Author: MIL-OSI Publisher

Government announces short-term targeted measures to address rising fuel prices       
     In view of the outbreak of the conflict in the Middle East region, the Chief Executive has earlier directed the establishment of the Task Force to monitor and assess geopolitical changes and fuel supply and prices, to ensure the stability of Hong Kong’s energy supply, and to examine the impact of oil price fluctuations on various industries. The Task Force is led by the Financial Secretary, and its members include the Deputy Financial Secretary, the Secretary for Financial Services and the Treasury, the Secretary for Environment and Ecology, the Secretary for Commerce and Economic Development, the Secretary for Transport and Logistics, the Government Economist, and the Chairman of the Competition Commission.
      
     The Acting Financial Secretary, Mr Michael Wong, briefed the Chief Executive at the meeting on the local fuel supply situation and the trend movements of international energy price, as well as the measures already taken by the HKSAR Government. The key points of the briefing and related measures are as follows:
      
(1) Ensure a robust energy supply. Currently, around 80 per cent of Hong Kong’s oil products come from the Chinese Mainland. The HKSAR Government has maintained close communication with the Central Government and various Mainland authorities to ensure that Hong Kong’s energy supply remains stable with the country’s support.
      
(2) Request local stakeholders to maintain a stable fuel supply. The Environment and Ecology Bureau (EEB) has met with major local auto-fuel suppliers, requesting them to maintain a stable auto-fuel supply in Hong Kong. All suppliers indicated that the auto-fuel supply in Hong Kong is currently normal and that they will continue to strive to maintain a stable supply. The EEB has also confirmed with the two power companies and the Hong Kong and China Gas Company Limited that the fuel supplies for electricity and town gas production remains normal.
      
(3) Facilitate the public to monitor changes of local retail auto-fuel prices. Starting from April 1, the EEB releases, on a weekly basis, the trend movements of the seven-day moving average retail prices, after walk-in discounts, of unleaded petrol and diesel from local oil companies, together with the trends in international benchmark prices of refined oil products for the same period, to enhance the transparency of market and price. The Competition Commission has also met with the fuel companies, emphasising the importance of fair competition and information transparency. The Competition Commission will continue to closely monitor the market for any instances of price collusion or unfair competition to ensure fair market operations.
      
(4) Continue to closely monitor the international situation and energy price trends. The situation in the Middle East has driven up international oil prices. The price of crude oil at one point surged to nearly US$120 per barrel. As the situation has developed further this week, crude oil prices have shown a gradual decline. However, the price of refined oil remained high, and the market is closely monitoring the latest developments in the Middle East.
      
     The Task Force recommended that in formulating support measures, the Government shall have regard to the following principles:

(1) Given that fluctuations in crude oil prices have a broad impact across society and considering the Government’s fiscal constraints, priority should be given to the operational sectors that are most severely affected and that involve public services;      
     As the short-term trajectory of oil prices remains uncertain, the Task Force, after considering the above principles and prudently balancing various factors, including the Government’s fiscal position and the principle of prudent use of public funds, recommends implementing four targeted temporary measures. They are:
      
(1) Subsidising diesel prices to alleviate the impact of high oil prices on public services provided by relevant industries. Although international crude oil prices have slightly receded recently, the pump prices of motor vehicle diesel remains high, and the future price movements is highly uncertain. This has placed an additional burden on commercial vehicles (including trucks, franchised and non-franchised buses, and minibuses) and vessels (including ferries, passenger ships, work boats and fishing vessels) that mainly run on diesel, exerting a substantial impact on the economy and people’s livelihood. Therefore, the Task Force has proposed a two-month subsidy of HK$3 per litre of diesel to support public and commercial vehicles and vessels and related industries that use diesel as fuel, with a view to reducing their operating costs and alleviating pressure to raise prices. The relevant subsidy measures is estimated to cost approximately HK$1.8 billion. The EEB will work with the Competition Commission to monitor the pricing practices of each fuel company to ensure that they do not take advantage of the occasion.
      
     As for the majority of taxis and public light buses, they primarily use liquefied petroleum gas (LPG) as fuel, the price of which currently remains stable. The Task Force will continue to monitor price movements and consider the matter further where appropriate.
      
(2) Tunnel toll reduction for non-private cars. The government will reduce tunnel tolls by 50 per cent for all commercial vehicles (including goods vehicles, buses, minibuses, and taxis) using government-operated toll tunnels, excluding private cars and motorcycles. The measure will last for two months and is expected to result in a revenue reduction of approximately HK$160 million. The government will work with toll service providers to adjust the toll collection systems in order to implement the reduction as soon as possible.
      
(3) Establishing a Working Group on Public Transport Service Special Applications to expedite and assist public transport operators (including public buses and ferries) in their applications relating to responding flexibly to rising fuel costs
      
     The Task Force recommends establishing a Working Group on Public Transport Service Special Applications under its purview. The Working Group will maintain communication with public transport service operators. Taking into account the overall operating environment, operators’ costs, and public affordability, while maintaining the stability and normal operations of public transport services, the Working Group will assist in expediting the approval of relevant applications submitted by public transport operators in response to rising fuel costs. This includes considering ways to enhance overall operational efficiency through service integration and introducing energy-saving measures. The Working Group will be chaired by the Secretary for Transport and Logistics, with the Secretary for Environment and Ecology as deputy chair. Members include the Commissioner for Transport and the Government Economist.
      
