Message-ID: <7736550.1075858657294.JavaMail.evans@thyme> Date: Wed, 29 Aug 2001 10:51:46 -0700 (PDT) From: elliot.mainzer@enron.com To: richard.ring@enron.com Subject: Mime-Version: 1.0 Content-Type: text/plain; charset=us-ascii Content-Transfer-Encoding: quoted-printable X-From: Mainzer, Elliot X-To: Ring, Richard X-cc: X-bcc: X-Folder: \RRING (Non-Privileged)\EESIRenewableEnergy X-Origin: Ring-R X-FileName: RRING (Non-Privileged)1.pst Hi Richard, I wanted to touch base with you about the latest on the Green Power Market = Development Group. I've attached the memo I sent them a couple of weeks ago= . Last Friday, Mark Crowdis, who is coordinating on behalf of the group cal= led me back and said that they want to see a formal proposal with notional = pricing. Their members have operations across the country, and there may be= one or two of them who will want to enter into a Kinkoesque arrangement wi= th physical deliver plus green tags, but I imagine that there will also be = a significant contingent who will only want tags, or tags with embedded cal= l options as outlined in the memo. We are also looking into developing a gr= een tag product that looks like a swap against an index, as opposed to a fi= xed price green tag with an out-of-the-money call. I think I have a pretty = good handle on tag pricing here in the Pac Northwest and Texas. PacifiCorp = power Marketing will probably sell me new wind tags in the $7-8 range, and = we have a decent line on existing and new biomass in California. Looks like= Texas RECs will be clearing in the $6-7 range. How about the East? Does Co= mmunity Energy sell their tags outside of their local region? How about the= biomass market in the East? As I mentioned this morning, I'm looking forwa= rd to working on this issue in depth with you when I am in Houston in Septe= mber, but I thought you might have a couple of pricing points for me at thi= s point. Another angle I am going to mention is the Canadian angle, as many= of these companies probably have operations up there also. Have you ever h= eard a thing about resources up there in the Tundra?=20 Although I imagine that we're going to be looking at pretty tight spreads o= n these deals, they will hopefully create some liquidity as we move forward= . One other thing -- perhaps you can think of the names of a few key people a= t EES that we should plan to meet with when I'm in H-town. Thx, EM =20 Elliot Mainzer Renewable Power Desk Enron North America 121 SW Salmon St. 3WTC-0306 Portland, OR 97201 (503) 464-3706 (503) 464-3740 (FX) (503) 709-6959 (CL)