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Author Archives: hksar gov

LCQ6: Ticketing arrangements for Guangzhou-Shenzhen-Hong Kong Express Rail Link

     Following is a question by the Hon Tanya Chan and a reply by the Secretary for Transport and Housing, Mr Frank Chan Fan, in the Legislative Council today (May 30):
 
Question:
 
     The Hong Kong Section of the Guangzhou-Shenzhen-Hong Kong Express Rail Link is expected to be commissioned in September this year and it will be connected to the national high-speed rail network on the Mainland. It has been reported that the MTR Corporation Limited (MTRCL) will sell, at the West Kowloon Station (WKS), only tickets for the high-speed rail routes plying between WKS and 18 high-speed rail stations on the Mainland (HK routes). Since MTRCL has not been authorised to sell tickets for the other high-speed rail routes (Mainland routes), passengers who wish to change to trains along the Mainland routes after travelling on trains along the HK routes have to buy, in advance, tickets for the Mainland routes at the counters operated by a ticketing agent at WKS or through other means. In this connection, will the Government inform this Council:
 
(1) whether the Government or MTRCL has taken part in the selection of the Mainland ticketing agent that will operate at WKS; whether it knows the way in which the selection was conducted, as well as its procedure, timetable, outcome and criteria, and whether the selection criteria include the level of service fees to be charged and the payment methods for tickets;

(2) whether it knows why MTRCL has not been authorised to sell tickets for the Mainland routes, and the details of the discussion between MTRCL and the China Railway Corporation (CRC) about the ticketing arrangements; the estimated monthly number of passenger trips on trains along the HK routes, the estimated monthly number of passenger trips changing to trains along the Mainland routes after travelling on trains along the HK routes, the estimated service fees for tickets to be charged by the ticketing agent at WKS, and its related monthly income; and

(3) whether it knows if CRC and the ticketing agencies have to obtain the authorisation of MTRCL to sell tickets for the HK routes; if they have to, of the details, and whether the former will charge service fees for tickets; whether MTRCL will set up counters at the high-speed rail stations on the Mainland to sell tickets for the HK routes; if MTRCL will, of the details?
         
Reply:
 
Acting President,
 
     My consolidated reply to the Hon Tanya Chan’s question is as follows:
 
     The national high-speed rail network, currently 25 000 kilometres in length, accounts for over 60 per cent of the total length of high-speed railways around the world. The well-connected rail network has helped create a new mode of commuting and given impetus to the economic development of our country. The Hong Kong Section of the Guangzhou-Shenzhen-Hong Kong Express Rail Link (XRL), with its major works having been completed, is targeted for commissioning in September 2018. The 26 kilometre Hong Kong Section of XRL will connect to the national high-speed rail network, and will significantly reduce the journey time from Hong Kong to Shenzhen, Guangzhou or other cities in the Pearl River Delta region, thus contributing to the promotion of connectivity between Hong Kong and the Mainland. Therefore, both cross boundary journey tickets and Mainland journey tickets can be purchased at the West Kowloon Station (WKS).
 
     According to the Memorandum of Understanding on the Arrangements for Preparation of Key Operational Issues for the Hong Kong Section of the XRL signed between the Transport and Housing Bureau and the China Railway Corporation (CR) on January 29, 2018, the plan will be to operate 127 train pairs daily at the early stage of commissioning, comprising 114 pairs of short haul trains daily during peak periods. The actual number of train pairs will depend on the passenger volume; and 13 pairs of long haul trains daily. The short haul trains will run directly between the WKS and four short haul stations, namely Futian, Shenzhen North, Humen and Guangzhou South stations.  There will be direct long haul trains to 14 stations, namely Beijing, Shanghai, Kunming, Guilin, Guiyang, Shijiazhuang, Zhengzhou, Wuhan, Changsha, Hangzhou, Nanchang, Fuzhou, Xiamen and Shantou stations. Both parties also agreed that the train schedule could be adjusted subject to discussion on the actual operational needs. After the commissioning of the Hong Kong Section of XRL, we will continue to explore with the Mainland authorities additional direct train services to more Mainland cities, and to enhance the ticketing arrangements. 
 
