CONFIDENTIAL

19

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機密

XCC(73)10

Jappointed by the Governor.

:

Apart from the executive head, the

Corporation would have four divisions dealing with finance, engineering, operation and administration. It may take some time for the

Corporation to recruit qualified personnel to undertake these functions and, until it can do so, it may need to employ agents or representatives to assist it, although it would still need to be sufficiently staffed to ensure that any specialist firms employed would act as its agents and be subject to its directions.

30 namely:

(a):

(b)

(c)

Such specialist firms might be employed in three areas,

raising finance;

engineering consultancy; and

project management.

In practice these functions overlap and there are firms which can perform more than one of them. This possible overlapping would not, however, preclude there being a role for all three sets of advisers, each performing the tasks for which they are most suited.

Conclusions and Recommendations

31

As has been indicated in paragraph 27 above, it would appear at this stage that the balance of advantage would lie in organising the construction and equipment of the MTR on a multi- contra ct basis. There is, however, incufficient available information at present for a definite choice to be made with certainty between a single-contract approach and a multi-contract approach. It is recommended, therefore, that further consultations should now be entered into with the consortia listed in paragraph 14(b) above, with a view to obtaining, to the maximum extent possible, the information necessary for a decision to be reached. In conducting these consultations, the Steering Group would need to make it clear to all concerned that a definitive choice has yet to be made between a single-contract approach and a multi-contract approach, and that, until such time as a choice had been made, there would be no commitment on either side. In view of the need for an early decision, it is proposed that these consultations, and a further submission to Honourable Members setting out detailed recommendations as to the approach to be adopted and the proposer or proposers to be selected for definitive negotiations, should be completed by the end of April 1973.

CONFIDENTIAL

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