Clean Air/NOx Briefing for ENA:  On Monday 8/28, Environmental Strategies 
held a detailed briefing on Clean Air/NOx regulations for the ENA East Power 
Desk, which resulted in several ongoing projects.   Over 40 people, including 
Kevin Presto (head of trading), almost all the traders, all analysts, and all 
fundimentals (IT, information) staff were in attendance.    Mary Schoen 
pulled the presentation together and addressed financial impacts of the 
regulations on power markets. Jeff Keeler gave background, history, and 
future timelines regarding NOx and other air regulation.   Gus Egnheim and 
Marc Phillips  assisted with technical questions related to control 
technologies.   The meeting  concluded with a discussion of strategy going 
forward, and a project to assist ENA in a detailed analysis of the effects on 
power plants and markets in the NOx SIP Call states.   Kevin Presto (who is 
also responsible for running the peakers) indicated that it may be more 
preferable to sacrifice some of our peaker interests and develop a strategy 
that supports state and EPA efforts that increase costs as much as possible 
on our competitors.   This will be an ongoing strategic effort  to add value 
to ENA.

   Texas Renewable Energy Credit Comments:  Enron led a group of companies 
that generate, trade and market renewable energy and environmental advocates 
in filing joint comments on issues related to the implementation of a 
Renewable Energy Credit ("REC") trading program in Texas.  Stacey Bolton  led 
drafting efforts on behalf of the group, and worked within Enron to 
coordinate our positions.  The program is consistent with positions we've 
taken, in that attributes of energy can be traded separately from its energy 
source.    The group recommended changes that would lead to consistency and 
adaptability, including comments about what information should be included on 
the credit's "label" and a recommendation that any environmental disclosure 
requirements be developed in conjunction with the REC trading protocol.

Pipeline Safety:   We continue to monitor the legislative climate following 
the tragic El Paso pipeline eruption and fire in Carlsbad, NM, in which 10 
people were killed.    While the widely-held perception among industry is 
that the accident will have a negative effect on the legislation, information 
from Capitol Hill continues to indicate that the legislation will not likely 
become more burdensome -- there is just a greater likelihood that it will 
receive attention and an effort will be made to pass something this 
Congress.   It is expected that the full Senate may act in the two weeks 
after Labor Day weekend, but that the House still may not be ready to move 
legislation through committee and to the House floor until later in 
September.  INGAA is recommending hiring an outside lobbying firm to assist 
in efforts going forward, due to the thought that many companies will not 
want to be active or visible in lobbying this issue because of the El Paso 
accident.  Jeff  Keeler will investigate the climate on Capitol Hill further 
before Enron signs off on this strategy.   In addition, Stan Horton will be 
in DC the week of 9/5 to attend meetings at DOE and Dept. of Treasury, to 
talk about the possible impacts of the accident on energy markets and the 
economy.   

In addition to advising GPG, we have been providing information and analysis 
to ENA Competitive Analysis, who is advising ENA management on the effects of 
this legislation on gas and power markets, so that we may take advantage of 
opportunities that arise.

 Climate Change:   Jeff  Keeler has been providing information on various 
climate change proposals to Enron South America, who will be engaging in a 
dialogue with Brazilian environmental regulators over Enron's involvement or 
interest in Joint Implementation and Emissions Trading programs.

Georgia NOx SIP Regulations - Marc Phillips attended a meeting with the 
Georgia Environmental Protection Division regarding their development of 
non-attainment NOx transport rules in Georgia to gather environmental 
intelligence for ENA/EES project development.

Houston Non-Attainment regulations - Marc Phillips is attending a meeting 
with other pipeline companies to discuss preparing industry comments 
regarding the proposed Houston non-attainment regulations and the emission 
limits on reciprocating engines that could have a $30 - 40 MM impact on GPG 
operations over a three year period.

Enron Ergonomic CBT -  Russell Tucker received and approved the release 
candidate short version of the Office Ergonomics CBT CD-ROM and should have 
final copies from manufacturing for the 20 administrative level employee  
workstation egronomic pilot testing during the first week of September 2000.

