TNAG-1776-FCO40-2530-Daya-Bay-nuclear-power-station-project-safety-concerns-in-Ho-1988 — Page 8

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CODE 18-77

To:

MR ADAMS ·

PEP

From:

COLIN SANSUM

EM4a

Room 292 Ash

215 6748

1 December 1988

HKC 166/1

12 DEC 1988

Reference

(69

cc Mr Benjamin EM

PEP Branch Heads Mr Goodman EM4 o/r

Mr Cooper FCO Mr Hum FCO- Mr Day EM4 Mr Ludford EM4

I was interested to see a copy of your minute of 29 November following your visit to Hong Kong and Daya Bay; disturbed however to see the comment about Babcock's boiler capabilities in paragraph 7 of the minute.

2.

The reality is that whatever the well publicised wishes

of FKI as regards the ultimate fate of Babcock Energy, currently the facility at Renfrew is alive and well. Indeed we would be concerned if it was otherwise as they have the Yue Yang boiler to complete.

3. Leaving aside competitiveness, and the attitude of the FKI management will have had a (perhaps) short-term effect here, I see no reason why Babcock should not at the moment be in a position to bid for the additional capacity which Bill Stones considers is necessary to meet Hong Kong's power needs in the 1990s.

4. It is not clear from your minute whether your comment arises from something that Stones said to you but if it did then there is clearly a need for Babcock to take steps to ensure that CLP are aware of what the current position of the company is. Do you think a "public relations" trip to Hong Kong by the company is called for? If it is I will discuss with the company.

Andrew Coop

P COLIN SANSUM

нып

Mr Four man Mr Morris gam

W2/12

888-388