Subject: EHS Weekly Report - 2/9/01
From: [email-masked]
To: [email-masked]
Cc: [email-masked]
Date: Fri, 9 Feb 2001 08:17:00 -0800 (PST)

ADMINISTRATIVE

EHS Database - Donnie Willmann, Gavin Dillingham and Susan Worthen have been 
working to transfer the database from Quality Management to EHS Corp.  

EHS Global Asset Remediation Project Report - EHS Global Asset prepared the 
remediation project report and submitted it to Mike Terraso.  

EUROPE 
Enron Metals ) Alan Stringer is reviewing EHS requirements for Europe 
assets.  Reviewed contaminated land investigation required for planning 
permission for new warehouse in the UK. 

INDIA ,ASIA,CALME,SOUTH AMERICA
India, Dabhol Power Company  - ThermoRetec submitted their groundwater 
assessment report to DPC this week. Alan Stringer prepared remediation 
scenarios and cost estimate for Dabhol Plant and submitted them to Henry Van 
for review with R McDonald

Guam, Marianas Energy Co. - Bal Wong conducted a weekly site Spill Prevention 
Control & Countermeasures (SPCC)  inspection at Marianas Plant.  Also 
conducted one hour environmental permit, SPCC Plan training  and 4-hr 
Respiratory Protection Training and Fit Testing to Operations Department 
Group C personnel.   

Panama, Bahia Las Minas (BLM), Stack Testing - Ramiro Garcia completed 
proposal negotiations with stack testing contractors.  A service vendor was 
selected by BLM with recommendations from EHS Global Assets.  Stack testing 
of BLM units is anticipated to be completed in 4-6 weeks.

Bolivia, Transredes Crisis Management Plan - Edgar Zuleta continues working 
with the operations units in documenting the existing Crisis Management Plan. 

Bolivia, Transredes Technology Exchange Program - Edgar Zuleta supported 
Transredes in a Technology Exchange program for Bolivia environmental 
agencies. 

Brazil, Yacuiba to Rio Grande Pipeline Project - Edgar Zuleta held a meeting 
to gather information on social issues for the EIA of this new pipeline 
project.

Enron Conservation Survey  - Edgar Zuleta is reviewing the Conservation 
Survey questionnaire sent by some assets.  To date TGS, Copergas, Pbgas and 
Emsergas have submitted their questionnaires.

NORTH AMERICA

New Jersey, Garden State Paper Company - Scott Watson is preparing a 
Contractor Safety & Health Guidelines Procedure to be implemented at this 
facility.  This procedure will also be implemented at Enron,s most recent 
acquisition, Daishowa Paper Manufacturing Co. in Quebec.

Enron Corp Safety Video Project ) On February ,7 Scott Watson met with Mike 
Terraso, Henry Van, Mary Ann Roman de Meza and Linda Adels to review the 
draft contractor and new employee safety video tapes .  The final videos will 
be incorporated into Enron EHS Web Page as well as the EHS Safety/Health 
Program.

Enron Campus Safety Issues )   On February 9, Scott Watson met with Mike 
Terraso, Henry Van, and Bill Donavon to discuss safety responsibilities 
related to the Enron downtown campus.  

REGULATORY TECHNICAL ANALYSIS

Water Regulations --  Jim Peterson reviewed the implications of the recent 
Supreme Court decision on regulation of Isolated Wetlands under the Migratory 
Bird Rule and prepared an analysis for the Environmental and Safety Report.

TXOGA Pipeline Committee Meeting -  Marc Phillips attended a TXOGA Pipeline 
Committee meeting. He presented information on TNRCC's proposed changes to 
the Permit by Rules and enforcement of upset and maintenance rules. The rules 
will impact ETS.

Environmental and Safety Leg/Reg Report - The RTA Group issued a draft of the 
Reg/Leg Report for review by management and legal staff.

California NSR Permitting Legislation - Marc Phillips distributed an update 
on the status of legislation to expedite New Source Review permits for power 
generation in California.

Solar Turbines - Marc Phillips met with Solar Turbine personnel to discuss 
problems with permitting and maintenance of Solar turbines.

