SA: ETSA to keep SA management under Hong Kong leaseholder

AAP General News (Australia)
04-27-2000
SA: ETSA to keep SA management under Hong Kong leaseholder

The South Australian electricity supplier, ETSA Utilities, will hold onto its own name
and its local management team, despite being leased to Hong Kong interests.

The managing director of the Hong Kong lessee, Cheung Kong Infrastructure, says he
believes in local autonomy and will be making few changes to the company.

He gave the undertaking in Adelaide today -- and said his company would be looking
at other investments in Australia.

ETSA was leased to the overseas group last December, for a period of 200 years and
a sum of $3.5 million.

Managing director HING LAM KAM says the only difference is that the shareholder has
changed from the government to a commercial organisation.

Mr KAM says Australia's stable political and economic climate, its established legal
system and sophisticated financial markets make it a good place to invest.

But he says any more electricity-generation or transmission utilities are out of contention,
because of the Australian Competition and Consumer Commission's cross-ownership regulations.





He says he's interested in bidding for Victoria's Powernet and Gasnet businesses, now
their American owner's put them on the market, and in telecommunications -- using ETSA's
existing electricity infrastructure to roll out broadband optical cables.

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KEYWORD: POWER SA KAM (ADELAIDE)

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