API Task Force Review For ANSI Z365 Vote - Russell Tucker has reviewed the 
extensive changes made by the Accredited Standards Committee  for the Z365, 
"Control of Cumulative Trauma Disorders" proposed ANSI consensus standard as 
a member of the API Task Force deciding the issues.   Russ submitted comments 
directly to the Committee on behalf of Enron. 

International Emergency Response Contractors - Completed the list of 
emergency responders.  Report submitted to Mike Terraso on August 31.  A 
meeting with Don Hawkins GPG, serving as Corp Emergency Response  
coordinator, will be scheduled for next week to present the list and discuss 
next steps.

EHS Indirect Report Staff Meeting - Mike Terraso met with the  EHS management 
indirect reports ,environmental legal and conferencing in with Jeff Keeler in 
Washington, NEPCO in Seatle.  The meeting reviewed 2000 objectives status; 
current federal legislative issues and  shared cross company information.

EES/OEC Federal Services -  Mike Terraso, Henry Van and Susan Worthen met 
with Don Hawkins to review EHS asset support services for EES/OEC federal 
services.

Friends of Earth - Mike Terraso, Kelly Kimberly and Lauren Goldblatt  are 
meeting with FOE in Washington on Friday to initiate stakeholder dialogue on 
biodiversity  in response to FOE proxy statement at last the  Enron 
shareholder meeting.  Other NGO's attending Conservation International, World 
Wildlife Fund, World Resources International.

Contractor Safety Awareness Program - Corp EHS (S.Watson, H. Van, M. Terraso) 
in cooperation with Bill Donovan's group conducted initial building 
contractor safety awareness program for contractors performing demolition/ 
buildouts in the Enron Building.

Earth Day 2001 - at the request of Cindy Olsen, Mike Terraso met with Missy 
Stevens (community relations) to review Enron Earth Day 2001 initiatives.

GHP - Business Council for Clean Air - Mike Terraso participated in review of 
a clean air technology verification proposal presented to Greater Houston 
Partnership Business Council for Clean Air.  The program would substitute 
emission reductions gained through accepted technology to lessen the impact 
on mobile and stationary air emission sources in the eight county Houston 
non-attainment area. The project would be performed in time for a mid-course 
correction of the Texas SIP.

Texas Nature Conservancy - M. Terraso and John Shafer (GPG VP EHS)  met with 
Robert Potts, Texas Nature Conservancy director and Nigel Homer, National 
Nature Conservancy to review potential cooperative employee educational and 
community service activities programs for Enron. 

 Clean Air/NOx Briefing for ENA:  On Monday 8/28, Environmental Strategies 
held a detailed briefing on Clean Air/NOx regulations for the ENA East Power 
Desk, which resulted in several ongoing projects.   Over 40 people, including 
Kevin Presto (head of trading), almost all the traders, all analysts, and all 
fundimentals (IT, information) staff were in attendance.    Mary Schoen 
pulled the presentation together and addressed financial impacts of the 
regulations on power markets. Jeff Keeler gave background, history, and 
future timelines regarding NOx and other air regulation.   Gus Egnheim and 
Marc Phillips  assisted with technical questions related to control 
technologies.   The meeting  concluded with a discussion of strategy going 
forward, and a project to assist ENA in a detailed analysis of the effects on 
power plants and markets in the NOx SIP Call states.   Kevin Presto (who is 
also responsible for running the peakers) indicated that it may be more 
preferable to sacrifice some of our peaker interests and develop a strategy 
that supports state and EPA efforts that increase costs as much as possible 
on our competitors.   This will be an ongoing strategic effort  to add value 
to ENA.

   Texas Renewable Energy Credit Comments:  Enron led a group of companies 
that generate, trade and market renewable energy and environmental advocates 
in filing joint comments on issues related to the implementation of a 
Renewable Energy Credit ("REC") trading program in Texas.  Stacey Bolton  led 
drafting efforts on behalf of the group, and worked within Enron to 
coordinate our positions.  The program is consistent with positions we've 
taken, in that attributes of energy can be traded separately from its energy 
source.    The group recommended changes that would lead to consistency and 
adaptability, including comments about what information should be included on 
the credit's "label" and a recommendation that any environmental disclosure 
requirements be developed in conjunction with the REC trading protocol.

