On your last point, I think that we need to as rate class specific as 
possible without delaying their work.  Disagreements?

Jim





	Robert Neustaedter@ENRON_DEVELOPMENT
	03/01/2001 06:20 PM
		 
		 To: James D Steffes/NA/Enron@Enron, Harry Kingerski/NA/Enron@Enron, Jeff 
Dasovich/NA/Enron@ENRON
		 cc: Tamara Johnson/HOU/EES@EES
		 Subject: MRW Consultant - Status

Spoke with Bill Munson and Roger Yang of MRW

Scope of project would be rate forecast for PGE and SCE industrial/commercial 
class customers for 24-36 month period providing alternate scenarios for 
certain issues - MRW will provide assumptions Friday morning.

Cost - Close of Monday deliverable - $10k
          - Thursday - $7k

FYI - Submitted RCR for $25K

With respect to determination of "Net Short" generation cost - MRW suggested 
generation cost be allocated on a cost incurrence basis (no subsidies) and 
that we agree as to mix of DRW portfolio and utilize Enron forward curves to 
price out

Provided to MRW utility tariff schedules that majority of positions are 
under.  Need to determine if we want an individual rate projection, average 
rate class projection or benchmark projection (%increase).
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