LCQ6: Handling of yard waste

Source: Hong Kong Government special administrative region – 4

     Following is a question by the Hon Dennis Leung and a reply by the Secretary for Environment and Ecology, Mr Tse Chin-wan, in the Legislative Council today (July 2):
 
Question:
 
     It is learnt that the yard waste recycling centre Y·PARK mainly receives yard waste such as tree trunks that are six metres long or below, as well as branches, twigs and leaves. Regarding the handling of yard waste, will the Government inform this Council:
 
(1) as some members of the public have relayed that uncollected yard waste is often seen on streets and in parks, whether the Government has formulated guidelines requiring the Leisure and Cultural Services Department (LCSD), the Food and Environmental Hygiene Department (FEHD) and their outsourced contractors to first sort the collected yard waste and send the yard waste that can be processed by Y·PARK to the collection point of the Environmental Protection Department; if not, of the reasons for that;
 
(2) according to the existing procedures, how the LCSD, FEHD and their outsourced contractors handle yard waste that cannot be processed by Y·PARK; of the approximate tonnage of such yard waste in each year since 2019; and
 
(3) given that Y·PARK has imposed a number of restrictions on the recovery of yard waste, and it is learnt that some companies in the Mainland and the United States adopt anaerobic digestion technology to convert yard waste into biogas for electricity generation, whether the Government will consider adopting such technology to process yard waste, so as to enhance recycling and conversion of waste into energy; if not, of the reasons for that?
 
Reply:
 
President,

     The super typhoon Mangkhut that hit Hong Kong in 2018 caused severe damage, uprooting numerous trees, many of which were large trees that could be suitable for timber production. In 2021, the Environmental Protection Department (EPD) set up the temporary yard waste recycling centre, Y·PARK, in accordance with the Waste Blueprint for Hong Kong 2035, to collect and process yard waste generated from regular vegetation maintenance and public works projects, and to assist in treating large quantities of yard waste generated shortly after typhoons when needed.
 
     Yard waste includes grass, leaves, shrubs, twigs and woody tree trunks. Some of them may be affected by pests or diseases. Y·PARK mainly collects and sorts out the high quality and suitable portion of yard waste for recycling into recyclable products of relatively higher values so as to achieve both converting waste to resources and enhancing cost-effectiveness.
 
     The current Y·PARK is temporary in nature. In future, the Government reserves land in the New Territories North New Town to develop a larger-scale yard waste recycling facility to enhance yard waste handling capacity. 
 
     Having consulted the Food and Environmental Hygiene Department (FEHD) and the Leisure and Cultural Services Department (LCSD), our consolidated reply to the question raised by the Hon Dennis Leung is as follows:
 
(1) The Government has established guidelines to drive various government departments, including the FEHD and the LCSD, adhering to the principles of reduce, reuse, and recycle, to shred and reuse yard waste as much for gardening on-site as far as possible, while yard waste that cannot be treated or reused on-site could be delivered to suitable recycling facilities for treatment. The EPD has also continuously liaised with government departments, providing relevant guidelines to promote the proper sorting of recyclable yard waste at source and its delivery to Y·PARK for processing. In 2024, the quantity of yard waste disposed of at landfills was about 230 tonnes per day, accounting for about 2 per cent of the municipal solid waste (MSW) disposal of at landfills.
 
(2) Not all yard waste is suitable for delivering to Y·PARK for processing. According to prevailing handling procedures, when the FEHD, the LCSD and their contractors encounter yard waste unsuitable for recycling, such as yard waste infected by bacteria, infested with pests, or containing large amount of impurities, while providing street cleansing or park management services, such yard waste will be sent directly or via refuse transfer stations to landfills for disposal. From 2019 to April 2025, the LCSD transported an average of about seven tonnes of yard waste unsuitable for recycling to landfills per day, whilst the FEHD does not maintain relevant data.
 
(3) The Government is developing two main types of waste-to-energy facilities currently. The first type of facilities is the Organic Resources Recovery Centre (O·PARK), adopting anaerobic digestion technology to process food waste. The second type of facilities adopts modern incineration technology to treat waste, such as T·PARK which incinerates sludge to generate electricity, and the Integrated Waste Management Facilities Phase I (I·PARK1) under construction which will incinerate MSW to generate electricity.
 
     The O·PARKs are designed to treat food waste which contains proteins, sugars, fats and high water content. These substances decompose more easily during anaerobic digestion process, and produce more biogas, resulting in a higher energy conversion efficiency for electricity generation. Under feasible technical conditions, we also make the best use of the existing waste management facilities to test out the treatment of other waste. For instance, while O·PARK2 is mainly for treating food waste, we conducted trials for treating pig waste by anaerobic digestion since its commissioning in March 2024. Following the successful trials, we have fully replaced the previous practice of disposing pig waste at landfills with anaerobic digestion technology since July 2024, which significantly reduced the potential odour issues associated with disposal of pig waste at landfills.
 
     However, there are significant differences between yard waste and food waste. It requires different treatment methods for yard waste. Yard waste comprises woody waste, such as tree trunks and branches, as well as non-woody waste, such as leaves and grass.  Tree trunks and branches are high in wood fiber content and low in moisture content, so they are not easily decomposed by anaerobic digestion. If treating the yard waste by co-digestion by anaerobic digestion technology in O.PARKs, it would not only occupy substantial space in the digestion tanks but would also significantly reduce food waste processing capacity and efficiency. In addition, as woody waste is hard and bulky, it is more difficult to be crushed into pieces as compared with food waste, such that additional energy and water will be required to turn the woody waste into slurry for further treatment. The installation of necessary pre-treatment facilities in O·PARKs and modifications to the existing operation mode will incur a substantial amount of cost but result in low energy efficiency. According to the understanding of the EPD, there are few examples of utilising anaerobic digestion technology to process woody waste in the Mainland or overseas. Even for such cases, they mainly involve processing small amount of non-woody yard waste such as grass and leaves.
 
