TNAG-0857-FCO40-1067-Legislation-for-piers-and-harbours-in-Hong-Kong-1979 — Page 15

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RESTRICTED

(i)

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XCR(79)175

Vehicular access to be allowed only

between points X and Y through Z on the plan.

* Note The premium of $12 million was assessed in accordance with the policy set out in paragraph 5 of memorandum XCR (77)192, a copy of which is annexed as Annex C. A gasholder is a good example of a public utility which requires a low coverage and for which the utility company would have con- siderable difficulty in paying the market value for full development. In fact in this case the site had pre- viously been offered to the company at a full market premium for full coverage under the previous policy for land grants to public utility companies, and the company had protested its difficulty in paying. The grant has been delayed pending the gazetting of the reclamation under the Foreshores and Sea Bed Ordinance.

Q.S. 84

4

Work on the Aberdeen site will commence with the laying of foundations once possession of the site is given and the existing gasholder at Kennedy Town will be dismantled immediately the new gasholder is commissioned. The company has indicated that recla- mation, piling and foundations will take about 15 months followed by another 12 months for construction of the gasholder. It is, therefore, hoped that the Kennedy Town gasholder can be withdrawn from service and dismantled within three years, although some revision of this timetable may be necessary. The Director of Fire Services is of the view that there is no undue concern from the fire safety point of view over the Kennedy Town gasholder. For this reason, it is not proposed to tie the company down to a formal date for removal of the existing gasholder since, for economic and financial reasons, it is clearly in the company's interests to do this as soon as possible.

The Kennedy Town Site

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Inland Lot No 8450 formerly known as Inland Lot No 4098 was originally sold together with another adjoining lot Inland Lot No 4097 under "Particulars and Conditions of Sale by Private Contract by Order of His Excellency the Governor" in January 1935. According to the Secretariat file the company was originally offered a choice of sale by:

(a)

(b)

Private treaty in which case the lot would be restricted for the purposes of the utility; or

Public auction, in which case there would be no restrictions.

RESTRICTED

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