GRS 300
CONFIDENTIAL
DESKEY 250001Z
CONFIDENTIAL)
HKK 166/1
RECEIVED IN REGISTRY NO. 51 2 8 JUL 1980
DESK OFFICER
INDEX
No!
PA
RSTYR 2917
REGISTRY Action Tek
FH DTI 24130OZ JUL 30
TO IMMEDIATE ETC HONG KONG
TELEGRAM NUMBER INDUS 210 OF 24 JULY 80
AND TO IMMEDIATE PEKING
FOR MARCH FROM MANZIE.
1. IN OUR INDUS 206 WE MADE IT CLEAR THAT MARSHALL WAS NOT
ENTITLED TO MAKE ANY COMMITTMENT ON BEHALF OF HMG, AND THAT HE SHOULD RESTRICT HIMSELF TO TECHNICAL MATTERS. ALSO THAT NO
GENERAL COMMITMENTS CONCERNING HMG'S ATTITUDE COULD BE MADE
GIVEN THE PRESENT AUTHORITY FROM MINISTERS. WE WERE THEREFORE
RATHER DISTURBED TO SEE IN YOUR BTC 101 (PARA 2) THAT SLK IS
STILL SUGGESTING HMG EQUITY PARTICIPATION: OUR VIEW, SUBJECT TO CONFIRMATION BY MINISTERS, IS THAT THIS IS A QUESTIONABLE AND
POTENTIALLY VERY DIFFICULT COURSE, BUT NOW THAT SLK HIMSELF HAS
FLOATED THE IDEA WE MAY HAVE SERIOUS PROBLEMS WITH MINISTERS HERE.
THIS PROBLEM IS REINFORCED BY THE EXPLICIT ADDITION TO STONE'S
PAPER MENTIONED IN YOUR PARA 6. WE WILL BE SEEKING THE VIEWS OF HONG KONG GOVERNMENT AS TO THEIR POSSIBLE EQUITY INVOLVMENT.
2. CUR VIEW ON GUARANTEES FOR LOANS, EXPRESSED IN OUR INDUS 193, IS THAT THE DANK OF CHINA WILL HAVE TO GUARANTEE 100 PER CENT OF LOANS, INCLUDING THOSE FROM ECGD. YOUR PARA 7 IMPLIES CTHERWISE.
3.
MARSHALL APPEARS TO HAVE EXCEEDED HIS BRIEF BY ACCEPTING
THAT UK WOULD HELP FORMULATE SAFETY STANDARDS. NII DOES NOT HAVE
THE RESOURCES, AND THERE IS THE PROBLEM THAT UK HAS NO PWR
EXPERIENCE YET.
4. IT IS IN THE AREA OF INSURANCE AND LIABILITIES THAT WE ARE MOST UKHAPPY. AS WE SAID IN OUR INDUS 206, WE WOULD PREFER THAT THE
CELIGATION TO ACCEPT DISASTER LIABILITY SHOULD REST SQUARELY
WITH THE NUCLEAR ISLAND SUPPLIER, WHICH WILL NOT BE THE UK.
VARSHALL HAS NO BRIEF TO OFFER UNAEA ASSISTANCE TO CLEAN UP
FREE OF CHARGE
-
A CRIPPLED REACTOR.
CONFIDENTIAL
/5. WE FIND
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