Late this morning, the House Energy and Commerce Committee adoped the 
committee print, as amended, of an energy package that addresses 
conservation, clean coal, renewables, hydro, nuclear, and boutique fuels.  
The vote was 50 to 5 to report the bill.  Other committees -- Ways and Means, 
Science, and Resources -- also moved their energy bills this week.  Thus, the 
House is on track to consider a merged package before the start of the August 
Recess on August 3rd.

As to electricity, during the several days of debate this week both Chairmen 
Tauzin and Barton reaffirmed their intention to next move to electricity 
issues.  Mr. Barton's staff advised me this morning that the subcommittee he 
chairs will hold a hearing on Friday, July 20th on all electricity issues 
other than transmission.  While Mr.  Barton has publicly held out hope of 
marking up an electricity bill this month, sources on and off the committee 
do not see this timetable as realistic.  On the Senate side, the majority 
staff is working on an electricity "white paper" that may be circulated for 
comment next week.

Below is a recap of action on amendments of interest to Enron:

1. Last night, on a largely partisan vote (with Democrats Hall, Green and 
John voting with the Republicans) the Committee rejected an amendment by Rep. 
Jane Harman (D-CA) (that was to have been offered by Rep. Anna Eshoo (D-CA)) 
that would have retroactively amended the FERC refund date and essentially 
ordered refunds regardless of amounts owed to power sellers.

2. First thing this morning the Committee, again on a largely partisan basis 
(with Democrats Hall, Green, John and Towns), rejected a Waxman amendment to 
impose cost-of-service rates on all power in the West (other than generation 
added after 1/1/01).  (Originally, Mr. Waxman was going to offer amendment to 
impose cost-of-service rates only on those who do not supply all available 
power during an emergency, but he ended up offering basically what he had 
pursued in subcommittee on the old "Californa Only" bill.)

3. The Committee adopted an amendment by Rep. Shadegg to amend the Natural 
Gas Act to make it clear that a natural gas "transportation facility" shall 
not be added to the National Register of Historic Places until FERC has 
abandoned the facility.  Apparently there have been some instances of "old" 
pipelines being considered as "historic places" under federal law.  The House 
Resources Committee added a similar amendment to its package yesterday.

4. By voice vote, the Committee rejected a Waxman Amendment to require the 
president to propose and implement a plan to bring U.S. greenhouse gases down 
to 1990 levels.  There was strong opposition voiced by many Republicans and 
Democrats to this amendment.

5. By mixed vote of 24 to 29, the Committee defeated a Waxman Amendment to 
set cost and performance goals for renewables, including wind power, and 
authorize federal funds to assist with commercial project costs (up to 50 
percent).