S for Housing continues visit to Paris (with photos)

Source: Hong Kong Government special administrative region

     The Secretary for Housing, Ms Winnie Ho, continued her visit to Paris, France, yesterday (May 20, Paris time). She visited the headquarters of a local social housing association, L’Union sociale pour l’habitat (USH), in the morning and met with the Director of Economic and Financial Studies at the USH, Mr Christophe Bellégo, to learn about the organisation’s work, including conducting research and analysis on local housing issues, and contributing to their government’s policy formulation.
 
     Ms Ho shared in the meeting the work of the Housing Bureau (HB) and the Hong Kong Housing Authority (HKHA). She said that housing is the greatest concern among all key issues of the current-term Hong Kong Special Administrative Region Government, and that the HB strives to formulate suitable housing policies and deliberate on different measures to address housing issues to cater for the housing needs of different social strata. The policy initiatives include building expeditiously Light Public Housing (LPH) and transitional housing to improve the living conditions of people living in inadequate housing at the soonest.
 
     She said that the HKHA, established over 50 years ago, has long been providing affordable rental housing to low-income families with housing needs. It continuously enhances the housing ladder to help low- to middle-income families gain access to subsidised home ownership, encouraging them to move up the housing ladder and thus enhance people’s sense of contentment and happiness. Ms Ho presented to the participants of the meeting the “Well-being design” guide launched by the HB and the HKHA last year, which covers eight well-being concepts, namely “Health & Vitality”, “Green Living and Sustainability”, “Age-Friendliness”, “Intergenerational & Inclusive Living”, “Family & Community Connection”, “Urban Integration”, “Upward Mobility” and “Perception & Image”. It serves as a reference for the future design of new public housing estates and the improvement works of existing estates to create a more comfortable and vibrant living environment for its residents. Apart from housing construction, to continuously enhance the management efficiency and service quality of its nearly 200 public housing estates, the Housing Department has been actively promoting smart estate management and bringing in new technologies to help optimise estate management and building maintenance services so that residents can enjoy a better living environment.
 
     Guided by the USH, Ms Ho visited two eco-neighbourhoods in Paris, Clichy-Batignolles and Ecoquartier Nanterre Université. Clichy-Batignolles is a sustainable urban development project transforming a former rail yard into a mixed-use area with social and private housing, commerce and retail, restaurants, community facilities and a park. Ecoquartier Nanterre Université preserves green spaces while redeveloping the old district. The project has provided various types of social and private housing as well as relevant ancillary facilities, creating a more vibrant neighbourhood and promoting inclusivity. Ms Ho said that the HKHA also attached importance to promoting low carbon and energy-saving buildings, green spaces and connectivity with the nearby community when planning and developing new public housing projects.
 
     In the afternoon, Ms Ho called on the Chinese Ambassador to France, Mr Deng Li, to share Hong Kong’s latest housing policies and initiatives, which included promoting the development of housing construction technologies by leveraging the power of the Greater Bay Area. She also learned about Hong Kong’s strengths as a “super connector” and a highly international city during the conversation with the Ambassador.
 
     Ms Ho will continue her visit today (May 21, Paris time) and meet with the local trade to promote Hong Kong’s innovative construction technologies.

                       

LCQ10: Joint University Programmes Admissions System

Source: Hong Kong Government special administrative region

     Following is a question by the Hon Gary Zhang and a written reply by the Secretary for Education, Dr Choi Yuk-lin, in the Legislative Council today (May 21):
 
Question:
 
     It is learnt that applicants who wish to apply for admission to the programmes under the Joint University Programmes Admissions System (JUPAS) should submit their applications by the deadline in December of the year preceding the intended school year of admission. Applicants who have missed the deadline may typically submit late applications from December of the same year to May of the following year. In this connection, will the Government inform this Council whether it knows the number of applications processed under JUPAS in each of the past five years and this year to date, and the number of late applications among them (with a tabulated breakdown by the type of documents held by the applicants (i.e. LS1 to LS9))?
 
Reply:
 
President,
 
     The Joint University Programmes Admission System (JUPAS) is the main application route to assist local students with Hong Kong Diploma of Secondary Education Examination results (past and/or current) in applying for admission to post-secondary programmes. These programmes include the University Grants Committee (UGC)-funded full-time bachelor’s degree programmes, Hong Kong Metropolitan University’s self-financing full-time bachelor’s degree programmes, and The Education University of Hong Kong’s UGC-funded full-time higher diploma programme.
 
     After consultation with the JUPAS Office, our reply to the Hon Gary Zhang’s question is as follows –
 
     The JUPAS Office has published historical application statistics, including the total number of applicants, on the JUPAS statistics webpage. Over the past five JUPAS admissions exercises (2020-2024), the numbers of applicants (as at the Day of Announcement of Main Round Offer Results) were 41 664, 40 658, 39 523, 39 948 and 39 634 respectively. Details are on the relevant website at www.jupas.edu.hk/en/statistics/main-round-offer.
 
     In the aforementioned admissions exercises, late applications on average accounted for about 2 per cent of the overall applications, which has maintained at a relatively stable level. The majority of these late applications were from the LS1 category (i.e. Hong Kong Permanent Identity Card holders), representing an average of about 96 per cent of the late applications. The percentage also remained consistently stable. There were only few late applicants in other categories.

LCQ13: Measures for elderly residents to retire in the Mainland

Source: Hong Kong Government special administrative region

     Following is a question by Dr the Hon Dennis Lam and a written reply by the Secretary for Labour and Welfare, Mr Chris Sun, in the Legislative Council today (May 21):
 
Question:

     It is learnt that moving north for retirement has become a growing trend in recent years, and the Government has been proactively promoting cross-border elderly care measures to facilitate retirement of Hong Kong elderly residents in cities of the Guangdong-Hong Kong-Macao Greater Bay Area (GBA). In this connection, will the Government inform this Council:

(1) of the respective latest numbers of participants in the Residential Care Services Scheme in Guangdong and the Pilot Scheme for Elderly Comprehensive Social Security Assistance Recipients to Reside in Residential Care Homes in Guangdong;

(2) of the respective numbers of Hong Kong elderly residents currently living in GBA Mainland cities who are receiving (i) Comprehensive Social Security Assistance, (ii) Old Age Allowance, and (iii) Old Age Living Allowance;

(3) whether it has considered establishing an integrated cross-border elderly care information platform to facilitate elderly residents who wish to retire in GBA Mainland cities and their families in accessing more comprehensive and up-to-date policy information and service guidelines; if so, of the details; if not, the reasons for that; and

(4) whether it has conducted any survey on the needs of Hong Kong middle-class elderly residents seeking to retire in the Mainland (including healthcare and everyday needs), and explored how to provide such elderly residents with high-quality elderly care services (such as smart elderly care); if so, of the details; if not, the reasons for that?

