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Mr O'Keeffe O/R
HONG KONG: DEFENCE COSTS
1. I represented the Department at the meeting which Mr Andrew, AUS (GS), convened this morning to discuss Hong Kong telegrams Nos. 796 and 797.
(2+) (244) 2
CODE 18-77
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2. MCD are co-ordinating the preparation of a draft reply to the latter telegram. DS 1 will do their best to provide a (necessarily very approximate) figure for the cost of the £33.5 million garrison at 1975/76 Estimates prices, which I gather is likely to work out at around $40-43 million. (They will send more detailed information, on how they arrive at their estimate, to CBF through MOD channels). MOD will also draft to cover the Governor's paragraphs 2 to 5; explaining that the inflator can only be tested effectively in practice (there is, of course, a safeguard clause in the draît Memorandum of Understanding in case the inflator produces results materially out of line with the actual movement of costs); agreeing that (despite uncertainties whether this would in fact work out any cheaper than a frigate) the patrol craft option could remain open until the time of the negotiations; and saying that CBF has already received appropriate instructions on the artillery battery. On capital works, the Treasury deny responsibility for any bottle-neck and I undertook to pursue the point with the Department of the Environment.
3.
On cost sharing (the Governor's telegram No. 797) MOD were sure that Mr Rodgers, HCD, would not wish to leave for Hong Kong without first obtaining authority for a fall back to graduation, while the Treasury were equally certain that (particularly in the absence of Mr Healey abroad during most of September) Mr Rodgers would be well advised to seek a mandate from OFD as a whole rather than a series of bilateral written exchanges.
4. Depending on whether the Governor is satisfied by our reply to his telegram No. 797, it was hoped that no meeting of officials might be necessary in advance of Mr Rodgers's visit. The question of a possible message from Mr Rodgers to the Governor was left open for the time being. Mr Andrew thought Mr Rodgers would probably wish to send some sort of personal message, if only to say that he was looking forward to his visit.
21 August 1975
does he not have
اسه
OTD M
دنا
thes
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B. H. Jinviddy
BH Dinwiddy
Hong Kong & Indian Ocean Department
thank you. Con you
سمية
pursue Yplas?
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