Reciprocating Engine and Turbine MACT Regulations - Marc Phillips discussed 
the proposed Reciprocating Engine and Turbine MACT Regulations with EPA 
personnel. It should be determined by the end of March whether or not the 
regulations will be moving forward or will be redone by the new 
Administration. The regulations could impact all operating units with 
reciprocating engines and turbines.

National Risk Assessment For Selected HazMat in Transportation - Russell 
Tucker was requested by ETS to become involved in the risk assessment sturdy 
about to be released by RSPA.  

HM - 126 Hazardous Materials Review - At the request of ETS, Russell Tucker 
completed a review of all DOT final rules of the last 3 years to determine if 
there were any changes that needed to be made to the HM - 126 Hazardous 
Materials training course conducted each 3 years in ETS. 

GREENFIELD CAPITAL PROJECTS
 A meeting in Santa Cruz, Bolivia with Shell, Transredes, and Enron 
representatives will be held the week of March 12 to discuss the "lessons 
learned" findings.

Bahama LNG and Pipeline -Joe Kolb reports that he, Lauren Iannarone, Habiba 
Bayi, and Catherine McKalip-Thompson met this week with Alice Weekly and Dave 
Glessner (project developers).  Dave Glessner is handling the Bahama end and 
Alice Weekly the Florida end.  After a project description was given, several 
suggestions were given.  The pipeline will cross the land of a private 
university and go underneath a state recreation area.  Each person left with 
assignments as part of developing a strategy to identify and address 
environmental and social issues.

Transredes Looping (Bolivia)  - Joe Kolb has nothing new to report.  Joe 
Kolb, Susan Worthen, and Lauren Iannarone met to discuss the best way to 
ensure that environmental and social concerns are addressed.  This meeting 
was held in response to concerns raised by Henry Van and Edgar Zuleta.

ACQUISITIONS

Military Base Privatization (MacDill AFB) ) Don Stevens provided an 
Environmental Baseline Study proposal to Charlie Thompson for inclusion in 
the RFP.

Massey (JV Coal Mine) - Susan Worthen received confirmation from Bill 
Giuliani (originator) that negotiations with Massey have slowed and they are 
uncertain if the transaction will proceed.  Bill will notify Susan or Don 
Stevens if any changes occur.

Project Ice (potential 100% acquisition of a private company with one ammonia 
and two propane facilities located in Florida, New Jersey and New 
Hampshire).  Don Stevens participated in a company overview meeting and data 
room document review regarding the proposed transaction in New York on 2/5/01 
) 2/7/01.

DEPARTMENT PROJECTS
Annual Report -   EES and EFS safety data appears to be complete.  A meeting 
is scheduled with Gene Humphrey for the week of the 20th to discuss inclusion 
of information from Investment Partners.  Additional meetings will be 
scheduled with Workplace Diversity and Community Relations.

Telework/NEPI Program  Gavin will be attending a telework meeting at Judge 
Ekcels office on Friday to talk with NEPI and HGAC representatives and to get 
a better idea of the free services that HGAC provides to setup a telework 
program. HR is currently reviewing the idea.

Hybrid Vehicle Program - Bruce Martin, the fleet manager in Strategic 
Sourcing, has taken the Prius for a test drive. He liked how it performed and 
said he plans on purchasing a few for Enron,s fleet. Gavin will be working 
with Bruce to determine how we can best manage and collect the emission 
reduction credits off of these cars. 

COMPETITIVE INTELLIGENCE

Power/Gas/Emissions Markets -- California Energy Crisis & Emissions 
Regulation -  Mary Schoen has been working out of the San Francisco office, 
providing analysis and develop strategy on the environmental components of 
the many bills that are being introduced in the California legislature to fix 
the energy crisis.  Enron's primary strategy is to drive the permitting 
process and air requirements to a more standardized, centralized format and 
to allow generators to pay into a pollution mitigation fund in lieu of 
purchasing/creating air quality offsets.   Stacey Bolton informed EES of 
opportunities in legislation that could allow energy efficiency projects to 
qualify as early reduction credits to meet air quality regulations.  All ESG 
members continue to provide business units with information and updates on a 
daily basis regarding potential legislative/regulatory changes that could 
affect key Enron markets in California.

Power Generation -- EES Locomotive project - Mary Schoen provided guidance 
along with Gus Eghneim, on the air quality and permitting issues surrounding 
EES's locomotive project.   Worked with consultants to produce a matrix of 
the state-by-state requirements and analysis of a potential loophole in the 
rules which may allow these engines to permitted as mobile sources and avoid 
stringent requirements.