Reply:

President,

     The Government continues to implement a number of measures, including providing subsidised residential care services and portable cash assistance, to facilitate Hong Kong elderly people’s retirement in the Greater Bay Area (GBA) Mainland municipalities and offer more choices for them. I reply to the question raised by Dr the Hon Dennis Lam as follows:

(1) As at end-April 2025, there were around 460 elderly persons joining the Residential Care Services Scheme in Guangdong (GDRCS Scheme) and staying in the 15 designated residential care homes for the elderly (RCHEs) in the GBA Mainland cities.

     The three-year Pilot Scheme for Elderly Recipients of Comprehensive Social Security Assistance (CSSA) to Reside in Residential Care Homes in Guangdong (Pilot Scheme) will be launched in the second half of 2025 to subsidise elderly CSSA recipients who opt to retire in Guangdong and reside in designated RCHEs in the province, so as to improve their living environment and quality of life. Each eligible elderly person will receive a monthly subsidy of HK$5,000 with a quota of 1 000. 

(2) As at end-April 2025, the numbers of elderly persons living in GBA Mainland cities and receiving Portable Comprehensive Social Security Assistance (PCSSA), Old Age Allowance (OAA) or Old Age Living Allowance (OALA) are set out in the table below:
 

GBA Mainland
cities
PCSSA OAA OALA Sub-total
Guangzhou 62 1 720 2 353 4 135
Shenzhen 141 2 652 5 693 8 486
Zhuhai 9 430 639 1 078
Foshan 53 605 1 330 1 988
Huizhou 60 399 1 180 1 639
Dongguan 61 980 2 268 3 309
Zhongshan 18 868 1 412 2 298
Jiangmen 23 328 922 1 273
Zhaoqing 12 105 228 345
Total 439 8 087 16 025 24 551

(3) Apart from promoting the GDRCS Scheme to the general public through various means (e.g. District Elderly Community Centres/Neighbourhood Elderly Centres, radio and TV promotion clips), information on the GDRCS Scheme and the portable cash assistance is available on the Social Welfare Department’s (SWD) website. The SWD updates relevant information in a timely manner and will consider optimising the website to facilitate access to relevant information by the public. Besides, the application procedures of the OAA and the OALA under the Guangdong Scheme are available on the “Cross-boundary Public Services” website. The SWD will consider including the information on the GDRCS Scheme in the relevant website.

(4) As the various needs of Hong Kong’s middle-class elderly people living on the Mainland are not under the policy purview of the Labour and Welfare Bureau, we have not conducted any relevant surveys. Upon our enquiry, other bureaux or departments (e.g. the Constitutional and Mainland Affairs Bureau, the Commerce and Economic Development Bureau and the Census and Statistics Department) have advised that they have not conducted such surveys either.

LCQ11: Public footbridges

Source: Hong Kong Government special administrative region

     â€‹Following is a question by the Hon Doreen Kong and a written reply by the Secretary for Transport and Logistics, Ms Mable Chan, in the Legislative Council today (May 21):

Question:

Since the 1960s, with the growth of Hong Kong’s population and economy, the Government has employed footbridges to grade separate vehicular and pedestrian traffic, so as to improve road safety and traffic flow capacity. In this connection, will the Government inform this Council:

(1) of the current number of public footbridges (footbridges) in Hong Kong and, among them, the number of those equipped with lifts; whether the authorities have plans to install lifts at footbridges not yet equipped with lifts to facilitate public use in the future;

(2) of the current criteria for the construction of footbridges; whether the authorities have established a regular monitoring mechanism to track the utilisation rate of footbridges (e.g. by installing monitoring and counting devices), and incorporated such usage data into the standards for future footbridge construction; if so, of the details; if not, the reasons for that; and

(3) as it is learnt that many experts and academics have conducted studies in recent years on the social impact of footbridges, such as the benefits of opening up public spaces on the Mong Kok Footbridge, and that Dubai’s Dubai Walk Master Plan has reportedly incorporated various elements into walkway design to transform them into meeting places and spaces for social interaction, whether the authorities have now obtained relevant data and empirical evidence to further optimise the use of public spaces on footbridges; if so, how the authorities plan to enhance existing footbridges; if not, of the reasons for that?

Reply:

President,

​In consultation with the Development Bureau, Highways Department (HyD) and Transport Department (TD), the consolidated reply to the question raised by the Hon Kong is as follows:

(1) At present, there are 731 footbridges maintained by the HyD, of which 280 are equipped with lifts. Among the remaining footbridges without lifts, about 70 per cent of them have already met the standards for barrier-free access (e.g. equipped with ramps, at-grade alternative crossings, or connected to buildings with barrier-free access), while about 15 per cent have been confirmed to be unsuitable for retrofitting barrier-free access facilities due to various factors (such as insufficient space). 

The Government has all along been committed to retrofitting barrier-free access facilities at public walkways. Since the launch of the Universal Accessibility (UA) Programme in August 2012, the Government has been actively providing more barrier-free access facilities (i.e. lifts and ramps) at public walkways (i.e. public footbridges, elevated walkways and pedestrian subways) to facilitate access by the public. In order to benefit more members of the public, the scope of the UA Programme, initially covering only public walkways maintained by the HyD which were not equipped with any barrier-free access facilities, has been expanded to cover existing walkways that are equipped with standard ramps, provided that certain criteria are met. In 2019, the Government introduced a special scheme to retrofit lifts at footbridges, pedestrian subways, and elevated walkways in estates under the Tenants Purchase Scheme, Buy or Rent Option Scheme and public rental housing estates with properties divested under the Housing Authority, provided that certain criteria are met.

The HyD has been pressing ahead with the implementation of a total of 382 items under various phases of the UA Programme. As at end March 2025, 239 items under the UA Programme were completed, including retrofitting of lifts at 151 public footbridges maintained by the HyD. The HyD is pressing ahead with the remaining items of the UA Programme to ensure that they will be completed in phases as planned for the benefit and convenience of the public. In the next four years, the HyD will progressively complete the installation of lifts at 64 public footbridges. By then, the number of footbridges equipped with lifts will increase to 344.

