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2.
Furthermore
add on an estimated HK$4000 million for the KESCO generation development, we thus come out near the total figure of HK$8400 million quoted by Sir Lawrence in his statement of 20 January. I suppose that some 75-80% of this capital investment programme would require the supply of overseas goods and services. These figures would be even higher if (as CLP obviously hope) Hong Kong Electric development plans do not get off the ground with the result that CLP gradually become the sole electricity supplier to the whole Colony and have to bring forward their long term development targets. If the UK can get a strangle hold on the CLP programme at this stage we could demolish the Japanese opposition for the next decade; and I doubt whether we shall ever have an overseas customer more inclined to lean in our direction than CLP.
4. If we are to go all out for this business I think that we shall need to look quite carefully at the machinery at both ends. I see from INDUS 52 of February 15 that Alan Havelock of MEPT will be my link man on the transmi sai on stage. I have already written to him suggesting an early visit to Hong Kong; I would hope to establish a close working relationship similar to that which we achieved with Alastair. If there are plans to set up any special unit at the DOI to handle the project I would be grateful if you would ensure that both the DOT (CRE4) and the FCO (HK Dept.) are brought into the picture so that they can ensure that the FCO Inspectors who are due to visit us in June are briefed on your requirements. The essential need for confidentiality in respect of such exercises meant that the camel's back was getting a bit sore during the autumn months, and we are now entering the busy period of the tendering for Stage 2 of the Mass Transit Railway: the formulation of plans for the electrification of the Hong Kong section of the Kowloon-Canton Railway, is imminent and interesting ship building/repairing schemes/coming along on Tsing Yi Island.
coming along on Tsing Yi Island. We shall be stretched to keep them all in focus as well as handle increasing demands for routine identification of and reporting on bread and butter opportunities.
ar
5. Finally, I hope that either Alastair or Alan Havelock can let me have some early comments on my letters of January 31 and February 3 about Hong Kong Electric's decision to keep with Mitsubishi for their 2 x 250 MW power station. The Hong Kong Government have still not taken any decision but David Jeaffreson is disturbed by HKE's claim that British prices were 60% out of line and that, contrary to Electrowatt's view, the Japanese can claim considerable experience of dual fired plants. I should very much like to be able to have some real facts to put to the Hong Kong Government who must be under considerable pressure from HKE to respond to their application for a site.
c.c.
JA.B.Stewart, Esq., OBE,
Hong Kong & Gen. Dept.,
F.C.O.
J.C. Priston, Esq.,
CRE 4.
D.O.T.
D. M. March
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