TNAG-0950-FCO40-1169-Effect-of-nuclear-exports-to-China-on-Hong-Kong-Guangdong-nu-1980 — Page 142

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LIABILITIES

"Most of the risks associated with the Guangdong project can be covered by commercial insurance. HMG may have to accept some financial responsibility in the event of a major nuclear accident: the Guangdong project is essentially a joint venture and the PRC might insist on shared liability as part of the price for preferring equipment and other supplies from the UK. If this price has to be paid we should negotiate an agreement with the PRC whereby:

(a) HMG would meet the cost of technical direction of the cleaning up operation (this would in any event provide the UK with valuable experience);

(b) the company operating the station should have strict liability in ronpoct of third party damage up to an agreed limit;

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(c) the PRC government should accept all residual Liability for damage' within the PRC: responsibility for Hong; Kong should rest with the Hong Kong/UK government. would require logininbion.)"

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