TNAG-0766-FCO40-970-Supplies-of-electrical-power-for-Hong-Kong-Castle-Peak-power-1978 — Page 142

FCO40 Hong Kong Department Records 聯邦事務部香港部檔案 All

6 What do CEGB get out of the deal?

Wider experience in applying their UK expertise to major overseas

contracts.

7

How were the firms selected?

GEC because they built Tsing Yi for the same client, and because they were well advanced in technical preparations for the new power station. Balfour Beatty were brought in on the recommendation of the CEGB as the company best qualified to build high level crossings

from Lantau island onto the mainland.

8 Is this contract a quid pro Drax B?

No. If Parsons had appeared more naturally fitted to be in the lead in respect of this contract, the Government would have supported

their efforts.

9

Is this activity related to restructuring of the industry? No. There is already general agreement within the industry on the need for restructuring.

10 Is this the beginning of a new role for Government in export

contracts?

This was a most unusual operation and is not likely to occur often. Negotiation of complex export contracts are normally best handled directly by the firms concerned. However, if a Government involvement is crucial to any future negotiation then official participation will be considered.

11 What other countries sought the contract?

No one else was allowed to enter into discussions with CLP/Exxon:

the UK had the prospect of a negotiated contract.

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