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WEDNESDAY, MAY 21, 1975
+AND SECONDLY, IT IS OUR VIEW THAT THE COMPANY'S FORECAST OF FUTURE GROWTH IN SALES FOR ELECTRICITY IS RATHER ON THE PESSIMISTIC SIDE AND THE COMPANY IS INCLINED TO AGREE WITH US ON THE BASIS OF VERY RECENT SALES FIGURES.
+BUT THIS CANNOT BE THE END OF THE MATTER THE COMPANY ADHERES TO THE VIEW THAT ITS CASH FLOW MUST DE IMPROVED AND THAT SUCH IMPROVEMENT IS DEPENDENT ON SOME ADJUSTMENT OF ITS BASIC TARIFFS. SO THERE ARE LIKELY TO BE FRESH DISCUSSIONS WITH THE COMPANY OVER THE NEXT FEW MONTHS WITH A VIEW TO DETERMINING WHAT INCREASE(S), IF ANY, IN THE BASIC TARIFFS ARE APPROPRIATE TO THE COMPANY'S CIRCUMSTANCES AND WITH EFFECT FROM WHAT DATE.
+MY HONOURABLE FRIEND ALSO SOUGHT AN ASSURANCE THAT FULL CONSIDERATION WOULD BE GIVEN TO ANY POSSIBLE ADVERSE EFFECT OF AN INCREASE IN ELECTRICITY CHARGES ON THE ECONOMY,
+THAT ASSURANCE I CAN READILY GIVE, BUT I MUST MAKE IT QUITE CLEAR THAT THE GOVERNMENT HAS ALSO TO TAKE INTO ACCOUNT THE FACT THAT THE ECONOMY WOULD NOT BE WELL SERVED IF THE CHINA LIGHT AND POWER COMPANY, AS ONE OF OUR MAJOR PUBLIC UTILITIES, WAS NOT ABLE TO CONTINUE TO PROVIDE AN ADEQUATE AND EFFICIENT SERVICE TO ALL CONCERNED, AS AND WHEN REQUIRED.
+THE INTERESTS OF THE COMPANY AND OF THE ECONOMY IN GENERAL ARE CERTAINLY NOT MUTUALLY EXCLUSIVE AND I HAVE MADE THIS POINT SEVERAL TIMES BEFORE (FOR EXAMPLE, WHEN DEALING WITH THE GENERAL QUESTION OF THE GOVERNMENT'S ATTITUDE TOWARDS PUBLIC UTILITIES IN THE DEBATE ON YOUR EXCELLENCY'S ADDRESS TO THIS COUNCIL LAST YEAR).
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