     Non-woody garden waste such as grass and leaves can be processed through anaerobic digestion technically, but the process would be less efficient than treating food waste. Considering that such waste contains a certain calorific value and is often mixed with other MSW during collection, treating yard waste by incineration can reduce the need for additional space, processing, and costs associated with sorting yard waste from mixed waste while achieving the same outcome of turning waste into energy. The Government is working full steam on developing two modern large-scale incineration facilities, namely I·PARK1 and I·PARK2. These facilities will handle up to 9 000 tonnes of MSW per day in total in the future, converting waste into electricity. I·PARK1 is expected to commence operation by the end of this year and can assist in handling yard waste.

     Thank you, President.

LCQ16: Improving English information channels

Source: Hong Kong Government special administrative region – 4

     Following is a question by Dr the Hon Starry Lee and a written reply by the Acting Secretary for Commerce and Economic Development, Dr Bernard Chan, in the Legislative Council today (July 2):
 
Question:
 
     The Third Plenary Session of the 20th Central Committee of the Communist Party of China (CPC Central Committee) has adopted the Resolution of the CPC Central Committee on Further Deepening Reform Comprehensively to Advance Chinese Modernization, in which it is pointed out that Hong Kong needs to further capitalise on its strengths and become an international hub for high-calibre talents. There are views that attracting international talents requires efforts on various fronts, among which, the creation of an international living environment and the setting up of well-established English information channels for demonstration of Hong Kong’s cultural diversity, openness and inclusiveness are particularly important. In this connection, will the Government inform this Council:
 
(1) whether it has compiled statistics on the percentage of broadcast time in foreign languages out of the total broadcast time in respect of the public broadcasting services in Hong Kong at present, and how the relevant time and percentage compare with those in other international metropolises;
 
(2) of the specific policies and whether resources have been allocated to encourage local television and sound broadcasters to produce more quality English-language programmes, especially those with contents showcasing the business environment, cultural characteristics, lifestyle, etc, in Hong Kong;
 
(3) whether it has evaluated the effectiveness of the existing English media contents in attracting and retaining international talents; whether it has conducted relevant surveys to understand the information needs of international talents;
 
(4) whether it will consider setting up an additional 24-hour English channel on Radio Television Hong Kong and producing more English programmes to present a soft and down-to-earth introduction of the policies and development opportunities in Hong Kong, so as to enable international talents and inbound tourists to obtain local information more conveniently; if so, of the details; if not, the reasons for that;
 
(5) of the Government’s plans to enhance Hong Kong’s international image and visibility by arranging additional media coverage in English, given that the 15th National Games and other international events are about to take place; and
 
(6) apart from traditional television broadcasters, whether it has plans to make use of emerging publicity channels, such as digital platforms and social media, to produce more information contents about Hong Kong in English, so as to strengthen Hong Kong’s international communication capability, thereby creating a more attractive international living environment; if so, of the details; if not, the reasons for that?
 
Reply:
 
President,
 
     The HKSAR Government has been striving to showcase the unique characteristics of Hong Kong, being an international metropolis, from various perspectives to attract international talents and tourists by telling the good stories of Hong Kong through diverse television and radio programmes, as well as different promotion measures. Having consulted the Labour and Welfare Bureau (LWB), the Culture, Sports and Tourism Bureau (CSTB) and the Home and Youth Affairs Bureau, our consolidated response is as follows:
 
     Hong Kong’s broadcasting market is under steady development. The three domestic free television programme service (free TV) licensees, two sound broadcasting licensees and Radio Television Hong Kong (RTHK) are providing a total of 15 television channels and 14 radio channels respectively, which include five TV channels and three radio channels in English. The general public (including non-Chinese-speaking persons in Hong Kong) can choose and enjoy diverse television and radio programmes (including English-language programmes) with a wide variety according to their needs. The HKSAR Government does not maintain related information in other regions.
 
     Under the current broadcasting regulatory framework, licensed broadcasters shall provide English programmes through their designated English channels in accordance with their licence conditions. Considering the sustainable development of licensed broadcasters and the needs of different audience, the three domestic free TV English channels are currently required to broadcast English programmes for at least 55 per cent of the broadcasting hours. Although licensed broadcasters can exercise suitable flexibility to broadcast non-English programmes for not more than 45 per cent of the broadcasting hours on their English channels, free TV licensees must broadcast English programmes during prime time on their English channels as required to cater for the needs of the general public and non-Chinese-speaking persons in Hong Kong. We also note that the current English programmes offered by licensed broadcasters cover a wide range of genres, including news, current affairs, sports, cultural features, lifestyle and arts, etc.
 
     On the other hand, RTHK also proactively offers English programmes through its radio and TV channels, including launching English programme time slots on RTHK TV 31 and 32; providing 24-hour relay of the China Global Television Network Documentary and English Channels under the China Media Group on RTHK TV 34 and 35; providing 24-hour broadcasting with diverse English programmes on RTHK Radio 3; and broadcasting bilingual programmes featuring fine music and arts information on RTHK Radio 4, etc. These help exhibit Hong Kong’s diversity and global vision, proactively telling good stories of the country and Hong Kong and enabling non-Chinese speaking persons in Hong Kong to have a better understanding of various information about Hong Kong and Mainland China.
 
     Since the three free TV licences will expire in 2027 and 2028, the Communications Authority (CA) has commenced the renewal exercise of the free TV licences and will conduct a public consultation exercise in the third quarter of 2025. In processing the renewal applications, subject to actual circumstances, the CA will consider revisions to licence conditions and regulatory requirements on free TV services (including requirements on English channels and programmes) taking into account views from the industry and the public as well as the latest market development and submit recommendations on licence renewal to the Chief Executive in Council.
 
