TNAG-0308-FCO40-344-Contributions-of-Hong-Kong-for-costs-of-maintaining-military-1971 — Page 122

FCO40 Hong Kong Department Records 聯邦事務部香港部檔案 All

Mr. Laird: Hong Kong Dept.

Reference......

RECEIVED IN

REGISTRY No. 51

23ww 71

HKK109

36

1. At Mr Gaminara's request I am sending direct to you a contribution to your draft telegram to Hong Kong in reply to the Governor's telegram No. 134. This draft passage is designed as a reply to the point about air services in paragraph 9 of the Submission by the unofficial members of the Executive Council. It could be incorporated in any paper that the Governor handed over any reply. As suggested by Mr Gaminara I have drafted it with an eye to the dangerthat both papers might eventually be leaked to the press.

2. The passage is not a complete answer to the point made by the unofficial members which has a good deal in it. But I do not think that we could go much further to meet them in writing. There is no doubt that U.K. based airlines do reap substantial advantages from traffic rights obtained in exchange for rights at Hong Kong. It would seem to me quite reasonable to recognise this factor in negotiating the contribution to be made by Hong Kong to the cost of maintaining the garrison. This is, of course, related to the question of aid for the construction of the airport itself on which I expect that Financial Policy & Aid Department are advising you separately.

3. I have not cleared this passage with the DTI in view of the time factor, but we should have to do so if we wanted either to quantify the benefits that we obtain or to authorise the Governor to admit their value except in the most general terms.

RJan IPranaction

RIT Cromartie

Aviation & Telecoms. Dept.

10 March, 1971.

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