2
PRESS CONFERENCE
ANSWERS TO SUPPLEMENTARY QUESTIONS
1 Why is the Government involved?
Demand for power plant is depressed both at home and abroad
at the present time and manufacturers are going through a difficult period. The Department is naturally anxious to do, all it can in order to preserve the viability of this industry. The Department therefore took on a co-ordinating role in the negotiations as soon as it became apparent that a Government involvement of this kind was attractive to CLP/Exxon. It could be that there will be other
instances in this or other industries.
2 Does HMG's interest stem from the CPRS Report?
Yes. The Report did influence our decision to participate.
3 Is the Government subsidising the contract? CLP/Exxon will be making use of certain technical services
to be provided by the CEGB. This should do a good deal to widen the international experience of the CEGB. Some of the services will be funded by the Hong Kong interests but the Department is also making a contribution.
4. How much is the Department contributing?
Until the contract is formally signed this must remain confidential for obvious reasons. An overall price was quoted for the entire UK supply of equipment and services. This was not brokendown for the client and it would not be appropriate to provide
a breakdown at this stage.
5 Why are the CEGB involved and not private sector consultants? Mainly because the client in Hong Kong expressed interest only in the services that could be supplied by the CEGB which has great experience in developing and operating coal fired power stations. (CLP/Exxon have never operated a coal fired station: nor have private sector consultants.)