TNAG-0635-FCO40-783-Supplies-of-electricity-for-Hong-Kong-1977 — Page 25

CONFIDENTIAL

5. IF THEREFORE THE FIRST ORDER HAS TO BE PLACED BY OCTOBER DISCUSSIONS ARE UNLIKELY TO HAVE REACHED THE POINT AT WHICH CHINA LIGHT AND POWER COULD BANK ON A COMMITMENT FROM THE CHINESE. IT WOULD THUS BE WISE TO DESIGN THE EQUIPMENT TO. TAKE ACCOUNT OF THE POSSIBILITY OF USING CHINESE COAL BUT TO BUT PROVIDE AL SO A CAPABILITY OF USING FUEL FROM ELSEWHERE. THERE IS NOTHING TO STOP EXPLORATION OF THE PROSPECTS FOR A LONGTERM SUPPLY AGREEMENT AND FOR ADDING THE ADDITIONAL DIMENSION COVERING THE SUPPLY OF UK EQUIPMENT CONTINUING IN

PARALLEL.

YOUDE

FILES,

HKGD

TRED

EN D

FED

RES D(FE SECT)

PS/LORD GORONWY ROBERTS

PS/PUS

MR.CORTAZZI MR.MURRAY MR. THOMAS

MR.BURROWS

V

3

COPIES TO:

PS/MR.WILLIAMS

PS/SIR P.CAREY

DOI.

MR. BULLOCK, DEP SEC

MR.CLARK

MEPT

MR.GRAY, DEP SEC

DOT.

MR.ASHFORD, CRE/DOT.

CONFIDENTIAL