CONFIDENTIAL
4. He said that Chen had Laia great stress on consulting the Hong Kong people directly and through the Airport Consultative Committee. He thought, although he could not be sure, that one Chinese would want this process to take place betore any forma i meeting of the Airport Committee. I pointed out this was che exact converse of the line the Chinese had been taking in respect of constitutional development.
PAA Funding
5.
When
Fung said that he would not be supporting the HKG's application for interim funding for the PAÀ. Nor he thought would Meeting Point. The reason for this was that he was sticking to his principle that there should be no further funding in advance of an overall financial settlement with China. pointed out that this ran the risk of forcing the closure of the PAA and incurring delay and extra expense, he responded cheerfully that there was no risk of that, given that UDHK and the Liberals would be voting in support of the funding
application. A classic example of the "expediency and intact conscience" syndrome.
Constitutional Development
6.
LU
He had nothing much to say on constitutional development and was notably uninterested in the detail. He said Lu Ping had expressed reservations to the "single seat, single vote" system and to "one man, one vote" for the functional constituencies. Ping had apparently also agreed that the negotiations would have to be made public at some stage. Lu Ping had told him that they were willing to consider channels whereby the people of Hong Kong could be consulted about constitutional development while the Sino-British talks were taking place. This could be done through the District Boards if necessary. Another idea they had was that Hong Kong Advisors could consult Hong Kong people in an individual capacity.
7. I pointed out that all this would take a considerable time. It suggested that the Chinese were not interested in an early resolution to the talks. But an early resolution was essential, since the legislation would need to be passed by the end of the
summer.
8.
Fung looked uncomfortable. He agreed that it was implicit in the Chinese position that the negotiations would be protracted. He said he personally would be prepared to see the legislation delayed until the autumn. Nevertheless, he was encouraged by the Chinese readiness to seek channels to consult Hong Kong people a point to which he attached great importance.
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