TNAG-0636-FCO40-784-Supplies-of-electricity-for-Hong-Kong-1977 — Page 20

GR 75%

IMMEDIATE

CYPHER/CAT A

CONFIDENTIAL

RECEIVED IN

REGISTRY NO. 51

FM BTC HONG KONG 2810452

CONFIDENTIAL

29 JUN1977

PICK 164/1

TO IMMEDIATE D TI TELNO CREDA 95 OF 28 JUNE

INFO PRIORITY F C O AND PEKING.

INFO SAVING TOKYO.

FOR MACDONALD 1C2 AND ROBERTS CRE4. WET

REF.

(113)

REXT

POWER STATION PROJECT.

AEF,

(112) (118)

|ศ) (2)

114

YOUR TEL CREDA 150.

I AM PROMISED DELIVERY OF THE CLP SPECIFICATION GUIDANCE

TOMORROW MORNING IN TIME TO CATCH THE CONFIDENTIAL BAGE DUE TO ARRIVE LONDON ON FRIDAY JULY 1. STONES HAS NOT YET GIVEN INDICATION OF PRICE BEYOND THAT REFLECTED IN PARA 3 (111) OF MACDONALD'S MINUTE OF 20 JUNE. BUT IS WILL PRESS HIM AGAIN WHEN I COLLECT THE

SPECIFICATION.

2. WHEN I CALLED ON SIR LAWRENCE EARLIER TODAY HE TOLD ME THAT HE

IS CONFIDENT THAT THE SITE ON NORTH EAST LANTAU WOULD BE MADE AVAILABLE AND CLP/PEPCO PROPOSE TO ENGAGE A PRIVATE CONSULTANT TO CARRY OUT A PRELIMINARY SITE SUITABLILITY INVESTIGATION.

CLP WILL IN FUTURE REFER TO THE SCHEME AS 'PROJECT 77''.

STRESSING THAT HE WAS SPEAKING IN A PERSONAL CAPACITY SIR LAWRENCE

SAID THAT WHILE IN THE UK HE WOULD SUGGEST THAT THE PRICE QUOTED

FOR THE POWER STATION PACKAGE MIGHT REFLECT HMG'S INTERVENTION IN THE FOLLOWING WAYS:-

(A)

SUBSIDY TO THE PLANT MANUFACTURERS,

(B) PROVISION OF CIF PRICE WITH HMG ABSORBING PART OF THE FREIGHT

COST,

/(c)

CONFIDENTIAL