TNAG-0854-FCO40-1064-The-Kowloon-Canton-Railway-1979 — Page 27

4. THE CHINESE HAVE SAID THAT THERE ARE PLANS FOR EXTENSIVE ELECTRIFICATION PROJECTS FOR THE TRUNK LINES IN CENTRAL AND WESTERN CHINA. THEY ALSO INTEND TO ELECTRIFY OTHER ROUTES

RUNNING WEST AND SOUTH WEST FROM PEKING. WE HAVE HEARD THAT A SINGLE TRACK ELECTRIFIED LINE FROM SHIJIAZHUANG (HEBEN) TO DATONG (SHANXI) BEGAN IN 1977 AND IS SCHEDULED FOR COMPLETION IN 1980. ELECTRIFICATION OF THE PEKING TO CANTON LINE IS ALSO RUMOURED TO BE PLANNED BUT OUR LATEST INFORMATION IS THAT NO

DECISION TO PROCEED WITH THE PROJECT HAS BEEN REACHED.

WE HAD NO KNOWLEDGE THAT THE DESIGN OF THE GUANGZHOU TO CHUM

CHUN LINK WAS UNDERWAY.

5.

CCECC'S SURPRISE BID WOULD ON THE FACE OF IT IMPLICITLY EXCLUDE THE UK FROM PARTICIPATION IN ELECTRIFICATION OF THE LINE ON THE CHINESE SIDE. HOWEVER, THERE MAY BE A WAY IN WHICH WE CAN TURN THE SITUATION TO OUR ADVANTAGE BY PROPOSING A JOINT VENTURE DEAL FOR THE ELECTRIFICATION OF THE LINE FROM KOWLOON TO GUANGZHOU AND RIGHT UP TO PEKING IF THE CHINESE SO WISH. PROPOSALS MIGHT INCLUDE PROVISION OF BRITISH INVESTMENT AND CERTAIN ADVANCED EQUIPMENT, THE POOLING OF TECHNICAL RESOURCES AND EXPERIENCE, AND A SUBSTANTIAL INPUT FROM THE CHINESE SIDE IN TERMS OF DESIGN WORK, BASIC EQUIPMENT AND POSSIBLE LABOUR.

6. WE SHOULD BE GRATEFUL TO KNOW WHETHER COMPANIES MIGHT BE INTERESTED IN PRINCIPLE IN A JOINT VENTURE ON THESE OR OTHER LINES. IN ANY CASE, WE COULD, IF YOU WISH, CALL ON CCECC UNDER THE PRETEXT OF OBTAINING MORE INFORMATION IN RELATION TO THE BID WHICH THEY HAVE SUBMITTED.

GEORGE

NNNN

काळार