TNAG-2141-FCO40-3060-Hong-Kong-Port-and-Airport-Development-Strategy-(PADS)-1990 — Page 84

FAX DOCUMENT

Pa

PAOS Ale.

FAX NO.

TO:

LOT 1904

PHILIP BRUCE, PADS UNIT WORKS BRANCH, MURRAY BLDG

FROM:

COMMISSIONER, LONDON

DATE:

20 JUNE, 1990

HKC 182 iz

ECEIVE

OL 1990

JES

* DEA

THE COST OF PADS

W

A City contact has recently suggested to 'me that we should, in our initial publicity about PADS, have played down the overall the various cost (Dollars 127 b) but played up the cost of

components.

2.

It has also been suggested to us that our costings (overall and by component) are likely to be somewhat optimistic.

3.

I should therefore be grateful to learn:

(i)

whether you have any direction to us for dealing with the first criticism, i.e. should we now not use the global figure of Dollars 127b but instead use, as and when appropriate, estimates for components?; and

(ii) on what basis the estimate of Dollars 127b was made

and by whom (i.e. which consultants)? Are we still satisfied with the estimate and do we have a line to take with those who claim that the project is underestimated, i.e. how do we refute claims that we have got our figures wrong?

(John Yaxley)

COMMISSIONER

69