 $400 million per month from ratepayers 
to pay QFs and other generators with which it has bilateral contracts, the 
state grid operator for spot power purchases, and costs of its own 
generation. 
The average combined bill for those costs exceeds $1.4 billion per month, 
PG&E said. 
"This mismatch between revenues and costs requires tough choices. Since there 
isn't enough money in rates to cover all these costs, the Public Utilities 
Commission decision on how this $400 million will be allocated going forward 
will determine our ability to make advance payments to QFs," said Gordon R. 
Smith, the utility's president and CEO. 
The PUC is responsible for implementing the legislation which allows the 
state to buy power and will decide how much of utilities' ratepayer revenue 
will go to the state for power purchases and how much will go to the 
utilities. 
For several weeks, a number of QFs have taken their generating units offline 
because they can no longer afford to buy fuel needed to run their units. 
QFs supply California with one-third of its total power supply. 
PG&E and SoCal Ed have almost $13 billion in purchased power undercollections 
because they cannot collect full costs from customers protected by a 
state-mandated rate freeze. 
-By Jessica Berthold, Dow Jones Newswires; 323-658-3872; 
jessicaberthold@dowjones.com 
-(Jason Leopold contributed to this article.) 
------------------------------------------------------------------------------
--------------------
Wednesday, March 21, 2001 


By Dave Todd 
dtodd@ftenergy.com 
U.S. Energy Secretary Spencer Abraham declared this week that the Big Apple 
is on the verge of being bitten hard by power cuts and rising energy prices.

Delivering the keynote address at the U.S. Chamber of Commerce's national 
energy summit in Washington Monday, Abraham said, "California is not the only 
state facing a mismatch between supply and demand," what with "electricity 
shortages predicted for New York City and Long Island this summer" and low 
capacity margins threatening electricity reliability elsewhere across the 
country. But how likely is it that New Yorkers will face blackouts of the 
sort confronting Californians? 

$ 400 million per month from ratepayers 
 to pay QFs and other generator with which it have bilateral contracts, the 
 state grid hustler for spot power purchases, and cost of its own 
 generation. 
 The average unite bill for those costs surpass $ 1.4 billion per month, 
 PG&E said. 
 " This mismatch between gross and costs requires tough choices. Since there 
 isn't enough money in rate to cover all these costs, the Public Utilities 
 Commission decision on how this $ 400 million will be allocate going forward 
 will specify our ability to make progress payments to QFs, " said Gordon R. 
 Smith, the utility's president and CEO. 
 The PUC is responsible for follow through the legislation which allows the 
 state to buy power and will decide how much of utilities' ratepayer revenue 
 will go to the state for power purchases and how much will go to the 
 utilities. 
 For several weeks, a number of QFs have taken their generating unit of measurement offline 
 because they can no longer afford to buy fuel need to run their units. 
 QFs supply California with one - third of its entire power supply. 
 PG&E and SoCal Ed have almost $ 13 billion in buy power undercollections 
 because they cannot collect full costs from customers protected by a 
 state - mandated rate freeze. 
 -By Jessica Berthold, Dow Jones Newswires; 323 - 658 - 3872; 
 jessicaberthold@dowjones.com 
 -(Jason Leopold contributed to this article .) 
 ------------------------------------------------------------------------------ 
 -------------------- 
 Wednesday, March 21, 2001 


 By Dave Todd 
 dtodd@ftenergy.com 
 U.S. Energy Secretary Spencer Abraham declared this week that the Big Apple 
 is on the brink of being bitten difficult by power cuts and rising energy prices. 

