TNAG-0949-FCO40-1168-Effect-of-nuclear-exports-to-China-on-Hong-Kong-Guangdong-nu-1980 — Page 107

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

ADFAYMEN TERIVE

When KEC learned of the proposed 10-year repayment

period, they asked if it could be extended to 15 years. Mr Stones observed that it was no bad idea to borrow money and redeem a

loan later with inflationary money, Mr Chen said the merit of making loans was dependent on the interest rate. If the interest

2

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ate was low, then there would be advantages in a long repayment. period. Otherwise, the shorter the repayment period, the better.

ELECTRICITY PRICING

THE ORIGINAL HAS BEEN

CLOSED UNTIL

UNDER FOI:

EXEMPTION NO 27(1) a.

KEC thought the 10% stipulated by CLP as the price of power sold to CLP out of KEC's quota of shared electricity was too low. Mr Chen Gang suggested that 20% be considered and that CLP should feed this parameter into their computer models and weigh the results.

SAFETY STANDARDS

When Mr Ding held that the adoption of UK standards would necessitate modifications in the reactor design and increase equip- ment costs, Mr Stones explained that the UK standards were based on the IA3A'guidelines, and implemented in UK plants using imported reactors. Any ill-advised curtailment of expenses in necessary

modifications might in the end bring about costly disasters.

ON DISASTER LIABILITY

Mr Chen concurred that the enormity of the liabilities in the event of major incidents were such as to justify its being undertaken by both governments.

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