212 HK GOVT RECORD OF 2ND SESSION WITH BRITISH
CONSORTIUM, 2.30 PM, 29/6/73
"14. The (Steering) Group stated that..... If the Group's decision were to recommend the adoption of the single-contract approach, then recommendations would also be made as to the form of contract preferred, and the consortium or consortia with whom to enter into further negotiations. The Governor in Council's decisions on these points would be conveyed to the various consortia early in August. The negotiating exercise would commence as soon as possible thereafter, and it was hoped that the process would be completed in time for a consortium to be selected, and a Letter of Intent issued, by about 1 October 1973.
(My underlining)
213
HK GOVT RECORD OF DISCUSSION WITH BRITISH CONSORTIUM, 4.30 PM, 29/6/73
"2. Mr Wild (Mowlem) said that, in order to sign a contract by 1 January 1974, and bearing in mind that the contractor would require full Bills of Quantities, only a very limited amount of work could be priced by the end of the year....
Mr Wilkins (Steering Group)... thought that, escalation apart, Government would prefer greater assurance of the final contract price than the present target price proposals permitted and suggested that:
(a) the date of signing the contract be deferred;
(b) the contractor undertook the detailed
design; or
(c) a combination of both (a) & (b) be adopted.
3....Mr Wilkins.... had in mind that by April next year at least 90% of the work could have been achieved leaving the remainder to be dealt with as prime cost items or by some similar method.
4....it was apparent that the issue hinged on
(a) full design details being supplied by the
Consulting Engineers;
(b) the proposed date of 1 January 1974 for
signing the civil contract; and
(c) the need for the HK Govt to be assured
that, escalation apart, the target price was a reasonable representation of the eventual total cost of the work."
(It seems reasonable to deduce from this that anxiety to get a clearer picture of the likely construction costs before a contract is signed is one of the main reasons for postponing the 1/1/74 target date.)