China's Huaneng eyes Australia power assets-paper

PERTH, May 9 (Reuters) - Huaneng Power (0902.HK: Quote, Profile, Research), China's largest independent power company, may join the bidding for power assets slated for sale by Australia's New South Wales state, The Sydney Morning Herald newspaper said on Friday.

Huaneng has asked its Australian team to follow the New South Wales state privatisation process and send suggestions back to senior management, the paper reported, citing an unidentified source with knowledge of Huaneng's foreign investment plans.

"Besides power generation, coal mining and coal supplies, uranium is another area (Huaneng) are interested in for (their) own nuclear power generation," the paper quoted the source as saying.

New South Wales state premier, Morris Iemma, said on Sunday he would push ahead with plans to privatise the state's power assets even though his own ruling party had voted against the proposal.

The state government hopes to raise about A$15 billion ($14.2 billion) to fund infrastructure projects. It has yet decide on privatisation options, which could include trade sales or listing of a new entity on the Australian stock exchange.

Origin Energy (ORG.AX: Quote, Profile, Research), AGL Energy (AGK.AX: Quote, Profile, Research) and Hong Kong utility CLP Holdings' (0002.HK: Quote, Profile, Research) TRUenergy unit have been considered trade bidders for the retail arms of the New South Wales power assets, while UK's International Power Plc IP.L has also expressed interest in the power assets. Huaneng, which paid $3 billion to buy a Singapore power plant last month, has stakes in two power plants in Australia's Queensland state. ($1=A$1.06) (Reporting by Fayen Wong)