TNAG-2413-FCO40-3515-Hong-Kong-Port-and-Airport-Development-Strategy-(PADS)-fina-1992 — Page 122

CONFIDENTIAL #

Projects with private sector participation -

(i) Chek Lap Kok Airport - The July 1991 estimate of $43.6 billion represented the cost of the

whole airport, net of about $1.2 billion of revenue from real estate development receivable

prior to the airport opening. The total capital cost estimate then was $44.8 billion. The current

estimate of $46.3 billion is therefore $1.5 billion higher, mainly as a result of a more accurate

1.

estimation of costs which has become possible since July 1991. With the finalisation of the

Airport Master Plan and resolution of major master planning and engineering issues such as

the location of the passenger terminal and related infrastructure, and the availability of fill

resources and mud disposal areas for the site preparation works, the present more reliable

estimate can be developed.

(ii) Western Harbour Crossing - The increase of $0.25 billion is due to the inclusion as part

of the Crossing project of the construction of the part of the connecting road network at the

Hong Kong exit which is vital for its operation.

(iii) Airport Railway (AR) - The original estimate of $12.5 billion in July 1991 did not include

the value of construction costs for AR-related civil works on Chek Lap Kok, North Lantau, and

the Lantau Fixed Crossing, the costs of which were included in the respective ACP project

costs. It also excluded land acquisition and design, construction supervision and management

costs. The total cost of these excluded items is $5.7 billion. The cost of the AR has risen by

$3.9 billion since July 1991, from $18.2 billion to $22.1 billion. The increase is mainly due

to the need to modify the existing mass transit railway tracks at Lai King Station to provide

a cross-platform interchange with Lantau line trains, the redesigning of the future AR station

at Tsing Yi to avoid intrusion on an adjacent recreational development, the change in the AR

depot location from a valuable development site in Tung Chung to Tai Ho, the provision of

deeper foundations for buildings and tunnels on reclaimed land, and the corresponding increase

in design and supervision costs and contingencies. The net increase in scope, offset by savings

achieved by phasing, is estimated at $3.9 billion.

CONFIDENTIAL

機密