CO129-581-11 Electricity Supply- proposal to establish a cross-harbour line from Hong Kong Electric Company Ltd.- to... 14-12-1938 - 12-5-1939 — Page 3

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Companies through such a merger.

On the whole it seems definitely a one-

an emergency.

sided position whereby each Company possesses a

de facto monopoly in its own sphere, and yet does

not attempt to afford the public in return any

assurance of continuity of supply in the event of

It would be manifestly in the public

interest to have such an assurance, however, and I

therefore venture to suggest that it would not be

unreasonable to compel the Companies to lay down

the line particularly if, as would also seem

reasonable, Government agreed to contribute a certain

amount towards the cost on the ground that its

installation was a matter of considerable interest

to Government from the defence point of view.

If such compulsion were legally and

practically possible and were actually imposed, the

Companies would perhaps raise their charges to

consumers in order to recoup themselves, in which

case the public would have to pay; but as it is

also in the public interest, I should think that

this might be justified provided it took place over

a longish period.

In spite of the difficulties it does seem

a thing which ought obviously to be done, from every

point of view.

However, in the first place we should ?

refer the matter to the Board of Trade asking for

obsons, and for an early reply.

A.N. Galsworthy

17/3

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