3. IT WAS THE INTENTION TO PROCEED WITH THE MODIFIED SYSTEM ON A
MULTI-CONTRACT BASIS WITH TENDERS INVITED LOCALLY AND ABROAD. THESE WOULD BE SUPERVISED AND COORDINATED BY THE PROVISIONAL AUTHORITY AND HE WAS SATISFIED THAT COSTS COULD BE KEPT WITHIN THE HONG KONG DOLLARS 5,000 MILLION CEILING. COSTS AT 1974 PRICES WERE ESTIMATED AT HONG KONG DOLLARS 3,900 MILLION WITH A FINAL COST OF HONG KONG DOLLARS 5,800 MILLION (THE CONTRACTS. WOULD PROVIDE FOR COST ESCALATION CONFINED TO INCREASES IN COSTS OF MATERIALS AND WAGES).
OF THIS FIGURE. THE PROVISIONAL AUTHORITY WOULD FIND HONG KONG DOLLARS 800 MILLION, WHICH WAS ALREADY FUNDED. THE REST WOULD BE FOUND FROM LOAN SOURCES. THE FINANCIAL SECRETARY SAID THAT HE HOPED
THE PROJECT COULD GET UNDER WAY IN THE SUMMER. ACCORDING TO THE
OFFICIAL PRESS RELEASE, WORK IS NOW PROCEEDING ON THE PREPARATION OF TENDER DOCUMENTS AND IT IS HOPED THAT CONTRACTS CAN BE LET
WITHIN THE NEXT SIX MONTHS AND THAT CONSTRUCTION CAN START
IMMEDIATELY THEREAFTER.
4. I UNDERSTAND THAT THERE WILL BE TWENTY SEVEN SEPARATE CONTRACTS.
I WILL TELEGRAPH LATER ABOUT LIKELY DATES OF ISSUE OF INVITATIONS TO TENDER. COPY OF FULL TEXT OF PRESS RELEASE AND PRESS REPORTS WILL
FOLLOW BY BAG.
KINNEAR.
FILES HK100 (4)
TRED
FRD
FED
MR WILFORD
MR MARSHALL
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