Yesterday, we discussed that Edison is likely going to try to jerk around ESPs, QFs and generators on past due amounts under its settlement with the PUC.  Here's the latest on what they're doing to the QFs.

Best,
Jeff

 -----Original Message-----
From: 	Comnes, Alan  
Sent:	Friday, November 02, 2001 5:14 PM
To:	Etringer, Michael; Calger, Christopher F.; Parquet, David; Fillinger, Mark; Dasovich, Jeff; Mara, Susan
Subject:	SCE-QF Update

I listed in on this afternoon's IEP call re: SCE's MOU.

According to Smutney-Jones (who was more than average mad), SCE has reneged on the "pay 10% up front" portion of the deal they struck with SCE.  According to IEP, SCE says that the banks, who are spooked by TURN's success in getting a 14-day temporary suspension of the CPUC-SCE settlement, is not interested in allowing SCE to pay any creditors like QFs preferentially. SCE said the 5.37 c/kWh commitment is still there, however.  IEP's was also unsuccessful in getting the effective date of 5.37 c/kWh changed in return for the loss of the 10% up front.

CCC/Jerry Bloom, who represents gas-fired QFs is seperately negotiating with SCE and may be willing to give up 10% in return for commiting to 5.37c/kwh outside of the CPUC.  (They are concerned with CPUC overturning the IEP-SCE "deal.")

Several parties on the call, including CalEnergy, indicated they may sue SCE outside the CPUC over reneging on this deal.

Alan Comnes