On Wed, I met at EPSA to discuss with members - the near term future 
participation of EPSA staff and members at NERC.

A roster of participants follows this brief summary.

Most members agreed in concept that NERC must continue to be monitored at 
least in the near term because of their "monopoly" on the 
reliability/commercial rules.  There was agreement that NERC had moved into 
the commercial/non-reliability standards setting partly becuase the 
incumbants desgined it that way and partly due to a lack of another industry 
representative forum  for FERC to delegate to.  Some members were encouraged 
that GISB was interested in becoming an alternative forum (EISB) and pointed 
to GISB successes in creating an efficient Bulletin Board for Gas in response 
to FERC orders.  The members also realized that most of the NERC problems are 
caused by the native load exception which the gas industry did not have to 
deal with making their restructuring easier.

EPSA staff will focus on representing EPSA members' viewpoints to the 
independent board members to establish working relationships and to provide 
market perspectives as well as governance problems within the NERC 
structure.  

Many EPSA members also felt that EPSA staff could do more to provide 
information regarding NERC issues that affect the markets so that a greater 
number of members can convey their positions to the NERC Committee and 
Subcommittee market representatives. Some possible email/members only 
bulletin board was discussed.

Reliant (John Orr) also expressed concern over continuing to allow NERC (as 
opposed to the RTOs)  to set the commercial standards.  Most agreed that NERC 
does not design efficient commercial/market standards and should leave the 
non-reliablity rules to RTOs.  Others (myself, DENA, Ontario Power Gen) who 
participate on NERC groups agreed to this in concept but raised the problem 
that many of the reliability rules overlap commercial rules with no "bright 
line" between the two.

Please contact me if you wish more details of the meeting.
Charles Yeung
X30348

Participants in person:
Calpine - Jim Stanton
Duke Energy NA - Lee Barrett, Mike Gildea
Dynegy - Mary Doyle, John Stauffacher
El Paso - Susan Ginsberg
Enron - Charles Yeung
Ontario Power Gen - Barb Robertson
PG&E - Jack Hawks
Reliant - John Orr
PSEG - Dennis Sobieski
EPSA - Mark Bennett, Lynne Church, Julie Simon

Participating via phone:
BP Energy - Jeanne Zaiontz
Calpine - Jana Phillips
Edison Mission - Gail Chandler
Mirant - Pamela Hill
Tenaska - Mark Foreman
TECO - Janet Sena
Williams - Mike Grim, Jane Mudgett