(2) In considering the need for public footbridges, the TD will take into account, on a project-by-project basis, factors such as the anticipated pedestrian utilisation rate, the characteristics and layout of the road concerned (including traffic flow and speed), road safety and traffic capacity, the desired pedestrian path (in terms of convenience, comfort and safety, etc), the availability of other nearby crossings, the connectivity of the footbridge with the nearby developments and walkway systems as well as the relevant public views.

The TD closely monitors the utilisation of public footbridges, including deploying staff to conduct site surveys in a timely manner to collect data on pedestrian flow and reviewing the views provided by residents and stakeholders in the vicinity as well as considering appropriate enhancement measures, such as suitably adjusting directional signs and providing barrier-free facilities in light of the site environment and traffic conditions as necessary, in order to attract the public to make good use of the footbridges. As the TD has already been effectively monitoring the utilisation of public footbridges, it has no plan to install statistical monitoring devices at existing footbridges.

(3) From the perspective of town planning and design, existing planning guidelines encourage the consideration of landscape design when planning the construction of footbridges. If there is sufficient space, the design of landscaped decks can be considered to be adopted for pedestrian links while landscaping, installation of seats and public art elements can be added to the links to enhance the experience of pedestrians.

     The TD also welcomes the opportunity to collaborate with relevant departments/project proponents, including the adoption of the Pedestrian Planning Framework in the pedestrian planning for new development areas to formulate and implement suitable pedestrian facility measures, with a view to widening the walking space and providing a comprehensive pedestrian network. In formulating the framework, the TD has studied the local walkability and planning needs and took reference from economies outside Hong Kong, including those in the Mainland, Asia, Europe and North America. The newly developed Pedestrian Planning Framework has been in use since 2022 to assist in creating a pedestrian-friendly walking environment and promoting walking as a sustainable mode of mobility.

LCQ19: Special 100% Loan Guarantee

Source: Hong Kong Government special administrative region

LCQ19: Special 100% Loan Guarantee 
Question:
 
     The Government launched the Special 100% Loan Guarantee (Special Loan) under the SME Financing Guarantee Scheme to assist small and medium enterprises in tiding over the difficulties. In this connection, will the Government inform this Council:
 
(1) of the criteria for classifying default cases under the Special Loan; the respective cumulative default rates of the 80% Guarantee Product, the 90% Guarantee Product and the Special 100% Guarantee Product under the Special Loan as at the end of last month;
 
(2) given that the representative of the Hong Kong Monetary Authority (HKMA) indicated at the meeting of the Panel on Financial Affairs of this Council on February 3 this year that the HKMA noted an upward trend in the latest default rate of the Special Loan, and that recovery actions had been taken against enterprises which had been in malicious default, of the specific work plan of the authorities to deal with cases which had been in default to minimise the occurrence of defaults; the success rate of the recovery actions concerned;
 
(3) regarding the cases involving failure to make repayments, of the estimates of the required provision coverage as confirmed by the authorities; as it is learnt that the HKMA has been, in conjunction with the banks, discussing with the borrowing enterprises to assist those borrowing enterprises which have become unable to make repayments in terms of their repayment arrangement, as well as to reach a debt restructuring arrangement in an endeavour to restore the loan quality of the relevant cases to a favourable level, whether it knows the number of successful cases; and
 
(4) as it is learnt that the HKMC Insurance Limited has taken appropriate actions in respect of cases which may involve illegal acts, including issuing clear guidelines to lending institutions participating in the Special Loan, taking legal actions through lending institutions and reporting to law enforcement agencies, of the number of cases which needed to be reported to law enforcement agencies as at the end of last month?
 
Reply:
 
President,
 
     The Special 100% Guarantee Product of the SME Financing Guarantee Scheme (SFGS) was launched in 2020 and its application period ended in end-March 2024. The consolidated reply of the Government to the question is as follows:
 
     Under the SFGS, a defaulted loan overdue for more than 90 days, with its default claim process commenced or completed, will be considered as a bad debt. As at end-April 2025, the cumulative default rates of the 80%, 90% and Special 100% Guarantee Products under the SFGS were about 5.2 per cent, 4.2 per cent and 15.6 per cent respectively, lower than the assumed overall default rates (12 per cent, 16 per cent and 25 per cent respectively).
 
     The HKMC Insurance Limited (HKMCI) has been working closely with lending institutions on properly handling the default cases. In the event that a borrowing enterprise defaults on repayments, the lending institution will first discuss a feasible repayment plan with the borrowing enterprise, e.g. repaying only the interest or part of the principal during a transition period, so that the borrowing enterprise can continue its operation while making a debt restructuring arrangement as soon as possible, with a view to gradually resuming normal repayments. If the lending institution and the borrowing enterprise could not reach agreement on the repayment or the latter refuses to co-operate, the lending institution will consider taking appropriate recovery/legal actions in accordance with its policy and prevailing commercial practice, including requesting the enterprise and guarantor to repay the loan, filing a petition for winding-up and/or bankruptcy with the court, etc with a view to reducing the loss of the Government.
 
     As at end-April 2025, lending institutions (including through their debt collection agencies) have been taking recovery actions against around 5 400 default cases of the Special 100% Guarantee Product, and have already taken or are taking legal actions against around 3 500 cases (including cases where the relevant creditors have applied for liquidation/bankruptcy against the borrowing enterprises due to the latter’s default on debts other than the Special 100% Guarantee Product). The outstanding amounts have been recovered in full or in part from more than 30 per cent of the approximately 8 900 cases mentioned above upon taking relevant recovery actions.
 
     The SFGS is administered and managed by the HKMCI. The Hong Kong Monetary Authority is not involved in the implementation of the SFGS. The Government needs to budget for the various expenses for implementing the SFGS every year, including payments of servicing fee in respect of the Special 100% Guarantee Product to the participating lending institutions, payments to the HKMCI to cover the administrative costs and the necessary out-of-pocket expenses as well as the default claim payments. In the 2024-25 financial year, the relevant revised estimates were $12.5 billion. Nevertheless, the actual default rates of the SFGS are subject to change having regard to the overall economic environment and the operational situation of individual borrowing enterprises, etc. The Government and the HKMCI will continue to monitor the situation closely, and duly adjust the annual estimates for implementing the SFGS.
 
