STAGE 2 EMERGENCY NOTICE [200100953]

Http://www.caiso.com/SystemStatus.html

The California Independent System Operator is implementing Stage 2 of the Electrical Emergency Plan for the period 03/28/2001 11:19 through 03/28/2001 23:59.

The CAISO is continuing to request additional Supplemental Energy bids during this period. The Plan has been implemented for the following reason(s):

Insufficient Resources

Participating Transmission Owners are to notify the Utility Distribution Companies within their operational areas.

Stage 2: Operating reserves are currently, or forecast to be, below 5%.

The UDC will implement interruptible service programs AS DIRECTED BY THE ISO and will take all additional actions necessary in preparation for immediate implementation of electrical emergency plans and await further orders from the ISO.

Advise the UDC to prepare for possible implementation of involuntary firm demand reductions.

This message is from Market Operations at the California ISO.

Notice issued at: 03/28/2001 11:20

The system conditions described in this communication are dynamic and subject to change. While the ISO has attempted to reflect the most current, accurate information available in preparing this notice, system conditions may change suddenly with little or no notice.

-- Swissrose (cellier3@mindspring.com), March 28, 2001