9. EXCO HAD NOT MADE PLANNING PERMISSIONS CONTINGENT ON

TEGRATION: BUT NO EFFORT COULD BE SPARED TO ACHIEVE THE SAVINGS

FLOWING FROM A LINK. THESE WERE ESTIMATED TO BE HK DOLLARS 3100 MILLION (? CAPITAL INVESTMENT)N AND 15 CENTS PER KILOWATT-HOUR IN CHARGES TO CONSUMERS THROUGH THE 1980'S.

10. COMMENTING ON THE PROPOSAL, SIR LAWRENCE NOTED THAT WHEN LATER SETS SUCH AS CLP'S PROPOSED 500MW SETS AT CASTLE PEAK WERE

DUE, CLP AND HKE WOULD BE BATTLING FOR THEIR LOCATION. BECAUSE OF THE OPERATION OF THE SCHEME OF CONTROL, CLP WOULD SUFFER CONSIDERABLE LOSSES OF REVENUE IF THE ASSETS REPRESENTED BY GENERATING SETS WERE DENIED THEM.

11. THE UK'S INTERESTS COULD ALSO SUFFER. HKE HAD STRONG LINKS

WITH THE JAPANESE MANUFACTURERS, IT WOULD BE VERY DIFFICULT IF WHEN CLP WERE PROPOSING TO PUT IN A 350 MW SET (IE UNITS 3 OR 4) FROM THE UK, HKE WERE TO PROPOSE A 500MW JAPANESE SET FOR THE SAME

PRICE.

MARCH

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