XN000022-1992-05-14 — Page 2

THURSDAY, MAY 14, 1992

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FS'S SPEECH ON NEW AIRPORT IN LEGCO ON WEDNESDAY

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MR DEPUTY PRESIDENT,

IS

THE THEME RUNNING THROUGH SOME CONTRIBUTIONS TO THIS DEBATE THAT THE ACP COSTS A LOT, THAT IT IS LIKELY TO COST FAR MORE THAN WE IN THE GOVERNMENT ARE PREPARED TO REVEAL OR ADMIT,

THAT THESE COSTS WILL INCREASINGLY DEPRIVE THE PUBLIC OF SOCIAL SERVICES AND OTHER PUBLIC WORKS.

THERE HAVE BEEN OTHER CLAIMS IN THIS CHAMBER OR ELSEWHERE THAT WE ARE WITHHOLDING INFORMATION, AND THAT WE ARE FAVOURING BRITISH CONSTRUCTION COMPANIES AND CONSULTANTS WHEN AWARDING CONTRACTS.

A CONCERN TO ENSURE COST EFFECTIVENESS AND REDUCE THE RISKS OF COST OVERRUN IS ENTIRELY REASONABLE, AND INDEED ONE THAT I SHARE WHOLEHEARTEDLY. BUT THE OTHER SUBSIDIARY THEMES, ALLEGING A LACK OF INFORMATION AND CONTRACT FAVOURITISM, I REJECT TOTALLY AND WILL ANSWER FIRST.

OVER THE LAST SIX WEEKS WE HAVE RELEASED A GREAT DEAL OF FINANCIAL AND OTHER INFORMATION. ON APRIL 2, WE PUBLISHED OUR OVERALL ACP COSTS PAPER. THAT WAS FOLLOWED BY DETAILED PAPERS ON THE COSTS OF THE AIRPORT RAILWAY AND OF THE NEW AIRPORT ITSELF. LAST WEEK, WHEN WE ANNOUNCED THE TSING MA BRIDGE CONSTRUCTION CONTRACT, WE REVEALED PERHAPS MORE INFORMATION THAN EVER BEFORE ON THE TENDERS AND ON THE REASONS FOR OUR DECISION.

THIS IS REAL TRANSPARENCY AND I WELCOME IT. AT THE SAME TIME WE HAVE PRESENTED THESE PAPERS AND EXPLAINED THEIR CONTENTS TO THE LECCO AD HOC GROUP, THE AIRPORT CONSULTATIVE COMMITTEE AND THE PUBLIC THROUGH THE MEDIA. THIS EFFORT HAS INVOLVED REPRESENTATIVES OF THE PROVISIONAL AIRPORT AUTHORITY AND THE MTRC, AS WELL AS THE GOVERNMENT.

WILL

IN

THE PRESENTATIONS AND DISCUSSIONS WILL CONTINUE. PARTICULAR, THE FINANCING ARRANGEMENTS FOR THE AIRPORT AND THE RAILWAY BE DISCUSSED BY THE LEGCO AD HOC GROUP AND THE AIRPORT CONSULTATIVE COMMITTEE OVER THE NEXT FEW WEEKS. WE WILL RESPOND CONSTRUCTIVELY TO SPECIFIC AND REASONABLE REQUESTS FOR INFORMATION AND CONSULTATION. IT IS DIFFICULT HOWEVER TO KNOW HOW TO RESPOND TO VAGUE ALLEGATIONS OF A LACK OF TRANSPARENCY OR DEMANDS THAT WE SHOULD FILL A BOTTOMLESS PIT LABELLED "MORE INFORMATION". FORESTS OF TREES HAVE ALREADY BEEN FELLED IN AN ATTEMPT TO SATISFY THE DEMANDS MADE ON US OVER THE PERIOD SINCE THE NEW AIRPORT WAS ANNOUNCED. IT MAY BE WORTH RECALLING FOR EXAMPLE THAT THE MATERIAL ON THE AIRPORT MASTER PLAN ALONE WAS THREE INCHES THICK. AND THAT THERE ARE NOW OVER 300 REPORTS, STUDIES ETC. RELEVANT TO THE ACP AVAILABLE TO THE PUBLIC IN THE AIRPORT AND PORT PROJECT RESOURCE CENTRE. I WONDER HOW MANY PEOPLE HAVE READ THEM? THUS WE MUST DRAW A LINE SOMEWHERE. 1 AM

PARTICULARLY ANXIOUS THAT WE SHOULD NOT PUBLICLY REVEAL COMMERCIALLY SENSITIVE INFORMATION THAT COULD, FOR EXAMPLE, UPSET FINANCIAL PLANS OR UNDERMINE COMPETITIVE TENDERING.

/IMPLICIT IN