     As at end-April 2025, 3 519 applications of the Special 100% Guarantee Product, involving around $10.5 billion of loans, are suspected to have involved illegal activities, including using false instruments, providing false information or declarations, etc. Among them, 1 512 cases (involving around $5 billion of loans) were already rejected by the HKMCI and/or the lending institutions during application assessment, while the other 2 007 cases (involving around $5.5 billion of loans) were found after loan drawdown. The HKMCI and/or the lending institutions have taken appropriate actions, including reporting the cases that may have involved illegal activities to law enforcement agencies (LEAs), and providing relevant information in accordance with the actions of the LEAs.
Issued at HKT 11:40

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LCQ22: Liquor duty

Source: Hong Kong Government special administrative region

     Following is a question by the Hon Jimmy Ng and a written reply by the Secretary for Commerce and Economic Development, Mr Algernon Yau, in the Legislative Council today (May 21):

Question:

     The 2024 Policy Address announced the reduction of the duty rate for liquor. There are views pointing out that reduction of liquor duty will help promote liquor trading, and at the same time benefit industries such as catering, hotel, logistics, warehousing, auctioning, financial and professional services, arousing public concern about whether the Government will further reduce liquor duty. In this connection, will the Government inform this Council:

(1) whether it has compiled statistics on the respective numbers of additional companies engaging in the liquor-related businesses and new jobs in the liquor-related industries after the reduction of liquor duty;

(2) as it has been reported that the Government will review in a timely manner whether liquor duty will be further reduced, of the details of the relevant work (including the estimated time required for the work and the staff establishment involved); and

(3) whether it will make reference to the successful experience of abolishing the duty on wine and study the complete abolition of liquor duty as early as possible; if so, of the details; if not, the reasons for that?

Reply:

President,

     Having consulted the Census and Statistics Department (C&SD), the consolidated reply to the question raised by the Hon Jimmy Ng is as follows:

     According to the results of the Quarterly Survey of Employment and Vacancies conducted by the C&SD, as of the end of 2024, the number of establishments in alcoholic beverage-related industries (Note), covering liquor, wine, beer, etc., was around 2 130 with approximately 6 720 persons engaged, representing an increase of 110 establishments and a decrease of 270 persons respectively compared to the end of 2023. Nonetheless, the C&SD does not compile statistics broken down by type of alcoholic beverage. In fact, most companies selling alcoholic beverages also sell liquor and other alcoholic beverages at the same time, making it difficult to distinguish businesses specifically related to liquor.

     Since the reduction of duty rate on high-end liquor until late April this year (i.e. a 6.5 month period), we note that the volume of duty-paid liquor imported (in litre) rose by more than 15 per cent as compared with the 6.5-month period before the reduction of duty rate, while its value went up significantly by nearly 60 per cent, reflecting that the two-tier system introduced by the Government is effective in boosting high-end liquor trading. Moreover, the trade grasped the opportunity brought about by the reduction of liquor duty and organised various kinds of wine and spirits fairs, in which the proportion of liquor on sale has evidently risen. Some liquor traders have also lowered the prices of liquors. The response of the market has been positive.

     We understand that the trade welcomes the measure and considers it conducive to increasing business opportunities. Regarding the suggestion from some members of the trade that the Government should further reduce or even abolish the duty for liquor, we would like to reiterate that the purpose of lowering liquor duty is to encourage the trade and auctions of high-end liquor in Hong Kong, thereby giving impetus to the development of other high value-added sectors such as logistics and storage, tourism as well as high-end food and beverage consumption. At the same time, we are also mindful of the need to avoid increasing liquor consumption among the public as a result of reducing liquor duty, thereby leading to other problems.

     When introducing the relevant measures, the Government has fully balanced different policy considerations such as promoting economic development, maintaining stable public finances and protecting public health. We will closely monitor the development of the liquor trade and review the effectiveness of the measures in a timely manner. Any further adjustments will require careful consideration of the impact on different aspects with prudent planning.

Note: Alcoholic beverage-related industries refer to manufacture of beer, manufacture of alcoholic beverage other than beer, export trading of alcoholic drinks, import for wholesale of alcoholic drinks, wholesale of alcoholic drinks, and retail sale of alcoholic beverages in specialised stores.

LCQ1: Combating the offence of shopfront extension

Source: Hong Kong Government special administrative region

     Following is a question by Dr the Hon Lo Wai-kwok and a reply by the Secretary for Environment and Ecology, Mr Tse Chin-wan, in the Legislative Council today (May 21):

Question:

     In 2023, the fixed penalty for the offence of shopfront extension was increased to $6,000. However, some members of the public have reflected that law enforcement officers have not issued fixed penalty notices (FPNs) in accordance with the Fixed Penalty (Public Cleanliness and Obstruction) Ordinance when enforcing the law, but have instead instituted prosecution by way of summons under the Summary Offences Ordinance. If a defendant pleads guilty by letter and the court accepts the plea, the fine imposed under the Magistrates Ordinance will not exceed $2,000. In this connection, will the Government inform this Council:

(1) of the respective numbers of FPNs and summonses issued by the Government for the aforesaid offence since the increase in the fixed penalty, along with the respective amounts of fines involved; the respective numbers of first-time and repeated offenders among these cases, how many times each repeated offender has committed the offence, and the amount of fines imposed on each occasion; the number of convicted persons sentenced to a fine of $6,000 or more, or to imprisonment, and the fines and terms of imprisonment imposed;

(2) whether it has regularly reviewed the criteria for issuing FPNs and summonses by law enforcement officers, including how discretionary powers are exercised; if so, of the details; if not, the reasons for that; and

(3) whether it has studied ways to ensure proportionality between penalties and offences, as well as consistency in sentencing in the course of the enforcement and adjudication of the aforesaid offence, and further explored the possibility of increasing the penalty to enhance its deterrent effect, including the introduction of progressive fixed penalty; if so, of the details; if not, the reasons for that?

Reply:

President,

     Shopfront extension not only affects road access and environmental hygiene, it also causes nuisance to pedestrians and traffic. It is one of the environmental hygiene and street management issues of major concern to the public. At present, if the Food and Environmental Hygiene Department (FEHD) found shopfront extension situation during inspections, the offenders would be issued with fixed penalty notices in accordance to the Fixed Penalty (Public Cleanliness and Obstruction) Ordinance (Cap. 570), or prosecuted for “obstruction of public places” under the Summary Offences Ordinance (Cap. 228).

