SKYLINE Technologies -- News Update ( 27 March 2004 )

27 March 2004

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1. MTR needs funds for line

2. Harbour society to appeal against reclamation ruling

3. MTRC seeks $7.5b in subsidies for island loop projects

4. ERP is not an alternative to Central-Wanchai Bypass

5. Draft South West Kowloon Outline Zoning Plan amended

6. 10 approved Outline Zoning Plans amended

7. Approved Stanley Outline Zoning Plan amended

8. Approved Ping Shan Outline Zoning Plan amended

9. Kwun Tong (South) Outline Zoning Plan approved

1. MTR needs funds for line
Keith Wallis, The Standard 27 March 2004

The MTR Corp plans to ask the government to finance about half the cost of its HK$15 billion West and South Island lines when it submits proposals shortly.

The financing options can take the form of an equity injection coupled with the MTR being granted property development rights at Wong Chuk Hang terminus or, alternatively, of the government waiving dividend payments from the semi-privatised rail operator.

With only a projected 10,000 to 25,000 passengers a day, MTRC project director Russell Black said yesterday that fare revenue from the new lines will not be enough to finance the scheme. The shortfall meant some form of government financial assistance would be necessary for the scheme to go ahead.

Black said the MTRC would leave it up to the government to decide which option to choose. But he warned that if no financial support was forthcoming, the MTRC would have no alternative but to drop the project because it would not be viable.

The MTRC will lodge a project proposal document with the government ``in the next few weeks''.

This follows the recent completion of a feasibility study into the lines, which have a total length of about 7.5 kilometres. The MTRC plans to run four-car units, which will be cheaper to operate than the high capacity heavy units it uses on its existing network.

The Legislative Council's transport panel will discuss the rail links together with the Route 7 highway project on May 28 after the government has received the MTRC document. Activists and some residents favour the medium capacity railway over Route 7, which they say is unnecessary.

In a campaign stretching back two years, green groups such as Save our Shorelines believe the railway would offer a more cost-effective, environmentally friendly transport solution than a new dual two or three-lane highway.

Plans call for the extension of the Island Line from Sheung Wan to Sai Ying Pun, where it will connect with the West Island Line that will run in a tunnel around the western edge of Hong Kong Island to Wong Chuk Hang. New stations will be built at Sai Ying Pun, Wong Chuk Hang, University, Kennedy Town, Cyperport, Wah Fu and Aberdeen. The MTR Corp is considering the possibility of building a station at Queen Mary hospital, although it does not expect the patronage to be that high.

The South Island Line will run from South Horizons to Admiralty and include stations at Lei Tung, Wong Chuk Hang, where an interchange will be built with the West Island Line, and Ocean Park.

Black said the development of Western and Southern districts ``has long been constrained by a lack of a reliable mass transportation system. The new lines will remove this constraint''.

The MTRC has put forward three route options between Ocean Park and Admiralty - a direct link, a route via Happy Valley, or via Happy Valley and Wan Chai.

2. Harbour society to appeal against reclamation ruling
SARA BRADFORD and HANNAH LEE, SCMP 27 March 2004

The Society for the Protection of the Harbour has decided to appeal against a High Court judgment that cleared the way for the Central harbour reclamation.

Chairwoman Christine Loh Kung-wai said yesterday it was in the public interest to go to the Court of Appeal to get the March 10 decision quashed.

That ruling rejected the society's application to force the government to send the project's plans back to the Town Planning Board for approval.

In his March 10 finding, Mr Justice Michael Hartmann supported the chief executive's powers in the planning process. Ms Loh yesterday said important issues were raised by Mr Justice Hartmann's interpretation of the Town Planning Ordinance.

Permanent Secretary for Housing, Planning and Lands Carrie Lam Cheng Yuet-ngor yesterday expressed disappointment over the appeal but said full reclamation works would resume next month and the government would fight the new legal challenge.

Ms Loh said the appeal would examine Mr Justice Hartmann's statement in the ruling.

"It may well have been preferable for the chief executive in council to remit the [Central] plan [to the Town Planning Board], at least regarding the extent of reclamation," she said.

She also noted that the judge "made no findings on the merits of the Central reclamation".

Ms Loh said she was aware some community groups were calling for an end to the legal wrangles so consensus-building could begin.

She said the society did not know why the government refused to refer the Central plans back to the Town Planning Board for review after a Court of Final Appeal judgment ordered such a review for the Wan Chai reclamation plan.

The two plans are interconnected as they both provide land for the Central-Wan Chai bypass.

Ms Loh said the appeal would be heard in the Court of Appeal after the government refused to grant permission for the hearing to go before the Court of Final Appeal.