     The Government is in discussion with the CR on the financial and related matters of the Hong Kong Section of XRL and will inform the Panel on Transport of the Legislative Council and the public of the outcomes of the discussion and details of operating arrangements at the appropriate time. The actual operational arrangements and ultimate financial conditions of the Hong Kong Section of XRL will depend on the outcomes of discussion with the CR. The Government will update the related figures based on the outcome of the discussions with CR, including the passenger forecast of the Hong Kong Section of XRL.
 
      At the same time, the MTR Corporation Limited (MTRCL) is discussing with the Mainland high-speed rail operator on the actual operational arrangements, including ticketing matters, of the Hong Kong Section of XRL. According to the arrangement agreed by both sides, through the Hong Kong ticketing system, passengers may buy cross boundary journey tickets, viz. tickets for high-speed trains that start or terminate at the WKS and run to or from the aforesaid four short haul stations or 14 long haul stations. Passengers may, by producing their Hong Kong and Macao Residents Entry and Exit Permits (i.e. Home Return Permits), buy tickets through the Hong Kong ticketing system, including Hong Kong ticketing website, Hong Kong ticketing hotline, ticket office at B1 Level of the WKS, ticket vending machines at the WKS, as well as local travel agencies.  Passengers may then collect their tickets at the ticket office or ticket vending machine at the WKS by producing their Home Return Permits and booking number. The ticket office at the WKS, with 28 counters, will handle cross boundary journey ticketing matters, including buying, collecting, changing and returning of tickets for passengers. There will also be 39 ticket vending machines for passengers to buy and collect their tickets. No service fee will be charged when buying or collecting cross boundary journey tickets in Hong Kong.
       
     For added convenience for passengers, in addition to accepting payment by traditional means such as cash, credit card and Octopus, the MTRCL will consider introducing electronic means of payment popular with passengers in recent years. The MTRCL is also planning to set up service counters for cross boundary journey ticketing at major rail stations in Hong Kong. Details will be announced upon confirmation.
       
     In the future, the Mainland high-speed rail operator will also sell cross boundary journey tickets on the Mainland, and will do so through the existing sales channels and arrangements. As far as we understand, no service fee will be charged for purchases of train tickets at Mainland stations or through the Mainland website and ticketing hotline, and for the subsequent pick-up at ticketing counters or ticket vending machines in Mainland stations.
 
     Mainland journey tickets, i.e. tickets for journeys that start and terminate at Mainland stations, are in fact already available for purchase in Hong Kong. They are sold at ticket outlets operated by agents in Hong Kong under the authorisation of the Mainland high-speed rail operator. Since the provision of such service involves certain costs, the agents have been charging service fees. 

     Apart from using such local agents, Hong Kong passengers may, with their Home Return Permits, purchase Mainland journey tickets at ticketing counters in Mainland stations, or at ticket vending machines compatible with the Permit at these stations. Passengers who have a Mainland-registered mobile phone number may also register an account and purchase tickets on the Mainland’s official ticketing website (i.e. the “12306” website of the China Railway Customer Service Center). Further, passengers may order their tickets through the Mainland’s ticketing hotline. Ordering/purchasing tickets through the aforesaid means and the subsequent pick-up at ticketing counters or ticket vending machines in Mainland stations are not subject to service fees. According to the latest initial understanding from the Mainland high-speed rail operator, the Mainland is progressively extending automatic ticket vending and issuing service for Hong Kong and Macao residents to more stations. In the future, the 18 stations reachable by direct trains from the WKS will all be installed with ticket vending machines compatible with the Home Return Permit to facilitate the travel of Hong Kong and Macao residents on the Mainland by means of high-speed rail.
 
