Subject: EHS Weekly Report
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Date: Fri, 27 Oct 2000 02:58:00 -0700 (PDT)

GREENFIELD CAPITAL PROJECTS

Cuiaba Pipeline (Bolivia/Brazil)- Joe Kolb reports that construction in the 
Ridges is now proceeding in all areas.  Directional drilling of some of the 
Ridges is progressing more slowly than originally anticipated due to the 
hardness of the limestone.  Specialists are being called in.  Restoration of 
disturbed areas is being accomplished at a rapid pace in anticipation of the 
onset of the rainy season.  Joe will be going to inspect the route along with 
Edgar Zuleta (Corp EH&S South America) next week.  

RioGen/Eletrobolt PPs (Brazil)- Joe Kolb is waiting for a pipeline 
reroute-specific conference call to be scheduled (as per the last project 
conference call) to discuss the issues.  Joe conferred with Lauren Goldblatt 
and John Ayers (Enron SA) and John is working to ensure that the conference 
call is scheduled and to ensure that the school/orphanage is avoided.  Bob 
Moss will be presenting his route findings to Lauren, Joe, Susan W., John 
Ayers, Lisa Alderman (Enron SA), and Keith Micelli on Friday, Oct. 26.

Metgas Pipeline (India) - Joe Kolb reports that the approval of the two 
laterals from the Metgas mainline may delay the overall project.  Lauren 
Goldblatt offered wise counsel on alternative ways to obtain government 
concurrence without having a full-blown public hearing.  The goal is to close 
financing by the end of March 2001.  Main controversy is not related to 
environmental matters but associated with ROW acquisition.

Powertel - Joe Kolb received considerable information from Annat Jain (Enron 
India) on this fiber optic project.  It appears that it will have minimal 
environmental impacts because the cable is being suspended aerially from the 
existing electric transmission towers and is being buried only at 
substations.  Impacts will mainly be from the equipment moving along the 
corridor. 

ACQUISITIONS

Project Crane (Quebec, Canada and Port Angeles, Washington) - Don Stevens has 
been informed that Enron did submit a non-binding bid for Quebec City.  We 
are currently in negotiations over the terms of our bid and there is at least 
one other bidder still in the hunt.  We won't make it to the next round 
unless we can resolve the terms and conditions sticking points. No further 
due diligence is planned at this time.

Project INGA (California and Pennsylvania) - Don Stevens reviewed DASH 
(draft) from George Schaefer.  Environmental issues have been addressed in 
the DASH.

Military Base Privatization (Maxwell AFB/Gunter Annex) -  Joe Kolb provided 
direction to Stephan Laroche (Enron OEC) on how to develop information 
requested for operating the wastewater systems.  The information related to 
tracking waste disposal.

CWT Thermo-Depolymerization - Don Stevens is preparing an environmental 
issues matrix for the various feedstocks which may be used in the process.

Project Delta - Don Stevens has completed the review of Dames & Moore's 
Preliminary Environmental Reviews of four potential underground natural gas 
storage well locations.  The proposed locations are in the states of 
Washington, Utah and New Mexico.

Project Toucan -  After meeting with Georgia Pacific management,  Enron is 
not interested in the Brunswich, GA site due to the product being 
manufactured.  Enron's offer would not be as competitive as others.  Also, 
Enron is not interested in the Woodland Mill as it appears that they have 
operational issues.  Enron will send a couple of engineers to the site for 
review.  Enron will only be bidding on the Leaf River, MS site.  Given the 
altered scope, no work is required in evaluating Brunswick.  By November 1, 
2000 Enron will decide whether to submit a bid for Woodland.  Georgia Pacific 
still requires that binding bids be submitted by mid-November and this date 
will apply to both Leaf River and Woodland.  The current schedule has the 
management approval process beginning on November 9, 2000.  Don Stevens 
conducted a review of documents supplied by Georgia Pacific regarding the 
Leaf River site.  Don Stevens will be conducting a due diligence site visit 
of the Leaf River facility on October 29 - 30, 2000.

