TNAG-2255-FCO40-3239-Hong-Kong-Port-and-Airport-Development-Strategy-(PADS)-gene-1991 — Page 69

A

Background

CONFIDENTIAL

Redacted under FOI exemption section 27 (1)

40

5. The Governor concludes, with justification, that

we face the prospect

of having to abandon the airport project. That would be bad for Hong Kong. But it would also be, I believe, a setback

for China. Most of the evidence suggests that the Chinese

want the airport to be built and that their present stance

is not simply a wrecking tactic.

B 6. In Hong Kong telno 581, the Governor sketches out

alternative ideas which could form the basis of an

agreement. These counter proposals would still constitute a

fundamental departure from present practice and could be

presented to the Chinese as significant concessions. I

believe that they constitute a reasonable and realistic negotiating position.

C

7. The Governor has suggested that a message from him (text in Hong Kong telno 582) be sent to Lu Ping, with Ministers' approval

VIMACT/2

CONFIDENTIAL