. and MICHIGAN ELECTRIC TRANSMISSION CO.'s  (MICHIGAN 
TRANSCO)  OATT superseding, for the most part, CONSUMERS' OATT.  
ER01-414-000.  Filed December 8, 2000.

*  MISO filed a letter clarifying and correcting certain statements contained 
in its proposed amendments to its OATT which were filed with the Commission 
on November 20, 2000.  ER01-479-000.  Filed December 11, 2000.

*  INTERNATIONAL TRANSMISSION CO. filed an answer to protests regarding its 
request for innovative transmission rates.  ER00-3295-000.  Filed December 
11, 2000.

*  CONSUMERS ENERGY filed an answer to motions to intervene regarding its 
proposed amendment to its OATT regarding procedures to be used for requests 
to interconnect new generators and increasing capacity.  ER01-318-000.  Filed 
December 12, 2000.

*  NEW HORIZON ELECTRIC COOP filed to respond to DUKE ENERGY's answer to a 
motion for clarification by NEW HORIZON regarding whether Energy Imbalance 
Service under DUKE's OATT applies to NEW HORIZON if it implements dynamic 
scheduling and moves it load from DUKE's control area.  EL00-101-001.  Filed 
December 13, 2000.

*  AMERICAN ELECTRIC POWER SERVICE CORP. filed an executed interconnection 
and operation agreement between OHIO POWER CO. and NATIONAL POWER COOP.  
ER01-552-000.  Comments due by December 22, 2000.

*  CAROLINA POWER & LIGHT filed a revised interconnection agreement between 
itself and SHARYLAND UTILITIES in compliance with the Commission's Order of 
November 20, 2000.  ER01-279-001.  Comments due by December 26, 2000.

*  CENTRAL MAINE POWER CO. filed an initial rate schedule and an 
interconnection agreement between itself and SPARHAWK MILL CO.  
ER01-576-000.  Comments due by December 26, 2000.

*  ALLEGHENY ENERGY SUPPLY CO. filed revised sheets to its First Revised Rate 
Schedule FERC No. 3.  The filing amends the agreement to add MONONGAHELA 
POWER CO. as a party with the other ALLEGHENY POWER COs to reflect customer 
choice in Ohio.  ER01-608-000.  Comments due by December 26, 2000.

*  CENTRAL MAINE POWER CO. filed an executed interconnection agreement 
between itself and MARSH POWER.  ER01-598-000.  Comments due by December 27, 
2000.

*  PACIFIC GAS & ELECTRIC filed an interconnection agreement between itself 
and the SAN JOAQUIN IRRIGATION DISTRICT.  ER01-603-000.  Comments due by 
December 28, 2000.

*  COMMONWEALTH EDISON CO. filed a revised unexecuted interconnection 
agreement with UNIVERSITY PARK and related supporting material in compliance 
with the Commission's November 8, 2000 Order.  ER00-3668-001.  Comments due 
December 29, 2000.

*  WISCONSIN ELECTRIC POWER CO. filed a motion to intervene and protest 
regarding the generation-transmission interconnection agreement filed between 
the AMERICAN TRANSMISSION CO. and WISCONSIN POWER & LIGHT CO. relating to the 
EDGEWATER 5 Generation Unit.  ER01-484-000.  Filed December 12, 2000.


(3) MARKET COMPLAINTS

*  ORMET PRIMARY ALUMINUM CORP. filed a response to COMMONWEALTH EDISON's 
answer to ORMET's protest regarding the dynamic scheduling agreement between 
COMED Transmission and COMED Wholesale Energy Group.  ER01-236-000.  Filed 
December 11, 2000.

*  H.Q. ENERGY SERVICES filed for an Order directing the NY ISO to restore 
the original market clearing prices for energy on May 8, 2000.  EL01-19-000.  
Filed December 12, 2000.


(4) MERGERS/CORPORATE RESTRUCTURING

*  KOCH ENERGY TRADING (KET) filed a notice of change of status regarding 
ENTERGY CORP., which intends to form a partnership with KET's parent, which 
has announced an agreement to merge with FPL GROUP.  KET Also filed a revised 
code of conduct.  ER95-218-022.  Comments due by December 27, 2000.


(5) MISCELLANEOUS

*  The Commission granted an extension of time to the NYISO regarding the 
filing of a governance report so that market participants can comment.  
ER97-1523-005, ER97-1523-006, OA97-470-006, ER97-4234-004 and EC99-31-000.  
Issued December 11, 2000.

*  NYISO filed a report on certain generation issues one year after start-up 
in Docket Nos. ER97-1523-003 and 4, OA97-470-004 and 5, and ER97-4234-002 and 
3.  Comments due by December 22, 2000.

*  PACIFIC GAS AND ELECTRIC CO. filed a response to SOUTHERN ENERGY DELTA and 
SOUTHERN ENERGY POTRERO's  answer to various protests regarding their revised 
tariff sheets to the must-run service agreement between themselves and the CA 
ISO.  ER01-147-000.  Filed December 8, 2000.

*  CINERGY SERVICES, on behalf of CINCINNATI GAS & ELECTRIC CO. and 
subsidiaries, filed their compliance filing in Docket ER01-102-001.  Comments 
due by December 27, 2000.

*  The ILLINOIS COMMERCE COMMISSION filed a motion for rehearing regarding 
the Commission's November 8, 2000 Order granting market-based rates, 
approving tariffs, service, and power purchase agreements and waiving the 
code of conduct in regard to EXELON, PECO, COMED, HORIZON, AMERGEN,  and 
UNICOM.  ER00-3251-003, ER99-1872-004, ER98-1734-004, ER98-380-014, 
ER99-754-006, ER00-1030-006, ER97-3954-014 and ER00-2429-004.  Filed December 
6, 2000.

                                       ==OTHER NEWS==

MISO President/CEO Resigns; James Torgerson Named to Lead Company
http://biz.yahoo.com/prnews/001213/in_midwest.html

More transmission owners plan to leave MISO
http://biz.yahoo.com/rf/001213/n13334411.html

Arkansas Denies UtiliCorp/Empire Merger
http://biz.yahoo.com/bw/001213/mo_utilico_2.html


Nancy Tarr
Manager, Business Development
ntarr@eei.org
202-508-5680
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