     To more effectively sustain environment cleanliness, we have conducted a comprehensive review on environmental hygiene-related legislations and put forward relevant amendments. At the end of 2023, the fixed penalty level for shopfront extension, among other offences, was increased from $1,500 to $6,000; and the maximum fines which may be imposed by the Court was raised from Level 2 ($5,000) to Level 4 ($25,000). If shops made repeated violation within a short period, the FEHD can issue multiple fixed penalty notices to further increase the cost of non-compliance. After the new penalty has taken effect for a year, the number of fixed penalty notices issued against shopfront extensions was 90 per cent less than that in the previous year. At the end of 2024, we further introduced the second-stage legislative amendments to enhance enforcement effectiveness and efficiency, including to introduce new clauses on shopfront extension under the Public Health and Municipal Services Ordinance (Cap. 132), allowing the FEHD to require shops to remove obstructing articles without requiring police presence, and in cases where no owners of the articles have come forward, the department to remove the articles. The second-stage legislative amendments were passed by the Legislative Council after its third reading on May 8 this year and will take effect on August 17.

     My responses to the question raised by Dr the Hon Lo Wai-kwok are as follows:

(1) We increased the fixed penalty levels and maximum penalty that the Court may imposed for “obstruction of public places” in 2023. Since the new penalty level took effect until March 31 this year, the FEHD issued 1 593 fixed penalty notices of $6,000 each against retail shops causing “obstruction of public places”. The FEHD does not maintain a record of individuals receiving multiple fixed penalty notices. During the same period, the FEHD issued summonses to 29 offenders involving 36 prosecutions, of which 32 cases have been concluded with convictions. The fines range from $300 to $6,500, with five cases of $6,000 fine or above. Among the 29 offenders, four had committed violations for two to five times, with fines ranging from $500 to $6,500.

(2) In general, enforcement by fixed penalty notices is targeted at cases which are simple, straightforward, clear-cut and capable of being easily established, such as when shop operators were caught red-handed and admit to illegal shopfront extension. Where a case is contentious, more serious or complicated, they would be prosecuted by issuing summonses, such as when shops causing obstruction are also suspected of deploying staff to conduct illegal hawking activities on the street outside the shop, thus involving also illegal hawking offences; or involving repeated offenders. Sometimes enforcement officers cannot easily identify the offenders of shopfront extension on-site and need further investigation and some cases also require police assistance, such as when offenders refuse to show identification documents or assault enforcement officers. Some people also obstruct and impede officers in the discharge of their duties in a deliberately abusive manner. In these situations, enforcement officers will issue summonses or even make arrests, and refer the cases to the Court for judgment according to evidence.

     The FEHD has extensive experience in handling shopfront extension cases and has established guidelines and provided training for frontline staff. Frontline staff will, according to the guidelines, make prosecution decisions based on the actual circumstances and specific evidence of each case, and report to supervisors according to guidelines. Currently, 98 per cent of shopfront extension by retail shops are handled by issuing fixed penalty notices.

     I have personally reviewed all the 36 summon cases. Among them, 31 cases involved more than one offences requiring handling by summonses, three cases involved disputes requiring police assistance, one involved a repeat offender who had previously received 18 fixed penalty notices and another involved serious large-scale obstruction. All these cases complied with the enforcement guidelines.

(3) During the first-stage legislative review, considering that the number of fixed penalty notices issues for “obstruction of public places” nearly doubled from 2019 to 2021, from about 7 600 to nearly 14 900, and the number of complaints increased from about 15 000 to over 23 500 during the same period, we increased the penalty levels to strengthen deterrent effect. As mentioned earlier, since the new penalty levels took effect at the end of 2023, there has been notable improvement in shopfront extension situations with visible results.

     In light of this, when taking forward the second-stage legislative amendments, we considered that there is, at this stage, no need to introduce a progressive penalty system. We can first observe the overall effect of the legislative amendments in deterring shopfront extension. If necessary, we can further review whether to introduce progressive penalty system or further increase the maximum penalties that courts can impose in the future.

     As regards the penalties imposed for cases prosecuted by summons, the Court makes judgment according to circumstances of individual cases. Prosecution officers will provide necessary information to the Court, including case details, conviction records of offenders and relevant case statistics. To better assist the Court in making judgments, the FEHD will explore with the Department of Justice whether there is room for improvement in how the prosecution presents cases and provides information. In addition, if the penalty of an individual case is clearly too lenient, the Government will seek Court’s review through the Department of Justice.

     Thank you, President.

LCQ18: Planning of site of former St. Joseph’s Home for the Aged

Source: Hong Kong Government special administrative region

     Following is a question by the Hon Tang Ka-piu and a written reply by the Secretary for Development, Ms Bernadette Linn, in the Legislative Council today (May 21):
 
Question:
 
According to the Approved Ngau Chi Wan Outline Zoning Plan No. ‍S/K12/18, the site of the former St. Joseph’s Home for the Aged is zoned for use as Comprehensive Development Area. It has been reported that in July last year, the Buildings Department (BD) granted the building plan for the site (the building plan), approving the construction of five 54-storey buildings (the project), which involves about 137 000 square metres of residential gross floor area (GFA) and about 63 000 square metres of non-‍residential GFA. In this connection, will the Government inform this Council:
 
(1) of the number of residential units, the population capacity, the number of parking spaces (set out by vehicle type), the number of loading and unloading spaces (set out by vehicle type), the commercial floor area, the floor area of community facilities (set out by proposed uses) and the open space area of the project, as well as the respective anticipated dates of intake/commissioning of such residential units, parking spaces and various facilities;
 
(2) as it has been reported that the proposed numbers of podium floors and building floors as well as the proposed non-residential GFA in the building plan are different from the information stated in the developer’s application for planning permission A/K12/42 submitted to the Town Planning Board (TPB) in 2021, and that according to the information on TPB Statutory Planning Portal 3, the applicant of the planning permission had withdrawn the application, of which application for planning permission or other documents the BD had based in granting the building plan;
 
(3) given that there are three Grade 2 historic buildings within the area of the project, whether it knows the plans put in place by the developer of the project to conserve and revitalise such buildings;
 
(4) given that according to the application for planning permission A/K12/42 submitted by the developer of the project, a 24-hour barrier-free pedestrian link connecting Choi Hung MTR Station and Choi Wan Estate is proposed to be provided in the project, whether it is still planned to construct such a pedestrian link under the building plan; if so, of the details; if not, the reasons for that;
 
(5) as there are views that the additional population to be generated by the project will add to the burden on Clear Water Bay Road, Choi Hung Interchange and Choi Hung MTR Station, and taking into account the developments of the public housing at Ngau Chi Wan Village and the Choi Hung Estate redevelopment project, whether the authorities have assessed the impact of the project on the traffic in the vicinity when vetting and approving the project; if so, of the plans in place to avoid the traffic in the vicinity of the project and the congestion at Choi Hung Station from worsening, in particular, how to avoid bringing additional traffic flow to Clear Water Bay Road, and whether it will consider making good use of the land vacated after the demolition of Choi Hung Estate to improve the traffic congestion at Choi Hung Interchange; and
 
(6) whether, in vetting and approving the project, the authorities have considered the land space that may be required for the Smart and Green Mass Transit System in East Kowloon to be set up with a station in the vicinity of the project and even have to be extended to the west, and requested the developer to reserve the relevant land; if so, of the details; if not, the reasons for that?
 
