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[IMAGE] Looking for a billing engine to meet your company's complex billing needs? Itron has the technology and industry knowledge it takes to deliver an advanced and automated solution. Visit us at the CIS Conference to learn more about the MV-PBS Billing and Financial Settlement System, the industry proven solution for the critical needs of large revenue customer billing and financial settlements. www.itron.com [IMAGE] Are you looking to invest in, attract investors for, provide services to or understand the business and technology dynamics of the hottest companies emerging in the energy sector? Attend the Energy Venture Fair, June 25 & 26, 2001, in Boston, MA and hear CEOs from 75 hot energy companies present their business plans. Complete event description available at www.energyventurefair.comor call Nannette Mooney at (818) 888-4445, ext. 11. [IMAGE] "Global Power & Western U.S. Coal: Domino Factors at Play in Today's Energy Markets" is the theme of the 2001 Spring Pacific Coal Forum (Coal Forum'2001) to be hosted by the Western Coal Council, June 4-6, 2001 in Park City, Utah. Keynote Speakers include: Honorable Mike Leavitt, Governor, State of Utah; Hitoshi Tagawa, Tokyo Electric Power Company; Eng. Jesus Buentello, Comision Federal de Electricidad; Malcolm Thomas, Kennecott Energy Company; Manfred Raschke, International Strategic Information Services (ISIS). Contact Janet Gellici at (303) 431-1456 or info@westcoal.org www.westerncoalcouncil.org. [IMAGE] [IMAGE] May 17, 2001 Presidents Bush (Former and Current) Speak on Energy Issues By Will McNamara Director, Electric Industry Analysis [IMAGE]Introduced and sponsored by LODESTAR Corp.'s CEO Chris Hamilos, President George Herbert Walker Bush delivered the keynote presentation this morning at the 25th Annual CIS Conference being held in Albuquerque, N.M. The 41st president of the United States spoke mostly from a personal perspective about the highlights of his illustrious business and political career, and reiterated his strong support for his son, President George W. Bush, whom he affectionately refers to as "43" (as in 43rd president). The former President Bush made it clear that he is now enjoying his retirement and avoids making public statements regarding political policy. However, the former president did field questions from the audience regarding a few energy issues and acknowledged the parallels between the issues he faced in his administration, and those that are presently challenging his son. Much of the buzz throughout the conference focused on the current president's just-released energy task plan, a 165-page report that outlines approximately 105 steps that the new administration will take to address current energy problems. Former President Bush recalled the Gulf War and how one of the key issues during that time was ensuring energy supply from Saudi Arabia. The former president acknowledged that he felt compelled to launch the battle against Saddam Hussein, who threatened the energy supplies needed to serve the world. Further, President Bush referred to the political challenges he faced in his presidency, during which time a predominantly Democratic Congress "that saw the big picture issues in a different light" often made it difficult to find common ground. The former president made only brief (but rather significant) references to his son's new energy policy. Having talked with Vice President Dick Cheney last evening, former President Bush said he was aware that the new, broad-based plan focused heavily on new supply, along with secondary measures for conservation efforts. This is an approach that the former president fully supports as he noted that "if you want to lower energy prices, you need to establish more supply." In addition, the former president offered that additional drilling efforts, an element of the plan that has sparked a great deal of controversy, "has to happen" if the nation is truly committed to increasing supply. However, former President Bush did suggest that the nation must be patient as it will take "several years" to see any significant decrease in energy prices as economic forces must be allowed to support new development efforts. Meanwhile, the energy task plan released by the current President Bush this morning holds few surprises but continues to spark a great deal of debate. As expected, the administration supports efforts for increased drilling of oil in Alaska's Arctic National Wildlife Refuge, easing of clean-air rules that should support increased power plant production and streamlining the permit process for oil refinery expansion and construction. These platforms have been in place for months and form the foundation for the energy plan. However, new elements of the plan that have emerged just within the last few days are raising the most eyebrows. For instance, the extent to which nuclear