Pipeline Safety:   We continue to monitor the legislative climate following 
the tragic El Paso pipeline eruption and fire in Carlsbad, NM, in which 10 
people were killed.    While the widely-held perception among industry is 
that the accident will have a negative effect on the legislation, information 
from Capitol Hill continues to indicate that the legislation will not likely 
become more burdensome -- there is just a greater likelihood that it will 
receive attention and an effort will be made to pass something this 
Congress.   It is expected that the full Senate may act in the two weeks 
after Labor Day weekend, but that the House still may not be ready to move 
legislation through committee and to the House floor until later in 
September.  INGAA is recommending hiring an outside lobbying firm to assist 
in efforts going forward, due to the thought that many companies will not 
want to be active or visible in lobbying this issue because of the El Paso 
accident.  Jeff  Keeler will investigate the climate on Capitol Hill further 
before Enron signs off on this strategy.   In addition, Stan Horton will be 
in DC the week of 9/5 to attend meetings at DOE and Dept. of Treasury, to 
talk about the possible impacts of the accident on energy markets and the 
economy.   

In addition to advising GPG, we have been providing information and analysis 
to ENA Competitive Analysis, who is advising ENA management on the effects of 
this legislation on gas and power markets, so that we may take advantage of 
opportunities that arise.

 Climate Change:   Jeff  Keeler has been providing information on various 
climate change proposals to Enron South America, who will be engaging in a 
dialogue with Brazilian environmental regulators over Enron's involvement or 
interest in Joint Implementation and Emissions Trading programs.

Georgia NOx SIP Regulations - Marc Phillips attended a meeting with the 
Georgia Environmental Protection Division regarding their development of 
non-attainment NOx transport rules in Georgia to gather environmental 
intelligence for ENA/EES project development.

Houston Non-Attainment regulations - Marc Phillips is attending a meeting 
with other pipeline companies to discuss preparing industry comments 
regarding the proposed Houston non-attainment regulations and the emission 
limits on reciprocating engines that could have a $30 - 40 MM impact on GPG 
operations over a three year period.

Enron Ergonomic CBT -  Russell Tucker received and approved the release 
candidate short version of the Office Ergonomics CBT CD-ROM and should have 
final copies from manufacturing for the 20 administrative level employee  
workstation egronomic pilot testing during the first week of September 2000.

API Task Force Review For ANSI Z365 Vote - Russell Tucker has reviewed the 
extensive changes made by the Accredited Standards Committee  for the Z365, 
"Control of Cumulative Trauma Disorders" proposed ANSI consensus standard as 
a member of the API Task Force deciding the issues.   Russ submitted comments 
directly to the Committee on behalf of Enron. 

International Emergency Response Contractors - Completed the list of 
emergency responders.  Report submitted to Mike Terraso on August 31.  A 
meeting with Don Hawkins GPG, serving as Corp Emergency Response  
coordinator, will be scheduled for next week to present the list and discuss 
next steps.

EHS Indirect Report Staff Meeting - Mike Terraso met with the  EHS management 
indirect reports ,environmental legal and conferencing in with Jeff Keeler in 
Washington, NEPCO in Seatle.  The meeting reviewed 2000 objectives status; 
current federal legislative issues and  shared cross company information.

EES/OEC Federal Services -  Mike Terraso, Henry Van and Susan Worthen met 
with Don Hawkins to review EHS asset support services for EES/OEC federal 
services.

Friends of Earth - Mike Terraso, Kelly Kimberly and Lauren Goldblatt  are 
meeting with FOE in Washington on Friday to initiate stakeholder dialogue on 
biodiversity  in response to FOE proxy statement at last the  Enron 
shareholder meeting.  Other NGO's attending Conservation International, World 
Wildlife Fund, World Resources International.

Contractor Safety Awareness Program - Corp EHS (S.Watson, H. Van, M. Terraso) 
in cooperation with Bill Donovan's group conducted initial building 
contractor safety awareness program for contractors performing demolition/ 
buildouts in the Enron Building.

Earth Day 2001 - at the request of Cindy Olsen, Mike Terraso met with Missy 
Stevens (community relations) to review Enron Earth Day 2001 initiatives.