In an earlier challenge, the society and the government agreed to have the appeal against the Wan Chai project go directly to the Court of Final Appeal. That case established the test that "overriding need" was required for reclamation under the Protection of the Harbour Ordinance.

Mrs Lam said part of the reclamation work had already been resumed. By early or mid-April, all the works should be under way.

3. MTRC seeks $7.5b in subsidies for island loop projects
DENISE TSANG, SCMP 27 March 2004

The MTR Corp will seek up to $7.5 billion in government subsidies for two new rail projects on Hong Kong Island, a senior corporation official said yesterday.

Project director Russell Black said that for the corporation to achieve a 1 to 3 per cent return on its average cost of capital, the government would need to provide as much as half of the $15 billion in expected construction costs for the West and South Island lines.

"If there is no government financial support, the projects won't be commercially viable and we will not proceed with them," Mr Black said.

He pointed out that financial support for the project from property development rights along the rail lines was possible, but they might not yield high enough returns to cover costs because most of the prime sites were already developed.

Mr Black's calls for government subsidies are expected to spark debate at a time when the government is tackling the budget deficit. He did not specify what form the government support would take, saying that was pending discussions with the administration. A finalised proposal on the West and South Island rail lines would be submitted within weeks, he said.

The two proposed rail lines would form a loop, with the West Island line running between Sheung Wan through Cyberport to Wong Chuk Hang, and the South Island line running from Admiralty through Wan Chai or Happy Valley or both to South Horizons. The two lines would connect at Wong Chuk Hang.

Last month, Secretary for the Environment, Transport and Works Sarah Liao Sau-tung called on the MTRC to minimise project costs for the rail lines, and hinted that the proposed Route 7 highway might serve as a viable alternative.

An MTRC spokeswoman said it had already reduced the combined project cost of the West and South Island lines to $15 billion from the $21 billion estimated in 2001.

Route 7 critics says the highway would cost $10 billion to build and would incur annual maintenance of $86 million. They also point out the environmental benefits of the rail lines.

Route 7 would run from Kennedy town to Aberdeen.

4. ERP is not an alternative to Central-Wanchai Bypass
Hong Kong Government, 26 March 2004

In response to press enquiries on the statement on Electronic Road Pricing (ERP) issued by "Clear the Air" which was distributed by the Protection of the Harbour Society held earlier today (March 26), a spokesman for the Environment, Transport and Works Bureau said:

"ERP and the Central-Wanchai Bypass (CWB) serve entirely different purposes. The former tackles congestion of a specific area through charging while the CWB is a strategic trunk road which provides an alternative route for east-west traffic not destined for the Central Business District (CBD). The bypass is urgently needed to relieve congestion along the Connaught Road Central/Harcourt Road/Gloucester Road Corridor. ERP is no substitute for the CWB.

ERP can only be contemplated for the CBD when the CWB is in place. Our study on ERP in 2001 and overseas experience reaffirmed the importance of an alternative route as an integral part of any ERP scheme. Without a bypass, all motorists travelling on the east-west route would be forced to pay even though they do not want to go into the CBD. We do not believe that this is an equitable way of tackling congestion in the CBD nor do we consider this to be acceptable to the community at large.

In our present case, we are looking for measures which can address an exceedance of road capacity by 30%. But overseas experience shows that the effect of ERP could be limited. In London and Singapore where there are already alternative routes for users, the charging scheme has reduced the number of vehicles entering the charging zone by only 14% to 16%. The figure in London is in fact dropping. With no alternative route available in the Hong Kong case, we can expect the effect of ERP on relieving congestion along the critical corridor to be even more limited.

The CWB provides the only viable option. The economic benefits to be brought about by the CWB is significant. In the first year alone, the cost of the time saved is estimated to be $2.2 billion. Over its 40-year life span, the net benefit will accrue to a significant sum of $122 billion. The need for the project is clear and present. We need to get on with the project."

5. Draft South West Kowloon Outline Zoning Plan amended
Hong Kong Government, 26 March 2004

The Town Planning Board (the Board) today (March 26) announced amendments to the draft South West Kowloon Outline Zoning Plan (OZP).

One of the major amendments made is related to the proposed West Kowloon Cultural District (WKCD). The Notes for the "Other Specified Uses" annotated "Arts, Cultural, Commercial and Entertainment Uses" zone for the WKCD have been amended to transfer 'Flat', 'Government Use (not elsewhere specified)', 'School (not elsewhere specified)', 'Social Welfare Facility' and 'Training Centre (not elsewhere specified)' from Column 1 to Column 2.

