TNAG-0324-FCO40-360-Development-of-Kai-Tak-Airport-at-Hong-Kong-1972 — Page 39

XCC(70)41

(c)

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(d)

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to be difficult to expand without major reconstruction and to represent an un- economic use of available land;

to be unacceptable to the airlines because of the high capital expenditure which they would have to meet;

to involve the highest overall cost;

(e)

(f)

to involve highest cost per ton throughput.

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In discussions between the Director of Civil Aviation and the airlines operating into Hong Kong airport (as represented by a joint meeting of the Airport Terminal Consultative Committee and the Board of Airline Representatives) on the proposals made by the consultants, certain of the big airlines at first appeared attracted to the Alternate D scheme. However, in the course of discussions it was explained that it was likely, in the event of Alternate A being chosen, that Government would be prepared to provide common services (e. g. taxiways, hardstanding and the fabric of the building) whereas if Alternate D were adopted it could not be expected that Government would contribute to the cost of buildings to be erected by the airlines for their own use and, therefore, that Government expenditure other than on taxiways, roads and fabric of the Agents building could be expected to be minimal. In view of this the airlines all eventually advised the Director of Civil Aviation that they could not support Alternate D. They were, however, not agreed in their support of Alternate A and eventually suggested a com- promise amounting to a hybrid of Alternates A and D, involving an airside consolidation area to be operated by an independent contractor in which in theory most outward cargo passing through the terminal would be consolidated for loading onto aircraft, and where most inward cargo would be broken down for further processing by the major airlines or freight agents and cargo contractors. In practice it is doubtful if airlines, agents and consolidators could be forced to use this area except possibly for all-cargo aircraft "docked" to this part of the terminal. In any case, the area would have to be operated complementarily to other areas in the same freight building to be run

(a)

by the three (or possibly four) major airlines who would

(i)

collect cargo for shipment either: (A) to be handed on to the con-

solidator, or

(B) to be loaded direct onto aircraft,

and

(ii) distribute inward cargo received -

(A) from the consolidator, or

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(B) direct from unloading aircraft;

and

(b) by forwarding agents and cargo contractors

who would perform their normal functions of receiving air freight for despatch from con- signors and distributing inward freight to consignees.

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