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TUESDAY, SEPTEMBER 9, 1975
+AN UNDERGROUND RAILWAY IS BY FAR THE MOST EFFICIENT MEANS OF MEETING A SIGNIFICANT PART OF THE DEMAND FOR PUBLIC TRANSPORT IN THE NEXT DECADE AND BEYOND, THE SPOKESMAN CONTINUED.
SINCE JANUARY 1975 THE PROVISIONAL AUTHORITY AND ITS ADVISERS HAVE RE-EXAMINED THE FACTORS DETERMINING THE WHOLE VIABILITY OF THE RAILWAY. THEY FORECAST THAT THE REVENUE FROM THE RAILWAY WILL BE SUFFICIENT TO COVER ALL EXPENDITURE, INCLUDING INTEREST ON LOANS, AND LEAVE A SUFFICIENT SURPLUS TO REPAY ALL DEBTS OVER A PERIOD OF ELEVEN TO TWELVE YEARS AFTER THE CONNENCEMENT OF OPERATION.
THE SPOKEMAN EMPHASISED THAT THE GOVERNMENT'S FINANCIAL CONTRIBUTION WAS LIMITED TO $800 MILLION, AS IT ALWAYS HAD BEEN. THIS SUM HAD ALREADY BEEN SET ASIDE IN THE MASS TRANSIT FUND. +EXPORT CREDITS AND LOANS OBTAINED FROM COMMERCIAL SOURCES HAVE BEEN OFFERED BECAUSE OF THE SELF-LIQUIDATING NATURE OF THE RAILWAY, HE SAID. +SUCH CREDITS AND LOANS WOULD NOT BE AVAILABLE FOR ANY OF THE GOVERNMENT'S SOCIAL PROGRAMMES. THE RATE AT WHICH THESE PROGRAMMES PROCEED WILL NOT BE AFFECTED BY THE RAILWAY.
THE SPOKESMAN ADDED THAT ADDITIONAL FUNDS WILL BE MADE AVAILABLE TO THE HOUSING AUTHORITY TO COMPENSATE FOR THE COMPARATIVELY SMALL CLAIMS WHICH CLEARANCES FOR THE RAILWAY WILL MAKE ON ITS RESOURCES.
+MANY COUNTRIES,+ THE SPOKESMAN WENT ON, +ARE PRESENTLY ENCOURAGING ATTRACTIVE EXPORT CREDIT TERMS FOR CONSTRUCTION PROJECTS OVERSEAS IN ORDER TO STIMULATE THEIR OWN ECONOMIES. THIS FACT, COUPLED WITH THE PRESENT IMPROVED STATE OF INTERNATIONAL FINANCIAL MARKETS, HAS CREATED FAVOURABLE CONDITIONS FOR THE BUILDING OF THE RAILWAY WHICH ARE UNLIKELY TO CONTINUE.+
THE CORPORATION WILL DEVELOP PROPERTY OVER CERTAIN RAILWAY SITES. ALREADY FIRM PLANS ARE IN HAND FOR KOWLOON BAY DEPOT. DEVELOPMENT HERE WILL INCLUDE A HOUSING AND COMMERCIAL ESTATE OVER THE DEPOT AREA WHICH WILL PROVIDE MEDIUM COST HOMES FOR 22,000 PEOPLE, TOGETHER WITH SCHOOLS, SHOPS, RESTAURANTS, SWIMMING POOLS AND A SUPERMARKET.
THE GOVERNMENT WILL GRANT SITES TO THE CORPORATION FOR DEVELOPMENT ON A PRIVATE TREATY BASIS, BUT AT FULL MARKET VALUE.
OVER THE YEARS AND GOVERNMENT HAS, OF COURSE, CAREFULLY WEIGHED AND EXAMINED ALL OTHER ALTERNATIVES TO THE UNDERGROUND RAILWAY. IN THE 1980'S THE TRAFFIC ALONG THE NATHAN ROAD/KWUN TONG ROAD CORRIDOR WILL INCREASE CONSIDERABLY. THE ROADS AND OTHER ENGINEERING WORKS WHICH WOULD BE NECESSARY TO CARRY THE EXTRA TRAFFIC ON THE SURFACE WOULD INVOLVE DEMOLITION OF PROPERTY AND DISPLACEMENT OF PEOPLE ON A SCALE WHICH COULD NOT BE CONTEMPLATED AND, BEYOND THIS, VERY CONSIDERABLE EXPENDITURE WOULD HAVE TO BE INCURRED AS A CHARGE TO GENERAL REVENUE..
/EVEN