Omers Extrad "HIL telegraph June 2 1965
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Cross-harbour tunnel bill is approved
Hongkong's $340 million cross-harbour tunnel scheme received its final go-ahead in the Legislative Council last week.
This followed the passing without amendment of the Cross Harbour Tunnel Bill through its third and final reading.
Work on the tunnel, plan- ned to be ready by August 1973, is expected to start before the end of this summer, probably in September.
Other related developments that took place during the meet- ing were:-
Government agreed to take up 25 per cent of shares in the Cross-Harbour Tunnel up to a maximum of $27.5
million.
Longer term credit was granted to the company for re- paying $12 million it will borrow
ring to com- from Government for building
îagement must Ijust quickly to changes
t has to become more concerned about the need rkly adaptable to change and the rapidity of the g place in business. ild Inst week by klin Folts, Pro- 118 of Industrial . Harvard Univer- Member of the istitute Advisory
ing the opening Aangement in a "at a weeklong Mingement pro-
held under the Lingnan Institute
technologically-oriented, having to adapt to the new managerial concepts being called for.
Of Hongkong, he said one of the most serlong problems was in having to develdė more manage- ment.
Generally, he thought, Asian business was having to move more towards the Western con- cept.
special access tunnel.
roads to the
After the Cross-Harbour Tunnel Bill passed its final read- ing, members of the Council also passed a resolution which dealt with financial proposals volving Government.
in-
Outlining these proposals, the Financial Secretary, the Hon Sir John Cowperthwaite. said Government's investment in the tunnel should, "in the opinion of a majority, prove very profitable."
The delay of three years, during which details of the tunnel scheme were being worked out, should make the scheme more immediately pro- fitable for Government, Sir John said.
Option
"Under the original resolution passed in 1965, Government was to be given an option of 25 per cent of equity capital in the Cross-Harbour Tunnel Com- pany," he explained.
"If Government took up not less than 10 per cent of equity shares, it was also to be allocated not less than two seats on the Board of Directors.
"As a matter of public policy, we feel Government should be involved in, and have some say In, controlling a traffic link as important as the tunnel.
"But as we continued to give the tunnel fairly low priority in terms of public ex- penditure, we g011 decided to limit Government participation to 12.5 per cent, or $15 million.
"Later in 1967, when the com- pany was finding it hard to secure the full finance required for the scheme, and it seemed possible the project might fail, we decided Government should subscribe to the full extent of its 25 per cent option," he said.
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No.51
1 JUL 1969
21
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