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In summaiy, we have reached five principal conclusions: 



• The Governor and cabinet agencies of Washington support the fundamental principles of the 

 Northwest Power Act, calling for: 1) shared distribution in the risks and benefits of the 

 existing hydroelectric system, 2) resource acquisition by BPA on behalf of public utilities 

 and by private utilities in the priority order established in the current power plan, and 3) 

 aggressive investment to restore threatened fish and wildlife populations. We pledge to work 

 with BPA to implement proposals that improve efficiency and help achieve the goals of the 

 Power Act. 



• We strongly support BPA's efforts to maintain competitively priced electricity, reduce costs, 

 and improve the efficiency of service delivery. 



• We do not believe BPA is in imminent danger of becoming uncompetitive as an energy 

 efficiency or generation resource provider. Reasoned implementation of efficiencies should 

 allow BPA to remain competitive, and continue to provide regional conservation and fish 

 and wildlife programs. 



• We support improving the price signals sent to BPA customers, but caution that price signals 

 alone cannot replace programs. Rather, price must work with programs to make 

 conservation markets work. 



• We need to begin considering real examples of tiered rates and unbundled services. We are 

 concerned that speculation over the future of BPA products and services could lead to 

 uncoordinated investments in new gas-fired generating capacity or stagnation in acquiring 

 conservation resources. In our view, both of these results are risky, short-sighted, and 

 important to avoid. Some gas generation is needed to meet regional energy loads at 



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