     As far as we understand, the MTRCL has reserved five ticketing counters at the ticket office of the WKS to facilitate the provision of service by the agent authorised by the Mainland high-speed rail operator to sell Mainland journey tickets in the future. This will allow passengers to purchase both cross boundary journey tickets and Mainland journey tickets in one go in Hong Kong. Discussion on these matters, including the level of service fees, is still in progress. The Government will urge the MTRCL to discuss with the Mainland high-speed rail operator with a view to lowering the service fees to a minimum as far as possible, and will join the discussion as and when necessary. read more

LCQ18: Policy Holders’ Protection Scheme

     Following is a question by the Hon Jimmy Ng and a written reply by the Acting Secretary for Financial Services and the Treasury, Mr Joseph Chan, in the Legislative Council today (May 30):

Question:

     The Government is currently drafting a legislative proposal for establishing a Policy Holders’ Protection Scheme (PPS), which aims to protect policy holders’ interest by compensating policy holders or securing the continuity of insurance contracts in case an insurer becomes insolvent. In this connection, will the Government inform this Council:

(1) whether it will put in place measures to reduce the moral hazards (e.g. insurers successively launching insurance products with high expected returns but high risks while members of the public being willing to take out such products as they ignore the related risks and focus on returns only) which may potentially arise from PPS; if so, of the details; if not, the reasons for that;

(2) given that under the relevant protection scheme implemented by the Singapore authorities, claims for non-life policies are completely covered without an upper limit, whether such an arrangement will be adopted for PPS; if so, of the details; if not, the reasons for that;

(3) given that under the relevant protection scheme implemented by the Singapore authorities, a post-funding arrangement has been put in place to empower the authorities to charge a levy from insurers in the event that the total amount of funds is insufficient to settle all claims, whether such an arrangement will be adopted for PPS; if so, of the details; if not, the reasons for that; and

(4) whether PPS will cover policies under the Voluntary Health Insurance Scheme, which will be implemented shortly; if so, of the details?

Reply:

President,

     Our response to the various parts of the question is as follows:

(1) In the Consultation Paper on the “Proposed Establishment of a Policyholders’ Protection Fund”, the Government has already pointed out that one of the principles in formulating the proposals on the Protection Fund is to enhance market stability while minimising the risk of moral hazard. In this regard, we have proposed to set a compensation limit under the Policy Holders’ Protection Scheme (PPS), i.e. the compensation is 100% for the first HKD100,000, plus 80% of the balance, and the total amount is subject to a limit of HKD1 million. As consumers have to bear certain degree of risk of not being compensated in full, they still need to select the suitable insurers and insurance products. On the other hand, the Insurance Authority will continue to exercise prudential monitoring of insurers’ financial position, and will not compromise the regulatory standards and requirements on insurers under the Insurance Ordinance (Cap. 41) because of the PPS.

(2) The PPS seeks to provide a safety net for affected policy holders in case of insurer’s insolvency. To strike a reasonable balance between the cost and benefit of the PPS and to minimise moral hazard as far as practicable, we consider that there should be a compensation limit for the PPS.

(3) We propose that in case an insurer becomes insolvent and the liquidity of the Fund is insufficient to settle the total amount of claims provided by the PPS, the PPS may borrow from a third party, or collect additional levy from insurers. We propose that the rate of additional levy should require the approval of the Legislative Council.

(4) As policies under the Voluntary Health Insurance Scheme are all personal policies, policy holders under that scheme will be protected by the PPS. When an insurer becomes insolvent, the PPS will meet the claims arising from policies subject to a limit of HKD1 million per claim, whether the insured incident occurs before or after the insolvency, and whether the claim is submitted before or after the insolvency, subject to the time limit specified in the insurance policy (if any). read more

FSDC publishes annual report for 2017-18

The following is issued on behalf of the Financial Services Development Council:

     The Financial Services Development Council (FSDC) today (May 30) released its fifth annual report for the period from April 2017 to March 2018.
 
     In 2017-18, the FSDC published six reports covering a wide range of financial services industry topics including the listed structured products market, financial technology (FinTech) and the use of distributed ledger technology, aircraft leasing and financing, tax exemption for offshore private equity funds and group tax loss relief.
 
     In addition, the FSDC played an active role in promoting Hong Kong as a leading financial centre through organising and participating in a number of overseas and local promotional events, including “Think Asia, Think Hong Kong” in London; Hong Kong Financial Seminars held in Osaka, Tokyo and Seoul; the “In Style•Hong Kong” Symposium in Kuala Lumpur; the Belt and Road Summit and the Asian Financial Forum in Hong Kong; and forums covering various topics held in Fuzhou and Hong Kong.
 
