TNAG-1501-FCO40-2059-Guangdong-nuclear-power-station-project-at-Daya-Bay-safety-c-1986 — Page 64

ZCZC

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M HKBTC TO INDUS

060915Z AUG

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OF 060915Z AUGUST 86

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RICK 166/1

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MDEX

1 1 AUG 1986

YOUR INDUS 165: TRANSMISSION LINES.

403H

TOSH) PA Gunder

NO DISTRIBUTION

THIS TELEGRAM

WAS NOT

ADVANCED

Least

((Ach Ha)

НК

नेत्र

YOUR PARA 2 NOTED. THE SUSPICHON (HOWEVER UNFOUNDED) OVER GEC'S PRICES COULD BE INTENSIFIED BY A STORY IN THE SOUTH CHINA MORNING POST TODAY. IT IS DATELINED LYONS AND REPORTS EDF'S DEPUTY MANAGER IN CHARGE OF THEIR OVERSEAS SERVICES DEPARTMENT (FEGER) AS SAYING THAT THE OVERALL COSTS OF THE DAYA BAY PLANT WERE PUSHED UP BECAUSE OUT OF POLITICAL CONSIDERATION GEC WERE GIVEN THE CONTRACT FOR THE GENERATOR. AS THERE HAD BEEN NO PREVIOUS COOPERATION BETWEEN FRANATOME AND GEC SPECIAL ADJUSTMENT AND MODIFICATION HAD HAD TO BE MADE TO THE INTERFACE BETWEEN THE REACTOR AND THE GENERATOR RESULTING IN INCREASED COST.

THE STORY SAYS THERE WAS TACAT UNDERSTANDING BETWEEN THE CHINESE AND THE BRITISH THAT IF GEC AND ALTHOM PRICES WERE COMPARABLE, PRIORITY WOULD BE GIVEN TO GEC.

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