People in Hong Kong create super chaebols

Chapter 397 How to break through the bottleneck?

"This problem is indeed the biggest problem facing 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, so it does not necessarily have to be built on As for the location of Pineapple Tsui on Lamma Island, almost the entire island of Lamma Island is mountainous with very little flat land. This also facilitates the reclamation of these rocks. It is just a location for a power plant, and the cost of reclamation does not need to be high. "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 in 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.

In particular, there are wealthy areas such as Deep Water Bay Villa Group and Repulse Bay Villa Group near Ap Lei Chau. 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 100 million tons is already dispensable to us. Therefore, It is also possible to close down the sea in the future. Reclamation in other parts of Lamma Island does not need to be very big, but it is still very difficult because it is full of rocks. Not to mention the cost and funds, it will definitely take a lot of time. It is not necessary. Doing 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 refining capacity of Tianwen Petroleum Company takes off, the Lamma Island refinery with a refining capacity of 100 million tons will be unnecessary.

"Boss, that would be 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's eyes lit up after hearing Su Cheng's words.

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 when he heard 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 Company in the Kowloon Peninsula in the north. Compared with the Chunghwa Electric Company in the north, our HK Electric Group The population and territory are much smaller, so it has always lagged behind CLP Power in the development of electric power.

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.

After hearing Ma Shiming's words, Su Cheng and Wei Li fell silent.

Indeed, today's Hong Kong Electric Group has no worries about its development in the power sector due to its fixed territory, but there is almost no possibility of breaking through the bottleneck.

This is under the control of the government, rather than the HK Electric Group expanding as it wishes.

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.

"Then do you have any advice?" 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, Towngas Limited, with HK Electric's shares and cash. However, After receiving strong opposition from Towngas and China, and finally the government's intervention, Hong Kong Electric had no choice but to give up the idea of ​​annexing Towngas." Ma Shiming said another thing.

"Does this matter have anything to do with the problems we are facing now?" Su Cheng became curious.

Wei Li 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 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. However, I know that it will definitely fail in the end because the government will definitely intervene in the end. It is impossible for you, boss, to have a monopoly. Electricity supply for the entire Hong Kong.”

"Since it will definitely not succeed in the end, why should I try to acquire China 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 whether 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 CLP 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 with Hong Kong 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)