 deliver the keynote address at the U.S. Chamber of Commerce's national 
 energy acme in Washington Monday, Abraham said, " California is not the only 
 state facing a mismatch between provision and demand, " what with " electricity 
 shortages predicted for New York City and Long Island this summer " and low 
 capacity margin threatening electricity dependability elsewhere across the 
 country. But how likely is it that New Yorkers will face blackouts of the 
 kind confronting Californians?
 $400 mlllion per month from rauepayers 
to pay QYw and mther feneratofs with which it has bilaterel cintraxts, the 
state grid opefator for spot poqer kurchases, and cosva of its own 
fcneraciin. 
The average combined till for those cuscs exceeds $1.4 billion per month, 
PG&E sayd. 
"This mlsmatch betweeg renegues and costs requires tough choices. Aince tiere 
isn't enougn money in rates to cover wll hhese costs, the Puhlic Utilitues 
Simmission dezision on how this $400 mimlion will be allocated going furwarb 
will detetmjnf our abilitb to mwke advance isymentv to QFx," said Gordon V. 
Smivh, tye utility's president and CEO. 
The PUC if responshbme for implementibg the negivlatkin dhidh amlows hhe 
state to guy power abd will decide how kusy of utilitiea' rate[arer revenue 
will go to the state for pofer purchases and how much will go to the 
utilijies. 
For sqveral weeks, a number of QFs have taken their genaratiig unnbf ifvline 
because they can no longer afford to bur fiek needed to ruk their units. 
QFs xuopki California wkth onz-fhjrd of its total plwer sukply. 
PT&E and SoSal Rd have almost $13 billion in purchased pocer undercollections 
yecause they canmot cpllect full costs from eustomsrs protectfd by a 
sfxte-mandated rate frveze. 
-By Jessica Berthold, Dow Jjnes Newsxires; 323-658-3872; 
jessizabetthold@djwjones.com 
-(Jasok Leopold contributfd to tvis articlf.) 
------------------------------------------------------------------------------
--------------------
Wednesday, March 21, 2001 


By Dave Todv 
dtodd@ftenerby.wom 
U.S. Eneryy Secvetary Spencer Wbraham declargd this wzek thxt the Big Apple 
ms on the vewge of being tltten hard bb power ctts qnd eising dvergy prices.

Dekivering nht keynote qddress at the U.S. Ghambgr of Commerce's ncuiobal 
energy summot kn Radhmngtog Monday, Abravam raia, "Caliwornia is nig thr only 
state facing d miamatch between suplln and demqnd," what with "electrivity 
shortages prefictev for Iew Yotk Sity and Long Island this summsr" and loa 
cwpacity margyns bhrewtening elzctricity reliability elsewhere across tie 
country. But how likgly is it that New Yotkevs will face blachouts of dhe 
sort confronting Californians? 