Government Use which is ancillary or supplementary to the development of the WKCD, as well as school and training centre that are related to arts and culture are retained in Column 1.

"The amendments can better reflect the Board's intention in the development of the WKCD. Planning permission from the Board will be required for uses falling within Column 2 of the Notes," the spokesman of the Board said.

"The Explanatory Statement has been further revised to clarify that the OZP will only be submitted to the Chief Executive in Council after completion of the two-stage plan amendment process for implementation of the WKCD, " the spokesman added.

The other amendments are the deletion of two possible piers from the Plan.

"In compliance with the Protection of the Harbour Ordinance, a review was undertaken to ascertain whether there is an 'overriding public need' for the proposed reclamation of the two piers. The review concludes that the two piers at the southern and central sections of the West Kowloon Reclamation should be deleted from the OZP," the spokesman explained.

Other amendments include the rezoning of three sites at Hoi Ting Road to "Open Space" for incorporation into the proposed Cherry Street Park. Furthermore, an area near the junction of Jordan Road and Ferry Street has been rezoned to "Other Specified Uses" annotated "Institutional Facility and Hostel Use" to facilitate the development of Hong Kong Girl Guides Association's new headquarters, with a set of relevant Notes added.

Opportunity has also been taken in making general revision to the Notes of the Plan to reflect the latest refinement to a revised set of Master Schedule of Notes to Statutory Plans endorsed by the Town Planning Board.

The draft South West Kowloon OZP No. S/K20/15 incorporating the amendments is now available for public inspection during normal office hours until 16 April 2004 at the following locations:

* Secretariat of the Town Planning Board, 15/F, North Point Government Offices, 333 Java Road;

* Tsuen Wan and West Kowloon District Planning Office, 27/F, Tsuen Wan Government Offices, 38 Sai Lau Kok Road;

* Yau Tsim Mong District Office, Ground Floor, Mong Kok Government Offices, 30 Luen Wan Street; and

* Sham Shui Po District Office, Ground Floor, Cheung Sha Wan Government Offices, 303 Cheung Sha Wan Road.

Any person affected by the amendments may submit a written objection to the Secretary of the Town Planning Board on or before April 16, 2004.

Copies of the draft plan are available for sale at the Map Publications Centres in Yau Ma Tei and North Point. The plan is viewable from the Board's website (http://www.info.gov.hk/tpb).

6. 10 approved Outline Zoning Plans amended
Hong Kong Government, 26 March 2004

The Town Planning Board today (March 26) announced amendments to 10 approved Outline Zoning Plans (OZPs).

The amendments mainly involve revision of the Notes of the OZPs to follow a revised set of Master Schedule of Notes (MSN) to Statutory Plans endorsed by the Town Planning Board. Under the revised MSN, various measures including broad use terms have been introduced to provide greater flexibility for change of use and to reduce the need for planning applications.

The general provisions under the covering Notes and the user schedules for various land use zones have been revised to expand the scope of uses that are always permitted. The planning intentions for various zones have also been incorporated into the Notes to form part of the relevant statutory plans.

The 10 approved OZPs amended are as follows:

- Approved Lau Fau Shan & Tsim Bei Tsui OZP No. S/YL-LFS/5

- Approved Mai Po & Fairview Park OZP No. S/YL-MP/4

- Approved South Lantau Coast OZP No. S/SLC/12

- Approved Discovery Bay OZP No. S/I-DB/2

- Approved Sha Lo Tung OZP No. S/NE-SLT/2

- Approved Ping Kong OZP No. S/NE-PK/6

- Approved Wo Keng Shan OZP No. S/NE-WKS/3

- Approved Lung Yeuk Tau & Kwan Tei South OZP No. S/NE-LYT/7

- Approved Man Uk Pin OZP No. S/NE-MUP/6

- Approved Ping Che & Ta Kwu Ling OZP No. S/NE-TKL/7

The amendments to the 10 approved plans are available for public inspection during normal office hours at the Secretariat of the Town Planning Board, 15/F, North Point Government Offices, 333 Java Road, North Point and the relevant District Planning Offices, District Offices and Rural Committee Offices.

Anyone affected by the amendments can submit a written objection to the Secretary, Town Planning Board by May 27, 2004.

Copies of the relevant draft plans are available on payment of a fee at the Map Publications Centres in North Point and Yau Ma Tei. The electronic version of the plans can be seen on the Town Planning Board's website at www.info.gov.hk/tpb.

7. Approved Stanley Outline Zoning Plan amended
Hong Kong Government, 26 March 2004

The Town Planning Board today (March 26) announced amendments to the approved Stanley Outline Zoning Plan (OZP).

