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THURSDAY, JULY 4, 1991
GOVERNOR: WE ARE AIMING TO LEAVE 25 BILLION BUT THAT IS SOMETHING WHICH IS MANAGEABLE. ONE DOES, UNDER ANY CIRCUMSTANCES, WANT TO HAVE A SUBSTANTIAL AMOUNT OF MONEY IN THE FISCAL RESERVES IN ADDITION TO WHAT IS IN THE LAND FUND AND THE FINANCIAL EXPERTS BELIEVE THAT THIS IS MANAGEABLE AND PRUDENT. NOW OF COURSE, YOU KNOW I CAN'T SAY THAT THERE WILL BE NO RESTRICTION ON GOVERNMENT SPENDING BECAUSE GOVERNMENT SPENDING ALWAYS HAS TO BE CAREFUL, IT ALWAYS HAS TO BE RESTRICTED, THERE IS NOT A LIMITLESS SUM OF MONEY. WHEN YOU GET TO A CERTAIN POINT YOU DON'T HAVE THE ADDITIONAL MONEY TO SPEND SO YOU HAVE ALWAYS GOT TO BE CAREFUL.
KAREN CHENG: SO WILL THE COST OF THE PROJECTS, ESPECIALLY THE CORE PROJECTS, GO UP SINCE WE HAVE JUST LESS THAN SIX YEARS TO GO?
GOVERNOR: WILL THE COST OF THE CORE PROJECTS GO UP?
KAREN CHENG: YES.
GOVERNOR: I SIMPLY DON'T KNOW. THERE IS ALWAYS THE INFLATIONARY PROCESS BUT THE COST OF ANY PROJECT DEPENDS NOT JUST ON INFLATION BUT THE COMPETITIVE ENVIRONMENT. AT THE MOMENT THE CONSTRUCTION INDUSTRY IS VERY COMPETITIVE AND THE SORT OF BIDS THAT YOU GET IN FOR SOME OF THESE SORT OF PROJECTS ACTUALLY SOMETIMES TURN OUT TO BE LESS THAN ANTICIPATED, NOT MORE.
VICKY MCLAUGHLIN (REUTERS): WHAT IS THE CURRENT DOLLAR ESTIMATE FOR THE TOTAL PROJECT AND SECONDLY, WHAT PERCENTAGE OF PRIVATE SECTOR INVOLVEMENT ARE YOU LOOKING FOR?
THE GOVERNOR: I AM SORRY, I DON'T HAVE THE PRECISE FIGURE IN MY HEAD AND I DON'T WANT TO CONFUSE PEOPLE BY GIVING YET MORE FIGURES BECAUSE WHAT WE SEEM TO HAVE IS A LOT OF FIGURES BUT THE ONE FIGURE I'LL TELL YOU THAT IS NOT RIGHT WHICH HAS ALWAYS CAUSED ME CONCERN IS THAT WHEN I FIRST ANNOUNCED THIS PROJECT AND PERHAPS I WOULD CONFESS TO THAT AS NOT BEING THE BEST WAY TO DO IT, I PUT TOGETHER THE COST BOTH OF THE AIRPORT AND THE PORT DEVELOPMENT AS 127 BILLION. EVER SINCE PEOPLE HAVE BEEN SAYING THE AIRPORT COSTS 127 BILLION WHICH IS INACCURATE BECAUSE THAT INCLUDES.
VICKY MCLAUGHLIN (REUTERS): WE NEVER SAID THAT.
THE GOVERNOR: I AM SURE REUTERS NEVER WOULD HAVE SAID THAT, SOME OTHER LESSER AGENCIES HAVE SAID THAT. I AM SORRY, YOU HAD ANOTHER POINT.
VICKY MCLAUGHLIN (REUTERS): THE LEVEL OF PRIVATE SECTOR INVOLVEMENT THAT YOU ARE LOOKING FOR, THAT YOU ARE HOPING FOR.
THE GOVERNOR: WE WOULD LIKE TO GET AS MUCH PRIVATE SECTOR INVOLVEMENT AS WE CAN GET. THE FIGURE I THINK FOR THE WHOLE HERE I AM AGAIN, LET ME BE CAREFUL, PUTTING TOGETHER THE AIRPORT AND THE PORT WAS A 40:60 SPLIT. NOW WHAT WE WANT AS A MINIMUM FOR THE AIRPORT WAS 25 PER CENT BUT THOSE ARE NOT PRECISE FIGURES. AGAIN, LET ME BE VERY CAREFUL ABOUT THAT, THEY ARE NOT PRECISE FIGURES. WE WILL BE AIMING FOR AS MUCH PRIVATE SECTOR INVOLVEMENT AS WE CAN GET.
/VICKY MCLAUGHLIN (REUTERS):
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