I reviewed the numbers with Linda Lawrence, and Steve Walton gave us some 
background info as well, which makes me comfortable with these numbers. 



	Alan Comnes@ECT
	02/22/2001 01:30 PM
		
		 To: John Neslage/ENRON_DEVELOPMENT@ENRON_DEVELOPMENT@ENRON, James D 
Steffes/NA/Enron@Enron, Paul Kaufman/PDX/ECT@ECT, Jeff 
Dasovich/NA/Enron@Enron, Susan J Mara/NA/Enron@ENRON, Steve 
Walton/HOU/ECT@ECT, Linda L Lawrence/NA/Enron@Enron
		 cc: 
		 Subject: Tale of Two Power Plants






Based on some additional information, here is a revised comparison:

Intermountain Power Project's (IPP) cost per MWh in 1997 was $46/MWh, 
relatively expensive for its vintage (1984) and fuel type (coal). At an 
orgininal cost of $2,776,988,000 for 1,640 MW of capacity, that translates 
into $1,700/kW. Source: US DOE EIA,  Financial Statistics for Publicly Owned 
Utilities 1997. IPP is owned and operated by the Intermountain Power Agency 
but all of the output is sold under contract to LADWP and other SoCal munies.

By contrast, consider a plant built at the same time and  location and has 
the same fuel source:
Plant Name	Year
	Originally
	Constructed	Total Installed 
		Capacity
		 (Maximum Generator Name
		Plate Ratings in
		 (MW)	Cost of
			Plant: Total
			Cost	Cost per
				 kW of
				Installed
				Capacity	Production
					Expenses:
					Fuel
Hunter Unit No.3	1983	446.40 MW	487,543,950	1,092.1683	25,007.036

The installed cost per MW of Hunter 3 is 35% lower than the cost of the 
project built for LADWP.















From: John Neslage@ENRON_DEVELOPMENT on 02/21/2001 06:07 PM CST
To: Alan Comnes/PDX/ECT@ECT@ENRON
cc: James D Steffes/NA/Enron@Enron 

Subject: Re: Cost of Takeover  

Yes.  We should be able to get at them on FERC's website, which I can check 
for us now.  Otherwise, Linda Lawrence should be able to help us first thing 
in the morning.



	Alan Comnes@ECT
	02/21/2001 05:58 PM
		
		 To: James D Steffes/NA/Enron@ENRON
		 cc: Harry Kingerski/NA/Enron@Enron, Jeff Dasovich/NA/Enron@Enron, John 
Neslage/ENRON_DEVELOPMENT@ENRON_DEVELOPMENT@ENRON, Mark 
Palmer/Corp/Enron@Enron, Susan J Mara/NA/Enron@Enron, Paul 
Kaufman/PDX/ECT@ECT, Richard Shapiro/NA/Enron@Enron
		 Subject: Re: Cost of Takeover