HONG KONG POWER STATION PROJECT
Note of discussions with GEC Turbine-Generators Ltå Monday 4 April 1977
Present:
Mr Davidson
MD
Mr Lippitt
Mr Calder
Mr Simmons
Engineering Director Sales Manager
Mr Thompson Mr George
VMRO
VITRO
1 Mr Lippitt referred to the discussion of this project during the recent visit by Sir Peter Carey to Hong Kong and the subsequent interest of the Prime Minister. He explained that he had been esked to co-ordinate action on the Government side with a view to ensuring that the contract was steered towards the United Kingdom. He had agreed with Sir Kenneth Bond that it would be useful to this end, whilst in Rugby, to exchange information with Mr Davidson and his colleagues.
There
2 Mr Davidson and his colleagues confirmed that the requirement was for a dual-fired station, initially with 2x350 mw generators, but designed for a further 2x350 mw generators in due course. were also associated requirements for switchgear, distribution cables, a coal unloading jetty, with handling, plant, and possibly a desalination plant. Coal firing could be based on coal supplies. from Mainland China.
3 China Light ari Power could acquire its new station by international competitive bidding which was the normal arrangement for thermal stations. But GEC would prefer not to get involved in such bidding, if they could avoid it since there would be at least 10 or 11 bidders (including 3 Japanese), with consequent modest chance of reward for the substantial tendering effort involved. Even so, despite what might be inferred from the recent CPRS report, in this range GEC prices were competitive internationally, and their product was technically up to date.
4 Alternatively since the demand for the new station was now pressing CLP might prefer to order through a privately negotiated contract which could save them at least 12 months in preparing specifications, issuing tenders, adjudicating then and finalising a contract with the successful bidder. Here GEO have an advantage since they or their predecessors have supplied virtually all the power plant now in Hong Kong and they have a reasonable 'image' with this customer. They were, therefore, pursuing this alternative plan and were preparing a 'comprehensive' bid with Babcocks for a complete engineering package (all items except civil engineering and distribution). The bid would be in a form which would enable CLP to order direct from Babcocks for the items they would supply.