The payment of $1.9 billion was within the overall budget of $49.8 billion for the construction of the new airport and the AA is confident that it can complete the airport works within the overall budget.
Another significant development in the past year was the agreement reached by the British and Chinese sides of the Airport Committee on the AA's proposal to bring forward the construction of the second runway at the new airport at Chek Lap Kok.
The second or northern runway will be operating at the end of 1998 . The second runway and related facilities are estimated to cost about $4.9 billion. The AA has estimated that the construction costs of its works will be about $4.3 billion, to be financed by the authority through borrowings. The Government will provide additional facilities and equipment to support the operation of the second runway at an estimated cost of about $600 million in money of the day.
Looking ahead, the AA will be pressing ahead with various works on the airport island, especially with fitting out, and the electrical and mechanical works in the passenger terminal building. The authority will also be continuing to work on its operational plans in readiness for airport opening in April 1998,
Airport Railway
The structural completion of the Airport Railway's immersed tube tunnel under the harbour in October marked a major milestone in the project, which is being undertaken by the Mass Transit Railway Corporation (MTRC).
The 1.3 kilometre crossing runs from the southern part of the West Kowloon Reclamation to the Central Reclamation where the Hong Kong Station is being built.
Track-laying started on the main line in March last year and to date over 50 per cent of the work has been completed. Work has also begun on the electrical and mechanical installations.
The topping out of the Tai Kok Tsui Station in August represented another important milestone for the project as it signified the structural completion of the first of the seven Airport Railway stations.
This was followed in December by the topping out of the Tung Chung station, the terminus of the Lantau Line.
The project was 62 per cent complete as at the end of November, and the Airport Railway remains on target for completion in June 1998.