Ι
For decision
on 5 July 1988
THE PROBLEM
CONFIDENTIAL
XCC (88) 97 Copy No
MEMORANDUM FOR EXECUTIVE COUNCIL
TELECOMMUNICATIONS DEVELOPMENT
IN HONG KONG
PA 8 THKC 191
781/1
RECEIVED IN REGISTRY
7 JUL 1988
DESK OFFICES..
INDEX
REGISTRY
rion Teken
On 7 XCC (87) 102 (a advised and the Governor ordered
July 1987, following discussion of memorandum copy of which is at Annex I), the Council
2
(a) that the case for a second public telecommunications network for services outside Telco's exclusive franchise should be further examined;
(b)
that both Hong Kong Telephone Company and Hutchison CableVision should be invited to put forward more detailed views for and against a second public telecommunications network;
(c) that in order to further the examination under (a), independent consultants should be engaged to give technical advice to the Administration on the issues raised by the paper, including an assessment of the effect of introducing competition, the programme for the development of cable TV services, the likely degree of disruption, any effect on the telephone tariff and interconnection, and to evaluate the views of the two companies sought under (b); and
(d)
that a further submission to the Council should then be made in the light of the consultants' advice, reflecting the responses of the two companies, and on the basis of an assessment of those responses, seeking Members' advice on whether
telecommunications:
network
a second should be
introduced to carry a cable TV compete with the telephone deregulated services, and if regulatory framework to be adopted.
service service and
company
on
so, the basic
The consultancy firm Booz, Allen and Hamilton (BAH) was engaged in September 1987 to undertake the required study. Both Hong Kong Telephone Company (Telco) and Hutchison CableVision (HCV) were invited to make a detailed
CONFIDENTIAL