Message-ID: <23781935.1075844198771.JavaMail.evans@thyme>
Date: Wed, 11 Apr 2001 09:29:00 -0700 (PDT)
From: aleck.dadson@enron.com
To: richard.shapiro@enron.com, james.steffes@enron.com
Subject: Ontario Conference Call
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 The point I didn't get a chance to finish this morning was that Sithe (the 
proponent of a major project- though many are skeptical ) have evidently told 
the Ministry of Energy that they are comfortable with a Spring 2002 opening.  
This is not helpful because generation investment has been key to the gov't's 
message re the benefits of competition.   The Minister has been using the 
alleged Sithe position to counter the argument that a Fall opening is 
critical to sustaining momentum and investment in the Ontario power 
sector.    I know the Sithe person here and he is very ornery (the former 
Chair of IPPSO) . I know that we have a major commercial arrangement with 
Sithe in the US.   Is there any one in Houston (Lay, Lavorato, Delainey) who 
can lever a more supportive position out of Sithe.                     With 
respect to the last point in my attached memo, I am wondering whether we 
could lever some senior US official to draw attention to the enormous profits 
that BC Hydro made in California and use this to make a case for reciprocity  
- "If you want access to our markets, you better open up Yours as soon as 
possible".  (Best do this in advance of Lay's meeting with the Premier).   I 
think the point is more obviously made re BC than OPG but  the point would 
not be lost on OPG which had revenues in excess of CAD $279,000,000 in 2000  
on 4.0TWh.   Most, if not all of that, of that would be from US markets.   In 
the absence of a FERC marketer authorization, all OPG physical transactions 
are done at the border.   In NY, even those border transactions require OPG 
to be a member of the NY ISO.  In order to become a member of the NY ISO, OPG 
had to get a waiver of the tariif provision re reciprocity.  They got  an 
extension of that waiver from the Management Committee  earlier this year 
only after a speech by Dave Goulding of the IMO to the Members Committee that 
the Ontario market would open this year.   That waiver will expire at the end 
of this year.   So OPG must understand that there is a serious risk that the 
waiver will not be extended if the market is not opened in accordance with 
Goulding's assurances. 
----- Forwarded by Aleck Dadson/TOR/ECT on 04/11/2001 04:08 PM -----

	Aleck Dadson
	04/11/2001 03:53 PM
		 
		 To: Richard Shapiro/NA/Enron@Enron, James D Steffes/NA/Enron@Enron
		 cc: 
		 Subject: Ontario Conference Call 



__________________

Attached is a proposed agenda/outline of what we have done and will be doing  
and a list of the Queen's Park contacts to date.   Give me a call, if you 
have a chance, pre-Lavo.