Message-ID: <24594244.1075848101881.JavaMail.evans@thyme> Date: Fri, 29 Sep 2000 08:13:00 -0700 (PDT) From: laura.glenn@enron.com To: steven.kean@enron.com Subject: Weekly Report Cc: maureen.mcvicker@enron.com Mime-Version: 1.0 Content-Type: text/plain; charset=us-ascii Content-Transfer-Encoding: 7bit Bcc: maureen.mcvicker@enron.com X-From: Laura Glenn X-To: Steven J Kean X-cc: Maureen McVicker X-bcc: X-Folder: \Steven_Kean_June2001_4\Notes Folders\Discussion threads X-Origin: KEAN-S X-FileName: skean.nsf EHS Dept. General / Projects: Life Cycle Impact Analysis - A.D. Little met with environmental, legal, and corporate responsibility representatives from ETS, EBS, EES, and Corporate to kick-off the first phase of a Life Cycle Impact Analysis of Enron's products and services. Gavin Dillingham is working with Susan Worthen to determine all of Enron's products and services, including volumes. This information will be used to prioritize which products and services we examine and the scope of their life cycle. EHS Compliance Manager Modules - Susan Worthen authorized the expenditure for an EHS Software consultant to assist in the identification and evaluation of EHS software system providers. Enron's requirements will be identified through one-on-one meetings with internal stakeholders. The value of using a third-party to facilitate this process will save significant staff time and project delays due to the current workload of the task force. New Employee Orientation - Kelly Kimberly gave her okay on the graphic for the orientation booth. Mark Wilson (Orientation) will finalize the panel and confirm availability so that EHS can man the booth and provide materials for new employees. Corporate Responsibility Video - Mike Terraso and Kelly Kimberly identified six key business unit executives to feature in an elevator "commercial" promoting corporate responsibility vision and values. Lauren Goldblatt and Susan Worthen will meet with Mark Wilson to discuss details. Annual Report - Hard copies of the annual report are expected by Monday, October 2 from the Image Center. Mike Terraso and Kelly Kimberly will distribute to an internal group of business executives and senior management with a cover letter. Other copies will be delivered to Kelly, Mike, Jeff Keeler, London PR, and John Hardy for distribution to select groups. e-Speak - Kelly Kimberly and Mike Terraso were featured on e-Speak to discuss Corporate Responsibility. NARUC Environmental & Energy conference- in response to an invitation from NARUC through Sue Landwehr, Mike Terraso made a presentation on future natural gas resources and the environmental benefits in electricity generation. He also discussed the energy efficiency , potential programs for emission credit incentives for energy outsourcing. Clean Air Award -- Enron was presented an "Energy Innovation and environmental achievement award" by industry peers at the "America's Clean Air Celebration" held in Washington, D.C. last week in conjunction with the World Fuels Conference. Event co-chairs included former Senator George Mitchell, Canadian Prime Minister Brian Mulroney, and President George Bush (who in his remarks recognized Ken Lay's contribution). Jeff Keeler delivered acceptance remarks on behalf of Ken Lay and Enron. Climate Change -- Mary Schoen spoke at a Pew Center on Climate Change forum in New Orleans for state and local officials interested in climate issues, outlining Enron's role in providing market solutions to climate change problems. Jeff participated in Business Council for Sustainable Energy strategy meetings to discuss a recent proposal forwarded to the UN by the United States that may have the effect of disadvantaging early development of gas and renewable energy projects. Jeff will be coordinating with INGAA, NGSA and other gas and renewable companies to prepare analysis and response to the US delegation to COP6 in the Hague, upcoming in November. Greenfield Capital Projects: Venezuelan LNG - Joe Kolb was contacted by James McMillan (development engineer) seeking input to assist him as he responds to the Venezuelan environmental agency's questions on the EIA. Their questions focus mainly on the nature of the waste that will be generated and how it will be disposed of. Acquisitions: Privatenel (Nicaragua) - Don Stevens has been informed that the group is reevaluating the numbers provided and a decision on the direction of the project is expected next week. Project ISAGEN (Colombia) - The privatization was initially halted by the Colombian judicial system due to a lawsuit filed by the Medellin local utility company (EPM). As of 9/22/00, the sell off has been reinstated and the government will now allow EPM to enter a bid. The Colombian government has qualified EPM, Enron, AEA, and Union Fenosa to bid for the project. Sandy Verma has informed me that the project is currently on hold. The instructions are to get the due diligence completed so if it comes alive again we have all the work completed. Project Crane (Quebec, Canada and Port Angeles, Washington) - Don Stevens met with Wayne Mays and Robert E. Anderson regarding additional environmental questions for AGRA Simons to respond to on the project. Project INGA (California and Pennsylvania) - RTP Environmental has completed their site visits and have supplied preliminary environmental findings. Don Stevens prepared a response for ENA on issues noted by RTP in their preliminary environmental findings. A meeting with Dave DeLaney is scheduled for Thursday, September 28, 2000. Project Dragon (Southeast Asia) - Don Stevens forwarded information as requested to Enron's Bangkok office regarding NOx emissions at the Changzhou, China facility. The lender's engineers are currently reviewing the environmental due diligence. Enron is still negotiating with the seller. The project may complete around early November. Military Base Privatization (Texas AFB) - Don Stevens provided environmental base line scope of work per Charlie Thompson's request for Dyess AFB, Goodfellow AFB, Lackland AFB, Laughlin AFB, Randolph AFB, Sheppard AFB, Ellington Field ANGB, Fort Bliss, and NAS JRB Fort Worth. CWT Thermo-Depolymerization -EES Bruce Stram has requested an environmental analysis of the technology. EE&CC has completed a review of the processes involved and is satisfied with the technology. Don Stevens will set up a meeting with to discuss various environmental issues regarding the project. Regulatory Technical Analysis EES Meeting - The Regulatory