     Talent development continued to be another key area of the FSDC’s work. The Practitioner Speakers Series was well received by the young generation and seen as a good opportunity to be enlightened by the views and insights shared by expert market practitioners. The Career Day and the FSDC Career Website (www.career-fsdc.org.hk) also served as effective mediums for young talents to obtain job market information from various segments in the financial services industry.
 
     The Chairman of the FSDC, Mrs Laura M Cha, said, “We are glad to see remarkable progress on the implementation of the FSDC’s previous recommendations with regard to the strategic directions of the development of the financial services industry in Hong Kong by the Government. This includes the issuance of green bonds by the Government, as well as the promotion and establishment of green bond certification schemes.
 
     “In view of the dynamic economic atmosphere and intensified challenges from neighbouring financial markets, Hong Kong will have to continue its effort in sharpening its strengths and seize the opportunities ahead. This will include maintaining its leading status in offshore Renminbi business, and its strategic position in relation to the Belt and Road Initiative and the Guangdong-Hong Kong-Macao Bay Area, as well as spearheading the growing development in green finance and FinTech.”
 
     Mrs Cha added, “With the plans set out by the Government in the Policy Address to provide the FSDC with additional resources to strengthen its capacity, the FSDC is committed to stepping up its efforts in promoting the development of the financial services industry of Hong Kong.”
 
     The report and an updated version of the “Overview of Hong Kong Financial Services Industry” can be downloaded from the FSDC website: www.fsdc.org.hk.
 
About the FSDC
 
     The Hong Kong Special Administrative Region Government established the FSDC in 2013 as a high-level, cross-sectoral advisory body to engage the industry in formulating proposals to promote the further development of Hong Kong’s financial services industry and to map out the strategic direction for development.
 
     The FSDC set up five committees, namely the Policy Research Committee, the Mainland Opportunities Committee, the New Business Committee, the Market Development Committee and the Human Capital Committee, as the five streams of its work. read more

LCQ16: Cleaning and emergency rescue services provided at designated camp sites

     Following is a question by the Hon Kenneth Lau and a written reply by the Secretary for the Environment, Mr Wong Kam-sing, in the Legislative Council today (May 30):

Question:

     In recent years, more and more Hong Kong people and Mainland tourists go camping in the rural New Territories to get close to nature, filling most of the popular camp sites (e.g. Ham Tin Wan Campsite) with a hubbub from boisterous campers and overloading the relevant facilities during long holidays. On the other hand, some villagers in the vicinity of the camp sites have relayed to me that some campers litter and cause environmental hygiene problems. In this connection, will the Government inform this Council:

(1) of the respective quantities of refuse collected each month in the past three years at the 41 designated camp sites provided in country parks throughout Hong Kong;

(2) whether it has deployed staff to conduct regular inspections on the hygiene conditions at the various designated camp sites and ticketed persons who littered; if so, of the number of persons ticketed in the past three years;

(3) of the plans to step up its efforts in reminding campers to care for nature and public property;

(4) whether it will review the usage of the various designated camp sites and provide more facilities at the camp sites; if so, of the timetable; if not, the reasons for that;
 
(5) as it has been reported that the various designated camp sites have not been equipped with first aid facilities such as automated external defibrillators, whether the authorities will provide first aid facilities at designated camp sites so that campers who are injured or suffer from bouts of illness may receive first aid treatment; if not, of the reasons for that; and
 
(6) as one has to tramp over hill and dale in order to go to Ham Tin Wan Campsite and Sai Wan Campsite at present, which is time consuming, whether the authorities will provide landing facilities near these two camp sites to make them conveniently accessible by sea, so as to facilitate cleaning workers to clean up refuse and ambulance personnel to transfer campers who are injured or suffer from bouts of illness to hospital for medical treatment; if so, of the timetable; if not, the reasons for that?