power factors into the administration's energy plan is perhaps greater than was previously anticipated. Specifically, the Bush plan proposes the extension of the life for aging nuclear plants and the use of so-called "breeder reactors," which use spent nuclear fuel. Breeder reactors, although rather common in Europe and Japan, have not been used in the United States since the 1970s, when it was discovered that the reactors tend to produce nuclear weapon-grade plutonium as a by-product. Other key elements of the plan include: Providing eminent domain authority to the federal government, which would supersede states' rights to approve new transmission line capacity. Expediting the license procedures for hydroelectric and geothermal plants. Streamlining the approval process for power plant siting, and speeding up the relicensing requirements for nuclear plants. Drafting legislation to cap emissions of nitrogen oxide and mercury, which are common by-products of coal-fired production. In turn, the Bush administration supports exploring new clean-coal technologies, which should increase production by coal-fired generating plants. A further study of the current restrictions put into place by the Clean Air Act, which presently limits the production at oil refineries and power plants. The issue here is whether or not such restrictions should be lifted or reduced so that additional oil and power production can be pursued. As has been the case since the start of the new administration, the continuing criticism of the new Bush plan is that it is overly specific and strong on new supply efforts, while remaining vague and noncommittal to conservation efforts. However, the specific conservation proposals in the energy plan include providing consumers $4 billion in tax credits through 2007 to encourage the purchase of high-mileage, gas-electric hybrid vehicles. In addition, President Bush has proposed providing tax benefits to co-generation plants, which produce both heat and electricity. Others, including the current president's father, might argue that conservation efforts have received just the right amount of attention in the new plan as market forces (high prices) already are driving renewed conservation across the country. Just as former President Bush faced a predominantly Democratic Congress that often thwarted his policy measures, the current President Bush continues to buck heads with Democrats in Washington who are crafting their own energy plan. In fact, just two days ago, a group of House Democrats led by House Minority Leader Richard Gephardt (D-Miss.) outlined a plan that calls for increased oil drilling and building new pipelines to transport natural gas (both of which run rather parallel to the Bush plan). However, Democrats have focused more heavily on conservation efforts in their own plan, as illustrated by a series of tax incentives to help consumers build energy efficient homes and purchase hybrid gas and electric automobiles. Consequently, the energy issues continue to sharply divide the two parties, although in reality there may enough commonality among Republicans and Democrats to support cooperation in Congress. That cooperation may be necessary as Congress must approve President Bush's energy plan in order for it to take effect. TOMORROW: Summary of CIS Conference and analysis of key IT issues facing the energy industry. An archive list of previous IssueAlerts is available at www.scientech.com [IMAGE] The most comprehensive, up-to-date map of the North American Power Systemby RDI/FT Energy is now available from SCIENTECH. Reach thousands of utility analysts and decision makers every day. Your company can schedule a sponsorship of IssueAlert by contacting Nancy Spring via e-mail or calling (505)244-7613. Advertising opportunities are also available on our website. SCIENTECH is pleased to provide you with your free, daily IssueAlert. Let us know if we can help you with in-depth analyses or any other SCIENTECH information products. If you would like to refer a colleague to receive our free, daily IssueAlerts, please reply to this email and include their full name and email address or register directly on our site. If you no longer wish to receive this daily email, send a message to IssueAlert, and include the word "delete" in the subject line. SCIENTECH's IssueAlerts(SM) are compiled based on the independent analysis of SCIENTECH consultants. The opinions expressed in SCIENTECH's IssueAlerts are not intended to predict financial performance of companies discussed, or to be the basis for investment decisions of any kind. SCIENTECH's sole purpose in publishing its IssueAlerts is to offer an independent perspective regarding the key events occurring in the energy industry, based on its long-standing reputation as an expert on energy issues. Copyright 2001. SCIENTECH, Inc. All rights reserved.
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