TNAG-2981-FCO40-1473-Guangdong-nuclear-power-station-project-1982 — Page 231

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

he UK, Hong Kong and the People's Republic of China (PRC) in a period when

re-assurance over the future of Hong Kong will be important given the expiry in

1997 of the lease on the New Territories. While the UK can supply the bulk of

the necessary plant and equipment, we cannot supply the heart of the station

the pressurised water reactor and the remainder of the nuclear steam supply

system representing about 15% of the total project cost. A partnership with

Framatome (French) or Westinghouse (American) are the front

a PWR manufacturer

runners would therefore be necessary.

G

GEC are the favoured supplier for the

conventional island; they have made it clear that technically they would be

able to co-operate with either the French or Americans.

4

The French position on non-proliferation is similar to our own and while

there are some doubts about the US Government's attitude to the sale of nuclear

equipment direct from the United States, Westinghouse would be able to supply

from one of their licencees outside the USA. Both Framatome and Westinghouse

have indicated their willingness to work with the UK in this way.

The UK Position

5 The UK provided technical support to CLP from Dr Walter Marshall (Chairman

of UKAEA) and partly as a result of his efforts the UK has the possibility of

gaining a major share of the project. CLP favour a substantial UK involvement

in the project. Both the French and the American companies currently appear to

perceive the UK as being the front runners to win a major share. The Government

of Hong Kong, naturally, supports the UK's interest as UK participation would be

arguably the best way to meet its requirement for safety and continuity of supply

of electricity.

6

The UK's negotiating position is based upon the need for the nuclear power

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