Dennis,

I'm attempting to understand how the UC-Davis deal, if done, will impact us .  How is this different than all of the other retail contracts that you service?
One concern that I had was if they opted to go for direct access and still had provisions to change their load on short notice(real time) this would cause some big problems for our real time group. To my knowledge, we don't currently have any contracts like this.  Is this the reason UC-Davis wasn't included in the original deal with the UC System?  Can you give me a call or an e-mail?  The number below is correct.
Thanks!

 -----Original Message-----
From: 	Benevides, Dennis  
Sent:	Tuesday, July 10, 2001 5:12 PM
To:	Platter, Phillip
Subject:	Re: UCDavis, WAPA, Enron and direct access

Got your voicemail regarding this call.  Please give me a call to discuss.  Is 503-464-3934 your correct number?

Dennis
---------------------- Forwarded by Dennis Benevides/HOU/EES on 07/10/2001 07:10 PM ---------------------------

 	Enron Energy Services  From:  Dennis Benevides                           07/10/2001 04:11 PM Phone No: 713 853-9609	
		




To:	Phillip Platter/Enron@EnronXGate
cc:	 
Subject:	Re: UCDavis, WAPA, Enron and direct access

Western responses to UC-Davis questions are indicated below.
---------------------- Forwarded by Dennis Benevides/HOU/EES on 07/10/2001 04:11 PM ---------------------------

 	Enron Energy Services  From:  Dennis Benevides                           07/10/2001 12:22 PM Phone No: 713 853-9609	
		




To:	Neil Bresnan/HOU/EES@EES
cc:	 
Subject:	Re: UCDavis, WAPA, Enron and direct access

In blue are my questions for this afternoon.

---------------------- Forwarded by Dennis Benevides/HOU/EES on 07/10/2001 12:22 PM ---------------------------

 
"Russell Knight" <RKNIGHT@wapa.gov> on 07/09/2001 05:57:47 PM
To:	<keroberts@pplant.UCDavis.edu>, <sssandhu@pplant.ucdavis.edu>
cc:	<matteson@dofm.berkeley.edu>, <dbenevid@enron.com>, <dgrueneich@gralegal.com>, <jschlic@hooked.net>, <AEBOWKER@pplant.UCDavis.edu>, <kennedyc@pplant.UCDavis.edu>, <McNealJ@pplant.UCDavis.edu>, <Maric.Munn@ucop.edu> 
Subject:	Re: UCDavis, WAPA, Enron and direct access


Keith/Sukhi:

The following are my preliminary responses to Keith's email questions:

		?	You can not be an "x/y" customer under 2948A and take Direct Access (DA) service through the same meter point.  Therefore, to receive Western power and third party power (other then PG&E) as an "end-user" retail load you must acquire DA service from PG&E and become a "scheduling" customer with Western.

		?	The key steps from Western's perspective to becoming a Western "scheduling customer" involve modifying your Electric Service Contract and receiving agreement from PG&E.  I would think you could accomplish these two items in no less than thirty days.  You appear to be familiar with the DASR process and timing to acquire DA service from PG&E.

		?	Western does provide Scheduling Agent services and does have a rate for this service.  It is approx. $75 per hour. (HOW MANY HOURS PER DAY/MONTH WOULD BE TYPICAL CHARGE?)  Pending the outcome of the PG&E 205 Filing before FERC (pass-thru of costs incurred by PG&E under 2948A), your SC could incur the typical CAISO charges for both Western power delivery and third party energy.  You will also be billed by PG&E under their DA Tariff for delivery (wheeling).

		?	PG&E has suggested to me in a recent phone conversation that if you are taking PG&E DA service the 2948A delivery service (wheeling) would no longer apply.  (DOES THIS MEANS E20T T&D RATES APPLY TO WAPA DELIVERIES, INCLUDING SURCHARGES?)

		?	Western's scheduling customers receive monthly load factor energy as an "energy entitlement" (EE) based on a rolling average of their last five years of monthly historical usage.  EE are calculated using the customer's total monthly peak capacity and total monthly energy and are updated annually.  I do not believe there are any exceptions to the methodology for determining EE (i.e. 5-year rolling average); therefore, the full benefit of your increased LF these next few years will take time to be fully realized.

