TNAG-0423-FCO40-469-Construction-of-an-underground-railway-system-in-Hong-Kong-1973 — Page 5

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NOW THAT THE PROCESS OF NEGOTIATING A CONTRACT IS ABOUT TO BE HONOURABLE MEMBERS WILL APPRECIATE THAT I CANNOT EXPLAIN IN DETAIL THE REASONS UNDERLYING THE GOVERNMENT'S PREFERENCE FOR THE

SINGLE CONTRACT APPROACH, BECAUSE TO DO SO MIGHT PREJUDICE THE STEERING GROUP'S NEGOTIATING POSITION. BUT I CAN SAY THAT GOVERNMENT HAS CONCLUDED THAT THE SINGLE-CONTRACT APPROACH WOULD BE THE MOST APPROPRIATE METHOD OF SAFE-GUARDING HONG KONG'S

BEST INTERESTS IN ALL RESPECTS.

SIR,

THE

THE TASK WHICH IS NOW FACING THE STEERING GROUP

TASK OF SECURING THE BEST POSSIBLE SINGLE CONTRACT FOR THE FIRST FOUR STAGES OF THE MASS TRANSIT RAILWAY, AND OF ASSURING THE FINANCIAL VIABILITY OF THE SYSTEM -- IS A FORMIDABLE TASK. AND AS THE CONTRACT IS TO BE AWARDED AFTER A NEGOTIATION AND NOT BY NORMAL TENDERING PROCEDURES, IT IS ALSO A DELICATE TASK WHICH WILL HAVE TO BE HANDLED WITH EXTREME WARINESS AND METICULOUS CARE.

ALTHOUGH THE GOVERNMENT INTENDS TO CONCLUDE THE CONTRACT AS SOON AS POSSIBLE, IT WILL INEVITABLY TAKE SOME TIME. MEANWHILE, VARIOUS ITEMS OF PREPARATORY WORK WILL CONTINUE TO BE UNDERTAKEN TO ENSURE THAT NO TIME WILL BE LOST WHILE THE NEGOTIATION OF THE CONTRACT IS UNDER WAY. THE CONSULTING ENGINEERS WILL BUILD UP THEIR ORGANISATION FURTHER AND THEIR BRIEF WILL BE MODIFIED TO SUIT THE PARTICULAR REQUIREMENTS OF THE SINGLE-CONTRACT APPROACH. SOIL INVESTIGATIONS AND OTHER ENGINEERING RESEARCH WORK WILL CONTINUE, AS WILL ARRANGEMENTS FOR THE ACQUISITION OR CLEARANCE OF LAND REQUIRED FOR THE PURPOSES OF CONSTRUCTING THE MASS TRANSIT RAILWAY. PLANNING IS IN HAND FOR THE ESTABLISHMENT OF A MASS TRANSIT RAILWAY CORPORATION, AS WELL AS FOR THE DIVERSION OF UTILITY SERVICES AND TRAFFIC ROUTINGS WHICH WILL NEED TO BE UNDER- TAKEN DURING THE CONSTRUCTION PHASE. FINALLY, IN ADVANCE OF THE NEGOTIATED MAIN CONTRACT, ARRANGEMENTS ARE BEING MADE FOR A CONTRACT TO BE LET BY TENDER FOR SITE FORMATION AND ASSOCIATED

CIVIL ENGINEERING WORKS AT KOWLOON BAY SO AS TO ENSURE THAT THE WORKSHOPS AND ADMINISTRATION BUILDING, WHICH ARE CRITICAL ITEMS IN THE PROJECT PROGRAMME, WILL BE COMPLETED IN GOOD TIME.

MACLEHOSE

FILES

HKIOD

FRD

TRD

M & TO

SIR E NORRIS MR LARMOUR MR WRIGHT SIR D WATSON

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