DEPARTMENT PROJECTS

BMPs - Joe Kolb distributed all three linear facility BMPs to the Enron EH&S 
Council for their review.  All comments have been received and evaluated for 
the Pipeline BMPs.  Joe Kolb sent the Fiber Optic BMPs to Wilson Dietrich 
(EBS) for his review and comments. The Electric Transmission Line BMPs were 
sent to Bob Moss (EE&CC) for his review and who passed them on to Dennis 
Alexander (EE&CC) for his staff to review.  Initial responses are positive.

EHS Guidelines - The Environmental Sub-Committee (of the EHS Council) will 
conduct a review of the Enron EHS Guidelines and lead the effort to revise 
them to ensure that they have a broader scope to cover Enron's diverse asset 
portfolio (power, pipelines, pulp/paper mills, metal recycling, etc.).  This 
effort will include the identification of EHS BMPs and will likely include 
the construction BMPs Joe Kolb has been developing.

EHS Intranet Site - Gavin Dillingham continues to work on the EHS intranet 
site. The target date for launch of the site is now December 1st. Most 
content has been received for the site. We are also waiting on the approval 
of the Renewable Portfolio Standard information from the Environmental 
Strategies group and the Regulatory and Legislative Reports from Marc 
Phillips. These two items should be approved by the end of the week. 

Life Cycle Analysis Phase I - A.D. Little has completed their identification 
of Enron's products and services.  A meeting will be held either Friday, Oct. 
26 or Monday, Oct. 30 to discuss follow-up questions with the business 
units.  

VOLUNTEER ACTIVITIES/COMMUNITY RELATIONS

Solar Panel Donation - Joe Kolb and Michael Terraso visited  the Armand Bayou 
Nature Center last week, discuss their use of the panels, and have agreed to 
donate the panels.  

Enron Earth Day Festival/Buffalo Bayou Challenge - Joe Kolb and Gavin 
Dillingham have developed a proposal for how to implement a possible "Bayou 
Challenge," which would be a bayou cleanup activity.  A meeting with 
Community Relations folks to discuss the proposal will occur on October 
26th.  The Corporate EHS group will participate in a trial run December 8th 
to work out the kinks.

ADMINISTRATIVE

Safety Contract Person - Donnie Willmann made offer to contract safety person 
to assist in old CALME region.  Contractor has verbally accepted pending 
review of contract.  Should start within the next two weeks.

Environmental Award - On Oct. 21 Donnie Willmann accepted an Environmental 
Award on behalf of Ken Lay and Enron for their efforts in promoting 
environmental awareness and improving the environment in the Houston area.  
The award was presented at an Environmental Forum 2000 at the George R. Brown 
Convention Center.  The award was presented by Carol Mims Galloway, City 
Council Member, District B. Enron was the only company in Houston presented 
with an Environmental award. 

EUROPE, INDIA and ASIA
 
Spain Arcos ) Alan Stringer is preparing the Enron Europe Ltd. Construction 
Health and Safety and Environmental Management Plan.

Regional Support Co-ordination Team-Europe ) Alan Stringer made a 
presentation to Enron Europe explaining the role of EHS Corp. in the Due 
Diligence Process emphasizing environmental and social issues.

Enron Metals ) Alan Stringer is preparing  the integration of Enron EHS 
guidelines for Enron Metals Europe.  Bal Wong conducted  an EHS inspection 
of  Henry Barth Singapore warehouse.  Scott Watson scheduled to conduct EHS 
inspection of Henry Barth USA warehouse in California.  

Poland, Turkey, UK ETOL ) Alan Stringer continues to work with plant  
management in preparing procedures that meet Enron EHS Guidelines.  

UK ) Isle of Dogs New Project ) Supporting Engineering Services in 
preparation of EIA and IPPC permit application.

CALME

Puerto Rico, San Juan Gas - Donnie Willmann met with the Puerto Rico 
Environmental Quality Board (EQB) to finalize the waste characterization plan 
for the Feasibility Study and Risk Assessment.  EQB gave verbal approval for 
the waste characterization plan.  Characterization will begin Nov. 13.  

Panama, San Francisco Site - Bill Curra is currently assisting the 
remediation work.  

Panama, Bahia Las Minas (BLM) Power Plant -  Bill Curra continues to support 
remediation activities at BLM Plant.  No problems have been incurred.  
Project is anticipated to be finalized by Nov. 10.  Gus Eghneim is reviewing 
proposals for the emission testing work.  Selection of contractor will be 
done Oct. 27.  He is also assisting in developing the cleanup work plan for 
hydrocarbon contaminated unlined detention basin. 

