Enron Mail

From:susan.worthen@enron.com
To:steven.kean@enron.com
Subject:EHS Weekly Report Ending 03/08/01
Cc:michael.terraso@enron.com, maureen.mcvicker@enron.com
Bcc:michael.terraso@enron.com, maureen.mcvicker@enron.com
Date:Fri, 9 Mar 2001 04:47:00 -0800 (PST)

ADMINISTRATIVE/ GENERAL


US EPA - Mike Terraso and Jeff Keeler met with the current acting EPA=20
Assistant Administrator for Air and his staff in Washington. Jeff reviewed=
=20
the a proposed plan and cooperative solutions for multi-pollutant air=20
emission regulations.

World Resources Institute - Mike Terraso and Susan Worthen reviewed WRI=20
initiatives and potential research utilization regarding greenhouse gas=20
inventory mechanisms and EHS value to bottom financial line accounting=20
techniques with Jonathan Lash, president of WRI.=20

National Environmental Policy Institute Summit Meeting - Mike Terraso, Jeff=
=20
Keeler and Marc Phillips participated in the NEPI meetings in Washington. =
=20
New US EPA Administrator, Governor Christi Whitman was the keynote speaker=
=20
and outlined the administration plan for developing common ground cooperati=
ve=20
mechanisms with industry, state and local governments to achieve=20
environmental goals.

2001 EHS Performance Targets - All assets responded with their concurrence=
=20
and some requested more stringent improvement targets. Henry Van distribut=
ed=20
the 2001 EHS Performance Targets to asset management, including Rebecca=20
McDonald. Donnie Willmann met with Mariella Mahan to discuss 2000 EHS=20
performance statistics and proposed 2001 EHS performance targets for=20
facilities under her responsibility. Donnie followed up with asset=20
management to obtain their concurrence with recommended goals. =20

Corporate Responsibility Booklets - Several copies of booklets that were ma=
de=20
to communicate corporate responsibility-related policies to new employees=
=20
were provided to the London office for similar use and dissemination.

Corporate Responsibility Market Opportunity Sub-Committee - Susan Worthenn=
=20
and Gavin Dillingham attended the Market Opportunity Sub-Committee chaired =
by=20
Gene Humphrey. Recommendations were made to invite Lou Pai to the next=20
meeting to determine synergies of this sub-committee and his new group.

EUROPE

UK, Enron Metals Henry Bath UK - Alan Stringer reviewed final groundwater=
=20
monitoring results and determined the need and level of remediation require=
d=20
to remove potential contamination source(s). Estimated completion by Apri=
l=20
2001.=20

Netherlands, Enron Wind - Alan Stringer supported Enron Wind in the=20
acquisition of a blade manufacturing company. Supervised soil and=20
groundwater investigation and prepared cost estimates for haz-waste disposa=
l,=20
raw material and storage up-grades. Also identified EHS management system=
=20
improvements. Alan continues to provide additional assistance to develop =
an=20
action plan and cost estimate to address all EHS issues identified during d=
ue=20
diligence survey. Estimated completion date is March 15, 2001. He may b=
e=20
required to assist in the EHS management improvement process. =20
=20
UK Enron Rassau =01) Potential Power Plant Development Project =01) Alan St=
ringer=20
supported decision making in determining whether to cancel geotechnical and=
=20
soil quality site investigation due to a "foot and mouth" outbreak (cattle=
=20
very infectious disease in the UK). He consulted with UK Government and=
=20
recommended postponing field work until infected areas are safe. He will=
=20
follow up with UK authorities on when is safe to conduct field work. =20

Spain, Arcos and Mora Power Plant Development Projects =01) Alan Stringer=
=20
supported the UK engineering team and PR team, with support from Gus Eghnei=
m=20
on public opinion on air quality issues. No further action expected.

UK Environmental Reporting =01) Alan assisted Enron UK Operations in meetin=
gs=20
with KPMG (management consulting firm expert in electricity generation) on=
=20
how to report environmental issues to UK electricity generation regulator=
=20
OFGEM.

ENRON GLOBAL ASSETS
(Central America, South America, India and Asia)

Brazil, Cuiaba Pipeline and Power Plant Projects - Edgar Zuleta completed t=
he=20
EHS audit follow-up report for the Cuiaba pipeline and power plant projects=
=20
and submitted to Laine Powel, Project Director.

Southern Cone - Edgar Zuleta completed the review of the Operations Audit=
=20
action items monthly reports for Transredes, GTB, Calife, and EPE. He is=
=20
currently working with these companies to resolve issues. =20

Bolivia, Transredes Crisis Management - Edgar Zuleta conducted an assessmen=
t=20
of the Incident Command System (ICS) for crisis management. New Transredes=
=20
Crisis Management procedures will follow the ICS structure. He also=20
continues to prepare Transredes Crisis Management process under ISO=20
standards.

