FYI, I haven't reviewed yet.  Also, I told Andrea to not do anything on this.  We can decide how we want to use it.
---------------------- Forwarded by Christi L Nicolay/HOU/ECT on 08/01/2001 06:03 PM ---------------------------


"Cardell, Judith" <jcardell@tca-us.com> on 08/01/2001 12:26:49 PM
To:	"'Christi.L.Nicolay@enron.com'" <Christi.L.Nicolay@enron.com>
cc:	"Tabors, Richard" <rtabors@tca-us.com>, "Cardell, Judith" <jcardell@tca-us.com> 

Subject:	Southeast RTO draft affidavit


Hi Christi,

Here's the draft of the affidavit, which I have sent to Andrea Settanni as
well, to review.  The analysis has two sections 1) historical trading data
in the southeast, and 2)a power flow analysis of 61 different transactions
to examine parallel flows.  We found that for all types of transactions
there are extensive parallel flows throughout the southeast (Grid South,
Southern Company, Grid Florida, and Entergy), including TVA and SPP as well.
SPP seems to be as tightly tied to MAPP as to Entergy and SoCo, so could go
either way (i.e. with the Southeast or with the Midwest).

In addition to significant parallel flows throughout, my analysis of the
trade data showed quite a bit of marketer activity (both marketers such as
Enron and Coral... and also marketing affiliates of transmission providers).
To me this says that a large RTO is required because marketers are clearly
important participants in the electricity markets in the southeast, and they
do not confine themselves to small areas. The regions will need consistent
trading and market rules if strong competitive markets are to develop and
continue to allow the expansion of trade.

This draft should become a final version once Andrea has had a chance to
check the content and format.  Please let me know if this affidavit
addresses your questions, or if you want to have any additional questions
analyzed.

Thank you,
Judy

 <<affidavit draft 2.wpd>>  <<Exhibit JBC-62 SE Map.pdf>>  <<Exhibits JBC-1
to 61.pdf>>

__________________________
Judith Cardell, Ph.D.
Senior Associate
Tabors, Caramanis & Associates
50 Church St. Cambridge MA 02138
ph: 617-354-5304; fax: 617-354-5882
www.tca-us.com


 - affidavit draft 2.wpd 
 - Exhibit JBC-62 SE Map.pdf 
 - Exhibits JBC-1 to 61.pdf