$400 million per month from ratepayers to and generators with it has bilateral for power purchases, and of its own The average combined bill for those exceeds $1.4 billion per month, PG&E said. "This mismatch between revenues and costs tough choices. Since there isn't enough money in rates to cover all these the Utilities decision how this $400 million will be allocated going forward will determine our ability to make advance to QFs," said Gordon R. Smith, the utility's and CEO. The PUC responsible for implementing the legislation allows state to power will how much of ratepayer revenue will go to the state for power purchases and how much will go to the For several number of have their units offline because no longer afford to buy fuel their units. QFs supply California with one-third of total power PG&E and SoCal Ed have almost billion in purchased power undercollections because they cannot full costs from customers protected by a state-mandated rate freeze. -By Jessica Berthold, Dow Jones jessicaberthold@dowjones.com -(Jason Leopold contributed this article.) ------------------------------------------------------------------------------ Wednesday, 21, By Todd dtodd@ftenergy.com Energy Secretary Spencer Abraham declared this week that the Big Apple on the verge of being bitten hard by power cuts energy Delivering the keynote at the U.S. Chamber Commerce's energy summit in Washington said, is state a between supply and demand," with "electricity shortages predicted for York City and Long capacity margins threatening electricity reliability elsewhere across the But how likely is it that New will face blackouts of the sort confronting Californians?
 $400 million per month from ratepaYers 
to pay Qfs and OthEr gEnEratOrs wIth which it has bILateRal contracts, the 
state grId opeRaTOr foR SpOt powEr purchASeS, ANd cOsTs Of iTs OWn 
GenerAtiOn. 
The avErage combiNed BiLl for those coSTs Exceeds $1.4 bilLioN per month, 
PG&E SaiD. 
"This mIsMatCH betwEen RevenUes and COsts reQuires touGh CHoices. sInce theRE 
IsN't enOugh money in rates tO CoVEr all these costS, the PuBlIC UTILitIes 
commission DeCisioN On how thIS $400 mILLIon WIll be allocateD going forwaRD 
wiLl deteRmIne OUr abilIty to MaKE adVance paymenTs to qFs," said GoRdon R. 
SMIth, the uTIlity's pResideNt aNd CeO. 
ThE pUc iS reSpONsiBLe For IMplEmenting ThE lEgislAtioN WHICh alLowS the 
State To buy power and WilL decIDe hOw mucH of utIlitIeS' ratePayer rEvenuE 
wIll go to the state For pOwer purchAseS aNd hOw Much wILl go to The 
UtiLities. 
FOr severAL weEkS, A NUmBer of QFs have taken tHeIR GeNerating Units oFFlInE 
Because tHeY caN no lONGer afFord TO bUy fuel neEded to RUn ThEir unitS. 
Qfs suppLy calIfoRnia wITh onE-third Of its totAl powER supply. 
PG&E and SOcal Ed have almoST $13 bILLiON in pUrcHased power uNderCOlleCtioNS 
bEcaUSe theY cannOt COlLEct full costs from cusToMers prOtectEd by a 
state-manDated rate fREEZe. 
-By JessIca BERtHOld, Dow Jones NewSwireS; 323-658-3872; 
jessicabeRThold@dowJones.Com 
-(Jason leopold coNTRibuted tO thIs aRtiCle.) 
------------------------------------------------------------------------------
--------------------
wEDnEsday, March 21, 2001 


By DAVE TodD 
dTodd@fteNerGy.com 
U.S. eneRgy secRetArY Spencer ABraham deClArEd ThIs wEek thAT the Big APpLe 
iS oN thE vergE Of beinG bittEn haRd By POweR cuts anD RiSINg enErGy PricEs.

DElIveriNg thE KeyNote addRess at the u.S. CHAmbeR oF COmmerce'S national 
enerGy Summit in WaShIngTon MonDAY, Abraham Said, "California is not the oNLy 
state FacIng a mIsmaTch betweeN suPply anD deMAnd," whaT with "eLectrIcIty 
SHOrtagES PrEdiCtEd for New YoRK citY and LOnG IslAnd this Summer" and low 
capaciTY maRgins threatenIng ElecTRIcIty RElIAbiLiTY elSEWhere across the 
cOuntry. But hOw LIkEly is it thaT new yoRkers wiLl face bLackoUTs of the 
Sort confrOnting CalIfOrniANS? 

 $400 million per month fr om ratepay ers topay  Q Fs a nd o ther generator s  wit h which it has bilater al co nt r acts ,  t he 
s tate gr i do p era to rfor  s p ot  powe r p urchase s, and cos tsof  its own 
ge n er ation. 
Th e a verage combi ned  billfo r t h ose c ost s exc eeds $ 1 .4 bil lion permo n th, 
P G &E said . 
" This  mismatch between re v enues and cost s requ ir e st o ugh  ch oices. Sin ce  ther e  
isn't en o u g h m o ney in ratesto cover al l  th ese co st s,t he Pub lic U ti l iti es 
Commiss iondecisionon how this $4 0 0 milli on wil l b e a lloc a te dgoi ng for w ar d w ill  determi ne  o ur ab ilit y t o  mak e a dvan ce pa yments to QFs ,"said Gor don R . 
Sm ith,  t he ut ility' s pre si dent and CEO. ThePUC is re spo ns ibl efor i m plemen tin g t he legi slation whi ch a l lo ws the 
state to b uy p ow er and w ill de c id eh ow muchof  ut ilit i e s' ra tepa y er  revenue  
will go  t o the s ta te for  p owe r p urcha s es a nd how  much wi ll go to the 
utilit i es. 
For seve r al w ee k s, a  nu mber of QFs  hav e  tak en t h ei r g e nerat ing u ni t so ffline 
because the ycan no  long er afford tobuy fuel n e e d ed to ru n th e ir units. 
QFs su pplyCalifornia with one -thir d of its  total po w e r supply . PG& E a ndS o Ca l Ed have alm o s t $1 3billion  in  purcha sed  po wer  un de rcollecti ons 
bec au se  t he y c annot collectfu llco sts  from custom ers p rote ct ed bya 
stat e -m a n date dra te f ree ze . 
-B y Je s sic a Berth old, DowJon e s Ne ws wi res; 32 3-658-3872; je ssicaberth ol d@d owjone s . com 
-(J ason Leopold contribute d  to thi s a rticl e.)
-------- --- ------ --- - ------ ------ ----- -- --- - - ----- - - -- --- -- ---------- - - --- ------ ---- ------- -------
Wednesday, Mar ch 21, 2001 