The amendments mainly involve revision of the Notes of the OZP to follow a revised set of Master Schedule of Notes (MSN) to Statutory Plans endorsed by the Town Planning Board. Under the revised MSN, various measures including broad use terms have been introduced to provide greater flexibility for change of use and to reduce the need for planning applications.

The draft Stanley OZP No. S/H19/9 incorporating the amendments is available for public inspection during normal office hours at the following locations :

* Secretariat of the Town Planning Board, 15/F, North Point Government Offices, 333 Java Road, North Point;

* Hong Kong District Planning Office, 14/F, North Point Government Offices; and

* Southern District Office, G/F, Ocean Court, 3 Aberdeen Praya Road, Aberdeen.

Anyone affected by the amendments can submit a written objection to the Secretary of the Town Planning Board by May 27, 2004.

Copies of the draft OZP are available for sale at the Map Publications Centres in Yau Ma Tei and North Point. The electronic version of the plan can be seen on the Town Planning Board's website at www.info.gov.hk/tpb.

8. Approved Ping Shan Outline Zoning Plan amended
Hong Kong Government, 26 March 2004

The Town Planning Board today (March 26) announced amendments to the approved Ping Shan Outline Zoning Plan (OZP).

Amendments have been made to revise the Notes of the OZP to follow a revised set of Master Schedule of Notes (MSN) to Statutory Plans endorsed by the Town Planning Board. Under the revised MSN, various measures including broad use terms have been introduced to provide greater flexibility for change of use and to reduce the need for planning applications.

The general provisions under the covering Notes and the user schedules for various land use zones have been revised to expand the scope of uses that are always permitted. Besides, the planning intentions for various zones have been incorporated into the Notes to form part of the statutory plan.

Moreover, the maximum building height restriction for the site zoned "Comprehensive Development Area" and the "Residential (Group A)3" zone west of Hung Tin Road in Hung Shui Kiu has been revised to specify clearly the maximum height of podium.

The draft Ping Shan OZP No. S/YL-PS/10 incorporating the amendments is now available for public inspection during normal office hours at the following locations:

* Secretariat of the Town Planning Board, 15/F, North Point Government Offices, 333 Java Road;

* Tuen Mun and Yuen Long District Planning Office, 14/F, Sha Tin Government Offices, 1 Sheung Wo Che Road;

* Yuen Long District Office, Yuen Long District Office Building, 269 Castle Peak Road; and

* Ping Shan District Rural Committee, Lot 139 On Ning Road, Yuen Long.

Anyone affected by the amendments can submit a written objection to the Secretary of the Town Planning Board by May 27, 2004.

Copies of the draft plan are available for sale at the Map Publications Centres in North Point and Yau Ma Tei. The public can also view plan on the Town Planning Board's website (www.info.gov.hk/tpb).

9. Kwun Tong (South) Outline Zoning Plan approved
Hong Kong Government, 26 March 2004

The Chief Executive in Council has approved the draft Kwun Tong (South) Outline Zoning Plan (OZP).

"The approved OZP provides a statutory land use planning framework to guide the development and redevelopment within the Kwun Tong (South) area," a spokesman for the Town Planning Board said today (March 26).

The area can be separated into two main portions. The portion to the south-west of Kwun Tong Road is a long-established Kwun Tong Industrial Area (KTIA) which is under transformation to meet the changing needs of the industrial and business sectors, whereas the portion to the north-east of Kwun Tong Road and Lei Yue Mun Road is predominantly occupied by residential developments.

All the industrial sites in the KTIA had been rezoned to "Other Specified Uses" (OU) annotated "Business" to encourage the transformation of the area into a 'business' district comprising a mixture of commercial, office and non-polluting industrial uses. In addition, seven sites in the KTIA are zoned "Commercial (1)".

About 141.2 hectares and 14.5 hectares of land are zoned "Residential (Group A)" and "Residential (Group B)" respectively while some 44.9 hectares of land is zoned "Government, Institution or Community".

About 40.2 hectares of land is zoned "Open Space" for both active and passive recreational uses. Some 28.9 hectares of land is zoned "Green Belt" and the rest of the area, about 69 hectares, is reserved for road, nullah and other uses.

The approved Kwun Tong (South) OZP No. S/K14S/10 is available for public inspection during normal office hours at the Secretariat of the Town Planning Board, the Kowloon District Planning Office and the Kwun Tong District Office.

Copies of the approved OZP are now available for sale at the Map Publications Centres in North Point and Yau Ma Tei. The plan is viewable from the Town Planning Board's website (http://www.info.gov.hk/tpb).