GHP - Business Council for Clean Air - Mike Terraso participated in review of 
a clean air technology verification proposal presented to Greater Houston 
Partnership Business Council for Clean Air.  The program would substitute 
emission reductions gained through accepted technology to lessen the impact 
on mobile and stationary air emission sources in the eight county Houston 
non-attainment area. The project would be performed in time for a mid-course 
correction of the Texas SIP.

Texas Nature Conservancy - M. Terraso and John Shafer (GPG VP EHS)  met with 
Robert Potts, Texas Nature Conservancy director and Nigel Homer, National 
Nature Conservancy to review potential cooperative employee educational and 
community service activities programs for Enron. 

Cuiaba II - Joe Kolb was not able to participate in the conference call this 
week.  Mid-September is key date after which work on the compressor stations 
is expected to begin in earnest.

Cuiaba Pipeline - Joe Kolb is trying to contact David Runte to verify 
information in the monthly report and is currently planning a trip to Bolivia 
with Edgar Zuleta to inspect and review project-related issues first hand. 

Construction BMPs - Bob Moss has not heard received any comments from Jerry 
Martin or his staff.  Regarding the fiber optic component of the BMPs, Joe 
Kolb has not been able to discuss the project with Herb Caballero.   Bill 
Osborne has distributed the pipeline BMPs to Shafer, Ryther, and Steenberg 
for their comments.  He hopes to get their feedback this week and then take 
it on to others within GPG.

Greenfield Risk Mangement Project - Documents that lay out sequence of 
environmental aspects of major capital project development are nearly 
complete.  The one for GPG is being reviewed by Bill Osborne.

Recycling Committee -  Wayne Lei has sent info on PGE's recycling program, 
which Joe Kolb provided to David  Ronkainen.  Joe Kolb conducted an informal  
small energy conservation survey on 3AC 15 and found that 53% of the 36 
office credenza lights and 35% of the 110 cubicle lights were left burning, 
plus 3 computers, 1 radio and 1 fan.  If we decide to promote energy 
conservation in our downtown offices, the impact should be something that can 
be estimated by doing before and after surveys on a few floors.

Isagen Privatization, Colombia - Don Stevens provided an environmental due 
diligence scope of work to Mario Brunasso, Development Engineering, who will 
forward it to a local engineering consulting firm.  Due to high security 
risk, Enron has elected to hire Harza for the full scope of the due 
diligence.  The privatization includes hydro and thermal generation and 
transmission, accounting for over 30% of Colombia's energy supply.

Project Dragon, Asia - The Environmental Schedule of the Share Purchase 
Agreement was circulated for review by Bruce Lundstrom, APAChi Legal.  Copies 
were forwarded to Frank Smith for comment.  The lenders have begun their due 
diligence in Hong Kong and key discipline leaders are on standby to answer 
questions.  A TransitionsTeam may be deployed in October/November.  This deal 
is still very confidential and Enron Asia power plants and personnel do not 
know anything.

ENEL, Nicaragua - Don Stevens has requested Ramiro Garcia to review proposed 
legislation for Nicaragua to assist in the evaluation of its potential 
impact.  The proposal is very stringent and does not have much chance of 
success; however, Enron has learned some of the other bidders are addressing 
capital costs associated with the potential requirements.  The bid date is 
October 12.

Annual Report - Many technical and management problems have plagued the Image 
Center's pdf of the Annual Report.  Gavin Dillingham succeeded in the posting 
and publication of the final edition.  Hard copies will likely be ready next 
Friday for distribution to Executive Staff.

Valuation Exercise - Susan, Henry, Jeff, and Marc all provided input on the 
EHS value to Enron exercise.  An additional meeting was held with Gia to 
explain some of the tasks.

EES/Eli Lilly Deal - Susan Worthen participated in several meetings with both 
EES and Eli Lilly to learn more about the scope of services and EES' EHS 
management system.  A more detailed meeting with EES's Enron Building 
Services Inc. group will be held next week.  An EHS briefing has been 
scheduled for September 13 to answer Eli Lilly's environmental due diligence 
questions.