Message-ID: <21298932.1075850647115.JavaMail.evans@thyme> Date: Thu, 26 Oct 2000 23:52:00 -0700 (PDT) From: richard.shapiro@enron.com To: steven.kean@enron.com Subject: Re: Energy Services Coaltion-Visit To London, Friday, December1 Mime-Version: 1.0 Content-Type: text/plain; charset=us-ascii Content-Transfer-Encoding: 7bit X-From: Richard Shapiro X-To: Steven J Kean X-cc: X-bcc: X-Folder: \Steven_Kean_Nov2001_5\Notes Folders\Wto X-Origin: KEAN-S X-FileName: skean.nsf FYI ---------------------- Forwarded by Richard Shapiro/NA/Enron on 10/27/2000 06:51 AM --------------------------- Mark Schroeder@ECT 10/27/2000 05:00 AM To: Richard Shapiro/NA/Enron@ENRON cc: Subject: Re: Energy Services Coaltion-Visit To London, Friday, December1 I guess because of the way the message was sent to me, I cannot include text in return, but responding to your question of what does Joe's last comment mean, presumably, it is that on these issues of WTO, I am not competent to advise you on them. Leaving that aside, I further suspect that he sees me as the bette noir of the WTO ESC effort. Finally, you might talk to Tom Briggs. I think Joe has stood Tom's position on its head. Joe has argued that we need to be in the ESC, because other things we care about like financial services regulation and e-commerce will be implicated. He says Tom argues that we must liberalise energy to realise these objectives. As I understand Tom (and he can speak for himself), if we do not get energy services liberalised (and the exclusion of third-party access is tantamount to not getting energy services liberalised) then the make-weight arguments about e-commerce and financial services fall away, at least as props/arguments for continuing the ESC. talk to you later today mcs ---------------------- Forwarded by Richard Shapiro/NA/Enron on 10/27/2000 06:51 AM --------------------------- Mark Schroeder@ECT 10/27/2000 05:06 AM To: Richard Shapiro/NA/Enron@Enron cc: Subject: RE: Energy Services I had shared my note to you with Peter. Thought you would find his reply comment of interest. Peter and I are both very frustrated/disappointed (you probably knew that), but I think Joe knows it, too, which further explains his derogatory comment about us in London. mcs ---------------------- Forwarded by Mark Schroeder/LON/ECT on 27/10/2000 11:07 --------------------------- Peter Styles 27/10/2000 10:36 To: Mark Schroeder/LON/ECT@ECT cc: Tom Briggs/NA/Enron@Enron Subject: RE: Energy Services Raggett intervention likely attributable to Exxon again. I warned Joe and Bob Fisher about their insidious influence in April when I went to Washington. Also at that time Bob, Chris and I talked in detail about how to get TPA onto agenda through a coda or ancillary agreement to basic service provision/ investment categorisation, as happened for telecom in GATS. Who took their eye off the ball? Mark Schroeder 10/24/2000 05:35 PM To: Peter Styles/LON/ECT@ECT cc: Subject: RE: Energy Services my note, and the attachment to which it refers, are self-explanatory, and have obviously made me very unhappy. What a waste of time and money by Joe! mcs ---------------------- Forwarded by Mark Schroeder/LON/ECT on 24/10/2000 16:36 --------------------------- Mark Schroeder 24/10/2000 16:32 To: Steven J Kean/NA/Enron@Enron, Richard Shapiro/NA/Enron@Enron cc: Subject: RE: Energy Services Tom Briggs was good enough to forward to me a piece of correspondence that Joe Hillings apparently shared with him. My lack of enthusiasm for our WTO initiative, I know, has hardly been masked, but, frankly, what is contained in the incoming letter, below, I find quite disconcerting. I have argued that in our key markets, e.g., Europe, Japan, etc. (I am assuming we do not need it in the USA, even today) the WTO initiative, i.e., liberalisation of energy siervices, would be of little value by the time it was implemented. I had, apparently mistakenly, at least assumed that liberalisation of energy siervices at a minimum meant third-party access to transmission networks. If not, then what the heck are we doing in this fight. BUT, as you will see from the incoming, below, when Paul Hennemeyer, of my team here in London, joined Joe and Bob Fisher in Geneva to do a presentation on liberalisation of energy services in WTO, it provoked a letter, to which Joe responded, saying that the US Energy Services Coalition has NEVER taken a position on thrid party access, and