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CUBLIC

PREORD

OFFICE

Reference →

TANCO.882/19

PUBLIC RECORD OFFICE, LONDON

| ALLY WITHOUT PERMISSION OF THE BE REPRODUCED' PHOTOGRAPHIC- COPYRIGHT PHOTOGRAPH-NOT TO

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Sir Arnold Gridley's letter of 29th May were gone into in detail, and on the basis of tin at £150 per ton it was decided to accept the estimate of cash required during 1931, at £140,000, with the proviso that this sum might be increased by £20,000 if the proposed two months' restriction was brought into force.

An investigation of the working for the period 1st August, 1929, to 31st July, 1930 (the figures for June and July, 1930, being based on an average of the figures for the first fortnight in June), disclosed the following results:-Revenue, £195,000; Operating Costs, £91,000; Leaving a Balance of £104,000.

In addition to the shortage of £140,000 Sir Arnold Gridley pointed to the necessity of at least a further £30,000 for expenditure on increasing the height of the Dam in order to have a further reserve water supply to tide over the three months' dry period, and thus save the coal costs at Malim Nawar, estimated at $60,000 per mensem.

This would, it was agreed, increase the shortage to £170,000. Sir Arnold Gridley was also of opinion that another £120,000 should be available as required for capital extensions of a definitely remunerative nature.

The proposals in paragraph 6 of Sir Arnold Gridley's letter of 26th May for the raising of further money were discussed seriatim.

With regard to proposal (a) Sir Arnold Gridley explained that no sale of the Preference Shares was intended by the Company should the Government dispose of them, but that by eliminating these shares it would be possible to make an issue of Preferred Ordinary Shares to an amount of £750,000 at 6 per cent.

It was put to Sir Arnold Gridley that were Government to get rid of its Preference Shares the effect might possibly be to lessen somewhat public confidence in the Com-

He was inclined to agree that this might be so. pany.

As to proposal (d), it was pointed out that there was no longer any reserved right to issue £250,000 7 per cent. Debentures, and that fresh consent of Government and Debenture holders would have to be obtained for any such issue.

Froposal (e) as to bank overdraft. Sir Arnold Gridley was informed that neither of the alternatives could be accepted.

Sir Arnold Gridley then made a suggestion with regard to proposal (b) on the following lines:-

That the Government should exchange its £500,000 Preferred Shares for a similar number of Preferred Ordinary Shares at 6 per cent., and that the Com- pany should get an overdraft up to £200.000 from the Bank over the next two years secured on the right to issue £250,000 Preferred Ordinary Shares to he taken up by the Government when repayment to the Bant fell due.

Sir Arnold Gridley suggested that these Preferred Ordinary Shares might carry the right to an additional 2 per cent. pro rata after the Ordinary Shares had received 6 per cent. dividend.

Sir Arnold Gridley also proposed that a local Board of two Directors approved by the Government might be made, suggesting the names of two unofficial gentlemen, and further stated that the obligation of the Government to take up 20,000 more Ordinary Shares in the case of the Company supplying additional current to Ipoh might be waived.

He mentioned that the Board at home would be reduced from seven to five, though of course the Government representative would remain, and that the Government might have a further nominee on the Board.

Sir Arnold Gridley stated that he had largely a free hand for dealing with the position on behalf of his Board, and would like to have at least the heals of an agree- ment decided before he left for England next month. In the meantime he would put in writing the suggestions he had made, and would forward them in a week or ten days.

Enclosure 5 in No. 1.

SPEECH DELIVERED BY SIR ARNOLD GRIDLEY at the OPENING CEREMONY OF THE CHENDEROH DAM AND POWER STATION ON 28TH JUNE, 1930.

