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Evaluation of proposals in UK Ir Lippitt pointed out that a power station built to higher standards than those required by CLP might upset the price competitiveness of the UK package. It was important that our approach be governed by the importance of the CIP contract to the UK companies.
Negotiation of contracts etc
Er Lipnitt said that,
as he saw it, it would be in the interests of the individual companies to discuss their own contracts directly with CLP. The Department of Industry would be prepared to help in the event of particular difficulties.
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Inspection and testing of work etc by CEGB It was agreed that this was acceptable.
Supervision
of erection It was confirmed that on site supervision by the equipment suppliers was normal practice but that a CEGB presence at this stage would be desirable.
Training of personnel etc - It was agreed that in addition to CLP and the CEGB, individual companies might also be involved in the training and appointment of skilled personnel for the power station.
Commissioning of plant - The companies pointed out that, in line with normal practice, commissioning would involve the UK equipment suppliers with CLP and the CEGB.
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Running of plant It was agreed that the CEGB should provide some supervisory assistance to CIP if required.
The revised version of the notes is attached.
The meeting also considered the draft of a telegram to Sir Lawrence Kadoorie which, it was agreed, should be sent to reach Sir Lawrence before he left Hong Kong on 1 July for Geneva. A copy of the telegram as agreed at the meeting is attached to this note.
5 Mr Lipnitt proposed that while technical discussions were under way it would be sufficient to have a smaller steering group comprising the Department of Industry; Iazards, as their
It was advisers; and a representative from the companies. agreed that the steering group should be Mr Macdonald (DoI), Mr Gemmill (Lazards) and Mr Scott (GEC). Further meetings of the larger group would be convened whenever appropriate.
IC2
1 July 1977