Market Participants,

Yesterday at the Market Issues Forum, we presented a discussion on long-term
price cap authority.  This is a matter for discussion now because the
previously granted authority from FERC expires on Nov. 15, 2000.  Attached
is the white paper discussing this topic.  We will seek Board approval on
this matter at the September 6-7 Board meeting.  If you have comments on
this paper, please forward them to Keith Casey at kcasey@caiso.com.

Don Fuller
Director, Client Relations


>  <<DMA.Price-Cap.Aug10.final.doc>>
>
>

 - DMA.Price-Cap.Aug10.final.doc