     Regarding the attraction of talents, talents are generally concerned about employment and business start-up opportunities, children’s education and social integration when considering pursuance of development in Hong Kong. Media in English, being an international language, helps disseminate relevant information to international talents, alleviating their concern about integration into local society. To facilitate social integration of international talents in a more proactive manner, the Hong Kong Talent Engage (HKTE) of the LWB has been providing comprehensive support services to help them stay in the city for development. With a view to ensuring that the comprehensive information about living and working in Hong Kong are accessible to international talents, the HKTE’s promotional and publicity materials, including its online platform, TV Announcements in the Public Interest, social media posts, etc, are already fully available in English, and its themed seminars on living in Hong Kong also offer online livestreaming and simultaneous interpretation services. On the other hand, the HKTE launched the Talent+ Volunteer Programme in September 2024, and has been collaborating with various non-governmental organisations, working partners and corporations to provide incoming talents with diverse volunteer service opportunities, strengthening their connections with the local community and fostering their sense of belonging to the city.
 
     As for promotion of mega events, the CSTB, in collaboration with relevant government departments and organisations, has been devising extensive publicity campaigns through diverse means for the 15th National Games (NG), the 12th National Games for Persons with Disabilities (NGD) and the 9th National Special Olympic Games (NSOG), including various overseas promotional initiatives with the support of the Information Services Department (ISD), such as running advertisements in overseas media and at a number of major overseas international airports, engaging overseas key opinion leaders to publish promotional posts, and inviting overseas journalists and guests to visit Hong Kong through thematic media visit programmes and the Sponsored Visitors Programme so that they can spread their positive visiting experiences in their hometown afterwards, with a view to raising the international profile and popularity of Hong Kong and attracting more overseas spectators to the events. RTHK will also fully engage in the promotion, production and live broadcast of the 15th NG, the 12th NGD and the 9th NSOG. Besides, for organisation of major events, depending on the nature of the events, the Leisure and Cultural Services Department (LCSD) will invite media in English and other foreign languages to participate in press conferences or carry out promotional campaigns, and will also collaborate with local and international media organisations and event partners (such as relevant Consulates-General in Hong Kong, cultural organisations stationed in Hong Kong as well as the overseas Economic and Trade Offices) to promote the events. The LCSD will make good use of its social media platforms for promotion and support bilingual content so as to promote featured events to local and overseas audiences.
 
     Apart from the above promotion measures, the ISD has been setting up accounts on various social media platforms and producing more English social media posts for promotion. The ISD has also co-operated with the national media to make use of their multi-language new media platforms to promote Hong Kong to more countries through different foreign languages. Besides, the ISD will continue to work with suitable overseas media organisations to produce content on Hong Kong’s latest development in key areas, such as innovation and technology, sports, shipping, and culture and arts, etc, with the aim of expanding the reach of overseas promotional efforts through their readers’ network and social media platforms. Through monitoring of the latest market development and global trend, the ISD will continue to make use of appropriate platforms to raise the international profile of Hong Kong.

LCQ7: Improving Mandatory Provident Fund system

Source: Hong Kong Government special administrative region – 4

     Following is a question by Dr the Hon Wendy Hong and a written reply by the Secretary for Financial Services and the Treasury, Mr Christopher Hui, in the Legislative Council today (July 2):
 
Question:
 
     This year marks the 25th anniversary of the implementation of the Mandatory Provident Fund (MPF) system. According to statistics from the Mandatory Provident Fund Schemes Authority, the total MPF assets amounted to around $1,340 billion as at the end of March this year. On improving the MPF system, will the Government inform this Council:
 
(1) of the number of MPF scheme members and their average MPF asset levels in each of the past five years, and set out in the table below with a breakdown by age group (i.e. (i) below 25, (ii) between 25 and below 30, (iii) between 35 and below 45, (iv) between 45 and below 55, (v) between 55 and below 65, and (vi) 65 or above), and MPF asset levels (i.e. (a) $200,000 or below, (b) between $200,001 and $400,000, (c) between $400,001 and $600,000, (d) between $600,001 and $800,000, (e) between $800,001 and $1,000,000, (f) between $1,000,001 and $1,500,000, (g) between $1,500,001 and $2,000,000, and (h) above $2,000,000);
 
Year:

Members’ age group MPF asset level
(a) (b) (c) (d) (e) (f) (g) (h) Average asset
(i)                  
(ii)                  
(iii)                  
(iv)                  
(v)                  
(vi)                  
Total                  

(2) as the Government indicated in its reply to a question from a Member of this Council on May 7 this year that allowing members of the public to make early withdrawals of their accrued benefits to meet home ownership needs would result in such accrued benefits leaking from the system and failing to accumulate for growth in value, thereby undermining the integrity of the MPF system, but there are views that the Government may consider allowing members of the public to borrow the accrued benefits from their MPF accounts to fund a down payment on their first home, with repayment made in instalments over the mortgage term of the purchased property and all outstanding amounts in the MPF account to be repaid immediately upon the sale of the property, which will create a closed-loop funding mechanism to prevent funds from flowing out of the owner-occupied property market or MPF accounts, thereby maximising the value of MPF in supporting people’s retirement, whether the government will consider the aforesaid proposal; and
 
(3) given that Hong Kong is about to become a super-aged society, whether the Government will consider emulating the provident fund systems of the Mainland and Singapore by setting up designated contribution accounts targeting areas such as healthcare and housing under the MPF system in the long term, and increasing the income ratio for MPF contributions to help members of the public to cope with various expenses after retirement?
 
