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place addidonal pressures on BPA's sbort-tenn revenue requirements. BPA deserves 

 continued support in pushing foiwaid this aspect of tbe region's renewable resource agenda. 



Due to budget restrictions, BomKville may not be acquiring all cost-effective 

 efficiency and renewable resources. They may therefore not be on track to develop the 

 amount of energy efficiency called for in the 1991 Power Plan. Our concern is that this will 

 indeed prevent the region fix>m achieving diese goals. 



Should BPA proceed with tbe proposed contract for the output of the Tenaska 

 natural gas combustion turbine? If so, why? If not, why not? BPA has agreed 

 to maintain the Confidentiality of certain escalated clauses in the proposed 

 Tenaska contract. Was this confidentiality agreement appropriate? Does BPA 

 have the authority as a federal agency to comply with such an agreement? If so, 

 please cite the relevant statutory authority. 



Because of the confidentiality of certain escalated clauses, there is disagreement 

 regarding the long-term cost of the power firom the Tenaska project. Please give 

 your assessment of these long-term costs. 



BPA should proceed with the pn^x>sed contract for the ouq>ut of the Tenaska natural 

 gas combustion turbine. The problem is not acquiring Tenaska, but rather that BPA continue 

 to be in a position to acquire significant conservation and renewable resources. 



It is appropriate for BPA to maintain the confidentiality of certain escalation clauses in 

 the proposed Tenaska contract. Bonneville acquired this resource under competitive 

 conditions and disclosure of this infoimation may adversely affect BPA and its customers 

 regarding additional resource acquisitions. 



The concern over confidentiality of certain escalation clauses focuses on BPA's critical 

 need to ensure that the long-term cost of the Tenaska project will be as expected. Bonneville 

 needs to ensure its customers that fiiel cost risks have been adequately addressed. BPA needs 