Bolivia, Gas Oriente Boliviano - Gas Oriente Boliviano requested Edgar Zule=
ta=20
to assist in the preparation of a Crisis Management Plan required by the=20
operation license process. The work began this week. =20

India, Dabhol Power Company (DPC) - Alan Stringer and Henry Van are=20
reviewing environmental remediation support that could be offered to DPC. =
=20
Alan requested a copy of the ThermoRetec assessment report from Ram=20
Subramanian. Awaiting confirmation from DPC for Alan to attend the=20
ThermoRetc presentation in Mumbai on March 19 where potential remediation=
=20
alternatives will be discussed.=20

Batangas, Subic, Dabhol, Marianas, SK-Enron - Reviewing latest Operational=
=20
Audit recommendation status to ensure that EHS issues are addressed at thes=
e=20
. =20

Guam, Marianas Energy Company - Bal Wong conducted an EHS new employee=20
orientation and Oil Spill Emergency Response Plan training for operation=
=01,s=20
Department Group A. Clarified the safe use of suspended platforms. Conduct=
ed=20
safety inspection of fire extinguishers, eye washing stations, emergency=20
showers, electric outlets and ladders. Completed the February Environmenta=
l=20
Report and submitted to Marianas Energy Company management. =20

ENRON ENERGY SERVICES

EES - Distributed Power Generation =01) Gus Eghneim is continuing to provid=
e=20
permitting support to the distributed power generation team. Several=20
generation facilities are planned for year 2001.

Barge Oil Spill, Brooklyn, New York =01) Bill Curra and Gus Eghneim prepare=
d the=20
oil spill report. The report was reviewed by operations and legal prior to=
=20
submittal to the U.S. Coast Guard and other regulatory agencies.=20

Mobile Energy Services Company =01) Scott Watson scheduled to implement his=
=20
devised EHS Transition Plan as well as to conduct an EHS Audit at this=20
facility by mid March =01+2001.

Chemical Hygiene Program - Scott Watson continues devising a Chemical=20
Hygiene Program to be implemented at all operated OEC Facilities as well as=
=20
Enron North America Assets.

Eli Lilly Project, EES =01) Scott Watson, Henry Van and Bill Curra are prep=
aring=20
the EHS Policies and Procedures Manuals and Training Program. The Eli Lill=
y=20
account includes utility delivery service for 5 facilities.=20

REGULATORY TECHNICAL ANAYLSIS

TNRCC Seminar on Cap and Trade Program - Marc Phillips attended a seminar p=
ut=20
on by TNRCC on the cap and trade program under the Houston non-attainment=
=20
regulations.

NAM Ergonomics Task Force Action - Russell Tucker served on the NAM task=20
force to develop the strategy to influence Congress to use the Congressiona=
l=20
Review Act to repeal the OSHA Ergonomics Program final rule. The implemente=
d=20
plan is now recognized as a deciding influence in Congress' action to send =
a=20
repeal measure to the President, who has indicated it will be signed. The=
=20
results will translate into the ergonomics regulation having "no force or=
=20
effect." No organization will have to comply with it. No state-plan states=
=20
will be required to adopt any similar rule, and no further litigation over=
=20
the validity of the rule will be required. It is expected all business and=
=20
labor petitions against OSHA will be withdrawn and/or dismissed in the next=
=20
several weeks, a large money savings for the trade associations in itself.=
=20

GREENFIELD CAPITAL PROJECTS

Project Calypso (Bahamas LNG and Pipeline) =01) Don Stevens has scheduled a=
site=20
visit with Dave Glessner (Development Engineer) to conduct an environmental=
=20
phase I due diligence on the proposed property location of the LNG facility=
=20
in Freeport, Grand Bahamas Island on 3/13/01 =01) 3/15/01. Susan Worthen=
=20
advised Dave on the merits of including a section on noise in the Bahamian=
=20
Environmental Impact Assessment and suggested what actions needed to be=20
analyzed in order to make an evaluation of the potential noise impacts. Mi=
ke=20
Terraso and Susan Worthen met with Ted Ryther and Bill Kendrick of the ETS=
=20
EHS group to discuss environmental support services for the project. =20
Currently, the project does not have an environmental manager to oversee th=
e=20
environmental consultants and provide day-to-day support.

ACQUISITIONS

Orion Refining Corporation (Norco, Louisiana) - Don Stevens has learned fro=
m=20
Doug Leach that a draft contract from Morgan Stanley is expected in the nex=
t=20
couple of days. Once Doug has the draft contract he will make any=20
changes/additions he would like to include and will forward it to the team.=
=20
Upon our receipt and review Doug has promised a reply in 48 hours as to=20
whether we could be competitive or not with the Morgan offer. Even if we ar=
e=20
not competitive with Morgan Stanley and Orion would like to work with Enron=
=20
on anything that would benefit both parties.