it is doubtful they could agree to such a position (Joe agreed, and said this was just an Enron company position!). You can probably guess my position on this, but I thought I would forward this to you for your information, and, if warranted, follow up, as the conversations we have had have never led me to believe that either of you thought we were pursuing a WTO initiative which did NOT involve third party access. thanks mcs ---------------------- Forwarded by Mark Schroeder/LON/ECT on 24/10/2000 16:03 --------------------------- From: Tom Briggs@ENRON on 24/10/2000 06:49 CST To: Mark Schroeder/LON/ECT@ECT, Paul Hennemeyer/LON/ECT@ECT cc: Subject: RE: Energy Services Mark and Paul: It seems that Paul's enthustastic and brilliant presentation may have upset a few people. Oh dear. If we continue to push TPA as a prerequisite to energy services and trading, we might jeopardise the whole WTO process. Thanks. ----- Forwarded by Tom Briggs/NA/Enron on 10/24/2000 06:46 AM ----- Joe Hillings 10/24/2000 06:25 AM To: Lora Sullivan/Corp/Enron@ENRON, rcfisher@hillsandco.com, don.deline@halliburton.com, cbcapstrat@aol.com, tim.richards@corporate.ge.com, 75361.622@compuserve.com, Chris Long/Corp/Enron@ENRON, Stephen D Burns/Corp/Enron@ENRON, Tom Briggs/NA/Enron@Enron, Joe Hillings/Corp/Enron@ENRON cc: Subject: RE: Energy Services Joe Hillings Enron 1775 Eye Street, NW Suite 800 Washington, DC 20006 202-466-9145 202-828-3372 (fax) email: jhillin@enron.com ----- Forwarded by Joe Hillings/Corp/Enron on 10/24/2000 08:23 AM ----- Joe Hillings 10/24/2000 05:15 AM To: "Raggett, Brian" cc: "'Joe.hillings@, "Arscott, Lyn" 10/24/2000 04:50 AM To: "'Joe.hillings@enron.com'" cc: "Arscott, Lyn" Subject: RE: Energy Services Joe: Having raised the matter covered by the exchange of e-mails between yourself and Lyn, I feel I should clarify my observations of the meeting at the WTO. I am confident that the WTO representatives were better informed and enlightened by the presentations given by the ESC. I am sure they were also struck, as was I, by Paul's enthusiastic explanation of the range of innovative energy services offered by Enron. What sparked my concern was the reference to access to energy networks. Personally, I do not and, more importantly, nor does OGP take a position on TPA in the EU, to which you refer in your communication. Even more so in the context of the WTO, because it has never been discussed. I surmise though, that other ESC members would have similar reservations. My concerns were heightened by questions on the subject raised by one or two of our interlocutors. This part of the discussion then broadened somewhat and included information about a court case in Germany to overcome entrenched opposition to TPA by certain network operator(s). I know not whom. I believe it would be a pity if the broader aspects of energy services, supported generally by the ESC became subsumed by a debate on TPA , to either nationally or privately owned networks, to which some WTO governments outside Europe and the United States, maybe opposed. While I detected concerns about this in the questions asked, I don't think that the baby was thrown away with the bath-water. It is my view, however, that the ESC should be cautious about raising an issue which some governments may perceive to be outside what they think is a more reasonable agenda, and to which, rightly or wrongly, they have antipathy. My concern is that this may then be used to forestall the worthy and, perhaps, more achievable objectives of the ESC to include the wide range of services advocated, in the main, by Paul and by the others who presented. I most certainly have a positive view on the value of your work and I hope this helps. I am not sure at this point whether I will be available to join you in London but I am planning to attend the conference on November 27 and I look forward to meeting you and Bob once again. Kind regards, Brian -----Original Message----- From: Arscott, Lyn [SMTP:Lyn.Arscott@ogp.org.uk] Sent: 23 October 2000 18:02 To: Raggett, Brian Subject: FW: Energy Services FYI -----Original Message----- From: Joe.Hillings@enron.com [mailto:Joe.Hillings@enron.com] Sent: Monday, October 23, 2000 4:53 PM To: Lyn.Arscott@ogp.org.uk Subject: RE: Energy Services Joe Hillings Enron 1775 Eye Street, NW Suite 800 Washington, DC 20006 202-466-9145 202-828-3372 (fax) email: jhillin@enron.com Lynn: Thank you for your