Reply:
 
President,
 
     In consultation with the Mandatory Provident Fund Schemes Authority (MPFA), the reply to the three parts of the question is as follows:
 
(1) As at end-2024, about 4.8 million Mandatory Provident Fund (MPF) scheme members held a total of around 11.2 million MPF accounts of various types (including contribution accounts, personal accounts and tax-deductible voluntary contribution accounts), hence each scheme member held more than 2.3 MPF accounts on average. The number of MPF scheme members and accounts over the past five years, the average amount of accrued benefits per MPF account by the age group of scheme members, and the number of accounts by the amount of accrued benefits are tabulated below:
 
Table 1: Number of MPF scheme members and accounts

Year
(as at year-end)
Number of MPF scheme members Number of MPF accounts
2020 4 459 000 10 324 000
2021 4 586 000 10 477 000
2022 4 694 000 10 843 000
2023 4 754 000 11 058 000
2024 4 794 000 11 228 000

 
Table 2: Average amount of accrued benefits per MPF account by age group (As at end-2024)

Age group Average amount of accrued benefits per MPF account ($)
Under 25 8,600
25 to under 35 52,600
35 to under 45 126,700
45 to under 55 163,200
55 to under 65 149,000
65 or above 73,800

Note: Excluding accounts with nil accrued benefits.
 
Table 3: Number of accounts by amount of accrued benefits (As at end-2024)

Amount of accrued benefits Number of accounts
$200,000 or below 9 373 000
Between $200,001 and $400,000 1 072 000
Between $400,001 and $600,000 408 000
Between $600,001 and $800,000 181 000
Between $800,001 and $1,000,000 88 000
Between $1,000,001 and $2,000,000 98 000
Over $2,000,000 27 000

 
     As each scheme member may hold more than one account, and the accounts may be held under different MPF schemes, figures on the number of scheme members by their total accrued benefits are not available at present. MPF schemes are gradually onboarding to the eMPF Platform, which commenced operation in June 2024. Upon completion of onboarding of all MPF schemes, data relating to total MPF accrued benefits by individual scheme members could be compiled via the eMPF Platform.
 
(2) The MPF system is set up to assist the public to save up for their retirement. The idea of allowing scheme members to borrow their MPF benefits for the purpose of home ownership must take into consideration the impact on scheme members’ retirement savings. MPF is a long-term investment with compounding effect, designed to allow MPF benefits to accumulate steadily and be kept in the accounts for value growth during the working life of scheme members. Therefore, accrued benefits should be preserved as far as possible and only be withdrawn and used upon retirement of the employed persons. If we were to relax the preservation requirement on MPF benefits and allow scheme members to borrow their MPF benefits to meet home ownership needs, the accrued benefits would fail to accumulate for value growth, thereby reducing scheme members’ MPF benefits meant for their retirement and undermining the basic retirement protection for the working population. Furthermore, as the MPF system has the advantage of diversifying investment risks, investments in real estate bear higher risks than those in MPF funds in general. The arrangements requiring members of the public to repay in instalments after borrowing MPF benefits for home ownership purpose and make repayment with the proceeds from the sale of the property of which the down payment was met by MPF benefits also entail considerable complexity.
 
(3) Under the MPF system, employers and employees are currently required to respectively make mandatory contributions equivalent to 5 per cent of the employee’s relevant income (with the current monthly contribution cap at $1,500). If the MPF system were to save up for medical and home ownership expenses at the same time without affecting the retirement protection for employed persons, we must consider increasing the overall MPF contribution rate. Drawing on practices in regions outside Hong Kong (such as the Mainland and Singapore), should dedicated savings accounts be set up to cover medical and home ownership expenses, the contribution rate to the relevant accounts could be as high as over 30 per cent of the employee’s income. Given that the current total mandatory contribution rate stands at only 10 per cent, the proposal of introducing dedicated savings accounts for medical and home ownership purposes under the MPF system and raising the total MPF contribution rate must first reach a broad societal consensus.
 
     The Government and the MPFA welcome views regarding the MPF system from various sectors, and will carefully assess the necessity and feasibility of each proposal to continuously improve the operation of the MPF system without compromising the basic retirement protection for scheme members.

Online auction of vehicle registration marks to be held from July 17 to 21

Source: Hong Kong Government special administrative region – 4

The Transport Department (TD) today (July 2) said that the next online auction of vehicle registration marks (VRMs) will be held from noon on July 17 (Thursday) to noon on July 21 (Monday) through the auction platform E-Auction (e-auction.td.gov.hk). Interested bidders can participate in the online auction only after they have successfully registered as E-Auction users.

     A spokesman for the TD said, “A total of 200 Ordinary VRMs will be available at this online public auction. The list of VRMs (see Annex) has been uploaded to the E-Auction website. Applicants who have paid a $1,000 deposit to reserve the Ordinary VRM for auction should also register as an E-Auction user in advance in order to participate in the online bidding, including placing the first bid at the opening price of $1,000. Otherwise, the VRMs reserved by them may be bid on by other interested bidders at or above the opening price. Auctions for VRMs with ‘HK’ or ‘XX’ as a prefix, special VRMs and personalised VRMs will continue to be carried out through physical auctions by bidding paddles and their announcement arrangements remain unchanged.”

     Members of the public participating in the online bidding should take note of the following important points:

(1) Bidders should register in advance as an E-Auction user by “iAM Smart+” equipped with the digital signing function; or by using a valid digital certificate and an email address upon completion of identity verification. Registered “iAM Smart” users should provide their Hong Kong identity card number, while non-Hong Kong residents who are not “iAM Smart” users should provide the number of their passport or other identification documents when registering as E-Auction users.

(2) Bidders are required to provide a digital signature to confirm the submission and amount of the bid by using “iAM Smart+” or a valid digital certificate at the time of the first bid of each online bidding session (including setting automatic bids before the auction begins) to comply with the requirements of the Electronic Transactions Ordinance.

(3) If a bid is made in respect of a VRM within the last 10 minutes before the end of the auction, the auction end time for that particular VRM will be automatically extended by another 10 minutes, up to a maximum of 24 hours.