Reply:
 
President:
 
Replies to the Hon Tang Ka-piu’s questions are as follows:
 
(1) and (2) The site of the former St. Joseph’s Home for the Aged is zoned “Comprehensive Development Area” in the relevant outline zoning plan. According to the Town Planning Ordinance, developers must submit a Master Layout Plan (MLP) to the Town Planning Board (TPB) for approval through a planning application. The plan should set out the floor space for different uses, the layout and height of buildings, and information about the public facilities, etc. Only after the planning application is approved may developers proceed with the development, including the construction works.
 
     As pointed out by the questions, the developer has withdrawn its planning application submitted in 2021. In fact, the developer has submitted, and obtained approval for, a number of planning applications in the past, and the MLP currently in effect is planning application A/K12/34-2 approved by the TPB in February 2010. The building plan approved by the Buildings Department (BD) in July 2024 was based on this approved planning application.
 
     According to the MLP under planning application A/K12/34-2, the proposed development includes five residential towers of 54 stories, involving 2 058 flats and an estimated population of around 5 800 residents, a seven-storey podium for shops, restaurants, residential care home for the elderly, kindergarten, recreational facilities, and carparking facilities, as well as a four-level basement with shops and carpark. The proposed development will provide around 530 private car parking spaces, around 60 motorcycle parking spaces, around 80 light goods vehicles parking spaces, and one light bus parking space. It will also provide around 50 loading/unloading bays, among which five are for the residential portion while more than 40 are for the shops and restaurants. In terms of floor area, the gross floor area (GFA) of the proposed development is around 201 000 metre square, among which domestic and non-domestic GFA are around 137 000 and 63 800 metre square respectively. The non-domestic GFA includes around 53 500 metre square of commercial GFA and around 4 600 metre square of community facility GFA. The public open space will be no less than 2 200 metre square.
 
We have no information on the latest intake date of the development (e.g. residential flats). According to the land lease, before the end of the building covenant period set out in the land lease (i.e. September 30, 2028), the developer has to complete the construction of the minimum GFA stipulated (i.e. 60 per cent of the maximum GFA allowed) and secured the occupation permit from the BD. The land lease also stipulates that certain facilities need to be completed by a certain date, such as the public light goods vehicles parking spaces, as well as the footbridge to Choi Wan Estate, etc.
 
(3) The Villa, Gate House, and Dormitory A of the former St. Joseph’s Home for the Aged were confirmed by the Antiquities Advisory Board as Grade 2 historic buildings in February 2010. When the TPB approved planning application A/K12/34-2 in 2010, one of the approval conditions requires the owner(s) to submit and implement a conservation management plan (CMP) for the three historic buildings. According to the CMP submitted by the owner(s) in 2013, the three historic buildings will be preserved in-situ and revitalised for adaptive reuse. A heritage exhibition area will be set out to display relevant artifacts and public visit arrangements will be formulated. The Antiquities and Monuments Office will continue to provide professional technical advice from the heritage conservation perspective to the owner(s) and relevant government departments to ensure proper conservation of the three historic buildings.
 
(4) As aforementioned, the MLP currently in effect is planning application A/K12/34-2 approved in 2010. The land lease, which is based on the said MLP, has stipulated that the developer is responsible for the design, construction, and maintenance of the footbridge linking the development to Choi Wan Estate, and the footbridge should be barrier-free and accessible round the clock. According to the land lease, the developer only has to reserve space for and construct the connection of the pedestrian link to Choi Hung MTR Station.
 
(5) The Transport and Logistics Bureau (TLB) advised that the developer has already conducted traffic impact assessment for the development concerned when making planning applications in the past, and supplemented information/updated the assessment subsequently in view of developments in the district, so as to ensure that the development concerned will not have significant impacts on local traffic. The last update of the assessment was in March 2024. When updating traffic impact assessment, the developer took into consideration planned and due-for-completion development projects nearby. For example, the updated assessment has taken into account the Ngau Chi Wan Village public housing project. According to the traffic impact assessment updated in March 2024, the development concerned will not cause insurmountable traffic impacts upon implementation of related traffic improvement measures.
 
     To facilitate the implementation of the development, the developer will carry out a series of traffic improvement measures, which mainly include:
 
(i) Provision of new bus laybys on Clear Water Bay Road (on the kerbside outside the development) to facilitate relocation of the existing bus and minibus stops outside Ngau Chi Wan Market to the new bus laybys and the nearby public transport terminus, so as to alleviate the traffic congestion outside Ngau Chi Wan Market caused by boarding/alighting of bus and minibus passengers;
 
(ii) Construction of a covered footbridge across Clear Water Bay Road for connection to New Clear Water Bay Road (near Sau Man House, Choi Wan (1) Estate) and the existing covered footbridge across Clear Water Bay Road, removal of the existing at-grade pedestrian crossing at the junction of Clear Water Bay Road and New Clear Water Bay Road, and adjustment of the traffic signal control at the junction to meet the future traffic demand and to increase the traffic capacity of the junction; and
 
(iii) Extension of the existing Ping Ting Road East by constructing an elevated carriageway to connect to the vehicular access of the development, and implementation of traffic management plan at the internal carpark in order to effectively divert some of the traffic away from the vehicular access at Clear Water Bay Road.
 
     In response to the Government’s request, the developer will allocate sufficient space for accommodating vehicles heading to the retail facilities to wait within the boundary of the development for access to the carpark, so as not to affect nearby traffic.
 
Furthermore, the traffic impact assessment for the redevelopment of Choi Hung Estate conducted by the Government will take into account the traffic impact arising from the aforementioned private development, and will also take the opportunity of redeveloping Choi Hung Estate to explore feasible options to improve road traffic at Choi Hung Interchange and surrounding areas.
 