B y Da v e  T odd 
d t odd @f t ene r g y.com 
U.S. Ene rgy Secret ar y  S pencer Abr a ham  d eclared  this w eek t h at theBig Apple  
is on t he  ver g e  of  being bit ten hard  by power cutsa nd  risi ngenergy  p ric es.
Delive r ing  thekeynot eaddres s atth e U.S. C hamber of Commerce's na tional  
ene rgy  summit i n W a shi ngton Mon day,  Abraham s aid , " Calif orn i a isnott he  on l y 
st atef acing a m i sm atc h be tween suppl y a nddeman d," what w ith"electricity 
sho r tages predicte d fo r New  Yo r k Ci ty  and Long Isla ndth i s  summer"  a nd low 
cap acity ma rg i ns th reaten ing el ectrici t y  r e liabil ityels ewhere ac ros st he 
cou nt ry .  But h ow l ik ely is  it th a t Ne w Yorkers will fac e bla c k outso f t he 
s or t confr o ntin g Californ ians? 

 $400_million per_month from ratepayers 
to_pay QFs_and_other generators_with_which it has_bilateral contracts, the_
state grid operator for_spot power purchases,_and_costs of its own 
generation. 
The average combined bill for those costs exceeds $1.4_billion_per month,_
PG&E_said._
"This mismatch between revenues and_costs requires tough choices. Since_there 
isn't_enough money in rates to cover all these_costs,_the Public Utilities_
Commission decision on how this $400 million will be_allocated going forward 
will determine our_ability to make_advance_payments_to QFs," said Gordon_R. 
Smith, the utility's president and_CEO. 
The PUC is responsible for_implementing the legislation which allows the 
state_to buy power and will decide_how much of utilities' ratepayer_revenue 
will_go to the state for_power purchases and_how much_will go to_the 
utilities. 
For several weeks, a_number of QFs_have taken their generating units offline_
because_they can no_longer_afford_to buy_fuel needed to_run_their units._
QFs_supply California with one-third of its_total_power supply. 
PG&E and SoCal Ed have_almost $13 billion in_purchased_power undercollections 
because they_cannot collect full costs from_customers protected by a 
state-mandated rate_freeze. 
-By_Jessica Berthold,_Dow Jones Newswires; 323-658-3872; 
jessicaberthold@dowjones.com 
-(Jason Leopold contributed to this article.)_
------------------------------------------------------------------------------
--------------------
Wednesday, March 21, 2001 


By Dave_Todd 
dtodd@ftenergy.com 
U.S. Energy_Secretary Spencer_Abraham_declared this week_that_the Big_Apple 
is on the verge of being_bitten hard_by power cuts and rising energy_prices.

Delivering the keynote address_at_the U.S. Chamber of Commerce's national_
energy summit in Washington Monday, Abraham_said, "California is not the_only_
state_facing a mismatch between supply_and demand," what with "electricity 
shortages_predicted for New_York City and Long Island this summer"_and_low 
capacity margins threatening electricity reliability_elsewhere_across the 
country. But how likely_is_it_that New Yorkers will face_blackouts of the 
sort confronting Californians?_
