[Congressional Record (Bound Edition), Volume 150 (2004), Part 9]
[Senate]
[Pages 11140-11141]
[From the U.S. Government Publishing Office, www.gpo.gov]




                MARKET MANIPULATION AND ENERGY CONTRACTS

  Ms. CANTWELL. Mr. President, I rise today to talk about something I 
have tried to address many times before in this body, and that is the 
issue of market manipulation and energy contracts specifically by the 
Enron company that have gouged my constituents for millions of dollars.
  We have seen in the last couple of days as my own home public 
utilities district, Snohomish County PUD, was successful at getting 
audiotapes from the Enron company that showed exactly what people 
thought was happening: That people were talking about market 
manipulation, that people were talking about schemes, that people were 
making jokes about $250 megawatt costs and prices that were gouging my 
constituents on energy prices. Now we know this company has already 
been cited by the Federal Energy Regulatory Commission as having 
manipulated the markets; now we are hearing in their own voices, in 
their own words, among their own employees, that this manipulation was 
going on.
  The question is, what are we going to do about the market 
manipulation that has happened and for which my consumers have been 
gouged? My own home, my own personal utility has had a 50-percent rate 
increase since the energy crisis took place. That means my constituents 
have been paying higher energy costs on Enron-manipulated contracts and 
other contracts during this time period.
  One would think that once market manipulation had been admitted, once 
market manipulation had been documented that we would do something 
about the market manipulation. In fact, yesterday, the President said 
we must pass the Energy bill and we must protect consumers. I have a 
message for the President: This Energy bill does not protect consumers. 
In fact, it guarantees that the market manipulation which was done by 
Enron will continue because it basically says that manipulated 
contracts can be the standard for today. I think that is absolutely 
wrong. My constituents, in reports and analyses by California, 
Washington, and Oregon economists, have probably lost 100,000 jobs 
directly and indirectly from the energy crisis. We have lost a big 
percentage of our GDP. And we have had a huge increase in rates 
throughout the State.
  So what does that mean? That means my constituents are still paying 
on those Enron contracts, and when our utilities said they were not 
going to pay, what happened? Enron turned around and sued utilities in 
my State. Enron is suing my consumers saying: You still have to pay on 
manipulated contracts.
  Well, here is my check to Enron. Here is my $370.00 check that will 
still have to go to pay for that Enron contract in which they have 
admitted market manipulation.
  I have already personally paid them hundreds of dollars on 
manipulated contracts. So have my constituents. The question is whether 
this body and this administration are going to do anything about market 
manipulation, whether they are going to stand up and say that the 
Enrons of the world have taken the consumer to the cleaners and are 
going to let my constituents out of these manipulated contracts.
  So while the President would like to have an energy bill, I would 
like to have an energy bill that protects consumers. I would like to 
have an energy bill that passes both the House and the Senate where 
Members of this body and the other body stand up and say market 
manipulation is wrong and we do not condone any contract as just and 
reasonable or any contract as in the public interest if, in fact, it 
has manipulated, schemed, and put people out of their homes at a huge 
cost to many of the consumers in my State.
  I yield the floor.
  The PRESIDING OFFICER. The minority's time has expired.
  The Senator from New Mexico.
  Mr. DOMENICI. Parliamentary inquiry. Are we now on the Republican 
morning business time?

[[Page 11141]]

  The PRESIDING OFFICER. That is correct.
  Mr. DOMENICI. How much time do we have?
  The PRESIDING OFFICER. Thirty minutes.
  Mr. DOMENICI. I have told those who follow me, I will try to get 
finished in 7 minutes.
  The PRESIDING OFFICER. The Senator from New Mexico is recognized.

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