(6) The TLB advised that the proposed Choi Hung East Station of the Smart and Green Mass Transit System in East Kowloon will be located on the east side of the development concerned, and space will be reserved in the design to retain the feasibility of extending the system to the northwest in the future. Following the principle of minimising impact on private land, the Government will maintain close communication and collaboration with the developer of the development concerned to facilitate the construction works of the system.

LCQ16: Commemorative activities for 80th anniversary of victory in War of Resistance

Source: Hong Kong Government special administrative region

Following is a question by the Hon Chan Yung and a written reply by the Secretary for Constitutional and Mainland Affairs, Mr Erick Tsang Kwok-wai, in the Legislative Council today (May 21):
 
Question:
 
This year marks the 80th anniversary of victory in the War of Resistance, and Guangdong, Hong Kong and Macao will also co-host the 15th National Games (15th NG) this year. In this connection, will the Government inform this Council:
 
(1) given that in its reply to my question on February 26 this year, the Government indicated that the Working Group on Patriotic Education would co-ordinate various policy bureaux and government departments in launching a series of commemorative activities for the 80th anniversary of victory in the War of Resistance, of the current progress of the Government’s preparation for such activities; and
 
(2) whether it will consider combining the publicity work for the 15th ‍NG and the commemorative activities for the 80th anniversary of victory in the War of Resistance to achieve a synergy effect, thereby creating a widespread atmosphere of affection for our country and Hong Kong?
 
Reply:
 
President,
 
Having consulted the relevant bureaux, a consolidated reply in response to the questions raised by the Hon Chan Yung is as follows:

This year marks the 80th anniversary of victory in the War of Resistance as well as the victory of the World Anti-Fascist War. As mentioned in the reply in February this year, the Working Group on Patriotic Education led by the Chief Secretary for Administration has been co-ordinating the relevant bureaux and departments in launching a series of commemorative activities, and relevant preparations are progressing steadily. A diverse range of activities with rich content are under planning, including a memorial ceremony, thematic exhibitions, educational programmes for the public and students, enhancement of hiking trails and related tourism supporting facilities, as well as production of thematic videos for extensive promotion. Through such activities, we hope the members of the public would remember history and pay tribute to the martyrs. Specific examples include:
 
(1) The HKSAR Government will host a solemn official ceremony at the Hong Kong City Hall Memorial Garden on September 3, the Victory Day of the War of Resistance, to honour the occasion;
 
(2) The Home Affairs Department will provide funding and support to organisations for staging commemorative activities in the community, for instance, talks by veterans to recount their experiences during the War, and film shows about the War, with a view to deepening the understanding among members of the public about the historical events of the War on the Mainland and in Hong Kong, and fostering their sense of patriotism;
 
(3) The Hong Kong Museum of History of the Leisure and Cultural Services Department (LCSD) is working with the National Museum of China on co-organising a large-scale thematic exhibition; the Hong Kong Museum of the War of Resistance and Coastal Defence will jointly organise a thematic exhibition with the Guangdong Museum of Revolutionary History; and the LCSD will also organise a thematic talk “Reapproaching the Japanese Occupation of Hong Kong from interactive map, 1941-1945” and a book display “Days of War” at the Hong Kong Central Library, as well as book displays, photo exhibitions and thematic talks at public libraries in different districts. Besides, the LCSD is planning for an array of workshops, field trips, and film screenings, etc;
 
(4) The Education Bureau is planning a series of activities including an academic seminar on the 80th anniversary of victory in the War of Resistance, a lecture on the historical contributions of the Hong Kong and Kowloon Independent Brigade of the East River Column, roving exhibitions at schools on the history of the War, a territory-wide comic creative competition for secondary school students on the theme of the War, and field study tours on the history of the War on the Mainland and in Hong Kong;
 
(5) Through the “HYAB Funding Scheme for Youth Exchange in the Mainland” in 2025-26, the Home and Youth Affairs Bureau (HYAB) provides funding to around 20 non-governmental organisations to organise youth exchange programmes with the theme of the 80th Anniversary of Victory in the War of Resistance, offering around 1 000 places. Also, the HYAB will co-ordinate the youth uniformed groups and non-governmental organisations in organising the relevant activities;
 
(6) The Agriculture, Fisheries and Conservation Department (AFCD) is enhancing the tourism supporting facilities of hiking trails with historical significance during the War, including the Lion Rock Historic Walk, Shing Mun War Relics Trail and Luk Keng War Relics Trail. The AFCD also installed interpretation panels at the Robin’s Nest Country Park to introduce the war relics there and the contributions of nearby villagers during the War, and produced and broadcast videos on social media platforms to let the public learn about the war history in the Robin’s Nest and Lin Ma Hang areas; and
 
(7) The Information Services Department is producing a mini drama themed “Commemorating the 80th Anniversary of Victory in the War of Resistance”.
 
The specifics of the above activities are being worked out. We would announce the details in due course. Apart from the abovementioned activities which are spearheaded by government bureaux/departments, we understand that many community groups or organisations also intend to organise commemorative activities in various forms.

LC: Speech by CS in presenting Government Minute in response to Report No. 83 of Public Accounts Committee

Source: Hong Kong Government special administrative region

​Following is the speech (translated from Chinese) by the Chief Secretary for Administration, Mr Chan Kwok-ki, in presenting the Government Minute in response to Report No. 83 of the Public Accounts Committee in the Legislative Council today (May 21):

President,

     Laid on the table today is the Government Minute (GM) responding to Report No. 83 of the Public Accounts Committee (PAC) presented to the Legislative Council (LegCo) on February 19, 2025.

     I welcome the Report of the PAC and am grateful for the time and efforts devoted by the Chairman of the PAC, Mr Shiu Ka-fai, and members of the PAC. The Government accepts the PAC’s various recommendations and sets out in detail in the GM the specific responses of the relevant bureaux and departments (B/Ds). The PAC conducted public hearings on the chapters on “Nano and Advanced Materials Institute” and “Tuen Mun – Chek Lap Kok Link”. I would like to highlight the key follow-up measures taken and progress made by the Government and relevant organisations in response to the PAC’s recommendations.

Nano and Advanced Materials Institute

     First, the Nano and Advanced Materials Institute (NAMI). Regarding project management, NAMI would set both ambitious and feasible targets in comprehensive consideration of factors such as economic environment, market demand, NAMI’s technological development, business development plans and human resources. To improve patent management, NAMI will conduct regular market demand analyses, strengthen co-operation with universities, research institutes and enterprises, enhance market promotion and brand building. To improve the level of laboratory safety management, NAMI has enhanced the inspection procedures and requirements. For any non-compliance identified, remedial actions or improvement measures must be documented by staff of NAMI in detail and submitted to Research and Development (R&D) Director and Chief Technology Officer for endorsement.