SOUTH AMERICA

Bolivia, GasOriente Boliviano Ltda. - Edgar Zuleta participated in the Owners 
Audit and the Emergency Action Plan audit and the Mechanical Completion 
task-force The EAP will also apply to the pre-operational activities.

OEC / NORTH AMERICA

2001 Safety Action Plan  -  Scott Watson  competed the OEC Facilities 2001 
Safety Action Plan.   The Plan will be presented to Mark Dobler (OEC) and his 
staff for approval and implementation at all OEC facilities.  

Medical Surveillance & Wellness Program - Scott Watson received protocol 
material from Mary Ann Roman De Meza.   He is currently preparing the Medical 
Surveillance & Wellness Procedure.

Caledonia & New Albany Plant Facilities - Scott Watson conducted EH&S Audits 
at New Albany  and Caledonia Plants on Oct 24 - 27. 

Wheatlant Plant, CEMS Standard Operating Procedures - Ramiro Garcia completed 
the CEMS Standard Operating Procedures (SOP) and Emergency Response Plan 
(ERP) for Wheatland Plant.   SOP and ERP were submitted to the state on 
October 23.  Also submitted the Quarterly Compliance Monitoring/Deviations 
Report to the state on October 24. 

2000 Peakers, Due Diligence  ) Gus Eghneim is preparing responses to 
questions received from potential buyers of the 2000 Peakers.  Responses will 
be submitted to Enron legal department.

REGULATORY TECHNICAL ANALYSIS

INGAA NSR Task Group - Marc Phillips is heading a newly formed INGAA Task 
Group on New Source Review. The first conference call for the group is 
scheduled for this Friday.

EPA Regulatory Activities - Marc Phillips distributed to Enron personnel a 
listing of 88 actions, mostly regulatory, that EPA plans on taking between 
now and January 20, 2001. Fourteen of the actions were identified as having 
an impact on Enron. This information was presented at the EH&S Council 
meeting.

TNRCC Commissioners Work Session - Marc Phillips attended the TNRCC 
Commissioner's Work Session where the Commission directed TNRCC staff to lift 
the temporary hold on the review of certain New Source Review (NSR) permit 
applications. This hold had affected applications for new permits and permit 
amendments received after September 18, 2000, which would authorize new 
emissions of NOx in the eight-county Houston/Galveston ozone non-attainment 
area.

Office and Field Ergonomics Safety Procedures - Russell Tucker issued the 
second draft of the proposed "Enron Office Ergonomics Program" safety 
procedure and the first draft of the "Enron Field Ergonomics Program - 
Construction" safety procedure for review and comment by the members of the 
Enron EH&S Council.

Enron Houston Accident and Injury Reporting, Investigation and Recordkeeping 
- Russell Tucker assembled the final three forms necessary to complete the 
attachments to the "Enron Houston Accident and Injury Reporting, 
Investigation and Recordkeeping" procedure commissioned by the Enron EH&S 
Safety Sub-council for development. The procedure is awaiting review by 
Maryann Roman De Meza, after which it will be released for review and comment 
by the Safety Sub-council members.

ADVOCACY

Pipeline Safety Legislation  - While there is still a slim chance that the 
Senate (McCain) legislation may be included in a last-minute appropriations 
package, most Capitol Hill sources are pessimistic that a bill will be passed 
this Congress. The Administration, concerned that it could shoulder the blame 
for killing safety legislation in Congress, is planning an "Executive 
Action," which will likely take the form of a Clinton Executive Order, paired 
with the release of a DOT rule on integrity management for liquid pipelines 
(which was expected shortly anyway.)

MTBE Legislation -- S. 2962, which passed the Senate Environment Committee in 
September is not expected to be included in any last-minute appropriations 
legislation.  The issue will likely be addressed next Congress.  Enron has 
secured commitments of several key members of Congress that "transition 
incentives" for MTBE producers will be considered along with any legislation 
to ban or limit the product.