Project Orange (Orlando, Florida) - Don Stevens conducted a site visit on=
=20
3/6/01 - 3/7/01 in order to complete an Phase I Environmental Site Assessme=
nt=20
of the facility. This is a potential equity stake in an existing=20
cogeneration plant that would allow Enron to capitalize on a reverse tollin=
g=20
agreement for natural gas.

Project INGA (PN coal-fired power plants and CA cogen plants) - Don Stevens=
=20
has learned the project is back in review. One facility (Mt. Poso) has bee=
n=20
dropped from consideration. The deal consideration is for $92MM.

ReoGen / Electrobolt - Don Stevens provided comments to the Phase II=20
Environmental Site Assessment for the project. The purpose of the assessme=
nt=20
was to quantify potential contamination of the site prior to construction. =
=20
No significant contamination was found and recommendations by the local=20
consulting firm to install groundwater monitoring wells were communicated t=
o=20
the project team as "optional" depending on local real estate custom/practi=
ce.

DEPARTMENT PROJECTS=20

Quantitative Risk Module =01) Don Stevens has been informed that the projec=
t is=20
moving forward. ThermoRetec has informed that the phase I deliverable is=
=20
scheduled for the week of 5/7/01.

EHS Web Site =01) Gavin Dillingham met with Vern Vallejo of Enron Networks =
to=20
discuss the launch of Phase II of the EHS Website. It appears that Phase II=
=20
can be ready by September. Gavin is currently asking for suggestions and=20
ideas to improve the website and collecting data to complete content "blank=
s".

Telework/NEPI Program =01) Gavin Dillingham is preparing for a meeting with=
HR=20
Work Perks=01, Sally Alvarez and Sarah Davis and NEPI=01,s Elham Shirazi co=
ncerning=20
teleworking at Enron. The meeting is to help familiarize Enron Work Perks=
=20
with the current telework pilot program that NEPI and HGAC is launching in=
=20
the Houston area and to see if Enron would like to participate in such a=20
program. The consulting to develop a telework program is provided as a free=
=20
service through federal government funding and HGAC and NEPI have been give=
n=20
this federal funding. The meeting will be on March 15th.

Hybrid Vehicle Program =01) Gavin Dillingham has been working with Bruce Ma=
rtin=20
concerning Enron=01,s purchase of new hybrid vehicles. It appears that Enro=
n=20
Corp. will purchase three of these vehicles.
=20
Asset/Project Tracking Database - Gavin Dillingham is currently enhancing t=
he=20
Asset Tracking Database to include more information. The information fields=
=20
that are being added will track power plant capacity, liability concerns,=
=20
costs, operator, % ENE owned, actions and costs.=20

GAO EHS Performance Measures Database =01) Gavin Dillingham is currently wo=
rking=20
with Enron Networks and Scott Cleverly to determine the feasibility of fixi=
ng=20
the current database and the time frame involved in fixing the database.=20
Scott believes that a new version of the database will be functional by the=
=20
end of March. The current main focus on this project is to develop a databa=
se=20
that has enhanced reporting flexibility. Gavin has sent out an email to all=
=20
who receive reports from this database, to determine the formats of the=20
needed reports.=20

Cell Phone Recycling - Gavin Dillingham is working with Charla Reese in=20
Community Relations to start a cell phone recycling campaign. The cell phon=
es=20
will be gathered at Enron and donated to a group called CARE, a non-profit=
=20
environmental and human rights group. CARE will then sell the phones to=20
CollectiveGood.com who will refurbish or recycle the phones and then resell=
=20
the phones at a 50% discount to communities in Latin America. Gavin will al=
so=20
be contacting Verizon and Cingular to see what they do with their phones.=
=20

Dow Jones Sustainability Group Index - Gavin Dillingham is currently workin=
g=20
with Lauren Iannarone to evaluate various sustainability indexes, such as D=
ow=20
Jones and Innovest and determine potential value to Enron should try to be=
=20
listed on this index.=20

VOLUNTEER ACTIVITIES/COMMUNITY RELATIONS

Enron Earth Day Festival =01) Gavin Dillingham had a meeting with Trash Bas=
h=20
yesterday and today to discuss the bayou cleanup challenge coming up on Mar=
ch=20
31st. Currently, there is a committee that is looking for volunteers and is=
=20
coordinating the logistics of the clean-up.


Susan Worthen
Director
Environmental Compliance, Enron Corp
713/646-6579 713/345-6164 fax
3AC 1525