     The Innovation and Technology Commission (ITC) would continue to encourage NAMI to liaise with the industry to explore room of co-operation, as well as promote wider participation from the industry in R&D. On the other hand, NAMI would also endeavour to transfer technology to the industry and promote commercialisation of project deliverables etc, convincing the industry with actual results that the applied R&D work of NAMI can help address enterprises’ pain points as well as improve their productivity and competitiveness. The ITC raised the target “Level of Industry and Other Income” to 40 per cent in 2024-25, and would explore the possibility of further raising the target to 50 per cent in the long run with a view to further encouraging R&D Centres to strengthen co-operation with the industry.

     The ITC agreed that there was room for improvement in NAMI’s relevant guidelines in business travel arrangements, claims for subsistence allowances and entertainment expenses. NAMI revised the guidelines in the fourth quarter of 2024, which clearly set out the corresponding approval mechanism and arrangements for staff at all levels; optimised the approval procedures for modification of business travel arrangement due to personal reasons/overspending of subsistence allowances and entertainment expenses; specified the NAMI staff to guest ratio for entertainments, and so on. The new guidelines stipulate that all subsistence allowances and entertainment expenses involving the Chief Executive Officer must be approved by the Chairperson of the Board. The new guidelines also clearly state that employees should avoid modifying the itinerary of business trips due to personal reasons and need to bear the additional costs involved.

     The ITC has implemented a series of control measures for R&D projects funded by the Innovation and Technology Fund, including: (i) assessing whether the estimates of expenditure set out in the project proposals are reasonable and meet the actual R&D needs when reviewing NAMI’s applications; (ii) requiring NAMI to submit progress/final reports and audited accounts for launched projects to facilitate assessment on project deliverables and spending; and (iii) requiring NAMI to return all unspent funds to the Government upon project completion. The ITC will continue to follow the principle of prudent financial management and control the operating expenditure of the R&D Centres in order to ensure the proper use of public money in fostering innovation and technology.

Tuen Mun – Chek Lap Kok Link (TM-CLKL)

     As regards the TM-CLKL project, it comprises eight inter-related works contracts and the scale of works is large and complex. On the supervision of consultants of public works projects, the Development Bureau (DEVB) will reflect the consultants’ performance in their quarterly performance assessment reports at various implementation stages of public works projects in order to take appropriate regulatory actions when necessary, including suspending the consultant’s eligibility to tender or removing the consultant from the list of consultants. Besides, the consultancy agreement for public works projects has clearly stipulated that the consultants shall indemnify the Government for any claims, damages, losses or expenses arising from their professional negligence in their performance of duties or provision of services to protect the Government’s interests. The DEVB will continue to review the performance evaluation system for consultants and, where necessary, introduce enhancement measures to prompt consultants to improve their service performance.

     Regarding the tender evaluation mechanism, the past performance scores of public works consultants and contractors currently account for 20 to 40 per cent of their technical scores in future tenders, which has considerable impact on their chances of winning future tenders. In addition, the DEVB has already established a mechanism to deal with public works consultants and contractors who seriously violate regulations or whose performance is extremely unsatisfactory, including suspending their eligibility to tender or removing their names from the relevant approved lists of consultants and contractors. The DEVB believes that the relevant measures can effectively drive consultants and contractors to improve their service quality so as not to affect their chances of winning tenders in the future.

     Regarding the management of works contracts, works departments have made more extensive use of the “New Engineering Contract” form in public works contracts in accordance with the prevailing guidelines issued by the DEVB. “New Engineering Contract” introduces an early warning mechanism to encourage the client’s representatives and contractors to identify and raise potential risks that may affect the project at an early stage, and to jointly negotiate and work out the best solution to facilitate the smooth implementation of the project according to the prescribed framework and timeframes in the contract in the event of any difficulties or problems encountered during construction. On the other hand, the Highways Department has now adopted Building Information Modelling technology and relevant software in the early planning and design stages of the projects to enhance the accuracy of quantity surveying, and is actively exploring the use of new technologies for site investigation, such as geophysical survey technology, to better ascertain the geological conditions and estimate the associated project costs.

     Regarding the management, operation, and maintenance of the Tuen Mun-Chek Lap Kok Tunnel, the Transport Department (TD) will continuously review and assess the staff manning of the tunnel operator, and will timely require the operator to adjust its human resources plan to ensure that manning at all levels meets the requirements of the management agreement. At the same time, the TD will continuously review and, as necessary, refine the criteria for evaluating the overall performance of the operator and the process for preparing quarterly reports to ensure that assessments are completed on time. It will also work with the Electrical and Mechanical Services Department to improve the use of heavy recovery vehicles in the tunnel as mentioned in the report. Furthermore, the TD will continue to explore the application of new technologies to assist the operator in identifying out-of-gauge vehicles, with a view to enhancing traffic safety and management efficiency.

     For the traffic management of TM-CLKL and the relevant road sections in Tuen Mun, the TD will actively and continuously keep under review the traffic conditions in the area and will implement appropriate and effective traffic management measures in a timely manner.

     We understand that the Audit Commission and the PAC are concerned that surplus in the provisions for price adjustments in some of the works contracts had to be deployed to cover additional costs incurred due to unforeseen circumstances under the TM-CLKL project, and have urged works departments of the Government to adhere to the resource allocation originally planned in works projects during their implementation. The DEVB and the Financial Services and the Treasury Bureau (FSTB) are reviewing the current mechanism for utilising resources for public works projects, including areas for optimisation in contingency expenses and price adjustment provisions. The DEVB and the FSTB also plan to strengthen the existing supervisory mechanism and regularly report to the LegCo on the use of provisions for price adjustments in public works projects, so as to further ensure the proper use of resources and to enhance the transparency of resource utilisation and allocation. In addition, the Government has widely adopted parallel tendering arrangement to increase the accuracy of approved project estimates for public works projects. We are confident that the actual total expenditure of this project will remain within the total approved estimate of about $46.7 billion and there will be no cost overrun for the whole project.

     President, I would like to thank the PAC again for its efforts and suggestions. The B/Ds concerned will strictly adhere to their responses and implement various improvement measures as set out in the GM with full efforts.

     Thank you, President.