I agree with Rick. I know Jose is tied up on current business, but his input
will be important. To date we have been relying on legal analysis of
required approvals etc. That information is essential but it is, as you
know, about 10% of the issue. The far more critical considerations are how
is the government likely to react on a political level and what can we do
about it. I think our government affairs people are in the best position to
make these assessments.
---------------------- Forwarded by Steven J Kean/HOU/EES on 04/20/2000 11:43
AM ---------------------------


Richard Shapiro
04/20/2000 11:07 AM
To: Diomedes Christodoulou/ENRON_DEVELOPMENT@ENRON_DEVELOPMENT
cc: Steven J Kean/HOU/EES@EES
Subject: Project California




I have reviewed the most recent IM and don't have any significant comments,
but my review did highlight the need to have a set or sets of
eyes(internally) who understand the regulatory overlay of the Southern Cone
better and who are also in a better position ( physically and with language
skills ) to assess the nature of the regulatory approvals needed and to
effectively pull on a set of local resources when this project begins to take
shape- With all of that in mind, I would recommend we , at the very least,
bring Jose into the loop. I intend to stay actively engaged and do whatever I
can, but we need help immediately on the regulatory front - the last thing I
would want to have happen to the project would be have it held hostage at the
governmental approval stage- being proactive now by bringing Jose over the
wall would be my strong recommendation.Please advise.