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1. Fight against Hunghom demolition

2. Proposal to auction off landing slots `unworkable'

1. Fight against Hunghom demolition
CHLOE LAI, SCMP 6 November 2004

Sun Hung Kai Properties and New World Development face a city-wide campaign against their plan to demolish the waterfront Hunghom Peninsula estate.

Friends of the Earth has formed an alliance with political parties and Commercial Radio to pressure the developers to stop the demolition.

They may also face international pressure. A coalition of non-governmental organisations is considering the developers for its "irresponsible corporate behaviour award".

Swiss-based Public Eye on Davos, named after the venue of the annual World Economic Forum conference, accepted a nomination from Friends of the Earth.

The green group's environmental affairs manager, Chau Hon-keung said: "They will face a public relations disaster and severely damage their image if they go ahead with the demolition plan."

An award ceremony will take place on January 26 in Davos.

New World Development spokeswoman Maria Cheung said the developer would not take the nomination as an insult. "Everybody has their own opinion."

Commercial Radio will start campaigning next week.

Hunghom Peninsula was developed under the Home Ownership Scheme but was left unsold to stabilise property prices. It was sold early this year to First Star Development, a joint venture between Sun Hung Kai Properties and New World Development.

Additional reporting by Associated Press

2. Proposal to auction off landing slots 'unworkable'
Danny Chung, The Standard 6 November 2004

Plans to auction off landing rights or increase charges to boost Hong Kong International Airport revenues have been dismissed by a senior Cathay Pacific Airways executive.

``It's just a barmy idea, the sort of idea that theoretical economists have. The simple fact is that it doesn't happen at any airport around the world for very good reasons,'' said Cathay's corporate development director Tony Tyler.

``A slot at one airport is worth nothing without the appropriate time slot at another airport to operate to and from. So the idea of just auctioning slots at this airport as the only airport in the world that's auctioning slots would simply be a totally unworkable system.''

Tyler was speaking after attending a seminar in which newspaper columnist Jake van der Kamp advocated auctioning to get a better return for the airport as airlines were getting use of Hong Kong's airport on the cheap.

Currently, Hong Kong and many other countries award landing rights and slots to airlines by negotiating and concluding bilateral agreements with the counter countries.

Tyler said that over the years the airline industry has developed a ``very effective'' way of allocating slots but for auctioning ``in the real world, it just would not work''.

Tyler also said airport charges should remain competitive to encourage airlines like Cathay, Hong Kong Dragon Airlines (Dragonair) and other rivals to operate to and from Hong Kong. According to a 2003 study on airport charges by the Transport Research Laboratory in Britain, Hong Kong was rated 44th of 50 major airports reviewed.

Association of Asia Pacific Airlines director general Richard Stirling also opposed raising airport charges.

Stirling said that most businesses boosted revenue by making their products cheaper, selling more of them, increasing productivity, and perhaps selling ``loss leaders'' at the outset to establish market share.