Redacted
under FOI exemption 27(1)
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SECRET
SECRET
FM HONG KONG
TO PRIORITY FCO
TELNO 2370
OF 14113OZ JULY 89
c062/1
HKC 062
7
--་
INFO PRIORITY PEKING, UKREP JLG HONG KONG
(178)
124006 MOLIAN 6454
DEFENCE AND PUBLIC ORDER : CENTRAL-WANCHAI RECLAMATION
WE NEED TO START THINKING AHEAD ON HOW TO HANDLE THE QUESTION OF THE CENTRAL-WANCHAI RECLAMATION
2. THE PRESENT POSITION IS THAT THE CONSULTANTS FINAL REPORT ON THE RECLAMATION WILL FORMALLY BE SUBMITTED IN AUGUST. (WE HAD SLOWED THE PROCESS IN THE HOPE OF BEING ABLE TO RESOLVE THE DEFENCE LANDS ISSUE WITH THE CHINESE.) IN SEPTEMBER THE LAND DEVELOPMENT POLICY COMMITTEE (LDPC) WILL CONSIDER ITS RECOMMENDATIONS. THERE IS NOT LIKELY TO BE ANY ECONOMIC OR DEVELOPMENTAL ARGUMENT AGAINST GOING AHEAD. THE FEASIBILITY AND SIGNIFICANCE OF THE RECLAMATION PROJECT FOR OVERALL DEVELOPMENT PLANS ARE WELL ESTABLISHED. THE QUESTION THAT LDPC WILL BE ADDRESSING IS THAT OF ITS PRIORITY RELATIVE TO CERTAIN OTHER MAJOR WORKS. LDPC WILL RECOMMEND WHETHER A START IS MADE ON THE RECLAMATION IN 1990 OR WITHIN ONE OR TWO YEARS THEREAFTER.
3.
APART FROM ECONOMIC AND PLANNING CONSIDERATIONS THERE ARE ALSO POLITICAL FACTORS TO TAKE INTO ACCOUNT IN ANY DECISION ON THE RECLAMATION. EXCO HAS BEEN PUSHING STRONGLY FOR AN EARLY START ON THE PROJECT AS A SIGN OF COMMITMENT TO BUSINESS DEVELOPMENT. FURTHER DELAY WOULD BE HARMFUL IN SENDING THE WRONG PUBLIC MESSAGE AT A TIME WHEN WE WILL BE WORKING HARD TO RESTORE PUBLIC CONFIDENCE IN THE FUTURE.
4. I AM PLANNING, IN MY ADDRESS TO LEGCO ON 11 OCTOBER, TO MAKE A MAJOR STATEMENT ON OUR GENERAL FUTURE DEVELOPMENT STRATEGY. WHILE THIS WILL CENTRE ON THE AIRPORT, IT WOULD MAKE SENSE TO ANNOUNCE OUR INTENTION TO PROCEED WITH THE CENTRAL-WANCHAI RECLAMATION PROJECT AS WELL. WHILE NO DIRECT REFERENCE TO THE FUTURE OF THE NAVAL BASIN OR THE PRINCE OF WASLES BUILDING WILL BE NECESSARY IN MY SPEECH, WE SHOULD NEED TO ANSWER QUESTIONS ON THIS STRAIGHT
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