JVERMENT HOUSE HUNG KUMTO0.

Capital Cost

10.

חשוד

1

50

In

July

1991,

the

Government announced that the

estimated cost of the airport project was $43.6 billion (at

March

prices). 1991

This figure

consisted

Of a total

capital cost of $44.8 billion minus $1.2 billion of property revenues expected by the AA prior to the opening

development

of the airport.

In July 1991, when this cost was estimated,

fundamental planning and engineering decisions had yet to be

taken.

The Master

which on Plan,

the Chinese side has

already been briefed, has now been completed.

finalized

plan

and

results the

of

now

Based on the

completed

site

A

investigation studies, the current estimate of capital cost has been refined to $46.3 billion (at March 1991 prices). breakdown of this cost and a comparison with the cost

announced in July 1991 are at Annex A.

11.

The

allocation

of

capital

costs between the AA,

Government

and

the

private

sector

reflects the PAA'S

all major support

(e.g.

air cargo,

aircraft

fuelling

and

aircraft

catering

business strategy of privatizing

facilities at the airport

maintenance, aircraft

facilities).

to retain

It also takes amount of Government's decision

responsibility

airport (e.g.

for a range of functions at the

air traffic control, air mail centre, police

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