response. Bob Fisher and I look forward to meeting you, Brian Raggett and possibly others in London on Friday, December 1. We will be pleased to host lunch and would be grateful if you could select the restaurant. Should another time be more convenient with you, please let me know. From your response regarding the comment in Geneva, I am not feeling that I addressed the specifics of your concern so at the risk of prolonging the pain I'll make another stab at a response. If the concern centers on liberalization of transmission access for electricity and natural gas, I would respond that we want to see the EU electricity and natural gas directives fully implemented. The EU had asked member countries to fully implement transmission access and it is being accomplished in a phased in approach. Some member countries are doing it in a way that makes energy services possible, some to a less degree and so far, France has not adopted the implementing legislation which is a subject of concern to the EU. The opening up of markets to the maximum degree possible is a broad goal of the Energy Services Coalition recognizing that this is a position that has to be negotiated. We have not recommended any specific regulatory system or regime. If I am still missing your concern, please bear with me and bring me in closer to any concern that you may have. Regards and best wishes. Joe Lora Sullivan To: Joe Hillings/Corp/Enron@ENRON 10/23/2000 cc: 11:35 AM Subject: RE: Energy Services Lora Sullivan Federal Government Affairs Representative Enron 1775 Eye Street, NW Suite 800 Washington, DC 20006 202-466-9142 202-828-3372 (fax) email: lsulliv@enron.com ----- Forwarded by Lora Sullivan/Corp/Enron on 10/23/2000 11:35 AM ----- "Arscott, Lyn" cc: "Raggett, Brian" 10/23/2000 Subject: RE: Energy Services 11:11 AM Joe, I am sorry that you were unable to telephone but I know the reason. Our system has been down for upgrading. We had to expand our bandwidth to accommodate the modern volume of email telephone line traffic. Sorry. In response to your itinerary, I will be in town on Dec 1. I will ask Brian Raggett to join us if he can and we can see if there is any one else. The issue that arose at the last meeting in Geneva seems to center around the special problems of inclusion of pipelines and electrical lines as part of energy services. Brian Raggett was at the Geneva meeting and has a first hand interpretation of the meeting. Lyn -----Original Message----- From: Lora.Sullivan@enron.com [mailto:Lora.Sullivan@enron.com] Sent: Monday, October 23, 2000 3:51 PM To: Lyn.Arscott%ogp.org.uk.@enron.com Subject: Energy Services Joe Hillings To: Joe Hillings/Corp/Enron@ENRON 10/23/2000 cc: 75361.622@compuserve.com, Lora Sullivan/Corp/Enron@ENRON 10:25 AM Subject: Energy Services Joe Hillings Enron 1775 Eye Street, NW Suite 800 Washington, DC 20006 202-466-9145 202-828-3372 (fax) email: jhillin@enron.com Lynn: I have been unable to get through on your telephone line this morning so will attempt to fax this and accompanying message to you as recommended by Brian Petty. If it is not fully responsive to the questions raised regarding our presentation to the WTO in Geneva, please feel free to contact me. Neither the ESC nor Enron advocates any abregation of contract. Further, the ESC has not specifically advocated any regulatory system and has no plans to do so. We do advocate and advance as much market access as we can get for companies providing energy services. Bob Fisher (Hills and Company) and I plan to be in Brussels for the European Services Federation conference on Monday, November 27th and I have been invited to partipate on a panel which I have accepted. Bob and I are then planning to travel to Germany, Oslo and London to meet with any energy industry people interested in meeting with us to discuss the energy services effort. Monday, Nov. 27 Brussels Conference (We hope Brian Raggett can participate) Tuesday, Nov. 28 calls on EC Wednesday, Nov. 29 meeting in Dusseldorf/Essen with industry people (planning stage) Thursday, Nov. 30 meetings in Oslo with industry people (planning stage) Friday, December 1 meetings in London (Can we have lunch with you and do you want us to meet with others)? Satuday, December 2 depart for Washington Please let us know if Friday will work for you and how you advise we should proceed. We would also like to meet with British Electric Assn and possibly someone in DTI. Joe