CONFIDENTIAL
CONFIDENTIAL
FM HONG KONG
TO PRIORITY FCO
TELNO 2524
OF 190358Z OCTOBER 92
INFO ROUTINE PEKING, UKREP JLG HONG KONG
3
147076
MDLIAN 9095
TOP COPY Q DIST ?
R+R
HKB 192/1
192/1 ( folio 3
OUR TELNO 2668 OF 27 AUGUST 1991 AND YRTELNO 13: ASIASAT: PROPOSALS TO APPOINT BRITISH NATIONAL SPACE CENTRE (BNSC) AS CONSULTANT FOR LICENSING OF ASIASAT 2
1. WE HAVE CONSIDERED FURTHER OPTIONS FOR LICENSING HONG KONG BASED SATELLITE OPERATIONS IN THE LIGHT OF THE BNSC'S RELUCTANCE TO TAKE UP THE ROLE OF CONSULTANT TO OUR TELECOMMUNICATIONS AUTHORITY IN THIS REGARD: WE NOW WISH TO EXPLORE THE POSSIBILITY OF ENGAGING CONSULTANTS FROM ELSEWHERE.
2. THE STICKING POINT IS THAT WE HAVE PREVIOUSLY ACCEPTED THAT THERE SHOULD BE 'FULL AND EARLY' CONSULTATION WITH THE BNSC PRIOR TO LICENSING (LETTER TO HKG FROM BNSC OF 30 MARCH 1990, WHICH WILL FOLLOW BY BAG, REFERS). THIS WAS CHIEFLY TO SAFEGUARD HMG'S POSITION WITH REGARD TO ITS INTERNATIONAL OBLIGATIONS. IT DOES HOWEVER IN OUR VIEW OPEN THE DOOR TO AN UNDESIRABLE DEGREE OF CHINESE INVOLVEMENT IN HONG KONG SATELLITE LICENSING POST-1997.
3. HAVING GIVEN THIS FURTHER THOUGHT WE WISH TO PROPOSE FOR YOUR AND BNSC'S CONSIDERATION AN ARRANGEMENT WHEREBY HKG WOULD INDEMNIFY HMG AGAINST LIABILITIES WHICH MIGHT ARISE FROM THE LAUNCH OR OPERATION OF SATELLITES BY BODIES INCORPORATED UNDER HONG KONG LAW, WHILST THE BNSC RELINQUISHED ANYTHING OTHER THAN A FORMAL ROLE IN THE LICENSING PROCESS. WE IN TURN, WITH THE AID OF OUR CONSULTANTS, WOULD ENSURE THAT HKG WAS ADEQUATELY COVERED BY INSURANCE ARRANGEMENTS MADE BY LOCALLY REGISTERED SATELLITE OPERATORS. (WE ACCEPT THAT WE WOULD NEED TO CONTINUE TO LIAISE WITH THE BNSC AND DTI ON CERTAIN TECHNICAL ASPECTS OF SATELLITE OPERATION, FOR EXAMPLE IN ARRANGING REGISTRATION WITH THE INTERNATIONAL FREQUENCY REGISTRATION BOARD.) THE AIM WOULD BE TO CONCLUDE A SIMILAR ARRANGEMENT WITH CHINA POST-1997..
4. OUR INTERNATIONAL LAW EXPERTS ADVISE THAT ARRANGEMENTS ALREADY EXIST BETWEEN HKG AND HMG WHICH WOULD ALLOW FOR HKG, SUBJECT TO NEGOTIATION, TO INDEMNIFY HMG AGAINST LIABILITIES WHICH MIGHT ARISE FROM LOCALLY LICENSED SATELLITE OPERATIONS. THIS IS
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