CO129-608-7 Future policy- Report on Port Administration by Sir David Owen 24-2-1941 - 24-2-1941 — Page 169

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B.

As I see it, there would appear to be at least three basic points for consideration:

9.

(If

(a) clarification of position regarding pier

leases and fixing of renewal rentals. it appears likely that some time must elapse before negotiations regarding renewals can be opened, could not the period of existing leases be extended by say four years period of war disruption?);

the

(b) ostablishment of a "High Level" Board to

recommend, through the Governor, that Naval and lülitary authorities be asked to vacate

the the valuable ground which they occupy, occupation of which precludes the natural development of the water front and land immediately behind, at the same time, to make available to the authorities concerned alternative sites for their selection according to their strategic requirements;

(0)

the projected link-up with the Trans-Siberian Railway and the development of Hong Kong as a great terminal port.

While (a) above is of itself important, it would appear that a local committee, if fully representative, could deal with it, but (b) and (c) would seem to provide justification for consideration as to whether or not the establishment of a Port Trust would be necessary.

10.

Hong Kong's former claims to ability to provide adequate shipping facilities at low cost are now defeated on the latter point. If it were decided that cheap labour has gone, never to return, private enterprise, assuming that it wants to continue to "operate" the Port as in the past, must now consider mechanization as never before. Not only must it mechanize, but it must build wharves capable of carrying the necessary mechanical loading and discharging devices.

11.

Truly, private enterprise in Hong Kong again faces a climacteric, but it has always made the right decision in the past,

12.

TERMS OF REFERENCE

Coming now to the Terms of Reference before your

Committoe:

(a) What advantages would accrue from the establish- ment of a Hong Kong Port Trust to control the Port as recommended in the Report of Sir David Owen, and whether it is in the public interest that such a Trust should be established.

Comment: The only apparent advantages are, in my

my paragraphs opinion, still problematical at this stage 8 (b) and (c) and 9 refer. A re-constituted Port Executive Committee, say with the assistance of a Director whose appointment, I understand, has been recommended, with the addition of selected Chinese representatives and a Government financial expert, would appear to be capable of fulfilling the normal functions of a Harbour Trust.

(Continued)