*

Railway). agreement has not yet been reached with China on an overall financing package. In the absence of an overall agreement, the Hong Kong Government are adopting a step by step approach

on building the airport, to fulfil the obligations under the

MOU and to avoid slippages and expensive cost increases. The Hong Kong Government still hope to reach agreement with China

on financing to enable the airport to open on schedule.

Despite intensive discussions during 1992,

25.

The total cost of the new airport and related

infrastructure projects is estimated at HK$112.2 billion at

March 1991 prices. The private sector is expected to take up

some 60% of the funding. The new airport itself is scheduled

to come into operation in 1997 with one runway in operation. When fully developed, it will have two runways, operate 24 hours a day and will be able to handle 80 million passengers a

Supporting infrastructure will include major bridges and a tunnel linking North Lantau to Hong Kong Island via

Tsing Yi and West Kowloon, and road and rail transport links.

year.

26.

British companies and British/Hong Kong companies have

been very successful in securing both consultancy and

construction contracts. For example a group led by British Airports Authority has won the contract to design the new airport terminals and British companies are represented in the international consortia which have won the three largest

airport contracts; the Lantau Fixed Link, Phase One of the

North Lantau Express Way, and the £610 million airport

platform contract.

Nationality

27.

Because of concern about the exodus of talented people

from Hong Kong (up to 60,000 departures a year) the British

ipu.conf.PR

SLM

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