Just to try to provide some clarification, in clause 2 the first sentence discusses how the flag should be not only be proudly displayed but displayed in accordance to protocol. There is concern among some people across the country—and I've heard complaints—about how the flag is sometimes displayed. People could choose to display it upside down. They could choose to display a flag that had holes in it or was ripped. I think the flag protocol takes care of some of that.
We're not just encouraging people to proudly fly the flag; we're also encouraging them to fly the flag according to a protocol. This would clarify the situation if I put a flag up that had holes all through it but felt that I was just displaying a flag and showing pride in the country; other people might criticize that, so this clears it up a bit. As a government, we're encouraging the flag to be flown not only for pride but in accordance with the flag protocol.
I think that might clear up a bit of the concern about the first sentence.