(4) Successful bidders must follow the instructions in the notification email issued by the TD to log in to the E-Auction within 48 hours from the issuance of email and complete the follow-up procedures, including:
 

  • completing the Purchaser Information for the issuance of the Memorandum of Sale of Registration Mark (Memorandum of Sale); and
  • making the auction payment online by credit card, Faster Payment System (FPS) or Payment by Phone Service (PPS). Cheque or cash payment is not accepted in the E-Auction.

(5) A VRM can only be assigned to a motor vehicle registered in the name of the purchaser. Relevant information on the Certificate of Incorporation must be provided by the successful bidder in the Purchaser Information of the Memorandum of Sale if the VRM purchased is to be registered under the name of a body corporate.

(6) Successful bidders will receive a notification email around seven working days after payment has been confirmed and can download the Memorandum of Sale from the E-Auction. The purchaser must apply for the VRM to be assigned to a motor vehicle registered in the name of the purchaser within 12 months from the date of issue of the Memorandum of Sale. If the purchaser fails to do so within the 12-month period, in accordance with the statutory provision, the allocation of the VRM will be cancelled and a new allocation will be arranged by the TD without prior notice to the purchaser.

     The TD has informed all applicants who have reserved the Ordinary VRMs for this round of auction of the E-Auction arrangements in detail by post. Members of the public may refer to the E-Auction website or watch the tutorial videos for more information. Please call the E-Auction hotline (3583 3980) or email (e-auction-enquiry@td.gov.hk) for enquiries. 

LCQ3: Promoting development of “home-stay lodgings”

Source: Hong Kong Government special administrative region

Following is a question by the Hon Chan Hok-fung and a reply by the Secretary for Home and Youth Affairs, Miss Alice Mak, in the Legislative Council today (July 2):
 
Question:
 
There are views that expensive accommodation costs, as well as lack of variety and limited choices are related to the fact that only about 66 per cent of Mainland tourists stayed overnight in Hong Kong during this year’s Labour Day Golden Week, and that the Government should make good use of the natural resources in rural areas to develop home-stay lodgings, thereby extending tourists’ length of stay. In this connection, will the Government inform this Council:
 
(1) as it has been reported that Japan has relaxed its regulations on home-stay lodgings in recent years to focus more on management requirements than on strict hardware facility standards for hotels and guesthouses, whether the Government has studied regulating home-stay lodgings in this direction; if so, of the details;
 
(2) as there are views that Hong Kong has many rural locations with natural scenic beauty and potential for developing home-stay lodgings, such as Pui O and Mui Wo, whether the Government will study allowing village houses in such locations that have been issued with a Certificate of Compliance to automatically be eligible to operate as home-stay lodgings, in order to streamline the administrative procedures for applying to operate home-stay lodgings; if so, of the timetable; and
 
(3) as it has been reported that a private kitchen in rural areas has encountered considerable difficulties when applying for restaurant licences, whether the Government will relax requirements in the light of the unique circumstances of rural areas, and proactively assist rural home-stay lodgings that also operate restaurants by processing licences for both simultaneously, so as to accelerate the development of home-stay lodgings?
 
Reply:
 
President,

In response to the three parts of the question raised by the Hon Chan Hok-fung, having consulted the Development Bureau and the Environment and Ecology Bureau, my consolidated reply is as follows:

The Office of the Licensing Authority (OLA) under the Home Affairs Department is responsible for licensing and enforcement work under the Hotel and Guesthouse Accommodation Ordinance (Cap. 349). The purpose of the Ordinance is to ensure that premises intended for use as hotels or guesthouses meet statutory building and fire safety standards to protect the safety of lodgers and the public. Moreover, as guests typically only stay in hotels or guesthouses during nighttime or for short periods and may not be familiar with escape routes, it is necessary to establish reasonable safety requirements to protect their safety. Under the current system, any premises providing paid short-term accommodation, including hotels, guesthouses or so-called “home-stay lodgings”, must comply with the building and fire safety standards stipulated in the Ordinance before being licensed to operate. The Ordinance does not impose special restrictions on or exclude “home-stay lodgings”. As long as the operation mode falls within the definition of hotel or guesthouse, an application for a licence to operate can be made, regardless of whether the premises is located in an urban or a rural area.

The OLA has long been adopting a flexible and pragmatic approach in processing all licence applications to facilitate the operation of licensed premises. When processing hotel and guesthouse licence applications, the OLA ensures that premises under the applications meet basic safety requirements such as building and fire safety standards, while taking into account the scale and operation mode of the premises. Additionally, premises must comply with relevant requirements of the Ordinance, in order to safeguard the safety of lodgers and the public while balancing the interests of other owners of premises in the same building. Most of these requirements were introduced by the Amendment Ordinance in 2020, including the no-use restriction requirement (i.e. there should be no restrictive clauses in the deed of mutual covenant or Government lease of the premises concerned) and the person responsible for operating, opening, or managing a hotel or guesthouse must meet the fit and proper requirement. The application process does not impose additional restrictions for “home-stay lodgings” type operations. Upon receiving a licence application, the OLA will conduct an on-site inspection and formulate applicable licensing requirements based on the specific circumstances of each premises. The Government has always prioritised public safety as its foremost consideration while striving to foster the healthy development of the industry. As long as the safety of guests, other persons in the same building and the general public is ensured, the OLA will proactively facilitate the application and approval processes for licences.

Currently, land leases for small houses in the New Territories generally permit non-industrial uses, including operation as guesthouses. Therefore, as long as the small house has obtained either a Certificate of Compliance or a “No Objection to Occupy” Letter from the Lands Department, no lease modification would be required. However, a guesthouse licence would still need to be applied for to operate a guesthouse so as to ensure the safety of lodgers and the general public.