		?	As a scheduling customer you are required to take at least 35% of your CRD in any hour or your total load, whichever is less.  You may schedule 100% of your CRD in any hour provided you have not exceeded your EE.  There are limits to the schedule differential between hours  . . I will research and get back with you.  (PLEASE CONFIRM THAT IT IS THE CUSTOMER - OR ITS AGENT - THAT DETERMINES HOURLY SCHEDULE.  WOULD DELIVERIES BE HANDLED AS AN SC TO SC TRANSFER BETWEEN WAPA AND ENRON? IF NOT? HOW?  WHAT IS TIMING REQUIREMENT TO NOTIFY WAPA OF DA HOURLY SCHEDULE? HOW ARE HOUR AHEAD CHANGES ACCOMMODATED?)

		?	I am unable to provide any thoughts on how the timing for making changes to Western power delivered to your SC for submission as a DA schedule would be handled at this time.  I will research and get back with you.

		?	As a relatively "smaller" customer, I do not believe that there would be much (if any) benefit to you or Western by participating in any of our load management programs.

		?	The existing Western meter set is CAISO certified and we may be able to accommodate a third party polling the meter.  I will check into it.

		?	Unsure of what you are asking in regards to "off ramps".  Please clarify.

Russell Knight
Western Area Power Administration
(916) 353-4523


>>> "Keith E. Roberts" <keroberts@pplant.UCDavis.edu> 07/05/01 04:29PM >>>
Hi Russell, Bob:
Can we schedule a conference call for early next week between WAPA (Bob,
Russell, others?), UCD, our President's office (UCOP) and Enron regarding
the below info?  A WAPA/UCD meeting may also be desirable.

I understand that Sukhi has been discussing with you the possibility of
utilizing direct access (instead of PG&E bundled services) to meet our
peaking energy requirements, i.e. the difference between our total needs and
what WAPA and our cogen provide.  We are considering using the UC/CSU
blanket electricity contract with Enron to achieve direct access.

Below are some questions that we have regarding the potential switch, but we
are also extremely interested in hearing what you have to say regarding the
issues at hand.

As I understand the process, if UCD utilizes direct access (DA), then we
will have to switch from X/Y to scheduling customer status- correct?

If we have to switch to scheduling customer status, what are the key steps
and how long would each step take?
*	if we desire to switch quickly, a DASR would have to be filed with
PG&E by July 11th in order for DA service to start on August 1.
*	if above is not doable, then a DASR would have to be filed with PG&E
by Aug 11th in in order for DA service to start on September 1.

If UCD switches to scheduling status, it is likely that WAPA would be our
scheduling agent (SA) and Enron would be our scheduling coordinator (SC).
What would be the differences in charges that we would incur from WAPA based
on status quo?  Do you have any feeling for what charges would be incurred
by PG&E and ISO?

If UCD switches to DA, would our 15 MW CRD still receive the same
transmission rates under 2948A?

I understand that if we switch to scheduling status, then our energy
allocation will be fixed based on a 5 year average load factor.  How does
this math work?

How often is the 5 year average load factor updated- monthly, yearly, other?

UCD will have a new 3 MW thermal storage system on line in the next few
months which will dramatically improve our monthly load factor (total kWh
divided by product of peak demand and hr/mon).  If we are required to use 5
year average load factors instead of current load factors (as is done with
X/Y), then the economic harm to UCD appears to be in the neighborhood of
$200,000 to $250,000 per year.  I'd like to petition using a forecasted load
factor to detemine energy allocation so that this potential switch does not
harm UCD.  How would I do this?

Is the MWh energy allocation that is determined through the above process a
flat rate number that is used for each month of the year, or does it vary
month-by-month based on water availability?  I believe it is flat through
12/2004, correct?

If we switch to scheduling status and if we have so many MWh allocated for
the month, how much flexibility is there for our SC to schedule the load?
*	The max schedulable load is our CRD- correct?
*	What is the minimum schedulable load- 0 kW?
*	Are there any maximum ramp rates up or down?, i.e. can we go from 0
kW @ 7AM to 14,682 kW @ 8AM and 14,682 kW @ 9PM to 0 kW @ 10PM?
*	At what time are loads locked in? i.e. can SC change schedule 1 hr,
6 hr, 1 day before the actual hour?

As a scheduing customer, we will have the capability to join WAPA load
management programs- do you see any potential benefits to UCD?

Is our Siemens TSI Quad 4 meter available to be read by Enron?  What type of
software/hardware does WAPA use to read our meters?  Does this meter meet
ISO protocols for revenue meters?

I believe that we are planning to ask for contractual off-ramps if 2948A
becomes untenable due to FERC or bankruptcy court decisions.  Your thoughts?
Can you think of any other contractual off ramps that should be pursued?

Thanks Keith







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