Message-ID: <12446897.1075848200589.JavaMail.evans@thyme> Date: Fri, 23 Mar 2001 02:30:00 -0800 (PST) From: catherine.mckalip-thompson@enron.com To: rob.bradley@enron.com, jeffrey.keeler@enron.com Subject: Re: Ken Lay Statement to Employees on Bush CO2 Policy Cc: ann.schmidt@enron.com, lauren.iannarone@enron.com, michael.terraso@enron.com, steven.kean@enron.com Mime-Version: 1.0 Content-Type: text/plain; charset=us-ascii Content-Transfer-Encoding: 7bit Bcc: ann.schmidt@enron.com, lauren.iannarone@enron.com, michael.terraso@enron.com, steven.kean@enron.com X-From: Catherine McKalip-Thompson X-To: Rob Bradley, Jeffrey Keeler X-cc: Ann M Schmidt, Lauren Iannarone, Michael Terraso, Steven J Kean X-bcc: X-Folder: \Steven_Kean_June2001_4\Notes Folders\Environmental issues X-Origin: KEAN-S X-FileName: skean.nsf Rob, After reviewing both Lauren's and Jeff's comments, I have little to add. I would, however, replace the last part of Jeff's sentence in the first paragraph with "and there is a need to take a comprehensive look at strategies for reducing CO2 emissions more broadly, in ways that make economic and environmental sense" to avoid mentioning the Kyoto Protocol directly. And, I'd like to reiterate Lauren's suggestion that the article should direct employees to our climate change policy statement in last year's EHS Report and that Lay encourages them to research and reflect on the issue and communicate their thoughts. Thanks, Catherine Catherine McKalip-Thompson Manager, Environmental Responsibility Enron Corp. 101 California Street, Suite 1950 San Francisco, CA 94111 Tel: 415.782.7842 Fax: 415.782.7854 Jeffrey Keeler@ENRON 03/23/01 08:35 AM To: Rob Bradley/Corp/Enron@ENRON cc: Ann M Schmidt/Corp/Enron@Enron, Lauren Iannarone/NY/ECT@ECT, Michael Terraso/OTS/Enron@Enron, Steven J Kean/NA/Enron@Enron, Catherine McKalip-Thompson/Enron Communications@Enron Communications Subject: Re: Ken Lay Statement to Employees on Bush CO2 Policy Rob: Here are my edits below, in bold. Sorry to re-write so much -- but I believe this is consistent with Steve's conversation with Ken, and with the media interviews he has given to date, as well as our advocacy on multipollutant and climate change. Jeff Jeffrey Keeler Director, Environmental Strategies Enron Washington DC office - (202) 466-9157 Cell Phone (203) 464-1541 Rob Bradley 03/23/2001 10:14 AM To: Jeffrey Keeler/Corp/Enron cc: Michael Terraso/OTS/Enron@ENRON, Steven J Kean/NA/Enron@Enron, Lauren Iannarone/NY/ECT@ECT, Ann M Schmidt/Corp/Enron@ENRON Subject: Ken Lay Statement to Employees on Bush CO2 Policy (KEELER EDITS) Here is my draft for Ken in response to Ann's eBiz request. Comments welcome "The President, after a good deal of study and soul searching, decided not to support mandatory controls on carbon dioxide (CO2) emissions from power plants as part of a multipollutant clean air strategy. His decision was based on some very important factors -- the nation's energy markets are experiencing unprecedented supply and price challenges that any CO2 mandate could exacerbate; and U.S. regulation of CO2 in the near-term could be ill-advised because the Kyoto protocol on global treatment of greenhouse gas emissions is unworkable in its current form. "I was somewhat concerned that the message sent by the Bush administration would polarize the debate over how the U.S. should treat CO2 emissions in the long term, as his statement did provoke a very negative "anti-environment" reaction by many concerned individuals and organizations. Because this is an important issue to all parties on all sides of the debate, I believe that the administration should convene an ongoing process to carefully examine global climate change and all the long-term economic, scientific, and social impacts of action regulate CO2 emissions." "The President's position on CO2 notwithstanding, Enron continue to be a private sector leader in offering real solutions towards reducing greenhouse gas emissions in a rapidly expanding energy market. We are well-positioned through our experience with low-carbon fuels for electric generation (natural gas and wind in particular), our focus on new power generation and tecnologies, our leadership position in promoting efficiency through Enron Energy Services' energy outsourcing business, and our expertise in emissions trading and risk management." "A multipollutant appraoch to reducing power plant emissions makes a lot of sense from and environmental and energy policy standpoint. Enron will continue to work with the Bush administration and Congress toward structuring a program that can achieve environmental goals while providing incentives to build cleaner, more efficient generation, promoting a broad mix of fuels and tecnologies, and giving industry the flexibility and economic incentives to make reductions in a market-based, cost-effective way. If we're able to make meaningful reductions in 3 pollutants -- NOx, SO2 and mercury -- and we do it in a way that promotes efficiency and new technology, we'll make progress on CO2 whether it is regulated or not." In the meantime, I will remain active in the global climate change debate to position Enron as a constructive player in the public policy arena and as an industry leader in promoting market-driven solutions to the world's energy and environmental problems. ----- Forwarded by Rob Bradley/Corp/Enron on 03/22/2001 05:55 PM ----- Rosalee Fleming 03/22/2001 11:16 AM To: Rob Bradley/Corp/Enron@ENRON cc: Tori L Wells/HOU/ECT@ECT Subject: eBiz Story Rob, will you please draft a quote for Ken on these issues. ---------------------- Forwarded by Rosalee Fleming/Corp/Enron on 03/22/2001 11:06 AM --------------------------- Ann M Schmidt 03/22/2001 11:04 AM To: Kenneth Lay/Corp/Enron@ENRON cc: Subject: eBiz Story Hi Mr. Lay, I am a Specialist in Corp. PR, under Karen Denne, and write for our internal eBiz publication. I am working on a story about the recent issue with respect to carbon dioxide emissions and Enron's position compared to President Bush's as well as the coal industry. I know that Bush's viewpoint on this issue is not to regulate carbon dioxide emissions from coal-burning power plants. I also understand he based his decision in large part due to a recent Department of Energy report that warns that such a policy would lead to an even more dramatic shift from coal to natural gas for electric power generation and significantly higher electricity prices causing problems similar to California. I wondered if you would mind adding first hand knowledge for employees. A quote from you about this issue would be great. I would also be interested in giving employees some of your reasons for being in favor of controlling CO2 such as your idea for a credit trading system for CO2. Thank you for your time and please let me know if you have any questions. Thanks, Ann Schmidt (x54694)