(4) Dynamically monitoring the evolving situation and changes in oil prices, and adjusting measures according to actual circumstances
      
     The impact of the situation in the Middle East on Hong Kong’s overall economy largely depends on whether the military conflict continues, expands, or escalates. The Task Force will continue to conduct dynamic assessments, co-ordinate bureaux and departments to prepare contingency plans, and formulate forward-looking strategies. The Task Force will also study different measures to alleviate the impact of rising oil prices.
      
     The Chief Executive has accepted the four recommendations of the Task Force and has instructed the Task Force to implement the measures as soon as possible, while continuing to monitor developments and the latest situation.
      
     The relevant subsidy measure requires the funding approval by the Finance Committee of the Legislative Council (LegCo). The Government will liaise with the LegCo with a view to scheduling a meeting under the Finance Committee as soon as possible so as to facilitate the early implementation of the concerned measure.
Issued at HKT 22:20

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Brussels ETO promotes Hong Kong cinema at Brussels International Fantastic Film Festival in Belgium       
     Addressing guests at a networking reception hosted by the Brussels ETO on April 7, the Special Representative for Hong Kong Economic and Trade Affairs to the European Union, Ms Shirley Yung, expressed appreciation for BIFFF’s long-standing collaboration with Hong Kong and reaffirmed Hong Kong’s commitment to bringing more high-quality Hong Kong films to European audiences.

     Ms Yung noted that the two selected films are a strong testament to the distinctive creativity and enduring appeal of Hong Kong cinema, reflecting compelling narratives that transcend eras and highlighting Hong Kong’s role as a bridge between cultures. Ms Yung shared that Hong Kong is home to one of the largest and most dynamic film industries in the world. Government-backed initiatives, such as the Film Development Fund and the Hong Kong International Film and TV Market, not only promote cultural exchanges but also create new opportunities for international collaboration.
      
     Beyond the film industry, Ms Yung highlighted Hong Kong’s rich cultural offerings, adding that Hong Kong films are a powerful reflection of the city’s dynamic and diverse culture. She invited guests to visit Hong Kong and experience its seamless blend of history, creativity and modernity firsthand.
      
     BIFFF is one of the most important fantastic film festivals in Europe. This year, more than 100 films from the fantasy, horror, thriller and science-fiction genres are being showcased. 
Issued at HKT 21:27

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LegCo Members visit Hong Kong Park in the Loop in Northern Metropolis  
     The President of Legislative Council (LegCo), Dr Starry Lee, as well as members of the Panel on Commerce, Industry, Innovation and Technology and other LegCo Members conducted a second visit to the Northern Metropolis (NM) today (April 9) to grasp the first-hand information on the latest development of the Hong Kong Park of the Hetao Shenzhen-Hong Kong Science and Technology Innovation Co-operation Zone (Hong Kong Park in the Loop).
 
     Accompanied by the Secretary for Innovation, Technology and Industry, Professor Sun Dong, and the Permanent Secretary for Innovation, Technology and Industry and Chairperson of the Hong Kong-Shenzhen Innovation and Technology Park Limited (HSITP), Mr Kevin Choi, Members first received a briefing from the Chief Executive Officer of the HSITP, Mr Vincent Ma, on the Park’s overall planning, industrial layout and progress in attracting enterprises and investment.
 
     Members then visited the Incubation Centre in Building 8 of the Park to learn about the shared workspaces and offices provided for start-ups. Members overlooked the layout of the Hong Kong and Shenzhen Parks within the Loop from the Incubation Centre. They also exchanged views with representatives from several technology enterprises stationed in the Park, whose businesses span life and health technology as well as artificial intelligence, to gain a better understanding of their development in the Park. Together with Building 9, the two wet-laboratory buildings in the Park, offering about 32 000 square metres of floor area for the research and development in the biological and chemical fields, have seen nearly 80 local, Mainland and overseas organisations and enterprises moved in since their completion last year. The occupancy rate is nearly 90%.
 
     Members also visited the talent accommodation building and toured the units and facilities. Members noted that the comprehensive amenities in the talent accommodation building would help attract global talents to pursue development in the Loop. Meanwhile, Members visited the CLP Power substation in the Lok Ma Chau Loop and received a briefing from CLP Power representatives on the planning of power infrastructure for the Loop area. Members noted that the substations in the NM currently are sufficient to meet the stable electricity demand of the Hong Kong Park in the Loop for the next decade.
 
     During the visit, Members noted that one of the development goals of the Hong Kong Park in the Loop is to facilitate the cross-boundary flows of innovation elements, including the flow of people, materials, data and capital. Members and the Government exchanged views on how to facilitate the cross-boundary flow of personnel through the introduction of dedicated legislation for the NM.
 
     LegCo Panel on Commerce, Industry, Innovation and Technology will discuss issues of the Park and related financial proposals with the Government later this month, in order to further expedite the development of the Park.
 
     A total of 53 LegCo Members attended the visit. In addition to members of the Panel on Commerce, Industry, Innovation and Technology, other non-members also attended.
Issued at HKT 18:56

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