1. Alberta PPA - Transmission Cost Responsibility Hearing 

Enron is leading a coalition of 5 PPA Buyers that successfully advocated the AEUB to convene a process/hearing (the convening of which was opposed by the PPA Owners) to consider the proposal by the Transmission Administrator to apply transmission charges to PPA Buyers for transmission capacity that solely accrues to the financial benefit of PPA Owners.  One week of hearings were held in spring 2001 with the hearing scheduled to be completed in November 2001.  Value to Enron Canada if we prevail at hearing is approximately $Cdn 60 million.

2. Alberta PPA - Alberta Government Agreement to Split Enron's Sundance B PPA in Two PPAs

Government Affairs successfully lobbied Alberta Energy officials and Minister of Energy to agree to approve regulatory changes necessary to allow for the split of Enron's PPA into two PPAs despite one of the fundamental elements of the original PPA model was that the PPAs would be very large and not divisible.  This is important as the whole PPA represents 706 MW and is likely too large for Enron to sell as a whole but a PPA of 303 MW is much more marketable to potential Enron counter parties.  Value to Enron Canada if one-half PPA is sold is projected to be approximately $Cdn 50 million.

3. Alberta PPA - Opposition to Wabamun Water Treatment Plant Expansion 

Government Affairs in conjunction with legal group has achieved "effected person" status in relation to an application by TransAlta (Enron's PPA Owner counterparty) to undertake an expansion to the Wabamun Water Treatment Plant.  The objective is to position Enron to resist future attempts by TransAlta to pass through the cost of this expansion to Enron.  Value to Enron Canada if we succeed is project to be approximately $Cdn 2 million.

4. Alberta - Appointment to Key Government/Industry Committees

Enron Government Affairs staff are presently members of each of the key committees in Alberta responsible for providing advice to Government and/or its appointed agents (Power Pool, TA, AEUB) on electricity market design issues, including: Advisory Committee, Power Pool Operations Committee, AEUB Electric Reliability Task Force, Industry Structure Review Consultant Selection Committee, Retail Issues Committee, IPPSA Board of Directors.  Value to Enron not quantifiable.

5.  Alberta - Enron Direct

Enron Government Affairs provided extensive support to Enron Direct in undertaking media/government launch of Enron Direct in Alberta is presently assisting Enron Direct in determining rules and requirements to expand its service offerings to B.C. natural gas market and AltaGas Utilities service territory in Alberta.  Enron Government affairs is also advocating against discriminatory exit fees proposed by Atco Gas.  Value to Enron not quantifiable.

6. Ontario - Electricity Market Opening - continue to advocate Ontario electricity market opening.


7. Ontario - Enron Direct - support for the establishment of Enron Direct's business in Ontario, including the applicable rules, licensing, and development of business procedures and forms of contract to be used.