CO129-598-2 Tai Lam Chung Reservoir Project 24-6-1948 - 3-3-1949 — Page 86

[7713] Wt. 40552/714 50m 2/48 C.N.Ld. 740

C. O.

Mr.

Mr...

Radford 9/8

Palmer

11/5

Mr. Wallace 27/8

Mr...

3/8 Bandillyn

Mr. Parker

53687/48

See

minute

And see minute

Permt. U.S. of S.

́Parly, U.S. S.

Minister of State

Secretary of State

Your Reference

DRAFT. DESPATCH

CONSON

Sir,

Draft for Treasury

Concurrence

93

GOVERNOR,

HONG KONG

In present circumstances it

minimum,

AND

essential to restrict calls on the London market to the absolute

and stock this source It all) finance could only be considered, for projects of immediate urgency for which local borrowing had proved impossible.

boot if it cater

Ils foussed to be proble

stoch

Amazing, to

FURTHER ACTION.

Copy. 15.

1.7. Hveraft (incasury

Copy for H.K. loaves fill.

Ests file

I have etc. to refer to your

Despatch No.142 about the construction of a

new reservoir at Tai Lam Chung in the

New Territories.

2.

I find myself in full support of your

conclusion that the construction of this

reservoir is the only adequate solution to

the problem of ensuring a reliable and

sufficient supply of water for the Colony.

Say

However, as you suggest, the principal

13

problem will be one of finance and I

fear it is one to which there is no simple

solution.

3.

has been

I have discussed this aspect of the

matter/with Mr. Follows and the

possibilities of assistance from a number

of sources have been examined. As had been

expected

anticipated it is not, I fear, possible to

consider financing the project by raising

a loan on London. In present circumstances

borrowing by Colonial Governments-en-

fath been allowed; want had way. -London that with may káspasdikl tanow

pasaiba Exrst be reaming

Awould have to be restricted to projects of

mere immediate urgency than the Tai Lam

Chung scheme, abg local borrowing proved to be impossible.

The possibility of

financing/