---------------------- Forwarded by Robert Badeer/HOU/ECT on 07/31/2000 05:47 
AM ---------------------------
   
	Enron Capital & Trade Resources Corp.
	
	From:  CAISO Market Operations - Hour Ahead 
<IMCEAEX-_O=CAISO_OU=CORPORATE_CN=SYSTEM_CN=MARKETOPSHOURAHEAD@caiso.com>     
                      07/31/2000 04:24 AM
	

To: "Market Status: Hour-Ahead/Real-Time" 
<IMCEAEX-_O=CAISO_OU=CORPORATE_CN=DISTRIBUTION+20LISTS_CN=MKTSTATHOURAHEAD@cai
so.com>, Market Status <MarketStatus@caiso.com>
cc:  
Subject: MARKET NOTICE---EMERGENCY OPERATING ORDER RELATING TO UNINSTRUCTE D 
DEVIATIONS JULY 31, 2000


MARKET NOTICE---EMERGENCY OPERATING ORDER RELATING TO UNINSTRUCTED
DEVIATIONS JULY 31, 2000

This notice is to advise all Scheduling Coordinators and owners of
Generation in the ISO Control Area that the ISO is issuing an operating
order for July 31, 2000, that all resources must follow final Hour Ahead
Schedules, as adjusted by RMR Dispatch Notices, or by Dispatch instructions
verbal or electronic, on Ancillary Service or Supplemental Energy bids.  NO
UNINSTRUCTED DEVIATIONS WILL BE ALLOWED.  Section 2.3.1.2.1 of the ISO
Tariff requires Market Participants in the ISO Control Area to "comply fully
and promptly with the ISO's operating orders." Any Generating Unit with real
time output that reflects an excessive deviation from the real time output
consistent with its Final Hour Ahead Schedule as adjusted by Dispatch
instructions, and assuming a 20 minute ramp across the top of the hour for
hourly Schedule changes, will be deemed to have failed to comply with this
operating order.  For the purpose of this determination, an excessive
deviation shall be the smaller of 10% of a Generating Unit's maximum
capability, or 10 MW.  The only exception to this finding is a Generating
Unit that provides the ISO with timely notification of a unit outage or
derate. Failure to comply with this operating order threatens the reliable
operation of the ISO Control Area.  In particular, uninstructed incremental
deviations by Generating Units that are "chasing" the BEEP Interval Prices
published by the ISO are directly responsible for the frequency excursions
the ISO experienced  June 13, 2000. The ISO will take the following actions
with respect to those Generating Units that fail to comply with this
Operating Order: 1) ISO Management will deliver a report to the ISO
Governing Board that provides a copy of this notice, and a comparison of the
instructed and actual output profile for each Generating Unit that fails to
comply. 2) The ISO will assign any WSCC RMS penalties associated with
frequency deviations to the Generating Units that fail to comply.