Tamara, thanks as well.

I assume the view below is for EES in total and we have not yet made an 
attempt to match up credit by customer/meter to the forward T&D related to 
positions in our book for those customer.  Going on the thought that we will 
only be able to offset T&D with credits on a customer by customer basis we 
may not have the full $153.9MM to work with (i.e., we may have large credits 
on customers for which we only have a short contract life remaining and small 
credits on customers with a long life making up a larger portion of the 
$153.9MM below).   Am I thinking about this correctly?  Is it 
difficult/impossible to do that matching? 

Are there any new developments/thoughts on the credits/T&D being dealt with 
on a supplier basis (ie., EES) vs. a customer basis?

Wade


From: Wanda Curry/ENRON@enronXgate on 07/17/2001 03:56 PM
To: Tamara Johnson/HOU/EES@EES, Wade Stubblefield/HOU/EES@EES, Harry 
Kingerski/ENRON@enronXgate, Scott Stoness/HOU/EES@EES, Robert 
Williams/ENRON@enronxgate, Don Black/HOU/EES@EES, Adriana Silva 
Mara/ENRON_DEVELOPMENT@ENRON_DEVELOPMENT
cc: William S Bradford/ENRON@enronXgate, Michael Tribolet/ENRON@enronXgate, 
Evan Hughes/HOU/EES@EES, Jeff Dasovich/NA/Enron@Enron, Susan J 
Mara/NA/Enron@ENRON 
Subject: RE: T&D ESTIMATE (re: CPUC Decision re not paying Cash Refunds)

Tamara,

First, thanks for completing this analysis.

Bob,

With the opportunity to net off 153.9MM of the PX receivable amount between 
now and March 2002, shouldn't we began the process of requesting both 
utilities net this obligation with the outstanding PX credits while at the 
same time filing a complaint with the CPUC re the way PG&E and SCE have 
elected to reinstate the Direct Access bills with a zero beginning balance?  
I would like to discuss this on Monday's call or before.  

Wade and Mary Lynne,

What do you think?

Thanks,
Wanda Curry

 -----Original Message-----
From:  Johnson, Tamara  
Sent: Tuesday, July  17, 2001 2:47 PM
To: Stubblefield, Wade; Kingerski, Harry; Curry, Wanda; Stoness, Scott; 
Williams, Robert; Black, Don
Subject: T&D ESTIMATE (re: CPUC Decision re not paying Cash Refunds)

Here is an estimate ($millions, nominal) of the T&D&Other tariff cost:



An additional uncertainty is any "expiration date" of the PX credit 
reimbursement.  I have only shown costs until March 2002.
The attached file sets out the cost by month for the entire duration of the 
position.
 << File: estimated T&D cost by month.xls >> 
---------------------- Forwarded by Tamara Johnson/HOU/EES on 07/17/2001 
02:39 PM ---------------------------


Scott Stoness
07/11/2001 09:32 AM
To: Wade Stubblefield/HOU/EES@EES
cc: Harry Kingerski/NA/Enron@Enron, Wanda Curry/Enron@EnronXGate, Tamara 
Johnson/HOU/EES@EES, Don Black/HOU/EES@EES, Robert Williams/ENRON@enronxgate 
Subject: Re: re Your Call on CPCU Decision re not paying Cash Refunds   << 
OLE Object: StdOleLink >> 

Wade.  I don't think anyone can answer this question with certainty.  It is 
mushy.

My  reading is that any payment owed to PGE/SCE (including surcharge) would 
be eligible to reduce our Px acccount's recievable.

But I welcome any other comments.

We will do it both ways: 
- Assuming the $10/MWh surcharge can be used and
- Assuming that it cannot be used.

Harry tells me that the bigger issue is that PGE/SCE have stopped showing the 
Acct Rec. on the customers when we switched back.  So there is nothing to 
credit against.  This issue will have to be resolved by the CPUC.

Tamara Johnson will be providing an estimate by month on Friday.

Scott



Wade Stubblefield
07/10/2001 08:40 PM
To: Scott Stoness/HOU/EES@EES
cc: Harry Kingerski/NA/Enron@Enron, Wanda Curry/Enron@EnronXGate, Tamara 
Johnson/HOU/EES@EES, Don Black/HOU/EES@EES, Robert Williams/ENRON@enronxgate 
Subject: Re: re Your Call on CPCU Decision re not paying Cash Refunds   << 
OLE Object: StdOleLink >> 

Bob/Wanda,

Can either of you please address Scott's questions.

Thanks

Wade



Scott Stoness
07/10/2001 02:54 PM
To: Wade Stubblefield/HOU/EES@EES
cc: Harry Kingerski/NA/Enron@Enron, Wanda Curry/Enron@EnronXGate, Tamara 
Johnson/HOU/EES@EES, Don Black 
Subject: re Your Call on CPCU Decision re not paying Cash Refunds

Wade.  
You asked (Jay) if we had done an analysis of whether our T&D costs going 
forward is enough to offset the Px credit.  This is a complicated question:
Is the $10/MWh surcharge part of T&D
Is the most recent $30/MWh (which is really $51/MWh after several gyrations) 
surcharge part of T&D?
Is Public purpose and decommissioning part of T&D?
Are we likely to get the same account numbers back if we switch back to DA?
Will we have to have the same account number to benefit from our accounts 
recievable.

Anyway, I have put this issue on my list and will give an estimate (with a 
list of assumptions) by the end of this week.

Scott Stoness