YOUR EXCELLENCIES, YOUR HIGHNESS, LADIES AND GENTLEMEN,

You, Sir, are to-day following a Royal Precedent. You have come here, the representative of H.M. the King, to open officially the Hydro Station we have just seen. In England it is realised now what an important part the modern electric power station plays in the industrial and social life of the Nation. The British Government have recognized this by setting up a Central Board, freed from official and political control, but charged with the duty of covering the country with a great network, or "Grid," of high-voltage transmission lines and transforming stations. That Central

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Board is also authorized to finance, or guarantee interest on, the capital required by the existing authorized undertakings for the construction of great super-power stations, and local networks of mains. H.M. the King and other members of the Royal House have recognized it by being graciously pleased to attend and open formally some of the power stations already completed, and, in certain cases, to name them Royal.” You, Sir, are therefore re-affirming the Royal precedent, and I am charged by my colleagues, the Directors of this Company, to thank you most warmly for coming here to-day with Her Excellency, and giving this enterprise an official send-off.

We also welcome the presence here of His Highness the Sultan of Perak, and his Consort. I know how keen an interest His Highness has taken in this great project. He has been welcoined here frequently to see the work as it progressed, and I hope, Your Highness, that you are proud to-day to see practically completed the largest work, I believe, so far carried out in your State of Perak and indeed in any Crown Colony or Dependency.

A few

Next, may I take you all with me for a brief moment to another scene. days ago I was seated in a large room with another man. We were engaged in serious conversation. This was subjected to frequent interruption, for every few moments one of the three telephones beside him rang, and he turned aside, quiet and a little pale of face, to receive the congratulations of his many friends. I should indeed have lacked both imagination and human brotherliness if my pulses had not quickened a little at being a privileged spectator of this man receiving sincere and ungrudged congratulations at having, after long years of devoted service to the country he had elected to serve, reached the highest office in the Government to which a Civil Servant can attain. It was to me a historic morning, and an occasion which I shall not forget. I am sure I may, with presumption, say, for all p present here that we congratulate him, the Chief Secretary to Government, and wish him all happiness and success in dealing with the many difficult problems which must come before him.

It has been a matter of regret, a personal regret to me that we have been able to invite so few ladies to this function, but unfortunately this site has not the convenient space for an unlimited number of visitors at one time. But to those who may have expressed disappointment to their husbands, may I send this message? that when we have put the finishing touches to this place and it will then look a much tidier area than it presents to-day-we shall be delighted to see them here at any time by arrangement. There will be many naturally anxious to see this great Dam, and one of the new beauties of Perak in the lake which has been formed. To those representa- tive ladies who are here to-day, may I say, on behalf of my sex, how glad we are to see them, for the gentler sex always halve our worries and double our pleasures.

We have here also many occupying important positions in Government Service, and to many of them the Directors and staff of this Company owe a special debt of gratitude which I would take this opportunity of acknowledging I made an effort to tabulate a list of all those to whom we felt specially indebted, but when I found that, since we started operations, there have been about six Residents of Perak, and that in the many Departments with which we came into contact, promotion changes appear to have been almost rapid, the list became formidable. So I must ask all who have helped us to accept our thanks, and not to assume, as was once said by a cynical Frenchman, that Gratitude is a lively expectation of favours to come.'

"

I do not intend to burden you with a long description of the scheme of which you have seen but a part. Full reference has been made in the printed programmes

to the more important contracts carried out, and the firms engaged, and I am sure

you have read this. I will give you but a very brief outline of the main features of the scheme in as non-technical language as I can.

Here you have seen the Dam impounding the waters of the Upper Perak where

a lake of about 10 square miles is being formed. This lake will extend up river for about 15 miles, and its coast line will be nearly 200 miles.

The Dam is 621 feet long. Some 150,000 tons of concrete and about 6,000 tons of steel have been used in its construction.

In the centre of the Dam is a one-piece steel Sector Gate, 100 feet in width, by the lowering or raising of which the level of the water at the Dam can be controlled. The gate can pass 30,000 cubic feet of water per second, or 5 times the quantity of water required to operate all three turbines.

There are nine bottom outlet or taintor gates. These are required to pass through the water during construction, but for emergency use only afterwards. All these gates are electrically operated. These and other features will be pointed out to such of you

as would like to be shown round later.