TNAG-2264-FCO40-3261-Hong-Kong-Port-and-Airport-Development-Strategy-(PADS)-gener-1991 — Page 4

FCO40 Hong Kong Department Records 聯邦事務部香港部檔案 All

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5. On a separate issue we discussed airport charges. Mr Wilson gave me a copy of draft paper they had just sent to the Transport Department in the UK on increasing charges at Kai Tak so that the level would be "appropriate" by 1997 for the new airport. This will involve increasing charges by a factor of three, which will clearly not go down to well with the airlines.

6.

On the question of air traffic control, he agreed that this was something that had to be sorted out with the Chinese. He said however that it was possible to operate Chek Lap Kok airport without Chinese support. It would only become impossible to operate it as demand built up in the 21st Century, IE short of an air blockade, the Chinese in fact could not stop Chek Lap Kok operating, although it might be difficult.

7.

As regards the meeting with the Provisional Airport Authority, I was given the attached business plan The cost of the airport is more than the HK$43.8 million previously set out. This is because financing charges involved in building the airport were not included. These mount to HK$4.7 billion.

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M V Stone

20 November 1991

cc: Mr Furness

CODE 18-77

ALKABH

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