However, we understand that village houses in rural areas have their own unique characteristics and constraints. The OLA has always adopted a flexible and pragmatic approach in processing such applications, allowing applicants to propose alternative solutions on a case-by-case basis to meet the requirements for licensing, provided that building and fire safety are ensured. As long as there is no compromise of public safety, relevant departments will consider local situations when processing applications for rural and old village houses, with a view to facilitating applicants to meet the licensing requirements.

As at May 31, 2025, 108 village houses in the New Territories or outlying islands in Hong Kong have been issued with guesthouse licences.

In fact, to promote eco-tourism, facilitate visitors, and help revitalise desolate villages, the Government’s inter-departmental task force has formulated a series of streamlined measures to facilitate guesthouse and food business licence applications for some 90 countryside villages in the New Territories that have no vehicular access, taking into account the uniqueness of remote rural areas. These streamlined measures cover various aspects, including town planning, land, fire safety, building safety and sanitary requirements. Currently, relevant licences have been obtained for some guesthouses in Lai Chi Wo, a takeaway shop in Yim Tin Tsai, and a restaurant in Kuk Po under these streamlined measures. Based on these actual cases, the Government is sorting out the requirements, details, and implementation procedures of the streamlined measures and will compile a set of Guide to Application for reference by interested operators. The Government will continue to review room for enhancement in the licence application process for guesthouses and food businesses in countryside areas, with a view to creating a more business-friendly environment to support the work of countryside conservation and revitalisation. 

​Under the inter-departmental collaboration mechanism, the first batch of guesthouse licences was successfully issued for 11 village houses in Lai Chi Wo between December 2021 and September 2022.

Thank you, President.

LCQ5: Promoting development of stablecoins

Source: Hong Kong Government special administrative region

LCQ5: Promoting development of stablecoins 
Question:
 
     The Stablecoins Bill, passed in May this year, aims to establish a licensing and regulatory regime for fiat-referenced stablecoins issuers in Hong Kong. There are views that this marks a milestone in the global development of Web3 and represents an important step in Hong Kong’s journey to becoming an international Web3 hub. In this connection, will the Government inform this Council:
 
(1) of ways to promote the expansion of stablecoin use cases, including fostering connections between stablecoin issuers and application scenarios on the Mainland, so as to facilitate the transition of stablecoins from regulatory compliance to establishment of business ecosystems;
 
(2) how the Government will leverage the implementation of the Stablecoins Ordinance to promote the openness and flexibility of Hong Kong’s stablecoin laws and regulations internationally, while also synergising with Hong Kong’s advantages under “one country, two systems” as well as its status as an international financial centre which is conducive to stablecoin development, to attract global compliant stablecoin issuers and large-scale international financial institutions to issue stablecoins and establish a presence in Hong Kong; and
 
(3) whether it will make preparations for the development of offshore Renminbi (RMB) stablecoins, including seeking support from the Central Authorities so as to establish the creditworthiness of Hong Kong’s offshore RMB stablecoins?
 
Reply:
 
President,
 
     In May this year, the Legislative Council passed the Stablecoins Bill, establishing a licensing regime for issuers of fiat-referenced stablecoins (FRS) in Hong Kong. The ordinance further strengthens the regulatory framework for digital asset activities in Hong Kong to safeguard monetary and financial stability, as well as consolidates and enhances Hong Kong’s position as an international financial centre. The Stablecoins Ordinance will come into effect on August 1 this year, at which the Hong Kong Monetary Authority (HKMA) will begin accepting licence applications. Currently, the HKMA is conducting a public consultation on the detailed guidelines for implementing the Ordinance with a view to finalising these guidelines as soon as practicable.
 
     Having consulted the HKMA, my reply to the various parts of the question is as follows:
 
(1) To harness the potential of stablecoins, the Government and regulators will provide a conducive environment and necessary regulatory guidance to enable licensed stablecoin issuers in Hong Kong to explore and implement different stablecoin use cases, with a view to addressing real-world pain points in economic activities, putting forward regulatory priorities for potential risks, and promoting the sustainable development of the market.
 
     To this end, the HKMA launched the stablecoin issuer sandbox early last year to allow the HKMA to understand the business models of institutions planning to issue FRS in Hong Kong, and to communicate regulatory expectations and provide guidance, while also fostering the development of practical use cases for stablecoins. With both local and global backgrounds, the participating institutions come from a wide spectrum of industries, including cross-border e-commerce and logistics, innovation and technology, banking and telecommunications services. The sandbox enables participants to conduct testing on their proposed use cases and operations within a limited scope and in a risk-controlled environment. Participation in the sandbox is not a prerequisite for licence application in the future.
 
     Furthermore, the Government recently issued the Policy Statement 2.0 on the Development of Digital Assets in Hong Kong. It covers the policy direction for advancing digital asset use cases and cross-sectoral collaboration, and articulates the exploration of stablecoins as a payment tool. To demonstrate the Government’s support and to take the lead, in the Policy Statement 2.0 the Government invites proposals from market participants on how the Government may test the usage of licensed stablecoins, for example in enhancing efficiency of Government payments.
 
     Alongside market and use case development, it is also important to ensure compliance in business operation. Stablecoin issuers must demonstrate adequate setup, capabilities and experience across a range of areas, including management and security of reserve assets, effective price stabilisation mechanisms, comprehensive and feasible redemption policies, as well as capabilities in technological security, risk management, and anti-money laundering. Where the use cases of stablecoins involve cross-border activities, applicants are also expected to develop a comprehensive compliance plan, demonstrate their financial strength, and ensure that they and their business partners have the necessary regulatory approvals and will comply with applicable regulations in Hong Kong and other jurisdictions, when they carry out activities related to their stablecoins.
 
(2) The Financial Services and the Treasury Bureau (FSTB) and the HKMA have been proactively communicating with stakeholders in Hong Kong and other jurisdictions on the regulation and development of stablecoins, including potential stablecoin issuers, market participants, and professional service providers.
 