Reply:

President,

     Our reply to the question raised by the Hon Kenneth Lau is as follows:

(1) The Agriculture, Fisheries and Conservation Department (AFCD) deploys its staff or contractors to collect litter along hiking trails, at coastal areas and various recreation sites (e.g. campsites, barbecue sites and picnic sites) within country parks. Since litter is mostly collected from the recreation sites and their adjacent country park areas in one go, the AFCD does not have a separate breakdown of the amount of litter collected at designated campsites in country parks. In the past three years, the total amount of litter collected in country parks is as follows:
 

Year Tonnes
2015 3 700
2016 3 400
2017 3 400

(2) The AFCD conducts regular patrol at country parks and their respective recreation facilities, including designated campsites. The AFCD staff will pay attention to the hygiene conditions of the areas during patrol and step up cleansing when needed. If non-compliance behaviour such as littering is detected, law enforcement action will be taken. In the past three years, the AFCD instituted 257 prosecutions against littering in country parks and special areas. However, the AFCD does not have a separate breakdown of prosecution figures for cases at designated campsites.

(3) The AFCD encourages the public to carry out recreation activities that are compatible with the environment in country parks, so as to nurture a sense of responsibility towards the environment while enjoying the outdoor activities. The AFCD has displayed camping codes at the designated campsites in country parks to remind campers of the good practices. The AFCD also disseminates relevant information on its website to encourage campers to plan ahead and get prepared before they go camping, and to adopt environmentally friendly measures. These include measures under the concept of “Leave No Trace”, including the proper disposal of waste, preserving the naturalness of the environment, minimising the impact from use of fires, respecting wildlife and other visitors, etc. The “Hints for Campers” and “Green Tips for Campers” are available at the following websites: www.afcd.gov.hk/english/country/cou_vis/cou_vis_cam/cou_vis_rec_hin.html and www.natureintouch.gov.hk/outdoor/activity/nit_2011/0/762.


     Besides, the AFCD promotes the relevant codes through publicity and education activities from time to time, such as organising “Go Green Family Camping”, roving exhibitions at shopping malls and nature appreciation activities. The AFCD will continue to strengthen its publicity and education efforts, and maintain communication with Tourism Commission to promote to overseas visitors the good practices and codes of green tourism through various channels (including Hong Kong Tourism Board).

(4) The AFCD reviews the usage of campsites from time to time, and improves the facilities and considers the provision of additional campsites according to the needs of the visitors and specific conditions of the sites. To address the public demand for camping activities, the AFCD has improved campsite services and facilities based on the usage of the campsites and their popularity, e.g. designating the Sai Wan Campsite and Tai Mong Tsai Campsite in Sai Kung in 2014 and 2015 respectively, carrying out turf improvement works of Wan Tsai Campsite in Sai Kung in 2016, and expanding the Chung Pui Campsite in 2017, etc.
 
     Besides, the AFCD has commissioned a consultancy study on the enhancement of the recreation and education potential of country parks for public enjoyment. It is expected that public consultation on the recommendations of the study will commence in 2018.
 
(5) The AFCD attaches great importance to the safety of country park visitors. At present, all country parks visitor centres are equipped with first aid kits, whereas automated external defibrillators (AEDs) are available at four of these centres for the use of the public when needed. Besides, the Auxiliary Medical Service sets up first aid stations on Sundays and public holidays in country parks and its ambulance motorcycles will patrol country parks and provide first aid services. The first aid stations and ambulance motorcycles are equipped with the AEDs and will provide assistance to visitors as necessary.
 
     Most of the designated campsites are located in the countryside with no offices and shelters. Therefore, there is practical difficulty in providing first aid supplies in the designated campsites. The AFCD will closely monitor the usage of the campsites in country parks and review if the facilities can meet visitors’ needs from time to time, and provide the required facilities as far as practicable.
 
(6) There are currently two kaito routes connecting the vicinity of Sai Wan and Ham Tin Wan to Sai Kung, and there is already a landing facility available at Sai Wan. In consideration of the relevant development plans in the area of Sai Wan and Ham Tin Wan, the Transport and Housing Bureau has no plan to construct a new landing facility near Ham Tin Wan and Sai Wan Campsites at the present stage.
 
     Litter collected in Ham Tin Wan Campsite and Sai Wan Campsite is removed from the sites by contractor’s vessels. The operation is generally smooth. In addition, there are helipads in both Sai Wan and Ham Tin Wan for use in cases of emergency such as rescue.
 
     It is never an easy task to manage countryside facilities in remote areas. Visitors could contribute to the upkeep of the environmental hygiene of the relevant sites by adopting the good habit of “Take Your Litter Home” promoted by the Government. read more