TNAG-0545-FCO40-640-Strength-of-garrison-in-Hong-Kong-1975 — Page 96

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(111) A DECISION ON THE MACHINERY FOR APPROVING THE WORKS PROGRAMME

PARAGRAPH 8 OF MY TELEGRAM 1232 REFERS.

(IV) A STUDY OF THE RECENTLY RECEIVED PROGRAMME FROM HQBF. WE ARE CONSIDERING THIS URGENTLY, INCLUDING COSTING IT AT SEPTEMBER 1975 PRICES. THE WHOLE PROGRAMME WILL NEED CONSIDERATION UNDER THE MACHINER REFERRED TO IN (111) BEFORE 31 MARCH, 1976.

(V) AGREEMENT ON THE ESTIMATED COSTS OF THE MAINTENANCE PROGRAMME. UNTIL THIS FIGURE IS AGREED WE CANNOT TAKE A VIEW ON THE CAPITAL

WORKS PROGRAMME OVER THE PERIOD OF THE AGREEMENT.

HOWEVER, WE SHALL HAVE A DRAFT OF THE STATEMENT OF FINANCIAL

PROCEDURES BY 4 DECEMBER AND WE ARE HOPEFUL THAT OFFICIALS HERE

WILL BE ABLE TO REACH AGREEMENT ON BOTH STATEMENTS ONCE THE POINTS

REFERRED TO ABOVE HAVE BEEN RESOLVED. WE WOULD HOPE THAT THE

MAIN ELEMENTS OF BOTH STATEMENTS COULD BE AGREED DURING THE WEEK

BEGINNING 7 DECEMBER.

7. WE WILL TELEGRAPH SEPARATELY ABOUT DIFFERENTIAL INFLATION IN

RESPECT OF EQUIPMENT FROM THE UK, THOUGH WE SHALL IN ANY CASE WISH

TO DISCUSS THIS IN LONDON.

ROBERTS

FILE S

HKIOD (3)

DEFENCE D

SWPD

FRD PS

PS/LORD GORONWY-ROBERTS

MR CORTAZZI

MR MALE

MR THOMSON

COPIES TO:

MR ANDREW AUS MOD MR WEIR DS6 MOD

MR JE HANSFORD TREASURY MR BRYERS CABINET OFFICE MR PC AGGLETON PSA DOE

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