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Monday, July 31, 1972

CONDITIONS FOR LION ROCK SUSPENDED CABLE CAR SYSTEM

Basic conditions for the grant of a franchise to a successful tenderer

to build and operate an aerial ropeway or suspended cable car system leading

to Lion Rock were announced today.

These are contained in a resolution to be introduced in the Legislative

Council on Wednesday.

The company which will be awarded the franchise will be granted two

sites for use as the lower and upper stations and the system must be completed

within three years of the sites being acquired.

At the lower station, car parking, restaurant and shopping facilities

will be provided for visitors, while at the upper station, an open area will

be provided for a helicopter landing pad. Restaurant and shopping facilities

may also be provided.

The minimum and maximum capacities of the system are 500 and 700

passengers an hour in each direction between the lower and upper stations,

The company must pay an annual fee and a royalty of 10 per cent of

gross operating receipts including advertising.

It must indemnify the Government in connection with claims arising from

the operation of the system and tenure of the two stations. It must also provide

adequate insurance cover for claims from passengers and third parties.

The company must submit a proposed fare structure with its tender,

Government may re-enter the lot, terminate the franchise and take over

the system if there is a serious default in the terms of the franchise.

The Government may also impose penalties for lesser infringements.

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