FYI.  How to remedy the "PX only" flaw in California's market has been on the 
table for some time.  I've felt for some time that the gas model offers a 
good point of departure for coming up with a more rationale alternative to 
the current framework.  

As mentioned in a previous note, I made that point at the California Energy 
Market conference last week.  The EOB's chief economic consultant, who also 
spoke at the conference, was intrigued by my comments and has asked me to go 
up to Sacramento sometime in the next week or two to discuss it--and other 
options--with him.  

My understanding is that the idea coincidentally got some attention at the 
Wright meeting last week.  With all of that in mind, I wanted to pass on a 
very brief summary of the gas procurement mechanisms currently in place for 
PG&E and SoCalGas that I asked Mike Day's shop to draft up last month.  It 
might come in handy as prep for the call on Monday to discuss the Wright 
meeting.

Best,
Jeff
----- Forwarded by Jeff Dasovich/NA/Enron on 11/04/2000 05:11 PM -----

	MBD <MDay@GMSSR.com>
	10/04/2000 06:06 PM
		 
		 To: "'jdasovic@enron.com'" <jdasovic@enron.com>
		 cc: 
		 Subject: FW: GCIM/CPIM



Had to resend this


> -----Original Message-----
> From: MBD
> Sent: Wednesday, October 04, 2000 4:03 PM
> To: 'Jeff Dasovich  Enron SF'
> Subject: GCIM/CPIM
>
>  Here is a short "piece" (not a memorandum) describing the gas
> procurement indexes.
>
>  <<X17222.DOC>>

 - X17222.DOC