TNAG-0565-FCO40-660-Construction-of-an-underground-railway-system-in-Hong-Kong-1975 — Page 40

EXTRACT OF Governoré SPEECH IN LOGICO:

WEDNESDAL,

CUIUBER 8, 1972

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HKK 2114

MTR WILL BRING IMMEDIATE BENEFITS, SAYS GOVERNOR

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THE GOVERNOR, SIR MURRAY MACLEHOSE TODAY STRESSED THAT THE MASS TRANSIT RAILWAY WILL BRING SOME IMMEDIATE BENEFITS TO HONG KONG IN ADDITION TO A VERY BADLY NEEDED UNDERGROUND TRANSPORT SYSTEM SERVING THE MOST DENSELY POPULATED PARTS OF HONG KONG --- OP FOR THAT MATTER OF THE WORLD.

HE SAID THIS IN HIS REVIEW OF THE YEAR AT THE LEGISLATIVE COUNCIL.

THE PROJECT, HE SAID, WOULD CERTAINLY STIMULATE INTERNATIONAL INTEREST IN HONG KONG AND ENHANCE ITS REPUTATION, BESIDES PROVIDING DIRECT EMPLOYMENT FOR AT LEAST 4,500 PEOPLE AND INDIRECTLY FOR MANY MORE AT COMMENCEMENT OF CONSTRUCTION.

SIR MURRAY SAID IT WAS IRONIC THAT THE IMMEDIATE EFFECT OF THE CONSTRUCTION OF THIS TRANSPORT FACILITY WILL DE SUBSTANTIAL DISRUPTION OF OUR COMMUNICATIONS AND MUCH INCONVENIENCE.

+THIS IS A SHORT-TERM PRICE WHICH WE CANNOT AVOID PAYING FOR AN EVENTUALLY GREATLY IMPROVED TRANSPORT SYSTEM,+ HE ADDED.

THE GOVERNOR GAVE ASSURANCE THAT THE GOVERNMENT WOULD NOT UNDERTAKE THE MASS TRANSIT RAILWAY PROJECT WITHOUT BEING SATISFIED THAT IT COULD BE PAID FOR WITHOUT ANY CHARGE TO GENERAL REVENUE EXCEPT THE $800 MILLION OF EQUITY ALREADY VOTED BY THE LEGISLATIVE COUNCIL.

HE STRESSED THAT THERE IS NO COMPETITION OR CONFLICT DETWEEN THIS PROJECT AND OUR SOCIAL PROGRAMMES.

THE GOVERNOR EXPLAINED: +THE GREATER PART OF THE MONEY FOR THE RAILWAY WILL DE BORROWED AND IT WILL DE REPAID FROM THE FARES AND OTHER REVENUE WHICH THE RAILWAY ITSELF WILL GENERATE.

+ALTHOUGH SOME OF OUR OTHER PROGRAMMES, SUCH AS IMPROVEMENTS TO THE KOWLOON CANTON RAILWAY OR THE AIRPORT OR THE ABERDEEN TUNNEL, MAY DE SIMILARLY SELF-LIQUIDATING, THE MAJORITY OF THEM ARE NOT, THE GOVERNOR SAID, NECESSARY AS OUR SOCIAL PROGRAMMES ARE FOR THE FUTURE WELL-BEING OF THE COMMUNITY, THEY WILL NEED TO BE PAID FOR FROM GENERAL REVENUE OR LOAN FINANCE TO BE SERVICED OUT OF GENERAL REVENUE.

+THUS THE SOCIAL PROGRAMMES ARE A CHARGE ON THE REVENUE, WHILE THE RAILWAY IS NOT, AND IT IS ONLY DECAUSE IT IS NOT THAT HONG KONG IS ABLE TO CONTEMPLATE SUCH A COMMITMENT.+

THE GOVERNOR SAID THAT HONG KONG IS NOW ALMOST READY TO LET THE FIRST CONTRACTS FOR THE RAILWAY AND COMMENCE CONSTRUCTION.

+ALL THAT REMAINS IS FOR THE FINAL DETAILS OF THE FINANCIAL ARRANGEMENTS TO BE TIED TOGETHER AND FOR A MOTION TO BE INTRODUCED INTO THIS COUNCIL TO AUTHORISE THE GOVERNMENT TO PROVIDE GUARANTEES FOR THE MONEY TO BE DORROWED,+ HE ADDED.

OCT 1975

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