     Along with the upcoming implementation of the Stablecoins Ordinance, we will further enhance our engagement with various stakeholders across the globe to elaborate on Hong Kong’s regulatory framework for stablecoin issuers, and highlight the balanced approach of our framework in managing risks while promoting industry development, such as adopting a more open model that allows licensed issuers to peg their stablecoins to different fiat currencies for the purpose of stablecoin issuance.
 
     We will also continue to promote Hong Kong’s unique advantages as an international financial centre, including our close connection with the international markets, mature financial market and infrastructure, comprehensive legal system, and a wealth of professional talents, through overseas visits and on-going work exchanges. The Government’s recent promulgation of the Policy Statement 2.0 also demonstrates to the digital asset and related sectors around the world our steadfast commitment and policy direction to establish Hong Kong as a global digital asset hub.
 
(3) The licensing regime for stablecoin issuers in Hong Kong is flexible and open, allowing licensed issuers to peg their stablecoins to different fiat currencies for the purpose of stablecoin issuance. We welcome institutions from around the world to apply for licence based on their actual business needs. We will review licence applications with a set of common standards, such as the issuer’s compliance with regulatory requirements in the areas of reserve asset management, stabilisation mechanisms, redemption arrangements and internal control measures. The Government and financial regulators will closely monitor regulatory developments and maintain communications with regulatory authorities in different jurisdictions.
 
     The digital asset market is developing and evolving rapidly. Guided by the principle of “same activity, same risks, same regulation” and adopting a risk-based approach, the Government will continue to enhance and establish a regulatory regime that reflects local circumstances and aligns with international standards and practices, with a view to promoting the healthy, responsible and sustainable development of the digital asset market in Hong Kong, thereby further strengthening Hong Kong’s status as an international financial centre.
 
     Thank you, President.
Issued at HKT 14:54

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Red flags hoisted at Stanley Main Beach and Shek O Beach

Source: Hong Kong Government special administrative region – 4

Attention TV/radio announcers:

Please broadcast the following as soon as possible:

     Here is an item of interest to swimmers.

     The Leisure and Cultural Services Department announced today (July 2) that due to big waves, red flags have been hoisted at Stanley Main Beach and Shek O Beach in Southern District, Hong Kong Island. Beachgoers are advised not to swim at these beaches.

Hospital Authority welcomes Government’s reappointment of Chairman and appointment of Chief Executive

Source: Hong Kong Government special administrative region

The following is issued on behalf of the Hospital Authority:

     The Hospital Authority (HA) today (July 2) welcomes the Government’s reappointment of Mr Henry Fan as the Chairman of the HA and the appointment of Dr Libby Lee as the Chief Executive of the HA.

     Mr Fan said, “I am very honoured to be reappointed and to continue serving the public together with the 90 000 staff members of the HA. I am also very much looking forward to working with Dr Lee again at the HA to jointly lead the ongoing reforms of the HA. Our future work focus will be on fully implementing the HA’s various reform initiatives, particularly the public healthcare fees and charges reform to be launched in January next year. The HA will continue to enhance its services regarding the wellbeing of patients and uphold the patient-centric value, and will continue to promote the sustainable development of public healthcare services.”

     The appointment of Dr Lee as the Chief Executive of the HA has been endorsed by the HA Board and approved by the Chief Executive of the Hong Kong Special Administrative Region, after a global search and thorough deliberation by the Selection Board appointed by the HA Board.

     “The HA Board has full confidence in Dr Lee’s wealth of experience in both clinical and management fields, and believes that her leadership capabilities and governance talents will continue to lead the HA to attain a higher level of achievement. Dr Lee demonstrates clear vision and aspirations for the HA’s future development, and will lead the HA to face future challenges, continue reforms, enhance public hospital services, and move towards sustainable development, with the staunch support of all HA staff members,” Mr Fan said.

     “With the support of the Health Bureau and the HA Board, all staff members of the HA, Dr Lee, and I will continue to work together to enhance public hospital services and provide quality and sustainable public healthcare services for Hong Kong citizens. We will continue to strengthen our manpower and enhance exchanges with healthcare professionals worldwide, particularly from the Mainland. At the same time, we will continue to upgrade the facilities and service capacity of public hospitals to address the challenges of an ageing society and surging service demand,” Mr Fan added.

     Dr Lee expressed that she is deeply honoured to be appointed as the Chief Executive of the HA. “I am very grateful for the trust of the Government and the HA Board in appointing me to lead the HA. With the staunch support of all HA staff members, the Health Bureau, and the HA Board, as well as close collaboration with healthcare sector and community partners, I firmly believe that the HA will certainly reach new heights and benefit patients.”

     The current Chief Executive of the HA, Dr Tony Ko, welcomed the reappointment of Mr Fan and congratulated Dr Lee on her appointment to the new position. He believes that with Dr Lee’s extensive management experience at the Health Bureau and the HA, as well as her visionary perspective on public health policy and public healthcare services, she will certainly continue to drive the HA reforms and benefit patients.

     Dr Ko will complete his contract and step down on July 31, with Dr Lee taking up her new role immediately on August 1. Mr Fan extends his appreciation to Dr Ko for his years of service to patients in public hospitals, particularly his contributions and outstanding performance to the HA and public healthcare services during his tenure as Chief Executive. He led the HA in navigating various challenges, especially in leading HA staff members in fighting the epidemic, and in fully promoting the HA’s sustainable development, talent exchange and reforms after the epidemic, marking important milestones for the HA at different stages. On behalf of all HA staff members, Mr Fan wishes Dr Ko every happiness after his departure.

     Mr Fan also congratulated Dr Cecilia Fan on her appointment as the Under Secretary for Health, believing that Dr Fan’s extensive experience in public health over the years will certainly elevate Hong Kong’s public health policies to new heights and promote more public health services that meet the needs of Hong Kong citizens.

