I have some questions and coments.

WHY DOES ENRON FEEL THE NEED TO FILE SEPARATELY? We can't we file with ARM?

WHY DO WE WANT THE DISCUSSION NARROWED TO SDG&E ONLY?  I can see pros and 
cons of each way.

I DO NOT SEE HOW WE CAN SUPPORT PRICE CAPS.....If we could not support them 
on the wholesale side, how can we support them on the retail side?  Doesn't 
it kill the ESP business?  Doesn't it eliminate any benefits of dereulation?  
If we support them, we are givibng in to the unjustified terrorism that is 
taking place in CA.  We don't even now whrer the monry is coming from.  What 
if they expect to get it from us.  Hey, can we sue -- we can't if we SUPPORT 
price caps.

WE MUST STICK WITH THE PRINCIPLES WE'VE FOUGHT FOR ALL THESE YEARS -- SOME 
THINGS ARE JUST  WORTH FIGHTNG FOR.
I recommend opposition of the price caps -- the resukt of the knee=jerk, 
weekly about -face by the CPUC which cannot possibly be considered to be 
reasoned decision making





Mona L Petrochko
08/11/2000 04:23 PM
To: douglass@arterhadden.com, West GA, Paul Kaufman, James D 
Steffes/HOU/EES@EES
cc: Douglas Condon/SFO/EES@EES, Martin Wenzel/SFO/HOU/EES@EES, Roger Yang, 
Edward Hamb/HOU/EES@EES, Dennis Benevides/HOU/EES@EES 
Subject: PHC Statement-Attorney/Client Privilege

Unless we receive comments by 9 a.m. p.d.t. Monday, August 14, this will be 
Enron's pre-hearing conference comments relative to the Investigation opened 
by the Commission.  These comments will be filed Monday.  Please make sure 
Bruno is copied on your comments.

NOTE:  

Rather than opposing a cap for small consumers, which I believe is imminent, 
I would prefer to advocate that it apply only to small consumers, under 20 
kW, and only for a limited period of time.  I would prefer to argue that the 
cap should not apply to larger consumers, who  already have access to market 
solutions to insulate them from market volatility.

PLEASE LET ME KNOW ASAP IF WE CANNOT SUPPORT THIS POSITION.

Dan, only one addition to PHC.  Will advise on filing.


---------------------- Forwarded by Mona L Petrochko/SFO/EES on 08/11/2000 
02:01 PM ---------------------------


"Daniel Douglass" <douglass@ArterHadden.com> on 08/11/2000 01:12:49 PM
To: <Bruno_Gaillard@enron.com>, <mpetroch@enron.com>
cc: "Michelle Dangott" <MDangott@ArterHadden.com> 
Subject: PHC Statement


After reviewing Mona's draft and making a few other cleanup changes, the 
attached proposed final draft is attached for your review.

Since Mona and I are both on vacation, Bruno will coordinate with Michelle 
Dangott of my office to finalize the filing on Monday.  Bruno, if you have 
any last minute changes, please call Michelle at (818) 596-2216.  Remember it 
has to be finalized by no later than 10 or so Monday morning, so we can do 
the final duplicating and have the filing couriered to the CPUC in the midst 
of the traffic disruption caused by the Democratic convention.

My thanks to all!

Dan

 - PHC Statement - Final.doc
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