As regards paragraph 15(a) (v) above, this is for the provision of spares sufficient to cover normal eventualities for two years.
21.
The
recurrent
costs of operating two S70A helicopters are estimated to be $3,338,400 a year. This is based on each helicopter flying 300 hours a year and includes fuel and maintenance costs. The corresponding figures for operating four S76A helicopters are the same.
22.
No additional staff will be needed for the S70A helicopters. The staff expansion programme for the RHKAAF continues in accordance with the programme agreed by Members in December 1987 and January 1989.
1989. Sufficient staff to provide a 24-hour immediate response to medical evacuation and SAR will become available as a result of the localisation programme and through the recruitment of experienced personnel, funding for which has already been approved by Members.
23.
•
The cost of developing Hong Kong's ability to meet all its flying requirements may be partly offset by a reduction in expenditure under Head 34 Internal Security : Miscellaneous Measures Subhead 195 Defence Costs cash contribution, as the RAF and AAC are phased out in the run up to 1997.
Agreement
Proposal
24.
In order to complete the expansion programme of the RHKAAF, Members are invited to approve the purchase of two Sikorsky S70A helicopters at a total cost of $212 million.
No specific provision has been included in the 1991-92 Estimates, ΟΙ in the 1992-93 draft Estimates, to cover the cost of the proposal. If approved, equivalent amounts will be deleted under Head 106 Miscellaneous Services Subhead 789 Additional commitments.
Urgency
25.
This item has been placed on the agenda for the meeting on 6 March 1992 in order to take advantage of a particular slot in the production schedule of $70As in the US manufacturing plant, and to meet Hong Kong's operational needs as soon as possible. Failure to place the order now could lead to a delay of up to one year in securing the helicopters, with possible increase in price. Any inconvenience caused to Members is regretted.
(FIN CR 5/2801/88 III)