SCE

This is what transpired on yesterday's conference call regarding
Edison's legislative proposal:

Participants: NEV, Green Mountain, Utility.com, TURN, Reliant, Don
Fields

Rick Counnihan met with Edison and John White to discuss the proposal.
Edison discussed four issues which they would like to link to the public
goods charge extension which I have listed below. These issues differ
from the original issues which Edison said we all took out of context.
According to Rick, John didn=01,t say much other than he wants to establish
emission standards for DG.

Public Goods Extension =01) Edison would like to extend the charge but
change how money is allocated.

Maintain Wire Franchise =01) Edison would like to own, operate and plan the
distribution system. They believe there should be charges associated
with this, perhaps non-bypassable, but that that should be worked out by
the CPUC. They also indicated that the utilities should no longer own
DG systems.

Procurement Charges =01) Edison would like to procure energy wholesale from
a variety of sources, including the PX, and distribute with no mark-up
to their customers.

Revenue Cycle Services =01) Edison believes the metering/billing area is
too contentious and they will not address it. This does not mean the
unions won=01,t address it in exchange for supporting the public goods
extension which they oppose.

Edison said PG&E may want help with the irrigation districts who are
encroaching on their distribution system in exchange for support. No
word on Sempra. Edison was also confident that they could kill an
extension because so many people have problems with it including Rod
Wright
and the unions.

With respect to the coalition, it was agreed that each entity would
continue to take meetings and discuss the issue from their prospective.
We=01,d like to do so with John=01,s supprt but Rick will have to check wit=
h
him first. We plan on having another conference call on Monday, March
13 at 4pm.

Scott Govenar