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To: Sweet Ol who wrote (87623)	2/17/2001 11:24:42 PM
From: Zeuspaul	Read Replies (2) \| Respond to of 95453

We have market prices and they are much lower than CA market prices, but higher than your controlled prices. Are you sure? Oklahoma's plan doesn't start until 2002. My controlled price is currently 14 cents per Kwh...what's yours? eia.doe.gov 6/00: Efforts to pass legislation containing implementation guidelines to restructure Oklahoma's electric power industry, set to begin July 1, 2002, by earlier legislation, ended with the closing of the 2000 legislative session. The Electric Deregulation Task Force remains in operation until January 1, 2003, and will continue working toward deregulation, presumably addressing new legislation in the 2001 session.

To: Sweet Ol who wrote (87623)	2/17/2001 11:48:10 PM
From: Zeuspaul	Read Replies (1) \| Respond to of 95453

The point is, market pricing can work. Agreed. However I see two major issues. 1) Is market pricing the best way to distribute the juice? and 2) If so how do you get there from here? Jumping into an experimental market pricing system from a working controlled system is risky business as has been proven by California's fiasco. Just because something can work doesn't mean it is a preferred methodology. Regulated juice can work too and in fact does work as proven by the success of LADWP. In addition to having adequate juice for its customers LADWP has moved away from unreliable sources of fuel. All of the plants proposed by the independent power producers in California are for NG which has proven to be an unreliable source of fuel. The market forces do not adequately look at the big picture. I would argue for a system that includes three elements. (A)The existing regulated private utilities...(B)the existing public utilities and add to that (C)the independent power producers. I wouldn't dismantle A & B and replace it with C as California attempted to do in the name of competition. My experience is there is a healthy relationship when public and private entities are in some form of competition with each other. Either entity can get out of hand once it dominates an arena. Zeuspaul