National Energy Marketers Association
FOR IMMEDIATE RELEASE Contact: Craig Goodman
January 24, 2002 Telephone: (202) 333-3288
Leaders of the National Energy Marketers Association
To Fill Energy and Public Policy Void Created by Enron Collapse
NEM forms nationwide Task Forces to ensure that the aftermath of Enron enhances
the liquidity, transparency, reliability and confidence in competitive energy markets.
Washington, DC –The Executive Committee of the National Energy Marketers
Association (NEM) met in Houston on January 17 and 18 to review the aftermath
of the Enron collapse, and forge consensus on the legal and regulatory reforms
needed to bring maximum confidence and reliability to U.S. energy markets as
well as the lowest possible prices to U.S. consumers.
"NEM members have quickly filled the void left when Enron exited the
marketplace. The ripple effect in the marketplace has been mild, with no price
spikes or shortages. In fact, member companies are reporting some of the lowest
prices for energy in quite some time," reported Craig Goodman, President of
"We are concerned about the time it is taking PUCs to permit us to aggregate
larger numbers of customers so that we can provide the best service and price
efficiencies. However, given our success in states that have designed the market
correctly, we are optimistic that states will continue their restructuring efforts,"
said Clem Palevich, president of AES NewEnergy and Chair of NEM's Executive
and Policy Development Committee.
"We are particularly troubled by recent steps taken in California to retroactively
abrogate competitive energy contracts, and proposals to charge consumers for
energy they never purchased," said Bob Dickerman, president of Sempra Energy
Solutions and Vice Chair of NEM. "With Enron no longer able to afford
nationwide advocacy to open energy markets to competition, NEM will be called
upon to fill this void. Dozens of states have viable programs and the FERC has
proposals outstanding that will radically reshape the future of the U.S. energy
industry. NEM can help regulators and lawmakers nationwide because our
members represent a regionally balanced, financially strong and credible source of
expertise in providing competitive energy, as well as, energy-related products,
services, information and technology," said Dickerman.
"In the wake of the Enron collapse, NEM has formed a new industry task force to
address risk valuation, management and accounting issues. It is absolutely critical
to ensure that our Nation's wholesale energy markets are stable, reliable, liquid,
transparent and financially credible. We are very pleased to have Lee Taylor,
Senior VP of Prebon Energy and Michael Walker, Senior VP of Caminus to help
lead NEM's task force on these issues. Prebon is one of the largest energy
brokerage firms in the world, and Caminus has decades of expertise in energy risk
management and valuation issues," said Goodman, NEM's President.
The NEM Executive Committee addressed specific federal and state issues
ranging from competitive wholesale and retail market designs to the
unprecedented turn of events in California. To bring the proper resources and
expertise to bear, NEM formed a Federal Task Force to be headed by Chris
Bernard of Entergy-Koch and Barry Green of Ontario Power Generation.
Jonathan Puckett of Duke Energy will coordinate NEM's response to the
development of a North American Energy Standards Board. Michael Meath of
Agway, Ron Lukas, Sr. VP of Keyspan Energy Supply and John Huffman,
President of ACN Energy will coordinate NEM's Competitive Retail Market
Design Task Force for the Northeast. George Phillips of MidAmerican, Wendy
Ito of Nicor Energy and Bob Korandovich of AES NewEnergy will coordinate
NEM's Competitive Retail Market Design Task Force for the Midwest. Emmett
Kelly of Itron and Greg Lizak with IMServe will lead NEM's Competitive
Metering Task Force nationwide.
"With these task forces and experts in place, NEM will be able to respond quickly
and thoughtfully, to each of the federal and state issues that need to be resolved to
properly and responsibly restructure the U.S. energy markets. We plan to work
closely with FERC, state PUCs and Congress to ensure that the aftermath of Enron
enhances the liquidity, transparency, reliability, accountability, and confidence in
competitive energy markets. A series of conference calls has already been
scheduled, and NEM encourages the broadest possible industry participation," said
NEM represents both wholesale and retail energy marketers as well as suppliers of
energy-related products, services, information and technologies throughout the
For interviews with any of the NEM leaders or additional information, please call
(202) 333-3288 or visit www.energymarketers.com.