CONFIDENTIAL **

2

2. UK/China Air

Services

Agreement.

Replacement international airport.

To regulate air services between HK and China.

To consider whether an international airport to replace Kai Tak should be constructed at Chek Lap Kok.

(i) Following the January talks in Peking

and after some further discussion about the exact form of words for the inter-governmental exchange of letters to confirm the HK/Shanghai air services arrangements for the period up to

31 October 1981, a CAA/CAAC commercial agreement was signed. The two airlines resumed Hong Kong/Shanghai services in mid-February. Early in April, a further inter-airline agreement was made to permit each party to offer more capacity on the route during April and May, view of the heavy demand for seats in this period.

(ii) The first round of talks on broader issues of UK/China air services arrangements is unlikely to be held before July.

in

(i) Consultancy contracts for the airport master plan and civil engineering design studies were signed on 4 February and 16 April respectively. Preliminary work on marine environmental consultancy is on: schedule. R.0. meteorological and other studies continue according to plan. SES and SMA are about to commence discussions on the financial evaluation.

to

(ii) ExCo advised in February, inter alia:

(a) that HKG should continue to plan

on constructing the replacement airport at Chek Lap Kok;

(b) that speculation on building it

in China should continue to be discouraged; and

what

To conside steps should be taken regarding

capacity for the post-31 May period.

To consider what line the HKG should adopt regarding the se talks.

To ensure that the programme of studies is imple- mented according to the agreed time table.

CONFIDENTIAL ##

Share This Page