Message-ID: <3431058.1075841540117.JavaMail.evans@thyme>
Date: Wed, 4 Apr 2001 14:44:00 -0700 (PDT)
From: bill.iii@enron.com
To: portland.shift@enron.com
Subject: California Schedules
Mime-Version: 1.0
Content-Type: text/plain; charset=us-ascii
Content-Transfer-Encoding: 7bit
X-From: Bill Williams III <Bill Williams III/PDX/ECT@ECT>
X-To: Portland Shift <Portland Shift@ECT>
X-cc: 
X-bcc: 
X-Folder: \ExMerge - Salisbury, Holden\Read
X-Origin: SALISBURY-H
X-FileName: holden salisbury 6-26-02.PST

Group,

When doing an import or an export from California there are a few important guidelines to remember.

IMPORT-This must be FIRM.  A firm import is required so that we provide the spinning reserves to California (we do this by buying firm energy for the import).  If the import is non-firm, California will charge us their price for spinning reserve margins.  This could easily be $400 per mw come this summer.


EXPORT-This must be NON-FIRM.  A non-firm export allows us to provide spinning reserves to our bilat trading partners (or to simply sell the energy without spinning reserves as "non-firm"), and NOT have to pay the California price for spinning reserve margins.  Conversely if we do a firm export, we would have to pay for California to supply spinning reserves.  And because California will sometime use actual purchased energy for spinning reserves, this could easily be $400 per mw this summer.
California has also proposed cutting firm exports this summer, so a "firm" export does not imply that the energy would actually be exported anymore than nonfirm.

IF you have other questions.  Please let me know.

Thanks,
Bill