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Subject:State's Power Grid Again Pushed to Brink of Rolling Blackouts
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Date:Wed, 20 Sep 2000 02:05:00 -0700 (PDT)

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----- Forwarded by Steven J Kean/NA/Enron on 09/20/2000 09:05 AM -----

Ann M Schmidt
09/19/2000 08:32 AM

To: Mark Palmer/Corp/Enron@ENRON, Karen Denne/Corp/Enron@ENRON, Meredith
Philipp/Corp/Enron@ENRON, Steven J Kean/NA/Enron@Enron
cc:
Subject: State's Power Grid Again Pushed to Brink of Rolling Blackouts Energy

F.Y.I.


Business; Financial Desk
State's Power Grid Again Pushed to Brink of Rolling Blackouts Energy: High
temperatures, generator shutdowns push usage within 5% of capacity. Heat
wave is
expected to continue today.
NANCY RIVERA BROOKS

09/19/2000
Los Angeles Times
Home Edition
Page C-1
Copyright 2000 / The Times Mirror Company

Sweltering weather across California pushed the state's heat-stressed
electricity grid close
to meltdown Monday, and state power officials urged electricity
conservation because today
and Wednesday could be even worse.

Power was cut to hundreds of large business customers and about 125,000
residential and
business air-conditioner and agricultural pumping customers Monday after
the California
Independent System Operator, which runs the electricity grid for about 75%
of the state,
declared a Stage 2 power emergency. At Stage 2, when the grid is using more
than 95% of
available power, the state's big investor-owned utilities are asked to
interrupt power to
customers that have agreed to this voluntary action in exchange for
discounted rates.

Grid reliability was threatened when two electricity units in Northern
California stopped
working for a time as heavy air-conditioner demand began to push power use
higher,
Cal-ISO spokeswoman Stephanie McCorkle said.

Demand peaked at about 42,000 megawatts on the Cal-ISO grid, but the two
unidentified
units, representing about 320 megawatts of generation, were returned to
service in the
afternoon--in time to help keep the state from reaching its first Stage 3,
which would lead to
neighborhood blackouts.

"We were right on the edge of warning about a possible Stage 3," McCorkle
said. "A couple
of generators fell offline in late morning, and that kind of gave everybody
a scare."

A Stage 3 emergency would be declared if power reserves fall below 1.5%--in
essence,
when the electricity grid is using more than 98.5% of available power--and
rotating outages
of nonessential customers for an hour or longer would become likely to keep
the grid from
failing. That would result in widespread blackouts lasting several hours.

Electricity use was also high in the area served by the Los Angeles
Department of Water
and Power, peaking near 4,750 megawatts Monday. But DWP customers were not
threatened by power interruptions or rolling blackouts because the
municipal utility has
more than enough generating capacity to meet demand.

"We're doing OK as we have all summer long," said DWP General Manager S.
David
Freeman.

Cal-ISO asked Southern California Edison, Pacific Gas & Electric and San
Diego Gas &
Electric to call on all of their interruptible-power customers to
immediately stop using
electricity, representing a potential 3,000 megawatts, or roughly the
amount of electricity
used by 3 million homes.

Thousands of students at College of the Canyons in Valencia experienced the
California
equivalent of a snow day Monday when power outage alarms rang about 1:30
p.m, the
seventh time this year, college spokesman Sue Bozman said. If the college
doesn't pull the
plug, it pays a big fine.

"For several years, we saved $100,000 a year by being on this
interruptible-service plan,"
said Bozman, who with other administrators finished the work day with
mobile phones and
portable computers. "But when the alarm rings and we decline to turn off
our power, it's a
whole different ballgame."

One such day in May, during final exams, the college didn't cut power and
penalties totaled
$30,000, she said.

During the height of Monday's power crisis, PG&E--whose territory suffered
local blackouts
on June 14 in a similar reliability emergency--kept an open telephone line
to Cal-ISO for
minute-by-minute updates, spokesman Ron Low said.

SCE and the other utilities begged customers to use as little electricity
as possible, and
grocery stores around the state voluntarily reduced lighting and other
power use to comply.

"We're issuing a call to action, a call that everyone needs to take
seriously," Pam Bass,
SCE's senior vice president for customer service, said in a statement as
electricity use
soared Monday. "If the demand for power does not decrease soon, we will be
directed by
the state to begin shutting off power for blocks of customers. Everyone
needs to cut their
use of power now to avoid forced outages."

Today and Wednesday could be even more challenging: Cal-ISO is predicting
peak use of
44,827 megawatts for today. Peak demand was expected to be 44,537 megawatts
on
Monday, but conservation and power-interruption programs kept the total
lower.

"We are anticipating tomorrow to be a good deal like today," SCE
spokeswoman Karen
Shepard-Grimes said Monday. Electricity demand in SCE territory peaked at
17,860
megawatts before the Rosemead-based utility asked power customers to cut
2,500
megawatts of electricity. "It got really touchy today," she said.

*

Times staff writer Zanto Peabody contributed to this report.




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