Chapter 397 How to break through the bottleneck?
“This problem is indeed the biggest problem faced by HK Electric Group today. However, I also think that the location originally decided internally by HK Electric Group is very good. Lamma Island is very big, and It does not necessarily have to be built at the location of Pineapple Tsui on Lamma Island. Almost the entire island of Lamma Island is mountainous and there is very little flat land. This is also conducive to reclamation of these mountain rocks. It is only the location of a power plant, and the cost of reclamation is It doesn’t need to be big.” After hearing Ma Shiming’s words, Wei Li said with a smile.
In the more than a week since he took office, he has learned more than Ma Shiming through the internal information of Hong Kong Electric Group.
Therefore, although he cannot fully understand the situation of Hong Kong Electric Group, he has a very good understanding of the general situation.
On Xiangjiang Island, due to the economic boom of the entire Xiangjiang in recent years, land prices have been rising, and the power plant is also relatively polluting. Therefore, it is very unrealistic to build a power plant on Xiangjiang Island.
In the future, the reason why Ap Lei Chau will be closed is not only the completion of Lamma Island Power Plant, but more importantly, the complaints from surrounding residents about Ap Lei Chau.
Especially in the vicinity of Ap Lei Chau, there are wealthy areas such as Deep Water Bay Villa Group and Repulse Bay Villa Group. Under such interference, Ap Lei Chau Power Plant had to be closed.
Therefore, choosing a location on Lamma Island is the best choice.
Lamma Island is far away from Xiangjiang Island, has a sparse population, and is full of rocks. There is basically no problem in generating power plants here.
“The refinery in Pineapple Tsui on Lamma Island is actually not that important to Tianwen Petroleum Company now. The annual refining capacity of one million tons is already indispensable to us. It is a dispensable matter. Therefore, it is possible to close it in the future. Reclamation in other parts of Lamma Island does not need to be large, but it is still full of rocks, so it is still relatively difficult. Let’s not talk about the cost and time. It must be a lot, there is no need to do these time-consuming and laborious things," Su Cheng said with a smile.
Due to location and area constraints, it has been difficult to expand the refinery in Pineapple Tsui, Lamma Island. Expansion is possible, but the cost is too high. Therefore, its refining capacity has been unable to increase.
Recently, Li Yihui has been gradually acquiring petrochemical companies that he likes. When the time comes, the refining capacity of Tianwen Petroleum Company will take off directly, and the refinery on Lamma Island with a refining capacity of 1 million tons will be Dispensable.
"Boss, that would be the best. Then our Hong Kong Electric Group can continue to communicate with Tianwen Oil Company and talk about the acquisition of Lamma Island Pineapple Tsui." Ma Shiming listened to Su Cheng If so, his eyes light up.
After all, he will be the unofficial president of HK Electric Group in the future, so he will naturally have to think more about the future development of HK Electric Group.
"Besides building a power plant, are there any other issues?" Su Cheng did not intend to let Ma Shiming go, but continued to ask with a smile.
Because anyone who knows HK Electric Group knows that the problem Ma Shiming mentioned is the biggest problem facing HK Electric Group today.
Therefore, his answer can only show that he has worked hard to understand HK Electric Group in the past few days, but it does not represent his ability.
“HK Electric Group is also facing another very important problem now.” Ma Shiming remained very calm after hearing Su City’s problem.
“Oh?” Su Cheng became curious.
Wei Li on the side was also curious to see what kind of answer Ma Shiming could give. "Hong Kong has only approved two power supply companies due to government restrictions. One is naturally our HK Electric Group, and the other is the Chunghwa Electric Power Co., Ltd. in the Kowloon Peninsula in the north. Compared with the Chunghwa Electric Co., Ltd. in the north, our HK Electric Group The population and territory are much smaller, so it has always lagged behind China Electric Power in the development of electricity.
In fact, the power supply business of HK Electric Group has already reached a bottleneck and it is difficult to break through. Therefore, we are currently faced with how to break through this bottleneck and expand the business of HK Electric Group in Hong Kong. "Ma Shiming said directly.
Hearing Ma Shiming's words, Su Cheng and Wei Li fell silent.
Indeed, today's Hong Kong Electric Group, due to its fixed territory, has no power in the power sector. There are no worries about development, but there is almost no possibility of breaking through the bottleneck.
This is controlled by the government, and it is not the case that HK Electric Group can expand if it wants to.
Whoever is at the helm of the Hong Kong Electric Group would like to expand its power business to the Kowloon Peninsula on the other side, but this is basically impossible because the government does not allow it.
"What do you have to say?" Su Cheng asked with a smile.
“As far as I know, three years ago, in order to diversify the group’s business, HK Electric tried to acquire another long-standing public utility company with HK Electric’s shares and cash—— China Gas Company Limited, but faced strong opposition from China Gas Company, and finally the government intervened, so Hong Kong Electric Group had no choice but to give up the idea of annexing China Gas Company." Ma Shiming said another thing.
"Does this matter have anything to do with the problems we are facing now?" Su Cheng became curious.
As for Wei Li, he seemed to have thought of something, but did not say anything.
Ma Shiming continued: "The Hong Kong Electric Group did not succeed in acquiring Towngas. That was because the group wanted to use its shares to make the acquisition. The shareholders of Towngas could naturally object, so it is very normal that the acquisition failed in the end. But this The incident also gave me an inspiration. The boss might as well try to acquire China Power. With the boss’s current assets, it shouldn’t be difficult to acquire China Power. But I know it will definitely fail in the end, because the government will definitely intervene in the end, and it is impossible for you, boss, to have a monopoly. The power supply of the entire Xiangjiang."
"Since it will definitely not succeed in the end, why should I try to acquire China Electric Power?" Su Cheng asked strangely.
Hong Kong Electric Group, before Sioux City took over, had always been a British-owned enterprise. Now that Sioux City has taken over, it can also be classified as a Chinese-owned enterprise.
As for China Power, if you just look at the name of the company, you may wonder if it is a Chinese-owned company?
Actually, no!
The founder of China Electric Power Company was an Iraqi Yutai who founded China Electric Power Company in Xiangjiang in 1901.
This founder eventually built a Xiangjiang consortium family because of China Electric Power, and even directly became the richest non-Chinese tycoon in China. It is the Kadoorie family.
In Sioux City’s previous life, China Power was actually controlled by the Kadoorie family.
Compared to Xiangjiang Island, Kowloon has a larger population and a larger area. Therefore, it is normal for Hong Kong Electric Group to be unable to compete with China Electric Power.
(End of this chapter)