Technical Analysis Team met with Roger Raney and John Nixon of EES to discuss the operations of EES and the services that the RTA team can provide to EES. ETS Environmental Procedures - Jim Peterson met with Sue Fernandez of ETS to discuss changes to the intranet version of the ETS Environmental Procedures. Houston Non-Attainment Regulation Comments - Marc Phillips compiled and submitted Enron's comments to TNRCC regarding the Houston non-attainment regulations. Greenhouse Gas Emission Credits - Marc Phillips is discussing the possible use of greenhouse gas emission credits as payment for the methane emission survey work Indaco performed at Bushton compressor station. If the deal can be completed, it will be presented in a talk by John Shafer at the EPA Natural Gas STAR conference in mid-October. NFPA Proposed Code Revisions - Russell Tucker reviewed 368 currently proposed revisions to the NFPA codes and standards to identify those having impact on any Enron companies. This review was prompted by feedback from interviews conducted with the safety managers of Enron companies in which several indicated the NFPA and related building codes were important to their operations. Identified for further investigation were proposals on design changes for fire control water spray system net flow rates for bay area offshore platforms and changes to the Industrial Fire Brigade member qualifications to achieve job performance certification. Asset Operations EPA Acid Rain Workshop - Gus Eghneim is attended an EPA workshop for acid rain designated representatives. EPA discussed the latest developments to the acid rain program and other implementation issues. Stack Testing and CEMS Certification at Wheatland Power - Gus Eghneim submitted petitions to EPA to delay any stack testing until summer 2001. The delay would save EES OEC and estimated $400,000 by allowing the plant to perform the test during routine operating times and not just for testing. The petitions are anticipated to go through the policy review committee by October 2, 2000. State Inspection at New Albany Power - New Albany Power was inspected by the State of Mississippi on 9/22/00. No issues were identified in the inspection. Safety Video Project Script - Scott Watson devised "rough draft" script for the New Hire Employee and Contractor Safety Video projects. Gaza Palestine Power Plant - Scott Watson completed new Hire Safety/Health Training Outline as well as shipped training materials to Gaza. This training is to be conducted on October 7th & 8th, 2000 at the Gaza facility. Legislation Pipeline Safety -- Legislative situation still remains active, with a strong possibility that the House will take up the Senate-passed legislation early next week. In anticipation of resistence from some Democrats who are opposing the bill for purely political reasons, we have stepped up lobbying efforts with key Democratic constituencies and other interest groups who can provide support to the legislation (gas users, governors, steel industry, etc.). Jeff will be speaking on this topic at the ETS management conference on Wednesday, October 4. MTBE -- prospects for legislation this Congress are looking bleak. The only possibility for legislation to move is to attach the Senate Environment Committee-passed bill to an appropriations bill, and many key congressional leaders are opposed to this strategy because of the controversy surrounding the legislation. We are making sure that key advocates are armed with industry transition/conversion funding amendments in case a last-minute effort to attach an MTBE ban to some moving legislation is attempted. Intelligence/Strategies Clean Air Act/New Source Review -- the EPA Environmental Appeals Board last Friday rejected an appeal by TVA of the EPA's enforcement lawsuits charging TVA with multiple NSR violations as a result of plant modifications. Jeff Keeler provided EGM and ENA commercial groups with intelligence as to the likely outcomes before and after the ruling, and provided information regarding TVA's appeal to a Federal District Court upcoming in November 2000. Clean Air Act/New Source Review -- Jeff Keeler provided analysis to ENA Gas Storage developers working on a project involving Intermountain Power Authority in Delta, UT. ENA is proposing installation of technologies that would use gas to increase the utilization of existing 1600 MW coal unit, which could raise serious concerns about EPA scrutiny or enforcement of NSR regulations. Jeff also provided ENA commercial and EHS staff with intelligence on EPA letters of inquiry (which usually precede NSR enforcement actions) sent to Pennsylvania non-utility coal plants, 3 of which ENA is considering acquiring. Clean Air Act/NOx SIP Call -- Mary Schoen was successful in negotiating with TVA and Tennesee air regulators, reaching agreement that Enron's sources would receive an allocation of 500 tons of NOx per year (the levels that our facilities are currently permitted for). Earlier proposals would have limited or completely prevented Enron from receiving NOx allowances. Mary also testified before the Illinois Pollution Control Board on their SIP development, advocating fair allocation of allowances to new sources and market-based trading systems. Clean Air Act/California Air Pollution Offsets -- Mary Schoen held meetings with ENA West developers regarding the shortage of air pollution offsets (required by local air quality districts) needed to develop power projects. Jeff and Mary will be developing strategies for creating or obtaining offsets and working with California developers in the near future. Environmental Product Strategy meeting -- Stacey Bolton continues to receive positive feedback from last week's meeting with commercial groups on opportunities related to green power/renewables. Stacey is working on developing a comprehensive analysis of markets for renewable energy, incentive monies, and supply/demand issues so that we can identify potential opportunities for Enron businesses. Also, in anticipation of EES' development of a power quality group, Mary and Stacey will also be working on analysis of opportunities for distributed generation and other power quality related markets. Environmental Disclosure -- Stacey submitted comments to the Texas PUC on a credit-based accounting system for environmental disclosure and met with the PUC in support of Enron's positions. Stacey is also developing a white paper on credit trading for use in Maryland as they develop rules for disclosure.