XN000022-1978-10-11 — Page 7

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WEDNESDAY, OCTOBER 11, 1978

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WATER SUPPLY AGREEMENT WITH CHINA TO BE SIGNED SOON

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AN AGREEMENT IS TO BE SIGNED SHORTLY WITH THE KWANGTUNG WATER AUTHORITY TO INCREASE WATER SUPPLY TO HONG KONG FROM THE EAST RIVER BY 33 PER CENT BY 1982.

ANNOUNCING THIS TODAY, THE GOVERNOR, SIR MURRAY MACLEHOSE, TOLD THE LEGISLATIVE COUNCIL THE AGREEMENT WOULD PROBABLY BE SIGNED IN CANTON.

THE INCREASE IN WATER SUPPLY, HE SAID, WOULD INVOLVE THE. KWANGTUNG WATER AUTHORITY IN SUBSTANTIAL EXPENDITURE.

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+CONSIDER ING THAT THE CHARGE OF THIS WATER HAS BEEN UNCHANGED AT HK$1.26 PER THOUSAND GALLONS SINCE 1964 IT IS ENTIRELY REASONABLE THAT THEY SHOULD HAVE PROPOSED TO INCREASE THE CHARGE TO HK$1.88 FROM OCTOBER 1, 1978, AND THAT YOUR GOVERNMENT SHOULD HAVE AGREED,+ HE SAID.

SIR MURRAY STRESSED, HOWEVER, THAT EVEN AT THE NEW CHARGE THIS WATER WOULD STILL BE VERY MUCH CHEAPER THAN ANY NEW SOURCE WITHIN HONG KONG, AND WATER CHARGES TO THE PUBLIC WOULD NOT BE AFFECTED.

THE AGREEMENT COVERS INCREASES UP TO 1983. +HOWEVER THE KWANGTUNG WATER AUTHORITY HAS AGREED TO CONSIDER OUR LONG-TERM REQUIREMENTS AND TO DISCUSS WHAT MIGHT BE DONE IN ABOUT A YEAR'S TIME THAT IS TO SAY BEFORE WE WOULD HAVE TO COMMENCE ANY OTHER, AND OF COURSE MUCH COSTLIER, LOCAL MEANS OF MAINTAINING THE INCREASE IN SUPPLIES NECESSARY AFTER FEBRUARY 1983.+

+THIS LATTER DEVELOPMENT IS OF SPECIAL SIGNIFICANCE, SINCE IT COULD VERY CONSIDERABLY EASE ONE OF THE MAJOR PROBLEMS OF THIS COMMUNITY, HE SAID.

HONG KONG'S LONG-TERM REQUIREMENTS WERE LARGE, SIR MURRAY EXPLAINED, AND TO SUPPLY THEM FROM KWANGTUNG WOULD REQUIRE SUBSTANTIAL ENGINEERING WORK AND VERY CONSIDERABLE RESOURCES.:

ALTHOUGH THE HIGH ISLAND WATER SCHEME, WHICH WILL OPEN SHORTLY AND DOUBLE HONG KONG'S WATER STORAGE CAPACITY, WAS A GREAT ENGINEERING FEAT, IT EXHAUSTS OUR LAST MAJOR CATCHMENT AREA, HE ADDED.

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