Message-ID: <15707740.1075846337332.JavaMail.evans@thyme> Date: Mon, 13 Nov 2000 11:29:00 -0800 (PST) From: robert.hemstock@enron.com To: rob.milnthorp@enron.com, john.lavorato@enron.com, derek.davies@enron.com, tim.belden@enron.com, john.zufferli@enron.com, steven.kean@enron.com, aleck.dadson@enron.com Subject: Action Plan - Alberta Pricing Issues Cc: eric.thode@enron.com, mark.palmer@enron.com, tmclaren@gpc.ca, seabron.adamson@frontier-economics.com Mime-Version: 1.0 Content-Type: text/plain; charset=us-ascii Content-Transfer-Encoding: 7bit Bcc: eric.thode@enron.com, mark.palmer@enron.com, tmclaren@gpc.ca, seabron.adamson@frontier-economics.com X-From: Robert Hemstock X-To: Rob Milnthorp, John J Lavorato, Derek Davies, Tim Belden, John Zufferli, Steven J Kean, Aleck Dadson X-cc: Eric Thode, Mark Palmer, TMcLaren@GPC.CA, seabron.adamson@frontier-economics.com X-bcc: X-Folder: \Steven_Kean_Dec2000_1\Notes Folders\Canada X-Origin: KEAN-S X-FileName: skean.nsf Further to our conference call this afternoon, our plan is to proceed as follows: 1) Hemstock/Dadson to contact Tom McLaren at Government Policy Consultants to obtain advice on process to arrange meeting between senior Enron Executives and Klein, West, and Cardinal. The meeting would be to discuss steps being taken by the Alberta Government to address electricity pricing concerns. We intend to have GPC make the request on Tuesday Nov 13 with a view to the request itself attracting attention of senior government officials. 2) Hemstock/Keohane to instruct Blake Cassels & Graydon to prepare letter to Maury Parsons, Chairman of the Power Pool Council that communicates Enron's concern that approval of the rule changes proposed would offend the obligations of the PPC under the EUA and request PPC to entertain stakeholder input on these fundamental changes prior to approval, failing which we expect Enron would proceed with legal action. The letter would indicate Enron's preliminary concerns with the proposed rule changes and express a need to more fully consider the impact of the proposed changes. The letter will also emphasize that Enron is willing to work with the Power Pool to review the experience in other jurisdicitions with similar rule changes and present other options designed to address the concerns of the Power Pool respecting Alberta electricity pricing. Seabron Adamson and Derek Davies/John Zufferli will provide input on substantive concerns with the proposed rule changes. 3) Hemstock/Milnthorp to call Lorry Wilson, CEO of Power Pool, Dale McMaster COO Power Pool, Maury Parsons, Chairman, Power Pool Council, and Ron George, Power Pool Council Member prior to Blakes letter being sent to express Enron's procedural and substantive concerns with the proposed rule change. 4) Hemstock/Milnthorp to contact the following group of generation developers and encourage them to immediately contact Power Pool Council members to express concern with substance of these rule changes and the process under which they are being effected: i) Rick Kline - Chairman, Independent Power Producers Society of Alberta (Hemstock); ii) Dick Way - Vice-President, Regulatory Affairs, TransAlta (Hemstock); iii) Gary Bauer - President, Atco Power (Milnthorp); iv) Mike Broadfoot - President, Engage Energy (Milnthorp); v) Karl Johanson - Vice President, TransCanada Energy (Hemstock). 5) Hemstock/Dadson to request GPC and Enron Public Affairs consider media/government relations strategy, including potential Project Stanley impact, if Enron does proceed with legal action on this issue. Please advise if you have additional points that should be in the action plan that I have not been captured. Regards, Rob