Stan,

Thanks.  I would be happy to provide individual comment on a revised strawman.

I think the key will be creating autonomous practice writing units under an 
umbrella board that has no power to itself write or modify practices.

So, for example, GISB would remain largely the way it is.  No one else would 
write or approve gas wholesale standards.  But a high level EISB board would 
concern itself with coordination, resources, and process.  That way we avoid 
the problem of wholesale players driving retail standards, gas driving 
electric, etc.  That was a clear message from the meeting we had.  I envision 
3 units, GISB, retail, and some electric wholesale.  Make sense?

You really need to invent a process that minimizes the number of players with 
control over someone elses assets, if the scope is wide.  If the scope is 
very narrow (like Rae's list) there can be lots of players.

I am looking to proceed with identifying the scope, governance & resource 
requirements for the retail component.  My goal is to turn the retail ubp 
over to a suitable organization after version 1 is complete.  If EISB wants 
to meet those requirements and be that organization, it can be.  I want to 
put retail to bed.

I'll  get back to you on the EEI board meeting.  At the moment, the heat is 
on reliability and FERC filings.

Thanks
  -Mike
>>> <Stanley.Horton@enron.com> 07/07/00 12:06PM >>>

Mike:

GISB has established a sub-committee to refine the strawman we sent to you
earlier.  Our aim is to have this ready by mid-August.

Our goal is then to take the strawman on the road to present to several
electric utility CEO's.  Hopefully, we can begin to gather some support for
the EISB approach.

We also plan to take the strawman to several of the ISO's, NERC, DOE, FERC,
etc.

A meeting with the EEI Board in September, per your suggestion, would fit
well into this plan.

Our goal is to determine whether there is industry support for the EISB
model by December.  I think this does that.

Any comments and/or suggestions you may have would be appreciated.

Stan





"Michael McGrath" <MMcGrath@eei.org> on 06/30/2000 09:03:47 AM

To:   <Stanley.Horton@enron.com>
cc:

Subject:  Re:


Stan,

I'm thinking through that right now.  Frankly, the problem I see is in
being able to put an agenda together that would be attractive enough for
our CEO task force members.  I haven't figured out how to make a face to
face meeting before the September board meeting worthwhile, although a
conference call might work.  We probably could develop a formal task force
response to the strawman, but in some ways I think the first meeting notes,
draft principles and the concerns paper covered some of the turf.

So I'm thinking of an alternative - and please think of this only as a
maybe.  Suppose at the September board meeting I have a closed meeting on
the principles & scope & whatever else we can manage, and then have you
come in and talk to everybody in general session.  We could work out the
content of your talk, but it would be centered on the value of uniform
practices, their applicability to electric wholesale markets, and the
"EISB" approach.  Perhaps we could get Chuck Watson to help you.

There would be tough and probing questions - which you would know in
advance.

How does this sit with you?  I think it might be an interesting discussion
that would help to increase the collective knowledge and support.  I do not
have internal concurrence & support on this idea, but if you like it I'll
try to get it.

On another matter - I really need 5 or 6 examples  of areas where wholesale
electric practices would be useful and appropriate.  The question on the
floor is "Exactly what are the areas and types of practices we might
develop for wholesale electric markets?"

On the retail side the answer is easy, because we already have them (e.g.,
customer enrollment, billing & payments, metering,  load profiling, etc.).
But there really is no such list on the wholesale electric side.

Can you or Jeff help?  We can't just say "it's up to the members".  Having
a list would help demonstrate value.  I need something by next Thursday for
an internal strategy meeting.

Thanks
  -Mike

>>> <Stanley.Horton@enron.com> 06/29/00 05:14PM >>>
Mike:

Any suggestions as to when our respective committees could meet to begin
discussing matters such as principles, scope, governance, organization,
etc.?

If a meeting is not possible, is it possible to get your committee's
response to the "strawman" I sent to you?

Thanks,
Stan