-----Original Message-----
From: 	<Lawrence_R_Conn@calpx.com <mailto:Lawrence_R_Conn@calpx.com>>@ENRON [mailto:IMCEANOTES-+3CLawrence+5FR+5FConn+40calpx+2Ecom+3E+40ENRON@ENRON.com] <mailto:[mailto:IMCEANOTES-+3CLawrence+5FR+5FConn+40calpx+2Ecom+3E+40ENRON@ENRON.com]> 
Sent:	Tuesday, May 08, 2001 11:54 AM
To:	Participants_L-R@calpx.com <mailto:Participants_L-R@calpx.com>; Participants_S-Z@calpx.com <mailto:Participants_S-Z@calpx.com>
Cc:	Rachel_E_Axelrad@calpx.com <mailto:Rachel_E_Axelrad@calpx.com>; Lynn_Miller@calpx.com <mailto:Lynn_Miller@calpx.com>; Daniel_A_Yee@calpx.com <mailto:Daniel_A_Yee@calpx.com>; George_Sladoje@calpx.com <mailto:George_Sladoje@calpx.com>; Clark_R_Cheng@calpx.com <mailto:Clark_R_Cheng@calpx.com>
Subject:	January 2001 Price Cap Adjustments

In accordance with FERC

?s April 6, 2001 Order Dismissing Rehearing, Accepting
Compliance Filing and Directing the Recalculation of Lower Wholesale Rates,
CalPX has implemented the $150 breakpoint detailed in FERC?s December 15, 2000
order.  CalPX has included an adjustment amount on the January 2001 Day-Ahead
and Day-of invoices reflecting the breakpoint implementation.  In summary, CalPX
calculated the Day-of and Day-Ahead market settlements and Block Forward
settlements as usual, and included an adjustment amount that took into account
congestion, bid prices, overscheduling, and block forward contracts.  These
adjustments are detailed in new forward market products created specifically for
the adjustments (see new product list below).  The attached file provides a
further explanation of the method used. Also attached are the CalPX filing
requesting guidance and FERC's response. The January Forward market invoice,
price cap adjustments, and CTS invoices are scheduled to be released May 8,
2001.


Product Codes Codes for FERC Adjustments:
DA Price Cap Adjustment Charge     DPCAJC
DA Price Cap Adjustment  Payment   DPCADP
HA Price Cap Adjustment  Charge    HPCAJC
HA  Price Cap Adjustment Payment   HPCAJP



(See attached file: FERC Price Cap description for settlements.doc)(See attached
file: FERC Order Directing Price Cap Recalculation.pdf)(See attached file: PX
Compliance Filing and Request for Guidance.DOC)
 - FERC Price Cap description for settlements.doc 
 - FERC Order Directing Price Cap Recalculation.pdf 
 - PX Compliance Filing and Request for Guidance.DOC