(30)

move

to

is the best time is likely to affect the port development strategy. For instance, if the airport is needed earlier, it may be more cost effective to

Stonecutters crop

Island for container

and purposes,

straight

development of container terminals in the Western Harbour. But if we decide to retain Kai Tak for longer it may be better to buy time by doing a limited container development at Stonecutters Island or Tsing Yi Island and wait until the port and airport development can proceed in parallel, hefore starting to

construct container terminals in the Western Harbour.

6.

as

For the sake of illustration I have over-simplified the position facing

us now, but I think

vill you

see how important it is that we plan as well

possible ot this stage.

Our studies will involve the listing of all the options for development of the port and airport in terms of the effects or Hong Kong harbour, the practicability of cost, the berefit to the economy and the extent to which they meet forecasts of China and other international trade. The initiation of the Fort and Airport Development Study is one of the important reasons why we were anxious to have discussions and exchange of information with the Guangdong and SEZ Governments as soon as practicable, to ensure that we have the best information available before we start this Study

at the end of the year.

the

7. At this stage I would like to emphasize ore particular point relating to

container back-up areas. These areas are lardintensive, but land near port is exceptionally scarce. If the container throughput capacity is to be increased, the area required for back-up will also have to be increased. So any provision made in China for cortainer freight stations or other back-up

would be a considerable assistance to liong kong.

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