Chapter 998 - Hua Electricity Group (2/2)

Australia and Malaysia took the lead in completing the submarine cables. At the beginning of this month, the grids were connected. The electricity prices of both countries were reduced by half and they were gradually becoming cheaper. Countries that previously held a speculative view suddenly couldn’t wait anymore.

Nippon was the first to react. Before the UA pressured the Nippon authorities to obstruct the construction of the Sumitomo Group so that the project that was originally planned for completion at the beginning of this month had yet to start. Now that they saw results in Australia and Malaysia, the prime minister with a reserved attitude immediately took a proactive stance. He no longer cared about the external pressures and brought the construction of the submarine cable onto the country’s agenda.

Even India still being delayed in the Malacca Trench, began tossing down cables into the water furiously. They did everything they could to move cheap electricity from Xin at an earlier date to ease the dependence of its energy gap on fossil fuel imports.

As Jiang Chen expected, Hua finally couldn’t sit still any longer and sent Hua Electricity Group to negotiate.

The domestic electricity price average about 0.10 XND, and the export price of Celestial Trade was around 0.01-0.02 XND. While the difference of 0.08 CNY may be small, the effect is magnified on an industrial scale.

Taking electric steelmaking as an example, a kilowatt of electricity produces around 1.5 kilograms of steel. The 1.5 kilogram of steel, regardless of financial subsidies and steelmaking technology, has a cost of 0.08 XND higher due to electricity costs. In the market, other people’s 1.5 kilograms of steel will be 0.08 XND more competitive.

How about 1.5 tons? How about 15 million tons? With the amplification of volume, the advantage of cost competitiveness would also become more and more obvious. Sometimes it is about wanting to change, but external pressures could also force people to adapt to the changing era.

As one of the world’s largest electricity consumption country, Jiang Chen, of course, welcomed Hua Electricity Group to discuss with him about the submarine cable.

It was unnecessary to discuss a joint venture for a nuclear fusion power station. Jiang Chen clearly stated that there are no plans to build any nuclear fusion power stations on the surface. Jia Zhengrong was not surprised by his rejection. Then the two sides began to discuss the submarine cable and the power export price.

Jiang Chen directly took out the contracts with other countries to discuss cooperation work with Jia Zhengrong.

In the end, the two people happily reached a preliminary agreement. The two sides would jointly fund the construction of submarine transmission cables, and Celestial Trade would directly export the electricity to Hua Electricity Group. As for discussion beyond Hua Electricity Group to local companies, it was not something Jiang Chen needed to worry about.

As for the amount of capital invested by both sides, who would maintain the cable and how much electricity would be imported in one year, those details wouldn’t be determined until further discussions. Jiang Chen left the rest of the negotiation work to Xia Shiyu as he must make go on a trip tomorrow and he couldn’t make Mr. Jia wait for him.

“Allow me to ask, is Mr. Jiang planning to go to Moscow in two days?” Jia Zhengrong smiled and asked, “I hope Mr. Jiang doesn’t misunderstand, I’m only worried about this contract…”

“Yes. But rest assured, CEO Xia will take care of the rest.”

Although he didn’t openly market his visit, his trip to Russia was no longer a secret. But what made him unsure was whether this question was from him, or from someone else.

After hearing Jiang Chen’s answer, Jia Zhengrong smiled and gestured.

“Then I won’t bother you any longer. When Mr. Jiang comes to Shangjing, please be sure to let me know. I will definitely do my deed of being a good host.”

“Haha, then I will certainly let Mr. Jia know.” Jiang Chen ceremonially replied, smiled at him, and watched Jia Zhengrong leave his office.