Clean Air Act/"Multi-Pollutant" Legislation -- it is likely that next 
Congress will consider CAA reform legislation, and much attention is already 
being paid to approaches to reducing emissions of multiple pollutants (SO2, 
NOx, Mercury, CO2) from the electric generation sector while also fixing 
problems with the New Source Review program.   Out of concern that merchant 
gas generation, distributed generation, energy efficiency and other "clean" 
solutions might be left out of the discussions, Jeff Keeler and consultant 
Joel Bluestein organized a meeting of environmental groups and competitive 
generation companies (PG&E Gen, Calpine, Trigen, NiSource, El Paso) to talk 
about the inclusion of clean energy/IPPs in a multi-pollutant bill.   We will 
be drafting a legislative solution in the coming weeks so that it can be 
circulated with environmental groups, utilities, and eventually Capitol Hill 
and new Administration representatives by the start of next Congress.

COMPETITIVE INTELLIGENCE/COMMERCIAL SUPPORT

Clean Air Act/NOx SIP Call Supreme Court Appeal -  The states of Ohio, 
Indiana, Alabama, Michigan, South Carolina, West Virginia and Virginia have 
petitioned the U.S. Supreme Court to hear an appeal of the NOx SIP call case, 
which was upheld in favor of EPA by a federal appeals court earlier this 
year.   The states (backed by some industry groups) are hoping that the case 
will be linked in the minds of the justices to the EPA's appeal of the NAAQS 
8-hour standard case, which will be heard by the Supreme Court on November 6. 
(even though one case held for EPA and the other against)   If the Court 
decides the two cases are related this could delay a decision until later 
next year, and perhaps sway the court into finding against EPA in the SIP 
case as well.

Clean Air Act/Energy Efficiency -  Mary Schoen is working on several issues 
related to the use of energy efficiency projects to generate tradable 
allowances/offsets in NOx control programs.  Indiana is developing its NOx 
SIP, and because of the excess of allowances in its budget, would be a prime 
target for including energy efficiency set-asides. EES is interested in 
creating such a program, and Mary is working with EES and some of its Indiana 
customers to advocate the use of energy efficiency projects to meet NOx 
reduction targets.  Mary is also working in California to find offsets for 
ENA new generation, and has talked with the Bay Area AQMD about using EES 
energy efficiency projects to generate offsets.  Stacey Bolton met with the 
Center for Resource Solutions, who is developing a "Negawatt" program in PA, 
and informed EES who could benefit from participation with commercial 
customers in a pilot program.

EES Premium Power Group - The Environmental Strategies team has been working 
with EES' new venture into power quality, distributed generation and 
reliability to assist them with intelligence about environmental drivers for 
their business.  Jeff Keeler introduced EES to DOE and EPA officials working 
on power quality issues, as potential sources of information, policy support 
and funding.  Mary Schoen is working on a "template" environmental 
regulations affecting distributed generation.   Mary is also working to 
address a new Texas regulatory proposal that would severely restrict 
distributed generation.  Stacey Bolton provided a summary of incentive monies 
available for fuel cells and renewable resources.    We expect to provide 
substantial support for this EES business as they organize in the next 
several months.

California Retail Electric Market -   New Power Company is taking over EES' 
residential customers in the California retail market, and Stacey Bolton is 
working with NPC to advise them on regulations and reporting procedures 
related to the provision of green power products to customers.  Stacey is 
also advising NPC on markets in Ohio, New Jersey and Pennsylvania.

Energy Efficiency/California Pilot Project - SDG&E is looking to create a 
pilot project to offer competitive energy providers the chance to take over 
some of its residential customers and offer a "bundled" package of energy & 
services, including many energy efficiency solutions.   Mary Schoen is 
working with NPC on potential business opportunities related to this pilot 
program.

Green-E Outreach to Commercial Customers -  Green-E is doing some outreach to 
commercial sources about certification under the Green-E program, and Stacey 
Bolton has been meeting with Green-E to discuss potential business 
opportunities for Enron associated with green power offerings to these 
commercial customers.

Climate Change -  Jeff Keeler spoke on a panel at the Forbes Magazine 
Environmental Superconference in DC, on the topic of Business Opportunities 
related to Climate Change.   Jeff also helped organize a briefing by the 
White House and EPA for gas industry representatives, to hear about proposals 
related to establishing baselines to show "additionally" under the CDM and JI 
mechanisms, which will be a hot topic for discussion at COP 6 in the Hague.