CO537-2187 — Page 192

DRAFT NEW PARAGRAPH (TO BE NUMBERED 14)

OF THE REVISED DRAFT PAPER ON

THE FUTURE OF HONG KONG.

85

14. A decision on the question whether, if and when the

New Territories are discussed with the Chinese, we are going

to insist on the continued control of installations in the

New Territories, is urgently required, in connection with the

proposal for the construction of a new airfield in the

Colony. It has been strongly represented by the Governor

and others that it is essential for the Colony to have an

airport of international standing if it is to regain and

retain its former importance and prosperity. There is only

an

one possible site for such an airport in the ceded part of

the Colony. It is estimated that it would cost over

£10 million and take 4 years to construct the airport on that

site, and there is also the possibility that further

examination may disclose insuperable technical difficulties.

The alternative site is in the New Territories and it is

estimated that the cost of construction there would be less

than half the above estimate, or approximately £4 million,

and the period of construction only 18 months, as compared

with 4 years. Before, however, a final decision could be

taken in favour of the alternative site in the New

Territories, it would clearly be necessary to have some

assurance of continued control over the airport, in the

event of the unexpired period of the lease, which is

approximately 50 years, being substantially curtailed.