Please give Christian a call on this and make sure you are satisfied we not 
taking too great a risk.  Mark
----- Forwarded by Mark E Haedicke/HOU/ECT on 01/12/2001 10:38 AM -----

	Christian Yoder
	01/12/2001 10:06 AM
		 
		 To: Elizabeth Sager/HOU/ECT@ECT, Mark E Haedicke/HOU/ECT@ECT
		 cc: 
		 Subject: CDWR


---------------------- Forwarded by Christian Yoder/HOU/ECT on 01/12/2001 
07:48 AM ---------------------------


Greg Wolfe
01/11/2001 05:07 PM
To: Steven J Kean/NA/Enron@ENRON
cc: Tim Belden/HOU/ECT@ECT, Christian Yoder/HOU/ECT@ECT, Steve C 
Hall/PDX/ECT@ECT, Bill Williams III/PDX/ECT@ECT, Tracy Ngo/PDX/ECT@ECT 
Subject: CDWR  


Steve:

The CDWR idea has already been implemented. Today the ISO couldn't get supply 
from the market and informed market participants that CDWR would sleeve deals 
to the ISO. This occurred at a time when CA was in Stage 3 emergency (only 
the second one ever) and anticipating rolling blackouts this evening. Enron 
and other suppliers began to aggregate supply to sell to CDWR presumably to 
go to the ISO.  Belden was concerned that Gray Davis may just withhold 
payment through CDWR when settlements are due. This concern prompted us to 
require paper confirms for hourly deals and a discussion between Christian 
Yoder and Steve Hall (Stoel Rives) with the assistant director at CDWR to 
make sure CDWR management was on board - which they confirmed verbally. 
Regardless of all of this we still have some paranoia about getting paid. Is 
Gray Davis willing to confirm that no payment issue through CDWR will occur? 
We are currently continuing to aggregate supply through the day but are 
hesitant to increase quantities without such assurance. Other suppliers 
appeared hesitant as well as they wouldn't sleeve the deals to CDWR.