Power Quality/Distributed Generation -  Mary Schoen provided intelligence to 
EES's Premium Power Group on permitting and siting fuel cells in CA and TX.

Power Generation/Origination - Mary Schoen is providing intelligence to 2 new 
commercial groups -- a power origination group looking at new coal generation 
and the industrial group looking at converting industrial customers to 
merchant generators.

ADVOCACY COORDINATION AND BUSINESS SUPPORT

Clean Air Act -- Federal Multi-pollutant Legislation -  Jeff participated in 
several industry strategy calls and organized visits of an ad hoc "Clean 
Power" group to key staff on Capitol Hill and in EPA.  Jeff interviewed 
several law firms and consultants that the group may retain to assist with 
technical legislative drafting and lobbying on the multi-pollutant bill.   

Energy Efficiency/Air Quality -  air quality regulatory requirements, which 
would benefit EES.
Indiana NOx SIP:   Mary Schoen scored a major victory in Indiana's NOx SIP, 
where regulators included Enron's suggestion for a 2% set aside of NOx 
allowances for energy efficiency/renewable energy projects.
"Negawatt" programs:  Stacey Bolton worked with EES on comments suggesting 
changes to the structure of the Negawatt program in Pennsylvania.  Stacey is 
also promoting the Negawatt concept in Ohio.   Stacey also is pursuing the 
inclusion of energy efficiency credits such as Negawatts in California 
legislation aimed at assisting the energy crisis.

Power Quality/Distributed Generation -  provide support to the EES Premium 
Power group as they develop and implement their business plan to provide 
power quality and distributed generation services to customers in the 
high-tech area.  Stacey Bolton met with EES regarding a fuel cell 
demonstration project in California, and developed strategies for assisting 
them with state/federal funding.   Stacey drafted an abstract for EES' 
application for a CARB grant, which has the potential to provide EES with $1 
million in funding.   Mary Schoen attended a hearing at CARB focused on 
certifying DG technologies and providing guidance to local permitters to 
accelerate the permitting of DG.   Jeff Keeler worked on coordinating 
signatures of an industry letter (which EES signed) to DOE urging development 
of an FY 02 multi-million dollar funding mechanism at DOE to support R&D and 
commercial applications for power quality projects in the high-tech sector. 

Renewable Energy - California Crisis and Retail Green Power markets -  Stacey 
Bolton worked with EES regarding the regulatory implications for their green 
customers in PG&E's territory which are being switched from a physical to 
financial contract.  Stacey helped coordinate with Harold Buchanan and his 
sales representatives to inform customers Patagonia and Fetzer that EES would 
be supplying them with a green tag product rather than 100% (physical) green 
power.   Stacey worked with PR on a strategy to position our green tag 
efforts as environmentally-friendly, and market oriented solutions to 
California's crisis.  Stacey spoke with both the CEC and Green-e to ensure 
that EES' labeling and certification would not be affected, and informed of 
the positive responses she received. Stacey also explored the possibility of 
getting customer credit money for a tag-only product.

Environmental Disclosure:
Ohio - Stacey met with Ohio PUC staff regarding environmental disclosure 
programs and clarify EES' arrangement with First Energy, where First Energy 
would file the actual label with customers.  Stacey was also asked to sit on 
the Ohio Green-e advisory group to develop a standard for certification in 
Ohio, where she is promoting market-oriented solutions.  
California -  Stacey reminded EES about upcoming reporting deadlines for the 
California CEC and Green-e (March 1) and routed the appropriate worksheets to 
EES legal.

Pipeline Safety Legislation - Jeff Keeler provided support to government 
affairs and ETS on advocacy efforts regarding pipeline safety legislation.  
On February 8, the Senate quickly brought S. 235 (the McCain bill) to the 
floor and passed it on a 98-0 vote.   One amendment was adopted, offered by 
Sen. Jon Corzine (D-NJ) to require integrity testing to be performed at least 
every 5 years with three exceptions -- unavailability of equipment; other 
appropriate technical means exist; or necessary supply may be interrupted.  
Jeff provided political/strategic assistance based on last year's legislative 
experience.