Post-office employment for Dr Libby Lee Ha-yun

Source: Hong Kong Government special administrative region

Post-office employment for Dr Libby Lee Ha-yun 
Mr Simon Ip Sik-on (Chairman)
Mrs Margaret Leung Ko May-yee
Mr Cheng Yan-kee
Ms Lo Wing-sze
Dr Miranda Lou Lai-wah
Issued at HKT 16:08

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Appointments of Under Secretary for Health, as well as Chairman and Chief Executive of Hospital Authority (with photos)

Source: Hong Kong Government special administrative region

     The Government announced today (July 2) the following appointments:
 
 (1) Dr Cecilia Fan Yuen-man has been appointed as the Under Secretary for Health and will assume office on July 14, 2025;
 (2) Dr Libby Lee Ha-yun has been appointed as the Chief Executive of the Hospital Authority (HA) with effect from August 1, 2025, for a term of three years; and
 (3) Mr Henry Fan Hung-ling, the incumbent Chairman of the HA, has been reappointed for a term of one year with effect from December 1, 2025.
 
     The Chief Executive, Mr John Lee, has appointed Dr Cecilia Fan as the Under Secretary for Health to succeed Dr Libby Lee.  Dr Lee has tendered her resignation and will leave her post on July 14, and Dr Fan will assume the post of Under Secretary for Health on the same day.
 
     The HA Board commenced open recruitment of its Chief Executive this January to succeed Dr Tony Ko, who will not seek reappointment upon completion of his contract at the end of July this year. The Selection Board was led by the HA Chairman and, after a global recruitment process and prudent consideration, recommended the appointment of Dr Lee as the Chief Executive of the HA. The appointment has been endorsed by the HA Board and approved by the Chief Executive of the Hong Kong Special Administrative Region (HKSAR).
 
     Dr Lee will join the HA to assume the post of Chief Executive on August 1. Advice from the Advisory Committee on Post-office Employment for Former Chief Executives and Politically Appointed Officials has been sought on the appointment.
 
     The Secretary for Health, Professor Lo Chung-mau, welcomed the newly appointed Under Secretary for Health, Dr Fan, to the Health Bureau, and looked forward to jointly promoting healthcare reform and innovation in the HKSAR as well as improving and protecting public health with her. “Dr Fan has extensive experience in public health management, and participated in the co-ordination of anti-epidemic and disaster relief efforts on multiple occasions, receiving commendations from the Chief Executive and the National Health Commission and demonstrating the leadership and adaptability skills necessary to promote reform,” he said.
 
     Professor Lo also thanked Dr Lee, who will soon leave the post of the Under Secretary for Health and take up the post of the Chief Executive of the HA, and said, “Dr Lee joined the HA after graduation from medical school and had long been serving in the public healthcare system until she took up the post of the Under Secretary in 2022. Dr Lee has served as the Under Secretary for almost three years and has showcased her excellent leadership, presentation and interpersonal skills. She also has a thorough understanding of the challenges faced by the healthcare system and the strategies on a macro level and will surely lead, in her new capacity, the HA to drive reform and innovation, enhancing public healthcare services.
 
     “As the cornerstone of the healthcare system, the governance of the HA is the most important part of the deepening of the healthcare system reform. I am thankful to Mr Fan for continuing to serve as the Chairman and supporting the reform pursued by the Government. I trust that the HA, under the leadership of Mr Fan and Dr Lee, will further take forward the relevant work in the future to ensure that the public healthcare system will provide the public with healthcare services of higher quality, safety and effectiveness.
 
     “I would also like to take this opportunity to express once again my appreciation for Dr Ko, who most earnestly made significant contributions to the development of the public healthcare system over the years. I wish him all the best in his future endeavours.”
 
     Following are the biographical notes on the appointed Under Secretary for Health and Chief Executive of the HA:
 
Dr Cecilia Fan Yuen-man
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     Aged 57, Dr Cecilia Fan is currently Consultant Family Medicine (Elderly Health Service) of the Department of Health (DH).
 
     Dr Fan joined the DH in 1992 and has served therein for over 30 years.  Apart from family medicine and elderly health services, she co-ordinated and participated in work in various areas, including the Professional Development and Quality Assurance Service. She also took part in co-ordination work at medical posts of quarantine centres during multiple epidemics, including outbreaks of the severe acute respiratory syndrome in 2003, human swine influenza in 2009, and COVID-19during 2020-2022. In February 2023, Dr Fan led the DH’s medical team to join the HKSAR search and rescue team in frontline search and rescue work at the quake-stricken areas in Türkiye. She was the only person from the SAR who received the National Outstanding Individuals in the Foreign Medical Aid commendation by the National Health Commission.
 
     Dr Fan holds a medical degree from the University of Hong Kong and a master’s degree in public health from the Chinese University of Hong Kong, as well as a number of professional qualifications. She is trained as a family physician.

Dr Libby Lee Ha-yun
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     Aged 53, Dr Libby Lee has been the Under Secretary for Health since July 2022.
 
     Dr Lee joined the executive team of the HA in 2008 and was promoted to Director of Strategy and Planning in 2016.  During her tenure as the Director of Strategy and Planning, she oversaw the formulation of strategies and operational plans, the co-ordination of community and primary care services, and the planning and implementation of capital works projects in relation to the HA’s provision of healthcare services. Her duties at that post also included conducting studies and analyses in relation to demographic changes and challenges faced by the HA and projecting corresponding resource requirements. Dr Lee has served on various professional bodies including as Council Member for the Hong Kong College of Anaesthesiologists and the Hong Kong College of Community Medicine.
 
     Dr Lee holds a medical degree and a master’s degree in public health from the University of Hong Kong as well as a number of professional qualifications. She is trained as an anaesthesiologist and a practitioner in administrative medicine.