PROXIMITY OF THE PROJECT BEFORE YOU MADE YOUR ANNOUNCEMENT?

"GOVERNOR: THEY WERE BRIEFED ON WHAT WE WERE DOING IN DEVELOPING THE PROJECT. IT'S NOT JUST A QUESTION OF BRIEFING CHINA I DON'T KNOW IF YOU WERE HERE AT THAT PARTICULAR TIME - BUT IT WAS MASSIVELY .COVERED IN THE PRESS HERE FROM 1988 ONWARDS, WHAT WE WERE DOING, AND AS. I SAY, WE HAD NO REASON TO BELIEVE THAT THIS WAS GOING TO CAUSE ANY PARTICULAR PROBLEMS.

LOUISA TAM (COMMERCIAL RADIO):

SIR DAVID, WE ALL KNOW THE MAIN STUMBLING BLOCK HAS ALWAYS BEEN THAT CHINA WANTS TO HAVE A SAY ON ALL MATTERS THAT GO BEYOND 1997, BUT IF WE READ PAGE 4, PARAGRAPH (G), IT LOOKS LIKE THAT THERE HAS ALREADY BEEN A COMPROMISE BY THE UK GOVERNMENT TO GO AND INFORM THE CHINESE GOVERNMENT TWICE A YEAR ON MATTERS OF MUTUAL CONCERN. DOES THAT MEAN DURING THOSE MEETINGS THE UK GOVERNMENT WILL HAVE TO GET APPROVAL ON ALL THOSE MATTERS THAT GO BEYOND 1997? HAS THERE BEEN A COMPROMISE ON THAT, THAT CHINA WILL HAVE A SAY ON ALL MATTERS THAT GO BEYOND 1997?

GOVERNOR: NO. I MEAN ALL THAT HAS BEEN AGREED IS HERE ON THAT 'PIECE OF PAPER IN FRONT OF YOU, NOTHING IN ADDITION TO THAT AT ALL. THE IDEA OF MEETING TWICE A YEAR WAS IN FACT PUT FORWARD BY THE BRITISH FOREIGN SECRETARY, MR DOUGLAS HURD, WHEN HE VISITED CHINA EARLIER THIS YEAR, AS A WAY OF TRYING TO MAKE SURE THAT CO-OPERATION WAS INTENSIFIED DURING THIS PERIOD AS WE GO UP TO 1997, AND THAT THERE WAS A WAY OF DEALING WITH ISSUES AT A HIGH LEVEL IF THAT SEEMED TO BE NECESSARY. AND IN A SIMILAR SORT OF WAY, THE PROVISION THAT I SHOULD MEET REGULARLY WITH MR LU PING, IS-SO THAT WE CAN TRY TO IRON-OUT ANY DIFFICULTIES, NOT JUST ON THE AIRPORT, AND ALSO HAVE A MEANS OF DISCUSSING THINGS ON A MORE REGULAR BASIS THAN PERHAPS WE HAVE HAD UP TO NOW.

LOUISA TAM: SO YOU CAN PROMISE AT THIS POINT THAT DURING THOSE MEETINGS TWICE A YEAR, THERE WON'T BE ANY SECRET DEALS OR ANYTHING THAT WILL GIVE CHINA A SAY IN ALL MATTERS THAT GO BEYOND 1997?

GOVERNOR: WHAT I CAN TELL YOU ABSOLUTELY IS THAT ALL THAT HAS BEEN AGREED IS HERE IN THIS MEMORANDUM OF UNDERSTANDING WHICH YOU HAVE GOT IN FRONT OF YOU, NOTHING ELSE HAS BEEN AGREED TO THAT. I CAN'T TELL YOU, OBVIOUSLY, WHAT IS GOING TO HAPPEN IN EVERY MEETING BETWEEN HERE AND 1997.

CHRISTINA CHOW (RTHK): SIR DAVID, ALTHOUGH YOU SAY THAT THE MEMORANDUM DOESN'T GIVE ANY VETO POWER TO THE CHINESE SIDE, MEMORANDUM DOES SAY THAT ANY DECISION WILL GIVE FULL WEIGHT TO THE CHINESE GOVERNMENT'S VIEWS. WHAT HAPPENS IF THE AIRPORT COMMITTEE CANNOT REACH AN AGREEMENT WITHIN ONE MONTH'S TIME ON THE GRANTING OF CONTRACTS AND GUARANTEES, ETC?

GOVERNOR: WELL I HOPE THAT IT ALWAYS WILL, I MEAN I WOULD LIKE TO LOOK ON THE POSITIVE NOT THE NEGATIVE SIDE, THAT IT ALWAYS WILL MANAGE TO REACH AN AGREEMENT IN THAT SHORT TIME SCALE. IF IT DOESN'T, I MEAN IT'S WHAT IS WRITTEN DOWN IN THAT MEMORANDUM, THAT ANY DECISION TAKEN WILL GIVE FULL WEIGHT TO THE VIEWS OF THE CHINESE SIDE. AND THEN THERE IS THE NEXT SENTENCE AFTER THAT ABOUT WHAT IS IMPORTANT IN A FRANCHISE.

ET'd

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