Mark/Kelly:

Attached is an article on Enron and our "Clean Power Group" coalition on 
multipollutant Clean Air Act legislation.   This is much more accurate than 
the WSJ article that ran last Friday, particularly on the point of CO2 caps.  
If you receive further follow-up calls or inquiries from reporters, please 
feel free to refer them to me.  If they really want a "coalition" source, you 
can give them Joel Bluestein's number at Energy & Environmental Analysis -- 
703-528-1900.

Jeff 

************

Electric Power Daily - May 8, 2001

Companies work to design plan for regulating air pollutants

A coalition of energy companies is devising a framework for
regulating air pollutants in a way that encourages new technologies
and protects the environment without requiring exorbitant
investments, but whether there is momentum for a regulatory
overhaul remains to be seen, according to one consultant to the
group.

Enron, El Paso Corp., Trigen, Calpine and NiSource are working on
a multipollutant strategy to replace the "piecemeal" regulatory
scheme at the Environmental Protection Agency to reduce sulfur
dioxide, nitrogen oxide and mercury emissions from power plants,
said Joel Bluestein, president of Energy and Environmental
Analysis in Arlington, Va. The coalition's approach could include
carbon dioxide emissions if EPA moves to regulate that pollutant,
he said.

The coalition is meeting with lawmakers, the administration and
industry leaders in effort to garner support, said Bluestein.

"We can have secure diverse energy supply and a strong economy
if we structure the regulatory system properly," said Bluestein.
"What we are trying to do is present a framework to ensure a clean
environment with less regulation, to promote new technologies and
all fuels-including conservation and renewables, gas and coal-[and]
to provide the energy we need at reasonable prices."

The industry hoped to capitalize on momentum last year to move
the federal government toward a comprehensive yet flexible
emissions reduction program, but when President Bush reversed
his campaign position supporting restrictions on CO2 in a
multipollutant approach, that "changed the landscape a little bit,"
said Bluestein. Still, he said, the "same drivers are still there."

EPA has an acid rain program to address SO2 and a state
implementation plan program to curb NOx and in December it
announced plans to develop mercury emission restrictions for
power plants. The agency does not regulate CO2.

Jeffrey Keeler
Director, Environmental Strategies
Enron
Washington DC office - (202) 466-9157
Cell Phone (203) 464-1541