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Enron South America. Regulatory and Government Affairs Priorities as of 3Q00. Organization Better use of resources Plug Holes Succession of Locals Basic Training Link with Communications Position papers; Conferences; Seminars, Media Articles Link with Local Organizations
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Enron South America Regulatory and Government Affairs Priorities as of 3Q00
Organization Better use of resources Plug Holes Succession of Locals Basic Training Link with Communications Position papers; Conferences; Seminars, Media Articles Link with Local Organizations Link with Houston Computer Tools Enron “Flag Theme” Competition;Access Reconcile Conflicting Objectives Access vs. Assets interests Gas Distribution Brazil Elektro Affiliate purchases Pipeline Capacity Release/Cuiaba Spur Indexation pass-throughs Recovery of US$ margins “Definitive Market Rules” Cuiaba II GasMat Capacity, 500 KV corridor; Nominal Price. (VN) RioGen GasPricing Policy; CEG gas; Interuptible gas; Indexation (VN) Puerto Suarez Bolivian Permits; import authorizations; Distribution Access; Price Cap formula ( VN ) BA Gas Unit- Distribution Unbundling Transredes Rate Case TGS- Provincial taxes ESA - 2000 - Regulatory Priority Initial Priorities for the year Regulatory Group BusinessUnit Support
ESA - 3Q00 - Threats and Opportunities • Brazil • Overall Market Opening stalled. Government entities favored (T) • Petrobras dominant position • Furnas not paying at MAE • Emergency Plan - Forced purchases • MAE - Wholesale Market (O) • Three-Stage+ implementation Plan • Dominance of the Gov Generators • Elektro • Exposure to the Power Supply Cost (T) • Recovery of the ‘99 devaluation (O) • Separation of “D” and “C”; “X” Factor (T) • Assets • Financing Cuiaba I. - Furnas MAE Position • Expansion of the BBPL Pipeline • Gas Units • CEG - Early Large Customer Unbundling (T) • Petrobras -bypass for thermoelectric plants (T) • Wholesale Market - Development (O) • Puerto Suarez Import - 150 MW (O) • Cuiaba II - 480 MW; RioGen - 960 MW • RioGen Merchant - 350 MW • Gas Import/Pipeline Access/Interruptible Svc. • Energy Prepay - Finance various projects (0) • Direct Sales (O) • Market liquidity is low until 2004 • Various deals under development • Argentina • Changes in Government Secretariat. Currency and Inflation fears. Backtracking • TGS • Stamp Tax Issue - (T) • Annual Tariff Indexation (T) • 5 year tariff Review -2003 (T) • Trading • Unbundling gas distribution (O) • Power Trading - Arco (O) • Enron-On-Line (O) • Bolivia • Transredes • Tariff Review ‘99 (T) • Bypass Line by Petrobras (T) • Resolution - Oil Spill • Supreme Decree- Deferred Account; Postage stamp (O) • Pipeline Expansions (O) • Gas Trading - Supreme Decree (O) • Power Export - Puerto Suarez (O) • Arg/Bol/Brazil Trading • Agility of open access rules (O) • Columbia • To be incorporated(T/O) • Venezuela • To be incorporated(T/O)
ESA Major initiatives • “Monetization” of regulated assets. • Regulatory approvals • Re-deployment of key personnel • Open Access Gas transportation in Brazil • Interruptible Service -4Q00 • Firm Service for Expansion • Opening of the MAE (Three-stages) • Detail rules and procedures • Transition Model for Brazil • Protection for stranded contracts • Incorporation of Colombian Activities • Incorporation of Venezuelan Activities